Green Campus

Release date:2025-02-13

In response to the global challenges of climate change, ITRI continues to strengthen its climate and nature-related risk management. Since 2023, following the framework of "Recommendations of the Task Force on Climate-related Financial Disclosures" (TCFD) provided by the Financial Stability Board (FSB), the Institute has assessed the potential impacts of climate change on research projects and partner industries, including risks from policy and market changes as well as natural disasters, while identifying related opportunities. Starting in 2024, ITRI has implemented the framework of the "Taskforce on Nature-related Financial Disclosures" (TNFD), applying the LEAP methodology (Locate, Evaluate, Assess, Prepare) to analyze biodiversity-sensitive areas and nature-related impacts and dependencies across its sites and supply chains.

Task Force on Climate-Related Financial Disclosures (TCFD)

Governance	ITRI has established the "ITRI Sustainability Steering Committee", chaired by the President, responsible for managing sustainability and climate change strategies and targets. The committee convenes semiannually and regularly reports implementation progress to the Board of Directors. Under this committee, the "ITRI Sustainability Committee" oversees major climate-related issues, while the Office of ITRI Sustainable Development collaborates with the Task Forces for ITRI Sustainable Development and various labs and centers to identify climate risks and opportunities, implement corresponding measures, and comprehensively advance ITRI’s climate and sustainability actions.
Strategy	ITRI integrates climate change risks and opportunities into its operational and R&D strategies, aiming to reduce greenhouse gas emissions across the entire value chain (internal operations, upstream, and downstream), while enhancing organizational climate resilience and mitigating environmental impacts. In 2024, based on government regulations, internal policies, and technological directions, ITRI re-identified sources of risks and opportunities, identifying 25 climate-related risks and 23 climate-related opportunities. Among these, ten were classified as medium-to-high climate risks and five as medium-to-high climate opportunities, all of which have been incorporated into management actions.
Risk Management Procedures	Following ITRI’s Risk Management Framework, a preliminary qualitative and quantitative analysis was conducted. Using a two-dimensional matrix of likelihood and impact, the Institute assessed the potential financial and operational implications of climate-related risks and opportunities, thereby driving the implementation of relevant action plans. Management measures addressing climate change risks and opportunities have been integrated into the operations of business management units, including the Office of Administrative Service, Office of Strategy and R&D Planning, Office of Business Development, and the Quality and Risk Management Office. Risk tracking and validation of action plan effectiveness are conducted quarterly through the ITRI Sustainability Committee meetings.
Metrics and Targets	ITRI continues to establish and advance both internal and external climate change targets. Through key performance indicators such as greenhouse gas emissions, water conservation rates, environmental management, and energy management systems, the Institute sets short-, medium-, and long-term targets and regularly reviews and discloses implementation performance. For complete details on the targets, please refer to the section Sustainability Leadership – Sustainable Development Goal Management, and for execution performance, please refer to the relevant chapters of this report. If the Institute’s carbon emissions continue to rise, it will result in higher operating costs and reduced market competitiveness. Therefore, ITRI is actively promoting equipment consolidation and optimization, employee behavioral change, adoption of innovative technologies, and green procurement. The Institute has set the long-term goal of achieving net-zero emissions by 2050.

Climate Risk and Opportunity Matrix

ITRI assesses climate-related risks and opportunities based on impact strength, short-, medium-, and long-term time horizons, and low, medium, and high likelihood levels. Through this assessment, the Institute identified nine medium-level risks and one high-level risk as material climate-related risks, as well as three medium-level opportunities and two high-level opportunities as material climate-related opportunities. For these material climate-related risks and opportunities, ITRI has reviewed and enhanced corresponding response measures to effectively manage the Institute’s climate-related risks and opportunities.

Climate Risk Scenario Analysis

Based on the SSP1-1.9 net-zero scenario in the Sixth Assessment Report (AR6) of the Intergovernmental Panel on Climate Change (IPCC), the International Energy Agency (IEA), the International Renewable Energy Agency (IRENA), and Taiwan’s 2050 net-zero policy, ITRI conducts a transition risk analysis under the SBT 1.5°C target. This analysis covers operational growth, energy demand, and low-carbon transition pressures, corresponding to the Institute’s energy-saving and carbon-reduction measures.

