Green

A Producer of Green Technology

Upholding the green philosophy that we only have one Earth, Nanya insists on leaving the best environment to every future generation. We actively manage all environmental impacts of our operations, and adopt higher standards than required by law for energy, operations, and adopt higher standards than required by law for energy, resources, emissions, and waste to avoid or mitigate the risk of impacts. We also research and develop advanced and highly efficient products to assist consumers in lowering energy consumption and reducing carbon emissions when using products. We have set goals for our sustainability performance to fulfill our responsibility of cleaner production and to protect the natural environment. As climate change has become one of the most significant global risks, we implemented risk identification, assessment and management in accordance with the Task Force on Climate-related Financial Disclosures (TCFD) Recommendations to enhance our operational resilience under the climate change crisis.

Scope of the data display on this page is mainly located at Nanya Technology Corporation's production site and doesn't cover subsidiary.

Statistics

  • SBT

    Proposed carbon reduction goals that comply with the SBT and obtained certification from the SBTi. Reduce Scope 1+2 GHG emissions in 2030 by 25% compared to 2020, and Scope 3 GHG emissions in 2030 by 27% per product compared to 2020

  • 92.9 %

    Annual average process waste water recycling rate

  • 1,624

    The annual reduction of perfluorocarbons is equal to 1,624x the carbon absorption of Da'an Forest Park

Strategy and Performance of Material Topics

2022 Performance

Greenhouse Gas Management

  • Reduce greenhouse gas emissions per die by 33% from 2017(Goal: 38%) Note 1
  • Reduction rate of Fluorinated Greenhouse Gases (F-gases) emissions from processes reaches a minimum of 93% (Goal: 93%)
  • Reduce F-gases emissions per die by 29.6% from 2015 (Goal: 30%) Note 2
  • Production was suspended due to climate change disasters maintained at 0 days (Goal: 0 days)
  • Note1: Due to trial production of the 1A/1B process and adding 89 new machines, electricity consumption in 2022 increased 2.2.% compared to 2021, and an increase in the electricity carbon emission factor of Taiwan Power Company by 1.4% caused an increase in GHG by 2.6%.
  • Note2: The increase in PFCs was mainly due to trial production of 1A/1B processes and the newly purchased machines; 5 TF/NF3 machines were added and usage increased 5.7%; die output decreased 3% compared with 2021.

Energy Management

  • Cumulative energy saved from 2017 to 2022 totaled 63,228 MWh (2.28x108 MJ) (Goal:64,000 MWh (2.3x108 MJ) Note 3)
  • Annual renewable energy use reached 7,880 MWh (2.84x107 MJ) (Goal: 7,880 MWh (2.84x107 MJ)
  • Note3: Two energy conservation management plans were implemented in 2022 and reduce energy consumption by an estimated 2,960MWh/year. Completion of the project was delayed to 2023 due to production capacity allocation.

Water Management

  • Accumulated water consumption per unit production capacity decreased >38.5% compared to 2017(Goal:38.5%)
  • Annual average process wastewater recycling rate: 92.9% and above (Goal:90%)
  • Other losses in production caused by restricted water supply: 0 wafer (slice) (Goal: 0 wafer)

Waste and Pollution Prevention

  • 0 cases in violation of environmental laws and regulations (Goal: 0 cases)
  • Rate of auditing and coaching waste disposal contractors on-site > 98% (Goal: > 90%)
  • Reduce VOC emissions per die by 38.8% from the base year of 2017(Goal: 46%)Note 4
  • Note4: Process VOC emissions increased 19% compared with 2021, and die output decreased 3% compared with 2021.

2023 Goals

Greenhouse Gas Management

  • Reduce greenhouse gas emissions per die by 31% from 2017
  • Reduction rate of Fluorinated Greenhouse Gases (F-gases) emissions from processes reaches a minimum of 93%
  • Reduce F-gases emissions per die by 30% from 2015
  • Number of days production was suspended due to climate change disasters maintained at 0 days

Energy Management

  • Cumulative energy saved with energy conservation measures from 2017 to 2023 reaches 67,500 MWh (2.43x108 MJ) and above.
  • Annual renewable energy use reached 25,000 MWh (9x107 MJ)

Water Management

  • Accumulated water consumption per unit production capacity decreased 38.5% compared to 2017
  • Annual average process wastewater recycling rate: 93% and above
  • Other losses in production caused by restricted water supply: 0 wafer (slice)

Waste and Pollution Prevention

  • 0 cases in violation of environmental laws and regulations
  • Rate of auditing and coaching waste disposal contractors on-site > 98%
  • Reduce VOC emissions per die by 40% from the base year of 2017

Strategy

Greenhouse Gas Management

  • Energy conservation and carbon emissions reduction: Set short, medium, and long-term goals and actively implement related management measures.
  • Low-carbon manufacturing: Commit to improvement in production technologies and reduce greenhouse gas emissions in the production process.

