Environmental Management
In response to climate change and global warming, CHC implements various energy and water conservation measures aimed at reducing environmental impact. These include the continuous adoption or replacement of energy- and water-efficient products, elimination of disposable tableware, and minimizing bottled water usage.
In the development of new business projects, CHC actively adopts internationally recognized environmental sustainability standards and implements ecological protection measures. These efforts span architectural design, construction, and operations, creating environmentally friendly and livable spaces that promote health and enhance quality of life. This reflects CHC’s commitment to environmental management and ecological responsibility.
Environmental and Energy Policy
- Comply with environmental and energy regulations to minimize ecological impact
- Continuously improving environmental performance and enhancing resource efficiency
- Review procurement processes and prioritize products with energy-saving labels
- Promote environmental sustainability awareness through employee training
- Apply international sustainability standards in the development of new business projects
- Commit to biodiversity conservation and zero deforestation
Environmental Management Approach
As CHC no longer manufactures cement and focuses primarily on cement distribution and strategic investments, the Company’s main source of greenhouse gas emissions in recent years has been electricity consumption.
To address this, CHC promotes internal energy-saving and carbon reduction measures by improving energy efficiency, replacing equipment with Tier 1 energy-saving products, reducing the number of light fixtures and switching to LED lighting and lowering contracted electricity capacity where appropriate
These initiatives reflect CHC’s commitment to sustainable operations through practical, organization-wide decarbonization actions.
Environmental Performance Targets
| Timeframe | Goals and Achievements | Expected Benefits |
| Short-Term (2024) | ▶ Completed Group-wide GHG inventory for the third 3 consecutive year and established mid- to long-term SBT-aligned reduction targets. ▶ Published the Group’s first TCFD Climate Risk Report. ▶ Implemented low-carbon equipment projects, including the replacement of six elevators at CHC Building and installation of low-carbon cement handling equipment at Keelung Port Logistics Center. |
⚡ Reduce energy consumption, improve inventory accuracy and transparency, and strengthen climate risk management capacity. |
| Mid-Term (2025–2026) | ▶ Conduct Scope 3 supply chain identification and inventory. ▶ Apply for green building certification for CHC headquarters and implement EMS (Energy Management System). ▶ Install a solar energy system with capacity exceeding 2 MW to increase green electricity usage. |
🌿 Expand carbon management coverage, enhance supply chain resilience, and promote the use of renewable energy. |
| Long-Term (By 2030) | ▶ Achieve a 42% absolute reduction in Scope 1 and 2 emissions (SBTi target) and office carbon neutrality. ▶ Introduce internal carbon pricing to drive green transformation. ▶ Promote TNFD-aligned nature-related risk assessments, protect biodiversity, and continuously support the Sustainable Development Goals (SDGs). |
🌍 Align with international decarbonization trends, enhance corporate sustainability competitiveness, and contribute to net-zero goals. |
2024 Implementation Highlights
Carbon Emission Reduction
- Implemented a series of energy-saving and carbon-reduction measures by upgrading to energy-efficient equipment and improving energy use efficiency. Environmental-related capital expenditures totaled approximately NT$7,605,000.
- Launched a comprehensive Scope 3 GHG inventory initiative to quantify emissions across the value chain.
Expansion of Environmental Certifications
- Achieved full Group-wide coverage for ISO 14064-1 GHG inventory, including all domestic and international sites under the consolidated financial report scope (100%).
- Continued operation of ISO 50001 Energy Management System and ISO 14001 Environmental Management System, both certified by third-party auditors.
Renewable Energy Development
- In line with the Group’s green energy goals, CHC initiated plans for energy storage and solar power projects. From 2026, installed solar panels are expected to generate over 2 million kWh annually.
Environmental Education and Training
Conducted environmental and energy management system training sessions in 2024:
- Employees: 21 participants completed 38 hours of environmental courses
* This includes 15 new hires (24 hours total), 6 members of the Environmental Management Taskforce (11 hours total) and 1 supplier (3 hours total)
Expenditures in environmental protection and energy-saving initiatives.
