Environmental Performance

Furukawa Electric Group Basic Environmental Policy

Basic Philosophy
Furukawa Electric Group recognizes that the preservation of the global environment is a critical issue
for society and takes the environment into consideration in every aspect of its corporate activities tohelp create a sustainable, happy and prosperous society.

Ac tion Guidelines● We shall maintain a constant awareness of the impact of our corporate activities on the environment, with each andevery employee involved in environmental preservation activities.
● In addition to complying with environmental laws and regulations and with requirements from our customers andother sources, we shall also set out voluntary standards to establish greater levels of control.
● We shall set out environmental targets and objectives and systematically carry out activities accordingly to continuously improve our efforts to protect the environment.
● Environmental concerns shall be taken into consideration at every phase of our work, from the R&D and design stages
onwards, to supply environmentally friendly products.
● We shall strive to reduce consumption of resources and energy, to promote recycling, to reduce waste and to minimize
environmental impact at every stage of our activities, from procurement and manufacturing to distribution and customer service.
● We shall conduct environmental audits and review our environmental management system and environmental preservation activities to make continuous improvements.
● We shall raise employee awareness through environmental education.
● We shall promote the disclosure of information and communication with the public and play an active part in community activities.

24

Environmental Performance

Environmental Management Targets and Performance
Having devised a set of targets for the four year period from fiscal 2006 to fiscal 2009 in the form of the2009 Medium-Term Plan for Environmental Preservation Activities, Furukawa Electric continues to promote environmental activities accordingly. We also set out annual Priority Environmental Preservation
Activity Targets, based on which we map out objectives, targets and action plans as part of the environmental management systems at each of our bases. On a Group basis, we formulate common activity targets as part of consolidated environmental management, with each individual company setting their own
annual targets and carrying out activities accordingly.
Furukawa Electric Annual Targets and Performance for Fiscal 2007
Activities

Priority Environmental Preservation Activity
Targets for Fiscal 2007

Performancein Fiscal 2007

RatingWaste reduction
activities

30% reduction in the volume of outsourced
waste disposal compared with fiscal 2004 level

52% reduction◎

60% reduction in the volume of outsourced waste disposal
compared with fiscal 2004 level

46% reduction◎

64% reduction in direct landfill disposal compared with fiscal
2004 level

23% reduction in greenhouse gas emissions
compared with fiscal 2000 level

13% reduction△

24% reduction in greenhouse gas emissions compared withfiscal 2000 level

1% reduction in specific energy consumption
for transportation compared with fiscal 2006
level

1.5% reduction○

2% reduction in specific energy consumption for transportationcompared with fiscal 2006 level

18% reduction in emissions of volatile organic
compounds compared with fiscal 2004 level

19% reduction○

24% reduction in emissions of volatile organic compounds
compared with fiscal 2004 level

100% procurement rate for general purpose
green products

99%△

100% procurement rate for general purpose green products

Establishment of the FGMS* at major supply
chain operators

Systemestablished○100% establishment of the FGMS* at major supply chain
operators△

1) 1
 00% achievement of sales targets for environmentallyfriendly new products2) Compiling product environmental performance index
guidelines

30% reduction in direct landfill disposal
Zero emission activities compared with fiscal 2004 level
Activities to prevent
global warming
Chemical substancemanagement activities
Green activities

Eco-design activities

Increase sales percentage of environmentallyfriendly products amongst new products to
68%
100%
Examining environmental performance indicesPriority Environmental Preservation Activity Targets for Fiscal
2008

Evaluation ratings: ◎ Easily achieved; ○ Achieved; △ Almost achieved; × Unachieved*The FGMS is a mechanism designed to manage the content of regulated hazardous substances in Furukawa Electric products.

As our waste reduction and zero emission activities in fiscal 2007 proved highly effective having substantially exceeded targets, we haverevised our medium-term targets for 2009 and reflected revised figures in our annual targets for fiscal 2008.

Furukawa Electric Consolidated Environmental Management Medium-Term Targets
Furukawa Electric 2009 Medium-Term Plan forEnvironmental Preservation Activities

Activities
Waste reduction
activities

2009 Consolidated Environmental Management
Common Activity Targets

75% reduction* in the volume of outsourced waste disposal 50% reduction in the volume of outsourced waste disposal compared withcompared with fiscal 2004 levelfiscal 2004 level

reduction* in direct landfill disposal compared with
Zero emission activities 80%
fiscal 2004 level

50% reduction in direct landfill disposal compared with fiscal 2004 level

Activities to prevent
global warming

25% reduction in greenhouse gas emissions compared with 10% reduction in greenhouse gas emissions compared with fiscal 2000 levelfiscal 2000 level

Chemical substancemanagement activities

30% reduction in emissions of volatile organic compounds
compared with fiscal 2004 level

30% reduction in emissions of volatile organic compounds compared withfiscal 2004 level
Eliminating the use of chlorinated organic compounds by fiscal 2008

Expansion of the range of products subject to green
procurement rate for items subject to green procurement (generalprocurement (general purpose items) and introduction into 100%
purpose items)
Furukawa Electric Group
Green activities

Promotion and improvement of green productmanagement○ E stablishment of the FGMS at supply chain operators
by the end of 2007 for full-scale operation by the end of
2008

Eco-design activities○

Promotion of improved environmental performance of
products
Promotion of improved environmental performance of products○ Increase sales percentage of environmentally friendly products amongst
Increased percentage of environmentally friendly
products amongst new products
new products to 100%
○ Introduction of environmental performance indices* Revised April 1, 2008 (previously 50%)

25

Promotion and improvement of green product management○ E stablishment of the FGMS at supply chain operators by the end of 2007
for full-scale operation by the end of 2008

Environmental Management System

Environmental Management Promotion Organization
We at Furuk awa Ele c tric promote
env iro nm ent al pres er v atio n ac ti v i ties on a company wide basis via ourCentral Committee for Environmental
Management, which is chaired by the
Chief Social Responsibility Officer (CSRO).
We also promote Group environmental activities in conjunction with ouraf f iliated companies via the Liaison
Meeting for Consolidated Environmental
Management. All of Furukawa Electric’s
business bases and consolidated environmental companies have been granted ISO
14001 certification.

