Responsible Care Status
Report 2007
Environment, Health and Safety activities of Mitsubishi Gas Chemical Company, Inc

Profile of MGC
Company Name(as of March 31, 2007)

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Consolidated

Non-consolidated

Head Quarters Address Mitsubishi Building, 5-2, Marunouchi 2-chome,
Chiyoda-ku, Tokyo 100-8324, Japan

388.5

FY2004281.6

Original Establishment January 15, 1918

439.8

FY2005

Incorporation

April 21, 1951

Capital¥41.97 billion

Number of Employees

4,561 (Consolidated)

326.5
482.6

FY20062,151 (Non-consolidated)

355.2
0

100

200

300

400

500

600(billion ¥)Main Business Sites in Japan
Branch offices:

Consolidated

Osaka branch and Nagoya branchNon-consolidated

Research laboratories: Tokyo research laboratory, Niigata research laboratory,
Hiratsuka research laboratory and Tokyo techno-center
Plants:37.7

FY2004

20.1

Niigata plant, Mizushima plant, Yokkaichi plant,
Yamakita plant and Kashima plant

Number of consolidated subsidiaries: 31

50.4

FY200525.7
61.7

FY2006

31.4
0

10

20

30

40

50

60

70(billion ¥)Main products

01

Natural Gas Chemicals
Company

MethanolFormalin
Ammonia
Metylamines
Methyl methacrylate
Methacrylates

Polyols
Dimethylether
Ubidecarenone (Co-enzyme Q10)
ASC Super (Catalase)
Hydrogen generation device from methanol
Catalysts

Aromatic Chemicals
Companym-Xyleneo-Xylenep-Xylene
Methaxylylene diamine
1,3-BACMX nylon resin
Toluic acidAromatic aldehydes
Trimellitic anhydride
Pyromellitic anhydride

Specialty Chemicals
Company

Hydrogen peroxide
Sodium percarbonate
Persulfates
Hydrosulfite
Chemicals for electronic industries
Monomer for plastic lens

Polycarbonate resin (Iupilon®)
Polyacetal resin (Iupital®)
Modified polyphenylene ether (Iupiace®)
Polyamide MXD6 (Reny®)
Polyamideimide (AI polymer®)

Information andAdvanced Materials
Company

Epoxy • BT resin copper clad laminates
Materials for multi-layer printed circuitboard
BT resin®
LE sheet®

AGELESS® (Oxygen absorber)
Anaero pack®
RP system®
AGELESS • OMAC®
Pharmakeep®

MGC RC R 2007

TABLE OF CONTENTS
Profile of MGC ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă 01
Table of Contents ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă 02
Explanatory note
In 2007, Mitsubishi Gas Chemical Company, Inc.
(MGC) has changed the month of publication ofEnvironmental Report from every March to every
October for reflecting the latest annual
environmental performance data. Therefore, please
note that the part of contents in this report isrepublished from Responsible Care activities in the2006 edition. Meanwhile, please also note that thereport title is changed from Environmental Report
to Responsible Care Status Report "Environment,
Health and Safety activities of Mitsubishi Gas
Chemical Company, Inc.".

Message from the President ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă 03
MANAGEMENT SYSTEM
Environmental and Safety Management ă ă ă ă ă ă ă 05
Targets and Results of Responsible Care Activities ă ă 07
Responsible Care Audits ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă 09
Responsible Care Activities Targets in 2007 ă ă ă ă 10

HEALTH AND SAFETY
H
Editorial policy
This Responsible Care Status Report 2007 is issued
to report MGC's Responsible Care (RC) Activities

Approach to Occupational Health and Safety ă ă ă 11

PROCESS SAFETY AND DISASTER PREVVENTION
Approach to Process Safety and Disaster Prevention ă ă 13

(Occupational health and safety, Process safety anddisaster prevention, Environmental preservation,
Product stewardship, Distribution safety, Dialogue

CHEMICALS AND PRODUCTS SAFETY

with the community, Spectrum of RC) widely, and to

Approach to Chemicals and Products Safety ă ă ă ă 15

promote our own RC activities.

Environment-friendly Products and Research and Development ă ă 17

ENVIRONMENTAL PRESERVATION
Scope of this report
Sites covered:
All MGC's domestic workplaces

Environmental Load in Our Business Activities ă ă 19
Environmental Accounting ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă 20

The environmental performance data are based

Approach to Global Warming Prevention ă ă ă ă ă ă 21

on only those of plants where the production is

Approach to Chemicals Release Reduction ă ă ă ă 23

carried out.
Period covered:
From January 1, 2006 to December 31, 2006
Provided that the period of the environmental
performance data are those from April 1, 2006 to
March 31, 2007.
Publication:
October, 2007
The next publication scheduled:
October, 2008

Approach to the Atmosphere, the Waters and the Soil ă ă 25
Zero Emission of Waste ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă ă 26

DIALOGUE WITH THE COMMUNITY
Environmental Communications ă ă ă ă ă ă ă ă ă ă ă ă 27

ENVIRONMENTAL AND SAFETY IN AFFILIATES
Environmental and Safety Activities in Affiliates ă ă 29

ENVIRONMENTAL AND SAFETY IN EACH PLANT
Responsible Care Activities at Each Plant ă ă ă ă ă ă 33

MGC RC R 200702

Representative Director, President

Kazuo Sakai

Message from the President
In recent years, it has become an issue of huge social importance that corporate compliance violations
have emerged so frequently in Japan in various areas.
We are required by compliance rules to establish an untroubled, safe and stable situation in regard tosociety early on and then to continue, and therefore each and every one of us thinks of him or herself into
committed to compliance for the purpose of creating such a social climate.
At Mitsubishi Gas Chemical Company, Inc. (MGC), our all board members and employees have strongly
recognized the importance of corporate compliance through the company's established internal rules andendeavored to secure it.
I therefore am delighted to introduce you to our environmental and safety activities under Responsible
Care (RC) initiative under which the chemical industry is required to preserve the environment andpromote safety.

03

MGC RC R 2007

Responsible Care Activities ofMitsubishi Gas Chemical Company, Inc.

Summary of Responsible Care activities
The MGC's RC activities have been launched by
implementation of fundamental policies on preservationof the environment and safety for the basis of all activities
and extension of those policies to all employees.
We have emplaced zero accident, zero occupational
injury and environmental preservation as our targets in
our fundamental policies on preservation of environmentand safety, and have specified nine fundamental policy
items in order to put the above targets into practice.
Moreover, corporate compliance assurance was also
specified as a fundamental element for all activities in thefundamental policies on environment and safety.
At each plant and work place in domestic, annual site
own activity target has been established and carried out inorder to put into achieve the fundamental policies onpreservation of the environment and safety.
Annually, the status of activities at each site was auditedby the director in charge of environment and safety, andthe matters to be improved if any were pointed out at that

Message from the President

RC activities are voluntary work aimed at preserving theenvironment and ensuring safety and health in all stage ofthe life cycles of chemical substances from developing
and manufacturing to distribution, use, final consumption
and disposal, as well as conducting dialog andcommunication with the public starting with disclosing
the results of these efforts.
In 1995, the Japan Responsible Care Council (JRCC) wasestablished and at the same time RC activities werelaunched.
At MGC, we strongly recognized that maintaining the
public trust was the critical issue for sustainable
development of our sound business activities by theprotection of environment and safety.
Therefore, we have made efforts with regard to thecorporate compliance assurance in addition to those welaunched the carryout our RC activities on acompanywide basis with JRCC at its inception inrecognition of the need for effectiveness.
Since then, we have begun full-scale activities throughour declaration of commitment to implement RC in 1997
and they have continued up until now.
Furthermore, the MGC group, which has been organizedby manufacturing affiliate companies, has also launched
RC activities since 2006.

time.
At each site, the matters to be improved were verified andincorporated a next year's activity target.
By doing this, we definitely obtain an improvement of thestatus of activity in the continuously improving spiral of
our Plan-Do-Check-Act (PDCA) cycle, annually.

Topics of Responsible Care activities
Unfortunately, a total of five accidents and three lost time
injuries occurred though we aimed to achieve both zeroaccident and zero occupational injury in 2006.
Therefore, we have been making efforts to improve theresults of safety through the implementation of theproactive HIYARI-HATTO (equivalent to near miss)submission activity by all employees, fulfilledoccupational risk assessment activity, thorough risk
reduction activities before starting non-routine work andreinforced safety management for facilities in 2007.
We have been aiming for additional reduction of thelevels of substance targeted by the Pollutant Release andTransfer Register (PRTR) in 2007 compared to 19%
reduction on a year-to-year basis in 2006.
Additionally we have been making sure to improve theenergy consumption rate index and Greenhouse Gas(GHG) emission rate index through the strengthening ofactivities by the GHG task force after 2007, because of
their lower performance in 2006 compared with theprevious year.
As part of our countermeasures against the emission ofwaste, the final disposal amount for landfill was reducedby 56% over last year through our focus on zero emission
activities.
MGC group's protection of the environment and safety
conference has been inaugurated to support for theactivity of affiliates in 2006.
Presently 14 affiliates chemical producing areparticipating, and every affiliate makes a presentation of
its activities and the results of safety activities in biannual
meeting for raising of their safety awareness.
This Responsible Care report covers our concrete
Responsible Care activities described above, I sincerely
hope that you will read this report and will deepen yourunderstanding about and appreciation of our activities.
I welcome any suggestions and assistance you may offer
on how we can continue to be a very trusted company andpartner for you, just as we should continue to strive in ourefforts to earn and maintain our social trust.
October, 2007

MGC RC R 200704

Environmental and Safety Management
We, Mitsubishi Gas Chemical Company, Inc. (MGC), are understanding activities to promote sustainable
development and creation of a recycling-based-society as important business objectives, and are working on
Responsible Care activity as a way of environment and safety management.

Corporate Philosophy
MGC is fully committed to making
contributions towards developmentin harmony with society through thecreation of a diverse range ofvalue based on chemistry.

Management Philosophy● With a view towards worldwide needs, our marketing efforts

will focus on ident ifying and enlarging the world’s markets.
● The management of MGC is dedicated to providing comfortableworkplace, paying due respect to the will and ability of ouremployees, and is determined to createenergetic workgroups.
● With full knowledge of the market’s needs, we will implement

creative research and development to nurture the seeds of ourefforts to realize the best results.
● By making efforts to upgrade technology, preserve theenvironment and promote safety, we will engage in the
manufacture of better quality products.
● We are a transparent company, where all

employees work towards a common goal.

Fundamental Policies on
Environment and Safety
MGC, as an important member of the community, makes an effort toearn social trust by recognizing our responsibility to contribute to thecommunity and to secure the environment and a safe workplace and products,
and by thinking of how to put our corporate activities in harmony with theprotection of the global environment under the principle of sustainable development.
[Environmental and Safety Targets]
Zero Accident, Zero Occupational Injury and Environmental Preservation[Fundamental Policies]■ Ensuring of health and safety in our operations■ Securing security management of facilities and increasing self-maintenance technologies and skills■ Reducing environmental loads in business activities■ Ensuring safety in use, handling and disposal of products■ Developing of environment-friendly and safety-conscious products and technologies■ Ensuring environmental preservation and safety in the logistics of obtaining raw materials andstoring and delivering our products■ Enhancing of society’s confidence to us■ To provide support to our subsidiaries and affiliates in implementing their own RC activities■ Continuously improving our RC management system
We shall comply fully with applicable domestic laws and foreign rules
and shall also cooperate with related international organizations,international and national administrative organs, andnongovernmental organizations whenever needed.

