Accounting for Greenhouse Gas(GHG) Emmisions
Taikisha started to calculate the GHG emissions released from its upstream to downstream corporate operations in accordance with Scope 3 standard*1, an international standard for companies to calculate and report GHG emissions of the entire supply chain.
Taikisha received support related to supply chain GHG emissions given to individual companies and sponsored by the Ministry of the Environment, and calculated and disclosed GHG emissions in compliance with the "Basic Guidelines on Accounting for Greenhouse Gas Emissions throughout the Supply Chain" set out by the Ministry of the Environment and the Ministry of the Economy, Trade and Industry. In addition, Taikisha has publicly released its efforts on the "Green Value Chain Platform"*2 provided by the Ministry of the Environment.
GHG emissions consist of scope1, scope2 and scope3 as shown below.
*1A standard established mainly by the WRI (World Resources Institute) and WBCSD (World Business Council for Sustainable Development) on calculating and reporting GHG emissions.
Grasping the Level of Scope 1 and 2 Emissions to Reduce CO2 Emissions
Companies are being required to reduce GHG emissions through business operations at construction sites and offices to help curb global warming.
Looking at Taikisha's GHG emissions in FY2019, Scope 1 emissions, which are direct emissions from combustion of fuels, etc., were 1,356 t-CO2, and Scope 2 emissions, which are indirect emissions from use of electricity, etc., were 1,329 t-CO2. Taikisha will continue to work on saving energy at construction sites and offices.
Breakdown of Scope 3 Emissions
Looking at Taikisha's GHG emissions in the supply chain for FY2019, Scope 3 emissions were 3,823,237 t-CO2, of which emissions from Category 11 (use of sold products) accounted for the largest portion at 93.2%. Considering that GHG emissions from the operation phase of the facilities Taikisha provides are largest across its supply chain, Taikisha will make greater efforts than ever to provide facilities and systems with high energy-saving capabilities.
In addition, Taikisha will further promote green procurement by cooperating with suppliers and continue to reduce construction by-products and to appropriately dispose of industrial waste, aiming to curb GHG emissions from production, transportation, and disposal of materials and to help conserve the global environment.
|Category||Accounting methods||Emissions amount(t-CO2)|
|Category 1: Purchased goods and services||Calculated from (raw) materials procurement amount (in value terms)||225,200|
|Category 2: Capital goods||Calculated from amount of capital investment||1,295|
|Category3: Fuel- and energy-related activities not included in Scope 1 or 2||Calculated from purchased amount of electricity and fuels||385|
|Category4: Transportation and delivery (upstream)||Calculated from transportation costs accompanying procurement of (raw) materials||21,720|
|Category5: Waste generated in operations||Calculated from amount of waste discharged by type||1,689|
|Category6: Business travel||Calculated from travel expenses paid by mode of transportation||4,292|
|Category7: Employee commuting||Calculated from transportation expenses paid to employees||390|
|Category8: Leased assets (upstream)||included in Scope 1 and 2 emission calculation||―|
|Category9: Transportation and delivery (downstream)||No relevant activities||―|
|Category10: Processing of sold products||There are some products that are relevant, but calculations are ignored because their ratios in sales are extremely small.||―|
|Category11: Use of sold products||Calculated from emissions from operation of facilities Taikisha provided, HFC leakage from equipment Taikisha provided, and estimated useful lives||3,567,200|
|Category12: End-of-life treatment of sold products||Calculated from weight of main equipment by type||1,066|
|Category13: Leased assets (downstream)||No relevant activities||―|
|Category14: Franchises||No relevant activities||―|
|Category15: Investments||Calculations are ignored because the validity of the category 15 estimates is low as a result of many portfolio companies not disclosing Scope 1 and 2 emissions and the impact of the category 15 estimates on the entire supply chain is small.||―|
|Total of Scope 1. 2 and 3||3,825,922|