Environmental Management

Policy and Basic Approach

Sojitz recognizes that sustainability is one of our top management priorities, and we are actively undertaking initiatives aimed at conserving the environment in all aspects of our business activities.

To this end, we have introduced an environmental management system (EMS) based on ISO 14001 and headed by Sojitz’s president. The aims of Sojitz’s EMS are as follows:

  • Ensure implementation of our environmental policies
  • Elevate employee awareness
  • Actively implement risk management, such as through compliance with laws and regulations
  • Carry out smooth communication with stakeholders

In our EMS, management first sets a company-wide policy, and each department sets targets in line with the policy and its associated risks and opportunities after examining the external trends, internal issues, and risks and opportunities for the company that contributed to the determination of the policy. Management then monitors these targets, and each department implements a PDCA cycle for continuous improvement after undergoing internal environmental audits and audits by external organizations.

Risks and Opportunities for the Materiality(Key Sustainability Issues) Set by Sojitz

Materiality(Key Sustainability Issues) Sustainability Challenge Departmental Goal Type SDGs Risks and Opportunities for Sojitz
Risks Opportunities
Human Rights Human Rights Initiatives to protect human rights Incidents of human rights violations in our company and in our supply chains impact our reputation and business transactions Strengthening the sustainability of the business region through consideration for human rights, including in supply chains
Environment Decarbonization Company-wide decarbonization measures Introduction and strengthening of environmental regulations, carbon taxes, and emissions trading Strengthening resilience to environmental regulations by reducing CO2 emissions
Businesses contributing to decarbonization "Shrinking market (for carbon-dependent products and services)
E.g., Coal-fired power generation market, etc."
"Market expansion (of low-carbon and decarbonized products and services)
E.g., Renewable energy market"
Rethinking businesses to promote decarbonization Stranded assets (carbon-dependent factories) Construction and business participation (low-carbon and carbon-free factories)
Measures to address climate change risks Occurrence of water risks such as floods, droughts, etc., frequent wildfires, changes in crop growing regions Strengthening business resilience through risk response
---- Environmental measures other than decarbonization (climate change) "Environmental pollution in our companies and in our supply chains affects our reputation and business dealings
Violations of environmental laws and regulations"
Strengthening the sustainability of the business region through prevention of pollution, including in supply chains
Resources --- Creation of business opportunities that contribute to resource recycling and efficient resource usage Shrinking market for disposable products and services Expanding market for recyclable products and services
In-house initiatives for resource recycling, compliance with laws and regulations Increasing disposal costs
Deviation from rules related to resource recycling"
Increased business resilience resulting from the promotion of '3Rs+Renewables' and resource recycling
Securing food resources Insufficiency of food resources due to future population and economic growth around the world Expanding demand for food and of food markets
Securing water resources Impact of water shortages on operations at project sites Increased demand for securing water resources
Securing fishery resources Fishery resource depletion due to overfishing, reputational risks, and business continuity concerns Increased demand for recycling-based fisheries and aquaculture
Securing forest resources Reputational risk due to depletion and denunciation of forest resources "Certified wood
Recycling-oriented businesses"
Local Communities --- Contribution to social themes in emerging countries Decreased business opportunities due to developmental constraints in emerging countries "Infrastructure-related business opportunities
Business opportunities to introduce advanced technology and culture"
--- Contribution to social themes in developed countries "Low birthrate, aging population, depopulation of rural areas, decline of primary industries
Damage to the business environment and reduced business opportunities due to the inability to resolve issues in developed countries"
Global expansion of business opportunities through solving issues in developed countries
--- Responding to disasters occurring on a global scale --- Supply chain disruptions, rising resource prices, changes in regulations and policies in countries around the world Medical-related business opportunities
Governance --- Contribution to the transparency of company disclosures --- Damage to reputation caused by negative external evaluations of the company Increased efficiency in securing funding as a result of improved external evaluations

Reflection of Environmental Targets in Performance Evaluations

Sojitz evaluates its efforts in these areas from both qualitative and quantitative perspectives, and reflects them in the performance evaluation of each business division.

Various Policies in Sojitz’s Environmental Management Systems (EMS)

The various policies that we emphasize in our EMS are as follows.

1)Key Sustainability Issues (Environment, Resources, Local Communities, Human Rights)

In our environmental management systems (EMS), we set targets related not only to the environment, but also for our Key Sustainability Issues such as resources, local communities, and human rights. Sojitz also monitors and provides direction for achieving these targets.

