Corporate Governance

Policy Influence

Issue Date:2023/06/29

Public Policy Influence

Chunghwa Telecom allocated approximately NT$620 million in public policy engagement in 2022, including participation in associations locally and abroad, supports to the government in promoting universal service and infrastructure, and development of forward-looking industries, supporting the public interests with action. As such, it aims to promote industrial initiatives that are more comprehensive and public policies that benefit the broader society with its social influence put to good use.

According to Article 8 and Article 9 of the "Procedures for Ethical Management and Guidelines for Conduct for Chunghwa Telecom Co., Ltd.," the company is prohibited from making political donations and from providing or promising any facilitation fees. Therefore, we have not engaged in any lobbying activities related to climate change issues.

Public Policy Contributions

Unit: NTD

Item 2019 2020 2021 2022
Involvement in local public policies 478,300,869 473,142,821 495,103,764 540,737,211
Industrial chambers, associations, academic societies, and other tax-exempt groups 54,540,669 55,571,099 75,498,737 77,171,484
Total 532,841,538 528,713,920 570,602,501 617,908,695
Public Issue(1)
Public Issue Universal network construction and bridging the digital divide
Engagement Position Bridging the urban-rural digital divide; promotion for information equality
  • Regular engagements between Chunghwa Telecom and the local governments of 368 village/township/district across 22 counties/cities in Taiwan for an effective base station/network construction
  • Hundreds of millions NT Dollars invested annually in support of the universal network construction in rural areas and installation of equipment to bridge the digital divide
Annual Contribution NT$510,757,972
 
Public Issue(2)
Public Issue Innovative applications of 5G and the digital industry
Engagement Position Support and sponsorship to ICT industrial innovation forums in big data, AI, 5G, etc
  • Long-term engagement with the industry, government, and academia to support and sponsor ICT industrial innovation forums and events related to big data, AI, 5G, etc.
  • Establishment of exchange platforms for stakeholders in the industry, government, and academia to share relevant knowledge and experiences so as to accelerate the process of the smart state development
Annual Contribution NT$13,358,572
公共議題(二)

Public Policy Influence Expenditure

We have been involved with nearly 100 associations and organizations. Through the exchanges and collaboration among peers in and across the industry, we endeavor to elevate Chunghwa Telecom’s technical competence and utilize our social impact to drive the development of the whole industrial chain. The table below is the associations Chunghwa Telecom participates in.

Association Description Contribution and Membership Fee(Unit: ten thousand)
Taiwan Telecommunication Industry Development Association(TTIDA) Through the platform of TTIDA, we jointly care for the development telecom industry in Taiwan as well as facilitate peer communication, exchange, and the healthy connection of the industry as a whole. 801.4
GSMA Groupe Special Mobile Association(GSMA) We exchange with the mobile communication operators of software and hardware in the world to stay abreast with the pulse of the global mobile communication ecosystem and jointly facilitate the thriving development of industrial chain of the whole mobile communication service. 488.4
TYCCL Chunghwa Telecom supports the TYCCL's efforts to promote the development of digital cultural and creative industries for young people, and jointly explores the relationship between national security and network information security and strategic plans, and further provides relevant government agencies with information security and basic network information. References to policies such as cyber information warfare. 300
Taiwan Electrical and Electronics Manufacturers Association (TEEMA) As the largest industry association in Taiwan, it is an important bridge between the government and the industry, domestic industry and foreign industry. 450
Information and Communication Industry Alliance (hosted by TEEMA) It is an organization focused on the information and communication industry under the TEEMA organization, and it is an important platform for domestic information and communication industry exchanges. We have been involved for a long time, serving as the group convener of the meeting and promoting related activities. 300
Pacific Telecommunications Council Through participation of the annual meeting, committees, thematic initiatives, member enterprises interact and exchange with each other regarding the industrial trends, business strategies, technical development, laws and regulations, etc. on the platform for relationship and alliance building among the peers. 44.1
Taiwan Communications Society(TCS) TCS serves as the policy communication platform for the industry, government, and academia to improve the cross-sectoral interactions in telecom, radio, and television services so as to reduce the impacts and costs in transformation and facilitate the future advancement of the communications policies in Taiwan. 28
Taiwan Business Council for Sustainable Development(BCSD- Taiwan) With the joint efforts of member businesses, we advocate and promote environmental protection and resource management and bridge the international trends and practices in sustainable development for the purpose of corporate’s sustainable development. 12
Corporate legal person China Smart Transportation Association Communicate with members of the domestic industry, master domestic and foreign ITS intelligent transportation and other related fields of market and business opportunities information。 20

