Water Resource

Water Resource Management
Wang-Tien Factory area is located in Dadu District, Taichung City, and Zhangbin Plant is located in Changhua Coastal Industrial Park, Shengang Township, Changhua County. According to the Aqueduct Water Risk Atlas of the World Resources Institute (WRI), the overall water stress in the area where the plant is located is “Low - Medium (1-2)”. The manufacturing process of the Wang-Tien Factory area includes chemosynthesis and final product preparation. During the production process, water is an important medium and raw material. Manufacturing will face significant risks without a stable water source. Sources of water are underground water, tap water and surface water. Groundwater is the main source for manufacturing process which has no conflicts with the public use water. Tap water is mainly used for the water to be used by personnel. The use of underground water and surface water has obtained qualified water rights. Zhangbin Plant 's water source is tap water, mainly for system cooling and domestic use, and no water is directly used in the production process.

Water Discharge
The Company's Wang-Tien Factory and Biological Factory have wastewater treatment facilities. The process wastewater is discharged after proper treatment, and water quality monitoring and management are implemented. Wang-Tien 2nd Factory has no process wastewater and Zhangbin Plant only discharges domestic wastewater; the flow rate of the outlet is all sent to “Hsienhsi Sewage Treatment Plant in the Changhua Coastal Industrial Park” for subsequent treatment.For the best effects of water pollution prevention in ensuring that the production activities do not cause significant impacts to the environment, the Company has each year invested large number of resources to improving the efficiency of the wastewater system. In 2023, the invested environmental management cost is around NT$ 178 million, of which water pollution prevention fees stand at 50%. Thanks to the efforts of many parties, the actual discharge of process wastewater from Wang-Tien Factory in 2023 was reduced by approximately 18.7% compared with the annual permitted discharge, achieving the process wastewater emission reduction target. In 2024, the target is to achieve 18% lesser than the approved discharge for the year for continuous improvement.

1. Total water consumption = Total water withdrawal - Total water discharge. Water intensity = Total water withdrawal / Operating revenue
2. Assurance information on water consumption: Please refer to Sustainability Report。

Water Reduction Target
The water resource management policy adopts measurement, reduction, and recycling and reuse methods. Install meter at every unit for monitoring of every water resource consumption situation at all times. Regular review of the water consumption of the production by the unit. Through patrol inspection of factory to find out the source of the leaks for immediate handling, manufacturing process improvements, and increase the water recycling and reuse of the manufacturing process. The water recycling measures adopted in 2023 include the recycling of water discharged from back-washing of water treatment equipment, recycling of discharged water from RO water purifier, and recycling of rainwater. The total water recycling volume for the year is 7,068 metric tons. In addition, the Company's Wang-Tien Factory area has also planned to recycle effluents, and it is estimated that the target recycling of effluents in 2025 will reach 50%. The recycled water is preliminarily planned to be used for watering plants and untouched cooling water in the factory area, and it will be upgraded to general process water depending on the implementation situation.

Note: The Company aims to reduce its water withdrawal at the Wang-Tien Factory area by 20% in 2025 compared to the base year of 2020, and endeavored to take various water-saving and water recycling measures