Themes Contents

Environment
Contribute to the global environment through our businesses

Sojitz strives to preserve the environment and create businesses that are both highly competitive and environmentally friendly by pursuing environmental sustainability in its businesses.
We work to minimize our environmental burden with initiatives that include preventing climate change, reducing CO2 emissions and preserving biodiversity.

Resources
Develop, supply and use sustainable resources*

Sojitz pursues the development, supply, and use of sustainable resources.
We strive to conserve resources, propose suitable energy mixes and provide a stable supply of resources.
* Includes energy, mineral, food, water, forest, marine and other resources

Communities
Develop and grow together with local communities

Sojitz promotes businesses that grow together with local communities.
We work to reduce environmental and social burden on local communities through our businesses.
Through ongoing communication with local communities, we strive to achieve business sustainability, address local problems and support children’s education.

Human Rights
Respect the human rights of people involved in our businesses

Sojitz respects the human rights of people involved in its businesses.
This applies not only to Sojitz employees, but also to everyone affected by its businesses throughout its supply chains.
Should there be any instances of child labor or forced labor, we will rectify them.

2) Sojitz Group Environmental Policy

As a global company, Sojitz Group considers environmental issues a crucial topic to be addressed in management. Striving for a sustainable society, we will work to preserve the environment and prevent pollution in our business activities, while creating businesses that are both highly competitive and environmentally friendly.

  • Comply with environmental laws and regulations
    In the course of our business operations, we will comply with laws and regulations concerning the environment, international treaties, and agreements to which we subscribe.
  • Continuously improve our environmental management system
    Under our environmental management system, we will establish and periodically review environmental objectives and aim for constant improvement, in order to enhance our environmental performance.
  • Minimize environmental burden
    Through reducing greenhouse gases such as CO2 to prevent climate change and preserving biodiversity, we will strive to minimize the environmental burden of our businesses.
  • Conserve resources and reduce/recycle waste
    We will engage in curbing the use of natural resources such as energy and water, and the reducing and recycling of waste.
  • Consider the environment in new businesses
    When starting new businesses and expanding or further developing existing businesses, we will work to reduce the burden on the environment and prevent pollution.
  • Pursue sustainable resources
    We will promote initiatives for the stable supply of resources and realization of a suitable energy mix.
  • Educate and promote awareness on the environment
    In addition to ensuring that all of our officers and employees are notified of this policy, we will implement educational activities to ensure widespread awareness.

Goals and Targets

1) Sojitz Group CO2 Reduction Targets

1. Scope 1 and Scope 2 Targets

  • Reduce emissions 60% by 2030; achieve net-zero emissions by 2050 *1
    (For Scope 2: Net-zero emissions by 2030 *2)
  • Coal-fired power generation: No current projects nor future projects planned.
  • *1, *2 FY2018 serves as the base year, with Sojitz and its consolidated subsidiaries included in the scope.
    Includes carbon offsets from certificates. To accelerate our achievement of these goals, we are considering the introduction of internal carbon pricing.

2. Scope 3 Targets

  • Thermal coal interests: Reduce interests to half or less by 2025 zero interests by 2030 *3
  • Oil interests: Zero interests by 2030
  • Coking coal interests: Zero interests by 2050
  • *3FY2018 serves as the base year.
  • *4Sojitz moved up its announced goal of reducing thermal coal interests to half or less by 2030.

2) Sojitz Group’s Major Environmental Goals

In addition to the above targets, the environmental targets set by each department based on Sojitz’s policies can be broadly divided into business-related activities and in-office activities. Basically, all business divisions have established goals related to their businesses, while also focusing on in-office activities.

