Sustainable and Inclusive ServiceSustainable and Inclusive Service

Sustainable and Inclusive ServiceSustainable and Inclusive Service

Financial inclusion is an accelerator for economic growth, job creation, and the diversified and balanced development of society. HFC responds to the United Nations Sustainable Development Goal (SDG) 8 “decent work and economic growth” and SDG 10 “reduced inequality” to actively realize financial inclusion and launch diverse financial products and services in alignment with different groups’ and parties’ needs to enable all clients to make good use of relevant financial services and promote the well-being of the public. Financial inclusion is an accelerator for economic growth, job creation, and the diversified and balanced development of society. HFC responds to the United Nations Sustainable Development Goal (SDG) 8 “decent work and economic growth” and SDG 10 “reduced inequality” to actively realize financial inclusion and launch diverse financial products and services in alignment with different groups’ and parties’ needs to enable all clients to make good use of relevant financial services and promote the well-being of the public.

Green finance Green finance

ESG-Linked Syndicated LoanESG-Linked Syndicated Loan

Enterprises need to influence more stakeholders and join hands to make a change. On June 20, 2022, HFC signed a three-year ESG-linked syndicated loan agreement of NT$15 billion with a group of domestic banks. Over the past two years, HFC has taken out NT$24 billion. In 2022, an HFC ESG-linked syndicated loan was arranged and led by CTBC Bank. In the end, 18 domestic financial institutions joined, and the loan totaled NT$21.1 billion. The case was closed with NT$15 billion as the largest financing case for a single company in the leasing and installment payment industry in recent years. In addition to maintaining the business operations, the funds in this case would be used to support HFC’s green development in connection with several indicative key ESG performance indicators, including the performance of low-carbon vehicles and the constituent of ESG indexes, ESG reports, and green energy development. Through green financing, we will further enhance the green sustainability performance and move toward the net-zero goal. Enterprises need to influence more stakeholders and join hands to make a change. On June 20, 2022, HFC signed a three-year ESG-linked syndicated loan agreement of NT$15 billion with a group of domestic banks. Over the past two years, HFC has taken out NT$24 billion. In 2022, an HFC ESG-linked syndicated loan was arranged and led by CTBC Bank. In the end, 18 domestic financial institutions joined, and the loan totaled NT$21.1 billion. The case was closed with NT$15 billion as the largest financing case for a single company in the leasing and installment payment industry in recent years. In addition to maintaining the business operations, the funds in this case would be used to support HFC’s green development in connection with several indicative key ESG performance indicators, including the performance of low-carbon vehicles and the constituent of ESG indexes, ESG reports, and green energy development. Through green financing, we will further enhance the green sustainability performance and move toward the net-zero goal.

Promotion of carbon reduction in green energy businessPromotion of carbon reduction in green energy business

HFC established a green energy unit in 2021 to develop the green energy business and invest in new energy. The solar energy business department was subsequently separated from the unit as He Jun Energy Co., Ltd. in 2022 to be dedicated to the construction and operation of solar power plants. After a year of efforts in 2022, our self-built power plants have been operated in 36 sites as of December 31, 2022, with a total installed capacity of 11.3MW. We estimated that the approximately 7,074.88 tons/CO 2e of carbon emissions will be reduced per year (Note 1); we have signed contracts with 41 sites (some are under construction), and the total capacity has exceeded 110MW. In 2022, He Jun Energy worked with Laketricity Co., Ltd., a French company, to jointly invest in a new type of fishery and electricity symbiosis site, in which solar energy, land, and farming are combined to achieve a win-win situation for enterprises, fishermen, and the environment as an important milestone for He Jun Energy to promote environmental sustainability and develop green energy. There are three types of sites: ground, water surface, and rooftop. He Jun Energy invested in the acquisition of 90% of the equity in the four sites under Laketricity in Yunlin and Tainan and worked with the Fisheries Research Institute, Council of Agriculture, Executive Yuan, to form and lease out the sites. The installed capacity is 5MW, and it is estimated that the annual power generated per year may reach more than 6 million kWh and the carbon emissions may be reduced by about 3,130.48 tons/CO 2e (Note 2) per year. It aims to achieve 4.4GW for the capacity from the fishery and electricity symbiosis by 2025. 【Note 1】11.3MW*1000*3.37 hours (average effective time of sunshine)*365 days*0.509 kg (electricity carbon discharge coefficient in 2021). 【Note 2】5MW*1000*3.37 hours (average effective time of sunshine)*365 days*0.509 kg (electricity carbon discharge coefficient in 2021). HFC established a green energy unit in 2021 to develop the green energy business and invest in new energy. The solar energy business department was subsequently separated from the unit as He Jun Energy Co., Ltd. in 2022 to be dedicated to the construction and operation of solar power plants. After a year of efforts in 2022, our self-built power plants have been operated in 36 sites as of December 31, 2022, with a total installed capacity of 11.3MW. We estimated that the approximately 7,074.88 tons/CO 2e of carbon emissions will be reduced per year (Note 1); we have signed contracts with 41 sites (some are under construction), and the total capacity has exceeded 110MW. In 2022, He Jun Energy worked with Laketricity Co., Ltd., a French company, to jointly invest in a new type of fishery and electricity symbiosis site, in which solar energy, land, and farming are combined to achieve a win-win situation for enterprises, fishermen, and the environment as an important milestone for He Jun Energy to promote environmental sustainability and develop green energy. There are three types of sites: ground, water surface, and rooftop. He Jun Energy invested in the acquisition of 90% of the equity in the four sites under Laketricity in Yunlin and Tainan and worked with the Fisheries Research Institute, Council of Agriculture, Executive Yuan, to form and lease out the sites. The installed capacity is 5MW, and it is estimated that the annual power generated per year may reach more than 6 million kWh and the carbon emissions may be reduced by about 3,130.48 tons/CO 2e (Note 2) per year. It aims to achieve 4.4GW for the capacity from the fishery and electricity symbiosis by 2025. 【Note 1】11.3MW*1000*3.37 hours (average effective time of sunshine)*365 days*0.509 kg (electricity carbon discharge coefficient in 2021). 【Note 2】5MW*1000*3.37 hours (average effective time of sunshine)*365 days*0.509 kg (electricity carbon discharge coefficient in 2021).

Promotion of environmental friendliness Promotion of environmental friendliness

To respond to the government’s placemaking policy of recent years, HFC actively planned and participated in the CSR Local Innovation Competition initiated by the National Development Council and PricewaterhouseCoopers Sustainability Services Company Ltd. in Taiwan. HFC partnered with social enterprises Tanosecure Inc. and Palcom International Corporation under the Compal Group to design green leasing products with installment payment services, allowing farmers to access smart eco-friendly farming systems and smart agricultural technologies more easily to transition to smart production and eco-friendly farming. To respond to the government’s placemaking policy of recent years, HFC actively planned and participated in the CSR Local Innovation Competition initiated by the National Development Council and PricewaterhouseCoopers Sustainability Services Company Ltd. in Taiwan. HFC partnered with social enterprises Tanosecure Inc. and Palcom International Corporation under the Compal Group to design green leasing products with installment payment services, allowing farmers to access smart eco-friendly farming systems and smart agricultural technologies more easily to transition to smart production and eco-friendly farming.