05

MGC RC R 2007

Responsible Care Promotion System
President
Natural gas chemicals company

Administrative divisions

Aromatics chemicals company

Business divisions

MGC group’s environment andsafety conference

Specialty chemicals company

Planning and development divisions

Information and Advanced chemicals company

PlantsEnvironment and safety departments

GHG task force

Corporate planning division

Laboratories

Environment and safety departments

RC audit

Finance and accounting center

Audit for inspection organization

Administrative and personal center

Environment and safety audit

Corporate communications division

Environment andsafety manager meeting

Research and technology division

Field of our RC activities

Environment and safety division

・Occupational health and safety
・Process safety and disaster prevention
・Environment preservation
・Chemicals and products safety
・Distribution safety
・Communication with the community◎ Discussion subjects
ă Matters relating to environmental and safety targets andfundamental policies
ă Matters relating to RC mid-term targets and annual plansă Matters relating to rulemaking, revision or repeal of rules
ă Matters relating to safety awards and award for effort toenvironment
ă Other important RC matters◎ Reporting items
ă RC activity status,
ă Results of audits,ă Safety results including theă situation of the occurrenceof occupational injury or
accidents,
ă Other RC matters, etc.

Purchasing and logistics center
Maintenance center

The Environment and Safety Meeting,which is chaired by the president andis consisted of whole our department
head, is held as supreme legislative
organization for RC activities in every
December.
Subjects at the Environment and
Safety Meeting

MANAGEMENT SYSTEM

Environment and Safety Meeting

Planning of activity

Plan

Planning of RC mid-term targets and annual
plans, based on the fundamental policies onenvironment and safety

Plan
Reviewing of activities

Act

Continuous
improvement

Implementation of planDo

Executing the plan, company-wide

RC audit

Check

Check

Auditing the results of activities andconfirming the issues
Reviewing the activities by executives andmaking them reflect to the next year plan forcontinuous improvement

RC report

MGC Web site

Dialog with the community

Director, Senior Managing Executive Officer Shoji Uematsu

Nowadays, it is indispensable for the development of enterprise to steadily bear the obligations of thesocial responsibility and at the same time to ensure that it has obtained society's trust. Under thecircumstances, the requirements are not only corporate compliance but also the sustainableimprovement in all our Responsible Care activities and the fundamental basis is to prevent crisis
involving hazard or risk through confidence-building activities of risk prediction and based on thisthe discovery of latent hazard or risk while taking appropriate measures to respond to them.
Securing the environmental preservation and safety, which have prevention as a keyword, should
be carried forward by our executives with leadership and our employee by voluntarily
participating in cooperative activities, and from that standpoint I believe that all of us assume
some responsibility for all of our operations.

MGC RC R 2007

06

Targets and Results of
Responsible Care Activities

Fundamental policies

Activity targets in 2006

To achieve zero accident

To implement safety assessment based on the detailed
regulation for prior safety evaluation procedures for plan of
new or additional plants
To review effective disaster prevention schemes among
abutting affiliate companies
To improve process safety management systemat certified plants

To reduce energy consumption rate
below0.9 compared with 1990

To reduce 1% or more of energy consumption
rate compared with previous year

To reduce GHG emission consumption
rate below0.8 compared with 1990

To reduce 1% or more of GHG emission consumption
rate compared with previous year

To reduce 10% release of chemicals
listed in PRTR compared with 2004

To reduce amount of PRTR chemicals release(achieved targets)

To reduce 10% release of VOC
compared with 2004

To reduce amount of VOC release (achieved targets)

To achieve zero emission of waste

To achieve zero emission of waste
To promote green procurement (office and stationery supplies)

Ensuring safety in use,
handling and disposalof products
Developing ofenvironment-friendly andsafety-conscious products
and technologies

To promote development ofenvironment-friendly products andenergy saving technologies
To implement safety assessment of products
To participate in Japan Challenge program
To harmonize with REACH
To assess new substances appropriately
To provide latest MSDS (includes GHS
harmonization)

To harmonize with related legal amendment quickly
To utilize the latest MSDS
To participate in Japan Challenge Program
To understand and to evaluate our R&D from a view pointof environment, safety and energy saving

Ensuring environmental
preservation and safety
in the logistics for obtaining
raw materials and storingand delivering our products

To reduce any environmental loads
in logistics
To ensure the safety in logistics
To harmonize with the GHS

To harmonize with related legal amendment quickly
To audit our logistic companies
To count CO2 emission in logistics
To set CO2 emission reduction target
To promote modal shift and improve efficiency
of distribution systems

Enhancing of society's
confidence to us(To promote annual targets)

To publish Environmental Report 2005
To publish Environmental site Report
To participate in JRCC dialogue meeting and industry
segment activities
To participate in activities and events in local communities

Spectrum of RC

To provide support toour subsidiaries andaffiliates in implementing
their own RC activities

To support their introduction of RC activity
To audit for any affiliates in Japanand overseas

To enact MGC group environment and safety fundamental
policies
To develop annual environment, safety and health target
based on the group fundamental policies
To audit for any affiliates in Japan and overseas

Continuously improving our
RC management system(To promote annual targets)

To review RC education and training curriculum
To implement RC education and training
To review our regulations and rules

Environmental preservation

To achieve zero occupational injury

To enhance occupational health and safety activity
across the organization
To evaluate safety of facilities and works by occupationalsafety risk assessment
To support our contractors safety activity

Chemicals andDialogue withproducts safety Distribution safety the community

Occupational Process safety andhealth and safety Disaster prevention

07

RC Mid-term targets(2006-2010)

Ensuring of healthand safety in our operations

Securing security
management of facilities
and increasing
self-maintenancetechnologies and skills

Reducing environmentalloads in business activities

MGC RC R 2007

Estimation Remarks

Achievement of targets :Necessity of more efforts :No activity :Results and status of activities

Estimation

Relevant
page
11
12

● We implemented the safety assessment based on the detailed regulation or site rules.
● Our process safety and disaster prevention regulations were revised for reviewing disaster prevention system.
● Disaster prevention training with abutting affiliates was drilled.
● In certified plant on high-pressure gas, maintenance management system was developed
and reviewed to correspond with amended regulations.
● In certified plant on boilers and 1st class vessels, staff gained knowledge such as aged deterioration provision
by workshop for license renewal.

13
14

MANAGEMENT SYSTEM● Hiyari-Hatto suggestion numbers are increasing, and operational visualization for the reduction of Hiyari-Hatto
has been proceeded. The problem to be improved is the participation rate of employee.
● We are working on a full-scale occupational risk assessment.
● We supported our contractors' safety activity by mutual participation in safety and health committee.

● In fiscal 2006, energy consumption rate increased by 2% compared with previous year due to decreased production
by equipment trouble. In fiscal 2007, the rate is expected to be improved.
● In fiscal 2006, GHG emission consumption rate increased by 4% compared with previous year,
because of equipment trouble. In fiscal 2007, the rate the rate is expected to be improved.
● In fiscal 2006, amount of PRTR chemicals emission increased by 9% compared with fiscal 2004, because the amount ofacetone and n-hexane increased despite of reduction of dichloromethane (19% decreased) and xylene (17% decreased) .
● In fiscal 2006, amount of VOC, which are PRTR substances as described above,
release increased by 12% compared with fiscal 2004.

19
21
22
23
24
26

● The volume zero of final disposal was achieved at the three plants. Generated waste, waste to be transferred to off-site
and final disposal in fiscal 2006 were decreased by 29%, 28%and 43% respectively compared with previous year.
● All workplace promote the green procurement by wider variety of goods.
● All covered products by Industrial Safety and Health Law were labeled with GHS slip on container or package.
● Revised MSDS has been distributed to customers for effective utilization.
● Japan Challenge Program substances are planed to gather data on their safety and testing has been started.
● We proclaim the environment-oriented harmonization with sustainable society as our R&D policy,
and we are promoting R&D from the view point of ecology, safety and energy saving.

15
16
17
18

● Container or package with GHS label based on the Industrial Safety and Health Law have been distributed
from December 2006 for the object products of the law.
● Main contractor of logistic companies was audited by our auditor.
● For counting CO2 emission in logistics, we introduced the new counting system and tallied up the performance for 2006.
● The target of CO2 emission reduction in 2007 is 1% reduction by unit consumption rate compared with performance in 2006,
which is considered as benchmark.
● We have carried out modal shift and improved the efficiency of distribution systems from the possible ones.

16
22● Our environmental report has been published every year and disclosed on our website.
● Two site environmental reports have been published.
● MGC, as a member of JRCC, has communicated with public, local administrative and neighboring companies
by participating every year in RC community dialogue meeting at each district where our plants are located.
● We carried out the volunteer activities for cleaning and beautification around the workplace,the reception of plant visits and the opening of our welfare provisions.
● We actively participated in the volunteer activities for cleaning and beautification,
the firefighting training and the festivals in local communities.

27
28● MGC group's companies planed and implemented each annual environment,
safety and health target based on environment and safety fundamental policies.
● MGC group's environmental and safety conference draw up the rules of a conference for promoting activity.
● We carried out the RC audit to our 3 domestics and 2 overseas subsidiaries and affiliates.

29
30
31
32

● RC education and training curriculums were reviewed and RC education textbook was prepared.
● Each workplace has RC education and training, disaster prevention training and emergency drill.
● Integrated Safety Management System Rule and related regulation were reviewed and revised.

14

MGC RC R 200708

Responsible Care Audit
Our Responsible Care audit system is consisted of the RC pre-audit on the basis of checking documents andrecords and the RC audit in a comprehensive way by the director in charge of environment and safety, andauditors evaluate both the progress in RC activity plan and the efforts to spectrum of RC at each workplace. In
addition, they also evaluate whether or not PDCA cycle on the security management system is surely implemented
at the plants that are certified to carry out the self inspection and/or to operate the facilities continuously on thebasis of the certification of high pressure gas and/or boilers and 1st class pressure vessels. The RC audit results
are notified to the Environment and Safety Meeting and incorporated into our next year activity target.

RC auditing in 2006

RC auditing system◎ Auditing period: From August to October in 2006
◎ Auditee: 6 plants(including Tokyo research laboratory),◎ Auditee: 3 laboratories, and 4 internal companies◎ Auditee and 1 corporate at Headquarters◎ Pre-auditing items
・Security management status regarding certificationof high pressure gas (only at certified plants)
・Security management status regarding certificationof boilers and 1st class pressure vessels(only at certified plants)
・Priority auditing subjects in 2006
・Standard checking list by JRCC
◎ Auditing items
・Progress in RC activity plan and status of security
management activity
・Performance date on environment and safety
・Results of internal RC audit
・Follow-up of pointed out subjects in previous year's
auditing
・Response to the requirement to accident preservationand thorough compliance・Other subjects related to environmental preservationand safety◎ Auditing results: Good point (13 cases)◎ Auditing resu lt : Nonconformity (0 case)◎ Auditing resuls : Matters to be improved (10 cases)◎ Auditing resuts : Comment with advice (42 cases)◎ Follow-up of pointed out subjects in previous year's
auditing
The auditors confirmed the appropriate countermeasureson pointed out subjects in previous year's auditing
while pre-auditing and RC auditing.

RC pre-audit
RC audit09

MGC RC R 2007

RC audit program

Pre-auditing
Auditee

Plants and Laboratories

AuditorExpert team

Auditing items Documents and records

Auditing
Auditee

Plants and Laboratories
Internal companies
Purchasing & Logistics Division

AuditorExpert team led
by director in charge

Auditing items

Progress of activity targets,
and RC complianceIssuance of RC auditing report

Notify to Environment and Safety Meeting
Matters to be improved in common with all workplaces
We confirmed the matters to be improved in common withall workplaces by spreading out the auditing results ofeach workplace at the Environment and Safety Meeting.
Matters to be improved in common with all workplaces in 2006 RC audits
To beimproved 1

Countermeasure on accident/occupational injure
should be reviewed not only on ostensible factor
but also on background factor and taken preventive
steps should be taken.

To beimproved 2

Disaster prevention training has to include crisis
management such as communication with outside.

To be
improved 3

Education curriculums should be devised so as tobe effective for the increase of employee's
sensibility to risk, for example to determine of theircomprehension.

