• Energy Conservation and GHG Emissions Reduction Strategy 

The Company proposed the GHG emission management policies and targets to endeavor to mitigate the environmental impact posed by the production process, e.g. utilization of production value chain integration to improve the energy efficiency, replacement of old equipment with new one and improvement of production process to reduce waste of resources, and improvement of GHG emission to create the value of energy conservation and carbon reduction.              (Unit: Ton CO2e)

1. GHG: Scope 1 and Scope 2 cover the information about all factories and subsidiaries. Scope 3 covers the Company’s information. The type of the Company’s GHG emission is CO2. Scope 1 refers to the direct emission of various factory premises, from the sources including petrol used by company cars, and the production process. Scope 2 refers to the indirect emission from power purchased from other sources. Scope 3 refers to other indirect emissions from the sources such as transportation of products. Due to the adjustment of the factory’s product variety, production increased and electricity consumption increased. The total GHG emissions was 15,631 tons CO2e, including the indirect emissions accounting for about 44%. (The intensity of the Company’s GHG emissions: calculated per unit of turnover)
2. Water consumption: The factory’s water supply source was primarily tap water, which served as the main raw materials and was used for cleaning chemical containers after being treated through the pure water equipment. The water consumption was 221,384 tons and 183,981 tons in 2024 and 2023, increasing by 37,403 tons (20%) annually, primarily due to the newly added pure water system of the subsidiary is officially operational, and the product variety is adjusted and the production capacity is increased, resulting in the increase in water consumption in 2024.
3. Waste: Since 2024, the factory has commissioned a professional manufacturer to recycle and reuse 19.72 kg of general waste pallets. Kemitek reduced the quantity of waste by improving the production process. The disposal of hazardous waste liquid was contracted to legal service providers, and also reported to the Environmental Protection Administration. The hazardous waste liquid weighed about 41.60 tons and 75.34 tons in 2024 and 2023, decreasing by 33.74 tons (-44.8%) annually. Notwithstanding, the Company would test the stationery pollution resource installations periodically pursuant to laws and analyzed, followed up and controlled the test results. No GHG was emitted from the waste gas of the production process at the factory premises, but the chemical air pollutants arising from chemical mixing and preparation included ammonia gas and volatile organic compounds. The air pollutant data from 2023 to 2024 are held satisfying the emission standards required by laws.
4. Energy-conservation and carbon-reduction policy: In response to environmental protection and the government’s energy-conservation and carbon-reduction policies, the Company and its subsidiaries have adopted various measures, including update on the Company’s lighting in steps, replacement of the old lighting with power-saving lighting delivering the effect of energy conservation and carbon reduction, establishment of office automated monitoring system, including electricity, temperature and humidity monitoring system, automated air conditioner and lighting timer, and indoor temperature and humidity and CO2 control system. Meanwhile, the Company adopted the “Sanlien Vitality Bonus Point” rules to encourage its employees to commute by mass transportation means, in the low-carbon or carbon-free manner, in order to practice the energy conservation and carbon reduction physically. Further, the R&D Center (Benzhou, Kaohsiung) constructed the third-phase solar photovoltaic system in 2023 to block direct sunlight onto the factory premises, lower the temperature indoor, save power consumed by the air conditioner, and reduce GHG emission and energy consumption. Kemitek has built the fourth phase of solar panel power generation equipment in 2024 and expected to be completed in 2025. The installed capacity is 132.43KW (the electricity generated in the fourth phase will be used by the company itself and will not be sold in bulk), accounting for about 6% of Taipower’s contracted capacity. And thereby generated the clean energy totaling 38.09 tons and 17.48 tons in 2024 and 2023, respectively.

          Said information has not yet been assured or verified by any related certification organization.