Climate Change Data

Environmental Metrics

ESG Focus Areas

• Carbon Neutrality
• Ammonia as a low-carbon fuel

Environmental Achievements

• Received first shipment of independently-certified low-carbon ammonia from Saudi Arabia for co-firing in power generation at Sodegaura Refinery.

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Reducing CO2 emissions from operations

Mitigation Strategies

• Co-firing ammonia in boilers at Sodegaura Refinery; exploring ammonia supply chain construction.

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: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Supplying sulfur-free gasoline and gas oil (sulfur content 10 ppm (mass) or less)
• Supplying regular and premium gasoline containing bio-ETBE
• Reduced CO2 emissions through ongoing energy conservation activities and investment
• Maintained a final disposal rate of less than 1% since FY 2002 for industrial waste

Social Achievements

• Improved safety performance, reducing work-related accident frequency and severity rates
• Implemented childcare and long-term care leave systems exceeding legal requirements
• Extended the number of vacation days to allow for hospital visits and other needs for employees with disabilities
• Various ongoing employee training programs to promote diversity and inclusion

Governance Achievements

• Established a Nomination and Remuneration Advisory Committee
• Strengthened corporate governance framework in accordance with Japan’s Corporate Governance Code
• Implemented a policy for the selection of director candidates
• Established a risk management framework

Climate Goals & Targets

Environmental Challenges

• Declining domestic oil demand due to structural factors like shrinking population and increased use of energy-saving vehicles
• Transition to a carbon-neutral society by 2050
• Aging production equipment at the refinery
• Intense competition in the oil refining industry due to new refineries coming online
• Fluctuations in crude oil prices and exchange rates
• Risks related to climate change, including physical and transition risks
• Potential for operational disruptions due to disasters or accidents

Mitigation Strategies

• Entered into a capital and business alliance with Idemitsu Kosan to create synergies and pursue carbon-neutral initiatives
• Implementing energy-saving measures and exploring the use of ammonia as boiler fuel
• Exploring the production of sustainable aviation fuel (SAF)
• Investing in digital transformation to improve efficiency and safety
• Strengthening risk management framework and business continuity planning
• Diversifying crude oil procurement sources
• Implementing currency hedging transactions to mitigate exchange rate fluctuations
• Rigorously managing inventory to contain market risk

Supply Chain Management

Responsible Procurement

• Diversification of crude oil procurement sources

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters affecting production facilities

Transition Risks

• Declining demand for petroleum products due to the shift to low-carbon energy sources
• Introduction of carbon taxes and other carbon pricing mechanisms

Opportunities

• Development of low-carbon energy sources such as SAF, ammonia, hydrogen, and biofuels

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 9001, ISO 14001

Sustainable Products & Innovation

• Sulfur-free gasoline and gas oil
• Gasoline containing bio-ETBE
• Exploration of SAF production

Awards & Recognition

• Excellence in Automation Award from the ISA100 Wireless Compliance Institute (ISA100 WCI)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Supplying sulfur-free gasoline and gas oil (sulfur content 10 ppm (mass) or less)
• Use of bio-ETBE
• Maintained a final disposal rate of less than 1% since the fiscal year ended March 2002
• Energy savings of 15,000 kiloliters-coe per year at the refinery (for FY 2025).

Social Achievements

• Established the Fuji Oil Group Human Rights Policy
• Agreement with Sodegaura City to supply fuel to fire engines, etc., in times of disaster
• Implemented a multi-layered personnel system, job grade system, and job group transfer system to support diverse career paths
• Extended childcare and long-term care leave beyond legal requirements

Governance Achievements

• Strengthened organization in accordance with Japan’s Corporate Governance Code
• Established a Nomination and Remuneration Advisory Committee
• Established a Corporate Ethics Committee

Climate Goals & Targets

Environmental Challenges

• Declining domestic oil demand
• Global moves toward achieving carbon neutrality by 2050
• Aging production equipment at the refinery
• Shrinking population of construction workers
• Rising costs of construction and materials
• Risk of changes in legal regulations
• Exchange rate fluctuation risk
• Market fluctuation risk
• Interest rate fluctuation risk
• Operational risks due to disasters, accidents, etc.
• Risk from infectious diseases
• Raw material procurement risk
• Risks related to the competitive environment
• Climate change risks

Mitigation Strategies

• Capital and business alliance with Idemitsu Kosan
• Intensive inspections of aging equipment
• Employing drones for inspections and rollout of IoT, AI, and other digital technologies
• Streamlining refining costs, boosting energy efficiency
• Optimizing production including raw material procurement
• Improving equipment to expand production of high-value-added products
• Streamlining overall costs, boosting operational efficiency
• Further developing energy-saving actions and investments
• Exploring use of ammonia as boiler fuel
• Pursuing introduction of next-generation biofuels, CO2-free hydrogen, synthetic fuels, etc.
• Business continuity plan
• Risk Management Guidelines
• Crisis response headquarters
• Regularly manage progress of strategies and report back to the Board of Directors

Supply Chain Management

Responsible Procurement

• Diversified procurement of crude oil

Climate-Related Risks & Opportunities

Physical Risks

• Increasing severity and frequency of natural disasters

Transition Risks

• Introduction of carbon tax or other carbon prices
• Falling demand for petroleum products due to advances in electric vehicle and energy-saving technologies
• Falling demand for petroleum products due to growing environmental awareness

Opportunities

• Greater energy efficiency through introduction of leading-edge energy-saving technology
• Introduction of carbon neutral technology, supply of synthetic fuels, etc.
• Rising demand for energy with low environmental impact
• Higher demand for products made from waste plastic oil chemical recycling, etc.

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 9001, ISO 14001

Sustainable Products & Innovation

• Sulfur-free gasoline and gas oil
• Gasoline containing bio-ETBE

Awards & Recognition

• Excellence in Automation Award from the ISA100 Wireless Compliance Institute (ISA100 WCI)