Energy Management

  • Implementation of energy conservation measures: Implement ISO 50001 Energy Management System for systematic management and improve the efficiency of energy usage.
  • Innovative applications: Use external exchanges or training to obtain the latest energy conservation technology or energy-saving methodology.

Water Management

  • Response to risks: Establish backup water sources and water storage tanks and use emergency response organization between company plants to coordinate water usage.
  • Wastewater recycling and reuse: Establish wastewater collection processing and adopt different multiple recovery and reuse to improve the water recycling rate.
  • Water usage reduction: Conserve water through daily management.

Waste and Pollution Prevention

  • Circular economy: Increase waste recycling and reuse rate to use resources effectively.
  • Source reduction: Continue to promote waste reduction and increase waste recycling rate.

Climate Change Management

Nanya Technology Corporation responded to the international trend of carbon reduction by implementing the Recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), which was provided the international Financial Stability Board (FSB), in 2018 and publicly supported the TCFD in 2021, publishing a TCFD report for 2 consecutive years since 2022. We are actively establishing mechanisms and strengthening operations. We developed strategies and actions in response to climate change on aspects of governance, strategy, risk management, and metrics and targets, in hopes of reducing the impact of climate risks.[Here to download the entire TCFD report]

Nanya Technology TCFD Framework
  • Governance
    Management strategies and actions
    • In terms of governance level, climate change is listed as an issue for the board of directors. The Sustainable Development Committee is a functional committee established to management measures relating to the trend of sustainability and climate change.
    • Enhance the climate governance ability of the board of directors and management, and raise the awareness of all employees of climate change.
    • Management periodically participates in quarterly sustainable development and risk management meetings to examine the Company's implementation results and decide on work items.
    • Implement improvement plans through monthly climate change management meetings, ISO50001 energy management monthly meetings, and ISO14001 environment management monthly meetings.
    2022 Operation status
    • A total of 6 board meetings and 1 Sustainable Development Committee meeting were convened in 2022.
    • Continuing education received by directors in 2022, 48.9% was related to climate change. ESG issues are incorporated into the Company's manager training, and new employees are required to receive training in ESG and climate change.
    • The Corporate Sustainability Steering Center and Risk Management Steering Center convened a total of 8 quarterly meetings, and included discussions on responses to climate change. The discussion topics were listed as resolutions or action items that required follow-ups and improvements. For example, formulating a renewable energy policy, and discussing risks of power stability issues were listed as resolutions.
  • Strategy
    Management strategies and actions

    According to the internal risk management schedule, short-term is defined as within 3 years, mid-term is 3-10 years, and long-term is 10 years and above. Stakeholders' needs and climate change issues are periodically collected. Using the TCFD framework, short, medium, and long-term climate-related risks and opportunities are periodically identified, as are their impacts on operations, strategies, and financial plans.

