Environmental
We have set up teams and goals to ensure environmental protection and commit to create an environmental awareness with a view to becoming a sustainable benchmark for other Taiwanese companies.
Environmental Management System
China Development Financial (CDF) has received the ISO 14001 Environmental Management System certification in December 2015.
Milestones
2008 - 2021
Signed up Carbon Disclosure Project (CDP)
Signed up TCFD (Task Force in Climate-related Financial Disclosures)
INSTALLED PV SYSTEMS IN THE NEW HEADQUARTERS AND BEIMEN BRANCH
CONSTITUENT OF BOTH DJSI WORLD AND DJSI EMERGING MARKETS
FIRST FINANCIAL HOLDING COMPANY COMMITED TO REACH NET-ZERO CARBON EMISSIONS FOR ITS TOTAL PORTFOLIO BY 2045 AND CARBON NEUTRAL IN ALL OPERATIONS BY 2030
Responsible Procurement
Responsible Procurement (green purchasing) Policy
Apply Selection Criteria Based on Energy Saving Capacity
Set awarding criteria which encourages equipment and products that emit less pollutant, are more energy efficiency, and are eco-label certified or verified by relevant manufacturing directives.
Assess the Actual Needs
A thorough needs analysis involving the relevant stakeholders will help define the scope for greening the contract as well as avoiding unnecessary purchases.
Reduce Purchases of Single-Use Disposable Items
Consider alternatives which offer reusability and durability to minimize environmental impact.
STEP 1 Target
Consider alternatives which offer reusability and durability to minimize environmental impact.
STEP 2 Project
  1. Prerequisites
    • Purchase Energy Star or eco-label certified servers, PCs, NBs, and monitors.
    • Purchase FSC and PEFC-certified photocopy paper only.
    • Use eco-label certified leased printers and toner cartridges, drum units, and purchased printers and toner cartridges only.
  2. Priorities
    • Rent eco-label certified corporate vehicles and prioritize low-carbon-labeled products.
    • Prioritize eco-friendly and water-saving building materials for construction projects.
    • Prioritize energy-saving or eco-label or Energy Star certified equipment and electrical equipment.
STEP 3 Performance
  • CDF and China Life Insurance were selected by the Department of Environmental Protection, Taipei City Government as "the top private firm and group in green procurement" for a third and fifth consecutive year, respectively, in 2020.
  • CDF and China Life Insurance were selected by the Environmental Protection Administration, Executive Yuan as "the top private firm and group in green procurement in 2019" for a second consecutive year and the first year, respectively, in 2020.
  • The Group increased the amount of green procurement to NT$188.55 million in 2020, a 43.8% increase vs. 2019. Of the total green procurement, NT$83.73 million was granted a total of 20 eco-labels by the Environmental Protection Administration.
STEP 1 Target
Percentage of local suppliers at and above 80%
STEP 2 Project
We have begun calculating the percentage of the Group’s locally-sourced suppliers since 2016 and set the rule of having to conduct 80% or higher of procurement with local suppliers in 2017
STEP 3 Performance
Achieved the percentage of procurement from local suppliers at 84.56%
STEP 1 Target
Extended scope of green procurement
STEP 2 Project
Expand the scope of green procurement within the Group and include the suppliers' business operations in the GHG emission inventory
STEP 3 Performance
In 2020, the scope of green procurement extended from CDF and major subsidiaries (CDIB Capital Group, KGI Bank, KGI Securities, and China Life Insurance) to China Development Asset Management Corporation (subsidiary) and CDIB Capital Management Corporation, CDC Finance & Leasing Corporation, KGI Futures, KGI Securities Investment Trust, and KGI Securities Investment Advisory (sub-subsidiaries); in addition, carbon emissions from the suppliers' business operations such as the delivery of photocopy paper and printer repair and maintenance services were also included in the inventory (totaling 7.78 metric tons of CO2e in 2020).
Supplier Management

CDF continues to strengthen internal controls in procurement operations and supplier management. Having the "Enforcement Rules of Corporate Social Responsibility for Suppliers" in place, we continue to enhance measures for supplier management. Through pre-screening, performance management, on-site inspections, annual supplier evaluation and self-evaluation, unscheduled supplier CSR awareness promotion, and annual supplier commendation, we have selected and classified suppliers based on their professionalism, technical certifications, track record of performance and environmental friendliness, and awareness of human rights and climate-related issues. On selection, suppliers have to agree to comply with the statutory requirements for labor rights and human rights (including prohibition of using child labor), labor health and workplace safety and health, environmental protection, and ethical corporate management to create a balance in sustainable development of the economy, environment, and society by signing the "Supplier CSR Commitment Letter.

Suppliers are supervised and managed as per contract to prevent material adverse impacts, environmentally and socially, and to fulfill CSR. In case of failure to make suitable improvement in the given time frame on violations of CSR commitment which have significant impact on the environment, society, or labor rights, CDF may terminate, suspend and revoke the contract, impose penalties, and possibly disqualify under exceptional circumstance. In 2020, no supplier was penalized or disqualified by CDF; however, one supplier was found in the supplier evaluation to give false quotations and was therefore graded E and excluded from subsequent transactions.

As of 2020, 975 suppliers had signed the Supplier CSR Commitment Letter, representing an annual increase of 45.3%. From 2017 to 2020, 100% of our local major suppliers (Note) signed the Supplier CSR Commitment Letter. From 2018 to 2020, 100% of our new suppliers signed the Supplier CSR Commitment Letter.

Supplier Management
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Giving Back To Society
Whether it is charity programs, emergency aid, industry-academia cooperation, or talent cultivation, the core we focus on most will never change: the positive driving force that education brings to society.