- Compal has clearly defined its short-, medium-, and long-term decarbonization goals as the foundation for its climate transition roadmap: ：
o Medium-term target: By 2030, reduce Scope 1 and 2 emissions by 50.68%, and Scope 3 emissions by 25%.
o Long-term target: By 2050, reduce total emissions by 90%, and evaluate the use of carbon offsets to neutralize the remaining Scope 1 and 2 emissions (for detailed targets, please refer to the Greenhouse Gas Management chapter). At the same time, Compal has joined the RE100 initiative, committing to 100% renewable energy use by 2050. The Company plans to progressively expand its green energy procurement and implement solar power generation facilities at its own sites to reduce reliance on fossil fuels.
- Three-phase climate transition strategy: Compal has outlined a three-phase approach to advance its climate action strategy.：
o Foundation-building phase (until 2023): Complete site inventory, target setting, and governance framework establishment.
o Capacity-building phase (2024–2027): Enhance energy efficiency, develop the Compal Cloud for Sustainability platform, and collaborate with subsidiaries, and integrate data governance.
o Full implementation phase (2028–2050): Transition to renewable energy in stages, establish an internal carbon pricing mechanism, and assess the feasibility of carbon neutrality and offset strategies.
- Prudent assessment of transition impacts: Compal recognizes the potential financial and operational risks of the transition and views them as opportunities to enhance competitiveness. We have initiated climate-related financial risk scenario simulations to build a transition risk and opportunity identification framework, to continuously integrate these into operational decisions and investment evaluation processes.
Strengthening Scope 3 Carbon Management and International Disclosure Alignment
Compal has completed calculations for all 15 Scope 3 categories and identified the top two emission sources:
o Category 1: Purchased goods and services
o Category 11: Use of sold products
These account for over 90% of total Scope 3 emissions. Through circular design, energy-efficient product design, and value chain collaboration, Compal promotes supply chain carbon management and emissions reduction during the product use phase, thereby fulfilling its SBT commitments.
Climate Risk Assessment and Response Actions
Based on the TCFD framework, Compal identifies transition and physical risks from climate change, such as rising renewable energy costs, operations disrupted by extreme weather, and increased investments in technology R&D for alternative materials. These issues have been integrated into the Company’s operational risk management framework, along with climate scenario simulations, as a basis for decision-making.