Responsible Care Activities
Targets in 2007
We have been working on the Responsible Care activities targets in 2007 which were determined at theEnvironment and Safety Meeting in December, 2006 toward the achievement of our Responsible Care mid-termtargets from 2006 to 2010.

Targets in 2007

○ For eliminating our human error
ă To activate our suggestion activities on Hiyari-Hatto (near miss) across the employees
ă To review the educational methods for improvement of employees' sensibility to risk
○ To enhance the occupational safety and health risk assessment activity○ To make sure the risk reduction activity before starting a non-routine work

Process safetyand disasterprevention

Mid-term target● To achieve Zero accident

Targets in 2007

○ To reinforce the safety management for facilities without authorized inspection under any law○ To enforce the management for any changing in process and verify the effectiveness of it○ To review the crisis management system in case of an accident

Mid-term target● To reduce an energy consumption rate below 0.9 in compare with fiscal 1990
● To reduce a GHG emission rate below 0.8 in compare with fiscal 1990
● To reduce an amount of PRTR chemicals emissions equal to 90% of fiscal 2004
● To reduce an amount of VOC emissions equal to 90% of fiscal 2004
● To achieve zero emission of wastes (Definition: To promote 3Rs and to reduce
an amount of final disposal as landfill below 0.3% of generated wastes)

Targets in 2007

○ To promote a countermeasure for energy saving with a focus on major plants and to reducean energy consumption rate more than 1% in compare with the previous year
○ To promote energy saving and a fuel conversion to natural gas
and to reduce a GHG gas more than 1% in compare with the previous year
○ To reduce an amount of PRTR chemicals emissions more than 2% in compare with fiscal 2004
○ To reduce an amount of VOC emissions more than 2% in compare with fiscal 2004
○ To approach our zero emission of wastes through setting the target values on theratio of zero emission or the reduction amount of final disposal at every workplace○ To promote our green procurement (office and stationery supplies)

Mid-term target● To provide the latest MSDS (including the harmonization with GHS)
● To implement safety assessment of productsă Participation in the Japan Challenge Programă Harmonization with REACH regulation
ă Pertinent assessment of new substances● To promote the development environment-friendly products and energy saving technologies

Targets in 2007

○ To review and provide the MSDS based on latest safety information○ To harmonize with amendment of Industrial Safety and Health Law (GHS)○ To research and verify a substance contained in our product○ To implement the Japan Challenge Program○ To plan the appropriate countermeasure to REACH○ To review our flow of newly-developed product safety assessment○ To promote the development environment-friendly products and energy saving technologies

Mid-term target● To introduce the globally-harmonized system (GHS)● To ensure the safety in our logistics● To reduce the environmental loads in our logistics

Targets in 2007

○ To verify the GHS labeling○ To enhance our auditing for delivery consignment companies○ To analyze a trouble in logistics and promote a preventative measure○ To analyze an amount of CO2 emission in our distribution and plan reduction scheme of it○ To promote our modal shift

Chemicals and product safety
Distribution safety

MGC RC R 2007

MANAGEMENT SYSTEM● To achieve Zero occupational injury

Environmental Preservation

Occupational
health and safety

Mid-term target

10Approach to Occupational
Health and Safety
Occupational safety activities
MGC has actively worked for RC activities under our
original goal of Zero accident, Zero occupational
injury and Environmental Preservation as ourenvironmental and safety targets.
In order to accomplish the original goal, every
workplace has promoted various occupational safety
activities through the daily safety activity such as
Hiyari-Hatto(near miss) suggestion activity, 5Sactivity and risk reduction activity, education andtraining, and collection of safety slogans.
In the safety week across the country in every July,
the safety message from the president isdisseminated to all employees on our intranetwebsite and video, and the employees furthermore
confirm the importance to ensure the safety throughthe lecture of the top management of each
workplace at safety meeting.

5S-activity situation(The Kashima plant)

The numbers of suggestion on Hiyari-Hatto areincreasing year by year, particularly the ratio oflatent Hiyari-Hatto is increasing.
The operational visualization, such as the release of
the suggestion contents on workplace website, hasbeen proceeded.
MGC is hereafter going to enhance furthermore theparticipation rate of employee on this activity.

Results of safety activities
Unfortunately three lost time injuries occurred in
2006, though our record of lost time injury had kept
decreasing until then.
In the results, our frequency rate on occupational
injury, which is the number of employees with losttime injuries per one million working hours, was 0.92
and our severity rate, which is lost days per one
thousand working hours, was 0.20. It became ourworst record in a several years.
Most our occupational injuries were caused by lackof sensibility for latent risk in a work.
We should improve our sensibility through the above
Hiyari-Hatto suggestion activity and risk reduction
activity before stating a non-routine work.

Pointing and vocalizing training
in tool box meeting(The Niigata plant)

Transition of Hiyari-Hatto suggestion
Explicit

LatentSuggestion

Presentation for environment and safety
at the Niigata plant(Number)
16,00014,296
14,00012,785

13,233Frequency rates

12,000

8,000

2002

2003

2004

2005

2006

MGC

1.02

0.53

0.28

0.29

0.92

Chemicalindustries

0.83

0.92

0.88

0.90

0.88

Manufacturing 0.98
industries

0.98

0.99

1.01

1.02

2002

2003

2004

2005

2006

MGC

0.02

0.02

0.001

0.001

0.20

Chemicalindustries

0.07

0.07

0.06

0.07

0.10

Manufacturingindustries 0.12

0.11

0.11

0.09

0.11

9,388

10,000

8,578
7,060
6,173

6,430

6,000

5,718

4,000
2,000
0
2002

2003

2004

2005

2006 (Year)In our Hiyari-Hatto activity, numbers of suggestion
on Hiyari-Hatto consisting of explicit one and latent
one have been positioned as the indicator for both
improvement of sensibility and activation level of RC
activities, and we have promoted the suggestion on
Hiyari-Hatto.

11

MGC RC R 2007

Severity rates

Presentation of safety activity

Aiming for raising our level of occupational safety
and health, our occupational safety risk assessment
was introduced in last year and we are working on afull-scale activity in this year.
The occupational safety risk assessment is used forevent analysis in Hiyari-Hatto suggestion, and theoccupational safety risk assessment meeting in asector is held regularly for picking up andimprovement of the unsafe point in worksite. Several
workplaces hold the meeting to make a presentationof the assessment results for supporting theactivation of our occupational safety risk
assessment activity.

Tokyo Techno-Center received the performance
award of Director-general of Tokyo Labor
Department at the Tokyo-industrial Health and
Safety Convention in 2005 for continuous record of"4.6 million hrs" of Zero occupational injury andintroduction of Occupational Health and Safety
Management System, and the Center made apresentation of their safety activity at the same
convention held in July, 2006.

HEALTH AND SAFETY

Occupational safety risk assessment

Presentation at Tokyo-industrial health and safety convention

Effort to emergency aid
Presentation of Risk assessment for occupational safety(The Kashima plant)

Our occupational safety risk assessment

Small group
activities forselecting

For Safety

Automated external defibrillators (AEDs) can berecently found at station, public facility and otherplaces and they are used in case of cardiac arrest in
recent days. In MGC, 5 workplaces have AEDs andstaffs are trained to use it.
In addition, for effort to emergency aid, manual
resuscitator has been equipped and employee has
training for first aid at each workplace.

(Pick up)

Risk factors

Risk assessment
Consideration of the best way(Risk re-assessment)

Self improvement(Equipment measures to be taken)
AED information panel at the Yokkaichi plantComment
by Representativeat plant
The Yamakita Plant
Environment and safety
department manager

Fumihiko Naito

The Yamakita Plant manager has announced his clearest policy ofoccupational health and safety to employees, because the safety is
his decisiveness. At the same time, Hiyari-Hatto activity andcompanywide development of instance accident and occupational
injury are considered as important activities by employees. We
cultivate the sensibility for hazard by "Learn from mistake", andwe will make efforts to promote secure safety activities together.

MGC RC R 200712

Approach to Process Safety andDisaster Prevention
MGC has determined the securing of safety as a top priority issue and we proactively address the employee tosecure safety to achieve Zero accident and Zero occupational injury, through the promotion of self-maintenancebased on RC activities. Furthermore, we have constructed our disaster prevention system in case of an accident.

Process safety management
As part of RC auditing in each workplace every year,
we implement the auditing of process safety.
Especially the certified plants, which have acquired
approved qualification on high pressure gas
production facility, have the auditing for theirinspection organization by Director in charge ofenvironment and safety, based on the Certified
Process Safety Management Regulation on High
Pressure Gas. In this auditing, each inspection
organization of the certified plants was confirmed bythird party whether its process safety management
is correct or not according to the standard specified
by Minister of Economy, Trade and Industry. On theauditing in 2006, it was confirmed that a part of theinspection for process safety was not implemented
at both plants. This was reported to regulatory
authorities, and both plants took collective andpreventive actions.
High pressure gas process safety management system
President
Environment and Safety Meeting
Director in charge of environment and safety(In charge of security management of facilities)
Environment and safety division at Head Office(In charge of self-maintenance certification)
Audit on administrative structure tocertified inspection organization

had developed and revised its own process safety
management system according to the revised High
Pressure Safety Act and related rules in 2005.
And also the Mizushima plant has been developing
the similar process safety management system.
The Yokkaichi plant, which has acquired approved
qualification on continuous operation of boilers and1st class pressure vessel, has renewed license andthe facility staff in the Kashima plant tried hard togain knowledge on aged deterioration provision andetc. by workshop on high pressure gas facility forour promoting self-security management.

The security of safety activities for facilities
In order to prevent an accident and an occupational
injury, it is important to ensure process safety andfacility's good condition and to continue stable
operation.
The each plant is actively making efforts on process
safety management activity proactively, for example,
it has put safety assessment in execution according
to the enacted detailed regulation for prior safety
evaluation for the plan of new or additional plants in2005 and/or related original rules of each site.
MGC is promoting the operational visualization offacilities, exemplified by the improvement of a piping
rack labeling.
Main activities security of safety for facilities in each plant

RC audit

Reviewing the point to be checked and cycle at facilities
To pick up the weak point of each section by checklist
and take the countermeasure for it
Thoroughness of operational visualization
Development of the site original process safety
Mizushima management rule on high pressure gas
plant
To review the earthquake countermeasuresat toxic gas facilities
Yokkaichi To evaluate safety assessment based on rulesplant
To pick up the risk at facilities based on rules
Kashima To evaluate safety assessment based on rulesplant
To pick up the risk at facilities based on rules
To implement the prior safety evaluation for the plan of
Yamakita
new or additional plantsplant
To carry out the safety patrol before new facility's
operation
Niigataplant

Chief administrator of certificatedinspection organization(Appointed by the president)
Administrative structure to certified
inspection organization

Confirmation of appropriate
certified inspection system

Act

Ce
in
org

Security
management offacilities system

Do

f
nt
• Facilities management
division

In 2006, a total of 5 accidents happened in MGC.
Particularly, the Niigata and Mizushima plants had
the extraordinary environment and process safety
auditing based on the Integrated Safety
Management Rules, because both plants caused
several accidents and/or occupational injuries
continuously.

Promotion of self-security management
The Niigata plant, which has acquired approved
qualification on high pressure gas production facility,

13

MGC RC R 2007

"Operational visualization" on piping rack
(The Mizushima plant)

Educational and supporting activity

We have constructed the self-disaster prevention
system at each workplace in case of an accident.
Each workplace has set up their disaster prevention
activity rule which has defined emergency system
and activity. Furthermore, the Niigata, Mizushima,
Yokkaichi and Kashima plant, to which thePetroleum Complex Accident Prevention Act has
been applied, have entered into the regional joint
accident prevention agreement with neighboring
companies and constructed a mutual support
system with them in case of an emergency. Each
workplace develops its annual disaster prevention
plan and implements the periodical training fordisaster prevention.
Each plant has equipped with materials andequipment for emergency in case of an accident intransportation of our products. We have constructed
our wide-area support system for emergency
measure by getting in touch with each other plant,
whenever an accident happens. As the result ofequipping with materials and equipment for
emergency, we help the cooperating with the firestation and police station on the accident happening
at the neighbor of plant in transportation of othercompany's products, if required.

