Energy and GHG Emissions - Yuanta Financial Holdings

Eergy and GHG Emissions

Implementation of Greenhouse Gas Inventory System and Energy Management System

Yuanta is highly aware of the impact climate change has on the economic, financial, and legal environment. As such, in addition to diversifying our operations and developing new businesses based on our existing niches, we also adjust our operating procedures, business strategy, and investment decisions as necessary. On top of this, through education and training, we raise our employees' understanding of climate risk and improve their ability to adapt accordingly, reducing potential operating risks to the Company while also continuing to strive for environmental sustainability.

Since 2015, Yuanta Financial Holding Company (FHC) has started to implement ISO 14001 environmental management system to establish an environmental management framework, formulate environmental policies, plan environmental improvement goals and targets, and propose continuous management improvement plans. Based on the ISO 14001 environmental management system framework, we have been promoting ISO 14064-1 Greenhouse Gas (GHG) inventory, ISO 50001 energy management system, and ISO 14046 water footprint inventory, which have been implemented year by year to effectively carry out carbon reduction, energy saving, water conservation, and business waste control, and to comprehensively improve environmental management efficiency.

About GHG Inventory and Target, Yuanta Financial Holding Company (FHC) has signed the "Science Based Targets (SBT)" in 2019 and verification in July 2022. FHC completed the GHG inventory of categories 1 and 2 and disclosure of investment and financing assets for every year , and is the first comprehensive financial company in Taiwan to initiate. Announced that in the future, it will continue to deepen the inventory of carbon footprints, exert financial influence to promote the low-carbon transformation of the entire industry, and practice the goal of sustainable finance.

internal carbon pricing

The global carbon pricing mechanism is becoming increasingly mature, and internal carbon pricing has become a key strategic tool for enterprises to enhance climate resilience and drive net-zero transitions. The Group implemented a “Shadow Price” mechanism across its operations as an internal carbon pricing tool, which was based on international carbon pricing benchmarks and projected carbon costs under 2050 net-zero scenarios, with adjustments made annually. We are the very first financial institution in Taiwan to explicitly price greenhouse gas emissions, effectively internalizing external environmental costs.

The internal carbon pricing is integrated with the carbon reduction targets of each subsidiary, and an internal carbon price task force regularly monitors the achievement rates of these targets across the Group. Annual greenhouse gas emission targets are set for each subsidiary as their carbon budget. If a subsidiary exceeds its annual carbon budget, the excess cost must be spent on purchasing renewable energy or replacing energy-efficient equipment. Furthermore, the Group links carbon reduction targets to management’s performance evaluations to fully implement our commitment to emission reductions.

During 2025, the Group’s total carbon emissions decreased by 274.20 metric tons compared to the previous year, representing a 1.55% reduction—equivalent to approximately NT$603.2 thousand in carbon value. Following the decision of an internal meeting, the 2026 internal carbon price has been adjusted to NT$3,300 per ton (approx. US$100^Note). This underscores the Group's dedication to the net-zero transition as it strives to align with international sustainability benchmarks and fulfill climate responsibilities through internal carbon pricing.
Note: The US dollar price for internal carbon pricing is calculated at a conversion rate of NT$33 to US$1, based on the highest exchange rate within the past five years.

ISO 14001:2015 Environmental Management System
（Date of first certification: 2025.03.22; Expiry date: 2028.03.21）

Yuanta continues to promote a variety of measures to reduce our environmental impacts and move toward establishing a green corporate culture. In addition to creating a green and friendly workplace, we are also working to encourage customers, employees, and their families to get involved in green initiatives and work together to achieve the goals of environmental sustainability. To promote and manage environmental issues within the Yuanta Group, Yuanta started ISO 14001 environmental management system implementation in November 2015, beginning with Yuanta FHC. The Yuanta Financial Tower and Datong Building passed verification in March 2016. The implementation expanded to include Yuanta Life location on the 16th through 18th floors of Hongtai Building in January 2017. Yuanta FHC and its 9 subsidiaries all have implemented the system and passed the verification, with a 100% coverage rate. Yuanta will continue to maintain the system operational and strive to pass verification.

ISO 14064-1:2018 Greenhouse Gas (GHG) Inventory
（Date of certification: 2025.05.05; Inventory year: 2025）

Yuanta began to implement the ISO 14064-1 GHG Inventory System in 2015, with subsidiaries Yuanta Securities and Yuanta Funds passing certification in May and September of 2016 respectively. In 2020, we undertook ISO 14064-1:2018 inventory of GHG emissions and Yuanta FHC and our subsidiaries passed certification with a 100% coverage rate. The scope has been expanded to overseas sites in 2024. In the future, we will continue to conduct GHG inventory every year in order to grasp the actual effectiveness of our company’s energy saving and carbon reduction.

