Corporate Sustainability Management

ECOVE is actively promoting sustainable development, expanding its business scope based on the development of four core fields: "Energy from Waste," "Recycling and Reuse," "Renewable Energy" and "Establishment and maintenance of system infrastructure." We not only pay attention to global and domestic trends in sustainable development, but also actively respond to the United Nations Sustainable Development Goals (SDGs). We disclose our sustainability performance with transparency and integrity, ensuring that all relevant actions and strategies are clearly presented. Under a comprehensive sustainable management framework, ECOVE not only ensures stable operational growth but also strengthens the practices of corporate social responsibility. The Sustainability Report serves as a bridge for ongoing dialogue, collaboratively creating and enhancing sustainable value with all stakeholders, as the Company is committed to long-term ESG benefits.
　

Sustainability Policy and Promotion Structure

Sustainable Policy and Vision

Every Resource Counts is the core spirit of ECOVE in promoting sustainable development. We have deeply embedded the operational model of the circular economy into our corporate culture and established the vision of making sustainability the core competitive advantage and essence of the Company. To achieve this goal, ECOVE adopts a strategy of aligning our core business with the SDGs and addressing key issues, and embeds sustainability concepts into all aspects of the Company's operations.

CTCI Group, our parent company, has adopted the Science Based Targets initiative (SBTi) and has set carbon reduction targets in accordance with the 1.5℃ pathway standard. Therefore, ECOVE expects its Headquarters building to achieve net zero by 2030, while its subsidiaries are required to reduce emissions by 30% from the 2022 base year and achieve net zero by 2050.
　

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To further practice the spirit of corporate sustainability, ECOVE has developed the "Guidelines for Sustainable Development," which pledge to implement concrete actions in the following three key areas: enhancing corporate governance, developing sustainable environmental practices, and upholding social welfare. Furthermore, ECOVE strengthens the disclosure of information regarding corporate sustainability development, ensuring that the Company's sustainable actions can be reported transparently and clearly to stakeholders, while actively responding to societal and market expectations. We believe that only by balancing economic benefits with social and environmental responsibilities can we achieve long-term sustainable operations, thereby creating a more competitive and valuable future for the Company.
　

Every Resource Counts

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Corporate Sustainability Promotion Framework

The Board of Directors is the highest decision-making body of ECOVE in promoting sustainable development, and it is responsible for coordinating and guiding the Company's aairs related to corporate social responsibility, environmental protection, and corporate governance through the Sustainable Development Committee. The committee is chaired by the Chairman, with the President serving as the commissioner. It includes the Chairman, President, and department heads of subsidiary companies as members. The committee convenes twice a year. The first meeting focuses on reviewing the progress of sustainable development initiatives for the first half of the year, while the second meeting reviews the outcomes of the current year's implementation and discusses the sustainable development plan for the following year, ensuring the eective implementation and monitoring of each strategy.
　
To eectively implement sustainable development strategies, the committee has established three dedicated task forces: the Social Engagement Task Force, the Environmental Protection Task Force, and the Business Governance Task Force. These task forces consists of presidents of each subsidiary and department heads, with the primary objective of promoting sustainable development. Each task force plans and executes strategies within specific areas to ensure the comprehensive and in-depth implementation of the Company's sustainability development goals.
　

The organizational structure of the Sustainable Development Committee

In addition, the Sustainable Development Committee reports annually to the Board of Directors on the execution results of sustainable development (including resolutions of the Sustainability Report) and future plans. The Board of Directors is responsible for overseeing the Company's sustainable development policies, strategies, and objectives, and regularly reviews the eectiveness and implementation of each policy. The most recent report was submitted to the Board of Directors in the fourth quarter of 2025, presenting the sustainable annual plan and implementation targets for 2026. The report covered various topics of emphasis, including renewable energy development, greenhouse gas inventory and management, recycling and reuse initiatives, air pollution prevention, water resource management, fossil fuel management, occupational safety and health, talent attraction and retention, social participation, and corporate governance. ECOVE will continue to implement various sustainable development measures based on these plans, ensuring that the Company can achieve its economic objectives while also making a positive contribution to society and the environment. Starting in 2022, sustainable performance is linked to key performance indicators for directors, presidents, and senior executives in order to promote sustainable development.
　

