ENEOS Holdings, Inc.

Climate Impact & Sustainability Data (2020-04 to 2021-03, 2021-04 to 2022-03)

Reporting Period: 2020-04 to 2021-03

Environmental Metrics

Total Carbon Emissions:22.49 million tCO2e/year (Scope 1 and 2)

Scope 1 Emissions:18.75 million tCO2e/year

Scope 2 Emissions:2.70 million tCO2e/year

Scope 3 Emissions:164.64 million tCO2e/year

Renewable Energy Share:Not disclosed

Total Energy Consumption:4,277 million kWh/year

Water Consumption:1.52 billion m3/year

Waste Generated:4,144,932 tons/year

Carbon Intensity:Not disclosed

ESG Focus Areas

Climate Change
Safety
Human Rights
Human Resource Development
Diversity and Inclusion
Work-Life Management
Compliance
Supply Chain Management
Social Contribution
Corporate Governance

Environmental Achievements

Reduced CO2 emissions by 3.14 million tons compared to fiscal 2009 (2020)
Maintained zero emissions (waste-to-landfill ratio of less than 1%) in 2020
Complete switch to electricity derived from renewable sources at the Caserones Copper Mine (January 2021)

Social Achievements

100% participation rate in human rights training (2020)
Women comprised at least 25% of newly hired university graduates (32.8% achieved in 2020)
Maintained annual paid leave days taken at 80% or higher (87.4% achieved in 2020)
Maintained 100% rate of return to work after childcare leave (99.2% achieved in 2020)

Governance Achievements

Completed legal compliance inspections (2020)
Completed training on important laws and regulations (2020)
Added CO2 emissions reduction volumes as a performance indicator for share-based remuneration for fiscal 2020–2022

Climate Goals & Targets

Long-term Goals:

Achieve carbon neutrality in its own CO2 emissions by fiscal 2040

Medium-term Goals:

Reduce CO2 emissions by 10.17 million tons in fiscal 2030 compared to fiscal 2009
Expand the total generation capacity of renewable energy power generation portfolio to more than 1,000 MW by the end of fiscal 2022

Short-term Goals:

Reduce CO2 emissions by 4.28 million tons in fiscal 2022

Environmental Challenges

Declining demand for petroleum due to advancements in EV technologies and growing environmental awareness
Increasing frequency and severity of wind and flood damage caused by extreme weather events
Rising sea levels caused by global warming
Human rights violations by suppliers
Occupational injuries (40 in 2020, including 2 fatalities)

Mitigation Strategies

Developing and strengthening renewable energy, CO2-free hydrogen, CCS, and CCUS businesses
Implementing various earthquake measures at refineries and plants
Implementing CSR procurement, including consideration of human rights factors in supplier selection
Strengthening and ensuring thorough compliance with internal rules on safety measures for working at heights
Improving the effectiveness of risk assessments and employee ability to investigate the causes of accidents

Supply Chain Management

Supplier Audits: 906 companies surveyed (2019)

Responsible Procurement

CSR procurement
Consideration of human rights factors in supplier selection
Exclusion of conflict minerals

Climate-Related Risks & Opportunities

Physical Risks

Increasing frequency and severity of wind and flood damage
Rising sea levels

Transition Risks

Policy and legal changes
Technological advancements
Declining demand for petroleum
Stranding of upstream oil assets

Opportunities

Increasing demand for raw materials for recycling
Increasing demand for hydrogen and renewable energy
Expansion of initiatives to reduce environmental impacts in the mobility industry

Reporting Standards

Frameworks Used: GRI Standards, TCFD recommendations

Certifications: ISO 14001 (at 54 of 70 business sites), ISO 45001 (in process of acquisition)

Third-party Assurance: Deloitte Tohmatsu Sustainability Co., Ltd.

UN Sustainable Development Goals

Goal 7 (Affordable and clean energy)
Goal 13 (Climate action)
Goal 8 (Decent work and economic growth)
Goal 12 (Responsible consumption and production)
Goal 17 (Partnerships for the goals)

Various initiatives contribute to these goals through reduction of greenhouse gas emissions, promotion of renewable energy, responsible supply chain management, and social contribution activities.

Sustainable Products & Innovation

Fuel-efficient lubricants
Specialized fluids for electric vehicles
Natural gas and LNG
Liquid crystal polymers
Electricity generation using renewable energy

Awards & Recognition

Nadeshiko Brand (2020)
Health and Productivity Management Outstanding Organization (2018-2020)
ENEOS received the highest of three “Eruboshi” (L Star) certifications (October 2020)

Reporting Period: 2021-04 to 2022-03

Environmental Metrics

Total Carbon Emissions:23.34 million tCO2e/year (Scope 1 & 2)

Scope 1 Emissions:19.92 million tCO2e/year

Scope 2 Emissions:2.37 million tCO2e/year

Total Energy Consumption:4,430 million kWh/year

Water Consumption:1.50 billion m3/year

Waste Generated:3,209,760 tons/year