Group Greenhouse Gas Emissions

GHG Emissions (metric tons of CO₂e) (Note1,2,3)	2022	2023	2024	2025
Category 1 (Note4)	1,436.98	1,359.64	1,124.75	1,371.00
Category 2 (Location-based)	18,562.91	17,254.23	16,520.81	16,000.36
Category 2 (Market-based) (Note5)	18,562.91	17,254.23	16,520.81	16,000.36
Category 1+2 (Location-based)	19,999.89	18,613.87	17,645.56	17,371.36
Carbon Intensity (metric tons of CO₂e per NT$ billion of revenue) (Note6)	218.57	189.76	146.19	135.27
Data Coverage Rate (%) (Note7)	100	100	100	100.00
Category 3~5 (Note8)	125,777.62	97,629.53	97,509.17	75,065.07
Notes： The inventory is conducted for Category 1~4 based on ISO 14064-1. The operational control approach is used to set the organizational boundary, and the base year was the 2021 location-wide inventory. Based on the emission factor methodology, GHG emissions = activity data x emission factor x Global Warming Potential (GWP). The GWP values used in 2020 reference to IPCC AR5 version. From 2021 onwards, the GWP values reference to IPCC AR6 version. Category 1 and 2 GHG emissions include carbon dioxide(CO₂), methane(CH₄), nitrous oxide(N₂O), hydrofluorocarbons(HFCs), perfluorocarbons(PFCs), sulfur hexafluoride (SF₆₎ and nitrogen trifluoride (NF₃). Category 1 emissions mainly consist of gasoline and refrigerants, and their emission factors are calculated based on the "Greenhouse Gas Emission Factors Announced by the Ministry of Environment on February 5, 2024." The location-based Scope 2 emissions refer to externally procured electricity, calculated using the quantification method outlined in the Greenhouse Gas Emission Inventory Guidelines issued by the Ministry of Environment. Carbon intensity refers to the emissions of Category 1 and Category 2 greenhouse gases generated per NT$1 billion in revenue. Data coverage rate represents the ratio of locations included in the Category 1 and 2 data compared to total locations in the specified year. Category 3~5 GHG emissions do not include the carbon emissions related to investing and financing activities.

Group Greenhouse Gas Emissions from Overseas Sites

Greenhouse Gas Emissions (Metric tons CO₂e)	2024	2025
Category 1	792.31	1,157.97
Category 2 (Location-based)	4,028.56	4,355.01
Category 2 (Market-based)	4,028.56	4,355.01
Category 1+2 (Location-based)	4,820.87	5,512.98
Data Coverage Rate (%)	100	100

ISO 50001:Energy Management Systems
（Date of certification: 2024.05.28; Expiry date: 2027.05.27）

Since 2016, the Yuanta Group has gradually introduced the ISO 50001 energy management system to continuously evaluate and implement energy-saving plans through a systematic management framework and process in order to achieve effective improvement of energy performance. In 2025, Yuanta Financial Plaza, Yuanta Financial Tower, Yuantai Plaza, Taichung Building, Chongde Building, Yongkang Building, Fucheng Building, Kaohsiung Building, and Mingcheng Building, a total of nine Yuanta self-owned buildings have obtained ISO 50001 energy management system certification. To achieve scientific real-time energy management, the Group has established Intelligent Environment Network, iEN, which uses real-time electricity usage data to manage and reduce power consumption. We have also implemented alerts for excessive electricity consumption, enabling us to manage and promptly respond to situations of overuse, thus fulfilling our energy management goals

Inventory Boundary of All Owned Buildings in Taiwan	Yuanta Financial Plaza	Yuanta Financial Tower	Yuantai Plaza	Taichung Building	Taichung Chongde Building	Tainan Fucheng Building	Tainan Yongkang Building	Kaohsiung Building	Kaohsiung Mingcheng Building
Covered Companies	Financial Holdings Securities Bank Investment Consulting Venture Capital	Securities Bank Funds Securities Finance	Securities Bank Futures AMC	Securities Bank Futures	Securities Bank Life (Insurance) Funds Securities Finance	Securities Bank Futures	Securities Bank	Securities Bank Futures	Securities Bank
Standard Version	ISO 50001:2018
Date of First Certification	2018/05/28
Expiry Date	2027/05/27

Energy Saving Actions and Results

Among the "12 Key Strategic Action Plans" announced by the Executive Yuan, "energy conservation" is highlighted as a key strategy for improvement in energy selfsufficiency and both national and corporate resilience. The International Energy Agency (IEA) also regards it as a top priority in advancing net-zero and energy transition.
The Group has implemented a range of energy-saving measures, including the replacement of high-energy consumption equipment, optimization of lighting and airconditioning systems, improved management of electricity usage, deployment of intelligent energy monitoring systems, building insulation designs, instalation of elevator regenerative systems, and the provision of electric vehicle charging facilities in new buildings. In addition, through internal training and awareness pfograms, the Group enhances employees' awareness of energy conservation, carbon reduction, and environmental protection, therby reducing potential operational emission risks and mitigating climate change impact.