Company-wide Environmental Management Organization Chart
Central Committee forEnvironmental Management

Committee for Company-wide
Promotion of Energy Conservation
Committee for Development ofEnvironmentally-Friendly Products
Safety and Environment Promotion
Department, CSR Division
Environmental Personnel Meeting

Environment Committeeof Works

Divisional Environment
Committee

Transport Energy Reduction Committee

Committee for Green Product Management(

Expert Committees
Energy Conservation Committee,
Waste Committee,
Chemical Substance Committee, etc.

)

Liaison Meeting for Consolidated
Environmental Management
Committee for Consolidated Environmental
and Green Product Management

Environmental Education
The Furukawa Electric Group runs avariety of educational initiatives designed
to raise levels of environmental awareness amongst our employees.
ISO 14001 Related Education
We organized Four Internal Environ-mental Auditor Training Seminars led bycompany instructors, with participants
including members of staff from affiliated companies. This year, we trained atotal of 61 internal auditors through suchseminars. We also organized two internal
auditor refresher seminars aimed at ouraffiliated companies.
FGMS Auditor Training Seminar
In an effort to reinforce knowledge
and understanding of business-related
environmental risks, we organized our
second FGMS Auditor Training Seminar,
focusing on controlling the chemical content of our core products as conducted infiscal 2006. In addition to in-house staff,

we also brought in outside instructors
from the Mizuho Information & ResearchInstitute Inc. A total of 39 Furukawa
Electric employees and 31 affiliated company employees were trained as FGMS
auditors.
Environment-Related Education
As we are working towards the introduction of a set of product environmental
performance indices as part of our ecodesign activities, we organized a one-day
seminar for group promotion staff, withoutside instructors focusing on everything from LCA basics through to theapplication process and case studies.

Internal Environmental Auditor Training Seminar

26

Environmental Performance

Environmental Risk Management

Soil and Groundwater Pollution Countermeasures
ities and release relevant information to local
residents, related organizations, the media andany other concerned parties as necessary.
In an effort to prevent any negative impact
on the local environment as a result of soil orgroundwater pollution, we implement a rangeof pollution risk avoidance initiatives on an
ongoing basis, including conducting regularinspections to check for leakages of specificharmful substances, taking steps to prevent
leakages and promoting the use of alternative
substances.
Having completed a review of records ofspecific harmful substances used at our works
and affiliated companies and conducted risk
assessments to evaluate the risk of soil andgroundwater pollution at our works, we proceeded to voluntarily carry out studies into thestatus of soil pollution in high-risk areas. During
fiscal 2007, we extended these same activities
to affiliated companies.
We are also carrying out remedial work to
get the site of Kyowa Electric Wire’s former
Osaka Plant removed from the list of designated areas under the Soil Contamination
Countermeasures Law.

The quantity of instruments containing
PCB is monitored at each of our works sothat storage and management operations
can be carried out appropriately. In linewith the start of processing operations
by the likes of the Japan Environmental
Safety Corporation, we intend to continue
to commission processing on an ongoingbasis. As for the PCB-containing instruments having been stored at our affiliated company with its production basein Kitakyushu-city, we have already completed their processing at the Kitakyushu

Plant of Japan Environmental Safet y
Corporation.

Compliance with Environmental
Laws and Regulations and Other
Compliance Requirements

Response to Asbestos Issue

In recognition of the fact that soil andgroundwater pollution is an important issue
for the health and safety of local residents
and employees, the Furukawa Electric Group
actively engages in related risk management
activities.
In addition to taking action promptly as soon
as investigations detect soil or groundwaterpollution, we make every effort to secure thehealth and safety of all residents living in thelocal area. We automatically report the statusof any pollution and details of measures to prevent the spread of pollution to the local author-

PCB Management

We check environmental laws andregulations and any other compliancerequirements on a regular basis and makeevery effort to ensure compliance, including patrolling our sites to confirm thatmeasures are being properly implemented.
We monitor the latest information via
the Official Gazette and other sources tokeep track of revisions to environmental
laws and regulations and ensure that wehave taken all possible measures.

27

Quantity of PCB Stored
Chiba Works

Works(Already processed)(Unprocessed)

Nikko Works
Hiratsuka Works
Mie Works
Osaka Works
Yokohama Works
Total

Use of Asbestos in Products
Although we do not currently manufacture or import products containing
asbestos, we have manufactured and soldsuch products for industrial use in thepast. Relevant products include electric
wires for use on ships and fire prevention
products for use in construction to installelectric wires for telecommunication andelectricity. Full details are featured on our
website.
Use of Asbestos in Buildings and Plant
Facilities(1) Buildings
We discovered asbestos spray materials
in company-owned buildings and plants.
Although investigations into the extent

In storage
88
11
324
47
126
66
9
671

In use
0
0
30
11
0
0
0
41

Total
88
11
354
58
126
66
9
712

of dispersal have confirmed that theasbestos is stable, we decided to remove
it anyway to safeguard against the risk ofdispersal in the future. Removal work wascompleted during fiscal 2006.
(2) Facilities and equipment
We have replaced all asbestos having
possibilies of dispersal in cases whereby
viable alternatives are available. In cases
where asbestos is embedded within insulation and other such materials and therefore not dispersed, we plan to replacethem with alternative materials that do
not contain asbestos at a later date, tocoincide with scheduled inspections.