    Scenario analysis includes:
    • Transition Scenarios: NDC, pathway to net zero (APS, NTZ)
    • Physical scenario: AR5 RCP2.6-8.5 (adjusted to SSP based on the latest information)
    2022 Operation status
    • Using TCFD climate risk scenario simulation, short, medium, and long-term climate-related risks and opportunities were discussed and identified cross-departmentally. A total of 25 risk factors and 6 opportunities were identified.
    • Considering the risks and opportunities in different climate change and physical scenarios, as well as the operational characteristics of Nanya Technology Corporation, we formulated five strategies, including developing green products, implementing cleaner production, strengthening adaptation ability, and working with sustainability partners.
  • Risk Management
    Management strategies and actions
    • According to the Company's operational risk management procedures, we assessed the significance of related risks and opportunities brought by different scenarios of climate change, and formulated relevant response measures, which were included in Enterprise Risk Management (ERM) and periodically confirmed by senior managers. Formulate a complete emergency response plan for risks of natural disasters related to climate change.
    • The scopes 1/2/3 of greenhouse gas inventory and verification are conducted annually to confirm sources of greenhouse gases for key project management.
    • Compile product life cycle inventory and improve hot spots.
    2022 Operation status
    • Material risks that we identified were mainly transition risks, such as changes to the electricity structure, customer requirements on low carbon products, and the impact of implementing SBTs; the mid-term financial impact of the three items is estimated to account for 3-4% of annual revenue, and was reported to senior management for review during the annual Risk Management Committee meeting. We continue to reduce potential impacts through backup power supplies, energy conservation plans, and the use of renewable energy.
    • The main opportunities identified are product technology and new market development: Due to the trend of net zero emissions, smart clean energy technologies will drive growth in demand on DRAM. According to the scenario analysis by the IEA, the clean energy technology market will triple in size by 2030, and the Company will seize this opportunity to continue investing in innovative R&D (reached 12% of revenue in 2022), so as to seize business opportunities. The Company's DRAM products have already been applied in solar PV systems and charging stations.
    • Verification of GHG emissions in 2022 will be completed in May 2023. Completed the inventory of the carbon footprint of all products and implemented management plans to improve the three hot spots of carbon footprint in the 2021 inventory.
  • Metrics & Targets
    Management strategies and actions Mitigation goals:
    • Compile and verify Scope 1/2/3 emissions every year.
    • Set greenhouse gas management goals and energy and resource recycling and reuse goals.
    • Participate in the international Carbon Disclosure Project (CDP) and water safety project, disclose related information, and communicate with stakeholders.
    • Propose SBTs for certification.
    Adaptation goals:
    • Strengthen the Company's drought resistance and increase the water recycling rate.
    • Promote green buildings and green factory certifications.
    2022 Operation status
    • The Company's GHG emissions in 2022 was 444,000 thousand tons, and emissions per unit product was 405 kg CO2e/thousand die, down 31% compared to 2017.
    • A total of NT$41.57 million was invested and 25 energy conservation plans were completed in 2022, saving an estimated 4,378 MWh, reducing carbon emissions by 2,228 tons, and saving NT$116 million in electricity fees.
    • Obtained certification for SBT in 2030.
    • Use 7.88 million kWh of electricity from onshore wind farms according to the schedule for purchasing renewable energy. Continue to increase renewable energy purchases and use 25 million kWh starting in 2023, which is expected to reduce carbon emissions by 12,500 tons.
    • Rated by the CDP at Leadership Level A- in climate change and A-LIST in water security in 2022.
    • Process wastewater recycling rate reached 92.9% in 2022.
    • Received the green factory certification and added 1 green building.

Greenhouse Gas Inventory

The Company referenced ISO 14064-1 and requirements set forth in the Greenhouse Gas Reduction and Management Act, Greenhouse Gas Inventory Registration and Management Regulations, Greenhouse Gas Verification Guidelines, Greenhouse Gas Registration Guidelines, WBCSD/WRI Greenhouse Gas Protocol, and sets the boundaries of the organization at 100% control of operations. At present, verification of Scope 1, Scope 2, and Scope 3 emissions is carried out by a third party verification institution according to international standards.The scope of inventory of Nanya Technology Corporation covers all production locations in Taiwan. The main sources of GHG emissions were purchased electricity and steam (accounting for about 86.45%) and process emissions (accounting for about 10.79%).

Percentage accounted for by Scope 1 and Scope 2 emissions in 2022

GHG1 emission trends in 2019-2022

  • Note 1: GHG emissions in this table includes Scope 1 and Scope 2
  • Note 2: The calculation of production capacity was the output of Good Electronic Chip (GEC), and the output of various products was converted into around 4Gb product particle numbers, using per thousand die (k-pcs) as the calculation unit.

To improve the integrity of greenhouse gas (GHG) inventory in our value chain, we have conducted scope 3 inventory in accordance with the Greenhouse Gas Protocol, and have met the ISO 14064-1 standards. The emissions of 7 items in Scope 3 GHG emissions passed verification in 2022. In all scope 3 inventory categories, the highest GHG emissions came from the use of sold products, followed by Emission from processing of sold products. Purchased goods and services at the third place.

  • Note1 : Source of main emission factors in Scope 3: The Simapro database is reference for products and services purchased; the carbon footprint platform is referenced for fuel and energy related activities, upstream and downstream transportation and distribution, employee commuting, waste generated by operations, and use of sold products; the ICAO carbon emissions calculator is referenced for business trips; GHG emissions is distributed based on investment percentage in investee companies for investments.
  • Note2 : The emissions of 7 items in Scope 3 GHG emissions passed verification in 2022. Including "purchased goods and services, fuel- and energy-related activities, upstream transportation and distribution, waste generated by operations, business travel, employee commuting and use of sold products" the emissions of 7 items is 740,675.3 metric tons CO2e.
  • Note3 : *The items in Scope 3 GHG emissions passed verification in 2022.

