CORPORATE SUSTAINABILITY RESPONSIBILITY
企業永續責任

Environmental Actions​

Biodiversity Policy Sustainable Project Site Sustainability Initiatives

Biodiversity and Natural Capital Commitment
A Sustainability Vision Rooted in Local Coexistence

  • A Sustainability Vision Rooted in Local Coexistence
    Guided by the principles of growing with local communities and coexisting with nature, we are committed to enhancing land value without compromising ecological integrity. Across all project sites in Taiwan, we strive to create broader opportunities and a more diverse quality of life for local residents.
    Since the launch of the Tainan Qigu Project in 2022, we have advanced this vision through early-stage assessments, community engagement, and the establishment of multi-dimensional ecological coexistence models. These efforts demonstrate our determination to go beyond commercial operations and uphold long-term sustainable values—creating shared prosperity for corporate development, local communities, and the natural environment.
    Anchored by our long-term vision of “Smarter Energy, Accessible Green,” HD Renewable Energy integrates solar, wind, aquaculture co-generation, energy storage, and EV ultra-charging through our three core business pillars—power development, asset management, and smart electricity services—providing responsible and sustainable green energy solutions to society.
  • Biodiversity Protection Commitment
    Amid accelerating climate change and rising resource risks, HD Renewable Energy regards natural capital as fundamental to corporate resilience and long-term value creation. In alignment with the UN Sustainable Development Goals (SDGs), we:
    • Adhere to the TNFD framework and follow our Natural Sustainability Management Policy.
    • Develop concrete action plans to reduce environmental impact and enhance natural capital value.
    • Establish transparent nature-related financial disclosures to promote a low-carbon, resource-efficient pathway to sustainable development.
  • Our Actions
    To address the global biodiversity crisis, HD Renewable Energy has integrated biodiversity considerations into core governance. In early 2024, Chairman Hsieh Yuan-Yi formally signed the Biodiversity Policy, committing to avoiding development in areas recognized—domestically or internationally—for their rich biodiversity. Upholding our values of sustainability and coexistence with nature, we aim for zero net deforestation and zero net loss as interim milestones, and target achieving a Net Positive Impact on biodiversity by 2050.
    Beyond environmental stewardship, HD Renewable Energy has adopted a comprehensive Human Rights Policy and is preparing to launch an employee satisfaction survey, reflecting our holistic commitment to the SDGs and long-term sustainable development.
  • Risk Assessment and Actions
    • Nature-related Assessment Method: The LEAP Approach
      HD Renewable Energy adopts the TNFD-aligned LEAP approach to assess the interaction between our business operations and the natural environment. This framework guides our governance, strategy, and disclosure processes. The four steps—Locate, Evaluate, Assess, and Prepare—are outlined as follows:
Locate
Identify key business activity locations

HDRE identifies the locations of key business activities to understand the distribution of operations and assets across the upstream, midstream, and downstream value chain, as well as across different regions. This process includes assessing the cost and revenue structure of each activity or location and analyzing the relationship between HDRE’s business scope and the natural environment. Priority is placed on evaluating the ecological conservation significance of operating sites, with headquarters and energy project sites serving as the primary focus.
Evaluate
Assess dependencies and impacts across key energy value chain activities

HDRE conducts a comprehensive review of how its energy value chain depends on and affects the natural environment. This assessment enhances HDRE’s understanding of operational vulnerabilities under nature-related changes and strengthens mechanisms for protecting ecosystem services. Key evaluation components include:

• Clearly defining business activity locations and the associated environmental assets and ecosystem services

 • Quantifying the impacts of business activities on the natural environment and surrounding communities

 • Analyzing the drivers of impact in depth to accurately identify priority areas for action
Assess 
Analyze nature-related risks and opportunities

HDRE evaluates its dependencies and impacts on nature to identify potential risks and emerging opportunities. Nature-related risks include climate change, resource scarcity, and ecosystem degradation, while opportunities arise from the expansion of renewable energy applications, increased demand for green technologies, and the growing value of ecological certifications. HDRE incorporates climate conditions into project site design and implements risk-mitigation measures such as water resource management and biodiversity-friendly operational practices.
Prepare 
Develop strategies and disclose assessment results

Based on the analysis of nature-related risks and opportunities, HDRE continues to refine existing measures and strengthen future strategic directions. HDRE’s TNFD disclosure outlines how nature-related risks affect operations, how ecosystem changes influence resource availability, and the ecological protection measures and outcomes implemented across project sites. Current initiatives—including energy-saving technologies, water resource management, and biodiversity-friendly production practices—have significantly reduced environmental risks. Moving forward, HDRE will further expand renewable energy deployment and smart green electricity systems, continually adjusting its risk-management strategies to respond to evolving environmental and market conditions.

Assessment of Interactions Between Renewable Energy Operations and the Natural Environment

HDRE applies the ENCORE (Exploring Natural Capital Opportunities, Risks and Exposure) tool to systematically assess the organization’s dependencies and impacts on natural capital, enabling accurate identification of environmental risks and opportunities. ENCORE allows HDRE to evaluate nature-related risks through the lens of economic sectors or production processes, clarifying key operational challenges and supporting the development of targeted response actions.
Focusing on HDRE’s core businesses—new energy project development and green electricity services—the assessment is conducted across two dimensions: dependence on ecosystem services and impacts on ecosystem services.