Business Activities and their Environmental Impact
In the process of providing Furukawa Electric products, we purchase a variety of components and raw
materials, consume water, electric power and other forms of energy and use chemical substances. We continue to work on reducing the adverse impact that these activities have on the environment.
Environmental Impact of our Six Production Base WorksOUTPUT

INPUT
Raw materials
Copper

189,000 t

Energy (*1)

139,000 KL

Water

22.9 million t

Chemical substances (*2)

1,369 t(*1) Amount of electric power, fuel oil and fuel gas consumed(*2) PRTR targeted substances(*3) Outsourced waste disposal, excluding recycled materials

Atmospheric emissions
CO2 . . . . . . . . . . . . . . . . . . . . . 237,000 t-CO2
NOx . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 161 t
SOx .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 t
Soot .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 t
Wastewater .. . . . . . . . . 18.51 million t
Waste
Industrial waste (*3)

1,839 tRecycled materials . . . . . 18,023 t

Chemical substances (*2)
Volume emitted . . . . . . . . . . . . . 167 t
Volume transferred . . . . . . . . 135 t

Environmental Impact of our Non-production Bases
We have identified the environmental impact of activities at our non-production bases, namely Furukawa Electric’s Head Office and three
Branch Offices.
We promote power and resource savAmount of electric .. . . . . . . . . . . . . . . . . . 1,022 MWh
ing measures at our Head Of fice andpower consumed(387 t-CO2)
Branch O f f ices, the company ’s nonproduction bases.
E xamples of such power saving
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1,330 tAmount of water usedmeasures include turning off lighting inconference rooms not in use and adjusting air conditioning to appropriate temAmount of paper usedperatures. In terms of resource saving
Photocopier paper . . . . . . . . . . . . . . . . . . . . . . . . 27.6 tmeasures, we promote activities such assorting waste and reusing resources such
..
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2.7 t
Newspaperas photocopier paper and files.

Cardboard .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.2 t

Volume of waste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.0 t

28

Environmental Performance

Environmental Accounting

In an effort to quantitatively assess ourenvironmental costs and benefits, we havecompiled tables outlining our “environmental conservation cost,” “economic benefit
associated with environmental conservation activities” and the “environmental
conservation benefit (material benefit).” Alldata has been compiled in accordance withenvironmental accounting guidelines pub-lished by the Ministry of the Environment.
Data on affiliated companies was collected
for a total of 19 companies.
Furukawa Electric's environmental conservation costs for fiscal 2007 came to 3.8
billion yen in expenses and 500 million yen
in investment.
Expenses fell by 1.3 billion yen comparedto the previous year (fiscal 2006). Overall

economic benefits rose by 260 million yen,
due in part to increased energy costs.
Environmental conservation costs forour affiliated companies came to 4.1 billion yen in expenses and 4.2 billion yen in
investment. Overall economic benefits rose
by approximately 660 million yen due toincreased energy and water costs.

Environmental Conservation Costs

Unit: million yen

Category

Key activity and the outcome(1) Business area cost(2) Upstream/downstream cost(3) Administration cost(4) Research and development cost

Total costs

Year-on-year

Affiliatedcompanies
Total costs

1,127

-387

2,556

567

-101

274

472

44

212

1,091

-93

816

Furukawa Electric

Pollution prevention (air pollution, etc.), energy conservation, waste
disposal, etc.
Recovery of packaging, drums, etc.
Environmental management system auditing, environmental impact
monitoring, etc.
Development of environmentally friendly products, research into
alternatives for harmful substances(5) Social activity cost

Tree planting, local community cleaning activities, donations, etc.

3

-1

4

(6) Environmental remediation cost

Environmental impact assessments, cleanup of polluted soil, etc.

514

-746

195

3,773

-1,285

4,057

Total
Year-on-year figures have not been calculated for affiliated companies due to differences in the companies covered compared to last year.

Economic Benefit Associated with Environmental Conservation Activities Unit: million yen

Environmental Conservation Benefit
Emissions causing
environmental impact

Unit

Volume of industrial waste disposal
processed※tEnergy consumption(crude oil equivalent)

1,000 kl

Water consumption

1,000 tEmissions of volatile organic
chemical compounds

Furukawa
Electric

Affiliatedcompanies

Reduction

Reduction

-287

593

-6,9881,000 t - CO2

Reduction in energy costs-712-1,183

Reduction in water purchase costs-9,00012Investment and Research Costs

NOx emissions

t

-24

45

Soot emissions

t

2

15

*Minus figures indicate an increase※
Excluding recycled waste

Total

4,157

Total research costs

10,682

5,855

10

-8

43.6

40

37.7

36.8

Research and development cost
Administration cost
Upstream/downstream cost300Social activity cost

Business area cost

2001

2002

2003

2004

2005

2006

2007 （Fiscal year）

Total costs
24,077

20

50

50.6

Total costs
546

12
10
8
6
4
2
0
-3

49.5

Affiliatedcompanies

12,909Economic Benefit
Environmental remediation cost

-663

Total investment（100 million yen）

51.3

-535

-260

Furukawa
Electric

Environment-related investment

Environmental Conservation Costs
53.0

-3

Unit: million yen

Investment and research costs（100 million yen）

60

29

912
142

*Minus figures indicate an increase342

Total benefit

-40

-3

1

Total benefit
496

0

t

Affiliatedcompanies

Reduction in waste disposal costs-234

SOx emissions

Furukawa
Electric

Revenue from recycling-4,765t

CO2 emissions-12

Details of benefits

-13

11.0

Revenue from recycling

Reduction in water purchase costs

Reduction in waste disposal costs

Total revenue and expenditure

Reduction in energy costs

4.1

4.0

2.6

3.2

2004

2005

0.4
2001

2002

2003

2006

2007（Fiscal
year）
-2.6

Producing Environmentally Friendly Products
In order to produce environmentally friendly products, we at Furukawa Electric undertake measures suchas purchasing items via green procurement, green product management and environmentally friendly
product development.

