Value Chain Emissions Management

Environmental Sustainability Act on Climate Change

Carbon Reduction Commitments and Policies

Under its green management strategy, AUO endeavors to reduce its greenhouse gas emissions. All its factories worldwide passed the ISO 14064 verification every year. The Company insists on information transparency with regard to its value chain and creates value in a low-carbon way.

Innovative Low-carbon Production	Greater Energy Efficiency	Promote Renewable Energy
F-GHG volume reduction Ecological benefits indicator management	Energy conservation efficacy verification Smart energy monitoring and control	Power from renewable energy Green certifications
Achievement Reduce the emission of high GWP fluorinated greenhouse gases (F-GHG) with an efficacy of more than 90%. The indicator of GHG emissions per input sheet substrate area keeps falling, by more than 55% over the past decade	Achievement Each year 500 energy management action plans create an energy saving rate as high as 1.95% (2018).	Achievement The photovoltaic power generation system on the factory rooftops have a total installed capacity of 42MW The first panel maker in Taiwan to obtain a renewable energy certificate.

Innovative Low-carbon Production

Greater Energy Efficiency

Promote Renewable Energy

F-GHG volume reduction
Ecological benefits indicator management

Energy conservation efficacy verification
Smart energy monitoring and control

Power from renewable energy
Green certifications

Achievement

Reduce the emission of high GWP fluorinated greenhouse gases (F-GHG) with an efficacy of more than 90%.
The indicator of GHG emissions per input sheet substrate area keeps falling, by more than 55% over the past decade

Achievement

Each year 500 energy management action plans create an energy saving rate as high as 1.95% (2018).

Achievement

The photovoltaic power generation system on the factory rooftops have a total installed capacity of 42MW
The first panel maker in Taiwan to obtain a renewable energy certificate.

Innovative Low-carbon Production

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Innovative Low-carbon Production

F-GHG volume reduction
Ecological benefits indicator management

Achievement

Full implementation of F-GHG management (scope1)

Reduction of fluorine-based gas emissions(F-GHG), with high greenhouse gas emission potential in the process, reaching destruction removal efficiency over 90%

2004

Signed a memorandum with the Environmental Protection Agency to reduce F-GHG emissions by installing destruction removal facility: Local Scrubber (L / S) for new fabs.

2010

Voluntary commitment to install destruction removal facility: Local Scrubber (L / S) for all existing fabs.

2014

All factories have installed L / S
The installation rate is 100%

2019

Improve the performance of L/S
Assist customers to meet the highest standards of EPEAT

Accumulated reductions and Emissions per unit area in PFCs

The GHG emission per area has been continuously decreasing, reducing over 55% in the last 10 years

Greater Energy Efficiency

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Greater Energy Efficiency

Energy efficiency improvement
Smart energy monitoring
Energy-saving performance verification

Achievement

Continuous improvement of energy management (Scope2)

More than 500 energy management programs every year, exceeding the target annual energy-saving rate 1.5%.

AUO energy-saving effectiveness over the years

The power saving plans including actual investment and management actions contributed power saving rate over 1.5%.

Energy-saving from Management Improvement Projects (ten thousand kWh)

Energy-saving from Investment Projects (ten thousand kWh)

Promote Renewable Energy

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Promote Renewable Energy

Power from renewable energy
Green certifications

Rooftop Solar Power Plants in Taiwan factories

The installations of the solar power plants in all sites in Taiwan achieved a total installed capacity of nearly 42 MW.
The first TFT-LCD manufacturing company in Taiwan to obtain renewable energy certificates, with a total of 224 T-REC certificates.

Total installation

42 MW

Area

18.5 hectares

25.8 football fields

Power generation

146,650 kWh / day

Electricity supply

14,665 households / day

GHG Reduction

28,248 tones CO₂e / Year

72.6 CO₂ absorption of Daan Forest Park in one year

Scope 3 GHG emission

Historical GHG Emission

Scope 1

0.32

0.26

0.31

0.34

Million tones CO₂e

Scope 2

3.25

3.04

2.73

2.47

2.49

Million tones CO₂e

Scope 3

8.25

1.73

1.63

1.27

0.21

Million tones CO₂e

Purchased goods and services: Voluntary inventory management has been conducted since 2016. Key materials identified include glass substrate, liquid crystal, photoresist, developer, etchant, stripper and thinner. Green manufacturing is also used to reduce carbon emissions and environmental impact. Total emissions for 2018 were approximately 362,028 tonnes CO₂e in total.