Business-Related Activities

  • Renewable Energy Business
    We will leverage the knowledge we have gained through the development and operation of solar as well as onshore and offshore wind and biomass power generation projects in Japan and overseas. We aim to further develop businesses in growth markets, and actively supply power to RE100 companies and other customers that require renewable energy, thereby contributing to further business expansion amidst the trend of global decarbonization.
  • Gas Business
    We are developing LNG receiving terminals and natural gas supply businesses in emerging countries and other regions where demand is expected to increase steadily over the long term. In addition to promoting a low-carbon society through the supply of natural gas, we are working to optimize energy use by combining renewable energy and new technologies to achieve decarbonization.
  • Circular Economy Business
    In light of global decarbonization and resource conservation trends, we will expand our circular economy businesses, including those promoting reuse and recycling. As specific initiatives to date, we have invested in TES-AMM JAPAN K.K., an IT Asset Disposition company; eCycle Solutions Inc., Canada’s largest recycler of household appliances and electronic devices; and PET Refine Technology, Co., Ltd., which promotes chemical recycling of PET (polyethylene terephthalate). In the area of the circular economy, including metal recycling and recycling of plastic and other waste, we will build businesses with a sense of scale and promote efforts to realize a recycling-oriented society.

In-Office Activities

Office recycling target: Maintain a recycling rate of 90% for office waste.

  • We previously achieved a recycling rate of 95% for office waste in FY2016. We are committed to retaining and raising this recycling level.

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Systems

Sojitz’s president is the chief executive officer heading the company’s environmental initiatives, while the GM of the Corporate Sustainability Dept. is responsible for the operations of Sojitz’s EMS as the lead environmental management officer of the company. The GM of the Corporate Sustainability Dept. promotes the EMS by seeking participation from all employees and in cooperation with the relevant staff in each business division and other designated environmental managers.

Through this system, we aim to comply with environmental laws and regulations, prevent environmental risks including those related to climate change, and promote environmentally friendly business practices. In addition, we establish and manage environmental goals by first setting targets related to environmental risk prevention, environmentally friendly businesses, energy and resource conservation, CO2 emission reduction, and other climate change-related risks. We also implement a PDCA cycle to evaluate and analyze our progress and ensure that we achieve the targets we set.

In addition, we have established a Sustainability Committee which is chaired by the president. The Sustainability Committee chair conducts reviews of the environmental management system (EMS) to ensure the ongoing appropriateness, adequacy, and effectiveness of the company’s EMS. The Sustainability Committee reports the results of previous management reviews, external and internal issues, risks and opportunities, achievement status of environmental targets, and the results of internal environmental audits to the chair of the Sustainability Committee. Based on the committee’s report, the chair of the Sustainability Committee announces decisions, provides resolutions, and offers directives in areas such as opportunities for continuous improvement.

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Sojitz Environmental Management System (EMS) Chart (ISO14001)

Sojitz Environmental Management System (EMS) Chart (ISO14001)

ISO14001 Certification

Sojitz Corporation and the following companies have acquired ISO14001 certification and are subject to Sojitz’s EMS.

Certification Body JIC Quality Assurance Ltd.
Certification Number E1436
Scope of Certification*1 Sojitz Corporation Head Office, Kansai Office
Sojitz Kyushu Corporation Head Office
Sojitz Pla-Net Corporation Tokyo Head Office, Osaka Branch
Sojitz Foods Corporation Head Office, Kansai Branch, Northern Japan Branch
Sojitz JECT Corporation Tokyo Head Office
Sojitz Fashion Co., Ltd. Head Office, Tokyo Branch, Tokyo Branch Annex
Sojitz Machinery Corporation Tokyo Head Office, Osaka Office, Nagoya Office
Date of Certification March 16, 2006*1
Date of Recertification January 12, 2023
Date of Expiry January 23, 2025
  • *1ISO14001 approval was acquired on August 20, 1999. As of March 16, 2006, the company's ISO 14001 registration was transferred to a new registrar, as a result of the business integration of certification bodies

ISO14001 Certification within Sojitz Group

The Sojitz Group companies that have obtained ISO14001 certification are as follows.

Companies that have obtained ISO14001 certification (as of August 1st, 2023)
  • In Japan:
  • ■Sojitz Corporation
  • ■Nissho Electronics
  • ■Sojitz Machinery Corporation
  • ■Sojitz Pla-Net Corporation
  • ■Pla Matels Corporation
  • ■Filteren Co., Ltd.
  • ■DaiichiboCo., Ltd.
  • ■Sojitz Building Materials Corporation
  • ■Sojitz Kyushu Corporation
  • ■Sojitz Foods Corporation
  • ■Sojitz Ject Corporation
  • ■Sojitz Fashion Co., Ltd.
  • ■Sojitz LifeOne Corporation
  • Outside of Japan:
  • ■Autrans (Thailand) Co., Ltd.
  • ■Sojitz Kelanitissa (Private) Limited
  • ■PT. Kaltim Methanol Industri
  • ■Thai Central Chemical Pcl.
  • ■The Long Binh Industrial Zone Development LLC
  • ■Saigon Paper Corporation
  • ■Long Duc Investment Co., Ltd.
  • ■Sojitz Vietnam Company Ltd.
  • ■Solvadis Commodity Gmbh.