Green Produc t Ac tivities
Green Product Management Activities
In an ef for t to reinforce the overallmanagement structure of the Furukawa
Electric Group, in fiscal 2007 we set up theCommittee for Consolidated Environmental
and Green Product Management, incorporating affiliated companies. The committee will meet every six months, in April
and October, and will share informationand implement groupwide activities. In
response to customer audits, we have carried out voluntary inspections by affiliatedGroup companies and audits by Furukawa
Electric and have expanded such activities to our major suppliers as well. We willcontinue to step up activities in the future
in order to secure our customers’ trust. As
part of our automotive parts operations, weare extending the establishment of environmentally hazardous substance management systems to overseas affiliated companies and intend to oversee operations via
voluntary inspections and audits, as is thecase with our domestic suppliers.
On other fronts, we have carried out
studies into compliance with European
Registration, Evaluation and Authorizationof Chemicals (REACH*) regulations in eachof our divisions and at each of our Group

companies with an eye to commencing
preliminary REACH registration. We will also
be requiring our suppliers to undertake preliminary registration in relation to a numberof products.
We joined the Japan Article Management
Promotion (JAMP*) Consortium meanwhileat the end of 2006 and have started to use
the mechanisms and tools provided.

Green Product Initiatives at our Telecommunications Company
W i th i t s w i d e r a n g e o f p r o d u c t s ,including optical fibers, optical and communication cables, optical connectors,
wiring for electric and electronic equipment, optical components, optical fiber
amplifiers, laser modules, optical systemproducts, network equipment and fusion
splicers, our telecommunications company ships products to destinations theworld over.
We are working towards the establishment of a management structure forchemical substances contained in our
products based on the following perspectives, especially in the field of photonics
and network technology, which includes
optical components, optical fiber amplifiers, network equipment and fusion splicers.
1 W e have established a set of green
product management regulations ineach of our divisions. In addition to
the management of substances on adesign value or single material basis,
we are also pushing ahead with activities geared towards the managementof product-related substances at theprocessing stages.
2 B ased on future REACH regulations
and in response to customer inquiries regarding the six substances listed

under the RoHS Directive, JGPSSI substances, other chemical substances
contained in our products in relation to
optional lists of substances designatedby customers, we are continuing towork on mechanisms to retrieve data
faster and with a greater degree of
accuracy.
3 H aving installed x-ray fluorescence
spectrometers, we are using them tocarry out regular analysis of externallypurchased items and analysis in linewith the level of importance of the
supplier or producing country and tofurther reduce risks through measures
such as reinforcing cooperation along
the supply chain.
We are also working on the development and launch of the following new
products in an effort to help protect theenvironment in the field of photonics andnetwork technology.
1 Reduced energy consumption products
Fiber lasers
We have developed commercial fiber
lasers as a replacement for solid-state(YAG) lasers for uses such as metal
processing and analysis. Fiber lasers
offer excellent energy conversion efficiency and enable energy consumption

to be reducedby half compared to conventional solidstate lasers.
A-AWG
We have developed commercial athermal AWG (arrayedwaveguide
grating) thatmakes it possible to run AWG
wavelength
multiplexer/demultiplexers without
the need for temperature control or a
power supply.
2 R esource-saving products
Fusion splicers
W e have developed the S122 seriesof commercial ultra-compact fusions p l i ce r s t h a t
enable a substantial saving
in resources
by reducing
the amount of
raw materials
needed for conventional models by
75% in volume and 70% in weight.

30

Environmental Performance

Producing Environmentally Friendly Products

Eco - Design Ac tivities
Environmentally Friendly Products
At Furukawa Electric, we use the term“environmentally friendly products” torefer to products that are harmless at
every stage of the process from purchasing, production and distribution throughto usage and disposal and that have aminimal impact on the environment. We
even have our own unique environmental
labeling system for such products. Our
environmentally friendly product per-centage, namely the percentage of total
sales of new product accounted for byenvironmentally friendly products, cameto 68% in fiscal 2007.

Environmentally Friendly Product Development
April 1, 2008 marked the beginning of thecommitment period under the Kyoto Protocol.
If we are going to put an end to global warming, we need to take action right away to limit
and reduce greenhouse gas emissions.
Although Furukawa Electric has long since
been developing environmentally friendly
products, we intend to make reducing greenhouse gas emissions our top priority across theboard from now on, covering every stage ofthe process from purchasing, production anddistribution through to usage and disposal.

In order to strengthen our framework forthe development of environmentally friendly
products, we have restructured the activitiesof our in-house Committee for Developmentof Environmentally-Friendly Products on agroupwide basis by extending membershipfrom R&D and business divisions at Furukawa
Electric to also include affiliated companies.
The committee’s activities will revolve
primarily around the following goals.
● Establishing quantitative environmental performance indices for environ-Views from development staff
Working towards the practical application of optimum power
cables for the future of the planet

Masashi Yagi
Eco-Products Department, Ecology & Energy Laboratory
R&D Division

Thanks to the absence of resistance and their high current density, superconductors are
an exceptionally effective form of technology when it comes to saving energy and highefficiency energy conversion. As superconducting wire made from thin films such as the YBCO
system retains its superconductivity even in a strong magnetic field, there are high hopes forapplications in a range of electrical equipment. Through the continued development of YBCO
superconducting wire-based power cables with unrivalled potential for application in electricalequipment, our group has managed to achieve outstanding levels of performance (low loss).
Merely improving performance however is not enough to enable cables to be installed ininfrastructure equipment, which requires high levels of reliability. Challenges such as faultresistance and long-term reliability all need to be tackled one at a time. We have recently madea 10m superconducting cable and an intermediate connector and confirmed exceptionally low
levels of loss (loss of 1W or less at 1000A, 10m AC transmission). Furthermore, tests using a fault
current more than 30 times in excess of this capacity showed no deterioration, confirming sufficient performance in terms of fault-resistance.
Although it will still take a little time before we reach the practical application stage, we aremaking every effort to increase reliability, reduce costs and maximize benefits in an effort tocombat global warming.

31

mentally friendly products based on
LCA● Clearly setting out criteria for Eco-Link
accreditation● Ensuring that customers can choose ourenvironmentally friendly products withconfidence
We will continue to promote the development of environmentally friendly products
throughout the Furukawa Electric Group in the
future, based around the committee’s activities.