International Financial Reporting Standards (IFRS) S1, S2 Disclosure Progress Planning

In accordance with the "Taiwan's Roadmap for Integrating with IFRS Sustainability Disclosure Standards" issued by the Financial Supervisory Commission on August 17, 2023, the Company continues to manage the implementation of the introduction plan in accordance with the reference guidelines and relevant regulations issued by the competent authority. The timeline for the implementation of the IFRS Sustainable Disclosure Standards is planned as follows, and their progress of implementation is reported to the Board of Directors every quarter:
　

Materiality Analysis

ECOVE is committed to addressing the specific challenges and opportunities of sustainability by incorporating the principles of inclusiveness, materiality, reliability, and the eight reporting principles of the GRI Standards 2021 GRI 3, which incorporates the principles of inclusiveness, materiality, reliability, and the eight reporting principles. Through a meticulous materiality analysis process, we identify the key issues for ECOVE and develop management policies to promote and achieve sustainable development. The materiality analysis is conducted annually. Material topics are concurrently integrated into the Company's Enterprise Risk Management (ERM) framework to assess risk attributes under dierent scenarios and formulate corresponding risk response strategies.
　

Identification

We adhere to the five principles of the AA1000 Stakeholder Engagement Standards (SES): Dependence, Responsibility, Tension, Influence, and Diverse Perspective. Through discussions, six major stakeholders were identified: shareholders/investors, customers, employees, suppliers/subcontractors, the community, and the government. In terms of sustainability, we gather both internal and external perspectives to identify issues related to ECOVE's operations. Our sources include internationally recognized sustainability standards and norms such as GRI, SDGs, TCFD, TNFD, IFRS S1/S2 (including SASB), and Guidance for Identifying Sustainable Economic Activities, etc. In addition, we consider our internal operational goals, sustainability requirements of the Group, international industry benchmarks, stakeholder feedback, and external expert recommendations to develop a comprehensive list of 18 issues relevant to ECOVE's operations. Compared with the 2024 Sustainability Report, two social topics in the 2025 Sustainability Report were consolidated, with "Talent Recruitment and Retention" and "Career Development and Training" integrated into "Talent Attraction, Development, Utilization, and Retention."
　

Analysis

ECOVE conducted a Critical Issue Analysis focusing on three dimensions: "Stakeholder Level of Concern", "Organizational Operational Impact" and "Sustainable Development Impact". By conducting internal and external surveys and analyzing the results, ECOVE identified material sustainability issues aecting the Company.
　

Validation

Based on the above analysis results, after discussions among representatives of the Sustainable Development Committee and reporting to the Chairman, and after confirmation and approval by the Board of Directors, 12 significant sustainability issues were determined. These significant sustainability issues correspond to 13 GRI themes and 2 specific ECOVE topics. Compared with the previous year, the number of material sustainability issues decreased from 14 to 12, with the following changes: "Information Security and Privacy Protection," "Human Rights Management," and "Enhancement of Social Influence" were removed; "Water Resource Management" and "Energy Management" were added. In addition, two issues, "Talent Recruitment and Retention" and "Career Development and Training," remained, but were consolidated into one issue, "Talent Attraction, Development, Utilization, and Retention." We also analyze the location of each issue within the value chain, including upstream, operations and downstream, to collect and disclose relevant information. We then establish management policies and targets to address sustainability impacts.
　

Dual Materiality of ECOVE Environment Corporation

Stakeholder Communication and Feedback

ECOVE has implemented a variety of communication mechanisms to actively listen to suggestions, understand stakeholder expectations and concerns, and drive improvements and enhancements. We have assessed the impact of stakeholders on ECOVE's operations using the AA 1000 SES:2015 framework and identified six key stakeholders: shareholders/ investors, customers, employees, suppliers/subcontractors, community and government.
 

