Green factories Management
Energy Saving Management Mechanisms
To ensure the successful achievement of energy-saving goals, Compal has established stringent management mechanisms and adopted various technical tools to improve management efficiency.
- Energy Audit and Monitoring: We conduct regular energy audits annually and propose optimization suggestions based on the audit results. A professional energy consulting team evaluates the performance of existing equipment and processes and offers improvement plans.
- Employee and Supply Chain Collaboration: Compal integrates energy-saving targets into all employees' performance evaluations and holds regular energy-saving training sessions to ensure employees understand and actively participate in energy-saving measures. Additionally, Compal collaborates with suppliers to jointly design processes that reduce carbon footprints.
- Technological Innovation and Equipment Upgrades: Compal continuously invests in energy-saving technologies and equipment upgrades and promotes the application of green technologies to reduce energy consumption.
o The Kunshan Plant renovated its compressed air system, thereby saving 283,100 kWh of electricity per year and reducing emissions by 182.63 tCO2e.
o The Pingzhen Plant invested NT$3,390 thousand in energy-saving equipment for installing an air conditioning energy monitoring platform and variable frequency drive (VFD) equipment to help save electricity and reduce carbon. This is projected to save 316,542 kWh of electricity and reduce 159 tCO2e of carbon emissions per year.
1. Energy management: We invested NT$2,130 thousand to set up an air conditioning energy monitoring platform, and install multiple digital meters, thermometers, and flow meters. This measure is expected to reduce electricity usage by 199,740 kWh and carbon emissions by 101 tCO2e per year.
2. New energy-saving equipment: We invested NT$1,260 thousand to install variable frequency controllers for the reflow furnace exhaust system and the SMT process exhaust system. This measure is expected to save 116,802 kWh of electricity and reduce 58 tCO2e of carbon emissions per year.
2024 Energy-saving Achievements
Based on the implementation results in 2024, Compal has made significant progress in energy management:
- Reduced Energy Intensity: In 2024, Compal successfully achieved an energy intensity of 1.15 GJ/million revenue, a nearly 9.8% reduction from 1.27 GJ/million revenue in 2023. This demonstrates Compal’s significant progress in improving energy usage efficiency.
- Renewable Energy Usage: In 2024, renewable energy usage reached 45.15%, closely approaching the set target with significant reduced reliance on non-renewable energy.
- Energy Consumption: In 2024, total non-renewable energy consumption was 571,892.7 GJ, while total renewable energy consumption was 470,680.6 GJ, successfully achieving a structural adjustment in resource use.
By setting clear energy-saving targets, implementing rigorous management mechanisms, and regularly tracking goal implementation, Compal achieved significant energy-saving results in 2024. In the future, Compal will continue to focus on increasing the proportion of renewable energy usage, optimize energy intensity, and promote technological innovation to contribute to global sustainable development.
Compal continues to implement energy-saving governance and optimize resource efficiency, earning recognition from local governments. In 2024, CIC and CIT in mainland China successfully received the “Suzhou City Green Factory” certification. This certification, led by the Industrial and Informatization Bureau of Suzhou City, evaluates companies comprehensively based on indicators, such as energy efficiency, cleaner production, pollution prevention, resource circulation, and information management. Compal's Kunshan Plant demonstrated the Group's effectiveness in regional energy savings and carbon reduction through systematic energy-saving solutions, the establishment of a smart energy management platform, and process optimization, thus setting a benchmark for promoting local green manufacturing.
Water Reduction
Compal continuously strengthens its water resource management and views water as one of the critical issues under climate change. To ensure operational resilience and sustainable water use, we continue to adopt Aqueduct Water Risk Atlas (WRI) tool. This tool evaluates all our major global operational sites to identify areas with high water stress or potential water scarcity, allowing us to adjust water resource allocation and risk response strategies accordingly. The evaluation results serve as an important basis for water-saving management, equipment investment, and project prioritization, and are also integrated into our climate scenario analysis.
List of Water Resource Risks and Stress at Each Plant of Compal (according to Aqueduct WRI)
Water Conservation Targets and Actions
Compal sets annual water intensity management targets, aiming for each site to reduce water intensity by at least 1% compared to the previous year. We work to achieve these targets at each site through equipment replacement, installation of water-saving facilities, and behavioral water conservation. Compal currently does not use recycled water; our primary water source is from the municipal supply. Only the Brazil Plant uses groundwater for domestic purposes due to local infrastructure limitations, with proper filing and monitoring as required.
Water Consumption and Trends
In 2024, Compal's total water consumption was 1,597.4 million liters, a decrease of approximately 22.76% compared to 2023. This significant drop is mainly due to upgrades in water-saving equipment and promotion of water conservation at all plants. This indicates the effectiveness of our water conservation projects.