YBCO (yttrium-based) superconducting wire

YBCO superconducting wire is formed as a film by synthesizing a layer of crystalline superconducting oxide material several microns thick from chemicals including yttrium,barium and copper on a tape-shaped metallic substratewith an interlayer formed via the IBAD (ion beam assisted
deposition) method. It of fers the most outstanding
performance as a superconducting wire, with properties including a current density 10-100 times higher thanconventional bismuth system superconducting wire, noMultilayer YBCO
degradation insuperconducting wire
performance in(conductor): Low loss andhigh capacity
a magnetic field,
Electrical insulation layer
minimal AC loss
YBCO superconducting
and compatibilwire (shield):
Zero magnetic field leakage
it y with liquid= no inductive interference
nitrogen.
Liquid nitrogen

High-temperature superconducting cable

The structure of high-temperature superconducting cablesconsists of several high-temperature superconducting wires
coiled in a spiral around a core referred to as the “former”.
On top of this is an electrical insulation layer, a supercon10m YBCO highducting shield layer
temperature
and a protective layer
superconducting
cable
formed around thecore of the cable,
Intermediate
which is then encasedconnector
minimal contact
inside heat-insulated
resistance oftubing.
5.2nΩ

THERMO-IN BIRUMEITO Tube outdoor refrigerant sheath piping (patent pending) launched
Furukawa Electric completed development and launched its new THERMOIN BIRUMEITO Tube outdoor refrigerant
sheath piping (patent pending) for use inbuilding multi-air conditioning systems in
April 2007. This is an industry-first product in that it uses high expansion foam
integrated molding technology to enable
outstanding weather resistance and highstrength coating, thereby rendering ducts
and other protective covers unnecessary.
By increasing the expansion ratio fromthe usual ×5 to ×13, we have managed to
produce a coating that is both weather
resistant and strong. As this producteliminates the need to use ducts or othertypes of protective covers, it makes it
possible to halve installation times andreduce material costs by 10-20%. It is abrand new product unique to Furukawa
Electric, combining our technical capabilities in the fields of copper piping andresin.
Benefits:
Weather resistance:O ffers outstanding weather resistancethanks to the use of a special polyolefin
resin composite on the surface layer
Strength:T he surface layer is strong enough towithstand bird damage and dragging
during pipe installation
Heat resistance:O ffers excellent heat-resistant performance thanks to the use of polypropylene

foam in the heat insulation layer
Pollution-free:Environmentally friendly piping thanks
to the use of non-halogen material inboth the surface and heat insulation layers
Size:Available in the same sizes as conventional products, with outer diameters of
6.35-44.45mm

THERMO-IN BIRUMEITO Tube®

Example of outdoor piping

Environmentally friendly foam fire extinguishing agents

Using water

Water runs off

Using foam
extinguishing
agent
Combustible
Combustible
materialmaterial
Foam sticks to and penetrates
into the material

In addition to reducing the surface tension of water for firefighting to enable it
to better penetrate wood and other combustible materials, the product also hasa cooling and suffocating effect as thefoam sticks to materials. In an experimentconducted by the Kitakyushu City Fire
Department, the foam-based agent wasable to extinguish a fire in the equivalentof a housing complex with a floor areaof 27m2 using less than half the volume
of water and in less than half the timethat it took using water alone. This would
not only reduce fire damage and save
firefighters effort, but it would also makeit possible to minimize water damage tolower floors and protect the environment
from noxious fumes and contaminatedwater. What is more, whereas the main
constituent of existing foam-based extinguishing agents is synthetic surfactant,this product uses soap-based surfactant
that has a quicker rate of decomposition.
Tests on the envisioned impact on aquatic life if it were to be washed into a riverin particular found that levels of toxicity
were massively reduced (Figure 1).
This product and the accompanying
firefighting tactics are already being
fully deployed in Kitakyushu-city and arestarting to be brought into use in otherareas as well. It is hoped that it will also be
usable on forest fires, which pose major
problems in terms of generating CO 2, as
well as building fires in the future.

Figure 1: Toxicity in fish (subject species: Oryzias latipes)
High toxicity
TLm12 value (1/2 surviving after 12 hours)

The Japanese have always tended touse nothing but water to put out building fires. Changes in firefighting tactics
in recent years however have prompted
efficiency drives and efforts to extinguishfires using less water and in a shorter
space of time. Furukawa Electric and
Furukawa Techno Material for instancehave been investigating f iref ighting
tactics combining foam fire extinguishing agents with sur factant agents inconjunction with Kitakyushu City Fire
Depar tment and have developed anenvironmentally friendly foam extinguishing agent as part of a joint industry, academic and government venturewith the University of Kitakyushu andShabondama Soap.

0
500
1000
1500
2000
2500
3000
3500
4000
4500

Low toxicity

Our productCommercially available agent A
Commercially available agent B
Commercially available agent C
Commercially available agent D

Ultrapure water
Hardness: zeroTap water

Brackish water←Usage→ Release into natural environment

32

Environmental Performance

Recyclable optical fiber cable joint boxes (developed jointly with Tokyo Electric Power Company)
With the development of the Aerial
Optical Eco Closure (“Eco Closure”) junction box for connecting and splitting optical fiber optic cables, we have managed
to both reduce environmental impact andcut costs by improving workability.
Benefits:●Minimizes consumption of resources(optimized structure)
Adjustable structure that can expand (orcontract) to suit the size of the connection capacity●R educes waste (reusable structure)
Structure can be expanded (or contracted) simply by adding or removing parts●Makes effective use of resources (recyclable structure)
Compound of off-cuts from slotted opti-

cal fiber cables (sheathing material, slot
material)
Compound of general recycled materials●Stable operation of core fibers
Storage tray structure, mechanism andwiring designed to minimize impact ontransmission properties of core fiber
Expected results●Minimizes consumption of resources
and reduces waste
No need to replace 1,200 joint boxes
each year, making for a reduction in
waste of approximately 3.4 tons
●M a k e s e f f e c t i v e u s e o f r e s o u r c e s
Makes effective use of composite containing approximately 15-20% selected
waste materials (sheathing fromremoved optical fiber cables, etc.) andgeneral recycled materials, enabling asaving of roughly 7.8 tons of plastic eachyear