Physical risks are assessed with reference to the IPCC AR6 SSP-RCP scenarios (e.g., SSP1-2.6 to SSP5-8.5) across short-, medium-, and long-term time horizons, simulating the impacts of extreme climate events on sites and assets. The analytical framework follows the three dimensions defined by the IPCC: hazard, vulnerability, and exposure. Hazard is evaluated based on extreme rainfall trends simulated using data from the Taiwan Climate Change Projection Information and Adaptation Knowledge Platform (TCCIP) and international datasets; vulnerability is assessed using government disaster maps (flooding, landslides, and debris flows); exposure is analyzed according to the geographic locations of assets. The analysis scope includes ITRI-owned offices and equipment.

Climate Risk Scenario Analysis Results

ITRI's Net-Zero Decarbonization Pathway

ITRI is committed to achieving net-zero emissions (Scope 1 and Scope 2) by 2050, using 2020 as the base year and establishing a decarbonization pathway in alignment with national policies and the Institute’s strategic development plan. As a key technical advisor to the government, ITRI’s R&D activities and policy development are interdependent; carbon emissions temporarily increased in 2021 due to research demands. Excluding such external impacts, the Institute continues to reduce energy use and carbon emissions through zero-carbon electricity, low-carbon processes, and equipment optimization, tracking performance with indicators such as greenhouse gas emissions, water-saving rates, and environmental and energy management metrics. In parallel, ITRI promotes a carbon-reduction fund and low-carbon lifestyle initiatives, planning for a 35% reduction by 2027 and 50% by 2030, in alignment with the national targets of 32±2% by 2032 and 38±2% by 2035. Looking forward, the Institute will accelerate the research, development, and demonstration of low-carbon technologies to advance its 2050 net-zero target.

Task Force on Nature-Related Financial Disclosures

In 2024, ITRI adopted the Taskforce on Nature-related Financial Disclosures (TNFD) framework, applying the LEAP methodology (Locate, Evaluate, Assess, Prepare) to assess ecological risks at its sites. This strengthens natural capital management and decision-making resilience, covering key site identification, evaluation of operational impacts, analysis of risks and opportunities, and formulation of response strategies.

ITRI is in alignment with Target 15, “Corporate Accountability,” of the Kunming-Montreal Global Biodiversity Framework (GBF) 2030 Global Action Goals, which encourages companies to disclose biodiversity-related risks, dependencies, and impacts to enhance information transparency. Through this approach, the Institute is gradually gaining a comprehensive understanding of its dependencies, impacts, and risk opportunities related to nature. In the future, ITRI will further refine its assessment methods, improve disclosure quality, and promote ecological co-existence and sustainable development.

Governance

Strategy

Risk and Impact Management

Metrics and Targets

l The highest governing body is the ITRI Sustainability Steering Committee, which manages the Institute’s sustainability and nature-related strategies and targets, and reviews associated risks and opportunities.

l The ITRI Sustainability Committee supervises and makes decisions on natural risk and opportunity issues, while relevant action plans are implemented collaboratively through the Office of ITRI Sustainable Development, Quality and Risk Management Office, Office of Human Resources, Office of Administrative Service, Office of Strategy and R&D Planning, Office of Finance and Accounting, as well as various R&D, operations, and business units.

l The Institute has identified categories of nature-related dependencies and impacts, comprising 10 types of natural dependencies and 12 types of natural impacts. For details, please refer to the “Analysis of Natural Dependencies and Impacts.”

l A biologically sensitive area analysis and biodiversity impact assessment (based on IUCN Red List of Threatened Species) have been conducted. Among the six major campuses and the Taipei Branch, two sites (ITRI Southern Region Campus and Southern Taiwan Innovation & Research Park) intersect with legally protected areas (Note 1). The ITRI Southern Region Campus is home to a total of 26 endangered species, while Southern Taiwan Innovation & Research Park hosts 44 endangered species (Note 2).

l ITRI identifies its dependencies and impacts through risk identification, impact assessment, and the application of the LEAP methodology. The biologically sensitive area analysis and biodiversity impact assessment use a 2-kilometer radius for buffer zone overlay analysis across the six major campuses and the Taipei Branch.

