Delta has set climate-related performance indicators with sound climate governance and organization, and actively takes real actions to fulfill its commitment to sustainability. We analyze the climate-related risks and opportunities based on the latest internal and external regulations, scenario analysis, and strategies, and implement management on the basis of "mitigation," "adaptation" and “innovation.” The mitigation measures include the measurement and the　settings for commitments and objectives. We also strengthen actions to support the circular economy, renewable electricity, and energy-saving products. In terms of adaptation, we have created a sustainable business plan for climate-related physical risks, initiated the development of a group-level adaptation strategy, and continued to analyze and monitor the impact of climate change to align with R&D strategies.

Delta uses decision-making tools such as internal carbon pricing mechanisms to uncover business opportunities through technologies to respond to climate change challenges and we regularly disclose our climate-related management results and performance.

Delta met its science-based target (SBT) set in 2017 four years ahead of schedule in 2021. We continued to actively pursue a 1.5°C reduction pathway in 2022 in accordance with the Net-Zero Standard published by the Science Based Targets initiative (SBTi) at the end of 2021. We obtained the SBTi validation in the same year and became the first high-tech hardware equipment company in Asia and the 125th company globally to pass the review for net-zero science-based targets (Net-zero SBT).

We proposed the SBTs with 2021 as the baseline year, covering 100% of our global operation sites, to reduce absolute Scope 1 and Scope 2 (market-based) emissions by 90%, reducing absolute Scope 3 emissions by 25% by 2030, and achieve net-zero emissions by 2050. We also continue to implement emission reduction measures for limiting global warming to 1.5°C to reduce carbon emissions in internal operations, empower the internal low-carbon transition, and develop innovative products and services.

Scope 1 and 2 emissions from Delta's global operation sites in 2024 decreased by 53.6% compared to the baseline year of 2021. This marks the third consecutive year that Delta has achieved its SBT, significantly surpassing the original reduction goal of 30%. This accomplishment demonstrates Delta's strong commitment to realizing its SBT and its long-term dedication to climate action. Delta continues to collaborate closely with partners across the value chain to advance low-carbon economic growth.

Since 2010, Delta has participated in the CDP to perform annual inventories and disclosures of our GHG emissions, setting organizational boundaries based on operational control in the investigation of GHG emissions. Delta’s overall production plants have passed ISO 14064-1 verification since 2017. We gradually expanded the scope of verification to buildings, overseas operation sites, and subsidiaries. Since 2022, all global operation sites have completed the ISO 14064-1:2018 GHG inventory verification, and have adopted the latest Global Warming Potential (GWP). The current version of GWP is from the sixth assessment report published by the IPCC, ensuring that GHG emissions data align with the latest science.

Direct emissions and indirect greenhouse gas emissions of Delta's global operation sites in 2024 was 100,681 metric tons CO₂e (market-based), which was a 23.9% reduction compared to the previous year and a 53.6% reduction compared to the baseline year of 2021, significantly outperforming the SBT target of a 30% reduction. Our global operation sites can be divided into seven regions including Taiwan, Mainland China, Southeast Asia, Northeast Asia, India, Europe, the Middle East & Africa (EMEA), and the Americas. In market-based terms, Southeast Asia (approximately 38.0%), Mainland China (approximately 28.7%), India (approximately 14.4%) and Taiwan (approximately 14.4%) are the main regions of Delta's GHG emissions. As the number of global operation sites continues to increase, the reason for Delta's continuous attainment of the SBT is the successful internal carbon fee mechanism launched in 2021, which has effectively empowered energy conservation initiatives and active carbon reduction within the Group. The results of these initiatives are applied to reducing carbon emissions and increasing the ratio of renewable electricity. In 2024, the proportion of renewable electricity in global operation sites reached 84%, outperforming the original target of 74%.

Since 2020, Delta has identified the significant emissions and calculated GHG emissions based on the requirements of ISO 14064-1:2018. We have also conducted an inventory of indirect GHG emissions in each category in accordance with the GHG protocol methodology. We completed the calculation for all emissions for the first time in 2022. According to the GHG inventory results from previous years, the main categories of Scope 3 emissions were C1 purchased goods & services and C11 use of sold products. To make progress toward the net-zero goal and more proactively and effectively follow up on upstream and downstream value chain engagement, Delta established the Scope 3 C1 and C11 Implementation Subcommittee in 2024, inviting business groups to participate in joint inventories and the formulation of management strategies. Progress is reported to the management team on a regular basis. Through working together with business groups, we have been able to achieve a more comprehensive inventory of data on raw material procurement and product energy efficiency. Therefore, we have updated the C1 and C11 calculation methodologies, recalculated the GHG emissions in the baseline year of 2021, and obtained ISO 14064-1 verification. The total emissions from all categories of Scope 3 in 2024 were 22,454 thousand metric tons CO₂e, an increase of 28.4% compared with the baseline year of 2021, when emissions were 17,485 thousand metric tons CO₂e. It was mainly due to the increase in product production and sales in 2024. The main emissions category for Scope 3 are C11 use of sold products (approximately 74.1%) and C1 purchased goods & services (approximately 20.9%). We will continue to work on Scope 3 reduction through key strategies such as product energy efficiency improvement, product low-carbon material design, as well as low-carbon engagements with customers and the supply chain.

