Sustainable Development Vision and Strategy
In the face of the global trend of net zero emissions, Shih Wei Navigation, as a global citizen, has gradually promoted the formulation of sustainable policies, systems, and related management approaches and guidelines for the enterprise to achieve sustainable development.
Sustainable Management Structure
The Administration Department is responsible for coordinating projects related to sustainable development and setting up a cross-departmental Corporate Social Responsibility Promotion Task Force convened by the Chairwoman to coordinate environmental, social, and corporate governance issues related to corporate operations to meet the legal requirement and international trends. In addition, relevant working groups are set up based on relevant issues for the promotion of sustainability action plans, information reports and disclosure, external assessment of sustainability and so on. This task force reports the implementation status to the board of directors on a regular basis to reach the effect of supervision.
After the annual Sustainability Report is finalized, the implementation results and future plans are reported to the board of directors on a regular basis, at least once a year. In terms of GHG inventory, relevant planning and implementation status are also reported to the board of directors on a quarterly basis to fulfill the supervisory responsibility.
The implementation status of the Company’s sustainable development was reported to the board of directors in the meeting dated July 11, 2023.
The implementation status of the Company’s sustainable development was reported to the board of directors in the meeting dated November 10, 2022.
The board of directors regularly receives reports from the management team, discussing strategic issues, including ESG, and key significant events. They assess the impacts on the economy, environment, and society, and supervise the management team for adjustments when necessary. Responsibility units for each agenda item will provide follow-up reports at the next board meeting. In the fiscal year 2022, the company submitted ESG-related proposals to the board of directors; for details, please refer to page 120 of the sustainability report.
Sustainability Visions and SDGs
In the context of rising awareness of sustainability and constantly increasing climate risks, the promotion of net-zero transition has become a crucial issue critical to the survival of an enterprise. In 2022, Shih Wei Navigation combined the UN Sustainable Development Goals (SDGs) and proposed the Sustainable Development Roadmap: Vision 2030. The ESG goals and action guidelines are formulated in response to the sustainability topics in 5 dimensions to serve as the guiding principles for the sustainable development of the Company. Shih Wei Navigation will continue to promote specific action plans in accordance with the sustainable development roadmap.
Specific Actions
Shih Wei Navigation, following the GRI Universal Standards 2021: GRI 3: Material Topics 2021 and the EU’s Double Materiality principle, assessed the actual or potential impact of the company’s economic activities on the external economy, environment, and people (human rights). This evaluation, aligned with the Double Materiality principle, enhances stakeholders’ and information users’ understanding of the significant impact Shih Wei Navigation has both externally and internally during its economic activities.
In terms of risk management, the company referred to the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD) by the Financial Stability Board (FSB), constructing five major risk dimensions and identifying 26 risk issues. Strategies were formulated to address high-risk areas.
For more details, please refer to the following webpage:
We disclose the specific actions and implementation status of sustainable development at Shih Wei Navigation's main locations from January 1, 2022, to December 31, 2022. The reporting scope for corporate governance and social information covers both the Headquarter and its subsidiaries. Environmental information reporting primarily focuses on the Headquarter and the fleets of its subsidiaries, as detailed in the table below:
In terms of Environmental
| Material Topics |
Risk Assessment Items |
Specific Actions |
| Climate Change Management |
- More stringent environmental regulations
- Carbon tax/fee, Cap and trade
|
- Ahead of regulatory requirements, the Company plans to proactively conduct an independent GHG inventory. It aims to formally adopt the ISO 14064-1:2018 organization level GHG Inventory Standard in 2023, with the goal of obtaining external verification from the parent company by 2024 and from subsidiary ship operating companies by 2025.