It is very important for safe and reliable operations
to hand down technology and skill. Therefore, eachplant has handed down through training programs
the technology and skill by using the skill table andthe one point lesson sheet, and besides,
implemented
theacquisition
fundamental
technology
and
skill
for
maintenance,
instrumentation and operation. The affiliatecompanies have attended above-mentioned training
programs for upgrading their operation technology,
skill and safety.
In addition, we have improved our sensibility andunderstanding for safety through the simulation andrenewed recognition of troubles happening in thepast.

Emergency call procedure on phone(The Niigata plant)

Joint firefighting training with fire station(The Tokyo techno-center)

PROCESS SAFETY AND DISASTER PREVENTION

Emergency management

Education at the value productive maintenance center(The Yokkaichi plant)

Training at the in-house maintenance school(The Mizushima plant)

Comment
by Representativeat plant
The Niigata plant
Firefighting training(The Niigata laboratory)

Disaster prevention training(The Hiratsuka laboratory)Integrated disaster prevention training(The Kashima plant)

Assistance the leakage accident(The Yamakita plant)

Environment and Safety
Department Manager

Takashi Kojima
For eradication of accident and occupational injury, we
work on various activities such as risk reduction activity,
eradication of equipment and instrument trouble,
improvement of on-site ability by practical use of
employee skill table, strengthening of equipment selfmanagement etc., in combination with operational
visualization. These activities are firmly establishedthrough ideas and improvement of employees at eachsection, and this "culture" is expected to be performed asa matter of fact by all employees' participation.

MGC RC R 200714

Approach to Chemicals andProducts Safety Management
As a chemicals supplier's responsibility, we clarify the characteristics, safeness and handling method of our
products and carry out various kinds of activities to keep safety, health and environment of every user of our
products.

We have managed our system to secure the productsafety under our enacted products safetyassessment standard.
This system is the one for the examination of
products whether they are satisfied with thestandard for their commercialization, through theimplementation of assessment, classification andevaluation of the hazard and risk in eachdevelopment stage from the preliminary study of raw

materials to the disposal of products via the sale on
the market.
Additionally in this system, recommended
appropriate handling method of products is decided
on the basis of hazard information and it is reflectedin Material Safety Data Sheet (MSDS), warninglabel and Yellow-Card (emergency information cardduring distribution) which are furnished to customers
of products.

Flowchart of safety assessment for chemicals and products
Preliminary study

Safety assessment

Hazard classification

Access to MSDS
of material
Literature searching

Hazard assessment
Assessment ofenvironmental safety

United Nations classification
Japanese classification
Study of applicable law≫

Preparation of safety
information
※

≫

MSDS
Product warning label
Yellow-Card≫

Investigation of saleon the market
Assessment of risk
management
Judgment of saleon the market≫≫ ※Product supply≫

Rationalization of product storage
and transportation
Compliance with applicable law
Collection of customer information▲
Customer information

Safety assessment of chemicals
MGC obtains any necessary safety information fromnot only literature searching but also testing in our
research laboratories and utilizes it for theevaluation of chemicals safety.
Especially, the Niigata research laboratory has thecertified biodegradability and mutagenic (Ames)
tests facilities in accordance with GLP*.
We have conducted several safety tests for new
chemicals, especially biodegradability andmutagenic (Ames) tests specified by laws andregulations at our GLP certified test facilities in the
Niigata Research Laboratory.
In addition, this Laboratory owns the test facilities for
acute oral toxicity, primary skin irritation andpathogenicity, and theses safety tests on 52
chemicals were conducted at this laboratory in 2006.
*Good Laboratory Practice (GLP) is a quality system concernedwith the organizational process and the conditions under which
non-clinical health and environmental safety studies are planned,
performed, monitored, recorded, archived and reported.

Mutagenic (Ames) tests (from left Agar media, testing and electronic colony counting)

15

MGC RC R 2007

MGC actively collects the safety information
relating to our products. Based on the collected
information, we prepare the product catalogs,
MSDSs, safety handling guidelines, Yellow-Cards
and warning labels in accordance with GHS.

Information forsales department

MG

Japan Challenge Program
The Japan Challenge Program is the combined
governmental and industrial program for bothgathering of existing chemical safety information
with increasing speed and disseminating of that
information to Japanese people.
MGC is participating into 4 substances whose
production volume is large. By this time, thegathering plan of safety information for each
substance has been made and the safety test has
been launched.

CHEMICALS AND PRODUCTS SAFETY

Flowchart of the safety information service

Study and research of chemical safety

Participation substances in the Japan Challenge Program

Information forlogistics● 3-cyclohexanedimethanamine (submit to OECD)● 3,4-dimethylbenzaldehyde● Cyclohexyl methacrylate ( in consortium)● Benzene-1,2:4,5-tetracarboxylic dianhydride (in consortium)

Container and packaging label
We have secured the product safety by labeling withhazardous information, risk aversion pictogram andhandling caution on the container or package ofhazardous product. In December, 2006, theIndustrial Safety and Health Law was amended andit requires us to make the classification and labelingof chemicals on the basis of the Globally
Harmonized System of Classification and Labelingof Chemicals (GHS). Pursuant to the amended law,
we changed the classification and label of listed
products by the law so as to harmonize with GHS
specifications, although the quality of our products
does not change.

OECD HPV Program
The OECD HPV program is the safety evaluation
program concerning the chemical substances
whose annual production volume in one country is
not less than 1,000 tons (high production volume).
MGC has been participating in this program throughthe Japan Chemical Industry Association (JCIA)
and/or International Council of Chemical Association(ICCA) since 1999.
Among 17 substances in which we are taking part,
we have already evaluated the 13 substances(including of our leading 3 substances) through theOrganization for Economic Co-operation andDevelopment (OECD).
Additionally MGC is supporting the Long-Range
Research Initiative (LRI) concerning the impact ofchemicals on health and the environment by ICCA,
via JCIA.

Overseas regulation REACH
The new chemical control regulation in EU, which is
known as REACH, entered into force in June, 2007.
MGC is participating in the Japan Chemical Council
in Europe and Japan for REACH and making aneffort to harmonize with international regulatory
trend.

MSDS
Yellow-Card
Label harmonized with GHS

MGC RC R 2007

16

Environment-friendly Products andResearch and Development
We regard the global environmental preservation as common issue to the world, and we have been focusing
on development of our environment-friendly products. We do not have many products supplied directly to
consumers but we are making actively efforts to develop products and technologies by considering energy
and resource saving, low load to environment, reduction of waste, etc.

Our environment-friendly products and/or technologies
Products or technologies
MX nylon resin
Iupilon® (Polycarbonate resin)

Plastics

Reny® (Polyamide MXD6)
Iupital® (Polyacetal resin)
Iupiace®
(Modified polyphenylene ether)
AI polymer ® (Polyamideimide)

Contribution to environmental preservation

Ta r g e ts *A

Non chlorinated resin with high gas barrier capability
Resin with excellent transparency, durability and weather ability, used for various purposes,
contributing to resources saving
Mineral-filled resin mainly used for side mirror stay of vehicle, contributing to the energy saving by light weight property● ●Resin with excellent mechanical properties and used as the substitute for metals in various purposes● ●Resin mainly used for office automation equipment, contributing to the energy saving for its light weight property

●

C

● ●
●

●

Resin for thin outer housing of smaller and lighter office automation equipment on the basis of excellent heat resistance

Treatment of waste water

Diafresh® series● ● ●OR-SON AT®

Agent making persistent organic materials decomposable and drastically reducing the generation of sludge

F-SON®

Agent for separation and treatment of fluorine compounds, which can easily reduce the fluorine content to 8 ppm or less●Agent to prevent the oil-base paint mist from adhering and to make easy the recovery of dispersed paint in the recycled● ● ●water in a painting booth●Chemical agent for effective aggregation and separation of water-based paint, water soluble polymer, etc.
Water treatment agent for recycled cooling water in piping aiming both the cleaning and long-life of said water,● ●and high thermal efficiency●
Deodorant agent to solve the issue of bad odor at sewage-treatment plant, etc.

NEOSOL®
NEOPOCK®
Deslime®,Contlime®
DEOPOWER®

Keep quality andfreshness

Chemicals

AGELESS®

Agent keeping quality and freshness in food sector and, as a result, reducing waste of foods andpromoting efficiency of production and distribution●●

AGELESS•OMAC®

New packaging film as the substitute for canned food, contributing to weight saving and waste reduction●●

RP preservation system

Oxidation and corrosion resistant system for metals and electronic parts, contributing to reduction of waste● ● ●Pharmakeep®

Agent keeping quality and performance in medicines and medical device, and improving their shelf life
Eco-friendly system for insect proof and preservation of cultural property, used as the substitute formethyl bromide referred to as ozone layer depleting substance●

Clean natural gas based basic raw materials and fine chemicals● ●Raw materials for vehicle coating based on acrylates, contributing to the reduction of fuel cost●

AIR-G®
Methanol, Ammonia,
Methylamines,etc
Methacrylates●●●High-purity Terephthalic acidRaw material for PET, contributing to the reduction of wastes by its recycling

Hydrogen peroxide

Substitute for bleaching agents containing chlorine, used in a pulp and paper production process● ●GASKAMINE 240®

Reduction of solvent by applying it to non-solvent epoxy resin (two liquid type) because of its lower viscosity●

Dimethylether (DME)

Application of clean fuel DME used natural gas as material to the automobile fuelResearch and development of methanol fuel cell with which electricity is directly generated without hydrogenreforming. Output density is double compared with two years ago.
Heat resistant materials for printed circuit board, suitable for lead-free solder
Printed circuit board with Brominated flame retardants free
Purgation of polluted underground water and soil●

Printed circuit board with Brominated flame retardants free● ●Fuel cellTechnologies, etc

Materials for Environment-FriendlyPrinted Circuit Board
Persulfates
Method for manufacturing ofAromatic aldehydes
MGC-MH process
Development of natural gas field,
Development of geothermal steam
Method for manufacturing of
Trimethylolpropane
Method for manufacturing of
Methyl methacrylate
AR
Neofade® (damping material)

Process for the production of high purity hydrogen gas from methanol and water
Development of clean energy and its application to raw material Application of geothermal steam to electric power
generation

●
●
●

●
● ●

Production technology that recovers and recycles by-product (sodium formate) as raw material●

Production technology based on new ACH method using natural gas without generating by-product ammonium sulfate● ● ●Capacitor mainly consisted of AR(carbon) and aluminum is the electricity storage system with benefit of long life andless harmful materials
Excellent vibration-damping property / Suppresses structural resonance, preventing vibration and noise● ●*) Targets of MGC products and/or technologies contributive to environmental preservation
mark A : Energy saving and/or resource saving : Contributive to resource saving such as energy saving, reduction of water consumption,
reduction of raw materials, etc. and the reduction of emission of carbon dioxide
mark B : Low environmental load : Contributive to the removal of harmful materials through the reduction of consumption of chemical materials,
their reduction of emission and generation, water treatment and emission gas treatment.
mark C : Reduction of wastes : Contributive to the reduction of waste materials through the prevention of generation of wastes, their recovery and their recycle.

17

B

MGC RC R 2007●●

Environment-friendly Products
Plastics

Iupilon®
(Headlight, Tail-light)

For keep quality and freshness

CHEMICALS AND PRODUCTS SAFETY

Reny®
(Side mirror stay)

MX nylon
Soda bottle

Environmental chemicals
Treatment of waste water
including persistentorganic materials
OR-SON

Treatment of waste water
including Fluorine
F-SON

Decoloring ofwaste water
NEOPOCK NEOSOLTreatment of waste water
including oil based paintItems using oxygen absorber film AGELESS OMAC®
Treatment of waste water
including water-based paintItems using RP preservation system®

Diafresh® series

Technologies and others

DME fuel autotruck

Vibration acceleration

Methanol fuel cell

Base material only (No damping material)
Product on the market (1)Product on the market (2)NEOFEDO®
0

1

2Time (second)

above : NEOFEDO
bottom : Vibration-damping properties®

MGC RC R 200718

Environmental Load in Our
Business Activities
The overview of our environmental load status in fiscal 2006 is as shown below.
Each plant makes efforts to ensure the efficient use of inputted resources and materials as well as the reductionof emission and waste.