Compal will continue to work steadily toward its annual water intensity targets through equipment upgrades, process optimization, and behavioral water conservation. We are also evaluating the introduction of water recycling technologies and reclaimed greywater reuse solutions to improve water resource utilization efficiency and address potential regional water risks.
Compal's Water Usage at Different Water Stress Levels
Compal references the water risk zoning provided by the Aqueduct WRI tool to classify each facility based on its overall water stress level. This helps us understand the extent to which water resource risks impact our operations. For 2024, the proportion of total water consumption from different water stress zones is as follows:
This analysis helps Compal adjust water allocation, reserve plans, and water-saving management intensity based on regional water risk levels, thus enhancing our resilience to extreme climate events.
Water Use Intensity Tracking
Compal uses water consumption per million NTD of output (m³/million NTD) as its water intensity metric, as an integrated tool to assess water-saving effectiveness and operational efficiency. Over the past three years, Compal’s overall water intensity has shown a consistent downward trend:
Wastewater Management and Regulatory Compliance
Wastewater from Compal’s operational sites is discharged into local government systems for proper treatment before being released into surface water bodies (e.g., rivers or drainage channels), with no direct discharge into groundwater or oceans. Wastewater primarily originates from domestic sewage and cleaning water. All sites are designed and operated in compliance with local environmental regulations, with regular water quality monitoring.
In 2024, all plants’ wastewater discharges met local regulatory standards, with no violations recorded. Monitored parameters include Biochemical Oxygen Demand (BOD), Suspended Solids (SS), Potential of Hydrogen (pH), and Ammonia Nitrogen (NH₃-N).
In addition, at the Brazil site, due to local infrastructure limitations, domestic water is sourced from groundwater wells, and wastewater is treated before discharge into surface water bodies. Compal has established a cross-departmental oversight system involving operations and sustainability units to ensure compliance with local environmental regulations and internal environmental standards.
Compal will continue to enhance wastewater treatment facility efficiency and evaluate the adoption of water recycling technologies and low-emission design principles to further reduce impacts on water resources and ecosystems.
In alignment with the WASH principles of UN SDG 6, Compal provides safe, clean, affordable, and reliable water and sanitation facilities at all sites, including equipment for clean drinking water, well-ventilated restrooms, accessible handwashing stations, and hand hygiene guidelines. The Taipei headquarters exclusively uses eco-labeled hand soap with biodegradable ingredients, further reducing the potential ecological impact of domestic wastewater.
The Vietnam Plant, located in a high water-risk area, plans to install a rainwater collection system for irrigation and an emergency retention pond to mitigate downstream flood risks from heavy rainfall runoff. Compal has also implemented a reverse osmosis wastewater recovery system at its plants, to reuse water for cooling towers and toilet flushing, thus improving the efficiency of domestic and process water use and advancing WASH goals for water conservation and reuse.
Air Pollution and Perfluorocarbons Control
Compal’s primary air emissions stem from Volatile Organic Compounds (VOCs) generated by organic solvents used in production line cleaning and equipment maintenance, as well as small amounts of tin-containing fumes from the soldering process. Although Compal’s industry is not classified as a high-pollution industry, with limited emissions of Nitrogen Oxides (NOx), Sulfur Oxides (SOx), and other harmful gases, the Company remains committed to environmental responsibility and proactively implements air pollution prevention and reduction measures from the source.
In terms of source control, Compal implements strict controls on organic solvent dispensing to manage usage and minimize unnecessary volatilization. In end-of-pipe treatment, facilities in China and Vietnam are equipped with activated carbon adsorption devices to remove VOCs from exhaust stacks, thereby reducing emission concentrations.
The maintenance department regularly inspects and maintains the exhaust equipment every month to ensure the long-term stable operation of the adsorption device. All facilities comply with local regulations, maintains valid emission permits, and conducts regular air pollutant monitoring to ensure compliance with local environmental authorities' standards.
Compal has progressively implemented systematic VOC emissions inventories and reduction management since 2021. In 2024, emissions data from the Vietnam plants and other sites were included, thus establishing a more comprehensive air pollution management system. The table below summarizes the direct VOC emissions from each plants.
Compal will continue to improve the accuracy and coverage of emissions statistics, with plans to incorporate more overseas locations in the future. This will serve as a crucial basis for setting medium- to long-term VOC reduction targets and performance tracking.
Air Pollution Management Goal
To address tightening global environmental standards and ESG assessment requirements, Compal will continue to set and track VOCs reduction targets. We aim to reduce total VOC emissions across all facilities by 50% by 2030 compared to 2022 (baseline year total: 158.34 tonnes), and adjust reduction strategies based on actual regional conditions:
- Short-Term (2025) Target: Limit total emissions to 118.72 tonnes.