- In 2024, CHC invested approximately NT$7,605,000
- In 2023, CHC invested approximately NT$8,270,000.
Unit: NTD thousands
| Company | 2024 | 2023 | Remarks |
| Chia Hsin Cement Corp. | - | 760 | In response to climate change and global warming, the corporate group has implemented concrete measures to promote environmental sustainability, energy conservation, carbon reduction, and water saving. Particularly, five atmospheric Water-GENNY water generators have been purchased and installed across various locations. * Under conditions of 70% humidity and 24 degrees Celsius, it can produce up to 18.8 liters of weak alkaline drinking water with a pH of 7.8-8.0 per day. The energy consumption is 350 watts per liter of drinking water (approximately 1 kWh). |
| Tong Yang Chia Hsin Int’l Corp. | 513 | 337 | The Port of Taichung storage and logistics center has replaced its import system with high-efficiency motors, replaced export system with capacitors and pneumatic refrigerated dryers, and installed conventional air conditioners with water-cooled and variable-frequency air conditioners to enhance energy efficiency. Furthermore, the upgrade of dust collection bags resulting in a significant reduction in dust pollution. At the plant at Port of Keelung, the disposal of waste cement dry powder hoses coming from self-unloading ships has been recycled and replaced with dust collection bags, which significantly reduces dust pollution. |
| Chia Pei Int’l Corp. | 4,892 | 2,223 | Taipei Port First Bulk Cargo Center has replaced the lighting fixtures in different zones of the factory with LED lights, upgraded compressed air equipment to energy-efficient models, and improved its sprinkler facilities to comply with regulatory standards and reduce dust pollution. |
| Chia Hsin Property Management & Development Corp. | 2,200 | 4,950 | Considering equipment lifespan and the benefits of energy conservation and carbon reduction, all six elevators at the front and rear buildings of the Chia Hsin Building were replaced and upgraded; the total project cost expected to reach NT$17,220,000. |
| Total | 7,605 | 8,270 |
Significant Environmental Capital Expenditures for the Next Three Years:
- The energy efficiency subsidy project for the Chia Hsin Building is expected to save 300,000 kWh annually, with an estimated total cost of NT$14.5 million.
- The replacement project of the main iced-water machine at the second building is expected to save 100,000 kWh per year, with an estimated total cost of NT$4.5 million.
- To meet LEED Green Building and WELL Building standards, the headquarters of the Chia Hsin Building is implementing an interior renovation project, with an estimated cost of NT$60 million.
- A solar system is planned for construction in Gangshan, Kaohsiung, with an estimated total cost of NT$100 million.
- Future upgrades to the exterior windows of the Chia Hsin Building will replace the current double-pane clear windows with single-pane Low-E laminated windows. This material of glass offers high light transmission, strong thermal insulation, and low emissivity. Allowing natural light to enter while keeping heat out and expecting to improve energy efficiency, indoor comfort, and natural lighting, with an estimated cost of NT$60 million.
＊ Significant loss due to environmental pollution in FY2024: None
(Definition of significant environmental loss: more than NT$300,000)
GHG Inventory and Emission Reduction Targets
GHG Baseline Year and Reduction Target
To plan its greenhouse gas (GHG) reduction strategy, CHC completed a GHG inventory in 2022 using the consolidated financial report boundary and designated that year as the base year. Scope 1 and Scope 2 emissions for the base year were 834.85 metric t-CO₂e and 6,807.564 metric t-CO₂e, respectively. The Company set a target of reducing emissions by 5.25% annually, aiming for a 42% absolute reduction by 2030 in line with the Science Based Targets (SBT) initiative.
