Joseph Fu-Hsiong Cheng Vice Chairman of TEEMA November 5 , 2007

1. Advocating green industries, Taiwan endeavors to reduce Green House Gas (GHG) emission (13th WEF Meeting) Joseph Fu-Hsiong Cheng Vice Chairman of TEEMA November 5 , 2007

2. Contents • Background • Green House Gas (GHG) reduction measures in Taiwan • Status quo and goals of Taiwan’s E&E industry • Conclusion

3. 1.Background • Background concepts and mission statement of “Green APEC Opportunity Initiative” • In view of the negative impacts brought about by global warming and diminishing natural resources, Taiwan has proposed the “Green APEC Opportunity Initiative”, that aims to create more room for development and mutual prosperity among APEC members through the APEC ECOTECH framework. • Mission statement: Establish a communal platform for discussions focused on clean development and climate change issues, benefiting member economies by enhancing technology development, policy innovation and education plans through cooperation and exchange of information.

4. 1. Background Green APEC Opportunity Initiative Proposed name Green APEC Virtual Platform Seek appropriate green development opportunities for members in different stages of development. Areas of discussion include clean production, green consumption, green industry, nature conservation, prevention of public hazards, etc. Mission statement “Green APEC” seminars “Green APEC Clean Development” exhibition Based on the success of the above activities Approach “Technology Innovation and Education” information network platform • A communal platform gives all member economies a channel to cooperate in the context of clean development and climate change. It further embodies the ECOTECH spirit that APEC values and helps build community awareness. • Seminars discussing technology and policy related issues can be held under this framework. • Exhibitions focusing on technology transfer, trade and investment can be held under this framework. • The clean development and climate change policies, technologies and education issues of each member economy can be filed under the information network platform, in turn creating “Green Opportunities” on the web. Targets APEC sustained development Proposed benefit Framework and targets

5. 2. Green House Gas (GHG) reduction measures in Taiwan • Ongoing industry examinations, investigations and registrations • Active promotion of voluntary reduction within industries

6. 2. Green House Gas (GHG) reduction measures in Taiwan • Researching industry development and Green House Gas (GHG) management policies • Taiwan’s manufacturing industry will steadily shift towards heightened integration, innovation, globalization and environment shaping. The government has already developed a suitable and feasible long term GHG reduction policy: • 1. Realignment of energy intensive industries • 2. Industry upgrades and transformations • Establish Taiwan Industrial Greenhouse Office (TIGO) under Ministry of Economic Affairs (MOEA)

7. 3. Status quo and goals of Taiwan’s E&E industry • The semiconductor and optoelectronic industry have agreed to take active roles in the government’s GHG reduction plan for 2007 • One of the most effective ways to achieve substantial reduction is to encourage GHG emission sources to participate in voluntary reduction plans • The voluntary reduction agreement

8. 3. Status quo and goals of Taiwan’s E&E industry • Current state of energy efficient labeling for household appliances • Energy efficient labeling is a voluntary certification promoted by the Bureau of Energy, Ministry of Economics Affairs. The label certifies high energy efficient products, and is meant to encourage manufacturers to design and produce said products. Consumers are also encouraged to purchase high energy efficient merchandise. • Energy efficient labeling first began with common household appliances such as air-conditioners and refrigerators. • As of August ’07, the energy efficient label was awarded to 78 brands, 1188 products and enlarged to include 18 product categories. • Newly increased reductions for Q1&Q2 ’07 is equivalent to about 36K tons in CO2 emission.

9. 3. Status quo and goals of Taiwan’s E&E industry • Current state of energy efficient labeling for household appliances • Manufacturers and products certified by the energy efficient label

10. 3. Status quo and goals of Taiwan’s E&E industry • Reduction effect of energy efficient labeling for household appliances（2005~2007 Q2）

11. 3. Status quo and goals of Taiwan’s E&E industry • Strategies and goals for developing energy conservation plans and new substitute energies • Green energy industries • Enhance eco-friendly awareness in domestic industries; sync with the world; roll out active promotions for key industries; increase green investments by Taiwan enterprises • Market value of green energy industries in Taiwan

12. 3. Status quo and goals of Taiwan’s E&E industry • Strategies and goals for developing energy conservation plans and new substitute energies • Developments in renewable energy

13. 3. Status quo and goals of Taiwan’s E&E industry • Strategies and goals for developing energy conservation plans and new substitute energies • Energy conservation in the LCD industry

14. 3. Status quo and goals of Taiwan’s E&E industry • Strategies and goals for developing energy conservation plans and new substitute energies • Energy conservation of the LED industry in Taiwan

15. 3. Status quo and goals of Taiwan’s E&E industry • Strategies and goals for developing energy conservation plans and new substitute energies • Energy conservation in the Notebook PC industry

16. 3. Status quo and goals of Taiwan’s E&E industry • Strategies and goals for developing energy conservation plans and new substitute energies • Energy conservation in the Solar Cells Industry

17. 4. Conclusion • TEEMA’s efforts in increasing awareness of the latest EU WEEE/RoHS/EuP discussions in Taiwan • Maintaining our competitive IT advantage while promoting clean production and industrial security risk central-satellite systems

18. 4. Conclusion • B. Promotion & counselling of inter- national eco standards Including: • Industrial security satellite management system • Registration of said system • Implementing the HSPM system • Meeting the EuP directive • Promoting the EuP directive • WEEE/RoHS directive tracking/information • Ａ．Promotion of clean production • Central-satellite systems for clean production • Promote social cost accounting practices • CER/CSR promotions and eco info • Maintaining our competitive IT advantage while promoting clean production and industrial security risk central-satellite systems Congruent with eco standards & green policies international • D. International exchanges & promotions • Organize seminars on clean production & sustainable development • Organize seminars on APO green productivity • Compile and update the “clean production information network” • Promote applications of global eco-friendly technology standards • Provide info & consultation regarding internationaleco-protection standards and directives • C. R&D on strategic technology tools • Develop environmental cost evaluationtools for electric products • Maintain and update auditing toolsfor the EU EuP directive • R&D of clean production technology *APO: Asian Productivity Organization

19. THANK YOU FOR YOUR ATTENTATION！