Environmental Accounting
Results are assessed and challenges are identiﬁed by quantitatively grasping the cost-eﬀectiveness ofenvironmental conservation activities.

Characteristics and Results of Environmental Accounting
Since FY2001, the FDK Group has been disclosing the cost-eﬀectiveness of reducing their environmental burdens by introducing quantitative environmental accounting. We hope to apply the knowledge gained from this quantitative data to more eﬀective environmental
activities.

Basic Elements of Environmental Accounting

Results of FY2007 Environmental Accounting
Unit: Millions of YenItem

Transition of Cost-Eﬀectiveness(Millions of Yen)

1000
800
600

Costs

Effects

917
650

588
506

486 521400

372 406 369 416

428
305

2000212001

2002

2003

2004

2005

Social & Environmental Report 2008

2006

34

Costs pertaining to energy saving and global warming
measures32

Costs pertaining to the reduction and processing of waste, as
well as the eﬀective use of resources such as the reductionof water usage and the increased use of rain water

77

Costs pertaining to the reduction of our environmental burdens arising at the upstream/downstream of production and service activities (recycling and reusing of discarded products and packaging, as well as costs of green
procurement, etc.)

10Management Costs

Environmental conservation costs pertaining to management (personnel costs for environmental conservation promotion activities,acquisition and maintenance of ISO 14001 certiﬁcation, measurementof environmental burdens, promotion of greenery projects, creating
environmental reports, and producing environment related publicity)85

Costs of R&D and
the Solutions
Business

Costs pertaining to environmental conservation in researchand development, as well as costs pertaining to theenvironmental solutions businesses, (design and development costs for green products and environmental
technologies, costs for environmental solutions businesses)

67

Costs of SocialActivities

Environmental conservation costs in social activities(donations and support to environmental conservation
organizations)0

Costs of Environmental
Restoration

Costs of environmental restoration (Restoring polluted
soil and underground water, and compensation pertaining
to environmental conservation)

0Total9

Amount of cost reduction in conjunction with reductionof electricity, oil and gas usage

43

Amount of cost reduction through reduction and eﬀectiveuse of waste

121

Upstream/Downstream Amount of sales for valued and reused items throughrecycling of discarded products, etc.
Eﬀects11

Improved eﬃciency from construction of an ISO 14001based system, eﬀect of in-house education for employees,
contribution by improved image through environmental
publicity

161

Eﬀects of R&D and the Contribution to sales through green/eco-friendly products,
and environmental solutions businesses
Solutions Business82

Eﬀectswithin the Eﬀects on
Business EnvironmentalConservation
Area
Eﬀects on
Recyclingof Resources

Effects

305

Value of avoiding operating losses at plants (＊1) pertaining
to non-compliance with laws and regulations, value
contributed by environmental conservation activities (＊2)
corresponding with the added value gained from production

Eﬀects onPollution
Prevention

Management Eﬀects

Eﬀects of Environmental Restoration

Value of the avoidance of expenditure such as compensation payments
to residents through soil and ground water pollution measures (＊3)

The total value may not be exact because values are rounded below the decimal point. Total0428

Social activities and environmental restoration costs are set to zero due to their values being less thanthe unit value.
＊1 Value of avoiding operating losses: Added value/days of operation x estimated days lost
＊2 Value contributed by environmental conservation activities: Added value x ongoing operating costsof all environmental conservation facilities/total costs incurred＊3 Savings from the avoidance of possible risk calculated from the estimation of possible risk
Since FY2004, we have no longer been a part of the consolidation with the FUJITSU Group environmentalaccounting. However, based on consideration for continuity, we made our calculation based on FUJITSUGroup s Environmental Accounting Guidelines 2003.

Breakdownof Costs(Unit: Millions of Yen)

Breakdownof Eﬀects (Unit: Millions of Yen)

Depreciation FY2007 Investments
andAmortization Past Investments

3

Actual Eﬀects

175

33

Estimated Eﬀects

253

Expenses269

Total Eﬀects

428

Total Costs

305

Actual eﬀects ： Cost reduction from conserved electricity and utilities, and proﬁt gained from the saleof recycled goods
Estimated eﬀects： Eﬀects assumed to be economic eﬀects by deﬁnition (environmental conservation eﬀects
corresponding with the added value associated with production)

461
327

Results

Costs for the prevention of air and water quality pollution (including eﬄuent fees)

Upstream/Downstream
Costs

Characteristics of FY2007 Environmental Accounting●CostsAs the period of depreciation and amortization corresponding
with the investments made in the past for environmental facilities
has expired, total depreciation and amortization has decreased.
Meanwhile, costs pertaining to research and development as well
as planning and design for eco-friendly products have increased.
As a result, Environmental costs have decreased by 305 million
yen, a 7% reduction from the last term.
●Effects
Since the calculation period for the eﬀect of past capital investment
has expired, calculated eﬀects against investment have decreased
signiﬁcantly. Meanwhile, increase in the net sales of eco-friendly
products backed up by elimination of lead, compliance with theRoHS Directive, energy and resource saving design have increased
eﬀect of research and development for eco-friendly products. Asa result, the economic eﬀect has decreased by 428 million yen, a
7% reduction from the last term.

Description

Cost ofPollution
Prevention
Costs
within the Costs ofEnvironmental
Business Conservation
AreaCosts ofRecycling
Resources

Costs●Period of Application during FY2007
April 1, 2007 to March 31, 2008
●Scope of Data Collection
FDK Group s domestic plants●Calculation Standard for Environmental Costs
・ Method for calculating depreciation and amortization
The ﬁxed amount method over a service life of ﬁve years wasapplied.
・ Calculation standard for combined costs
Only the costs pertaining to environmental conservation wereincluded in the calculation.
・ Calculating in-house personnel costs
In-house personnel costs are also included.
●Standard for Calculating Economic Effects Accompanying Environmental Conservation Measures.
・ Scope of eﬀects
Actual eﬀects and estimated eﬀects pertaining to environmental
conservation are included in the calculation.
・ Calculation period for the eﬀect of investments
The calculation period for actual eﬀects is set to be the sameas depreciation and amortization, ﬁve years.

2007 (FY)Eﬀects of Environmental Conservation

Total Environmental Burdens in FY2006 - Total Environmental Burdens in FY2007
Amount of CO２ Emissions (t-CO２)

1,696

Amount of Waste Emissions (t)215Amount of Emissions for PRTR Controlled Chemicals (t)1