Greenhouse Gas Reduction

We have actively promoted voluntary reductions and participated in the annual voluntary reduction promotion plan of industrial greenhouse gases implemented by the Industrial Development Bureau under the Ministry of Economic Affairs. As Fluorinated Greenhouse Gases (F-gases) have the properties of high global warming potential Note1 and N2O being one of the Company's main Scope 1 emissions, Nanya has actively planned and implemented GHG reduction plans for F-gases and N2O. Nanya planned to purchase a high reduction rate local scrubber when planning the plant. Currently, the PFC Local Scrubber Note2 used in the thin film and etching processes is Burn Type, destroying F-gases through the high temperature generated by combustion. To reduce PFCs emissions, we established PFC reduction acceptance standards for local scrubber, in which CF4 treatment efficiency must reach 90% and above, the reduction rate of C3F8, C4F6, C4F8, CHF3, CH2F2, and SF6 must reach 95% and above, and the reduction rate of NF3 must reach 99% and above. After the local scrubber is installed, FTIR Note3 is used to test PFC reduction rate, in order to meet future reduction trends.

  • Note1: Global Warming Potential (GWP) is the warming intensity of the gases relative to carbon dioxide (set the CO2's GWP = 1). The high global warming potential referred in this article are the gases with a GWP value higher than 675. (Based on the GWP values of the IPCC Fourth Assessment Report (FAR)
  • Note2: Local Scrubber: local exhaust processor
  • Note3: FTIR : Fourier-Transform Infrared Spectrometer

Energy and Resource Management

Energy Structure

Nanya Technology Corporation mainly used purchased electricity (accounted for 89.5% of the Company' s energy consumption), natural gas (accounted for 6% of the Company' s energy consumption), and steam (accounted for 4.5% of the Company' s energy consumption) in 2022. The Company also used diesel, but it accounted for less than 0.05%, so it was not included in statistics of energy consumption indicators.

Service life and environmental impacts of fossil energy have been the most important issues so efficient management is urgent. In order to mitigate the environmental impacts of greenhouse effect, when building fabrication plants, energy conservation is the base for the plans, such as adopting a dual-temperature chilled water system and waste heat recovery and utilization in freezers. Over the past years, we have constantly implemented various energy-saving technologies, using diverse thinking methods, such as automating equipment control, improving equipment efficiency, reclaiming energy for reuse, and improving production management, to reduce energy consumption. Meanwhile, we prioritize energy conservation equipment during the design of equipment installation and procurement.

Energy costs from 2019 to 2022

Renewable Energy Use and Planning

Nanya carries out planning and implementation of renewable energy use in the following three phases.

  • Self-development evaluation and trial implementation

    Nanya Technology Corporation purchased 362 T-RECs through the renewable energy trading platform in 2020, and also began evaluating available spaces in existing factories, planning the establishment of a solar power plant with installed capacity of 456.28 kW (to be completed in coordination with the expansion of the new factory in 2024). We are also installing 27.36 kW of solar panels on the rooftop of our new building, and completed construction in 2022. New factories in the future will also fully utilize land resources to install green energy facilities.

  • External cooperation

    Nanya Technology Corporation is working with renewable energy selling enterprises to obtain more electricity and is gradually expanding consumption based on regulatory requirements. In 2021, we used a total of 2,600 MWh (9.36x106 MJ) in renewable energy and used 7,880 MWh (2.84x107 MJ) tin 2022. Starting in 2023, we will gradually increase annual renewable energy use until we reach 25,000 MWh (9x107 MJ) or more.

  • Becoming aligned with international standards by achieving net zero emissions

    In order for the percentage of renewable energy to reach 25-30% by 2030 to achieve the SBT or RE100, Nanya Technology Corporation will target the supply contracts of large renewable energy plants to further increase its renewable energy consumption.

Enhancing Energy Usage Efficiency

Nanya implemented ISO 50001 Energy Management Systems and completed certification in 2018. We invested NT$21.8 million in 2019 to establish the energy management system platform, and utilized the energy consumption real- time monitoring platform for statistical analysis of system equipment and smart energy conservation management. The platform helps manage and improve energy consumption of organizations and machinery groups and promotes best practices of energy management and reinforces good management behavior.Nanya Technology Corporation invested NT$41.27 million and completed a total of 25 energy conservation management projects in 2022, and total energy conservation benefits reached 4,378 MWh/year (1.58x107 MJ/year); 28 energy conservation management projects (23 new projects and 5 ongoing projects) will be implemented in 2023 and are expected to provide energy conservation benefits reaching 5,055 MWh/year (1.82x107 MJ/year), all from reducing electricity consumption.