Energy Saving Actions	Reduction of Power Consumption (kWh)	Reduction of Energy Consumption (MJ)	Carbon Reduction Performance (Metric tonsCO₂e)	Project Input Cost (NT$ thousand)
Installation of LED energy-saving lighting	150,401	541,443	71.29	5,986
Replacement of old air conditioning equipment	170,678	614,440	80.90	10,930
Total	321,079	1,155,883	152.19	16,916
Notes: The reduction in electricity consumption is calculated by converting the project's electricity savings over 12 months of 2025. The carbon reduction performance is calculated based on the 2024 Electricity Emission Factor = 0.474 (kgCO₂e/kWh) announced by the Taiwan’s Bureau of Energy, MOEA. The GHG reductions of the major energy saving actions take place in the scope of Category 2.

Smart Monitoring Implementation

In order to calculate the energy consumption situation with data, real-time and continuous information, Yuanta FHC is the first to introduce “Chunghwa Telecom iEN Smart Energy-Saving Service - Building Energy-Saving System" in 2019. The project is carried out in six steps: current situation evaluation, system introduction evaluation, simulation of results, on-site installation, field acceptance, and official launch.Sensor points and system feeders are deployed in six owned buildings,and real-time metered measurements are used to obtain basic information on electricity consumption of high-energy consumption equipment. Through the system’s real-time online monitoring, we can grasp the continuous energy consumption situation to evaluate the operation efficiency of high energy-consuming equipment, which is the basis for scientific setting of long-term carbon reduction targets.

Renewable Energy Procurement

The Group has actively responded to the changes in Taiwan’s renewable energy regulation by prioritizing the procurement of solar green power based on office types. We also requested the power plants to provide actual photos and describe their plans, ensuring that power generation at the sites did not affect land and environmental ecosystems. The entire Group (including the financial holding company and subsidiaries) has implemented green power usage, covering nine self-owned buildings across Taiwan and 30% of branch locations. In 2025, the total green energy supplied was 6.52 million kWh. In 2025, 16.18% of the energy used by the Group was green energy. Compared to 2024, the volume of green power supplied has an increase of 23.38%.

In addition to renewable energy purchases, the Group has installed a solar power generation system on the rooftop of Yuanta Financial Plazai, with an installed capacity of approximately 24.85 kW, integrating green energy into the Group’s operations and steadily advancing toward net-zero emissions and sustainability goals. The cumulative use of renewable energy (including Renewable Energy Certificates) from 2016 to 2025 reaches 18,422,600.00 kWh, reducing greenhouse gas emissions of 9,061.04 metric tons of CO₂e, which is equivalent to the amount of carbon absorbed by 928.32 hectares of forest.

Yuanta Group Renewable Energy Green Power Usage

Item	2022	2023	2024	2025
Green Power Wheeling (PPAs) (kWh)	945,924	2,643,358	5,280,786	6,503,300
Green Power Direct Supply (kWh)	-	-	-	11,900
Total Renewable Energy Consumption(kWh)	945,924	2,643,358	5,280,786	6,515,230
Electricity Emission Factor (kgCO₂e/kWh)	0.509	0.495	0.494	0.474
Carbon Reduction (Metric tons CO₂e)	481.46	1,308.46	2,608.72	3,088.20
Equivalent annual forest carbon absorption (hectare)	49.52	134.81	268.70	319.25

Primary Energy Usage

Items		2022	2023	2024	2025
Non-Renewable Energy	Power Consumption (kWh)	36,454,150	34,823,076	33,442,945	33,756,042
	Other Energy Consumption (GJ)	4,402	4,531	4,699	4,133
	Other Energy Consumption (MWh)	1,222.78	1,258.61	1,305.28	1,148.06
	Total Energy Consumption (GJ)	135,637	129,894	125,115	125,677
	Total Energy Consumption (MWh)	37,676.93	36,081.69	34,754.19	34,904.10
	Energy Intensity (GJ/NT$1 billion revenue)	1,482.34	1,324.23	1,036.59	978.61
Renewable Energy	Power Consumption of Green Power Wheeling & Renewable Energy Certificates (kWh)	945,920	2,643,358	5,280,786	6,503,330
	Power Consumption of Green Power Direct Supply / Self-installed Solar Panels (kWh)	-	-	-	11,900
	Total Renewable Energy Consumption (GJ)	3,405.32	9,516.08	19,014.25	23,459.05
	Total Renewable Energy Consumption (MWh)	945.92	2,643.36	5,280.79	6,515.23
Data Coverage Rate (%)		100	100	100	100
Notes: The primary form of energy use is purchased electricity. The item of other energy includes gasoline and diesel. The conversions of heating value of energy are calculated with reference to the conversion units published by the International Bureau of Weights and Measures and to the “2024 Energy Statistics Handbook – Table for Unit Heating Value of Energy Products” of Taiwan's Bureau of Energy, MOEA. We calculated the data using 860 kcal/kWh for electricity, 7,800 kcal/L for gasoline, and 8,400 kcal/L for diesel, and converted units by 4.1868 kJ/kcal, 0.277778 MWh/GJ Data coverage rate represents the ratio of locations included in the data compared to total locations in the specified year.