GHG Inventory and Energy Management

Everlight Chemical actively follows global trends on climate change and greenhouse gas (GHG) emissions reduction. We continue to implement energy conservation measures such as energy management and equipment efficiency improvements to reduce GHG emissions and maximize resource efficiency. In addition, to reduce impacts from climate change, we implement GHG inventory and reduction measures, actively employing energy management systems and innovative equipment to further facilitate energy conservation and carbon reduction. Our management approach for this topic is as follows:
We continue to monitor international trends related to climate change and prioritize GHG emissions reduction. We continue to implement energy conservation measures such as energy management and equipment efficiency improvements to reduce our GHG emissions and maximize resource efficiency. In addition, we will continue to employ energy management systems and innovative equipment to facilitate carbon reduction and energy conservation and reduce the potential impacts of climate change.

Policy & Commitment

We continue to monitor international trends related to climate change and prioritize GHG emissions reduction. We continue to implement energy conservation measures such as energy management and equipment efficiency improvements to reduce our GHG emissions and maximize resource efficiency.

 

In addition, we will continue to employ energy management systems and innovative equipment to facilitate carbon reduction and energy conservation and reduce the potential impacts of climate change.

Governance Body

  • The Company’s Environmental Management Committee
  • Environmental management team and dedicated environmental protection unit at each plant

Management Approach

We have taken the following measures to control and reduce GHG emissions.

  • Improve manufacturing processes and equipment
  • Introduce innovative management techniques
  • Conduct GHG inventory following ISO 14064-1 or standards set by competent authorities*
  • Continue to promote GHG emissions reduction measures

Key Performance Indicator (KPI)

  • Electricity savings (%): [Electricity savings/ (Total electricity consumption + Electricity savings)] x 100%
  • GHG emissions intensity: Total GHG emissions ((Scope1+Scope2) tCO2e)/NT$mm output
  • Energy intensity: Total energy consumption (GJ)/NT$mm output

Evaluation Mechanism

  1. Environmental management review (annual)
  2. ESG Committee meetings (twice every year)
  3. Plant policy review (quarterly)
  4. Internal audit on our environment management system (annual)
  5. External audit on our environmental management system by DNV (annual)

Targets

  • Electricity savings (%): ≧1% (2025); ≧1% (2030)
  • GHG emissions intensity (tCO2e/NT$mm output): ≦8.1 (2025); ≦6.8 (2030)
  • Energy intensity (GJ/NT$mm output): ≦77 (2025); ≦74 (2030)

Resource Investment

Starting from 2022, we have implemented the ISO 14064-1:2018 standard and the ISO 50001 standard and plan to obtain certification for both standards across our branches and facilities.
  • Utilize energy conservation equipment
  • Implement energy management systems
  • Invest in and develop renewable energy capabilities
  • Establish the Climate Change Working Group
  • Adopt measures to increase energy efficiency of our products
Note: Since 2005, Everlight Chemical has passed ISO 14064-1:2006 certification for six consecutive years (scope: ECIC Plant I-III). Data and performance for 2019-2021 have been calculated using the same methodology as that of ISO 14064-1:2006. In 2022, we engaged external experts to assist us in adopting the latest ISO 14064-1:2018 GHG inventory standard and developing carbon reduction plans. Starting from 2023, we plan to gradually obtain third-party certification for ISO 14064-1 for all branches and facilities.

Energy Management (Energy Intensity Management)

Our total energy consumption was 626.93×103GJ in 2022, representing a 16% reduction of 119.04×103GJ in energy consumption compared to in 2021 (745.97×103GJ). The reduction mainly resulted from measures such as replacement of old equipment (including chillers and air compressors) and diesel forklifts (with electric forklifts) and use of once-through boilers. In 2022, these measures helped reduce our consumption of electricity, diesel, natural gas and steam by 5%, 11%, 25% and 26% compared to the previous year. Overall energy intensity also decreased by 10% (2022: 72 GJ/NT$mm output vs. 2021: 80GJ/NT$mm output).
In 2022, we introduced the ISO 50001 energy management system to systematically manage energy supply-related risks and identify areas for improvement, so as to improve overall energy management performance and reduce energy consumption and expenses.

2019-2022 Energy Consumption

(Unit: 103GJ)

ECIC Plant I-IV

No Data Found

Trend Tone Imaging

No Data Found

Everlight Suzhou

No Data Found

2022 Total Energy Consumption

No Data Found

  • Note:
    1. The figures are in 103GJ.
    2. The figures above are calculated based on heating values published by the Bureau of Energy. For example, the heating value of electricity is 860 kcal/kWh and the heating value of natural gas is 8,000 kcal/m3.
    3. Energy consumption (GJ) =〔Energy consumption for each energy source (unit) X Heating value of each energy source (kcal/unit) X Heating value coefficient (4.187 x 103J/kcal)〕÷109.
    4. The figures are rounded to two decimal places.
    5. Reduction of energy consumption is calculated with 2021 as the base year to represent changes in energy consumption of the year in relation to the previous year.

Historical Energy Intensity Performance

Note: Because of COVID-19, the production output value of 2020 was only 83% of that of 2019. We were able to keep the energy intensity at 85 without surging drastically, thanks to the implementation of various energy conservation measures.

With the implementation of various energy conservation measures, we achieved a GHG emissions reduction of 10,000 tCO2e in 2022 compared to 2021. The GHG emissions intensity of the year was 8.3 tCO2e/NT$mm output, which was down by 7% compared to 2021 (8.9 tCO2e/NT$mm output) and achieved our 2022 target of <8.6 tCO2e/NT$mm output.
In response to the goal of achieving net-zero emissions by 2050, in 2022, we engaged external experts to assist us in developing a ten-year carbon reduction plan, including targets and reduction pathways, based on the characteristics of our industry and production processes, production facilities and current energy consumption patterns. For 2030, a GHG emissions reduction target of 24% compared to 2021 (base year) was proposed. We will conduct subsequent financial impact assessment and feasibility evaluation, based on which the plan will be submitted for board approval for implementation.