MGC business activities
8 production sites

INPUT

Unit

2005 FY

2006 FY

FY-to-FY

Energy consumption (as crude oil)
Water consumption
Tap water
Break down
Industrial waterRiver water

kl
km3
km3
km3
km3

570,000
40,284591
23,493
14,717563,000
42,389443
23,41816,918

0.99
1.05
0.75
1.00
1.15

OUTPUT

Unit

2005 FY

2006 FY

FY-to-FY

k ton
ton
ton
ton
ton

1,591
410
906
42
316

1,580
412
921
50
254

0.99
1.01
1.02
1.19
0.80

km3
ton
ton
ton
ton
ton

34,572
269
414
73
30
0

35,387
289
353
74
25
0

1.02
1.07
0.85
1.01
0.83

ton
ton

11,042
516

7,896
293

0.72
0.57

Emission to Atmosphere
GHG gases emission CO2 conversion
SOx emission
NOx emission
Soot and dust emissions
Releases of PRTR listed chemicals
Release to water area
Drainage volume
COD emission
Total nitrogen emission
Total phosphorus emission
Releases of PRTR listed chemicals
Release to soil
Generation of waste
Transfer to off-site
Final disposal waste for landfill
Energy consumption
Water consumption
GHG gases emission
SOx emission
NOx emission
Soot and dust emissions
Releases of PRTR listed chemicals
Drainage volume
COD emission
Total nitrogen emission
Total phosphorus emission
Releases of PRTR listed chemicals
Transfer to off-site
Final disposal waste for landfill

19

MGC RC R 2007

Total amount of fuels (heavy oils, etc), purchased steam and purchased electric power
consumed in our business activities
Total amount of drinking water and industrial water used for business activities
Total emission volumes of 6 Green House Gases in our business activities converted in terms of CO2
Total emission volumes of SOx contained in exhaust gas from our utility facilities
Total emission volumes of NOx contained in exhaust gas from our utility facilities
Total emission volumes of soot and others contained in exhaust gas from our utility facilities
Release volumes of the listed chemicals to the air
Volumes released to the public water area after treatment of drainage from our business activities
Volumes obtained with multiplying our drainage volumes by COD concentration in our drainage
Volumes obtained with multiplying volumes of our drainage by nitrogen concentration in our drainage
Volumes obtained with multiplying volumes of our drainage by phosphorus concentration in our drainage
Drainage volumes of the listed chemicals to the public water area
Volume of waste transferred to off-site for external treatment
Amount of final disposal for landfill after off-site treatment

Environmental accounting
MGC has been introducing and counting the environmental accounting along the guideline of the Ministry of
the Environment since fiscal 2002. It is intended to be of help to the MGC's efficient environmental
preservation activities and to keep clearness of our approaches by disclosing it to the public.

Environmental preservation cost
Amount of cost
Amount of cost is equivalent to amount of runningand maintenance cost for facilities or personnel cost
due to research and development for environmentfriendly products. In fiscal 2006, the water pollution
prevention cost was 1,853 million yen, and came toapproximately 26% of total amount of cost. In
addition, the research and development cost was
1,305 million yen, and came to approximately 19%
of total amount of cost.

ENVIRONMENTAL PRESERVATION

Amount of investment
Amount of investment is equivalent to amount of
established facilities for environmental preservation.
In fiscal 2006, the global environmental preservation
cost for controlling global warming was 548 million
yen and came to approximately 42% of total amountof cost. This is the result of investment in fuelconversion to natural gas for reducing the carbon
dioxide at the Mizushima and Yamakita plants.
Environmental preservation cost in FY 2006
Break down

Investment
million ¥Ratio
AmountMain items for activity

Pollution
prevention cost

Onsite cost

Invest. Incinerator, etc
Air pollution prevention
Cost Off gas scrubber, etc
Invest. Facility making drainage harmless, and etc.
Water pollution
prevention
Cost Wastewater treatment facility maintenance
Invest. Acoustical technology at power plant
Noise prevention, etc.
Cost Sound proof wall maintenance
Invest. fuel conversion to natural gas for boiler
Global environmental
preservation cost
Cost Running and maintenance cost for power plant
Invest. Established the warehouse for PCB
Resource recycling cost
Cost Treatment of recycle
Invest. IModal shift
Up or down stream cost
Cost Management charge for recycle
Invest. Established and preserved green space
Management activity cost
Cost Maintenance fee of environmental management
Invest.
R & D costdevelopment for environment-friendly products
Cost
Invest.
Social contribution cost
Cost Supporting a local community
Invest.
Environmental damage cost
Cost Compensation for environmental preservation
Total

305

23.6

205

15.9

25

1.9

548

42.4

29

2.3

7

0.6

14

1.1

158

12.2

0

0.0

0

0.0

1,293

100.0

Cost
million ¥Amount

Ratio

725

10.3

1,853

26.3

11

0.1

1,436

20.3

887

12.6

55

0.8

631

8.9

1,305

18.5

8

0.1

147

2.1

7,057

100.0

Implementation in conformity with the Environmental Accounting Guidelines 2005
Targeted period : From April 1, 2006 to March 31, 2007
Scope : Unconsolidated basis
Counting methods : Investment : The amounts, associated with environmental preservation, are prorated from its ratio in capital spending during this fiscal year.
Cost : The amounts are associated specifically with environmental preservation, and the depreciation of machinery and equipment is included.

Effect of environmental preservation activity
Environmental Preservation Effect
The release of the PRTR listed chemicals to
atmosphere and water area was decreased
compared with previous fiscal year. Furthermore,
the amount of waste to be transferred to off-site,
final disposal waste for landfill and used drinking
water amount were also reduced. And otherperformance remained the same as the previous
fiscal year. For additional information, details of
actual values are summarized in the environmentalload status in the previous page. Meanwhile, thereason why amount of generated waste was
reduced is that the coal ash was not generated byfuel conversion from coal to natural gas.
Economic benefit
The profit on sale of valuable waste and the effect of
cost reducing by energy saving activities wereobtained.
The economic benefit
Amount(Unit: million ¥)The profit on sale of valuable waste
105
Income203
Cost saving The effect by energy saving
Title

Item

MGC RC R 200720

Approach to global warming preservation
MGC, in particular manufacturing section, is working on the following Mid-term targets against global
warming issue. The performance was as follows in fiscal 2006.
Energy consumption rate
: 0.89 compared with1990 (Target: To reduce below 0.9 compared with 1990)
Greenhouse gas emission rate : 0.87 compared with1990 (Target: To reduce below 0.8 compared with 1990)
In distributor section, the amount of CO2 emission was calculated and the approach to global warming
preservation has advanced while obtaining the cooperation of delivery companies.

Transition of energy consumption amount andconsumption rate
Consumption amount

Consumption rate index

Amount (as crude oil x103 kl)
1,200
1,000

1.00

0.96

400

Target of rate in Fiscal 2010
Rate index (Fiscal 1990:1)
1.1

1.02 0.99
0.93

800
600

1.0

0.89 0.88 0.89

566 529 549 542 555 570 563

428

Energy saving activity

0.9
0.8
0.7
0.6

200

0.5

0
1990

2000

2001

2002

2003

2004

2005

2006

Transition of Greenhouse gas (GHG)
emission amount and emission rate
Emission amountEmission rate index

Amount ( k ton)
3,000
2,500

Target of rate in Fiscal 2010

A few examples of energy saving measures in fiscal 2006

Rate index (Fiscal 1990:1)
1.2● Steam saving by optimization of operating conditions
in distillation tower● Recovery and reuse of low pressure steam● Renewal of adequate capacity of cooling water pump
● Efficient use of low pressure steam by the introduction of
stream jet compressor● Energy saving by optimization of operating conditions in boiler

0.96 1.01 0.97 0.90
0.85 0.83 0.87

1.00

1.0
0.8

2,000
1,500

1,225

1,625 1,509 1,580 1,558 1,556 1,591 1,580

0.6

1,000

0.4

500

0.2
0.0

0
1990

2000

2001

2002

2003

2004

2005

2006

Details of GHG emission amount(converted to k tons-CO2)
CO2 (energy origin)
1,267
CO2 (non-energy origin)
306
Methane
1.7
Dinitrogen oxide
1.1
Hydrofluorocarbons
4.2
Perhydrofluorocarbons
0.0
Sulfur hexafluoride
0.0
Total

1,580

Component ratio of energy sources (fiscal 2006)
Natural gas

9.0%
17.7%

Heavy oil
37.7%

12.0%

The amount of the energy consumption in fiscal
2006 on the basis of crude oil was 563,000 kl inmanufacturing sections, and it had decreased by
1.2% compared with the previous fiscal year.
However, the energy consumption rate wasincreased by 2% compared with the previous fiscal
year and it was 0.89 compared with 1990. The effectof energy saving was 5,200kl converted in terms ofcrude oil through the following measures as theenergy saving activity in fiscal 2006. But
unfortunately, energy consumption rate became
worse by the decreased operating rate due to facility
troubles.

Purchased fuelBy-product fuel, etc.

MGC will put the energy consumption into efficient
use through the promoting energy saving measuresand stable operating of plant.

Countermeasures for reduction ofGreenhouse Gas (GHG) emission
In fiscal 2006, the amount of Greenhouse Gas(GHG) emission was 1,580 k tons in manufacturingsections and this means 0.6% decrease comparedwith the previous fiscal year.
In the breakdown, the amount of CO2 originatedfrom energy generation and production process was
99% of the whole, and the amount of other fivekinds of greenhouse gas emission was small. The
GHG emission rate had been become worse by 4%compared with the previous fiscal year and it was
0.87 compared with 1990.
As well as the energy consumption rate, thedecreased emission rate resulted from facility
troubles.

Purchased electric power
11.8% 11.8%

Purchased steam

In this report, the coefficient of purchased steam was modified
as far back as past.

21

MGC RC R 2007

Utilization of clean energy
MGC's use ratio of natural gas, which is recognized
as clean energy, is large and its component ratio inamount of CO2 emission was 32 k tons.
We are working on the following reduction plan of
CO2 emissions.
We are implementing not only the transportation
with suitable sized vehicle but also improvement inloading ratio in conformity with the introduced
MGC's entire distribution system, and ourtransportation efficiency is improved by the modal
shift from the tanker lorry to rail way container
service.
From now on, we will promote the recommending of
the idling stop and eco-drive in a grandtransportation and schedule the enlargement of ship
for the reduction in the transportation frequency andelectric propulsion ship for reduction of CO2
emissions rate.

ENVIRONMENTAL PRESERVATION

energy sources was 38% in fiscal 2006.
In the Yamakita plant, the fuel of the boiler wasconverted from heavy oil to the natural gas (the city
gas 13A) in the end of fiscal 2006. As a result, thereduction in the amount of the CO2 emission is
expected to be about 3,000 tons a year. And thecomponent ratio of natural gas in the energy sourceof all our plants is expected to increase through theconversion to natural gas at the Mizushima plant.
Moreover, MGC continues to participate in thebusiness of the geothermal generation of electricity
which hardly generates CO2 with Mitsubishi
Materials Corporation.

