Engaging climate-related risks and opportunities.

To strengthen our climate resilience sustainably, we identify and respond to climate-related risks as early as possible. Eclat actively measures the risks to lessen the impact on operations and seize opportunities.

We’re identifying risks and opportunities of climate change.

Extreme weather is identified as one of the most significant global risks in the World Economic Forum’s annual Global Risk Report. The following are Eclat’s main strategic points on climate change:

  1. Early identification and response to climate-related risks.
  2. Strengthen climate resilience adjustments.
  3. Minimize operational impacts caused by disasters.
  4. Timely seize potential transformation opportunities arising from extreme weather conditions.

Our environmental sustainability development.

We take climate change seriously at Eclat. That’s why we have a strategy in place to manage climate-related risks overseen by our ESG Executive Committee and Board of Directors. To evaluate risks and opportunities, we use a framework called Task Force on Climate-Related Financial Disclosures (TCFD) and a matrix based on Nationally Determined Contributions (NDCs). Furthermore, our strategy includes evaluating the costs and impact of our efforts to manage climate risks and make better decisions for the company’s future.

How we identify risks and opportunities.

  1. Every December, we convene all relevant units to disclose financial information about climate change.
  2. We provide a form to identify climate-related risks and opportunities in January of the following year. Then we assess the impact and frequency of these risks and opportunities at the same time.
  3. Next, in January, we calculate the risk/opportunity index and create a matrix of major risks and opportunities.
  4. In March, we assess major risks to determine the financial impact and develop strategies to address them.

How we manage risks and seize opportunities.

  1. Also, in March, we set the risk/opportunity index and goals.
  2. We promote education and training for each project.
  3. In April, we track performance and make adjustments as needed.
  4. In May, we establish procedures for responding to risks that recur.

By taking these steps, we can effectively manage climate-related risks and opportunities.

Task Force on Climate-related Financial Disclosure (TCFD)

Identify, respond and reduce climate risks on operations.

Eclat TCFD recommendations framework.

Major climate-related risks matrix

Likelihood of Impact
Magnitude of Impact

k, n



a, c, d, e

m, o


f, g




i, p, j



  1. Average temperature rise
  2. Increasing demands for disclosure of carbon emissions
  3. More restrictions on the laws and regulations regarding greenhouse gas and the international regulations have been revised.
  4. Replace the existing products and services with low-carbon products
  5. The cost for the transformation of low-carbon technology
  6. Failure to invest in new technologies
  7. Product stigmatization
  8. Requirements and regulation of existing products and services
  9. The rising cost of raw materials
  10. The increase in the severity of extreme weather events such as typhoons and floods
  11. Changes in rainfall patterns and extreme changes in weather patterns
  12. Sea levels rise
  13. Facing litigations
  14. The uncertainty in the risk of market information
  15. Changes in consumer preferences
  16. The focus on stakes and the increase of negative feedbacks

Major climate-related opportunities matrix

Significant opportunities

k, n


b, c


i, m



a, d

j, l


h, q


n, o

k, p


  1. Adopt a more efficient transportation approach
  2. Use low-carbon energy
  3. Develop and/or increase low-carbon products and services
  4. R&D and products and services innovation
  5. Diversify business activities
  6. Participate in renewable energy projects and implement energy efficiency measures
  7. Recycling and reuse
  8. Reduce water usage and water consumption
  9. Adopt incentive policies
  10. Adopt new technology
  11. Participate in the carbon-trading market
  12. Switch to decentralized energy
  13. Enter new markets
  14. Optimize the use of incentives from the public sector
  15. Acquiring new assets and areas that need to be insured
  16. Develop climate adaptation and insurance risk solutions
  17. Energy substitution/diversification

Learn more about our efforts