Energy consumption real-time monitoring platform

Water Resource Management

Due to the effect of global climate change, rainfall has become polarized in Taiwan, resulting in floods and water shortages occurring at the same time. As an important member of the semiconductor industry, Nanya has monitored the risk of water shortage caused by global climate change, and understands the effect of climate change and water resources on operations. Nanya continues to implement water conservation measures and strives to recycle and reuse water to reduce its impact on the environment and the risk of water shortage. Nanya Technology Corporation launched the Alliance for Water Stewardship (AWS) – International Water Resource Management Standard Certification Project in 2022, comprehensively enhancing water resource management functions with the goal of obtaining platinum level certification in 2023.

Our efforts in water resource management has gained the recognition of the CDP, which is an international environmental evaluation indicator. Nanya was ranked at the leadership level "A-" in Water Security in 2021 and leadership level "A" in 2022. Nanya was recognized for its efforts in climate change and water resource management for global sustainability in 2022 with the "Water Resource Management Leadership Award" in the 15th TCSA.

Nanya's main strategies for water resource management are as follows

Water Resources Structure

Nanya's total water withdrawal was 3,388 thousand m3 in 2022, in which Taoyuan Canal is the main source of water, accounting for approximately 96.6% (3,274 thousand m3), followed by well water at approximately 1.8% (60 thousand m3), tap water at approximately 0.8% (26 thousand m3), and rainwater at approximately 0.8% (28 thousand m3). Our production capacity in 2022 decreased 3.05% compared to 2021, and revenue decreased 33.5% compared to 2021. Due to the decrease in production capacity, total water withdrawal decreased 2% compared to 2021. In terms of water use intensity, water consumption per unit production capacity was 3.11 metric tons/thousand die in 2022 (up 1.1% compared to 2021), and water consumption per unit revenue was 59.5 metric tons/NT$1 million (up 47.3% compared to 2021). Ultra-pure water consumption for the year was 3,578 thousand m3 in 2022 (up 1.7% compared to 2021), ultra- pure water consumption per unit production capacity was 3.29 metric tons/thousand die (up 4.9% compared to 2021), and ultra-pure water consumption per unit revenue was 62.8 metric tons/NT$1 million (up 53% compared to 2021).

Run chart of 2019-2022 water consumption

Water Resource Risk Management

Our main water source comes from the Shihmen Reservoir and is channeled and processed through the Taoyuan Canal before being supplied as production water. The gravity flow is used to independently channel water without affecting the ecology of water resources and any other purposes of usage. In addition, rainwater harvesting can supply production water and tap water for household use.To reduce the risk of short-term water shortages inherent in the geographical location, we have continuously promoted water-saving measures, and committed ourselves to water recycling to strengthen our adaptability. The amount of water needed by production is huge so water shortage will cause production interruptions, affecting the output and delivery. To mitigate immediate impacts caused by short-term water shortages, a cistern with a capacity of 43 thousand m3 and two detention basins each with a capacity of 4.06 thousand m3 have been built in the plant to effectively harvest rainwater during the rainy season. Moreover, Nanya Technology Corporation and the adjacent factories of the Formosa Plastics Group have cooperated to set up an emergency response organization for water shortages. When water shortages occur, the members of the emergency response organization can urgently deploy water resources to support each other. Therefore, no production losses have occurred owing to water shortages. Read More

Nanya actively implements water conservation measures and plants currently have acid-alkaline waste water, hydrofluoric waste water, and organic waste water recovery systems. Along with the implementation of various water saving measures, the process water recycling rate reached 92.9% in 2022. In 2022, the water recycled and reused from waste water recovery systems, process recovery systems, waste water from pure water processes, and rainfall harvesting methods totaled 5,700 thousand m3, accounting for 168% of the Company's water consumption.In 2022, the equipment improvement and expansion of the FAB 3AN hydrofluoric wastewater recovery system be completed, with an investment of 37.39 million yuan, which can increase the recycled water volume by another 430 CMD. In the future, to coordinate with the expansion plan of plant area, an estimate of NT$430 million has been invested in building new hydrofluoric waste water COD and total nitrogen treatment systems, which not only will solve the problem of excessively high hydrofluoric waste water COD and total nitrogen, but also recover the waste water at the same time. It is estimated that additional 1 thousand m3 of waste water will be recovered daily. The system was completed in 2022 and will be operational in 2023.

Cooperation and Communication

Besides implementing internal water resource management and evaluation, Nanya is also actively implementing water conservation measures and water recovery and reuse, and participates in the industry association for water conservation related guidance and experience sharing.

