Greenhouse Gas Emission Management

Greenhouse gases are the main cause of global warming. Billion Group therefore actively responds to climate change and conducts greenhouse gas inventories. In 2025, the Group’s greenhouse gas emissions included direct emissions from gasoline and diesel use, and indirect emissions from electricity use. Scope 3 emissions were also included in 2025, covering upstream and downstream transportation and distribution, business travel, employee commuting, purchased products and goods, use of sold products, and solid and liquid waste treatment. Billion Group will continue to improve its actions and advance its environmental sustainability goals. Detailed total emissions are shown below.

Note：

1. Emission factors are calculated based on the greenhouse gas emission factors announced by the Ministry of Environment for 2024, the heating values of automotive gasoline, diesel, liquefied petroleum gas, and natural gas for 2024‒2025, and the GWP 100 values from the IPCC Sixth Assessment Report.
2. Purchased electricity uses the electricity emission factors announced by the Energy Administration,Ministry of Economic Affairs: 0.495 kgCO2e/kWh for 2022, 0.494 kgCO2e/kWh for 2023, and 0.474 kgCO2e/kWh for 2024.
3. Greenhouse gas emission intensity = Total emissions (tCO2e) / Revenue (NTD million).
4. Subsidiary data in the 2023 and 2024 consolidated financial statements includes Billion Watts, Billion EVC, and Billion Power System Technologies. Subsidiary data in 2025 includes Billion Watts, Billion EVC, and BEC Technologies.
5. Scope 3 emissions in 2023 and 2024 included downstream transportation and distribution, business travel, employee commuting, purchased goods, and solid and liquid waste treatment.
6. Scope 3 emissions in 2025 included upstream and downstream transportation and distribution,business travel, employee commuting, products purchased by the organization, use of products sold, and solid and liquid waste treatment.
7. Greenhouse gas emissions from 2023 to 2025 have been verified by a third party.
   

Carbon Reduction Target Planning

The Company plans to develop specific transition risk response strategies and establish management indicators and targets following the completion of greenhouse gas inventories and baseline assessments of energy equipment. In the meantime, the following energy-saving measures have been implemented:

1. Assessing the feasibility of establishing an energy management system.
2. Replacing traditional lighting with LED tubes to improve energy efficiency.
3. From 2022 to 2024, the cumulative investment in the development and construction of solar power plants and energy storage projects amounted to NTD 64,798 thousand and NTD 230,090 thousand, respectively. In 2024, the Company's subsidiary, Sheng Kai Energy Co., Ltd., completed the investment and construction of a 977 kW renewable energy solar power plant. The average annual green electricity generation is estimated to reach approximately 1,100 MWh, with an estimated reduction of approximately 521 tCO2e in carbon emissions. In 2025, the Company's self-owned solar power plants generated and sold approximately 1,391 kWh of electricity to Taipower, helping Taipower reduce carbon emissions by approximately 659 tCO2
4. In 2025, the Company replaced 62 fluorescent lamps, resulting in electricity savings of 14,756
5. Billion Watts utilizes the rooftops and land of facilities used by its customers and collaborates with business partners to develop and install solar power generation systems. In addition to maximizing the value of available space, these projects help reduce the use of fossil fuels and environmental pollution. As of 2025, the Billion Watts team had completed more than 1,850 rooftop, floating, ground-mounted, and agri-voltaic solar PV projects, with a total installed capacity exceeding 600 The Company aims to achieve a total installed capacity of more than 650 MWp by 2026.
   

Waste Management

Billion’s categorizes its waste into general domestic waste and hazardous industrial waste. General domestic waste mainly originates from employee daily activities and includes household garbage, waste plastics, and paper waste. Hazardous industrial waste primarily includes discarded electronic components, defective products and rejects, waste printed circuit boards (PCBs) containing metals and their dust, PCBs with attached components, and scrapped customer returns that cannot be repaired (including metal-containing PCBs). Hazardous waste and solder dross generated during the Company's manufacturing processes are handled and recycled by licensed Class A waste disposal and recycling contractors.

Packaging materials used in raw material supplies—such as cardboard boxes and plastic packaging—along with scrapped customer returns containing cardboard and plastics, are also categorized as waste. All third-party disposal companies engaged by the Company comply with the Waste Disposal Act and related regulations. These contractors use GPS tracking systems and operate without any incidents of leakage or spillage, thereby minimizing environmental impact. Hazardous waste accounts for only a small proportion of total waste and is not considered material to the Company’s overall waste management performance.

Employee-generated domestic waste is centrally handled by the building management center. The Company only temporarily stores waste on-site before handing it over to external disposal or recycling contractors; no direct treatment is conducted internally. At the Yilan Plant, household waste is collected using designated Longde Industrial Park garbage bags, which are placed at the main entrance weekly for pickup by contracted cleaning companies.

