The Taiwan Stock Exchange (TWSE) has released the 2026 (1st Round) ESG Evaluation Indicators, which comprise a total of 75 indicators across three major dimensions. The evaluation period covers January 1 to December 31, 2026, and the evaluation results for 2026 are expected to be released by the end of April 2027. 

The TWSE stated that as environmental and social issues continue to gain global attention, it seeks to cultivate a culture of sustainable market values, further assess the sustainability performance of TWSE/TPEx listed companies across various ESG dimensions, and provide investors with a reference for making ESG-related investment decisions. In recent years, the TWSE has continued to consider domestic and international policy developments and sustainability trends, gradually expanding the environmental and social aspects of the “Corporate Governance Evaluation,” refining existing indicators and restructuring the original four dimensions into three major ones – Environmental (E), Social (S), and Governance (G). The evaluation will be transformed and renamed as the “ESG Evaluation” in 2026. 

The first round of ESG Evaluation was revised following “Sustainable Development Action Plans for TWSE and TPEx Listed Companies (2023)” and planned based on the “Position Taiwan as an Asset Management Center in Asia” initiative announced by the competent authority, while also responding to national policies such as the “National Project of Hope,” the “Taiwan’s Pathway to Net-Zero Emissions in 2050 – Twelve Key Strategies,” and the “Countermeasures Against Declining Birthrates 2.0 (2026–2029)”. In addition, the revisions drew on domestic and international trends in corporate governance and sustainability, relevant regulations, and feedback from various stakeholders. In total, 12 new indicators were added, 17 were revised, 7 were removed, and 5 indicator types were adjusted, aiming to continuously promote corporate attention to governance mechanisms and sustainable development.

To strengthen corporate governance and promote the practical implementation of sustainable development, the current round of ESG Evaluation is making the following additions and revisions:

n   Environmental (E): To encourage companies to adopt corresponding management practices for various environmental issues, improve energy efficiency, and emphasize biodiversity and ecological conservation, the indicators “Disclosure of Total Waste Weight” and “Supplier Management Policy Requirements on Environmental Issues” have been split from their original indicators. New indicators for “formulating policies to promote the circular economy or waste management,” “disclosing energy usage,” “establishing biodiversity policies or commitments,” and “developing strategies and measures to advance natural carbon sinks” have also been added.

n   Social (S): To deepen companies’ focus on human rights protection and employee welfare, strengthen proactive communication with investors, and promote support for innovative startups, new indicators for  “setting human rights due diligence standards,”  “providing family-friendly marriage and childcare measures,”  “disclosing employee turnover rates and reasons for departure by gender and age,”  “disclosing investor engagement activities,” and  “disclosing investments in domestic innovative start-ups” have been added.  Employer contributions exceeding statutory requirements under the new pension system have also been designated as an advanced bonus criterion.

n   Governance (G): In addition to amending the term limits for all independent directors to no more than three consecutive terms in accordance with the aforementioned action plan implementation schedule, to reinforce the company’s objectives and actions in executing its share buyback program, and to enhance the governance strength of its sustainability initiatives alongside the quality of sustainability disclosures, new indicators for “buying back treasury shares for employee transfer purposes with an average execution rate of 90% or above, or disclosing daily actual execution status during the buyback period” and “appointing a Chief Sustainability Officer to regularly report on sustainability implementation progress to the board of directors” have been added. Furthermore, “disclosing industry-specific metrics in accordance with SASB standards and obtaining third-party assurance or verification” has been designated as an advanced bonus criterion.

TWSE is committed to promoting corporate governance and sustainable development. Its evaluation indicators are continuously updated and optimized to keep pace with evolving standards. Initially focusing on strengthening board structures, establishing functional committees, and enhancing information transparency, the assessment has now expanded to actively evaluate companies’ attention to environmental change, fulfillment of corporate social responsibility, and engagement with shareholders and stakeholders. The goal is to drive companies toward sustainable operations, achieve sustainable transformation in line with global standards, and strengthen international competitiveness in the capital market.

The content of the first ESG evaluation indicators has been made available for review and download in the Corporate Governance Center / ESG Evaluation section  at https://cgc.twse.com.tw/esgEvaluation/listCh.