22 companies in total, including both in and outside of Japan

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Risk Management

As a general trading company, Sojitz conducts business activities on a global scale. In effort to coexist with local communities and the environment, we require the preparation of an "Environmental and Social Risk Checklist" to prevent environmental and social risks and conduct environmental impact assessments from the planning stage for new investment and financing projects.

Environmental Audits

In accordance with ISO14001, we conduct internal environmental audits every year in addition to undergoing external audits conducted by JICQA. We confirm whether each division and group company is implementing the EMS effectively, and report the audit results to Sojitz’s CEO, who holds the ultimate responsibility for the environmental initiatives of the company.

Environmental Communication

When customers or external stakeholders request information about Sojitz's environmental activities, we disclose the information after following the process required by the ISO14001 standard. The information required by the standard includes questionnaires and certified copies of ISO certifications. In FY2022, we responded to 150 questionnaires and submitted 20 certification copies.

Initiatives

1. Environmental Education

To implement our EMS, we hold a company-wide briefing session on the ISO14001 standard at the beginning of each fiscal year. In addition, we conduct trainings for internal environmental audit personnel, e-learnings for select employees on environmental laws and regulations concerning topics such as industrial waste disposal, and departmental education activities twice a year for all employees in all our organizations in order to raise awareness and impart specialized knowledge.

2. Initiatives by Sector

1) Environmental Sector Initiatives

Formulating Policies for Decarbonization while Pursuing Low-Carbon Businesses and Participating in Recycling Businesses

Based on a survey of CO2 emissions in our business activities and on the 1.5℃ scenario analysis of our thermal power generation and coal interests, we have formulated a new policy to promote decarbonization taking into account risks and opportunities that climate change poses to our businesses. We have accelerated the development of decarbonization projects such as renewable energy businesses and coal-to-gas fuel conversion projects, as well as low-carbon businesses with an eye towards decarbonization. In addition, we have established a framework for the formation of a recycling-based society by participating in recycling projects in multiple sectors.

2) Initiatives in the Resources Sector

Promoting Environmentally and Socially Responsible Materials and Contributing to the Realization of a Sustainable Food System

In the lumber sector, we have increased the ratio of environmentally and socially responsible timber in accordance with our Wood Procurement Policy. In the food sector, we are contributing to the realization of a sustainable food system by beginning to handle fish sourced from full-life cycle aquaculture, among other measures.

Performance

Environmental Data

Sojitz promotes energy conservation, resource conservation, waste reduction, recycling, and green procurement. Specific measures for conserving energy include early introduction of the "Cool Biz" program, a "Warm Biz" program, using motion sensors to turn off lights when they are not needed, and shortening the time before copiers and other office equipment switch to power-saving mode.

Sojitz Corporation has asked KPMG AZSA Sustainability Co., Ltd., to provide assurance on the following data since FY2013.

Scope of Third-Party Assurance:

  • Sojitz Corporation: Electricity Consumption, CO2 Emissions, Water Consumption, Waste Discharge, Resource Recycling Amounts, and Recycling Rate
  • Sojitz Group: Electricity Consumption, CO2 Emissions, Water Consumption, Waste Discharge
  • Supply chain for the power sector (Sojitz Group’s supply chain related thermal coal interests, thermal coal sales, and petroleum gas power generation businesses): CO2 emission volumes
  • Supply chain for the coking coal sector: CO2 emission volumes

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■ Electricity

Sojitz Corporation’s Electricity Consumption and CO2 Emissions

1. Data and Results

(unit:thousand kWh)

  FY2019 FY2020 FY2021 FY2022 FY2023
Total electricity consumption 2,610 2,599 2,623 2,596 2,554★
-Of total electricity, amount of electric power from renewable energy used 0 0 10 0 223
-generated internally utilizing renewable resources 0 0 0 0 0
-purchased renewable energy electricity amounts 0 0 0 0 223
-purchased non-fossil fuel certificates 0 0 10 0 0

2. Scope of Data

Sojitz Corporation: Head office, Kansai Office, and branches (Hokkaido, Tohoku and Nagoya)

