Practice Green Commitment and Create Sustainable Environment

Novatek passed the LRQA verification on May 10, 2007 and was awarded ISO 14001 Environmental Management System and ISO 45001 Occupational Safety and Health Management System certificates. The current certificate is valid from May 29, 2022 to May 28, 2025. We formulates environmental sustainability policies that focus on daily resource management, promotes energy-saving and carbon-reduction solutions, waste and water management, green procurement practices for office products and mountain and forest protection, continuing to strive for environmental sustainability.

 

Every Novatek employee is expected to regard the environment, safety, health, and energy as his/her responsibility. Novatek is committed to sustainable operation and development, ensuring that the nature and scale of environmental impacts, occupational health, safety risks, and energy usage align with legal requirements. The Company strives to minimize activities that may have a negative impact on the environment, safety, health, and energy usage. To reduce the environmental impact of the Company’s activities, Novatek promises:

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Waste management

Novatek is an IC design company engaged in product design and sales. The production of our products is carried out by professional foundries and packaging & testing houses. Waste includes general industrial waste, daily life waste, and industrial waste (chip waste). In the management of chip waste, defective chips produced by outsourced manufacturers are recycled and reused as resources. Waste chips are delivered to professional treatment plants for the recovery of gold, silicon, or other heavy metals. In 2023, the volume of gold recovered reached 61 kg (equivalent to recycling 1.33 million mobile phones).

In 2023, the total weight of waste amounted to 395.90 metric tons, with a density of 0.003585 metric tons per NT$million in revenue. The general industrial waste recycling rate reached 58.74%, surpassing the annual target recycling rate of >50%. These waste emission statistics were disclosed and verified by LRQA Taiwan, a third-party impartial institution, meeting the limited assurance level of ISO 14064-1:2018 standard for greenhouse gas inventory (Scope 3). Novatek will continue to use waste reduction and waste re-utilization as strategies. The recycling target for 2024 remains at >50%. In 2023, the waste IC recycling rate exceeded 90%, achieving an annual target recycling rate of >90%. The goal for waste IC recycling in 2024 will also be maintained at >90%. Novatek ensures compliance with legal and contractual requirements for waste disposal and handling processes through regular supplier audits, GPS tracking of transport vehicles, declaration of waste disposal forms, and verification of weighing records. Starting from 2024, the EHS (Environmental, Health, Safety) and Energy Management Committee will review performance quarterly. They will assess the target execution rates and identify any instances of falling behind or inability to achieve targets, followed by formulating corrective action plans.

Statistics of waste disposal in 2023

Category

Type of wasteNote1 Disposal method

Amount disposed in 2022

(Metric tons)

Amount disposed in 2023

(Metric tons)

RatioNote2
General industrial waste General waste

Incinerated

(including energy recovery)

24.30 19.15 41.26%
Waste paper, iron/alloy, containers, waste light sources Recycled 25.46 27.26 58.74%
Total 49.76 46.41 100.00%
Density (metric tons/NT$ million) 0.000453 0.000420  
General industrial waste recycling rate >50% 51.17% 58.74%  

 

Note 1: The data coverage is limited to the two operating sites of Novatek located in the Hsinchu Science Park-R&D and Technology Building (General Garbage: Ministry of Environment Waste Code D-1801, D-0701, D-0799)

Note 2: Ratio= Amount disposed by waste type/Total amount disposed

 


Category

Type of wasteNote1

Disposal method

Amount disposed in 2022 Note 2

(Metric tons)

Amount disposed in 2023 Note 2

 (Metric tons)

Daily life waste

Waste from daily life of employees

Incinerated

(including energy recovery)

272.29

 317.52
Total

272.29

317.52 

 

Note 1: The data covers five operating sites of Novatek in Taiwan, including the R&D, Technology and Tai Yuan Building in the Hsinchu area, as well as the Taipei and Tainan offices. The average production of daily waste per person is 1.32 kg (Waste from daily life of employees: Ministry of Environment Waste Code H-0002)

Note 2: Amount disposed= Number of employees x Working days x The average production of daily waste per person x 1/3 (The Daily working hours is calculated as 8 hours)

 

 

Category Type of waste Disposal method

Amount disposed in 2022

(Metric tons)

Amount disposed in 2023

(Metric tons)

RatioNote1

Amount of gold recycled (kg)

Mobile phonesNote2 (Set)

Industrial waste Waste driver chip Outsourced disposal

24.80

16.45

51.44%

61

1,338,308
Waste SoCs Outsourced disposal

25.48

15.52

48.56%

 -  
Total

50.28

31.97

100.00%

-

 
Density (metric tons/NT$ million)

0.000457

0.000290

     
Waste chip recycling rate (>90%)   >90% >90%      

 

Note 1: Ratio= Amount disposed by waste type/Total amount disposed

Note 2: According to a report by the Ministry of Environment, approximately 1 kg of gold can be extracted from 22,000 mobile phones

 

 

Gold recovery (circular economy diagram)

