Getac Holdings Corporation

Getac Holdings, in pursuit of corporate sustainability, is dedicated to addressing climate change risks and opportunities. Climate change is integrated into our critical issues and key risk items for analysis and management, and we continuously promote low-carbon transformation and climate adaptation.

The Board of Directors serves as the highest authority for risk management within the company. It adheres to legal requirements, operational strategies, and the overall business environment. The Board approves the company's risk management policies, reviews and supervises the implementation of risk management practices, and holds ultimate responsibility for risk management.

Under the Sustainability Committee, the Climate Change Risk Team is responsible for managing climate-related risks and promoting climate change risk management. They provide their findings to the Risk Management Team, which integrates them into the annual corporate risk management execution. General Managers/Operations Managers of each subsidiary and unit heads are responsible for assessing and monitoring relevant risks within their units. They establish preventive and responsive measures for these risks and ensure their implementation.

In 2022, Getac Holdings, along with its subsidiaries Getac Technology, Atemitech Corp., and Getac Kunshan, began implementing the TCFD Climate-related Financial Disclosure Framework to better identify risks and establish response mechanisms. We have also officially signed on as a supporter of TCFD, continuously enhancing the transparency of our climate-related risk and opportunity disclosures. Six key subsidiaries in China and Vietnam are also expected to adopt this framework by 2026, ensuring comprehensive identification and response measures for climate risks. This strategic approach allows us to develop future environmental action plans from a broader perspective, aligning more closely with the United Nations' 2050 net-zero emission goals, and gradually creating a cleaner, better world through sustainability, ensuring a longer and farther journey together.

The Climate Change Risk Team analyzes international and industry trends, along with internal operational conditions, to compile reports on climate-related risks and opportunities. They identify relevant risks and opportunities for Getac Group, followed by convening the "Climate Change Risk and Opportunity Identification and Evaluation Meeting." This meeting includes senior executives or representatives from each subsidiary, who identify and assess climate change risks/opportunities and propose response measures based on the risk and opportunity list.

The team identifies potential challenges and opportunities and conducts climate change scenario analysis. They refer to domestic and international climate-related reports and consider internal operational conditions to evaluate the "impact severity" and "probability of occurrence" of risks/opportunities over different time frames. The results are used to create a risk/opportunity matrix. Based on the risk assessment results, Advantech develops response plans, evaluates financial risks and impacts, and monitors and communicates externally on a regular basis.
 

The company's Climate Change Risk Committee convened a meeting on Climate Change Risk and Opportunity Identification, integrating TCFD risk scenario analysis with company operations. They assessed significance based on "impact severity" and "likelihood of occurrence," categorizing risks by timeframes: short-term (by 2025), medium-term (2026-2030), and long-term (2031-2050). The scope covered four subsidiaries: Getac Holdings, Getac Technology, Atemitech Corp., and Getac Kunshan.

In 2023, they identified six major climate-related risks, including five transition risks: "Government imposition of corporate carbon fees," "Product efficiency regulations and standards," "Carbon tariffs," "Demand for low-carbon products/new technology investments," and “Shift in customer behavior." Additionally, they identified one immediate physical risk: "Extreme temperature changes." They also analyzed potential opportunities, including "Utilize more efficient production and distribution processes," "Adopting more efficient transportation methods," and "Developing or increasing low-carbon goods and services.

Major Climate Risks and Opportunities in 2023
 

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Climate Scenario Resilience Assessment
 

We have set hypothetical scenarios to understand climate change impacts on our company, focusing on transition and physical risks, and climate opportunities as per the TCFD framework. We analyzed the Worst-case Scenario to assess our resilience and adaptability to climate-related disasters and natural hazards. These scenario analyses are vital for our strategy, risk management, and evaluating corporate resilience under varying external conditions.


 

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Financial Impact Assessment
 

Getac conducted a financial impact assessment for identified climate risks and opportunities in 2023, projecting their effects on the company until 2050 based on climate scenario assumptions. This assessment covers Getac Holdings, Getac Technology, Atemitech Corp., and Getac Kunshan. Detailed assessment results are as follows:




Climate risk and opportunity financial impacts presented over short, medium, and long terms are as follows:

•  Short term: Risk exposure represents approximately 1.27% of average revenue.
• Medium term: Risk exposure represents approximately 1.04% of average revenue.
•  Long term: Risk exposure represents approximately 0.5% of average revenue.

 

 

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Climate-related Metrics and Targets
 

To mitigate climate change risks, our company has established "reducing absolute greenhouse gas emissions and greenhouse gas intensity" as key climate-related indicators and goals. Using the year when all major subsidiaries completed greenhouse gas inventories and verifications as the baseline (2021), we have set short- and medium-term targets for reducing greenhouse gas emissions.

