| Material Issue for External Stakeholders |
Sustainable supply chain management:
Assisting suppliers to stay abreast of ESG trends, building a sustainable, low-carbon supply chain |
Cybersecurity and privacy protection:
Strengthening cybersecurity mechanisms to help protect consumers from privacy breach |
| 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.
Positive impacts on external stakeholders:
-
The procurement amount of CHT is NT$80 billion in 2024, covering over 1,000 suppliers, which are the key partners to CHT.
-
The "sustainable supply chain management" was promoted for the supply chain, guiding ESG management capability improvement and reducing potential ESG risks via ESG evaluation system implementation.
- Environmental sustainability-themed training and forums were regularly organized to promote low-carbon practices like green procurement and renewable energy transition. It will enhance overall supply chain resilience and mitigate negative impacts of climate change in the long run.
Environmental impact and materiality:
-
Joined the CDP Supply Chain Program since 2021, actively connecting with supply chain partners to achieve net-zero targets.
- Assisted over 100 suppliers with carbon emissions disclosure and guided in formulating carbon management actions in 2024, jointly realizing the reduction and net-zero commitments to SBTi.
|
Both positive and negative combined.
Positive impacts on external stakeholders:
-
CHT, the largest telecom service provider in Taiwan, values customers’ personal data and privacy protection. Cybersecurity assessments are conducted regularly, including vulnerability scans, penetration tests, and red team exercises. In 2024, CHT completed a third-party conformity check for its "Privacy Policy," with certifications such as CNS 29100 for de-identification and the transfer to ISO/IEC 27001:2022 obtained.
-
Effective personal data and privacy protection helps prevent misuse or breach, fostering greater public trust and convenience in accessing services like online shopping and social media platforms, thereby creating positive benefits.
Negative impacts on external stakeholders
-
Insufficient protection of personal data and privacy will increase the risk of data breaches, leading to abuse by perpetrators, which result in damage to societal and personal, such as identity theft, scams, and damages to personal reputation.
|
| Output |
Quantitative output metric/s linked to material issue:
Carbon emission reduced（t-CO2e）
|
Quantitative output metric/s linked to material issue:
Number of personal data breach（case）
|
| Impact Valuation |
Impact valuation item:
Environmental value lost/ gained
Impact valuation output metrics:
Value obtained from reduce emission in supply chain
|
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, CHT assisted suppliers in reducing GHG emissions of accumulative 450,600 t-CO2e in the supply chain through the CDP supply chain carbon management mechanism in 2024, which is equivalent to avoiding approximately NT$74.4 billion of environmental costs.
|
Quantitative impact metric linked to material issue:
Social costs avoided（NT$）
Description:
-
Using CHT "Cyber Threat Gatekeeper" as an example, over 4.8 billion malicious connections effectively blocked for consumers (including C&C servers, phishing scams, phishing websites, etc.), with an average of approximately 400 million blocks per month, in 2024.
-
According to the statistics of the National Police Agency in Taiwan in 2024, there were totally 93,379 spam SMS cases in Taiwan from August to December 2024, with the amount loss of victims totaled NT$62.9 billion (an average of approximately NT$674,000 per cases).
- CHT "Cyber Threat Gatekeeper" prevents scams and phishing websites accounted for 0.001% of all blocked attempts.
-
Social costs saved annually: NT$32.35 billion (4.8 billion counts) × (NT $674,000) × 0.001%
|