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Water management

Novatek has no manufacturing plants; therefore, its water management mainly involves water for domestic use, air-conditioning system condensate, and cooling water for data centers. In 2023, the water consumption was 95,122 m3, an increase of 1,634 m3 compared to 2022 (water saving rate: -1.75%). The main reasons for the increase were the increase in the number of employees and the increase in electricity demand due to higher temperatures, leading to increased water usage for cooling towers and domestic purposes. Despite the increase in water consumption in 2023, Novatek continues to monitor water resources and implement reduction measures. Based on water usage data from the Hsinchu facility in 2023, the per capita water consumption decreased from 40.92 m3 in 2022 to 39.36 m3 in 2023, representing a per capita water saving rate of 3.81%. The annual water saving plan saved a total of 7,302 m3 (1,000 L) of water, equivalent to the daily water usage of 7,302 households. The target for per capita water consumption in 2024 is a 1% year-over-year decrease, and the performance will be reviewed quarterly by the EHS and Energy Management Committee to assess target achievement and formulate follow-up strategies.

 

  • Note:According to the "Research on Water Consumption Control for Residential and Office Buildings" conducted by the Architecture and Building Research Institute of the Ministry of the Interior, the estimated daily water consumption per person is 250 L. For general residential buildings, the water consumption is calculated based on an average of four persons per household, which is equivalent to a daily water consumption of 1,000 L (1 m3) per household.

Annual water saving plan and results

Water saving plan Improvement measures Water consumption performance
1.Water quality improvement for the cooling tower in the Technology Building Replacing chemical treatment with physical treatment and using long-fiber filters to reduce environmental impact and lower the water discharge required for chemical treatment; the water quality improvement project for the cooling tower was completed in September 2022. In 2023, due to the implementation of improvement measures, discharge from the cooling tower decreased by 6,228 m3, resulting in a water saving rate of 63.4%.
2.Activation of water recycling system The Tai Yuan Building in Zhubei was awarded the Green Building Label (Silver Level) by the Ministry of the Interior in 2021 and activated the water recycling system. In 2023, a total of  696 m3 of water was recycled by collecting rainwater and RO water for use in gardening and irrigation, improving the overall water efficiency.
3.Installation of water-saving toilets As water-saving efficiency continues to improve, we will gradually replace the toilets in our operating sites with gold-level water-saving models. In 2023, the Technology Building completed the replacement of all old-style toilets (a total of 60 units), resulting in water savings of 378.5 m3, calculated based on a water saving of 1.2 L per use.
 

Statistics on water resources for the past 4 years

Unit: m3 (1,000 L)

Statistics on water resources 

2020 2021 2022 2023
Water Intake (Tap Water) 80,426 98,113 93,489 95,122

Water Recycled

(Rainwater, RO Wastewater)

- - 484 696
Total Water Intake 80,426 98,113 93,973 95,818

Total Water Discharge

 64,341 78,490 74,791 76,098

Total Water Consumption

15,905 19,623 19,182 19,720

Per Capita Water Usage Note 1

40.08 46.32 40.92 39.36

Per Capita Water Saving Rate Note 2

- -15.57% 11.66% 3.81%

Note 1:Per capita water usage = Average of (Monthly water intake ÷ number of employees in the month) x 12 months

Note 2:Per capita water saving rate = (Per capita water usage of the previous year - Per capita water usage of the current year) ÷ Per capita water usage of the previous year

Note 3:The data for recycled water volume has been collected since 2022 when the water recycling system was implemented.

Note 4:Total water discharge is measured according to the method used by the Hsinchu Science Park wastewater treatment plant.

Note 5:The data is limited to Novatek’s operating sites in Hsinchu.

Green Procurement Environmental Action

Novatek is committed to green environmental protection and continuously implements energy-saving and carbon-reduction projects in various offices. In addition to purchasing household and office paper products certified by FSC and PEFC Note, the Company promotes environmentally friendly forest certification. It also implements initiatives such as recycling multi-function printer consumables, providing employees with personal stainless steel eco-friendly tableware, and prioritizing the use of paper products for disposable lunch boxes. These green office measures have been implemented and are continuously promoted. Furthermore, Novatek is dedicated to launching new action plans to fulfill its commitment to environmental protection. The achievements in 2023 are as follows:

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Maintenance of Yushan National Park Trails

Sponsorship

 

Since 2007, an annual budget of NT$500,000 has been donated for trail maintenance, for a total of NT$8.5 million over 17 years. This sustained effort is dedicated to the conservation and sustainable preservation of Taiwan's high-mountain forest ecosystems.

 

Action plans

 

  • Since 2007, Novatek has donated NT$ 500,000 for the maintenance of Yushan National Park trails every year, maintaining trail facilities, cleaning the environment and promoting mountain hiking safety, and participating in public welfare activities such as ecological conservation and environmental education. The scope of the sponsorship includes:

(1) Facilities such as hiking trails and mountain cabins in Yushan National Park

(2) Sponsoring the promotion of Yushan National Park-related activities

 

  • Over the years, Novatek has safeguarded the safety of 683,996 hikers from around the world.