In the short term, our goal is to annually decrease greenhouse gas intensity per unit of revenue. For 2024, we aim to achieve a 24.4% reduction in greenhouse gas intensity compared to the baseline year. In the medium term, our target is to reduce total greenhouse gas emissions by 20% compared to the baseline year. These goals are part of our commitment to addressing climate change through proactive management and targeted emission reduction strategies.

 

Getac Holdings (Consolidated) GHG Emission Metrics & Targets
Short term (2024) Target	Greenhouse gas emission intensity (Scope 1 and 2) decreased by 24.4% compared to the base year (2021).
Mid Term (2030) Target	Total greenhouse gas emissions (Scope 1 and 2) decreased by 20% compared to the base year (2021).

 

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Climate mitigation and adaptation measures

 

In 2023, Getac Holdings (consolidated) reported third-party verified greenhouse gas emissions totaling 340,417.682 metric tons of CO2 equivalent. Scope 1 and Scope 2 emissions amounted to 107,182.322 metric tons, with major emissions from purchased electricity and steam in Scope 2, accounting for approximately 28% of total emissions, while Scope 1 accounted for only about 4%. The company integrates climate issues into daily operations and business processes, developing energy-saving and carbon reduction plans that include optimizing process technologies, upgrading equipment, implementing smart control systems, improving equipment efficiency and operation, and recycling energy. Regular reviews of reduction targets and performance tracking are conducted. Details of the energy-saving and carbon reduction projects.

Scope 3 greenhouse gas emissions totaled 233,235.361 metric tons, accounting for 69% of total emissions. The primary emission categories in Scope 3 were procurement of goods and services, representing 64% of the total. Proactively collaborating with the value chain, we initiated projects such as product carbon footprint assessments and zero landfill waste guidance. Through technological innovation, we reduce material use, develop low-carbon products, and increase the use of recycled materials.

Getac Holdings aims to manage and annually reduce energy intensity and greenhouse gas intensity per million USD of revenue. In 2023, the consolidated Scope 1 and Scope 2 greenhouse gas intensity decreased to 95.974 metric tons of CO2 equivalent per million USD, a 2.2% reduction compared to the previous year and a 24% reduction compared to the base year (2021), reflecting improved energy efficiency. Detailed greenhouse gas emission trends over the past three years for Getac Holdings, please refer to the greenhouse gas emissions data of each subsidiary. 


 

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Energy Resource Management

 

Getac Holding’s major product lines have different levels of electricity consumption. The assembly lines for computer systems have low energy consumption, while plastic injection molding and metal die-casting processes have high energy consumption. In terms of energy type distribution, "electricity, heating, cooling, and steam purchased and consumed" accounted for 75.5% of the total energy consumption in 2023, mainly comprising externally purchased electricity and steam. "Non-renewable fuels" accounted for 24.5%, including diesel, petroleum, liquefied petroleum gas (LPG), and natural gas. Generators, forklifts, boilers, and company vehicles use diesel for power generation, while some company vehicles and lawnmowers use gasoline. Liquefied petroleum gas is used for cooking in kitchens, and natural gas is used for furnaces. The company currently does not generate electricity itself, purchase other electricity from partner manufacturers, use renewable fuels, or produce and sell electricity, heating, cooling, and steam. Getac Holding aims to reduce energy intensity year by year as its energy management goal. In 2023, the total energy consumption was 776,137.395 gigajoules, and the energy intensity was 694.974 gigajoules per million USD, maintaining a year-by-year decrease, which is a 16.7% reduction compared to the base year (2021).


 

Since 2020, Getac Holdings has successfully implemented the ISO50001 Energy Management System in five subsidiaries, verified externally. These include Getac Technology Xizhi Plant, Getac Kunshan, MPT Kunshan, MPT Suzhou, and Getac Changshu and its branch. In 2023, Getac Holdings (consolidated) recorded a total energy consumption of 776,137.39 GJ, marking a 13.4% reduction compared to the baseline year of 2021, which saw a decrease of 120,284 GJ. Despite a 7.1% increase in revenue, energy intensity continued to decrease annually, down by 16.7% from the baseline year. This reflects improved energy efficiency and effective control of greenhouse gas emissions.
Throughout the year, Getac Holdings (consolidated) invested NT$34.39 million in implementing 35 energy conservation and carbon reduction projects. These initiatives collectively saved 3,247 MWh of purchased electricity, 244 metric tons of steam, 80,584 cubic meters of natural gas, and 1,440 metric tons of water, equivalent to saving 3,418 GJ of energy. The carbon reduction benefits amounted to 2,412 metric tons of CO2 equivalent, contributing to savings of NT$6.46 million in energy costs. Detailed information can be found on page 114 of this report.