Eco Closure (artists impression)
Messenger wire
for supporting
joint box
Optical fiber cable
Sleeve(outer casing)Main cable
Branchcable

Tray (contains connected/
branched core fibers)
End plateGreen Procurement
Office Supplies and Other General Purpose Items
We promote the green procurementof office supplies and other general purpose items. This chiefly involves certifying
green products as eco-items and registering them in a catalog on our purchasingsystem. In the case of certain general purpose items in particular, we exclusively
purchase eco-items registered in our catalog. We have continued to step up green
procurement however by increasing
the number of eligible items. As a result,

we achieved a green purchasing rate of
approximately 99% for applicable items
as of the end of 2007 (products no longer
classed as green items due to issues withrecycled paper part way through the year
excluded from total). We are working
towards green procurement for all officesupplies and also intend to expand similar
activities to include affiliated companies.

Products and Manufacturing Process Components
We have added a mechanism to ourpurchasing system to enable each of our
suppliers to provide the latest information with regard to the status of theirenvironmental management activities(including ISO 14000) and systems forcontrolling the chemical content of thematerials they supply. Getting individual
suppliers to provide the latest informa-

33

tion in this manner enables us to assess
the current situation and share information. We will continue to ask our suppliers
to provide this information in an effort tomonitor status on an ongoing basis.

Examples of Environmental Labels Used

Eco Mark Program

Green MarkGreen Purchasing
Network

Energy-Saving
Labeling Program

International EnergyStar Program

Efforts to Prevent Global Warming

The majority of the Furukawa ElectricGroup’s greenhouse gas emissions
consist of CO2 generated from electricity, fuel and other energy sources. As
emissions from manufacturing processes in particular account for a large
proportion, we continue to work on
reducing emissions through energy
saving measures such as increasing
the ef f iciency of production processes, switching fuels, replacing equipment with more efficient alternatives,
meticulously turning off lights when
not in use and insulating hot areas. Our
efforts to prevent global warming havealways been linked to our energy sav-

ing initiatives and we have continued
to implement measures in our offices
as well, including turning off unnecessary lighting and setting air conditioning to the optimum temperature.
Nonetheless, as the first commitment
period under the Kyoto Protocol began
in April 2008, we intend to step up ouractivities even further in the future,including participating in Team Minus
6%.
Total greenhouse gas emissions for
the Group as a whole came to 950,000
tons of CO 2 in fiscal 2007, a reductionof 9% compared to levels in fiscal 2000.
Furukawa Electric achieved an equiva-

lent reduction of 14% and our affiliatedcompanies a reduction of 8% (bothcompared to fiscal 2000 levels).
Greenhouse Gas Emissions 2000-2007(104 Tons CO2)

120
100

Furukawa
Electric

20.4

80
60 57.440
20
0Furukawa-Sky

Other affiliatedcompanies

19.4 22.0 22.8 23.0 24.3 23.5 20.9
54.0 56.2 56.6 54.6
52.0 51.9 50.8

27.3 25.4 23.3 22.9 22.4 21.3 22.8 23.6
2000 2001 2002 2003 2004 2005 2006 2007

(Fiscal year)

Participating in Team Minus 6%
Furukawa Electric signed up to Team
Minus 6% in April 2008, underlining ourcommitment to ac tively push ahead
with CO2 reduction initiatives at our headof f ice, branches and other of f ices in
addition to our current activities, which
are focused primarily on our works andplants. Going one step further, we havealso launched a series of Eco Home activi-

ties, as part of which we are actively aiming to reduce CO2 on an individual basis, athome as well as at work. We have distributed leaflets to all of our employees in aneffort to raise awareness regarding global
warming and are making steady progressin terms of reducing our CO2 emissions.
http://www.team-6.jp/english/about.html/

Switching Fuel

Energy-Saving Tours

Following on from our Hiratsuka Works,
we are now in the process of switchingfuels from LPG gas to city gas at our Chiba
Works as well. We will have melting furnaces fully up and running from May 2008
and expect to achieve an annual reduction in CO2 of 2,300 tons.

In conjunction with Fuji Electric, in December
2007 we organized an energy saving tour ofthe plants at our Hiratsuka Works with the aimof compiling an energy-saving diagnosis. The
numerous proposals put forward as a result werescreened for cost effectiveness by our Energy
Conservation Committee and the decision taken
to introduce new measures in a total of sevenareas, including steps to install inverters andpressure control devices on plant water pumps.
Some of these measures have already been
implemented, with the others to be implemented on an ongoing basis. We plan to conduct
energy-saving tours on a regular basis from now
on in an effort to enhance energy-saving activities and raise awareness amongst employees,
especially with regard to cutting CO2 emissions.

Installation of city gas pipes

An Eco Home leaflet

Energy-Saving Tour

34

Environmental Performance

Efforts to Prevent Global Warming

Mini Energy Saving Exhibition

Promote Eco Commuting

In March 2008 we organized a minienergy saving exhibition at our Chiba
Works in conjunction with energy saving device manufacturers. Despite being
the first time that we have attempted
anything like this, the event turned out tobe a great success thanks to participationfrom large numbers of affiliated companies and each of Furukawa Electric’s
works.

The second and fourth Wednesdays ofJune were set aside as eco commuting
promotion days at our Mie Works. As partof this initiative, employees who normallycommute by car were encouraged toeither (1) travel to work by minibus or (2)come to work on foot or by bicycle. Overthe course of June, which was environmental month, 45 employees opted for (1)and 89 for (2), resulting in a reduction of
approximately 170kg in CO2 emissions.

Eco commuting

Installation of Wind and Solar Powered Street Lighting

The mini energy saving exhibition

We have ins t alle d wind and solar
powered street lighting alongside themain entrance to our Mie Works. In addition to providing light and electricity for
the works’ gatehouse, this will also help
symbolize the works’ environmentallyfriendly credentials.