l Through initiatives such as water resource reuse, air quality management, resource recycling, low-carbon lifestyle promotion, and ecological restoration, the Institute continues to improve water recovery rates, resource recycling rates, and laboratory waste reuse. Measures also include tree health assessments and paper recycling programs.

l By employing data management and performance tracking, the Institute ensures transparency of sustainability and financial information, laying the foundation for deeper future disclosures. Relevant indicators and targets for natural dependencies and impacts are provided in the “Analysis of Natural Dependencies and Impacts.”

l For the Institute’s complete targets, please refer to “Sustainability Navigation – Management of Sustainable Development Goals,” and related implementation performance.

Notes:

ITRI Southern Region Campus and Southern Taiwan Innovation & Research Park serve as office locations. ITRI Southern Region Campus intersects with the “Chianan Irrigation Ponds Important Wetland,” while Southern Taiwan Innovation & Research Park intersects with “Taijiang National Park,” “Sihcao Important Wetlands,” “Tainan City Sihcao Wildlife Refuge,” “Yanshui Estuary Important Wetland,” and “Tainan City Sihcao Major Wildlife Habitat.”
Endangered species are classified according to the IUCN Classification System, including Critically Endangered (CR), Endangered (EN), and Vulnerable (VU) categories. Analysis results for ITRI Southern Region Campus show six Critically Endangered species, five Endangered species, and 15 Vulnerable species. For Southern Taiwan Innovation & Research Park, the counts are nine Critically Endangered species, 11 Endangered species, and 24 Vulnerable species.
For the Institute’s biodiversity measures, please refer to Campus Greening.

Analysis of Nature-related Dependencies and Impacts

In 2024, ITRI conducted an internal assessment of nature-related dependencies and impacts, collecting 48 internal questionnaires. Based on exposure and risk level analysis, a total of 10 nature-related dependencies and 12 nature-related impacts were identified. Nature dependency refers to risks or opportunities arising when ecosystem changes—caused by external factors—alter the state of the natural environment, thereby affecting the natural capital (e.g., natural resources and ecosystem services) upon which organizational operations rely. Nature impact refers to changes in natural capital caused by organizational operations, which may give rise to regulatory or reputational risks.

Categories of High Nature Dependency and Management Approaches

Ecosystem Services	Nature-Related Risk Dependencies	Management Practices
Global/Local Climate Adaption	Extreme heat	l Installed heat-insulating films on all external windows and equipped them with blackout curtains to reduce thermal radiation and prevent direct sunlight exposure. l During periods of extreme summer heat with increased air-conditioning demand, standby chillers are automatically activated according to the load of the primary chiller system, thereby increasing the number of operating units.
Local Climate Adaption	Extreme rainfall	l Annual repair and reinforcement of external walls and roof waterproofing
Storm Mitigation	More severe wind-related disasters (e.g., sandstorms, typhoons).	l Emergency response management is carried out in accordance with the Emergency Preparedness and Response Guideline and the Crisis Management Procedures of the Office of Administrative Service in the event of disasters or emergency situations within the Institute.

Categories of High Nature Impact and Management Approaches

Nature-Related Risk Impacts	Management Indicators	Management Practices
Indirect Energy Usage	Energy consumption	l Energy management is conducted through the ITRI-Energy Information Platform l The Institute has established its Energy Management System with reference to ISO 50001. l The target of reducing the proportion of purchased electricity is managed with reference to the Sustainability Key Performance Indicator Management.
GHG Emissions	Amount of GHG emissions	l Relevant targets are referenced in the Sustainability Key Performance Indicator Management - GHG emissions
Air Pollution	Amount of air pollutant emissions	l Air pollutant emissions from the Institute are managed in accordance with the Air Pollution Control Operational Procedures l Corresponding air pollution control measures are implemented based on the results of risk assessments or environmental evaluations
Wastewater Discharge	Volume of wastewater discharge	l Wastewater quality from the Institute is managed in accordance with the Wastewater Discharge Management Procedures
Waste	Volume of waste disposal	l Waste disposal is carried out in accordance with the ITRI Waste Management Guidelines