Transportation mode ratio
Rail way 4.6%

Truck & Lorry
32.5%

New natural gas-fired boiler (The Yamakita plant)
Vessel
62.9%

Approach to energy saving in distribution
After the act concerning the rational use of energy
amended in April 1st, 2006, a specified consigner,
who has cargo transportation or entrusts cargotransportation of more than 30,000 k tonsăkm, hasbeen mandated to submit an annual energy
consumption report to the government.
MGC improved our entire distribution system, which
was established in 2005, to calculate transportation
amount (tonăkm), energy consumption and amountof CO2 emission and to take data such astransportation weight (ton), transportation distance(km) and transportation mode.
The performance in 2006 was as follows:transportation amount was 584 billion tonsăkm, andMessage from the GHG task force leader

Transportation amount(tonăkm)Rail way 1.9%

Vessel30.1%
Truck & Lorry
68.0%

CO2 emission

New chemical tanker (Ryoueimaru Ⅱ)

Corporate Officer Makoto Mizutani

The Kyoto Protocol came into effect in February, 2005, and Japan came to have the obligationof 6% reduction of the GHG emission in comparison with 1990 for the first commitment
period (2008-2012).
And then, the voice to have misgivings about global warming is growing more and more
worldwide.
MGC established the GHG task force in October, 2005. Since then we have beenpromoting the energy conservation measures and the GHG emission reduction
measures, and as a result, we obtain some remarkable results. We also consider
countermeasures of GHG emission reduction in our distribution section.
Hereafter, further effort to improve the energy consumption rate will be
continued because of the increase of new plant construction.

MGC RC R 200722

Approach to chemicals release reduction

Chemicals specified by the PRTR Law
In our assessment in fiscal 2006, forty six chemicals
were those to be subjected to register out of 354
chemicals specified by the PRTR law.
As a result, the total release amount was 279 tons
(decreased by 19% compared with the previousyear) and transfer amount was 468 tons (increased
by 33% compared with the previous year). The
increase resulted from the waste liquid generated by
the pilot plant operation.

In fiscal 2006, the approach to reduce
Dichloromethane and Xylenes with more releaseamounts than other specified chemicals at MGC
was conducted.
Dichloromethane : FY 2005 211 tons
FY 2006 170 tons
Xylenes: FY 2005 78 tons
FY 2006 65 tons

The registered chemicals on the basis of the PRTR Law (results in fiscal 2006)
No.

Release amountChemicals

Air

Water

Soil

ReleaseTotal

Transfer
Total

145

Dichloromethane

169.9

0.0

0.0

169.9

4.2

63

Xylenes

65.1

0.0

0.0

65.1

36.8

283

Hydrogen fluoride and it's water-soluble salt

0.5

17.6

0.0

18.1

0.7

227

Toluene

6.7

0.0

0.0

6.7

31.7

40

Ethylbenzene

3.8

0.0

0.0

3.8

0.0

304

Boron and it's compounds

0.1

3.5

0.0

3.6

0.1

310

Formaldehyde

1.2

2.1

0.0

3.3

9.3

224

1,3,5-Trimethylbenzene

1.9

0.0

0.0

1.9

14.5

253

Hydrazine

0.4

1.2

0.0

1.6

0.1

42

Ethylene oxide

1.5

0.0

0.0

1.5

0.0

320

Methylmethacrylate

1.1

0.0

0.0

1.1

12.5

299

Benzene

0.6

0.0

0.0

0.6

0.7

311

Manganese and it's compounds

0.0

0.4

0.0

0.4

0.4

312

Phthalic anhydride

0.4

0.0

0.0

0.4

6.5

54

Epichlorohydrin

0.3

0.0

0.0

0.3

0.7

316

Glycidyl methacrylate

0.1

0.0

0.0

0.1

66.9

318

Dimethylaminoethyl methacrylate

0.0

0.0

0.0

0.0

55.9

Others (29chemicals)

0.1

0.7

0.0

0.8

226.8

Total (46chemicals)

253.7

25.5

0.0

279.2

467.8

PRTR
PRTR is the acronym for Pollutant Release andTransfer Register.
It is based on the Law Concerning Reporting, etc.
of Release of Specific Chemical Substances tothe Environment and Promotion of the
Improvement of their Management (so-called
PRTR Law), and is a mechanism according towhich the amount of released and transferredharmful chemicals are grasped, totalized, andmade public.

Transition of the specified chemicals release volume
and transfer volume in the PRTR Low list
(tons)
1,200

Release volume

MGC RC R 2007

Transfer volume

1,139

800

617
507
400

468
360

299 332 285

261

346 351

279

0
2001

23

(unit : tons/year)

2002

2003

2004

2005

2006

(FY)

Volatile Organic Compounds (VOC)

MGC has been voluntarily conducting the surveys
and reduction of the PRTR chemicals release andtransfer from our plants.
(Those PRTR chemicals are listed by the Japan
Chemical Industry Association (JCIA), and the
PRTR Law-listed 354 chemicals are all included in
the JCIA's list with 481 chemicals.)

Volatile Organic Compounds means a generic termof organic compounds that become gas in theatmosphere because of their volatility.
The VOC is one of the causative agents for thesuspended particles and the photochemical oxidants
whose influence on someone's health is feared.
The concept of the best mix, which means the best
mix and the best match of the regulations for the
VOC emission facilities and the voluntary approach
to non-regulated facilities, has been introduced in
the amended Air Pollution Control Law in 2004, as aframework of the emission control measures of VOC.
MGC is concerned with 20 chemicals out of main
100 VOC listed by the Ministry of the Environment.

The total release volume of PRTR chemicals
in the JCIA's list
(tons/year)[ ] Number of chemicals

4,000

3,000

[69]
2,419

Compliance
[71]
[68]
1,707
[64]
1,539 [65]
1,313
1,244
[70]

2,000

1,000

ENVIRONMENTAL PRESERVATIONPRTR chemicals in the list of JCIA

Under the Air Pollution Control Law, the owner offacilities regulated by the law are obligated to

816 [70] [73] [73] [75]517 507 547 554

register these facilities to the local government andto measure the emission concentration of VOC.
MGC properly harmonizes with the registry and the0measurement based on the law and regulations.
1997

1998

1999

2000

2001

2002

2003

2004

2005

2006
(FY)

In fiscal 2006, we had specified 75 chemicals
as those to be assessed out of 481 chemicals
including 480 ones specified by JCIA's list.
Our RC mid-term target (2006-2010) is to
reduce 10% release of chemicals listed in
PRTR compared with fiscal 2004. Unfortunately,
it increased by 9% compared with 2004 due tothe increase of Acetone and n-Hexane in spiteof the reduction of Dichloromethane andXylenes.

The eliminator of harmful air pollutants in off-gas

Registered VOC emission facilities (specified by the Law)Classification

Requirement

NumberStorage facility

Capacity; over 2,000kl(in existence)

6

Drying facility

Blower capability;
over 3,000m3/h

5

The voluntary efforts
Because the all VOC registered by MGC are
specified in the JCIA's PRTR list, we voluntarily
make efforts to reduce the emission amount.
The actual results of the VOC emission amount infiscal 2006 were 497 tons.
In the responsible care mid-term target (2006-2010),
MGC has set the target to reduce 10% VOC release
compared with fiscal 2004, and MGC is going towork on its reduction through the concretemeasures in each plant. However, it increased by
12% in fiscal 2006.

Our voluntary managed VOC in 2006
Dichloromethane, Methyl alcohol, Xylenes, Methyl
ethyl ketone, n-Heptane and the other 15 chemicals

MGC RC R 200724

Approach to the Atmosphere,
the Waters and the Soil
Prevention of air pollutions

Prevention of water pollutions

MGC has been working on the reduction of the air
pollutants such as sulfur oxide (SOx), nitrogen oxide(NOx), soot and dust, etc. The countermeasures for
the SOx reduction have been executed, for example,
by setting up smoke gas desulphurizationequipment of the boiler exhaust gas, and converting
the fuel to low sulfur heavy oil or city gas (naturalgas) and etc. MGC has kept the concentration andtotal amount of air pollutants to be sufficiently lower
than the required value by laws and regulations,furthermore, we have controlled their values.
Each total emission amount of SOx, NOx and soothas slightly increased in fiscal 2006.

In order to prevent the pollution of rivers and sea,each plant controls the waste water treatment
equipments of the neutralizing processing, theactivated sludge processing, the cohesion
precipitation processing, and etc., and then eachplant monitors the drain water quality.
The emissions standards in concentration, total
release and etc. are regulated by the law, theordinance and/or the agreement, although they are
different among local self-governing bodies. Each
Plant has released the drain with properties under
the restriction value to the public waters by waste
water treatment.
The total nitrogen volume has decreased but COD
value and total phosphorus have slightly increased
compared with the previous year, in fiscal 2006.

SOx emission
1,500 (tons)

1,000

500

408

384

422

417

2000

2001

2002

2003

2004

766

724

767

792

280

410

412

2005

2006

906

921

0
(FY)

NOx emission
1,500 (tons)

1,000

872

Settling tank in activated sludge system

500

COD in effluent discharge
0
2000

2001

2002

2003

2004

2005

2006

COD: Chemical Oxygen Demand; An index of water pollution
which is amount of oxygen required to oxidize an organic
compound in the water with an oxidizing agent.

(FY)
1,500 (tons)

Soot and dust emission
150 (tons)

1,000
100

66
50

500

52

62

56

59

42

504

2000
2001

2002

2003

2004

2005

308

213

240

269

289

2003

2004

2005

2006

476

479

414

353

2003

2004

2005

2006

0

0
2000

392

50

2006

(FY)

2001

2002

(FY)

T
1,500

Soil and groundwatercontamination investigation
MGC investigates the used situation of harmful
substances in production, and also of undergroundwater around the plant.
We had conducted land pollution investigation at theTokyo Techno-Center based on Tokyo prefecture
ordinance. As a result, countermeasures to prevent
pollution have been conducted since August 2007
because a chemical concentration that exceeds
prescribed standard was confirmed.
We continue to carry out self-management toprevent soil and groundwater from contaminationand countermeasures for said prevention on thebasis of the Soil Contamination Countermeasures
Law and /or the ordinance of the local government.

25

MGC RC R 2007

1,000

733
500

640
401

0
2000

2001

2002

(FY)

Total phosphorus in effluent discharge
300 (tons)

200

100

45

47

2000

2001

62

53

65

73

74

2002

2003

2004

2005

2006

0
(FY)

Zero emission of waste
The zero emission in MGC has been defined as the decreasing the amount of final disposal to 0.3% or lessof the amount of waste generation by the promotion of 3Rs. Under this definition, MGC is working on
achievement of zero emission by 2010. 3Rs; Reduce, Reuse and Recycle

Results of waste reduction

Two out of the 8 workplaces continued the zero
emission *of waste, and 1 workplace achieved it in
fiscal 2006.

The amount of waste generation, waste to off-site
and final disposal for landfill has been reduced inthree consecutive years.
The amount of waste generation, waste to off-site
and final disposal for landfill was reduced by 15%,28% and 43%, respectively in fiscal 2006 comparedwith previous fiscal year. The reduction of recycling
amount is due to decrease of cinder and soot by fuelconversion at the Yokkaichi plant.

*) The zero emission of waste : below 0.3%

2005 FY
0.31%
0.12%
0.13%

The Niigata plant
The Mizushima plant
The Naniwa factory

2006 FY
0.24%
0.16%
0.12%

Transition of waste generation, recycling and transfer
Generated amountThe Yokkaichi plant achieved the zero emission
from 2004 to 2005, but the emission of waste ratio
was relatively increased through drastic decrease of
the waste generation by fuel conversion from coal tonatural gas at co-generation facility in 2006.
The Niigata plant achieved zero emission throughthe decrease amount of final disposal for landfill bytreatment of disposal catalyst.

