Mitsubishi Materials Corporation
Climate Impact & Sustainability Data (2018-04 to 2019-03)
Reporting Period: 2018-04 to 2019-03
Environmental Metrics
Total Carbon Emissions:7933 thousand tons CO2e (FY2016)
ESG Focus Areas
- Governance
- Environmental Management
- Human Resources
- Recycling
- Renewable Energy
- Supply Chain Responsibility
Environmental Achievements
- Increased alternative thermal energy rate by 36% compared to FY2017 at Kyushu Plant (Cement Business)
- Expanded E-Scrap processing capacity to 160,000 tons/year
- Commenced commercial operations of Wasabizawa Geothermal Power Plant
Social Achievements
- Launched diversity training for all employees
- Implemented measures to improve communication at all levels
- Introduced an elective welfare system
Governance Achievements
- Shifted from a Company with an Audit & Supervisory Board to a Company with a Nomination Committee
- Established the SCQDE approach (Safety & Health, Compliance & Environment, Quality, Delivery, Earnings) as a guiding principle
- Implemented Group Governance Framework Enhancement Measures
Climate Goals & Targets
Long-term Goals:
- Become Japan’s largest comprehensive geothermal power generator
- Contribute to creation of a recycling-oriented society
Medium-term Goals:
- Achieve 30% recycled material ratio for all tungsten procurement
- Reduce dependency on China for tungsten to 40% or less
- Expand sales of tools for aircraft to 10% of total cemented carbide product sales by 2025
Short-term Goals:
- Reduce CO2 emissions
- Increase alternative thermal energy rate by 40% compared to FY2017 at Kyushu Plant
- Implement robot automatic sorting technology
- Improve recycling technologies for solar panels and lithium-ion batteries
Environmental Challenges
- Quality issues in multiple business segments
- Insufficient communication within the organization
- Fragile compliance framework
- Insufficient resource allocation
- Aging and deterioration of equipment
- Gap between work volume and available human resources
- Declining birthrate and aging population in Japan
- Stagnation of the Chinese economy and geopolitical risks
- Intensifying competition in various markets
- Risk of tungsten and cobalt supply shortages
- Decreasing demand for cement in Japan
- Rising energy prices
- Tightened environmental regulations
Mitigation Strategies
- Implemented Group Governance Framework Enhancement Measures
- Established Governance Deliberative Council
- Increased communication opportunities
- Bolstered management departments and increased audit frequency
- Implemented training programs for management and employees
- Established SCQDE approach
- Continued capital expenditures
- Improved order receiving system
- Enhanced quality control department
- Promoted automated inspection equipment
- Increased waste plastics processing capacity
- Expanded ready-mixed concrete plants
- Implemented process improvements and promoted alternative thermal energy
Supply Chain Management
Responsible Procurement
- CSR Procurement Guidelines for the Procurement & Logistics Division
- CSR Procurement Standards
- CSR Investment Standards
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Tightening of regulations on greenhouse gas emissions
Opportunities
- Growing demand for technologies and products that contribute to saving energy and reducing CO2 emissions
Reporting Standards
Frameworks Used: International Integrated Reporting Framework (IIRC), GRI Standards
Certifications: ISO 14001
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 9 (Industry, Innovation and Infrastructure)
- Goal 12 (Responsible Consumption and Production)
- Goal 5 (Gender Equality)
The Group's operations contribute to these SDGs through its supply of essential materials, efforts to increase renewable energy and improve energy efficiency, contributions to a recycling-oriented society, and efforts to expand opportunities for female employees.
Sustainable Products & Innovation
- Algae-derived bioplastic materials