 

  • A total of 646 Novatek employees, including family members (718 in total), have successfully completed the challenge of getting to the top of Yushan and have been educated on the concept of ecological environment conservation.A total of 646 Novatek employees, including family members (718 in total), have successfully completed the challenge of getting to the top of Yushan and have been educated on the concept of ecological environment conservation.
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Sponsored the "Sea Viewing Park" of the Hsinchu Air Quality Purification Zone

Sponsorship

 

Starting from 2022, volunteers of Novatek regularly visit the "Sea Viewing Park" of the Hsinchu Air Quality Purification Zone to carry out environment cleaning work for 2 consecutive years. In 2023, four sessions of volunteering work were held for this purpose.

 

Action plans

 

  • Novatek has sponsored the "Sea Viewing Park" of the Hsinchu Air Quality Purification Zone for 2 consecutive years. This area has a total of 69 plants with a carbon sink capacity of 4.237 metric tons of CO2e, which can naturally purify 6,007 metric tons of CO2e The Company has also voluntarily expanded its maintenance and sponsorship area beyond the original one-hectare zone, demonstrating its commitment to promoting environmental sustainability and preserving the natural ecology through the joint efforts of the Company and its volunteers.
  • In 2023, 21 volunteer hours were contributed, with a total of 39 volunteer hours invested over the years. Link to In 2023, 21 volunteer hours were contributed, with a total of 39 volunteer hours invested over the years.
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Beach Cleanup Event

Sponsorship

 

Novatek Foundation organized three Beach Cleanup events in 2023.Novatek Foundation organized three Beach Cleanup events in 2023.

 

Action plans

 

  • Under the one-on-one guidance of Novatek volunteers, visually impaired students from Taichung and Changhua, students from the Night Angel Program in Hsinchu County/City, and disadvantaged students from orphanages have collectively removed over 105.5 kg of marine debris from Keelung and Da'an Beach in Taichung. Through environmental education and practical action, Novatek aims to instill in these students the correct concepts and attitudes towards environmental conservation.
  • At the Da'an Beach cleanup event in Taichung, Novatek also invited visually impaired adults from the Taichung Biking Association for the Visually Impaired to join in, offering them their first-ever beach cleanup experience and ecological learning opportunity. By involving local community volunteers in events, Novatek aims to broaden its social impact.
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Spotlight
Environment Spotlight

Beneficiary feedback of Mountain and Forest Protection

In 2022, the following projects were conducted to improve the safety and service quality of mountaineering in Yushan National Park: Waterproof work boots required for emergency rescue work: Considering that emergency rescue work often involves adverse weather conditions (such as heavy rain or icy roads), the Company provides emergency rescue equipment for on-site mountain rescue personnel at the Paiyun Lodge and the Paiyun Station to ensure the safety and efficiency of their work. Purchase and installation of anti-lost poles on the Yushan North Peak Trail: From the Yushan North Main Entrance to the Yushan North Peak Trail, due to the growing of the Yushan Rhododendron and Juniper shrub, mountain hikers often get lost. In consideration of hiking safety, anti-lost poles were installed at locations where it is easy to get lost after a survey in 2021. However, due to some areas still experiencing hikers getting lost, additional anti-lost poles were purchased and installed in 2022 to reinforce the trail markers and reminders.

Jing-Ru Hsu Technical Specialist /Park Service Team of Yushan National Park Headquarters

Protect Biodiversity

As Novatek strives to fulfill its environmental responsibility and monitor international developments, mitigation of environmental impacts remains a top priority. Novatek incorporates biodiversity risk factors into its assessments and develops response action plans. Through concrete actions, and by leveraging corporate strength, the Company aims to preserve natural ecosystems and achieve the United Nations Sustainable Development Goals (SDGs). In 2024, Novatek officially integrated biodiversity into its corporate sustainability strategy, aiming to mitigate the crises and impacts of climate change through the implementation of corporate sustainability.

Promote smart green building initiatives

Aside from receiving the "Green Building Label (Silver Level)" for the Tai Yuan Building in 2021, in 2023, the Company began planning and building the Tainan Research Center in the Tainan Science Park in response to the Company's long-term sustainable development needs. During the new facility’s design phase, Novatek integrated human-centered and low-carbon energy concepts as the guiding principles for the building's planning and design. This approach not only aligns closely with the needs of Novatek’s employees but also follows the international trend toward net-zero emissions. The aim is to establish a green, healthy, and smart sustainable research center to uphold the Company’s green operational policies. Construction of the Tainan Research Center is expected to be completed in 2027.

Gold recovery from scrap ICs

In addition to the reduction and recycling of domestic general waste, we also strengthened chip waste management. Novatek recycles defective IC products and delivers driver IC waste to professional waste treatment operator for gold recovery. In 2023, the volume of gold recovered reached 61 kg (equivalent to recycling 1.33 million mobile phones). The Company transfers the recovered gold back into the gold bump supply chain for production or process metals such as silicon into building materials for water conservancy, building protection dams, and other facilities, thereby achieving the purpose of circular economy, promoting the development of urban mining, reducing the use of raw materials as well as the generation of waste, and minimizing the impact on the environment.