| Material Issue for External Stakeholders |
Sustainable Supply Chain Management and Supply Chain Low-Carbon Transition |
Cybersecurity and Privacy Protection |
| Cause of the Impact |
Supply chain |
Products/Services |
| Business Activity Coverage |
>50% of business activity |
>50% of business activity |
| External Stakeholder(s)/ Impact area(s) Evaluated |
External employees（e.g. supply chain, contractors） |
Consumers/end-users |
| Topic Relevance on External Stakeholders |
Both positive and negative combined.
Impacts on external stakeholders:
- The procurement amount of Chunghwa Telecom is NT$100 billion in 2025, covering over 2,600 suppliers, with sustainable supply chain management being a material issue impacting external stakeholders.
- Chunghwa Telecom enhances suppliers' ESG and carbon management with its Supplier Code of Conduct, ESG assessments, on-site visits, third-party audits, training, and procurement clauses, reducing the supply chain risks.
- The requirements may pose short-term costs for suppliers in system setup, data disclosure, staffing, and decarbonization investments but build long-term sustainability and competitiveness against compliance, customer, and market trends.
Environmental impact and materiality:
- Participating in the CDP Supply Chain program since 2017, Chunghwa Telecom consistently aids suppliers with carbon disclosures and management.
- Promoting green procurement, renewable energy transition, and low-carbon practices, driving partners toward SBTi commitments.
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Both positive and negative combined.
Positive impacts on external stakeholders:
- As Taiwan's top telecom operator, Chunghwa Telecom's cybersecurity and privacy protection directly impact the digital security and trust of consumers/enterprises, and society.
- To mitigate the risks, Chunghwa Telecom strengthens cybersecurity governance, privacy protection, and incident response mechanisms to safeguard user privacy and digital safety.
- Robust defenses reduce data breach and abuse risks, enhance consumer trust, foster a resilient digital society, and create positive social impacts.
Negative impacts on external stakeholders
- Ineffective execution could cause personal data breaches and damage trust in services.
- Improper data collection or unauthorized use may lead to fraud, identity theft, reputational damage, and social resources allocation, severely affecting personal rights and social security
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| Output |
Quantitative output metric/s linked to material issue:
Carbon emission reduced（t-CO2e）
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Quantitative output metric/s linked to material issue:
Number of personal data breach（case）
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| Impact Valuation |
Impact valuation item:
Environmental value lost/ gained
Impact valuation output metrics:
Value obtained from reduce emission in supply chain
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Impact valuation item:
Social cost caused/avoided
Impact valuation output metrics:
Social cost avoided by privacy protection measures |
| Impact Metric |
Quantitative impact metric linked to material issue:
Environmental costs of carbon（NT$）
Description:
- To assess the influence of Chunghwa Telecom on the supply chain carbon management, we use Environmental value lost/gained as the metric to calculate the environmental value change arising from the carbon reduction of the supply chain.
- With that as the basis, Chunghwa Telecom assisted suppliers in reducing GHG emissions of accumulative 34.52 million t-CO₂e in the supply chain through the CDP supply chain carbon management mechanism in 2025, which is equivalent to avoiding approximately NT$7.259 billion of environmental costs (CDP data disclosure: USD 230 million).
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Quantitative impact metric linked to material issue:
Social costs avoided（NT$）
Description:
- Using Chunghwa Telecom "Cyber Threat Gatekeeper" as an example, over 6 billion malicious connections effectively blocked for consumers (including C&C servers, phishing scams, phishing websites, etc.), with an average of approximately 500 million blocks per month, in 2025.
- According to the statistics of the "Anti-Fraud Dashboard" from the National Police Agency, there were totally 176,242 fraud cases in Taiwan in 2025, with the amount loss totaled NT$89.3 billion and an average loss of approximately NT$507,000 per case.
- Chunghwa Telecom "Cyber Threat Gatekeeper" prevents fraudulent messages and SMSs, accounted for 0.001% of all blocked attempts.
- It contributes to an estimated annual social cost savings of NT$30.42 billion (6 billion counts) × (NT $507,000) × 0.001%.
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