In 2024, CHC’s combined Scope 1 and Scope 2 emissions reduction target was 6,839.96 metric t-CO₂e, while actual emissions reached 7,777.32 metric t-CO₂e, achieving approximately 87.95% of the target. Although this represents a reduction of 210.76 metric t-CO₂e compared to 7,988.08 metric t-CO₂e in 2023—a 2.64% year-over-year decrease—it still exceeds the annual reduction goal.
The increase in 2023 emissions was largely due to the full resumption of post-pandemic production activities, resulting in a temporary peak. While several carbon reduction initiatives were launched in 2024, the overall impact has not yet been fully reflected in the year’s results. Moving forward, the Group will continue to accelerate equipment upgrades, improve energy efficiency, and expand its use of renewable energy to steadily advance toward its emission reduction targets.
Additionally, starting from Q1 2025, CHC will begin a comprehensive assessment of Scope 3 indirect emissions data (see Section 5.2) to better understand emissions throughout the value chain.
＊For detailed GHG inventory data, refer to Section 5.2: GHG Emissions and Energy Usage
| Year | Scope of GHG inventory | Verification through third party | Coverage of inventory |
| 2021 | Corporate headquarters floors | ✓ | 48% |
| 2022 | All locations in Taiwan | ✓ | 92% |
| 2023 | All locations in Taiwan and overseas | ✓ | 100% |
| 2024 | All locations in Taiwan and overseas | ✓ | 100% |
| 2025 | All locations in Taiwan and overseas | ✓ | 100% |
GHG Reduction Strategy and Low-Carbon Transition Action Plan
To achieve net-zero emissions, CHC has developed four core low-carbon transition strategies, integrating carbon management into its business operations. CHC prioritizes the reduction of direct emissions from operational activities (Scope 1) and indirect emissions from energy use (Scope 2), as part of its commitment to a defined net-zero roadmap and emission reduction targets. For short-, medium-, and long-term performance targets and key implementation results in 2024, please refer to Section 3.3.2.
CHC remains committed to reducing carbon emissions from its own operations. The Company actively improves energy efficiency, optimizes equipment performance, and strengthens fugitive emissions and fuel management to minimize emissions during the operational phase. In parallel, CHC is investing in renewable energy systems to increase the share of green electricity in its energy mix. The Group also supports the low-carbon transition by engaging in net-zero technologies and participating in carbon offset projects to neutralize unavoidable emissions.
Looking ahead, CHC is evaluating the introduction of an internal carbon pricing mechanism to incorporate emissions into cost-benefit analyses. This will incentivize more efficient energy use and further strengthen internal momentum for emission reduction initiatives.
| Strategic Pillars | Replacement of Electrical Equipment and Management Optimization | Management of Fugitive Emissions | Operational Fuel Management | Green Energy Generation / Green Electricity Procurement |
| 32% | 5% | 5% | 58% | |
| Strategy | Inventory and plan for replacement of outdated and inefficient electrical equipment within the Company, with ongoing expansion of the scope. | When refrigerator equipment needs to be replaced or refilled, we will use equipment with low-GWP (Global Warming Potential) refrigerators. | Reduce fuel use by managing kitchen gas consumption, electrifying kitchen appliances, and transitioning official vehicles to electric models. | In 2026, the first phase of the solar photovoltaic system will be launched. The Company will continue to evaluate available areas to expand green electricity construction and will monitor potential green power procurement opportunities to increase the use of green electricity. |
| Short-Term Action Plan | • Replace port area equipment with energy-efficient air compressors and screw conveyor motors. • Replace office building common area lighting with LED fixtures. |
• Conduct an inventory of high-energy-consuming refrigerant equipment. | • Conduct an inventory of old company-owned vehicles and replace them with electric models. | • Initiate the photovoltaic system installation plan. |