Response to the United Nations' Sustainable Development Goals

Leveraging its core competencies, ECOVE began by conducting a thorough assessment of the organization's goals and practices. As a result, they identified 9 Sustainable Development Goals (SDGs)　that are highly relevant to ECOVE's work. We have integrated the Sustainable Development Goals (SDGs) into our operational activities to strengthen the Company's commitment to sustainable　development, minimize the impact of our operations, and capitalize on opportunities for sustainable growth.
 　

Participation in External Organizations

Participation in Associations and Organizations

Maintaining close connections with industry developments and emerging technologies is a core strategy for ECOVE to continuously enhance service competitiveness and expand its industry influence. The Company actively participates in industry associations and academic organizations related to environmental protection, green energy, and sustainable development, promoting academic exchange and technological advancement through diverse platforms while expanding market opportunities and strengthening industry influence. In 2025, the Company participated in a total of 13 external trade associations, with annual participation expenditures amounting to NT$435,000, demonstrating ECOVE's proactive commitment to deepening collaboration and co-creating industry value.
　

In addition, ECOVE has accumulated over 20 years of experience in waste incineration operations and has made significant developments in areas such as solar energy and recycling in recent years. In addition to being invited to share Taiwan's experience at domestic and international forums, ECOVE has also been featured in various key media. For example, ECOVE's research on "Application of Nanocrystalline Materials in Solar Module Cables and Connectors to Improve Power Generation Loss" was published on the website of an internationally renowned journal in 2025.
　

Source: May 2025, Power Magazine

Participation in Seminars or Forums

ECOVE actively participates in national and regional environmental policies and issues, and we share more than 20 years of experience in resource cycle industry development and operational strategies with public and private groups from government, industry, and academia, as well as the public in response to invitations from domestic and overseas governmental or non-governmental organizations. This helps to build cornerstones in the resource circular economy and ensure that we stay on top of the trends. In 2025, representatives of ECOVE attended a total of 18 lectures or forums, with the key activities listed as follows:
　

Industry Initiative

ECOVE actively participates in industry initiatives and leverages its extensive practical experience to support the development and exchange of sustainability policies, standards, and regulations. In 2025, the Company engaged in multiple cross-ministerial and industry platforms, contributing professional expertise in policy formulation, talent development, and low-carbon transition.
　
In the area of talent development, ECOVE was invited to serve as a reviewer for the final presentations of the "Green Engineering Talent Cultivation Program" organized by the Department of Information and Technology Education, Ministry of Education. From an engineering practice perspective, ECOVE supported the development of green engineering talent and the implementation of practical outcomes. The Company also participated in the "Low-Carbon Personnel Training Course of the Industrial Development Administration, Ministry of Economic Affairs - Sharing of Enterprise Carbon Reduction Examples," sharing practical experience in corporate greenhouse gas inventory and carbon reduction initiatives to enhance the industry's low-carbon capabilities.
　
In terms of sustainability standards and regulatory development, ECOVE participated in the "Consultation Meeting for the Resource Circulation Industry Sustainability Leadership Guidance Manual" commissioned by the Resource Circulation Administration, Ministry of Environment and conducted by National Chung Hsing University. The Company provided recommendations on the framework for resource circulation and sustainability governance, contributing to the establishment of an actionable sustainability roadmap for the industry. ECOVE also attended the "Expert Consultation Meeting on Net-Zero Sustainable Public Works Standards," providing professional insights on net-zero-related public works regulations to support improvements in policy design and feasibility assessment.
　
In addition, executives from ECOVE's subsidiary, ECOVE WMC, were invited to serve as adjunct assistant professors at the Department of Environmental Engineering and Science, Feng Chia University, and as audit committee members for the Resource Circulation Administration, Ministry of Environment, reviewing applications for the establishment and modification of Solid Recovered Fuel (SRF) facilities operated by environmental service companies. In these roles, they provided professional input on environmental engineering practices and supported the implementation of resource circulation policies.
　
Through such diverse engagements, ECOVE continues to contribute frontline industry experience to policy and regulatory discussions. By sharing knowledge and facilitating professional exchange, the Company strengthens overall sustainability governance and net-zero transition capabilities within the industry, thereby enhancing its positive influence on policy advancement.