Contributing to Environmental Protection : Review of Activities during FY2020

FY2020 Material Flow of Domestic Operations of Toyo Seikan Group

CO₂ Emissions from Operations (Scope 1 & 2)

In fiscal 2020, total carbon emissions from the Group’s facilities in Japan and abroad decreased 8% from the previous year to 1,381 thousand tons.

The emissions from the domestic facilities declined by 111 thousand tons from the year earlier as a result of lower production, replacement of air compressors, periodic repair of melting furnaces and other energy-saving activities, while those from overseas facilities decreased by 2 thousand tons year on year.

We continue to engage in cutting carbon footprint in fiscal 2021 through energy-saving efforts, including replacing equipment, streamlining production lines and improving production efficiency.

Changes in CO₂ Emissions from Operations^(1)(2)(3)

• Note:
• 1.In May 2021, we raised our reduction targets.
• 2.The 35% reduction compared to FY2019 is equivalent to a 45% reduction compared to FY2013 (the previous 30% reduction target was compared to FY2013).
• 3.The figures for the previous years have been retroactively revised due to a change in the electricity grid emissions factor and the addition and correction of data for certain facilities.

Greenhouse Gas Emissions from Supply Chain (Scope 3)

The Toyo Seikan Group calculates the amount of greenhouse gas emissions from the upstream and downstream of the supply chain (Scope 3) as well as the amount of emissions from its operations (Scope 1: direct emissions from fuel combustion, and Scope 2: indirect emissions from electricity consumption). Under our environmental vision Eco Action Plan 2030, we aim to reduce the Scope 3 emissions 20% by fiscal 2030 compared to fiscal 2019.

In fiscal 2020, the Scope 3 emissions associated with our domestic operations accounted for approximately 80% of the total emissions from the Group’s domestic operations and supply chain. Of the total Scope 3, the emissions from purchased products (Category 1) accounted for approximately 73%, followed by disposal of sold products (Category 12) and capital goods (Category 2). This indicates that reducing emissions related to purchased products (e.g. material procurement) is becoming more and more important. We will continue to work together with material suppliers on reducing product weights and using more recycled and plant-based materials.

GHG Emissions from Supply Chain (FY2020)

Please refer to the Environmental Performance Data for details regarding the Scope 1, 2 and 3 emissions.

More Use of Renewable Energy

As part of our efforts to reduce greenhouse gas emissions from operations, we have been introducing solar power systems to our facilities. Two domestic facilities, Tokan Kogyo's Komaki Plant and Toyo Kohan's Kudamatsu Plant, began to operate the system in December 2020 and in February 2021, respectively. Outside Japan, Toyo Filling International in Thailand launched the system in August 2020. We will step up the introduction of renewable energy as a key measure to address global warming going forward.

Promoting Modal Shift - Recognized as Eco Ship Mark Certified Business

We as a whole group will continue to advance our commitment to reducing environmental impact for the creation of a sustainable world.

Certification of Eco-friendly Products

The Toyo Seikan Group has been working on developing, manufacturing and selling low environmental impact products, considering their entire lifecycle. We have certified several products of the Group as Eco-friendly Products based on our group-wide standards for evaluation in the stages of raw material procurement, production, transportation, consumption and disposal/recycling. As of the end of September 2022, a total of 70 items have been certified as Eco-friendly Products.

Click here for the list of our Eco-friendly Products (available only in Japanese).

Risk Management of Production Facilities

Harmful substances and waste liquid that flow out of plants have a long-lasting adverse impact on the surrounding environment. While group companies have been individually implementing risk management with their environment management systems, we are now further enhancing our risk management framework. We identify equipment and facilities that carry high risks of environmental accidents based on the degrees of deterioration in facilities and the characteristics of substances handled by individual plants. The management of piping and storage tanks are given special attention since a leakage from such equipment would have a material impact.In fiscal 2021, we established environmental risk management guidelines common to all group companies to launch a group-wide risk management system.

Addressing Marine Plastic Pollution

Engagement through Clean Ocean Material Alliance

In January 2019, the Clean Ocean Material Alliance (CLOMA) was established with a wide range of business operators participating to address marine plastic pollution, an emerging global challenge. The CLOMA is aimed at promoting a new 3R (reduce, reuse, recycle) initiative toward more sustainable use of plastic products and the development and introduction of alternative materials through public-private collaboration. Toyo Seikan Group Holdings has joined the alliance as a managing partner since the preparation phase and has been working as a key member of a subcommittee of CLOMA to share information and enhance the network with partners from across industries.

In 2020, CLOMA formulated an action plan to advance plastic recycling as a countermeasure against marine plastic pollution. Another four companies of our group: Toyo Seikan, Tokan Kogyo, Nippon Closures, and Mebius Packaging, have also joined the alliance to implement measures to achieve the action plan. In working groups that are relevant to their business domains, the companies are tackling new challenges to reduce additional marine plastic litter to zero by 2050.