2019-2022 GHG Emissions Intensity

  • Note:

    1. The GHG emission factors used are based on the GHG Emission Factor Management Table Version 6.0.4 announced by the Environmental Protection Administration.
    2. Information on global warming potential in the Fifth Assessment Report (2013) conducted by the United Nations Intergovernmental Panel on Climate Change (IPCC) was used as the basis for the calculation.
    3. We used the operational control approach and included the scope 1 and scope 2 GHG emissions from each production site. Our GHG inventory covers carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride, and nitrogen trifluoride.
    4. Scope 3 emissions are emissions from sources that are not owned or controlled by the Company and therefore the exact amount of emissions is hard to collect. As a result, scope 3 was excluded from inventory.
    5. The emissions statistics above are rounded to two decimal places and are used to calculate emissions intensities.
    6. Since 2005, Everlight Chemical has passed ISO 14064-1:2006 certification for six consecutive years (coverage: ECIC Plant I-III), so the 2019-2020 statistics were calculated using the same methodology. We have scheduled to obtain third-party verification in August, 2023.

     

To promote energy conservation and carbon reduction, all energy conservation measures align with the goal of >1% electricity savings (Note 1). In 2022, we achieved an electricity savings of 980 MWh, which was equivalent to a reduction of 511 tCO2e or the amount of carbon dioxide that planting 42,583 trees can help absorb in a year (Note 2). In other words, we reduced an energy consumption of 3,530GJ or 1.1% of electricity consumption.
  • 1. Electricity savings (%)= [Electricity savings/ (Total electricity consumption + Electricity savings)] x 100%
  • 2. According to the Environmental Quality Protection Foundation (EQPF), every year, a tree can absorb about 12 kilograms of CO2e(http://www.eqpf.org/sf/3-1.htm)). 511 tons divided by 0.012 tCO2e/tree equals 42,583 trees.
  • 3. When conducting GHG inventory, we found that equipment that contained refrigerants still used R22 refrigerants (subject to the Montreal Protocol control but not included in GHG inventory; we have disclosed emissions information related to ozone-depleting substances below). In the future, we will gradually phase out such equipment.

2022 Energy Conservation & Carbon Reduction Performance

Location

Measures

Electricity Savings (MWh)

Heating Value Reduction (10⁶ kcal)

Emissions Reduction (tCO₂e)

Energy Savings (GJ)

ECIC Plant I

Replacement of A04 ice machine in Building A

216

186

110

778

Replacement of J11 air compressor in Building J

100

86

51

361

Replacement of L01 chiller in Building L

164

141

84

591

ECIC Plant II

Replacement of ice machine in Building G (for color chemicals)

122

104

65

437

Replacement of chiller (for color chemicals)

45

39

24

162

Replacement of one chiller (for electronic chemicals)

  156

134

83

562

Replacement of one chiller in Building M (for pharmaceuticals)

15

13

8

55

ECIC Plant III

Installation of frequency converters for cooling towers in Building P

11

10

6

41

Trend Tone Imaging

Replacement of adsorption dryers with water-cooled (refrigerated) dryers

89

77

47

320

Everlight Suzhou

Replacement of old water pumps in Building K with two 11KW energy-efficient water pumps

19

16

10

68

Replacement of one outdated cooling tower in Building K

43

37

23

155

Total

980

843

511

3,530

  • Note:
    1. The calculation of electricity savings and carbon emissions in 2022 was based on the electricity emission factor (0.509 kg CO2e/kWh) announced by the Bureau of Energy in 2021 and related coefficients in the Energy Statistics Handbook published in 2021.
    2. Heating value reduction (kcal) = [Electricity savings (MWh) X Heating value of electricity (8.6 x 105 kcal/MWh]
    3. Emissions reduction (tCO2e) = [Electricity savings (MWh) X The latest electricity emission factor (0.509 tCO2e/MWh)].
    4. Energy savings (GJ) = [Heating value savings (kcal) X Heating value factor ((4.187 x 103 (J)/kcal)) ÷ 109
    5. The figures above are rounded to the nearest integer.

Historical Ozone Depleting Substance (ODS) Emissions

No Data Found

Note:
1. The calculation of ODS was based on the ozone depletion potential (ODP) published by the Montreal Protocol.
2. The ODP of R22 refrigerant is 0.055 (in accordance with the Montreal Protocol) and the ODP of CFC-11 is 1. The above chart converts R22 usage into CFC-11 equivalent (ton).

GHG Emissions Management Performance

We have set three key performance indicators for GHG inventory and energy use management: electricity savings (%), GHG emissions intensity (tCO2e/NT$ mm output) and energy intensity (GJ/NT$ mm output). We have included the Group’s performance results below to give stakeholders a clearer view of our current performance and progress towards mid-term (2025) targets.

Historical Performance & Progress on Mid-Term Targets

Electricity Savings

Unit: %

GHG Emissions Intensity
tCO2e/NT$mm output
Energy Intensity

GJ/NT$mm output

Note:
1. In 2022, we engaged external experts to assist us in developing energy-saving and carbon reduction plans, based on which we have adjusted our short-, medium- and long-term targets for energy and emissions intensities.
2. The main reason was that COVID-19 had lowered our production capacity and that the production volume for certain energy-consuming products had increased.