Sojitz Group’s Electricity Consumption

1. Data and Results

(unit:thousand kWh)

FY2019 FY2020 FY2021 FY2022 FY2023
Total electricity consumption 220,930 263,805 266,035 295,834 311,811★
-Of total electricity, amount of electric power from renewable energy used 162 210 760 3,015 8,929
-generated internally utilizing renewable resources 0 4 70 1,582 3,290
-purchased renewable energy electricity amounts 162 206 680 1,433 5,639
-purchased non-fossil fuel certificates 0 0 10 0 0

2. Boundary of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach.

  • Previous years' data has been revised to reflect a revision of the boundary of data collection

■ CO2

Sojitz Corporation’s CO2 Emissions

1. Data and Results

(unit:t-CO2e)

  FY2019 FY2020 FY2021 FY2022 FY2023
Scope1
(Direct emissions from use of fuels such as city gas)
14 25 28 24 25★
Scope2
(Indirect emissions from use of purchased electricity and heat)
Location based method 1,203 1,198 1,178 1,109 1,132★
Maket based method - - - - 911★
Total Scope 1+Scope 2 Location based method 1,217 1,223 1,207 1,133 1,157★
Maket based method - - - - 935★

2. Boundary of Data

Sojitz Corporation: Head office, Kansai Office, and branches (Hokkaido, Tohoku and Nagoya)

3. CO2 Emissions factors

For electricity
Location based method: We use the actual emission factors announced by the Electric Power Council for a Low Carbon Society (ELCS)
Market based method: We use the adjusted emission factors of each electric power company (published by the Ministry of the Environment and the Ministry of Economy, Trade and Industry in December 2023).
Emission factors used for city gas is as specified by the Act on Promotion of Global Warming Countermeasures.
At the Kansai Office, we utilize CO2-free electricity through non-fossil fuel certificates supplied by the owner of the building.

Sojitz Group’s CO2 Emissions

1. Data and Results

(unit:t-CO2e)

  FY2019 FY2020 FY2021 FY2022 FY2023
Scope1
(Direct emissions from use of fuels such as city gas)
979,348 721,934 721,769 751,233 577,458★
Scope2
(Indirect emissions from use of purchased electricity and heat)
Location based method 152,108 206,283 219,180 206,851 207,278★
Maket based method - - - - 204,475★
Total Scope 1+Scope 2 Location based method 1,131,456 928,217 940,948 958,084 784,736★
Maket based method - - - - 781,933★

2. Boundary of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

  • Emissions of greenhouse gases(CO2) from energy sources

3. Target for CO2 Emissions Reduction

Group companies in Japan including Sojitz Corporation aim to reduce domestic CO2 emissions by a 1% reduction rate per fiscal year.

4. CO2 Emissions factors

Units of heat produced and the emission factors are calculated using the standards found in the “Act on the Rational Use of Energy” and “Act on Promotion of Global Warming Countermeasures.”
For electricity,
Location based method: In Japan, we use the actual emission factors announced by the Electric Power Council for a Low Carbon Society (ELCS) . Overseas, we use the factors according to country, as published by the International Energy Agency (IEA)
Market based method: We use the factors of each electric power company in principle, but if it is not available, use the emission factors based on location based method.
At the Kansai Office, we utilize CO2-free electricity through non-fossil fuel certificates supplied by the owner of the building.
Previous years' data has been revised to reflect a revision of the boundary of data collection

Sojitz Group's CO2 Emissions - Changes in Output

(unit:t-CO2e per person)

FY2019 FY2020 FY2021 FY2022 FY2023
59.6 46.9 44.5 45.3 34.3

(CO2 emissions by Sojitz Group companies worldwide, including Sojitz Corporation,divided by the number of employees belonging to consolidated subsidiaries worldwide)

CO2 emissions for supply chains in the power sector (Scope 1, Scope 2, and Scope 3)

