Delta has implemented an ICP mechanism to accelerate carbon reduction initiatives

Delta’s important climate change and water security efforts include the establishment of an internal carbon price (ICP) mechanism since 2021 to accelerate carbon reduction activities, the successful 13.5 percent YoY decrease in its Scope 1 and 2 greenhouse gas (GHG) emissions.

Delta Electronics, a global provider of IoT-based Smart Green Solutions, was awarded double “A” ratings in CDP’s 2023 Climate Change and Water Security assessments for the third consecutive year. This year’s double “A” score was awarded to only 61 companies out of over 21,000 worldwide for their outstanding contributions to climate change and water security. Delta’s important climate change and water security efforts include the establishment of an internal carbon price (ICP) mechanism since 2021 to accelerate carbon reduction activities, the successful 13.5 percent YoY decrease in its Scope 1 and 2 greenhouse gas (GHG) emissions, the increase in the proportion of renewable electricity used in its global operations to 63 percent, and the reduction in its water withdrawal and water discharge by over 4 percent.

Jesse Chou, Delta’s Chief Sustainability Officer, said, “CDP honoring Delta’s climate change and water security endeavors with top scores for the third time is a major milestone for us. In 2023, Delta became a member of the Taskforce on Nature-Related Financial Disclosures (TNFD) Forum and completed the first biodiversity risk assessment of Delta’s sites. In January of this year, Delta also became an early TNFD adopter. Externally, we have incorporated our climate transition plan into our Annual Shareholders’ Meeting and quarterly investor conference agendas. Internally, we have completed a GHG inventory for 15 categories under Scope 3 to identify key areas for future emissions reduction. We look forward to collaborating closely with our value chain partners to achieve our ultimate net-zero SBT goal by 2050.”

Delta has been active in climate change governance. Since 2021, Delta’s senior executive performance indicators have included the percentage of renewable electricity achieved. Delta estimates it surpassed its 2023 renewable electricity usage target, reaching over 70 percent in its global operations comes from renewable sources, with the respective figure exceeding 80 percent in its Taiwan operations. Delta also implemented an ICP scheme in 2021, investing $300 per metric ton of CO2 emissions in energy-saving and carbon-reduction projects, as well as the development of carbon-negative technologies and low-carbon innovation, which contributes to the company’s progress toward RE100 and Net-zero SBT.

In terms of biodiversity, Delta has collaborated with the National Museum of Marine Science and Technology to establish Asia’s first zero-carbon coral conservation center. Through the Task Force on Climate-related Financial Disclosures (TCFD) framework, Delta assesses climate change risks and opportunities, translating them into operational strategies and actively exploring green opportunities such as electric vehicles, energy storage, and hydrogen energy.

Benjamin Lin, President, Delta Electronics India “This recognition reaffirms our unwavering dedication to sustainability. We are continuously pushing boundaries, implementing innovative solutions like internal carbon pricing and exploring green opportunities like EVs and hydrogen energy. We are confident in achieving our Net-Zero SBT goal by 2050 through collaboration with our stakeholders.”

Although Delta is not a significant water user, the company has defined strategic goals and techniques for water security management that are being implemented on a daily basis. In 2022, Delta undertook a water risk assessment for its global sites and developed a water resource policy for the entire firm. The Company also assessed its tier-1 suppliers engaged in business transactions and incorporated the assessment results into decision-making. Delta’s global water production intensity fell by 12.8 percent year on year in 2022, with total water withdrawal and discharge falling by 4 percent despite increasing income.

CDP’s annual assessment and scoring process is recognised as an important standard for environmental transparency.