ENVIRONMENTAL PRESERVATION

Zero emission status of waste

Recycle amountTransferred amount

150 (k tons/year)

117.7

120
90

95.1

88.9
57.5

60
30

21.6

91.6

67.6

110.8
94.2

86.4

64.1

20.2

17.4

51.0

45.6

41.5

14.1

14.3

11.0

29.7
7.9

0
2000

2001

2002

2003

2004

2005

2006 (FY)

Transition of final disposal

1,748 tons

1,149 tons

527tons 528 tons 521 tons 516 tons
293 tons

0

200

1

200

2

200

3

200

4

200

5

200

6 (FY)

200

The used equipments that contain PCB are under the strictclose control by us. MGC has already commissioned an
appropriate decomposition treatment of PCB to the Japan
Environmental Safety Corporation (JESCO) Co., Ltd.,and currently, we await a decision of final treatment
schedule.
The used equipments,that contain low
concentration of PCB
is under the strictclose control by us
until the final treatment
procedure is decided.
Stored transformer and capacitor

Results of waste treatment in fiscal 2006
Recycled
amount25,148 tons
(27%)

Reducedamount61,201 tons
(65%)

Waste
generatedamount94,245 tons
(100%)

Onsite treatment

Recycled
amount
4,585 tons
(5%)

Reducedamount3,018 tons
(3%)

Outwardtransferred
amount
7,896 tons
Internal
disposalamount0ton(0%)

Off-site treatment

Final
disposalamount
293 tons(<1%)

MGC RC R 200726

Environmental Communications
MGC thoroughly recognizes that we are the member of a society, and makes an effort to enhance thesociety's confidence to us and to live together with local community through the various communication
activities concerning environment.

Disclosure of information
Environmental report publication
MGC has issued the environmental report to include
all our environmental and safety efforts since 2001
and has issued its English version since 2003, andthen MGC has distributed them to the public for theirunderstanding of our environmental activities. thesereports are also disclosed on the following website.
http://www.mgc.co.jp/eng/csr/index.html
In addition, the Niigata and Kashima plant haveissued and distributed the environmental site reportannually, and aftertime the other plants will also
publish the site report.

Participation in the JRCC's community
dialogue meetings
MGC has been working on Responsible Care
activities concurrently with the Japan Responsible
Care Council (JRCC) inception. The Mizushima
Plant supported the community dialogue meeting inOkayama area on November 16th 2006, as one ofadministrative agents.
At the meeting with the participation from NGOs,
community residents, local government andbusinesses, the plant tour and actively dialogue with
community residents were implemented and themeeting turned out significant.

Previous environmental reports (English version)

The 5th RC community dialogue meeting in Okayama

Participation in exhibition concerning environment

Web site

Site reports

MGC exhibited the methanol fuel cell, the dumping materials
and the environmental chemicals at the booth in the ECO
MAnufacture (ECOMA) 2006 which was held at the PACIFICCONVENTION PLAZA YOKOHAMA from November 29th toDecember 1st, 2006. MGC has been exhibiting our ecoproducts and eco-technologies at this exhibition since its
inception in 2004. The number of visitors became twice asmuch as the first exhibition and this indicates that people takeinterest in environmental problems.

Disclosure on the internet
The Yamakita plant discloses the site information
including its environmental efforts on the web site of
the Kanagawa eco network* since 2004 (only inJapanese).
*:The Kanagawa eco network:
http://www.pref.kanagawa.jp/osirase/iso/98/econet00.html
It is the network sponsored by Kanagawa prefecture on theinternet for the building of a sustainable society among
businesses, organizations, academy, local government and NPO.

27

MGC RC R 2007

ECO MAnufacture 2006

Involvement in local communities
Beautification movements
MGC takes the various beautification movements
such as regular cleaning of roads around site or a
local area.

Participation in community event and Opening the site
MGC promotes the communications with local
community through participating in community
festival, and opening our gyms and ground etc. tothe community resident.
DIALOGUE WITH THE COMMUNITY

Cleaning the road around the Hiratsuka Laboratory

Summer festival
in resident's association
The Yamakita plant

Mizushima port festival
The Mizushima plant

Cleaning the area by the Tokyo Techno-Center employee

The Mizushima plant including retired employees
participated in the cleaning campaign for refreshing
Mizushima Port, which was held by District
Transport Bureau, Maritime Safety Agency,
Okayama Prefecture, Kurashiki-City and businesses
as the event for Marine Day.
Traffic safety campaign
Over the past 20 years, the Yokkaichi plant has
been leading citizen to the traffic safety once amonth in cooperation with neighboring 3 companies
at the school routes, where there is heavy traffic.
At the same time, the Kashima plant has beenchecking the compliance with traffic rules twice a year
such as wearing a seat belt as part of activity by the
traffic safety organizations in the industrial complex.
In addition, the Niigata Research Laboratory
participated in the introduction activity for traffic safety
as the event for traffic safety week twice a year.

Workplace tour
Each workplace has been implementing the plant orlaboratory tour for students.
The Niigata plant has been welcoming the plant tour
over the past 20 years, and the Yamakita plant has
been supporting the on-site one day training for
local junior high school students since 2001.
In addition, the Hiratsuka Research Laboratory has
been supporting the technical expert developmentclass and the on-site training availing during spring
break and summer vacation for school.

Laboratory tour (The Hiratsuka laboratory)

Contribution to society
Victim assistance

Patrol for traffic safety at the Kashima plant

MGC donated for afflicted people by the Niigata
Chuetsuoki earthquake in 2007 through the Niigata
prefecture Community Chest.

MGC RC R 200728

Environmental and Safety Activities
in Affiliates (1)MGC group's fundamental policies
on environment and safety

Environmental and safety
inspection for foreign affiliate[Environmental and safety targets]
Zero accident, Zero occupational injury andEnvironmental preservation[Fundamental policies]• Ensuring of health and safety in our operations• Securing security management of facilities andincreasing self-maintenance technologies and skills• Reducing environmental loads in business activities• Ensuring safety in use, handling and disposal of products• Developing environment-friendly andsafety-conscious products and technologies• Ensuring environmental preservation and safety inthe logistics of obtaining raw materials and storingand delivering our products• Enhancing of society's confidence to us

All foreign affiliates do not participate in theconference, however, MGC also inspects foreign
affiliates to support their environmental and safety
activity in the similar way to domestic affiliates.
MGC inspected both MGC Pure Chemicals America,
Inc. and MGC Advanced Polymer, Inc in the North
America in 2006.

MGC group's environmental andsafety conference

The following tables show the environmental loads
by MGC and 13 affiliates in fiscal 2005 and 2006.
The number of production sites in MGC group
Fiscal 2005
(MGC and 12 affiliates)
MGC

8 production sites

Fiscal 2006
(MGC and 13 affiliates)
MGC

8 production sites

MGC group has been working on various activities
through the environmental and safety informationexchange meeting which is now consisted of MGC
and chemicals working 14 affiliates and waslaunched in 2003.
This meeting name was changed to the MGC
group's environmental and safety conference in2006, because the information exchange wasrecognized to come to stay and the activity basedon PDCA cycle (planning - doing - auditing information exchange) has been making progress
and it has been beyond the information exchange, in
addition, the conference developed the rule ofconference.
The main activities in the conference are as follows.

Affiliates 30 production sites Affiliates 32 production sites(1) Meeting for environment and safety of MGC group

Atmospheric emissions

The meeting is held twice a year for the reporting orreviewing the annual target, result of activities, status of
accident and occupational injury and etc. of MGC andeach affiliate.

NPUT

Unit

FY 2005 FY 2006

Energy consumption(as crud oil)

10 kl

668

668

Water consumption

km3

45,10347,845

Tap water%

3

2

Groundwater

%

4

4

Industrial water

%

58

56

River water

%

33

35

Others%2

3

OUTPUTUnit

3

FY 2005 FY 2006

GHG emission (as CO2)

k tons1,856

SOx emission

tons

470

463

NOx emission

tons

1,081

1,056

Soot and dust emissions

tons

59

63

Emission of PRTR substances

tons

1,397

1,308

Total drainage volume

km3

38,416

39,514COD emission

tons

321

343

Total nitrogen emission

tons

449

389

Total phosphorus emission

tons

75

77

Release of PRTR substances

tons

36

33

Release to soil

tons

0

0

(3) Liaison meeting for coordinator

Generation of waste

tons

The executive office inconference visits an affiliate
once every year andexchanges the environmental
and safety information.

Transfer to off-site

tons

40,11534,671

Final disposal waste

tons

1,271

1,232

Transfer of PRTR substances

tons

841

848

(2) Environmental and safety
inspection
Severalaffiliates
areinspected for environment andsafety every year by Director
in charge of environment andsafety in MGC.
MGC inspected the Toyo
Kagaku Co., Ltd, the Fudow
Co., Ltd and JSP Corporationin 2006.

29

Environmental loads by MGC group

MGC RC R 2007

1,868

Release to water area

Auditing for environmentand safety (JSP)

Liaison meeting for
coordinator (Toyo Kagaku)

Manufacture and sale of purified isophthalic acid
1-3, Tokyo Sakurada Bldg., Nishishinbashi 1-chome, Minato-ku, Tokyo 105-0003, Japan

Phone:+81-3-3503-4811

http://www.agic.co.jp/e_agic/index.html

A.G. International Chemical Company Inc.
AGIC achieved zero accident, zero occupational injury in 2006. In
production sector, we revised the manual of non-routine work, whereby
employees assessed themselves through skill assessment table. In addition,
we promote energy reduction through the increase of low pressure steam
generation by reactor heat removal. In distribution sector, RC activities arestrengthened through regular distribution accident training.

Manufacture and sale of blowing agents
595-3, Daido Seimei co. Kyoto Bldg., Sanjio-sagaru Karasuma-dori, Manjuya-cho, Nakagyo-ku, Kyoto-City, Kyoto 604-8161, Japan Phone:+81-75-256-5131 http://www.eiwa-chem.co.jp/

ENVIRONMENTAL AND SAFETY IN AFFILIATES

Eiwa Chemical Industrial Co., Ltd
Our manufacture sites are located at Chita peninsula, Aichi prefecture facing
beautiful sea, and at Ujitawara, Kyoto prefecture surrounded by tea garden
and clean air. We ensured environmental load reduction based on
environmental preservation and safety as keywords in 2006, and we worked
on 5S activity and risk prediction activity. Hereafter, we will aim at a better
environment and safety as only the domestic comprehensive blowing agent
manufacturer in Japan.
Manufacture of PC sheet and film
4-2242, Mikajima, Tokorozawa-City, Saitama 359-1164, Japan

Phone:+81-4-2948-2151

http://www.mgcfs.jp/top.html

MGC Filsheet Co., Ltd.
The Tokorozawa factory is located at Musashino in the bosom of nature. And
the Osaka factory is located near the Kanzaki River, branch of the Yodo
River.
Since the institution's formation at each place, we have been making efforts
to ensure environment and to live together with local community.
In our beautiful environment, I hope we will eco-friendly expand ourbusiness by the safety first together with local community.
Manufacture of copper clad laminates for printed circuit board
9-41, Aza-Sugiyama Oaza-Yone, Nishigo-mura, Nishishirakawa-gun, Fukushima 961-8031, Japan

Phone:+81-248-25-5000

Electrotechno Co., Ltd
We have continued the 5S activity for 10 years, moreover we promoterevised Hiyari-Hatto (near miss) activity in fiscal 2006.
We recognize that raising not only the technical but also the field capability,
which is basis of all activities such as safety, environment and quality, to ahigher level is most important, and hereafter we will continue both 5S and
Hiyari-Hatto activities.

Manufacture and sale of foamed plastics
3-4-2, Shin-Nisseki Bldg., Marunouchi, Chiyoda-ku, Tokyo 100-0005, Japan

Phone :+81-3-6212-6300

http://www.co-jsp.co.jp/jspi/jsp/index.html

JSP Corporation
We have focused our activities on the reduction of disposal amount of waste
plastic that accounts for 90% of industrial waste (especially, reduction of theamount of final disposal for landfill) and the amount of GHG emission.
As a result, the amount of final disposal for landfill was reduced by one thirdof the previous year, and the amount of GHG emission was reduced to 91%
compared with last year. These performances highly surpassed our targets.