1. Data and Results (FY2023)

Thermal coal

Scope Emission volumes
(t-CO2e)
Calculation methods / Other
Scope 1 and 2 23,065 Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach.
category(*)
Scope3 1 Purchased goods and services 591,429 Calculated by multiplying the production of thermal coal traded by Sojitz by an emissions factor.
2 Capital goods 947 Calculated by multiplying the consolidated subsidiary's capital investment by an emissions factor.
3 Fuel- and energy-related activities
(not included in scope 1 or scope 2)
3,244 Calculated by multiplying the consolidated subsidiary's fuel and electricity consumption by emissions factors.
4 Upstream transportation and distribution 130,244 Calculated by multiplying the sold thermal coal traded by Sojitz (including that from the mines in which Sojitz holds equity interests) by transportation distance and emissions factors, or by multiplying fuel consumption by emissions factors. Transportation distance is calculated up until the trader in the case where the sales destination is a trader and Sojitz is unable to ascertain the destination beyond them.
5 Waste generated in operations 0 Calculated by multiplying the waste generated in operations by an emissions factor.
6 Business travel - -
7 Employee commuting - -
8 Upstream leased assets - Not applicable based on the specific attributes of the business
9 Downstream transportation and distribution - -
10 Processing of sold products - Not applicable based on the specific attributes of the business
11 Use of sold products 11,962,667 Calculated by multiplying the thermal coal traded by Sojitz by an emissions factor.
12 End-of-life treatment of sold products - Not applicable based on the specific attributes of the business
13 Downstream leased assets - Not applicable based on the specific attributes of the business
14 Franchises - Not applicable based on the specific attributes of the business
15 Investments - Scope 1 and Scope 2 emissions of the coal mines in which Sojitz holds equity interest.
Total 12,688,531
Total for supply chain 12,711,596★
  • Supply chain categories are in accordance with established GHG protocol

Oil & Gas

Scope Emission volumes
(t-CO2e)
Calculation methods / Other
Scope 1 and 2 27,931 Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach.
category(*)
Scope3 1 Purchased goods and services - Not applicable based on the specific attributes of the business
2 Capital goods - -
3 Fuel- and energy-related activities
(not included in scope 1 or scope 2)
4,102 Calculated by multiplying the fuel and electricity consumption of the consolidated subsidiaries operating power plants by emissions factors.
4 Upstream transportation and distribution - Not applicable based on the specific attributes of the business
5 Waste generated in operations - -
6 Business travel - -
7 Employee commuting - -
8 Upstream leased assets - Not applicable based on the specific attributes of the business
9 Downstream transportation and distribution - Not applicable based on the specific attributes of the business
10 Processing of sold products - Not applicable based on the specific attributes of the business
11 Use of sold products - Not applicable based on the specific attributes of the business
12 End-of-life treatment of sold products - Not applicable based on the specific attributes of the business
13 Downstream leased assets - Not applicable based on the specific attributes of the business
14 Franchises - Not applicable based on the specific attributes of the business
15 Investments 1,471,140 The sum of the emissions from the power plants of the companies in which Sojitz holds equity interest, calculated by multiplying the fuel and electricity consumption by emission factors, and the emissions calculated by multiplying the production of oil and gas by emission factors.
Total 1,475,242
Total for supply chain 1,503,173★
  • Supply chain categories are in accordance with established GHG protocol

2. Boundary of Data

Power sector supply chain (Sojitz Group’s supply chain related to thermal coal interests, thermal coal sales, and oil and gas power generation-related businesses)
In order to assess risks related to decarbonization, Sojitz conducts analysis of CO2 emissions for the entire supply chain (Scope 1, Scope 2, and Scope 3). We prioritize refining our quantitative data in the power sector as it accounts for high CO2 emissions and has a large-scale impact on our business.

3. CO2 Emissions factors

Calculated with the emission factors specified in the “Emissions Unit Values for Accounting of Greenhouse Gas Emissions, etc., by Organizations Throughout the Supply Chain," and "Act on Promotion of Global Warming Countermeasures" published by the Ministry of Economy, Trade, and Industry and the Ministry of the Environment.

CO2 emissions for supply chains in the steel sector (Scope 1, Scope 2, and Scope 3)