- Make assessment of the climate risks and opportunities as suggested in TCFD and develop countermeasure
|
| GHG Emissions and Energy |
- More stringent environmental regulations
- Policies and regulations that restrict the carbon emissions
- Carbon tax/fee, Cap and trade
|
- The Ship Energy Efficiency Management Plan (SEEMP) has been established for the fleet since 2013, and the StormGeo Daily Reporting System was introduced at the end of 2017, collecting the quantitative data of daily ship position, cargo volume, fuel consumption, and inventory of fuel, making it possible to monitor GHG and air pollutants. From 2019, the fuel consumption of our fleets of the entire fleet has obtained third-party certification from ClassNK to comply with international regulations such as IMO DCS and EU-MRV. As of 2022, a total of over NT$8.06 million has been invested
- The reuse of resources is advocated. The company mobile phones are refurbished and offered to our employees at preferential prices after being replaced
- We work in line with Asus Foundation for the Renewable Computer Hope Project, and recycled and donated 16 desktop computers, 5 printers, and 5 screens in 2022
- In response to the concept of circular economy, we turn the idle or discarded resources in the office into creative decorations for Christmas and handmade red envelops for the Spring Festivals and other decorations
- Add a commitment to reducing environmental impact in supplier negotiations and work hand in hand with partners to achieve it
|
| N/A |
N/A |
We work with Chinese Taipei Alpine Association and invite the employees to join the mountain |
In terms of Social
| Material Topics |
Risk Assessment Items |
Specific Actions |
| Ship Safety |
Navigation risk |
- Conduct regular and irregular safety promotions
- Organize relevant educational training and workshops
- Arrange personnel to visit and board the ships at suitable ports to care for and understand the physical and mental conditions of the crew. Hold regular safety meetings on each ship every month to review the implementation of onboard safety and security practices, discuss accidents or casualties that occurred during the month, analyze the causes, and take measures to prevent recurrence
- Collaborate closely with the affiliated classification societies and Protection and Indemnity Clubs (P&I Clubs) of each vessel to assist in rectifying and improving issues
|
| Occupational Safety and Health |
- Operational impact of COVID-19 or other infectious diseases
- Reputation risk
|
- Conduct relevant safety inspections, review the implementation of the Maritime Labour Convention on board, and conduct internal audits by dispatching personnel on board annually
- Implement labor safety-related education and training programs and raise awareness among employees
- Ensure the safety and hygiene of workplaces and accommodation, actively safeguarding the physical and mental health of employees
- Conduct health examinations for onshore personnel
- We worked in line with the government’s COVID-19 vaccination policy and encouraged our employees to receive vaccination. Those getting the second dose would be granted NT$1,000, the third NT$ 10,000. In 2022, a total of 83 employees applied for the vaccination grant, and the total amount issued reached NT$ 668,000
|
| Human Rights Management |
- Major labor safety incident
- Talent recruitment and turnover risk
- Reputation risk
|
- The Company’s Human Rights Policy has been formulated to protect the basic human rights of the employees, customers, and the stakeholders
- Enhance the emphasis on human rights issues in supplier negotiations, hoping to collaborate with partners to achieve mutual goals
|
| Social Engagement |
Reputation risk |
- We continue to cooperate with After School Association of Taiwan, adopting the Yuanxiang base in Wutai Township, Pingtung County, and sponsoring 22 rural schoolchildren, and the amount invested in 2022 amounted to NT$656,250
- We jointly donated 194 dictionaries with Kang Hsuan Education Publishing Group to help schoolchildren in rural areas
- We donated 170 boxes of fruit to north, central and south bases of the After School Association of Taiwan
- We donated picture books to schoolchildren in the 10 bases of the After School Association of Taiwan
- To encourage our employees and their family dependents to actively donate blood, the Company provides compensatory leave for those who donate blood for public welfare
- Our M.V. Trump SW successfully rescued 8 Burmese fishermen in the South China Sea, preventing their families from being broken up, demonstrating the social influence of Shih Wei Navigation
|
In Terms of Governance
| Material Topics |
Risk Assessment Items |
Specific Actions |
| Economic Performance |
Strategic risk |
- Sell old vessels and those whose market shrank
- Strengthen ship management performance to lower operating losses
- With peer companies to create economies of scale in terms of procurement and maintenance for cost reduction
- M.V. Modest SW successfully entered CSBC Corporation’s shipyard in Keelung for dock repair, and the overhaul was completed in February 2022, making it the first foreign merchant vessel to Taiwan for repairs during the COVID-19 pandemic period
|
| Sustainable Development Strategy |
- Strategic risk
- Use green financing
- More stringent environmental regulations
- Reputation risk
|
- We are 2 years ahead of the regulatory requirements to publish the Sustainability Report and autonomously disclose the non-financial information. The report is compiled in accordance with the GRI, TCFD, and SASB standards
- The Company makes investments in carbon fiber regeneration & recycling and relevant green energy industries
- The result of the 9th (2022) Corporate Governance Evaluation of Shih Wei Navigation was 21 ~ 35%. In terms of industry classification, the evaluation for Shih Wei Navigation, in the category of companies with a market capitalization of over NT$5 billion to NT$10 billion, was 6% ~ 10%
|
For more details, please refer to our company’s sustainability report.
