Climate Change Data

KOEI CHEMICAL COMPANY, LIMITED

Climate Impact & Sustainability Data (2019-04 to 2020-03, 2022-04 to 2023-03)

Reporting Period: 2019-04 to 2020-03

Environmental Metrics

Total Carbon Emissions:2.77 tCO2e/year (2019)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:20,487 tons/year (2019)
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Safety
  • Environment
  • Quality
  • Responsible Care
  • Community Engagement
  • Employee Well-being
  • Sustainability
  • SDGs

Environmental Achievements

  • Implemented energy-saving projects since 2005, including process improvements, heat recovery, fuel switching, and productivity improvements to reduce energy consumption and CO2 emissions.
  • Introduced package boilers, cogeneration systems, and solar power generation; implemented LED lighting.
  • Achieved 4,054 days without a work-related injury (as of March 31, 2020).

Social Achievements

  • Launched various employee training programs, including technical skills training and globalisation support.
  • Established a 'no overtime day' every Friday to reduce overtime work.
  • Implemented a super flextime system in October 2019.
  • Implemented various health promotion activities, including stretching classes, health checkups, and mental health support programs.

Governance Achievements

  • Transitioned from a company with a board of auditors to a company with an audit committee in June 2016.
  • Established internal control and risk/compliance committees.
  • Implemented measures to prevent insider trading.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reduce GHG emissions by 15% from 2017 levels by 2030.
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Potential decrease in demand in upstream areas due to the long-term impact of the COVID-19 pandemic.
  • Need for continuous improvement in energy efficiency and CO2 emission reduction despite increasing production.
Mitigation Strategies
  • Monitoring trends in durable consumer goods (automobiles) and information/electronic materials related to resins and paints.
  • Implementing measures to improve energy efficiency and optimize operations to reduce energy consumption and CO2 emissions.
  • Actively pursuing new solutions for GHG emission reduction to meet the 15% reduction target by 2030.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: 2022-04 to 2023-03

Environmental Metrics

Total Carbon Emissions:39,600 tCO2e/year (2022)
Scope 1 Emissions:29,657 tCO2e/year (2022)
Scope 2 Emissions:16,263 tCO2e/year (2022)
Scope 3 Emissions:44,618 tCO2e/year (2022)
Water Consumption:1,858,000 m3/year (2022)
Waste Generated:20,037 tons/year (2022)

ESG Focus Areas

  • Climate Change
  • Diversity & Inclusion
  • Governance
  • Human Rights
  • Responsible Care

Environmental Achievements

  • Reduced CO2 emissions by 32% compared to 2013 (Scope 1+2)
  • Improved energy consumption per unit by -0.8%
  • Decided to introduce solar power generation at Chiba plant (operational from March 2024)
  • Supplied CO2 absorption amine compound to Kawasaki Heavy Industries

Social Achievements

  • Launched Saradaball Farm, employing people with disabilities
  • Increased the percentage of female employees in new graduate recruitment to 40.0% (KPI: 20% or more)
  • Increased the employment rate of people with disabilities to 3.6% (KPI: 2.5% or more)
  • Implemented employee awareness survey in February 2023

Governance Achievements

  • Established Sustainability Committee (advisory committee to the Board of Directors)
  • Established Sustainability Promotion Headquarters Meeting (within the management meeting)
  • Improved internal control system by reorganizing various committees
  • Introduced timely theme audits and spot audits to improve audit level

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050
Medium-term Goals:
  • Achieve 50% reduction in CO2 emissions by 2030 (compared to 2013)
  • Achieve 20% share of new product sales by 2024
  • Increase the percentage of female employees in new graduate recruitment to 20% or more
Short-term Goals:
  • Reduce water consumption

Environmental Challenges

  • Geopolitical risks (prolonged war in Ukraine, US-China 'new Cold War') leading to global economic fragmentation and supply chain disruptions
  • High inflation and rising interest rates
  • Economic slowdown risk
  • Climate change issues (rising temperatures, sea temperatures, natural disasters)
  • Increased reliance on coal-fired power due to soaring electricity demand
Mitigation Strategies
  • Continuously reviewing and strengthening the value creation process
  • Contributing with unique technologies to address social issues
  • Aiming for a 50% reduction in CO2 emissions by 2030 compared to 2013 and carbon neutrality by 2050
  • Developing environmentally friendly ionic liquids for cellulose dissolution
  • Strengthening collaboration with Sumitomo Chemical

Supply Chain Management

Responsible Procurement
  • Based on Sumitomo Chemical Group's 'Basic Policy on Respect for Human Rights' and 'Policy on Responsible Sourcing of Minerals and Raw Materials'

Climate-Related Risks & Opportunities

Physical Risks
  • Natural disasters
Transition Risks
  • Regulatory changes, market shifts
Opportunities
  • Development of energy-efficient products

Sustainable Products & Innovation

  • Environmentally friendly ionic liquids for cellulose dissolution