  • Assessment of Dependence on Ecosystem Services (Dependence Drivers)
    ENCORE analysis indicates that renewable energy operations rely on several critical ecosystem services, including:
Themes Groundwater Surface Water
Description

Stored water resources in permeable rock formations, soil, and sand-layer aquifers, replenished mainly through rainfall, snowmelt, and natural water flows.

Freshwater supplied from precipitation within catchment areas and natural water sources.
  • Assessment of Impacts on Ecosystem Services (Impact)

According to the Natural Capital Protocol (2016), impact refers to changes in the quantity or quality of natural capital resulting from specific drivers. The renewable energy sector’s primary environmental impacts include alterations to ecosystem conditions, biodiversity, and natural resource availability.

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HDRE manages these impacts through a comprehensive risk assessment and control framework that continuously monitors nature-related risks and reduces the ecological footprint of business activities. In parallel, HDRE actively explores innovative approaches to enhance the value of ecosystem services, ensuring a long-term balance between corporate development and environmental sustainability.

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  • Nature and Biodiversity Risk Matrix Analysis Results
    Following the ENCORE assessment, HDRE distributed a nature-related risk and opportunity evaluation questionnaire to internal managers and employees. Through this assessment, HDRE aims to further identify material nature-related risks and opportunities, enabling more targeted management of specific themes in the future.
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Biodiversity Management and Action Plan

Against the backdrop of global climate change and rapidly evolving natural environments, HDRE recognizes the critical importance of sustainable development. As countries worldwide face increasingly severe challenges such as biodiversity loss, HDRE is taking concrete actions to respond. Since 2024, HDRE has formally integrated the Taskforce on Nature-related Financial Disclosures (TNFD) framework into its operations and disclosure processes. Through identifying, assessing, and disclosing nature-related risks and opportunities, HDRE strengthens its management of biodiversity, natural resources, and ecosystem services, thereby enhancing long-term competitiveness and sustainability capability.

TNFD 
Four Core Pillars		 Key Execution Items Responsible Units
Governance
  • The Sustainability Development Office consolidates nature and biodiversity management topics identified by each department. Relevant internal units are responsible for managing these risks and issues, while the Sustainability Development Office tracks the implementation of environmental protection measures through regular meetings.
  • The Board of Directors plays a supervisory role in nature and biodiversity management, overseeing HDRE’s responses and solutions to these issues, with the goal of strengthening the corporation’s resilience to nature-related threats.
  • Board of Directors
  • Sustainability Development Office
Strategy
  • Through the TNFD framework, HDRE regularly identifies short-, medium-, and long-term nature and biodiversity risks and opportunities, evaluates their impacts on operations, strategy, and financial planning, and analyzes future market potential. HDRE ensures full preparedness for nature-related issues by conducting matrix analyses—based on TNFD recommendations and internal methodologies—according to different frequencies and impact levels of risks.
  • HDRE actively manages and formulates strategies for material risks and opportunities to strengthen operational resilience in the face of nature and biodiversity challenges.
  • Sustainability Development Office
  • Each Unit
Risk Management
  • For identified risks, relevant departments assess the impacts of nature-related risks on corporate operations and discuss corresponding response measures to ensure alignment with annual management plans. HDRE also evaluates potential impacts on biodiversity and natural ecosystems and develops integrated management plans.
  • HDRE assesses the severity of nature-related risks based on impact level and likelihood, and sets corresponding response plans with reference to scenario analysis results. These plans consider different climate and environmental scenarios to ensure HDRE can act effectively under various risks, minimizing negative impacts on operations and finances while protecting biodiversity and natural resources.
  • Sustainability Development Office
  • Each Unit
Metrics and Targets
  • HDRE has actively developed management indicators for water use, energy consumption, greenhouse gas emissions, and waste generation in recent years. Through AI technologies, HDRE continues to advance its smart green electricity IoT platform, moving toward becoming a “Smart Electricity Corporation.”
  • In support of Taiwan’s “2050 Net-Zero Emissions” policy, HDRE established an internal “Sustainable Development Policy,” committing to setting short-, medium-, and long-term decarbonization targets under the framework of Taiwan’s net-zero pathway. With 2050 net-zero emissions as the ultimate goal, HDRE aims to advance low-carbon operations and build a sustainable future characterized by ecological harmony, social inclusion, and economic growth.
  • Sustainability Development Office
  •  Each Unit

Natural Capital Management Process

HDRE has established a systematic natural capital management process consisting of four key steps:

Natural Capital Management Procedure
Risk and Opportunity Identification Impact Assessment Action Plan Development Metrics and Target Planning
Identify nature- and biodiversity-related risks and opportunities with reference to TNFD guidance, international standards, and benchmarking of peer companies.

Assess the significance of risks and opportunities through external consultant studies and internal cross-departmental meetings, followed by matrix analysis.

Develop concrete action plans to build corporate resilience and capture future opportunities.

Integrate decarbonization and environmental management goals, continuously advancing projects, with each committee group conducting regular progress tracking and review.

Fe Document 生物多樣性政策
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