Wind and solar powered lighting

Logistics-Related Initiatives
A t 14 8 m i l l i o n t o n - k i l o m e t e r s ,Furukawa Electric’s total transportation
volume for fiscal 2007 came in at moreor less the same level as f iscal 2006.
Nevertheless, through measures such as
an increase in modal shift, we managed
to reduce CO 2 emissions to 18,800 tons,
a reduction of 1.5% compared to theprevious year. We also achieved a similar
1.5% reduction in specific consumption(denominator: ton-kilometers). The totaltransportation volume for the Furukawa
Electric Group as a whole came to 517 million ton kilometers, an increase of 2.6%
compared to fiscal 2007. We intend towork together with Furukawa Logistics to

35continue to promote modal shift, increaseloading rates and promote joint deliveries in an effort to reduce transportationenergy consumption.
Modal Shift and Specific Consumption
（％）

9
8
7
6
5
4
3
2
1
0

(MJ/ton-kilometers)

1.90

Specific
consumption

1.89

Rate ofmodal shift

1.88
1.87
1.86
2006

2007

1.85

JR Freight containers(en route from Nikko to Utsunomiya)

Harnessing Hydroelectric Power
Furukawa Nikko Hydroelectric wastrans ferre d f rom Furuk awa Co. Ltd.
an d b e c am e an af f iliate d co mp any
in September 2003. Using the Kegon
Waterfall, which flows from the natural
dam created by Chuzenji Lake, and surrounding mountain streams as a water
source, the company generates electricity
via four greenhouse gas-free hydroelectric power facilities and supplies power
to Furukawa Electric Group sites including our Nikko Works and Furukawa Sky’s
Nikko Plant, Tokyo Electric Power andFurukawa Co. Ltd.
In terms of performance, the company
supplied the Furukawa Electric Group
with approximately 176,0 0 0MWh ofpower in fiscal 2007. If this were to cover
all of our purchased power, it would
translate into a reduction in CO2 of around75,000 tons. Approximately 26% of thetotal power consumed by Furukawa
Electric on a standalone basis is provided
by hydroelectric power from Furukawa
Nikko Hydroelectric.

Power Generated by Furukawa Nikko HydroelectricPower generated（MWh）250,000
200,000

Tokyo Electric
Power

Furukawa Co. Ltd.

Furukawa Electric Group

150,000
100,000
50,000
0

2003

2004

2005

2006

2007

（Fiscal year）*D ata for 2003 is the result after transfer (September 2003
– March 2004)

Zero Emission Activities
The Furukawa Electric Group has
been involved in efforts to reduce levels of outsourced waste disposal eversince 1993. The overall level of outsourced waste disposal for the Group
as a whole in fiscal 2007 fell by 30%
compared with fiscal 2004 to 10,440
tons. Furukawa Electric achieved anequivalent reduc tion of 52% on astandalone basis and our affiliatedcompanies a reduction of 22% (bothcompared with fiscal 2004 levels). The
overall level of direct landfill disposal
for the Group as a whole also fell by

48% compared with f iscal 2004 to
2,395 tons. Furukawa Electric achieved
an equivalent reduction of 46% on

a standalone basis and our affiliatedcompanies a reduction of 48% (bothcompared with fiscal 2004 levels).

Outsourced Waste Disposal

Direct Landfill Disposal（Tons）（Tons）

30000
25000
20000
15000

Other affiliated companies
Furukawa-Sky
Furukawa Electric

9344
7592
8452

10000

7959
6840

0

5551

6000
4000

5777
5220

5016 5274 5318

3689 3767 3282
2119 1552 1839
2000 2001 2002 2003 2004 2005 2006 2007
5974 6018 3816

Reducing Waste Disposal Costs

Other affiliated companies
Furukawa-Sky
Furukawa Electric

1639
1872
2543

2002
2567

3000

（Fiscal year）

We at Furukawa Electric are also working
towards targets for the reduction of waste
disposal costs. Spending on landfill and intermediate disposal in fiscal 2001 totaled morethan 300 million yen. In addition to reducing
levels of waste through initiatives such as
promoting reuse and eliminating waste along
our production lines, we have continued to
implement measures such as carefully sorting
waste to generate value since then, making it
possible to sell our waste products for profit.
In addition to the effects of activities such asthese, soaring copper prices also helped us toachieve a profit of approximately 250 million,around the same level as fiscal 2007.

7000 1442
5000 3243

5494 4934

5000 9131 8274

8000

1889

1657

1825
1313
2232 1504
1000
1812 1634
750 1288 811
504 176 177 271
02000 2001 2002 2003 2004 2005 2006 2007
2000

3022 2974（Fiscal year）

Introduction of an Electronic Manifest
Waste Disposal Costs（Million yen）

250
200
150
249 249
100 Income
43
50
0
-75
-50
-100 Expen-238 -187
diture -252
-150
-353
-200
-250
-300
-350
-400
2000 2001 2002 2003 2004 2005 2006 2007

（Fiscal year）

As part of our efforts to introduce anelectronic manifest at Furukawa Electric,
we commenced operations at our
Hiratsuka and Mie Works in April 2008.
The system is also in place at our Chiba
Works and is on the verge of commencing
operations there too. The rate of usage ofthe electronic manifest as of April 2008
stood at 45% (total manifest transactions:
349, electronic manifest transactions: 158).
We intend to focus on expanding usage at
all of our works in the future.

36

Environmental Performance

Chemical Substance Management

The Furukawa Electric Group promotes ef forts to reduce the use ofharmful chemical substances. In particular, we make every effort to actively
reduce emissions of volatile organic
compounds, which are regarded as

one of the causes of photochemicalsmog. Furukawa Electric’s emissions
have fallen 19% compared with levels
in fiscal 2004, with organic chlorinecompounds now only used by five of
our affiliated companies.