362,028 tones CO₂e

287,987 tones CO₂e

121,639 tones CO₂e

no plans to quantify

no plans to quantify
Capital goods
Fuel and energy related activities (not included in Scope 1 or Scope 2): In 2008, AUO launched the green logistics plan to reduce carbon emissions from distribution activities through local purchasing, recycling of packaging materials, increasing load-factors and intermodal transport. Inventory scope was increased in 2018 to quantify carbon emissions from the transport of key materials. Total emissions were estimated to be 3,717 tonnes CO₂e based on weight, mode of transport, distance and other parameters.

608 tones CO₂e

648 tones CO₂e

520 tones CO₂e

549 tones CO₂e

514 tones CO₂e
Upstream transportation and distribution: In 2008, AUO launched the green logistics plan to reduce carbon emissions from distribution activities through local purchasing, recycling of packaging materials, increasing load-factors and intermodal transport. Inventory scope was increased in 2018 to quantify carbon emissions from the transport of key materials. Total emissions were estimated to be 3,717 tonnes CO₂e based on weight, mode of transport, distance and other parameters.

3,717 tones CO₂e

3,340 tones CO₂e

no plans to quantify

no plans to quantify

no plans to quantify
Waste generated in operations: The tracking of GHG emission intensity data for waste disposal and waste contractors commenced in 2011. Carbon emissions were calculated using the actual amount of waste removed and processed each year along with reasonable coefficients based on experience. The types of waste surveyed include sludge, organic solvents, waste glass, waste acid liquids, waste dust, empty barrels and scrap metals. Carbon emissions from waste disposal totaled approximately 12,042 tonnes CO₂e in 2018 and accounted for more than 83% of all waste in Taiwan.

12,042 tones CO₂e

2,943 tones CO₂e

21,973 tones CO₂e

25,089 tones CO₂e

32,468 tones CO₂e
Business travel: Management commenced in 2010 with the aviation carbon emission calculator developed by ICAO used to calculate employees' air miles and carbon footprint.Total emissions were approximately 756 tonnes CO₂e in 2018.

756 tones CO₂e

614 tones CO₂e

1,047 tones CO₂e

1,732 tones CO₂e

1,796 tones CO₂e
Employee commuting: The tracking of carbon emissions generated by employees at Taiwan sites when commuting to and from work started in 2014. Average employee commute distance and the carbon emissions they generated were calculated using the latest statistics issued by the MOTC. Carbon emissions totaled approximately 20,207 tonnes CO₂e in 2018; this included cars and motorcycles.

20,207 tones CO₂e

21,154 tones CO₂e

19,387 tones CO₂e

15,850 tones CO₂e

19,438 tones CO₂e
Upstream leased assets
Investments: AUO began disclosing the carbon emissions of key subsidiaries in 2015. Total emissions in 2018 were estimated to be 143,411 tonnes CO₂e. Magnifying Glass: Please refer to section 3.4 Subsidiary Overview in this report.

143,411 tones CO₂e

188,181 tones CO₂e

203,220 tones CO₂e

321,451 tones CO₂e

163,529 tones CO₂e
Downstream transportation and distribution: Carbon inventory for downstream product transportation and distribution was included for the first time in 2018. Just like upstream transportation and distribution, calculations are based on product weight per trip, mode of transport, distance and other parameters. Scope of calculation includes product carbon emissions when transported by road from the factory to the port or airport as well as the carbon emissions for transport by sea or air to the destination port or airport. Total emissions were estimated to be 69,525 tonnes CO₂e.

69,525 tones CO₂e

no plans to quantify

no plans to quantify

no plans to quantify

no plans to quantify
Processing of sold products
Use of sold products: AUO began calculating the carbon emission of panels during the user phase. This included key products such as televisions, mobile phones and notebook monitors. The calculations were based on the power-rating of each product and usage scenarios while in service. Total emissions were estimated to be 7,641,475 tonnes CO₂e in 2018.

7,641,475 tones CO₂e

1,225,409 tones CO₂e

1,269,392 tones CO₂e

906,133 tones CO₂e

no plans to quantify
End-of-life treatment of sold products: Introduced green product designs to provide customers with recyclable solutions

no plans to quantify
Downstream leased assets: Leased premises of subsidiaries

no plans to quantify
Franchises

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