Involvement and Initiatives of Climate-related Associations

We keep tabs on the international trend of carbon reduction and net zero. Regarding the climate change topics, we ensure that the positions and statements of CHT on the climate-related public policies are aligned with the Paris Agreement, aiming to achieve Net Zero Emissions and mobilize partners in the upstream and downstream partners to collectively realize the 1.5°C goal specified in the Paris Agreement.

External Engagement Management Mechanism on Climate Change Mechanisms and Responsibilities
  • Establish and introduce climate-related association management systems and governance frameworks.
  • The senior management also has a clear accountability system for the involvement in climate-related associations.
Reviewing and monitoring process to assess whether public policy engagements is aligned with the Paris Agreement
  • The review and monitoring process is in place to assess whether the climate-related associations involved are aligned with the goals of the Paris Agreement.
  • In the event of inconsistency of the climate-related positions and activities of the associations involved with the positions of the Company, we have established a clear framework management mechanism and regularly report the climate policy stances and activities of the associations to the senior management of the Company.

Note: External engagement includes policy participation and association involvement.

Pursuant to Article 8 and Article 9 of Chunghwa Telecom Procedures for Ethical Management and Guidelines for Conduct, the Company shall neither provide nor promise any facilitating payment. Hence, there have been no relevant or climate-related lobbying activities.

Climate Initiatives CHT Responded
Initiative Description
Net-zero Commitments
  • 2040:RE100
  • 2050:Net Zero Emissions
RE100 Initiative
  • officially joined RE100 in 2023
SBT Target
  • Scope1+2: 50% carbon reduction by 2030 compared to 2020 levels
  • cope3: 50% reduction by 2030 compared to 2020 levels
TCFD
  • First telecom operator in the world to pass the “conformity check for the TCFD Recommendations on climate-related financial disclosure” in 2020
  • Level 5, the highest level, attained in 2022-2022: Excellence
Net Zero Supply Chain
  • 35 critical suppliers invited to sign the “Chunghwa Telecom Letter of Commitment to Net Zero Emissions” in 2022
  • 50% carbon reduction by 2030 (compared to 2020); net-zero emissions by 2050
Climate-related Associations CHT Involved
Association Role of CHT Description
Taiwan Business Council for Sustainable Development(BCSD- Taiwan) Director
  • Business Council for Sustainable Development of the Republic of China (BCSD Taiwan)
  • Serving as the sustainable development bridge between Taiwan and the international community, we advocate and promote environmental protection, climate change mitigation and adaptation, and resource management for the purpose of corporate’s sustainable development.
Taiwan Center for Corporate Sustainability Corporate Member
  • The Taiwan Center for Corporate Sustainability was founded with the missions to exercise corporate social responsibility, promote corporate sustainable development, and integrate industrial management to give birth to benchmark enterprises, facilitate the social core, and pass on the sustainability undertaking.
  • As a Corporate Member of TCCS, we gain access to the latest ESG information and related event information from time to time to strengthen the sustainable actions (including climate change/carbon management) and development of CHT.
Chinese Water Resources Management Society Regular member
  • Benefits in government projects and tenders and establishment of industrial-academic collaboration channels

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