  • Government
    • Participate in the semiconductor industry association, periodically attend "water resource diversification management and cooperation platform" meetings of the Water Resources Agency, and engage in exchanges, communication, and cooperation in water resource related policies.
    • Attend meetings and coordinate and communicate with the Irrigation Agency and North Region Water Resources Office, and cooperate with the government's emergency response plan when there is a water shortage, in order to most effectively utilize water resources, mitigate the impact of water shortages in water supply areas, and achieve stable and balanced water supply.
  • Suppliers
    • Suppliers are required to sign the Commitment to Corporate Social Responsibility. Water resource management items are planned in the supplier risk assessment questionnaire and TCFD physical risk identification are carried out to compile an inventory of suppliers' water resource risks and ensure that they have water resource management measures and an emergency response plan when there is a water shortage. On-site audits are conducted for high risk and key suppliers, and guidance is provided to improve their deficiencies. We also share, exchange, and provide guidance to suppliers for water management and conservation measures through supplier meetings, to improve their water management measures. In November 2022, the third "Nanya Technology Sustainable Supply Chain Seminar" be held continuously, inviting experts and nearly 20 senior executives of concerned suppliers to jointly invest in the sustainable development of enterprises. In 2022, all first-tier suppliers (including suppliers of concern) have completed the sustainability risk assessment (282 questionnaires were sent, and 100% were returned). In the future, we will gradually provide water-saving understanding and counseling for manufacturers with high water management risks and high-water consumption. (It is expected to complete 12 manufacturers in 2023)
  • Local residents
    • Nanya Technology Corporation formed an Environmental Quality Supervision Committee with the local community when it was first established, and commissions a third party to conduct surveys of surrounding ecology, hydrology, and air quality. Survey results are reported to the Environmental Quality Supervision Committee.
    • Nanya learns about issues that community residents are concerned about through the Environmental Quality Supervision Committee, and includes the issues in its periodic evaluation of ISO 14001 Management Systems.
    • To ensure that the water quality of effluent is normal and eliminate concerns residents may have about effluents from Nanya, we have established an effluent water quality real-time monitoring system that is linked to the Environmental Protection Bureau, jointly monitoring the water quality of effluents in real time.
  • Companies and the general public
    • Nanya shares its water management experience through participation in various events, such as the green factory visit co-organized with the Industrial Development Bureau in 2021, during which we shared our water management and water conservation results with visiting government officials and companies.

Raw Materials Reduction and Reuse

Raw Materials Reduction

Nanya regularly reviews the rationality and appropriateness of raw material use. Moreover, we reduced the use of raw materials by streamlining the manufacturing process. The responsible organization of the company set implementation goals for raw material reductions every year, and periodically reviewed the performance of reductions in the entire company's raw materials. Accumulative 24 entries in improvement proposals regarding the consumption of raw materials were completed in 2022, including formula development of new processes, reductions of process time, extensions to use cycle, and reductions of process consumption. Among improvement plans in 2022, improvement to the photoresist verification and management method for the lithography effectively improved photoresist usage efficiency, and reduced consumption of photoresist SHB1736/SH114A by approximately 47 kg (6%), which was the greatest benefit.

Performance of raw material consumption improvement proposals in 2022

Recycling and Reuse

  • Recycling inside plant

    Ratio of using recycled materials as production materials When using renewable raw materials in the production process, it is necessary to use monitor wafers to monitor process conditions. The used monitor wafers can be reproduced and used repeatedly; each monitor wafer can be repeatedly used 8-11 times (varies with the process used). This not only reduces the cost of purchasing whole new monitor wafers, but also reduces the amount of waste generated.

  • Product testing and reclamation of delivery packaging materials

    Packaging materials for product shipments to outsourced testing facilities or packaging facilities, such as cartons, outer cartons, cushioning materials, and wafer cassettes, were all reclaimed as many as possible to be reused within the company. Moreover, wafer cassettes used by raw material for wafer were also recycled and reused in product shipments, and the reuse rate of these cassettes were nearly 100%. The aforementioned practices reduced the consumption of product packaging materials and waste output to minimum levels. This approach could reduce the consumption of approximate 15,000 pieces of brand-new 12-inch wafer cassettes every year, equivalent to reducing the consumption of 69 tons of plastics.

  • Reduction in product packaging materials

    In response to the action of recycling and reductions, the company's own warehouses of finished products started with recyclable packaging materials. Reusable packaging materials used in supplementing finished products were recycled to be used in product exchanges for customer complaints, product storage, and commissioned work to reduce the times of application and purchase, further achieving the action of recycling for reuse and reductions of packaging materials. In addition, the cost of packaging materials used could be reduced. Although the saved amount was small, it made a difference to overall environmental maintenance and resource recycling.

  • Recycling Outside Plant

    Nanya outsources the disposal of 100% of the waste it generates. The waste is processed into industrial raw materials, construction materials, or other raw materials, including usage as fuel for incinerators. The percentage of waste that was recycled in 2022 reached 92.1%, in which 97.4% of hazardous waste was recycled.