| Medium to Long-Term Action Plan | Cement and Warehouse • Gradually replace plant lighting with high-efficiency LED fixtures. • Replace outdated high-power consumption equipment with new high-efficiency equipment or add variable frequency devices to increase energy efficiency. • Optimize pipeline systems to avoid pressure loss during transport. Hospitality • Optimize operating time for machinery, lighting, and air conditioning. • Increase the “pre-cooling before guest check-in” temperature by 1°C. • Replace guest room refrigerators with more energy-efficient models. Property Management • Optimize common area illumination. • Replace building lighting with high-efficiency LED fixtures. • Upgrade building elevators and install power regeneration systems. |
Hospitality • Replace guest room refrigerators with low-GWP refrigerant models. Chia Hsin Cement Group • Replace or refill refrigerant equipment with low-GWP refrigerants when they reach their end of lifecycle or require maintenance. • Install aeration equipment at sites to reduce septic tank emissions. |
Cement and Warehouse • Electrify fuel-powered company vehicles. Hospitality • Introduce electric kitchen equipment. • Design low-carbon menus. • Implement ISO 50001. |
Chia Hsin Cement Group • Install solar photovoltaic systems—expected to generate over 2 million kWh annually starting in 2026. • Evaluate green electricity procurement. • Increase green electricity usage. |
Note: The timeframes for short-, medium-, and long-term strategies are aligned with the defined time horizons for risks and opportunities: short-term (<3 years); medium-term (3-5 years); long-term (>5 years).
Energy and Environmental Management Systems
Since 2021, CHC headquarters has implemented the ISO 50001 Energy Management System, and from 2022, the ISO 14001 Environmental Management System. These two systems have been integrated into a unified Environmental and Energy Management System, with the Chief Sustainability Officer (CSO) serving as Committee Chair and the Sustainability Office and site representatives forming the working teams.
The system has gradually been expanded across CHC’s operating sites in Taiwan. By Q4 2023, third-party verification had been completed for six sites in Taiwan. In 2024, CHC maintained system operations across these six domestic sites, and selected representative locations—including CHC Headquarters, Gemcare Maternity Center, and the Keelung Port facility—for external audits and third-party verification.
| Year | ISO 50001 | ISO 14001 | Implementation Scope | Third-Party Verification | Internal Audit Coverage (% of Revenue) | External Audit Coverage (% of Revenue) |
| 2021 | ✓ | - | Headquarters office floors | ✓ | 48% | 48% |
| 2022 | ✓ | ✓ | All floors at HQ | ✓ | 59% | 59% |
| 2023 | ✓ | ✓ | All CHC Taiwan sites | ✓ | 76% | 76% |
| 2024 | ✓ | ✓ | All CHC Taiwan sites | ✓ | 77% | 56% |
Note 1: The current ISO 50001 certificate is valid from November 7, 2024 to November 7, 2027
Note 2: The current ISO 14001 certificate is valid from November 19, 2024 to November 19, 2027
Energy and Environmental Management Plan
Conduct annual energy reviews to enhance energy performance
Conduct energy use analysis in accordance with ISO 50001 Energy Management System to identify energy-saving opportunities and hold annual energy and environmental management review meetings to evaluate performance and improvement measures.
Establish and implement quantifiable energy-saving targets
Set energy-saving targets based on various emission indicators and track implementation through key performance indicators (KPIs).
Promote energy conservation initiatives
Implement specific actions such as lighting system upgrades, installation of energy-efficient elevators, optimization of air conditioning systems, and replacement of motors with high-efficiency models to improve overall energy efficiency.
Evaluate the progress and performance of energy-saving programs
Establish a regular review mechanism to analyze the effectiveness of energy-saving plans using energy consumption data and performance metrics and identify areas for continuous improvement.
Plan for the adoption and use of green energy
Gradually introduce renewable energy sources (e.g., solar power) or plan for green electricity procurement to reduce carbon footprint and reliance on conventional energy.
Invest in innovation or R&D to reduce energy consumption
Continue investing in smart energy management systems and high-efficiency energy-saving equipment to drive innovation and enhance energy efficiency
Provide employees with training on energy and environmental topics
Organize regular training courses on energy and environmental topics to raise employee awareness and operational skills, foster a sustainability-oriented culture with full participation.
