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2021 CSR Report(16Mb) Contents EDITING PRINCIPLES ������������������������������������������������������������������������������������������������������������ 2 MESSAGE FROM THE TOP MANAGEMENT �������������������������������������������������������������������������� 6 2020 SUSTAINABILITY RESULTS AND RECOGNITIONS ���������������������������������������������������� 8 IMPLEMENTATION OF SDGS AND OBJECTIVES ��������������������������������������������������������������� 10 SPECIAL COLUMN DEVELOPMENT OF RENEWABLE ENERGY ��������������������������������������������������������������� 20 TURNING OYSTER SHELLS INTO CALCIUM CARBONATE- THE REALIZATION OF CIRCULAR ECONOMY ����������������������������������������������������������� 24 OVERALL RENOVATION PROJECT OF MODERN LIVESTOCK HOUSING ��������������� 26 TSC’S CORPORATE SOCIAL RESPONSIBILITY IN RESPONSE TO COVID-19 �������� 28 MISSIONS GOVERNANCE AND AND STRATEGIES 32 RISK MANAGEMENT 52 1.1 PROFILE OF TSC ���������������������������������������������������������������� 33 2.1 CORPORATE GOVERNANCE������������������������������������������������54 1.2 SUSTAINABLE DEVELOPMENT POLICY ����������������������������� 41 2.2 IMPLEMENTATION OF INTEGRITY MANAGEMENT �������������62 1.3 IDENTIFICATION OF AND COMMUNICATION WITH 2.3 IMPLEMENTATION OF SUSTAINABLE GOVERNANCE ��������66 STAKEHOLDERS ���������������������������������������������������������������� 43 1.4 MATERIAL TOPICS OF SUSTAINABLE DEVELOPMENT ����� 48 CORE VALUES 72 GREEN PRODUCTION 96 3.1 SUSTAINABLE FOOD ���������������������������������������������������������� 75 4.1 ENERGY RESOURCE MANAGEMENT �����������������������������������98 3.2 INNOVATION DYNAMICS ���������������������������������������������������� 80 4.2 POLLUTION CONTROL �����������������������������������������������������105 3.3 LAND ACTIVATION AND UTILIZATION ������������������������������� 86 4.3 WASTE MANAGEMENT AND REUSE ����������������������������������110 3.4 MAINTENANCE OF NATURAL RESOURCES ����������������������� 90 HUMAN RESOURCES 116 SOCIAL INCLUSION 140 5.1 OPTIMIZATION OF TALENT AND ORGANIZATION ���������� 119 6.1 SUSTAINABLE MANAGEMENT OF THE VALUE CHAIN ������142 5.2 LABOR RELATIONS ���������������������������������������������������������� 127 6.2 CULTURAL PRESERVATION AND ADDED VALUE ��������������150 5.3 REINFORCED OCCUPATIONAL SAFETY ��������������������������� 132 6.3 COLLABORATION WITH ALLIES ����������������������������������������153 6.4 COMMUNITY CARE AND SERVICES �����������������������������������156 APPENDIX APPENDIX I : GLOBAL REPORTING INITIATIVE (GRI) INDEX �������������������������������������������������������������������������������������������������������������������������162 APPENDIX II： REFERENCE TABLE OF TAIWAN STOCK EXCHANGE CORPORATION RULES GOVERNING THE PREPARATION AND FILING OF CORPORATE SOCIAL RESPONSIBILITY REPORTS BY TWSE LISTED COMPANIES (ARTICLE 4, ITEM 1) �����������������������172 APPENDIX III：SUSTAINABLE DEVELOPMENT GOALS (SDGS) INDEX ���������������������������������������������������������������������������������������������������������173 APPENDIX IV：BRITISH STANDARDS INSTITUTION(BSI) VERIFICATION STATEMENT �������������������������������������������������������������������������������174 20 Sustainability Report 21 Taiwan Sugar Corporation Editing Principles Taiwan Sugar Corporation (hereinafter referred to as “Taiwan Sugar”, “TSC”, “the Company”, and “We”) started to publish its Corporate Sustainability Report (CSR) annually from 2010, and this is the twelfth publication of our CSR report. This 2021 CSR Report is based on the main theme of “becoming a benchmark enterprise in the health and green industry”. We identified our stakeholders and their issues of concern, summarized 21 major sustainability topics, and strengthened disclosures on“Management Approach” to respond to the importance of each major topic to Taiwan Sugar. Meanwhile, our endeavors to implement the SDGs also enable the public to know Taiwan Sugar’s efforts to promote sustainable development. This Report is compiled based on the meaning of the combination of Taiwan Sugar’s corporate culture and the vision of sustainable management in the future. The Report is divided into six major themes, including“Missions and Strategies”,“Governance and Risk Management”,“Core Values”,“Green Production”, “Human Resources”, and “Social Inclusion”, disclosing our efforts and results in aspects of economy, product liability, environment, social engagement, labor care, concern for human rights and with related data and detailed description. It is hoped that with the release of this Report, the general public can have a better understanding of and trust in Taiwan Sugar’s performance and efforts in every aspect of the corporate sustainability in 2020. Taiwan Sugar