1. Data and Results(FY2023)

Coking coal

Scope Emission volumes
(t-CO2e)
Calculation methods / Other
Scope 1 and 2 95,857 Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach.
category(*)
Scope3 1 Purchased goods and services 105,959 Calculated by multiplying the production of thermal coal traded by Sojitz by an emissions factor.
2 Capital goods 10,414 Calculated by multiplying the consolidated subsidiary's capital investment by an emissions factor.
3 Fuel- and energy-related activities
(not included in scope 1 or scope 2)
12,297 Calculated by multiplying the consolidated subsidiary's fuel and electricity consumption by emissions factors.
4 Upstream transportation and distribution 55,347 Calculated by multiplying the sold coking coal traded by Sojitz (including that from the mines in which Sojitz holds equity interests) by transportation distance and emissions factors, or by multiplying fuel consumption by emissions factors. Transportation distance is calculated up until the trader in the case where the sales destination is a trader and Sojitz is unable to ascertain the destination beyond them.
5 Waste generated in operations 1 Calculated by multiplying the waste generated in operations by an emissions factor.
6 Business travel - -
7 Employee commuting - -
8 Upstream leased assets - Not applicable based on the specific attributes of the business
9 Downstream transportation and distribution - -
10 Processing of sold products - Not applicable based on the specific attributes of the business
11 Use of sold products 6,162,928 Calculated by multiplying the coking coal traded by Sojitz by an emissions factor.
12 End-of-life treatment of sold products - Not applicable based on the specific attributes of the business
13 Downstream leased assets - Not applicable based on the specific attributes of the business
14 Franchises - Not applicable based on the specific attributes of the business
15 Investments 283,133 Scope 1 and Scope 2 emissions of the coal mines in which Sojitz holds equity interest.
Total 6,630,080
Total for supply chain 6,725,937★
  • Supply chain categories are in accordance with established GHG protocol

2. Boundary of Data

Steel making sector supply chain (Sojitz Group’s supply chain related to coking coal interests and coking coal sales)
In order to assess risks related to decarbonization, Sojitz conducts analysis of CO2 emissions for the entire supply chain (Scope 1, Scope 2, and Scope 3). We prioritize refining our quantitative data in the sector as it accounts for high CO2 emissions and has a large-scale impact on our business.

3. CO2 Emissions factors

Calculated with the emission factors specified in the “Emissions Unit Values for Accounting of Greenhouse Gas Emissions, etc., by Organizations Throughout the Supply Chain," and "Act on Promotion of Global Warming Countermeasures" published by the Ministry of Economy, Trade, and Industry and the Ministry of the Environment.

Sojitz Corporation’s Scope 3 Emissions

Logistics-related CO2 Emissions

1. Data and Results

See the graph below to view Sojitz Corporation’s freight transport-related CO2 emissions in Japan, where Sojitz Corporation is classified as the owner of the goods according to the Energy Conservation Law.

2. Initiatives

Energy reduction initiatives include modal shifts, selecting the most appropriate type of vehicle, and strategically selecting transportation routes.

CO2 emissions resulting from overseas business trips

1. Data and Results

(unit:t-CO2e)

FY2019 FY2020 FY2021 FY2022 FY2023
2,828 33 178 1,266 1,718

2. Boundary of Data

Refers to flights to/from Japan taken by Sojitz Corporation employees. We have divided business trip destinations into six areas and selected a major airport from each area to use in determining distances for the calculation of passenger kilometer data.

3. CO2 Emissions factors

Calculated with the emission factors specified in the "Emissions Unit Values for Accounting of Greenhouse Gas Emissions, etc., by Organizations Throughout the Supply Chain," published by the Ministry of Economy, Trade, and Industry and the Ministry of the Environment.

CO2 emissions resulting from commuting

1. Data and Results

(unit:t-CO2e)

FY2019 FY2020 FY2021 FY2022 FY2023
472 722 756 702 743

2. Boundary of Data

Emissions from trains and buses used by Sojitz Corporation employees.

3. CO2 Emissions factors

Calculated with the emission factors specified in the "Emissions Unit Values for Accounting of Greenhouse Gas Emissions, etc., by Organizations Throughout the Supply Chain," published by the Ministry of Economy, Trade, and Industry and the Ministry of the Environment.

(CO2 emissions by Sojitz Group companies worldwide, including Sojitz Corporation,divided by the number of employees belonging to consolidated subsidiaries worldwide)

■ Energy

Sojitz Corporation’s Energy Consumption(Calorific value)

1. Data and Results

2. Boundary of Data

Sojitz Corporation: Head office, Kansai Office , and branches (Hokkaido, Tohoku and Nagoya)

Sojitz Group’s Energy Usage(Calorific value)

1. Data and Results

(unit:GJ)

FY2019 FY2020 FY2021 FY2022 FY2023
Energy Usage(Heating) 19,610,662 15,817,702 16,385,822 16,541,233 13,452,443 ★

2. Boundary of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

  • Previous years' data has been revised to reflect a revision of the boundary of data collection

■ Waste Discharge

Sojitz Corporation’s Waste Discharge and Recycling Rates

1. Data and Results

2. Boundary of Data

Sojitz Corporation: Head office, Kansai Office, excluding branches (Hokkaido, Tohoku and Nagoya)

3. Target Recycling Rate

Office recycling target: Maintain a recycling rate of 90% for office waste.