Case Study

Copper recovery from CuSO4 Solution

Copper Together Project

Inspiration for the "Copper Together" project was from the Company's hopes to draw public attention to circular economy and environmental sustainability in an interesting and creative way. Hence, we used the copper foil recycled from process wastewater and worked together with campuses and local artists to organize a series of design and art activities. Read More

Protection of Ecology and Species Resources

Nanya Technology Corporation pays attention to and shoulders the responsibility of biodiversity. We formulated a biodiversity policy and reported it to the Sustainable Development Committee and Board of Directors

Biodiversity Goals

Nanya set biodiversity goals for the Company in 2030, and 2040, and will disclose the nature-related risks and coping measures through four major steps (Locate, Evaluate, Asses, and Prepare), which is based on the structure of TNFD (Taskforce on Nature-related Financial Disclosures, TNFD). Nanaya have finished step 1(Locate) and 2(Evaluate), in hopes of having a greater positive impact on biodiversity in the overall supply chain.

  • 2030

    The Company's existing operating activities achieve no net loss (NNL).

  • 2040

    The Company's tier one and non-tier one key suppliers achieve NNL, and some tier one and non-tier one key suppliers achieve NPI. Achievement of a net positive impact (NPI) on biodiversity and no net deforestation in the target year 2040.

  • NNL:The diversity index uses the average of the past 3 observations during the same period in previous years as the biodiversity goal. If the observed value is not lower than the goal, then it is deemed to achieve NNL.
  • NPI: The diversity index uses the average of the past 3 observations during the same period in previous years as the biodiversity goal. If the observed value is higher than the goal, then it is deemed to achieve NPI.

Measures to mitigate impact on biodiversity

  • Nanya applies the biodiversity impact management framework to manage and mitigate its impact on biodiversity and ecosystems. The mitigation hierarchy includes avoid, minimize, restore, and offset. "Avoid" and "minimize" are the Company's most important measures. For example, the Company has analyzed the impact of the new factory development plan on surrounding plant ecology, habitats, and water environment, and taken measures to avoid and mitigate impact. If operations or development will still damage the ecosystem after taking measures to avoid and mitigate impact, the Company will take "restore" measures in the damaged areas, and will take "compensate" measures (e.g. forestation, setting up an environmental trust fund and transferring it to the government or non-profit organizations to improve or restore the environment) if restore measures still cannot reduce losses, in order to compensate for the impact on biodiversity.

  • Biodiversity impact management framework
  • Plant ecology
    Construction period impacts
    • Plants in some construction areas were removed and result in a decrease in population.
    • The construction causes dust to cover the surface of leaves, and may result in poor plant growth.
    Operation period impacts
    • Traffic flow causes dust to cover the surface of leaves, and may result in poor plant growth
    Avoid
    • Plan the route of transportation vehicles in advance, and ensure that the vehicles transport gravel and heavy machinery according to the route to limit the area affected by dust.
    • Vehicles used to transport gravel must be covered by canvas or dust cloth.
    Mitigate impact
    • Plant native or endemic plants in the form of a multiple layered forest.
    • When transportation vehicles enter and exit the construction site, they must first go through a washing station to reduce dust.
    • Cover gravel with canvas or dust cloth during temporary storage, so as to prevent dust and the growth of invasive plants.
    • Water plants on both sides of the planned route to reduce the impact of dust on plant growth.
  • Animal ecology
    Construction period impacts
    • Disturbance from noise and vibrations, nighttime lighting, construction vehicles, personnel activities, and waste impact the original habitat and land animals active in the construction area.
    Operation period impacts
    • There was no significant impact on surrounding animals during the operation period.
    Avoid
    • Domestic waste generated by construction workers must be collected in a covered storage facility or properly wrapped and disposed of, in order to prevent it from being eaten by wild animals, or causing secondary damages due to spilling in the transportation process.
    • Avoid using vehicles in poor condition that generate high noise.
    • The use of chemical agents is prohibited and manual grass cutting and rat traps are used for environmental protection, in order to poisoning and killing wild animals.
    Mitigate impact
    • Low landscape fixtures are used to limit the range of lighting for trails, automatic sensors are installed and a timer is set to turn off the lights at night, reducing the disturbance caused by light to nocturnal animals.
  • Aquatic ecology
    Construction period impacts
    • If wastewater with relatively high sand content or domestic wastewater generated by construction personnel is directly discharged into nearby water bodies, it will contaminate the water.
    Operation period impacts
    • If wastewater and waste is directly discharged or disposed near water bodies, it will impact the water ecology of surrounding areas.
    Avoid
    • Construction waste water is prohibited from being discharged into rivers, and waste is prohibited from being placed on river banks.
    • Muddy water generated from construction at construction sites and soil resource sites must be prevented from flowing into surrounding low-lying areas and further affecting the water ecology in the areas.
    • Set up pipelines for centralized discharge of rainwater collected from roads during the operation area.
    • Wastewater discharge must comply with regulations of the Environmental Protection Administration.
    Mitigate impact
    • Periodically monitor the water quality and ecology of surrounding water environments during the construction period, to lower the impact of local water quality on water ecology to nocturnal animals.