- Mid-Term (2030) Target: Reduce total emissions across all facilities by 50% from 2022 levels, keeping emissions below 79.17 tonnes.
- Management mechanism: Integrate VOC reduction targets into environmental performance metrics for all sites, in alignment with internal energy-saving and carbon reduction plans.
Furthermore, there will be a continuous focus on enhancing the management of greenhouse gases, specifically perfluorocarbons (PFCs), which have a high global warming potential (GWP). Starting from 2025, the plan is to shift the calculation of PFC emissions to a leakage-based method, and the inventory of foundational data will be leveraged to Compal Cloud for Sustainability to improve management precision. Engage qualified maintenance contractors to enhance the recycling rate, while simultaneously launching a project to replace fire suppression systems. The use of extinguishing agents will be directed towards alternatives with lower GWP to mitigate long-term greenhouse gas emission risks.
Waste Management and Source Reduction
With resource depletion and environmental pollution becoming critical global issues, waste management and reduction are central to sustainable development. Waste consumes significant land resources and poses long-term negative impacts on ecosystems and human health. Therefore, while pursuing economic benefits, companies need to focus on the environmental impact of waste generation and actively implement reduction measures. Businesses should consider resource efficiency and waste impact from the source.
Compal recognizes that waste reduction not only mitigates environmental impact but also enhances operational efficiency, reduces disposal costs, and fulfills corporate social responsibility.
By optimizing product design and manufacturing processes and adopting circular economy principles, Compal fosters a “zero waste” culture and implements comprehensive waste management from source to end, to advance toward a sustainable path that balances operations and environmental goals.
Performance Indicators and Target Management
Compal has completed data collection on waste generation and processing at headquarters, R&D units, and major global factories through the "Compal Cloud for Sustainability," establishing a comprehensive data inventory mechanism that encompasses disposal methods such as recycling, incineration, and landfilling. Waste management at each plant is handled by certified environmental service providers who ensure specialized recycling or proper disposal, preventing any unidentified disposal practices. Main manufacturing sites are managed in accordance with the UL 2799 zero waste standard. Kunshan Plant obtained UL 2799 Platinum Level Certification and The Vietnam (CVC and CWV) plants achieved UL 2799 Gold Level Certification in 2024. Additionally, third-party verification also provides evidence of resource recovery and final disposal methods, enhancing the credibility of the data. It gradually supplements detailed data (in metric tons) and proportions for various waste disposal methods, serving as a basis for measuring the effectiveness of promoting a circular economy.
Compal uses waste intensity (tons per million NTD revenue) as its primary management metric, in alignment with UL 2799 zero landfill standards.
2024 waste management overview is as follows:
- General waste disposal: The non-hazardous waste generated during the production process, daily waste from office areas, and materials cleaned and eliminated during facility maintenance total 2,643.8 tons. General waste is disposed of through 52.2% incineration (with energy recovery), 12.8 incineration (without energy recovery), 25.7 landfill and 9.3% composting.
- Hazardous business waste: Primarily from PCB printing scraps, cleaners, waste batteries, waste solvent containers and lamps totaling 900.5 tons, which represented 5.4% of total waste.
- Process hazardous waste: From PCB scraps, metal powder, waste oil, organic solvents, and contaminated waste, totaling 842.3 tons, with 94.11% entering recycling channels, 5.86% incinerated (with energy recovery), and 0.03% landfilled.
All waste is collected for legal disposal by qualified local recyclers, and no environmental violations or fines were imposed against the waste disposal contractors at each plant in 2024.
- Waste intensity successfully decreased from 8.12 to 3.89 t/million revenue.
- Landfill rates are 25.7% for general business waste and 0.03% for hazardous waste, moving toward a "zero landfill" target.
- Compal's internal sorting efforts yielded 25,772 tons of recyclable resources, which were then reused by qualified vendors, thereby effectively reducing the risk of resource misjudgment and waste.
Amount of Waste Generated (tonnes)
Note: To improve resource management and information transparency, the Company reviewed its waste classification approach this year based on the second edition of the “Taiwan Sustainable Taxonomy”. Reuse items previously reported separately are now included under waste recycled/reuse to enhance the accuracy and traceability of environmental management.
Before the inclusion of reuse items, waste recycled/reused totaled 1,895.11 metric tons in 2023 and 1,092.88 metric tons in 2024.
Environmental Expenditure
To protect the environment and undertake social responsibility, we save energy and reduce carbon emissions to relieve the impact of climate changes. In 2024, the Company incurred NT$ 94,875 thousand in total environmental expenses on repairs (excluding regular maintenance) and green products. We have fulfilled our duties as a global citizen, and in doing so we hope to continue bringing real benefits to the environment and continue to actively engage in environmental protection.