Emissions of Volatile Organic Compounds（Tons）

400* Furukawa Electric only

310

327
253

252

2006

2007 （Fiscal
year）

200

0

2004

2005

Appropriate Management of Chemical Substances
We check the properties of and laws
and regulations applicable to all chemical substances that we use as part of the
manufacturing process against Material
Safety Data Sheets (MSDS) and manage
substances accordingly. We also monitor
the volumes of each substance used andreport the relevant details in accordancewith the PRTR Law*.
* L aw Concerning Reporting, etc. of Releases to theEnvironment of Specif ic Chemical Substances andPromoting Improvements in Their Management

Volume of PRTR Substances Released and Transferred
Substance
Name of substanceNo.
25
Antimony and its compounds
40
Ethylbenzene
63
Xylene64
Silver and its water-soluble compounds
67
Cresol108
Inorganic cyanide compounds
172
N, N-dimethylformamide197
Decabromodiphenyl ether
207
Copper salts (water-soluble)
227
Toluene230
Lead and its compounds
231
Nickel232
Nickel compounds
253
Hydrazine
266
Phenol272
Bis (2-ethylhexyl) phthalate
283
Hydrogen fluoride and its water-soluble salts

Volumehandled
76.2
7.1
21.5
3.0
292.6
6.7
74.0
227.2
13.7
395.1
2.0
27.8
7.2
8.8
201.0
1.8
3.7
1369.4(Unit: Ton)

Volumereleased
0.1
0.0
8.5
0.0
0.5
0.0
0.0
0.0
0.0
157.3
0.0
0.0
0.0
0.0
0.0
0.3
0.0
166.8

VolumeVolumetransferred neutralized
5.6
0.0
0.0
7.0
1.8
11.1
0.0
0.0
0.1
291.5
0.0
0.0
0.0
73.3
16.4
0.0
0.0
0.0
107.5
116.5
0.0
0.0
0.0
0.0
0.0
0.0
0.0
8.8
0.1
200.5
0.1
0.0
3.0
0.0
134.7

* Applicable to substances that are handled in volumes of one ton or more at works (or 0.5 tons or more in the case of specificfirst category chemical substances)

Reducing Emissions of Volatile Organic Compounds
Although Furukawa Electric does not
currently own any facilities that fall underregulations set out in accordance with the
Air Pollution Control Law, we are nonetheless voluntarily working to reduce
emissions of volatile organic compounds(VOC). The main types of VOC that we37

handle are toluene and isopropyl alcohol(IPA). We are working on reducing thevolume of toluene that we use, mainly todegrease copper strips, by switching toa hydrocarbon-based detergent instead.
We are also looking to lowering consumption of IPA, which is used to reduce cop-

per wire when it comes out of the melting
furnaces, through measures to prevent
leaks and dispersal. We are examining
the possibility of installing IPA recovery
apparatus in an effort to achieve further
reductions.

Environmental Preservation Data

● Chiba Works
Atmospheric Indicators
Item
NOx
Soot

Wastewater Quality Indicators

Legal Self-imposed Average Maximum
Unit
Facilities
standard standard
180
180
16
22
(ppm) Melting furnace(g/Nm3) Melting furnace
0.1
0.1
0.011
0.011

Item

Unit

pH
COD
(mg/l)
SS(mg/l)n-h (mineral oil) (mg/l)

Legalstandard
5.0 to 9.0
15
202

Self-imposed
standard
5.5 to 8.5
10
101

Average

Maximum

8.1
3.2
2.9
0.2

8.4
10.2
6.5
0.3

Average

Maximum● Nikko Works
Atmospheric Indicators
Item

NOx

SOx

Soot

Unit

Facilities(ppm)(K value)(g/Nm )
3

BoilerMelting
furnaceDryerfurnace
BoilerMelting
furnaceDryerfurnace
BoilerMelting
furnaceDryerfurnace

Wastewater Quality Indicators
Legal Self-imposed
standard standard Average Maximum
180
180
108
120
200

200

57

60

300

250

53

58

17.5

17.5

0.35

0.39

17.5

17.5

0.24

0.26

17.5

17.5

0.13

0.13

0.3

0.3

0.00

0.00

0.2

0.2

0.00

0.00

0.5

0.2

0.00

0.00

Item

Unit

pH

Legal
standard

Self-imposed
standard

5.8 to 8.6

6.0 to 8.5

7.2

7.6

BOD

(mg/l)

25

16

2.7

5.0

SS

(mg/l)

50

20

1.0

1.0

n-h (mineral oil) (mg/l)

5

0.5

0.2

0.2

Legal
standard

Self-imposed
standard

Average

Maximum

5.8 to 8.6

6.5 to 8.5

7.6

8.0
2.0

● Mie Works
Atmospheric Indicators
Item
NOx

Unit
(ppm)

Facilities
BoilerWastewater Quality Indicators
Legal Self-imposed
standard standard Average Maximum
180

140

47

pH

53

BOD

(mg/l)

10

4

1.3

SS

(mg/l)

25

6

1.0

5.1

n-h (mineral oil) (mg/l)

1

0.7

0.11

0.45

Average

Maximum

7.7
4.9
10.6
1.4

8.2
11.0
47.0
2.9

180

Boiler

0.6

0.5

0.00

0.00
0.13

48

Unit

54

Melting
furnace

140

Item

SOx

(K value)

Melting
furnace

41.6

33.3

0.13

Soot

(g/Nm3)

Boiler

0.3

0.24

0.005

0.005

Melting
furnace

0.3

0.24

0.072

0.084

● Osaka Works
Atmospheric Indicators
Item

Unit

Facilities
BoilerNOx(ppm)

Melting
furnaceDryerfurnace
BoilerSoot(g/Nm3)

Melting
furnaceDryerfurnace

Wastewater Quality Indicators
Legal Self-imposed
standard standard Average Maximum
150

120

18.0

18.0

200

160

5.0

6.0

170

144

3.0

3.0

0.1

0.08

0.001

0.001

0.2

0.16

0.001

0.001

0.25

0.2

0.001

0.001

Item

Unit

pH
BOD
(mg/l)
SS(mg/l)n-h (mineral oil) (mg/l)

Legalstandard
5.7 to 8.7
300
300
5

Self-imposed
standard
5.7 to 8.7
1050
238