Environment
Energy Management
●Strategy: Company-wide participation to improve energy efficiency, implement carbon reduction, and advance green production. Actions include supporting renewable energy development, increasing alternative energy utilization, and reducing dependence on fossil fuels.
● Goals of 2030:
◆Taiwan Parent Company targets a 10% reduction in unit product energy consumption (Base year:2019)
◆Alternative energy ratio: 25% (Taiwan Parent Company)；> 15% (Vietnam Binh Duong Paper Mill)
◆ Continue to expand renewable energy facilities at suitable sites
Digital ISO 50001 Management to Enhance Energy Performance
Guided by its energy policy of "Employee Participation, Energy Saving & Carbon Reduction, and Green Production," CLC has implemented ISO 50001 across its operations. Digital monitoring and smart analytics enable real-time, data-driven energy management, supporting performance tracking, continuous improvement, and achievement of energy saving targets.
In response to the MOEA Energy Administration's 1.5% annual electricity-saving target for major electricity consumers under Taiwan's net-zero roadmap, CLC incorporates this target into annual management indicators. Taiwan sites develop annual energy-saving plans covering cogeneration optimization, renewable energy installations, process and equipment upgrades, and smart energy management platforms. These measures improve energy efficiency and reduce emissions. Combining systematic management with digital tools, CLC advances its "Low-carbon, Green Energy Paper Industry" transformation, demonstrating its commitment to policy implementation and continuous improvement.
CLC introduced the ISO 50001 energy management system in 2013 and extended it to all Taiwan sites in 2015, establishing a cross-departmental Energy Management Committee to set energy-saving targets, regularly review energy consumption, monitor project performance, and improve resource and energy efficiency.
In 2022, CLC expanded ISO 50001 to overseas sites to unify energy performance indicators and management processes. As of 2025, all paper mills and plants in Vietnam secured certification, completing the Group-wide energy management system.
Carbon Abatement Initiatives
589 Energy-saving Projects Completed Since 2013
CLC optimizes energy efficiency through ISO 50001, smart management, and cross-site benchmarking. In 2025, Taiwan production sites invested NTD 54.44 million in 52 projects covering process improvements, equipment upgrades, and energy management. These saved 9,956,104 kWh (35,841.58 GJ), reduced emissions by 11,024 tCO2e, and cut energy costs by approximately NTD 58.58 million. Since 2013, 589 projects have saved 137,920,000 kWh and reduced emissions by 99,265 tCO2e.
In 2025, energy consumption per unit of production decreased 3.33% from 2019, missing the 5% target as market demand and equipment commissioning increased energy use. CLC will continue optimizing processes and equipment. Taiwan parent company divisional energy intensity was:
• Containerboard Division: down 0.02% to 8.79 GJ/ tonne of paper；
• Household Products & Paperboard Division: down 3.06% to 16.08 GJ/ tonne of paper, supported by Chupei Mill's biomass boiler；
• Corrugated Container Division: up 2.48% to 0.62 GJ/ 1,000 m2, due to production volume changes
Note: Company-wide improvement rate = Sum of (each site's improvement rate relative to the baseline × its share of total energy consumption). The result is expressed as the change in energy consumption per unit of production. Positive rates indicate decreases; negative rates indicate increases. All energy values are converted to GJ.
Developing 4 Green Energy Systems and
Seizing Green Opportunities
Expanding Renewable Energy Capacity: Surpassing Green Energy Targets for Major Electricity Consumers
CLC combines sites geography and production characteristics to develop renewable energy and energy circularity hubs. Pioneering onshore wind, industry-first solar PV, biogas demonstration projects, and efficient biomass cogeneration, CLC expects Taiwan's installed renewable energy capacity to reach 14,054.3 kW in 2026.
Houli Mill met the 10% renewable energy capacity requirement for major electricity consumers ahead of the 2025 deadline. Chupei Mill's biomass cogeneration supplies stable onsite power, actively strengthening its energy self-sufficiency. Under its "Coal Reduction and Energy Creation" strategy, CLC established an Agricultural and Forestry Material Resource Taskforce to expand solid recovered fuel (SRF) use and agricultural and forestry residue recycling, increasing alternative energy use.
The Industry's Only Holder of Wind and Solar Certificates: 17,157 T-RECs
CLC introduced wind turbines in 2003, becoming Taiwan's first paper company to obtain wind renewable energy certificates in 2017. Solar certificates followed in 2023, making CLC the industry's only holder of both types. Chupei Mill's wind system, damaged in 2022 with repairs delayed by the pandemic, resumed operation in March 2025.
By year-end 2025, CLC had accumulated 13,531 wind and 3,626 solar certificates, totaling 17,157 TRECs—equivalent to annual electricity use by 4,766 households, based on Taipower's 10-year average of 300 kWh per household monthly.
Turning Biogas and Wastewater into Energy
Tayuan Mill's two 1,200 kW gas engine generators began commercial operation in 2022. In 2025, they generated over 11.8 million kWh and reduced emissions by over 5,600 tCO2e. A waste heat recovery boiler converts exhaust heat into approximately 6,200 tonnes of steam annually for papermaking.
Houli Mill plans 2 biogas generators totaling 1,998 kW (999 kW each), scheduled to begin generating power in 2026. Annual output is projected at 14 million kWh, reducing emissions by approximately 6,636 tCO2e.
CLC will assess joining the Ministry of Environment's wastewater to-energy project, leveraging its papermaking and wastewater energy recovery expertise. Through the "1+N" model linking large and small enterprises, CLC aims to engage industry, government, and academia in smart, low-carbon wastewater resource recovery to generate energy, reduce emissions, and advance sustainability.。
CLC develops renewable power suited to its sites and papermaking operations. Biogas and selected solar PV systems feed the grid under the feed-in tariff (FiT) scheme; Chupei's wind and Houli's solar PV supply onsite use. Renewable energy shares reached 0.09% for the Taiwan parent company in 2025, up from 0.04% in 2024, and 0.41% at Vietnam's solar-equipped Binh Duong Mill.
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Expanding Low-carbon Circular Alternative Energy for Net-zero Transition
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With 98% of Taiwan's energy imported, CLC develops alternative fuels from process by-products, including wood chips and pulp residues, to improve efficiency and reduce fossil fuel dependence. Technology enhances fuel availability and quality, increasing alternative energy use.
Establishment of Agricultural and Forestry Material Resource Taskforce to Promote Circular Alternative Fuels
CLC's Taiwan parent company targets alternative energy shares of 20% by 2025 and 25% by 2030. Formed under the Climate Change and Circular Economy Office in 2022, the Agroforestry Material Resource Utilization Taskforce advances fuel reuse, secures domestic and overseas biomass supplies, and strengthens Taiwan's sustainable supply ecosystem. Binh Duong Mill targets over 15% in the short to medium term.
2025 Achievements:
replacing over 140,000 tonnes of coal worldwide
•Continued expanding domestic biomass processing, including roadside tree trimmings and waste wood.
•Taiwan Parent Company: Achieved an 18.65% alternative energy ratio (328,138 tonnes), replacing 97,697 tonnes of coal. Missed the 2025 target due to scheduled boiler maintenance and overhauls that reduced usage.
•Vietnam Binh Duong Paper Mill: Achieved an 13.09% alternative energy ratio (49,398 tonnes), replacing 43,371 tonnes of coal. Missed the 2025 target due to cost-based adjustments that flexibly optimized usage.
