Charting the Path to Carbon Neutrality
In response to the myriad challenges brought about by climate change in recent years, international communities, various industries, and local organizations have prioritized this issue, jointly promoting a shift toward net-zero transformation. Taiwan has also spared no effort in participating, announcing in 2021 its goal to achieve net-zero emissions by 2050 and successfully passing the "Climate Change Response Act" in 2023. As part of the local aerospace industry, AIDC feels a profound responsibility and has therefore established a path and interim goals to reach carbon neutrality by 2050. Under the "ESG Promotion Committee," a special "Carbon Neutrality Promotion Team" was formed to comprehensively push forward initiatives such as energy saving, solar power generation, and waste reduction, actively addressing the challenges of achieving net-zero carbon emissions.
Expanding into the Energy Market
To respond to the global goal of net-zero carbon emissions by 2050, the Taiwanese government is vigorously promoting the energy transition of domestic industries. Within this context, renewable energies such as solar and wind power are limited by natural conditions, but have also spurred rapid growth in the demand for energy storage technologies and quick-start power generation equipment. AIDC, in line with national policies and leveraging its technological advantages, extends high-end aerospace technologies to biogas power generation, energy storage systems, and gas turbines. In 2021, AIDC established a 5MW energy storage system, successfully joining Taiwan Power Company’s electricity trading platform to provide ancillary services. By the end of 2023, AIDC’s three self-built energy storage sites continued to contribute stable revenue. Additionally, the company has also undertaken turnkey projects for Taiwan Power Company (Tongxiao), CPC Corporation (Yongan and Wuci), gaining reputation and visibility. Furthermore, AIDC has collaborated with General Electric, committed to building gas turbine generators, hoping to support the transformation of more domestic enterprises in the future, further enhancing the stability and resilience of the national power grid, and contributing to the energy transition.
Creating Sustainable Value
As countries gradually coexist with the pandemic and ease border controls, the global aviation industry is also slowly recovering. During this period, AIDC not only implemented "increasing revenue, cutting costs, and hunkering down" as its three response strategies but also adhered to the principles of "no layoffs, no salary cuts, and no unpaid leave," maintaining optimal staffing and equipment conditions, and seizing post-pandemic industry recovery opportunities. AIDC is keenly aware of its impact on all stakeholders and, guided by the three core ESG values of "corporate governance," "social responsibility," and "environmental friendliness," is committed to sustainable management. In 2023, our efforts continued to be widely recognized, including receiving the "National Corporate Environmental Award Silver," "2023 TCSA Taiwan Corporate Sustainability Award," and the "TTQS Gold Medal Certificate" from the Ministry of Labor’s Development Agency, among other ESG honors. Additionally, we are making continued progress towards our goals in ESG information disclosure, completing the CDP climate change questionnaire for the second time in 2023. Looking forward, AIDC will not only focus on the development of its aviation manufacturing business but will also continue to explore markets related to achieving net-zero carbon emissions, creating more sustainable value, and taking up the responsibility of practicing ESG, striving for social integration, environmental sustainability, and the resilient development of the enterprise.
Chairman