Environmental Pollution Prevention

Based on the environmental protection and commitments of environmental impact assessment, the company regularly monitors environmental impact factors, such as air quality, noise and vibration, the quality of surface water and groundwater, traffic flow, and the ecosystem within the scope of development to truly appreciate its impacts on the environment. There has been no violation of environmental regulations since 2014. In the Environment, Safety and Hygiene Policy, Nanya has made every effort to promote various measures to reduce waste and recycle resources to comply with relevant requirements of regulations as well as to respond to the commitments to environmental protection-related requirements signed by the company.

  • Air Pollution Control

    Since the plant was set up, we have put great emphasis on pollution control. Not only have we effectively reduced material consumption and lowered the concentration of waste gas emission, but also have used air pollution control equipment in compliance with statutory standards, including local scrubber, acid/alkaline scrubbers, the VOC zeolite rotor concentration equipment, and post-combustion machinery. Testing proved that the pollutant emission standards set forth in environmental protection regulations of the government were all met (lower than) over the years. Furthermore, the Company does not have any ODS emissions. To continue to maintain the best performance of treatment equipment, every equipment is maintained and inspected periodically. The operators receive complete training and education are to maintain the system in good operation and ensure that the waste gases emitted do not endanger the environment.

    Nanya Technology Corporation' s main air pollutants include acid and alkaline waste gas and organic waste gas, and raw materials do not use trichloroethylene, so there are no HAPs emissions. Waste gases are channeled to suitable treatment processes and equipment based on their characteristics. Waste gases are channeled into local scrubbers after being generated on the process end. After removing specific substances, acidic or alkaline waste gases are concentrated in acid/alkaline scrubbers and released into the atmosphere after treatment. Organic waste gas is absorbed and concentrated by the zeolite rotor, and then imported into the post-combustion equipment to be directly broken down. The combustion efficiency rate reaches 99%, which substantially exceeds statutory standards. Moreover, the reduction rate of overall volatile organic gas emissions is kept above 90%, meeting the statutory requirements. Organic air pollutants released per unit product (emission intensity) was 0.29 kg VOCs/m2 in 2022.

    Air pollution control flowchart
  • Water Pollution Control

    To avoid environmental pollution and ecological impacts owing to abnormal quality of wastewater, we have spared no effort to prevent and control water pollution, gradually upgrading and investing in wastewater treatment facilities. The in-plant wastewater treatment is carried out in over 20 different pipelines. The wastewater is mainly classified into organic wastewater, general acidic and alkaline wastewater, hydrofluoric wastewater, and high-concentration liquid waste that is outsourced for treatment.

    In 2016, additional wastewater systems and recycling systems were installed. These systems were classified into the following types: acidic and alkaline, organic, and hydrofluoric acid (HF) wastewater systems. In 2017, a reclamation system with reverse osmosis (RO) was added, which could increase 0.288 million liters of reclaimed water per day. With the expansion of the new plant, the installation of additional organic wastewater reclamation system was completed in 2017, which could increase 1.5 million liters of reclaimed water per day. In 2018, the installation of hydrofluoric wastewater reclamation system was completed, which could increase 0.5 million liters of reclaimed hydrofluoric wastewater. Because of the increase in the reclamation volume of wastewater, the annual average process water recovery rate reached 90.8% in 2021. To coordinate with the expansion of a new factory, we have invested NT$430 million in building new hydrofluoric wastewater COD and total nitrogen treatment systems. This not only will solve the problem of excessively high hydrofluoric wastewater COD and total nitrogen, but also will recover wastewater at the same time. It is estimated that additional 1 thousand m3 of wastewater will be recovered per day. The systems will be completed and begin operating in March 2023. In response to the decrease in sludge treatment plants and the ever stricter acceptable criteria, starting in 2017, additional isopropanol-concentration system had been built to reduce the load of wastewater COD. In addition, organic sludge dewatering equipment was added, which was completed in 2018, and the moisture content of sludge can be reduced from 84% to below 60%. Read More

    Nanya Process Water Recycling Rate in 2019-2022

For more information, please read Green Chapter

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