4. Hazardous waste

(unit:t)

FY2019 FY2020 FY2021 FY2022 FY2023
Hazardous waste* 0.02 0.02 0.13 0.03 0.02
  • The total amount of specially controlled industrial waste generated by Sojitz Corporation.

Sojitz Group’s Waste Discharge

1. Data and Results

(unit:t)

FY2019 FY2020 FY2021 FY2022 FY2023
Waste Discharge 60,485 67,711 62,769 67,103 76,829 ★
-Amount recycled 8,281 7,100 18,000 32,939 15,736
-Amount disposed of 52,203 60,611 44,768 34,163 61,093

2. Boundary of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

■ Water Consumption

Sojitz Corporation’s Water Usage

1. Data and Results

  • Water usage for the Tokyo head office and Kansai Office was calculated using an estimate based on the number of employees in each office.

2. Boundary of Data

Sojitz Corporation: Head office, Kansai Office excluding branches (Hokkaido, Tohoku and Nagoya).

Sojitz Group’s Water Usage

Sojitz Group’s Water Usage

1. Data and Results

(unit:million m3

FY2019 FY2020 FY2021 FY2022 FY2023
Water Usage 4.77 5.03 4.50 4.97 5.36 ★

2. Boundary of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

Water withdrawal by source

1. Data and Results

(unit:m3

  FY2019 FY2020 FY2021 FY2022 FY2023
    Tap water, industrial water 3,020,934 3,351,857 2,971,193 3,318,064 3,718,103
Groundwater 521,059 456,654 462,202 472,977 438,276
River water 1,220,977 1,213,895 1,068,290 1,176,457 1,198,352
Rainwater 4,048 3,360 2,847 2,600 3,220
Freshwater total 4,767,018 5,025,766 4,504,531 4,970,099 5,357,952
Seawater 178,401,225 151,920,000 174,576,000 175,332,600 175,918,572
Total (including seawater) 183,168,243 156,945,766 179,080,531 180,302,699 181,276,524

2. Scope of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

Amount of wastewater discharged according to discharge site

1. Data and Results

(unit:m3

  FY2019 FY2020 FY2021 FY2022 FY2023
    River 2,741,447 2,827,894 2,679,339 2,942,748 2,844,998
Sewer 245,527 166,796 773,007 672,474 311,352
Underground seepage 6,589 5,898 5,879 15,951 108,794
Other 112,954 68,323 33,471 66,065 140,537
Freshwater total 3,106,517 3,068,911 3,491,696 3,697,238 3,405,681
Ocean 177,677,695 151,275,080 173,784,135 174,651,748 175,201,281
Total (including seawater) 180,784,212 154,343,992 177,275,831 178,348,986 178,606,962

2. Scope of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

Recycle Rate for Water Used

1. Data and Results

FY2019 FY2020 FY2021 FY2022 FY2023
9% 8% 3% 1% 1%

(Amount of water recycled divided by total usage)

2. Scope of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

COD and BOD Amounts

1. Data and Results

(unit:t)

  FY2019 FY2020 FY2021 FY2022 FY2023
COD 3,421 2,796 601 551 500
BOD 3,345 2,694 427 441 403

2. Scope of Data

Sojitz Corporation, all domestic and overseas consolidated subsidiaries, and unincorporated joint ventures subject to reporting under the operational control approach

■ Paper Consumption

Sojitz Corporation’s Paper Usage

1. Data and Results

2. Scope of Data

Sojitz Corporation: Head office, Kansai Office

■ Other Environmental Data

Sojitz Group's NOx, SOx and VOC Emissions

(unit:t)

  FY2019 FY2020 FY2021 FY2022 FY2023
NOX (Nitrogen Oxides) 2,632 1,704 2,255 2,516 1,656
SOX (Sulfur Oxides) 408 593 358 717 518
VOC (Volatile Organic Compounds) 127 138 210 195 195