has established a Corporate Sustainability Area on our official website to constantly update the results of the promotion of sustainable development. In addition, CSR issues of the public’s concern and major events related to Taiwan Sugar will be immediately reported and responded to on the official website to demonstrate our determination to fulfill the corporate social responsibility. ► Scope of the Report and Statistics Basis This Report covers Taiwan Sugar’s corporate sustainability efforts and results from Jan. 1 to Dec. 31, 2020 (for complete disclosure, data disclosed included those in 2019 and some in 2018 in terms of some material topics). Except that corporate governance and financial performance include data of reinvested companies and overseas branches, other performance disclosure focuses on the Company’s operation and activities in Taiwan. The statistical data disclosed in the Report come from the results of Taiwan Sugar’s internal data collection, research and inquisition. The financial data are public information disclosed after being audited and verified by Deloitte & Touche. Some of the statistical data are cited from public information on government websites and all the numbers are presented in the most common way of description. The financial statements have been based on the International Financial Reporting Standards (IFRSs), and the financial data were calculated in NT dollars. For the Environmental performance figures, the data of environmental costs came from TSC AS400 Financial Accounting Management System. Each unit operator enters the “accounting code” when the expenses are reimbursed, and the monthly statistical data cover data from all units. Data of environmental benefits come from the material flow analysis system, and the data are limited to the environmental accounting units, which include input of raw materials, output of products and other items not set up by Environmental Protection Administration (EPA) . Taiwan Sugar established management indicators based on the needs of operational management, and the data are all 2 0 Editing Principles presented in International Generic Indicators. Compared with the 2020 CSR Report, there is some merge or withdrawal in this 2021 CSR Report, and the reorganized data are detailed in this Report. The chapters are slightly different for the complete presentation of the sustainable development framework, but it does not prevent readers from comparing the contents with those in the 2020 CSR Report. ► Referred Guidelines and Principles 2021 CSR Report was compiled in accordance with the GRI (Global Reporting Initiative) 1 Standards and Article 4 of the Taiwan Stock Exchange Corporation Rules Governing the Preparation and Filing of Corporate Social Responsibility Reports by TWSE Listed Companies stipulating that listed companies within the food industry shall reinforce disclosure items, and the 2 stakeholders’ issues of concern were identified through the model of materiality analysis for the determination of the priorities of these topics. The major sustainability issues, relevant strategies, goals and management policies to be disclosed in this Report were analyzed and compiled in 3 accordance with the reporting principles and requirements while referring to the principles of ISO 26000 Guidance on Social Responsibility, the Earth Charter, the OECD Guidelines for Multinational Enterprises, United Nations Global Compact, Sustainable Development Goals (SDGs), and 4 Integrated Reporting (IR) as the focus and direction for long-term development in the future. 5 ► The Editing, Review and Authorizing Procedure and Verification of this Report CSR Editing Group ： 6 The CSR Editing Group for this 2021 CSR Report is under the Corporate Sustainable Development Committee, in charge of the overall planning, communication and integration, data consolidation and editing and revision, with the Vice President supervising the Department of 7 Planning serving as the convener of the editorial team, the Director of the Planning Department as the executive secretary. The members include representatives from all Staff Room of the General Management Office, all business divisions, all district offices, the research institute and Taiwan Sugar Labor Union. Internal Audit of the Sustainability Report： The Editorial Team of this Sustainability Report is composed of members assigned from all units. After collecting data for the Department of Planning to compile the first draft, the members of the Editorial Team were then in charge of the review and revision of relevant content and data before submitting the report to the executives of all units (members of the Corporate Sustainability Committee), the president (the Committee Chair), and the Chairman (the Steering Committee) for further
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