Mega Holdings

To continuously promote low-carbon and sustainable operation and fulfill its corporate social responsibility, the Company has taken measures for energy conservation and carbon reduction to reduce the impact of the operation on the environment. The Company also established long-term energy conservation and carbon emissions reduction targets for the Group to reduce fuel usage, externally purchased electrical power, water usage, and greenhouse gas emissions by 5% before 2022 from the baseline year of 2017 in order to reduce the impact of operations and services on the environment. The Group also continues to optimize and review the impact of operations and services on the environment in accordance with international certification and evaluations.

In addition to the environmental management framework, the Group has set environmental policies and goals to achieve energy conservation and carbon reduction. With regard to financial services, we also used investments in green bonds, digital accounts, electronic statements, and other green finance services to reduce total externally purchased electrical power of the Group by 1.39% in 2019 compared to the previous year.

1. ISO 14001 Environmental Management System: The System was first introduced in the Mega Chi-Lin Building of MICB in 2017. Certification was completed in 2018 and 2019 and will be continued in 2020.

2. ISO 14064-1 Greenhouse Gas Inventory: Since 2016, 5 office buildings of the Group have obtained ISO 14064-1 greenhouse gas inventory certification statements. The boundaries of the inventory have been expanded each year. 139 locations in northern Taiwan have obtained the inventory certification by 2019 and the inventory for all locations of the Group is expected to be completed before 2021. The Group's total greenhouse gas emissions in 2019 was reduced by 1.66% from 2018 which met the target for reducing annual carbon emissions by 1%.

3. The Group continues to respond to the CDP Climate Change Questionnaire to review and manage the impact of climate change on operations. We also adds the identification of risks and opportunities under the TCFD framework.

To help promote the renewable energy development policy, the Group completed the first renewable energy certificate transaction in 2019. As of the end of 2019, it has obtained 146 renewable energy certificates, equivalent to approximately 146,000 kWh of renewable electricity. The Group plans to continue and enhance green operation and sets a goal for purchasing 394 certificates in 2020, equivalent to approximately 394,000 kWh of renewable electricity.