Sustainable Governance

Sustainable Development Vision

Issue Date:2023/06/29

Sustainability Vision & Strategies

After the official privatization in 2005, Chunghwa Telecom taps into the core business competencies in line with the ICT development and the challenge of rapid changes in the environmental and social issues. With “Pilot Smart Living; Facilitate Sustainable Development” as its vision, it allocates six capitals into five focused areas of sustainability to elevate the corporate operation and service performance; facilitate the momentum for industrial transformation toward sustainability with improvement of values for shareholders and corporate sustainability; and boost the competitiveness of the ICT industry in Taiwan to guide the broader society to a digital life of sustainability!

5 Sustainability Pillars
6 Sustainability Capitals

Sustainability Taxonomy

Chunghwa Telecom voluntarily reviews and discloses the operating revenue, capital expenditure, and costs and expenses eligible or aligned to the "forward-looking economic activities" in accordance with the "Guidelines for the Determining Sustainable Economic Activities" promulgated by the Financial Supervisory Commission(FSC), Republic of China(Taiwan) in 2022.

The term "forward-looking economic activities" in the guidelines refers to the production of goods for the purpose of environmental friendliness, the provision of advanced and carbon-reducing technologies, or activities that promote low-carbon or carbon reduction effects. Such activities can be directly considered as making a substantial contribution to "climate change mitigation." If these forward-looking economic activities do not cause significant harm to other environmental objectives and social security at the same time, they can be classified as sustainable economic activities.

Since the Guidelines only applies to certain industries and is not intended for the comprehensive telecommunications industry in which Chunghwa Telecom operates, should there be economic activities undisclosed, it does not entail that the other economic activities of CHT are not sustainable activities.

Categories of Chunghwa Telecom Sustainable Economic Activities (Activity-Level Breakdown of Mapping)
General Economic Activities Description
1 Manufacturing: Cement production; Glass production Not applicable as it does not include the comprehensive telecommunications industry owned by Chunghwa Telecom.
2 Building Construction and Real Estate
3 Transportation and Storage

Forward-Looking Economic Activities Description CHT Sustainable Economic Activities
1 Renewable energy installation Including solar photovoltaics, wind power generation, geothermal power generation, wave and tidal power generation, biomass energy, etc., encompassing power generation, equipment manufacturing, recycling, and technological research and development.
  • Solar Energy and Energy Storage
  • Procurement of Renewable Energy
2 R&D and system installation of smart grid and energy storage technologies
  1. Enhancement of overall power supply quality, flexibility of power systems, and related technologies and systems for the security of distributed power grids
  2. Research and development of technology in areas such as battery cell materials, as well as the integration and installation of related components and energy management systems
  • Solar Energy and Energy Storage
3 Manufacturing of high-energy-efficiency equipment and applications of high-energy-efficiency technology Manufacturing high-efficiency equipment and its components, or providing energy-saving technology improvement services. Promoting the installation and adoption of high-efficiency equipment, systems, process technologies, and energy management systems.
  • EOC Energy Central Monitoring Center
  • Earth Sustainable Development System
4 Applications of low-carbon transportation technology Manufacturing, procurement, usage, maintenance, and servicing of low-carbon transport vehicles, fleets, and vessels.
  • Electric corporate vehicle procurement
5 Use of rail transportation infrastructure Railways, subways, metros, bridges, tunnels, stations, ports, railway service facilities, development of safety and traffic management systems, modernization, operation, and maintenance, including architectural services, engineering services, drafting services, building inspection services, and surveying services, etc.
  • Smart transportation
  • Smart security
6 Provision of professional services on building energy efficiency We provide professional services related to building energy efficiency, such as technical consultation on improving the energy performance of buildings (energy consulting, energy simulation, assisting with energy-saving contracts), as well as building performance assessments, energy management services, and Energy Service Companies (ESCOs) specializing in energy technology services.
  • iEN Smart Energy Efficiency
  • Smart buildings
7 Applications of other low-carbon and circular economy technologies This technology, certified or verified by third parties, can significantly reduce greenhouse gas emissions compared to other existing alternative technologies or products. Its applications include carbon sequestration and zero waste resource cycling.
  • MOD products
  • IDC data center
  • IP-based Public Switched Telephone Network (PSTN)
  • 5G Centralized Radio Access Network (C-RAN)
  • IoT mega-platform
  • Decommissioning of 3G equipment
  • IOWN(Innovative Optical & Wireless Network)next-generation optical communication
8 Equipment or system installation, technology development, and professional services for water conservation, water resources recycling, or development of new water sources Water conservation and the development of advanced technologies for water recycling and reuse, as well as the establishment of equipment or systems for emerging water sources such as recycled water, reclaimed water, and desalinated water; provision of professional services related to water resource conservation, including consultation, performance evaluation, water resource management services, and water resource technology expertise (WASCO), etc.
  • iEN Smart Energy Efficiency

CHT Sustainable Economic Activities in 2022 (Aggregate Mapping)

Unit: Thousand NTD

Operating Revenue Capital Expenditure Costs and Expenses
Total amount of all economic activities 182,254,339 29,630,706 138,964,876
Amount in line with sustainability* 16,892,129 6,298,831 17,164,062
Amount NOT in line with sustainability 165,362,210 23,331,875 121,800,814
Percentage in line with the sustainability taxonomy guidelines (%) 9% 21% 12%

*Note: Amount in line with sustainability is the amount of the forward-looking economic activities to Guidelines for the Determining of Sustainable Economic Activities.