All FENC production sites must comply with ISO 14064-1 or local regulatory standards on the quantification and reporting of GHG emissions.
GHG Management Guidelines and Measures
Direct and Energy Indirect GHG Emissions per Unit of Production
Unit: tCO2e / metric ton of product
GHG Emissions in 2021
In 2021, direct and indirect (categories 1 and 2) GHG emissions increased by 2%. The increase is mainly attributed to the increase in production. However, GHG emission per unit production dropped by 5% compared to the previous year, which is a testimony to the Company’s dedication in GHG reduction implementations.
Direct and Energy Indirect GHG Emissions
Direct Emissions Category 1
Emissions Category 2
Category 1 and 2 Total
1. GHGs include CO2, CH4, N2O, HFCs, PFCs, SF6 and NF3. ISO 14064-1:2018 categorizes emission sources into direct (category 1, emission source from directly owned or controlled by the organization) and indirect (category 2, indirect GHG emissions from imported energy such as electricity, heat and steam).
2. The scope of data collection for 2019 includes 15 production sites in Taiwan, Mainland China and Vietnam. Starting in 2020, 6 additional production sites are incorporated into the scope of data collection. Totaling 21 production sites.
3. In 2019 and 2020, OPTC, Hsinpu Chemical Fiber Plant, Kuanyin Chemical Fiber Plant, OPSC and FEIS completed GHG inventory in accordance with ISO 14064-1. GHG inventory from other production sites have passed internal audits.
4. In 2021, 100% of the GHG emission data passed the internal audit. Once the Company obtains third-party verification, which is scheduled to be completed by the 3rd quarter of 2022, the data will be disclosed in 2022 Sustainability Report.
5. In 2021, direct and indirect (category 1 and 2) GHG emissions from the 4 FENC production sites in Taiwan amount to 793 ktCO2e.
Other Indirect GHG Emissions in 2021 (Category 3 to 6)
Purchased Goods and Services
Fuel and Energyrelated Activities
Upstream Transportation and Distribution
Waste Generated in Operations
Upstream Leased Assets
Downstream Transportation and Distribution
Downstream Leased Assets
1. The classification is based on GHG protocol.
System Establishment and Management
All FENC production sites must comply with ISO 14064-1 standards as well as local regulations on GHG inventory and quantification. In addition, third-party verifications must be conducted once every 3 years. In 2020, FENC launched comprehensive GHG inventory initiatives covering 20 production sites in Taiwan, Mainland China, Vietnam, Japan and the U.S. The inventory is conducted following the 6 categories of emission sources from the latest ISO 14064-1:2018 and categories 3 to 6 (scope 3) in GHG Protocol issued by World Council for Sustainable Development (WBCSD). The scope of the inventory covers the entire organization, including all departments and supply chain, taking into account direct emission sources as well as 15 indirect GHG emission sources such as imported energy, transportation and products used. In 2022, the 20 production sites are scheduled to complete external verification in accordance with ISO 14064-1:2018.
To implement company-wide GHG inventory, FENC held the kickoff meeting at the end of 2020. In 2021, 3 stages of trainings were conducted, including 24 sessions with 672 employees in attendance. Among them, 332 have been qualified as ISO 14064-1:2018 internal auditors.
The inventory helps the Company identify carbon emission hotspots. The information serves to support FENC’s 5 major carbon reduction strategies. With regular monitoring and testing as well as timely adjustments, FENC is on track to achieve its GHG emission reduction targets.
Avid Support for Governmental Policies
The enactment of Trial Procedures of Shanghai Municipality on Carbon Emission Administration in 2013 puts a cap on carbon emission for OPSC and FEIS. The two subsidiaries ensure regulatory compliance by formulating various carbon reduction and monitoring measures, and establishing energy conservation and carbon reduction goals at each year end for the coming year. The progress is reviewed monthly during energy conservation meetings, where improvement measures are also proposed with designated lead agency for action. Each day, staff track the fluctuation of carbon pricing and report the observation during monthly meetings.
The Chinese government mandates corporate efforts in carbon reduction through Carbon Emission Trading System. The carbon quota allocated in the system has been decreasing by the year. With increasing production scheduling at FEIS in 2021, its carbon emission exceeded the cap by a slight margin. Therefore, FEIS must replenish the quota with unused carbon emission balance. FEIS also installed the solar power generator and hybrid power station using cogeneration technology to reduce carbon emission. OPSC installed the rooftop solar power station and will optimize boiler operation with AI to reduce the use of natural gas as boiler fuel. The measures will cap the carbon emission under the decreasing carbon quota.
Carbon Quotas and Emissions of OPSC and FEIS
|Note: The Quota in 2021 were estimated emissions; the actual quota is yet to be verified by the government. The Quota in 2020 were revised to actual number, which approved by government|