From the Management

Creating Sustainable Impact by Dedicating to CSR in Our Core Businesses

The world is now moving ever more towards sustainable development. As the leading brand in engineering services, CTCI is adhering to the concept of improving CSR with its core business. Being "the Most Reliable Global Engineering Services Provider," we bring quality engineering services to every place in the world that requires construction. Not only do we work with our partners and third-party vendors to balance between industrial development and environmental protection, we also make sure our employees are all well-trained and able to advance their careers. We also invest in social inclusion through public participation, engineering education, and caring for local communities to exert engineering influence in the economy, society, and the environment, fulfilling the vision of "sustainable and innovative green engineering, Earth-friendly, and protecting the world."

Bringing Sustainable Influence to the Environment with Our Core Business

Rooted in Taiwan and laid out globally, CTCI Group has been helping the world progress, and the economy grows with its engineering specialty for the past 40 years. Through continuous innovation and breakthroughs, CTCI has thrived to become the best international turnkey engineering group in Taiwan and one of the world’s top 100. In 2019, CTCI was ranked 73rd on the US engineering magazine ENR's Top International Contractors and has been performing better and better for five consecutive years, proving CTCI's global strength and growth.
CTCI continues to innovate engineering services. Through the introduction of green engineering and recycling technologies, we help our global customers achieve the balance between industrial development and environmental protection. Through innovation, we improve our green industrial competitiveness. CTCI has expanded the business into wastewater regeneration engineering in recent years. For example, the Fengshan River Reclaimed Water Plant BTO Project finished in August last year can provide the Linhai Industrial Park with 45,000 tons of reclaimed water daily, making Kaohsiung the first city in Taiwan with a stable supply of recycled water.
In response to the increasing electricity demand and air pollution emissions, the turnkey project of the Taipower Linkou Power Plant Boiler- Generator Unit has now been put into commercial operations as scheduled since October last year. It is also Taiwan's first coal-fired ultra-supercritical (USC) power plant. It not only stabilizes power supply in Taiwan with advanced electrical industry technology, but also greatly reduces pollutions and emissions, surpassing standards required by regulations while improving power generation efficiency. Its steam-water cycle feature further reduces the amount of water used for power generation and alleviates the pressure of decreasing water resources. This achievement is much more environmentally friendly and brings Taiwan to the era of high-efficiency and low-carbon thermal power generation.
In addition to constructing or upgrading traditional fossil fuel power plants, renewable energy has been booming in recent years as well. CTCI follows the government's green power policy. After achieving significant results in the development of solar photovoltaic systems at home and abroad, CTCI has also successfully entered the field of wind power generation. The implementation of the Taoyuan City Biomass Energy Center turnkey project has also achieved the dual benefits of proper waste disposal and waste-to-energy incineration. In addition, we have also conducted research evaluation on other forms of renewable energy to keep looking for business opportunities and deepen the impact of CTCI's influence on green energy.

Deepen the Sustainable DNA of the Organization with "Total Participation CSR Excellence Practice"

Adhering to the"most reliable"" brand spirit, CTCI is committed to bringing high-quality and environmentally friendly engineering constructions to the world, leading the world toward a much better and more sustainable future. We are aligning our business operations with the United Nations Sustainable Development Goals (SDGs), and are promoting ""Total Participation CSR Excellence Practice"" with our four core technologies: ""Intelligent Engineering, Procurement and Construction (iEPC),"" ""Smart Plant,"" ""Circular Economy"" and ""Green Engineering."" We also set goals and management strategies for our 7,000 employees worldwide, so as to implement sustainable actions, make CSR part of our competitiveness and DNA, and exert maximum engineering influence. The professional value created by CTCI in global sustainability, in addition to being chosen for the including in the Dow Jones Sustainability Emerging Markets Index for five consecutive years, is also ranked third in the global construction engineering industry; and has won 17 awards among the TCSA top ten sustainability model companies, and is ranked among top 5% of the Corporate Governance Evaluation by the Financial Supervisory Commission.
We devote ourselves to safety culture, building trust, and providing customers with quality and reliable engineering services. In the past year, our efforts to improve quality and safety and health management have achieved excellent results. We even reached the highest scores in ""Occupational Safety and Health"" and ""Environmental Policy and Management System"" on the Dow Jones Sustainability Index. The implementation of ""Safety First"" policy has also allowed us to continue set records for our project man-hours without a lost time injury. Ten projects in our engineering business group have exceeded 1 million man- hours without a lost time injury, among which three projects have exceeded 10 million man-hours. As for our Oman LIWA EPC1 project, its safe working hours even exceeded 70 million by February 2020, setting a new record for CTCI. In addition, CTCI is also the first in Taiwan to pass both ISO 45001 and Taiwan CNS 45001 occupational safety and health management system certifications.
In terms of supply chain management, CTCI, as the midstream of the overall engineering industry chain, not only combines the needs of upstream customers with its profession and third-party downstream vendors to build a complete value chain, but also formulates supplier codes of conduct, sustainability risk assessment methods, and evaluation operations. At the same time, CTCI also actively promotes the supplier support plan, and comprehensively require manufacturers to sign a commitment to business sustainability. In the past two years, we have also expanded the scale of our supplier conferences to improve the sustainability of the overall industrial chain. We stay committed to the cause with our supply chain partners.

