Net Zero Strategy
To align with international standards and to answer to the goal of the Paris Agreement to keep the global temperature rise at 1.5℃ . The TCFHC Climate Transition Plan is based on the net zero 2050 vision. TCFHC Scope 1 and Scope 2 have carbon reduction goals defined following the pathway to keep global temperature rise at 1.5℃ under the Paris Agreement and the investment and financing business of Scope 3 also has carbon reduction goals defined on the basis of the SBT climate science. TCFHC develops the Climate Transition Plan that covers Scopes 1, 2, and 3 based on the foregoing net zero vision and target carbon reduction pathway, includes climate investment and financing and operational funding goal, carbon reduction action, stakeholder engagement, and evaluates just transition risk, among others. TCFHC will continue to refer to international climate finance management practices and the latest climate science while evaluating and updating its Climate Transition Plan and periodically review and advance in related actions in order to promote climate transition, heading towards net zero 2050.
Net-Zero Emissions from Financial Assets
From 2021, the Group has followed the PCAF guidelines to carry out a carbon inventory of its financial assets, covering long-term debts, power generation project financing, commercial mortgage-backed loans, and equity and bond investment portfolios. For long-term loans and equity and bond investments, we also analyze carbon emission intensity by industry to identify high emission sectors as reference targets for strengthened engagement and transition supports. At the same time, we are studying ways to integrate and carbon emission factors into investment and financing decision-making processes to optimize overall climate risk management. Moving forward, the Group will refer to and evaluate the adoption of the SBTi and Taiwan's net-zero pathway to support the decarbonization and net-zero transition of its investment and financing activities.
Climate Transition Action
Operational Carbon Reduction Initiatives
TCFHC continues to boost its energy efficiency through "energy conservation, energy creation, energy procurement", and steadily pushes towards operational carbon reduction taking advantage of systematic inventory checks and management.
Investment and Financing Carbon Reduction Action
Reinforce investment and financing climate management and direct funds to support low carbon transition through policies that govern the establishment of the procedure to include ESG factors in Investment and financing decision-making and the defining of strategic goals.
Climate Transition Financial Planning
To enforce the Climate Transition Plan, TCFHC, through the key funds configuration mechanism, directs funds towards sustainable industries and activities and manages them with substantial and measurable goals to continue maximizing its financial influence.
Engagement action
Value chain engagement
Financial Industry Initiative
Banking Association
TCFHC is a member of BAROC's "Climate Change Risk Management Taskforce", jointly contributing to the development of practical guides on climate risk management and financed emissions. Drawing on the Task Force on Climate-Related Financial Disclosures (TCFD) framework and international practices, BAROC has been developing the "Practical Guide to Climate-Related Risk Management for Domestic Banks". In alignment with the Financial Supervisory Commission's "Green Finance Action Plan 3.0", BAROC has also completed the "Practical Guide to Financed Emissions (Scope 3) for Domestic Bank Investment and Financing Portfolios", aiming to guide borrowing enterprises in implementing ESG practices. The guide also encourages companies to reference the "Taiwan Sustainable Taxonomy" when conducting green credit operations, with the aim of leveraging the financial sector's capital influence to channel funds toward "sustainable economic activities", thereby driving corporate sustainable development and low-carbon transition.
Finance × ESG Research and Networking Platform
TCB has been a member of the "Finance x ESG Research & Networking Platform" founded jointly by the Taipei Foundation of Finance, BSI, and Google Taiwan since 2021. Exchanges with financial counterparts and the industry, the government, and academia are taking place periodically through "industrial exchange and experience-sharing workshops", focusing on topics such as sustainable finance, climate change, carbon reduction, and governance, promoting sustainable developments of the Taiwan Finance × ESG Ecology.
In 2023, TCB collaborated with technical experts from various fields to provide comprehensive and practical green financing solutions. Through its financial influence and active engagement with clients, TCB successfully supported more than 5,000 small and medium-sized enterprises (SMEs) in implementing carbon reduction initiatives and commitments, transforming ESG into a key driver of SME growth and business transformation.
In 2025, TCB continued its partnership with Dun & Bradstreet Taiwan as a co-organizer of the 12th Taiwan SME Elite Awards under the theme "AI-Powered Sustainability Transformation". The awards recognized 1,000 SMEs across Taiwan with outstanding growth potential and transformation capabilities. Leveraging its financial expertise and commitment to action, TCB supported SMEs in advancing sustainable transformation through AIenabled collaboration, further strengthening the positive influence of financial institutions across the value chain.
Promotion through Government and Civil Society
Government ｜State-owned Financial Businesses Joint Supplier Convention
TCFHC took part in the 5th State-owned Financial Businesses Joint Supplier Convention where the competent authority, experts and leading enterprises in the field of sustainability were invited. Enterprises continued to be encouraged to proactively take part in carbon reduction transition and sustainable development through keynote speeches. Meanwhile, the scope of applicable industries in the determination of sustainable economic activities is maximized to provide specific reference for enterprises in transition planning.
Civil Society ｜Asia-Pacific Sustainability Expo
TCFHC and nine other major state-owned financial institutions jointly took part in the 4th Asia-Pacific Sustainability Expo in 2025 to deepen the public awareness of sustainability through topics such as net zero carbon emissions, low carbon transition, and sustainable finance and to make the best of its financial influence combining core financial operations while marching towards a sustainable future jointly with stakeholders.
Just Transition Action
TCFHC is aware of the fact that its own operational plan and investment and financing decisions can all have a social impact on specific stakeholders in the promotion of the Climate Transition Plan. To ensure that net zero transition takes care also of social fairness and inclusiveness, TCFHC considers and evaluates concurrently the potential social risk of its carbon reduction action and adopts corresponding just transition action concerning possibly impacted stakeholders.
