Sustainable Development Committee

The "E.SUN FHC Sustainable Development Best Practice Principles" approved by the Board of Directors serve as the highest ESG guiding principles for the entire company. The Board has established a Sustainability Development Committee, comprising the Chairman, three independent directors, and one director, with the Chairman serving as the convener, which is the highest guiding unit for the company's sustainable development. According to the organizational regulations of the Sustainability Development Committee, the company holds at least two meetings annually and may convene additional meetings as needed. In 2023, the committee held three meetings on January 4, June 16, and November 13. The agenda included major topics, specific plans for sustainable development, and amendments to sustainable finance policies. Among the twelve Board meetings held throughout the year, ESG/sustainable development matters were included in the agenda eight times. The topics included: (1) specific plans for sustainable development; (2) overall evaluation results of corporate governance; (3) employee feedback sessions; (4) identification processes and confirmation of major topics; (5) reports on the execution of sustainable plans; and (6) revisions to sustainability-related policies and regulations. The Sustainability Development Committee appoints a Chief Sustainability Officer to coordinate sustainability-related departments. To further integrate sustainability into overall business development, dedicated sustainability units were established in the main departments of subsidiaries in 2023, ensuring stable promotion of foundational sustainability projects and innovative products.

2023 Work Plan	2023 Achievement
Governance：Based on the Corporate Governance 3.0 "Sustainable Development Blueprint" and the "Green Finance Action Plan," continue to strengthen governance, cybersecurity protection, anti-money laundering, and fair customer treatment	For the ninth time, ranked in the top 5% of the Corporate Governance Evaluation; subsidiaries E.SUN Bank and E.SUN Securities were also selected among the top 25% in the FSC's fair customer treatment evaluation.
Social：Create an equal, diverse, friendly, and safe workplace environment. Continue to promote initiatives in academic education, social participation, sports development, and cultural arts.	Employee engagement reached 88.1%, and the second Sustainable Finance Management Training Program was held. Promoted academic education with over 200,000 World Card members participating, completing a total of 180 E.SUN libraries.
Environmental：Follow SBT and RE100 targets, implementing energy-saving and carbon reduction in scopes 1 and 2. Promote biodiversity with systematic conservation actions.	Achieved CDP leadership level A grade. Continued reduction of Scope 1, 2, and 3 carbon emissions. Joined the TNFD pioneers and continued to encourage local agricultural transformation to organic and friendly farming practices.

1. Fair Customer Treatment：Implement the spirit of the United Nations Convention on the Rights of Persons with Disabilities (CRPD) for financial equality, enhancing friendly financial service measures to ensure equal and reasonable financial services for elderly and disabled customers.

2. Sustainable Finance：Actively engage high-carbon customers and provide sustainability consulting services, assisting enterprises in transitioning to net-zero and achieving emission reduction goals. Guide energy transformation through green finance services and actively support the industry in establishing renewable energy installations.

3. Climate Change：Strengthen the management mechanism of investment and financing carbon emissions and track carbon reduction results according to the guidance of regulatory authorities, the Partnership for Carbon Accounting Financials (PCAF), and the Science Based Targets (SBT).

4. Environmental Sustainability：Evaluate the dependence and impact of biodiversity on operations according to the Taskforce on Nature-related Financial Disclosures (TNFD) guidelines. Collaborate with relevant partners to implement biodiversity conservation actions with a systematic approach, promoting harmonious coexistence with nature.

5. Friendly Work Environment：Build a diverse, equal, and inclusive (DEI) workplace, promoting innovation and gender equality among diverse talents, and creating a more flexible and positive work environment.