Established CTCI University to Educate and Retain Talent

Employees are the cornerstone of sustainable management. In addition to the best employee benefits and workplace equality, we also established ""CTCI University"" to provide our employees with a comprehensive career plan and cultivate outstanding engineering talent for the world. We do our best to educate and retain talent. At ""CTCI University,"" which was established on the integrated resources from domestic and foreign industries, governments, and academics, every employee of the group has required credits that are tailored to their positions. It will not only strengthen their management skills of different fields, accelerate the development of critical positions and young potential talent, but also help our employees move closer to their career goals. In order to extend the company’s globalized outreach, classes at CTCI University are carried out through e-learning, so that our employees all over the world can access their curriculum online. Through systematic education, they can learn to grow themselves and gradually achieve the sustainable goal of this training.
Our overseas relations enterprises create local staff employment rates of more than 90%. Meanwhile, we actively train outstanding colleagues in those countries to serve critical management positions, not only to achieve the development of localization, but also to cultivate numerous engineering talents for the world.

Society Engagement and Co-prosperity

As a member of the global village, CTCI is not only committed to promoting engineering but has also invested in education, public engagement, and social care. Through industry- academia cooperation and the CTCI Education Foundation, CTCI can cultivate outstanding talent for Taiwan, expand the vision of young people, construct a lifelong education environment, and improve Taiwan's competitiveness.
In 2019, CTCI Education Foundation organized many activities, forums, and award programs. Two of these activities, namely "" 120h- Taiwan in My Eyes"" and ""Young Sustainability Leadership Camp,"" have been going on for years, where we would invite domestic and international students from many colleges and universities in Taiwan to talk about global sustainable development issues, and speak to the world through social media about Taiwan's efforts and achievements in sustainable development.
As the leading engineering business in Taiwan, CTCI has spared no effort in participating in both public and private academic economic activities, as well as taking part in academic/ business associations, including the Republic of China Engineering Technology Consultant Business Association, the Taipei City Engineering Technology Consultant Association, the Chinese Society of Engineers, the Taiwan Chemical Engineering Society, and dozens more. Through these platforms, we will provide a voice for the engineering industry, promote the exchange of engineering technologies in Taiwan, and improve the status and social influence of engineers.

Summary

Adhering to the concept of improving CSR with its core business, CTCI will continue to lead its team with corporate social responsibility, call on all employees of the group to do the best they can at work, and keep innovating and improving to achieve the greatest professional value. In order to internalize global sustainability as part of its employees' daily life and work, CTCI continues to promote "" Total Participation CSR Excellence Practice "" courses and activities from last year, including CSR proposal competitions, encouraging employees to propose sustainable action plans for related businesses of the group. Another activity is ""CSR Moment,"" the first sustainability initiative held in the industry, which creates a sustainable work environment through sharing CSR-related topics 3 to 5 minutes before the start of each meeting. In 2020, we will continue to invest in the filming of ""CSR Engineering Man, Engineering Soul Short Film"" and the organization of ""Junior Sustainable Engineer Camp,"" to inspire colleagues and their family to implement green behaviors and take root in sustainable education to spread sustainability.
Looking to the future, we hope that ""where there is CTCI, there is trust!"" CTCI will continue innovate engineering services, and with the advancement of technology and more diversified services, to create the most reliable high- quality engineering work for global customers, exerting the most significant engineering influence, and making the world a better place.

John T. Yu,
CTCI Group Chairman
CTCI employs its core business as its center of CSR for all employees, and calls on all employees in the group to do the best they can at work to innovate and improve continuously. To achieve the highest professional value is to fulfill our corporate social responsibilities.