With the Global Environment

Global Warming Preventive Measures

We are developing an environmental management system with the goal of becoming an Asian company. In order to cut the amount of greenhouse gases significantly with a view to achieve a low-carbon society, we expanded the scope of our reporting targets.


Summary for 2015

If calculated for the existing scope of operations using the electricity emissions factor of 0.378 kg-CO2/kWh (which is the overall power average in 2000 as reported by the Federation of Electric Power Companies), the KOKUYO Group's CO2 emissions in 2015 totaled 25,945 tons, 319 tons(1.2%) less than in the previous year. Based on estimates, there were emission reductions of 1,350 tons due to operational improvements and 220 tons due to equipment improvements. Manufacturing operations and the closing and consolidating of facilities raised emissions by 820 tons. As a result, there was an effective reduction in CO2 emissions of 1,570 tons from a combination of operational and equipment improvements. Consequently, excluding the impact of production activities, emissions were down 4.6% from the previous year to allow us to meet our goal of a 2.0% reduction.

Looking at sources of CO2 emissions, there was an increase of 680 tons at factories due to an increase in production. However, as there was a decrease of 1,190 tons due to higher manufacturing efficiency and other improvements, factories recorded a net decrease in emissions of about 510 tons. For distribution activities, although emissions increased by 170 tons because of a higher volume of operations, there was a reduction of 180 tons due to heightened measures to conserve electricity and other energy use, resulting in a net decrease in emissions of 10 tons. In the offices, emissions were down approximately 200 tons thanks to the more efficient use of heating and cooling systems and the effective use of heat storage. Additionally, to use energy more efficiently, we oversee unit energy consumption, which is obtained by dividing energy consumption by sales. In 2015, our unit energy consumption was 5.3% less than in the previous year.

Comparison of cases with a fixed electricity emission factor and cases with separate emission factors for each electricity company and country

If the 2012 emission coefficients for each of the various countries on the greenhouse gas (GHG) protocol website made public by the World Business Council for Sustainable Development (WBCSD) and the World Resource Institute (WRI) are adopted as the figures for the CO2 emission coefficients and added to the Japanese CO2 emission coefficients based on the Act Concerning the Promotion of Global Warming Countermeasures (for 2015, actual emission coefficients for each electricity company for 2013 and 2014), then the total rises by 7,227 tons to 33,172 tons.


Scope of Reporting

While 16 companies were included in the scope of CO2 emission reporting (reporting scope A *1 ) until 2011, all consolidated subsidiaries came to be included in the scope of reporting starting in 2012 (for 2015, 31 companies; reporting scope B *2 ). As a result, CO2 emissions totaled 43,890 tons (including 1,656 tons at non-consolidated sales companies). The changes to the emission coefficient and the extension of CO2 emission reporting to the supply chain have resulted in significant changes for the KOKUYO Group. Consequently, we believe that the medium-term goals for emissions will have to be reexamined.

*1: A: KOKUYO Co., Ltd., 12 consolidated subsidiaries, and 3 affiliated companies
*2: B: KOKUYO Co., Ltd., 20 consolidated subsidiaries, and 10 affiliated companies (KOKUYO S&T and KOKUYO Furniture were integrated with KOKUYO Co., Ltd. in October 2015)

* Relevant information: "Changes in CO2 emissions"

Measures for the prevention of global warming in our plants


Solar panels installed at Shiga factory

A reduction of 970 tons in CO2 emissions was achieved at our plants thanks to operational improvements attributed in part to a shortening of the time required to make changes in product types, the thorough application of rules for the operations of production equipment, the conducting of inspections, the elaboration of production schedules, and a reduction of waste made possible through energy checks. In addition, a reduction of 220 tons in CO2 emissions was achieved by embracing energy-saving equipment, including switching from LPG to LNG, adapting systems to enable the installation of inverters, and switching to LED lights. While an increase in production resulted in an increase in CO2 emissions of 680 tons on a year-on-year basis, there was a net reduction of 510 tons in CO2 emissions (reduction of 60 tons domestically and a reduction of 450 tons overseas) resulting from a reduction of 1,190 tons attributed to the above operational improvements and equipment improvements.

Measures for the prevention of global warming in the area of logistics


Hybrid streetlights installed at our Metropolitan Area Integrated Distribution Center (IDC)

In the area of logistics (storage and shipping), we achieved a reduction of 10 tons in CO2 emissions compared to the preceding year. A reduction of 170 tons in CO2 emissions due to operational improvements attributed to the promotion of energy-saving activities carried out on a day-to-day basis was achieved. In terms of equipment improvements, a reduction of 10 tons in CO2 emissions was achieved thanks to the introduction of energy-saving lighting fixtures and a review of the optimal luminance of the distribution center. In operating an automated three-dimensional warehouse, KOKUYO Logitem's Ina Distribution Center adopted an electricity demand meter as part of efforts to reduce peak electricity consumption in response to tight demand-and-supply conditions for electricity. While CO2 emissions increased by 170 tons due to an increased rate of operations in 2015, a net reduction of 10 tons in CO2 emissions was achieved by way of a reduction of 180 tons due to operational improvements and equipment improvements.

Measures for the prevention of global warming in Offices


Solar panels installed at the new wing of our Osaka office

Offices lowered CO2 emissions by 230 tons over the previous year. To accomplish this, we conducted a review of the methods by which heating and cooling systems were being operated, a review of working styles, promotion of no-overtime days and activities that encourage employees to go home early, and reduction of electricity use, such as by replacing lighting fixtures with LEDs. At our Shinagawa office, an electric power visualization system is used to lower electricity use during on-peak hour of daytime through the efficient operation of heating and cooling systems and heat storage tanks. In addition, a program that encourages people to use public transportation for sales activities cut gasoline use by 10% compared to the previous year, which represents a reduction in CO2 emissions of 170 tons. In 2015, the cool biz and warm biz campaigns were combined into a smart biz campaign that was in effect all year long.

Ascertaining GHG emission volumes for the entire supply chain

Emission volumes by scope
Emission volumes by scope

In recent years, a movement to engage in carbon disclosure projects (CDP) and to manage and externally disclose Scope 3 (encompassing production, shipping, business trips, commutation, and other categories) emissions generated through supply chains that indirectly emit GHG has been gaining momentum. While the KOKUYO Group has also engaged in such actions in certain areas such as shipping, actions started to be taken in 2014 in accordance with the Ministry of the Environment's Basic Guidelines on Calculating Volumes of Greenhouse Gas Emissions Generated through Supply Chains. The volume of GHG emissions for the entire supply chain in year 2015 was 395,611 tons of CO2. Scope 3 emissions accounted for approximately 90 percent of this figure with 70 percent thereof attributed to "Category 1 purchased products and services". Since data has not yet been fully collected from all cooperating plants, this percentage figure is expected to rise. Given that there are also problems in other categories, improvements will be made from next term. Third-party verification services provided by Bureau Veritas Japan have also been secured to ensure the reliability of disclosed information and data.

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