Implement waste management practices
Implement waste classification, resource recycling, and compliant disposal procedures in accordance with the ISO 14001 Environmental Management System to minimize environmental impact.
Sustainable Building Design and Certification
When developing new business projects, CHC actively incorporates internationally recognized environmental sustainability standards and adopts ecological protection measures. From building design to construction and operations, the aim is to create environmentally friendly and livable spaces that promote health and quality of life, fulfilling CHC’s social responsibility in environmental management and ecological preservation.
In 2024, all CHC’s hospitality business locations obtained international sustainable building certifications, covering approximately 26.85% of total revenue. By Q2 2025, CHC plans to complete LEED and WELL certifications for its headquarters office floors, which will increase the revenue coverage of certified sites to approximately 50%.
| Certification | LEED (Leadership in Energy and Environmental Design) | WELL Building Standard |
| Description | Introduced by the U.S. Green Building Council (USGBC) in 1998, LEED is a globally recognized green building certification system. | Launched in 2014 by the International WELL Building Institute (IWBI) and certified by Green Business Certification Inc. (GBCI), the WELL standard focuses on health and wellness in buildings. |
| Certified Sites | Hotel Collective | Gemcare Maternity Center – Dunhua Gemcare Maternity Center – Yangzhou |
| Planned Sites | CHC Headquarters Office Floors | CHC Headquarters Office Floors |
Renewable Energy Planning
In 2022, the Sustainable Development Committee resolved to pursue climate-related disclosure and decarbonization initiatives. CHC became a TCFD Supporter in December 2022 and received SBTi target approval in January 2024.
In response to climate change and carbon risk, CHC has set a medium-term goal of achieving carbon neutrality across its office sites by 2030. In support of this goal, CHC:
- Continues to implement energy and environmental management systems across sites
- Monitors electricity usage and upgrades equipment to improve energy efficiency
- Actively evaluates renewable energy solutions
To meet the Group’s green energy targets, CHC is planning energy storage and solar PV projects. Beginning in 2026, the installed solar panel systems are expected to generate over 2 million kWh per year.
Main Environmental Performances
Implementing Greenhouse Gas Inventories
(ISO 14064-1:2018)
Completed GHG inventory and verification for all domestic and international sites in response to the global trend of “net zero” in April 2023 (covering 100% of the consolidated financial report scope). 2024 marks the second consecutive year that the group has completed a carbon inventory for all domestic and international locations.
Incorporating Energy Management Systems (ISO 50001) and Environmental Management Systems (ISO 14001)
Expanded ISO 50001 and ISO 14001 certifications to 5 new operational sites in 2023, bringing the total verified by third parties to 6 sites.
Received LEED Green Building Certification
Located in Kokusai Dori St., Okinawa, Hotel Collective is the first wholly-owned hotel of Chia Hsin Cement Group. In June 2021, the hotel received LEED international green building certification.
Solar Energy Green Power Project
We plan to install solar panels on the rooftops of the tenants at the Gangshan Plant, with a goal of establishing 2 MW of capacity by 2026. This initiative is expected to generate over 2.2 million kWh annually, providing a stable source of self-generated green electricity and serving as a crucial pillar for emission reduction.
Awarded WELL Building Platinum Certification
Gemcare Maternity Center (Zhongshan and Dunhua Branches), a strategic partner of Chia Hsin Cement Group, was awarded WELL building platinum certification in 2020. Gemcare Maternity Center in Yangzhou, China obtained WELL Building Gold certification in 2021.
Science-based targets approved by the Science Based Targets initiative (SBTi)
Applied to join the SBTi (Science Based Targets initiative) in November 2023, with target approval received in January 2024. Established a mid- to long-term goal of reducing Scope 1 and Scope 2 emissions by 42% by 2030.