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In 2024, the use of renewable electricity at Delta’s global operation sites reached 84%.

Delta announced in 2021 that it had joined the global renewable electricity initiative RE100 as a Gold Member, and pledged to achieve the goal of 100% renewable electricity by 2030 for Delta's global operation sites. Delta officially established the Delta Global RE100 Committee in 2021 with the Chairman, Vice Chairman, CEO, COO, and CSO as the main members who oversee 8 working groups in more than 30 countries. Each working group is led by the president of regional operations, who establishes a regional promotion organization to expand management to all sites. The organization is responsible for the promotion and attainment of renewable electricity targets for all sites in each region.

Delta's global operation sites continued to promote renewable electricity in 2024. The sites studied and reviewed local renewable electricity regulations and policies, market trends, prices and costs, and the integrity of traceability information, and gradually consulted with renewable electricity suppliers or electricity retailers. They also considered the long-term demand for renewable electricity and evaluated the benefits and feasibility of constructing or investing in renewable power plants. Each working group identified bottlenecks for the usage ratio of renewable electricity in the process. They learned about the reasons for these bottlenecks and actively sought opportunities for improvement.

In 2022, the attainment rate of the use of renewable electricity was included for the first time as a performance indicator for the Chairman, CEO, and Region Heads of each working group and it now accounts for 5% to 15% of their total remuneration and incentives. To ensure data quality, Delta included electricity data statistics from global operation sites for the ISAE 3000 assurance for the first time in 2023. All renewable electricity sources and types must comply with the RE100 technical criteria, and obtain complete traceability information to prove the source and quantity.

Delta strategically promotes renewable electricity by setting procurement priorities. In terms of the methods for attaining the targets, Delta uses energy conservation as the basis for reducing electricity consumption and has adopted a strategy of self-generated and consumed renewable electricity as the highest priority. The second category is direct purchase of renewable electricity (e.g., power purchase agreements (PPAs) and green electricity products) with bundled renewable electricity and certificates. The third category is unbundled energy attribute certificates (unbundled EACs). In full compliance with the RE100 technical manual, Delta developed other categories of innovation to encourage innovative measures for increasing the percentage of renewable electricity use. The RE100 mechanisms are also partially linked to the internal carbon pricing, with the target of increasing the percentage of bundled renewable electricity and certificates among sources of renewable electricity to over 50% by 2025. Delta aims to encourage all sites to prioritize the use of self-generated and consumed renewable electricity and bundled renewable electricity.

In 2024, the use of renewable electricity at Delta's global operation sites reached 84%, which exceeded the internal target of RE74. The global operation sites total electricity consumption was 820,818 MWh, including 693,445 MWh of renewable electricity. The sources of renewable electricity as a proportion of total electricity consumption included 45,288 MWh (5%) from self-generated and consumed solar power, 112,864 MWh (14%) from direct purchase of PPAs electricity, 330,681 MWh (40%) from green electricity products, and 204,612 MWh (25%) from unbundled EACs.

Delta is pursuing the goal of 100% renewable electricity by 2030 for global operation sites and is actively participating in international initiatives and relevant awards. To promote the development of renewable electricity, Delta has actively signed renewable electricity purchase agreements in Taiwan to inject vitality into the developing renewable electricity market. Delta actively negotiates and collaborates with the government and related stakeholders to accelerate the development of local regulations and renewable electricity trading systems at the key production site of Thailand, in order to promote access to renewable electricity at local plants.

Delta received the RE100 Market Trailblazer Award from the RE100 Leadership Awards in 2024, becoming the first company in Taiwan to receive this award. The RE100 Market Trailblazer Award recognizes companies that play a leading role in renewable electricity transformations in the market, especially those that have demonstrated innovation and influence in markets that are not yet mature.

Thanks to Delta’s work with stakeholders to overcome market restrictions and play an active leading role in market changes, the Company has received recognition and approval from the international independent judges for outstanding performance among the RE100 member companies, which demonstrates Delta's contributions to driving the development of the renewable electricity market.

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