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2020/12

Taiwan Top ESG-Performer CTCI Secures $20 Million Sustainability Linked Loan from HSBC　
　

CTCI Group, a leading engineering, procurement, and construction (EPC) contractor in Taiwan, has announced on December 29, 2020 that it has reached US$20 million sustainability linked loan agreement with HSBC Bank (Taiwan), in determination to further align its global business operations with sustainability goals.



CTCI and HSBC jointly worked out the “green key performance indicators (KPI)” in the agreement, including targets to reduce carbon emissions at construction sites around the world and meet certain evaluation criteria adopted by CDP, a charity that runs global disclosure system for investors and companies to manage their environmental impacts. In turn, HSBC will provide the loan with preferential interest rates.



Key assessment of loan eligibility included general performance in environmental, social, and governance (ESG) aspects. CTCI’s extensive and notable records in sustainability proved decisive in helping the company secure the loan. For six consecutive years, CTCI has been incorporated into Dow Jones Sustainability Emerging Markets Index, and is ranked No.2 in the global engineering category. The company also scored A- in CDP’s climate change program.



Other notable sustainability-related recognitions include: 18 Taiwan Corporate Sustainability Awards, including Top 10 Domestic Companies Sustainability Model Award; Excellence in Corporate Social Responsibility Award from Taiwan’s CommonWealth Magazine; and top 5% in corporate governance evaluation by Taiwan Stock Exchange and Taipei Exchange. CTCI was also selected by Interbrand as one of the Best Taiwan Global Brands 2020.



CTCI identifies its business risks and opportunities based on the recommendations of Task Force on Climate-Related Financial Disclosures. Being well aware of the deep connection between the EPC sector and climate change, CTCI has shifted its business strategies accordingly. Green energy and low-carbon business has now become an important revenue driver for CTCI, accounting for 86% of new contracts as of September 2020, or around US$38 billion (NT$109 billion). Green and low-carbon backlogs, on the other hand, has increased from 23% in 2015 to 64% as of September 2020.



Through “Total Participation CSR Excellence Practice” program, CTCI fully engages its employees to find global sustainability solutions based on the company’s four core competencies: green engineering, smart plants, resource cycling, and intelligent EPC. CTCI will remain committed to a vision of becoming a guardian of the Earth, providing quality and environmental-friendly engineering services.