General waste generated from the Billion’s headquarters is centrally handled and removed by the office building management center; therefore, actual weight data specific to the Company is not available. To better understand general waste generated from operations and support future management and reduction measures, the Company estimates waste volume using per capita waste generation statistics published by local governments.

Some sites are estimated based on the per capita waste generation rates of their respective cities or counties, including Billion Watts, including its central and southern offices, at 8.12 metric tons; BEC Taiwan, including its Hsinchu office, at 2.54 metric tons; and Billion EVC, including its southern office, at 2.23 metric tons.

The Yilan Plant adopts an actual measurement method for estimation. Based on statistical analysis, the average measured weight multiplied by the number of weeks per month resulted in an estimated waste volume of 0.6 metric tons.


General domestic waste generated by NoonSpare is collected and treated by local municipal waste service providers. As no independent weighing mechanism is in place, waste volume is estimated using per capita waste generation data. Based on Taichung City’s 2025 daily per capita waste generation of 1.481 kg, 29 employees, and 246 working days, NoonSpare’s total domestic waste in 2025 is estimated at approximately 3.52 metric tons.

Billion Hazardous Waste Generation and Disposal

Note:

1. The above data pertains to Billion Group Headquarters.
2. Waste weight is in metric tons.
3. Recycle operation types: such as preparation for reuse, recycling, and other recycle operations.
4. Recycling types can be specified: such as downcycling, upcycling, composting, or anaerobic digestion.
5. Other recovery operations: such as changing the purpose of use or refurbishment.
6. Disposal method types, such as incineration (with energy recovery), incineration (without energy recovery),landfill, and other disposal operations.
7. Other disposal operations can be specified, such as dumping, open burning, or deep well injection.
8. "Off-site" refers to outside the physical boundary or administrative control of the reporting organization.
   

Non-Hazardous Waste Generation and Treatment at Billion Headquarters

Note :

1. The above data pertains to Billion Group Headquarters.
2. Recycle operation types: such as preparation for reuse, recycling, and other recycle operations.
3. Recycling types can be specified: such as downcycling, upcycling, composting, or anaerobic digestion.
4. Other recovery operations: such as changing the purpose of use or refurbishment.
5. Disposal method types, such as incineration (with energy recovery), incineration (without energy recovery),landfill, and other disposal operations."Off-site" refers to outside the physical boundary or administrative control of the reporting organization.The number of employees refers to the average number of employees employed by Billion Electric Co., Ltd. in 2025.
   

Water Resources Management

The Company seeks to maximize water efficiency by promoting daily practices such as turning off faucets and using water-saving devices. Through these measures, the Company strengthens employees’
awareness of water conservation and implements water-saving practices.

Billion Group’s water use is mainly for domestic purposes, with all water sourced from the tap water supply system. The Group does not use groundwater, nor does it involve industrial process water or water recycling systems. Its water use is therefore primarily for office domestic purposes. Based on the water risk assessment tool, the Company, the Yilan Plant, and NoonSpare are all located in low-to-medium water risk areas, with no significant impact on nearby water sources or ecosystems. Following a materiality assessment, water resource management is not considered a material topic for the Company. In addition, the Yilan Plant conducts waste water quality testing every six months, and all test results comply with the discharge standards of the competent authority.

The Company’s water use data is calculated based on the definitions in the Water Resource Indicator Disclosure Examples published by the Water Resources Agency, Ministry of Economic Affairs. Under this definition, water use refers to the total of water withdrawal and reused water. As the Company does not reuse water in its production process, the disclosed water use is equal to actual water withdrawal.For key production sites, the Yilan Plant’s water withdrawal in 2025 was 0.1258 million liters, with a water intensity of 0.0021. NoonSpare’s total water use in 2025 was 0.288 million liters. As wastewater fees were not charged on NoonSpare’s water bills, relevant statistical data could not be obtained; therefore, discharge and water consumption data are not disclosed. Detailed water use data is shown in the table below.

Billion Yilan Plant Water Usage Information

Note:

1. Water consumption = Water withdrawal - Water discharge.
2. Water intensity calculation method: Water withdrawal (million liters) / Revenue (million NTD)
   

NoonSpare Water Usage Information

Note:

1. Water consumption = water withdrawal − wastewater discharge.
2. Water intensity is calculated as follows: Water withdrawal (million liters) / Operating revenue (million NTD).
3. As no wastewater charges were levied on NoonSpare's water bills, the relevant statistical data could not be obtained; therefore, wastewater discharge and water consumption were not disclosed.