MGC RC R 200730

Environmental and Safety Activities
in Affiliates (2)Manufacture and sale of chemical products and electronic parts
Kayaba-cho Nakano Bldg., 1-22-15, Shinkawa, Chuo-ku, Tokyo 104-0033, Japan

Phone:+81-3-3552-7611

http://www.jfine.co.jp/eng/index.html

JAPAN FINECHEM Co., Inc.
As part of safety activity, we have worked to promote both Zero accident andZero occupational injury, safety and stable operation as our most importantbusiness objectives in response to accidents at the Niigata and Sakaide
plants. As part of environmental activity, we have worked to ensure theenvironmental load reduction through waste reduction and promotion ofenergy conservation by reviewing the manufacturing process and optimizing
the facility management.
Manufacture of hydrogen peroxide148-58, Yufutsu, Tomakomai-city, Hokkaido 059-1372, Japan

Phone:+81-144-55-7337

http://www.sskc.co.jp/

SHIN SANSO KAGAKU Co.
We, SHIN SANSO KAGAKU CO., have joined the MGC group's
environmental and safety conference since November 2006. Furthermore,as only the Hydrogen peroxide manufacturer in Hokkaido, we stated to get
the ISO 14001 for enhancement of the ensuring environment and safety in
our fundamental policy in 2007. In addition, we have worked to develop
regional activities such as zero emission network and cleanup activity.

Manufacture of injection molding processed products
51-497, Aza-Dodo, Oaza-Morowa, Togo-cho, Aichi-gun, Aichi 470-0151, Japan

Phone :+81-561-39-0531

http://www.toyo-kagaku.co.jp/

Toyo Kagaku Co., Ltd
In Aichi prefecture, the damage of Tokai earthquake and Tonankai
earthquake is predicted. In 2006, we already introduced the Ai-System toreceive the earthquake alarm for evacuation before the earthquake reaches.
We also hold an evacuation drill for all employees to be able to escape in 60
seconds. On the other hand, 7 tons per month waste for fuel could be
converted to raw material by recycling in 2006.

Manufacture and sale of printed circuit boads
2-1236, Kamiike-cho, Toyota-City, Aichi 471-0804, Japan

Phone:+81-565-88-3718

http://www.jci-jp.com/

Japan Circuit Industrial Co., Ltd.
Following the certificated ISO14001 and the establishment of environmentand safety department in 2006, we have worked to ensure theenvironmental load reduction focus on the promotion of final disposal waste
reduction. As part of safety aspect, in order to achieve the zero accident andzero occupational injury, we certainly work on safety and health risk
assessment in case of introducing or modifying equipment.

31

MGC RC R 2007

Manufacture and sale of gas purifiers and surface heater
Tokyo Sakurada Bldg., 1-1-3, Nishi-Shinbashi, Minato-ku, Tokyo 105-0003, Japan

Phone:+81-3-3506-8801

http://www.japan-pionics.co.jp/en/index.html

Japan Pionics Co., Ltd
In order to achieve zero accident and zero occupational injury, we havebeen working on safety activities such as "risk assessment, risk predictionand Hiyari-Hatto" based on employees' safety awareness. In addition, as aresult of implementing environment consciousness to all employees by
setting our 4 targets of environment, our environmental activities are firmly
established and some remarkable results are obtained.

Manufacture and sale of unsaturated polyester
4-13, Kioi-cho, Chiyoda-ku, Tokyo 102-0094, Japan

Phone:+81-3-3503-3981

http://www.u-pica.co.jp

ENVIRONMENTAL AND SAFETY IN AFFILIATESJapan U-PiCA Co., Ltd
We had 2 occupational injuries not accompanied by lost working time in2006. From the fact that we handle a lot of dangerous chemicals comparedwith other manufacturer, we aim at zero accident and zero occupational
injury by conducting risk prediction and 5S activities as well as risk
extraction at each section in 2007. At the same time, we will continue ourenvironmental preservation activities.

Manufacture and sale of resins and molded components
No.7th Daigo Bldg., 7-20-5, Nishi-Kamata, Ota-ku, Tokyo 144-0051, Japan

Phone:+81-3-3737-0611

http://www.fudow.co.jp/e-index.html

Fudow Co., Ltd
Based on the improvement of employees' occupational safety and health,and reduction of environmental loads as our fundamental policies, we havebeen developing our support activities and management through the whole
company organization named environment, safety meeting by taking up the
problems of other plants and related companies as our practicable themes.
At the second year of our activities, we have a good feeling that our staff incharge of environment and safety activity has grown up with high awareness.
Manufacture and sale of purified terephthalic acid
2-3-1, Mizushima-nakadori, Kurashiki-City, Okayama 712-8072, Japan

Phone:+81-86-446-4570

Mizushima Aroma Co., Ltd.
In the midst of an economic boom, the increase of production opportunity in
our plant has been attempted, and investment projects have also increased.
On the other hand, the facilities are getting older and older. Ensuring
preventive maintenance of the old facilities to eliminate trouble andaccidents from occurring has become a big requirement for business
continuation and development. We will make every effort to ensure thesystem for safety and stable operation.
Manufacture of Mass molding laminates, Prosess., Development
446-3, Hachimanbara 3-chome, Yonezawa-shi, Yamagata 992-1128, Japan

Phone:+81-238-28-1345

Yonezawa DIA Electronics Co., Ltd.
Our factory is located nearby Mogami river upstream, and in region richly
endowed with nature, and the plants produce the Mass molding laminates,
Lubricated entry Sheet etc. We became a member of the MGC group's
environmental and safety conference since April 2006. As a result, we haveworked on the environmental and safety activities more than before.
Furthermore we aim at the improvement of the quality of our activities by thecertified ISO 14001 acquisition.

MGC RC R 200732

Responsible Care Activities at Each Plant① The Niigata plant

Address: 3500, Matsuhama-cho, Kita-ku, Niigata-City, Niigata 950-3121, Japan
Phone: +81-25-258-3474

Comments by plant manager

Plant manager

Yoshihiro Yamane

The Niigata plant is located inbeautiful and water-rich environment
as represented by the Japan Sea on thenorth side and the Agano River on thewest side. In this environment, wehave determined the environmental
preservation and the ensuring thesafety as the base for our business,and have set the target of reduction ofenvironmental loads, the zero accident
and zero occupational injury andsafety-security-stability operation.
We are together working on the sounddevelopment of us for aiming topromising plant and gaining trust ofcommunity by securing of compliance.

② The Mizushima plant

Shigenobu Ono

We have worked positively on theenvironmental load reduction inaccordance with the introduction of
ISO 14001. In the fiscal 2007, forfurther environmental load reduction,
we will promote fuel conversion
project to natural gas, project of
installing energy-saving boiler andturbine as well as improved facility
to reduce released xylenes, andtechnology
developmentforstabilization of fluorine in waste
water.

③ The Kashima plant

Tsukasa Sawai

33

MGC RC R 2007

GHG emissions (k tons)

552

NOx emissions (tons)

406

SOx emissions (tons)

0

Drainage volume (km3)

9,274

COD emissions (tons)

59

Main products● Ammonia● Formalin● Methyl methacrylate● Methaxylylene diamine● Ubidecarenone(Co-enzyme Q10 )Transfer to off-site of waste (tons) 3,060
Final disposal waste (tons)

141

Substances listed by PRTR law

Release (tons)

Transfer (tons)

Ethylene oxide

1.50Methyl methacrylate

1.1

13.0

Vanadium pentoxide

05.6

Water consumption (km3)

12,615

GHG emissions (k tons)693

NOx emissions (tons)

486

SOx emissions (tons)

405

Drainage volume (km3)

11,228COD emissions (tons)

165

Transfer to off-site of waste (tons) 2,273

Main products● Xylenes● Aromatic aldehydes● Trimellitic anhydride● Pyromelltic anhydride● Polyols

Final disposal waste (tons)

48

Substances listed by PRTR law

Release (tons)

Transfer (tons)

Xylenes
Hydrogen fluoride andits water soluble salt

65.0

37.0

18.0

0

Ethylbenzene

3.80Address: 35, Higashi Wada, Kamisu-City, Ibaraki 314-0102, Japan
Phone: +81-299-96-3121

Comments by plant manager

Plant manager

13,852

Address: 3-10, Mizushima Kaigandori, Kurashiki-City, Okayama 712-8525, Japan
Phone: +81-86-446-3822

Comments by plant manager

Plant manager

Water consumption (km3)

From the view-point "to earn andmaintain society's trust" as the basisof company survival, we publish anddistribute our environmental andsafety site report as part of our
dialogue with the community.
Moreover, we continue to improve
our activities of disaster prevention,
environmental preservation andchemicals safety. Through these RC
activities, hereafter we firmly supply
useful polycarbonate and hydrogen
peroxide to the society.

Water consumption (km3)

1,947

GHG emissions (k tons)

190

NOx emissions (tons)

7

SOx emissions (tons)

0

Drainage volume (km3)

1,795

COD emissions (tons)

14

Transfer to off-site of waste (tons)

562

Final disposal waste (tons)

11

Substances listed by PRTR law

Release (tons)

Dichloromethane

Main products● Hydrogen peroxide● Polycarbonate

164.0

Transfer (tons)
2.0

④ The Yokkaichi plant

Address: 2-4-16, Hinagahigashi, Yokkaichi-City, Mie 510-0886, Japan
Phone: +81-593-45-8800

Comments by plant manager

Yuh Miyauchi

GHG emissions (k tons)

97

NOx emissions (tons)

9

SOx emissions (tons)

3

Drainage volume (km3)

5,858

COD emissions (tons)

42

Transfer to off-site of waste (tons)

562

Final disposal waste (tons)

6

Substances listed by PRTR law

Main products● Hydrogen peroxide● Chemicals forelectronics industries● Polyacetal● Monomer for plastic lens
● Sodium percarbonate

Release (tons)

Transfer (tons)

Hydrazine

1.60Formaldehyde

2.8

9.3

Address: 950, Kishi, Yamakita-machi, Ashigarakami-gun, Kanagawa 258-0112, Japan
Phone: +81-465-75-1111⑤ The Yamakita plantComments by plant manager
The Yamakita plant has been in
operation under the favorable
environment such as close to the
Sakawa River, Fuji-Hakone andTanzawa cordillera. In order topreserve this environment, we haveto save resources and energy
completely without presuming onabundant water resource. In addition,
we work on strengthening further
mutual trust with local residents byintroducing MGC's efforts to RC

Plant manager

7,427

ENVIRONMENTAL AND SAFETY IN EACH PLANT

Corporate officer
Plant manager

The Yokkaichi plant has alreadyachieves the 6% reduction of GHG
emission in comparison with 1990,
which is specified by the Kyoto
Protocol, and is almost certain toachieve the numerical target onenergy consumption rate and GHG
emission index in comparison with
1990.
From now on, we will work on thebusiness activity, by making efforts
to reduce environmental load, which
will result in the affable attitude toearth and also will endear us tocommunity residence.

Water consumption (km3)

Water consumption (km3)

6,381

GHG emissions (k tons)

32

NOx emissions (tons)

9

Main products● Ultra pure hydrogen
peroxide

SOx emissions (tons)

4

Drainage volume (km3)

5,756

COD emissions (tons)

8● Chemical polishing
agentsTransfer to off-site of waste (tons)

470● Acetyl hydroperoxide

Final disposal waste (tons)

11

Substances listed by PRTR law
Hydrogen fluoride andits water soluble salt

Release (tons)

Transfer (tons)

00.7● Persulfates

Location of other workplaces⑥ The Tokyo research laboratory① ⑦

Address: 1-1, Niijuku 6-chome, Katsushika-ku, Tokyo 125-0051⑦ The Niigata research laboratory

⑥
③
②

⑨

⑪

⑤⑧

⑩
④

Address: 182, Tayuhama Shinwari, Kita-ku, Niigata-City, Niigata 950-3112⑧ The Hiratsuka research laboratory
Address: 6-2, Higashiyawata 5-chome, Hiratsuka-City, Kanagawa 254-0016⑨ The Tokyo techno-center
Address: 1-1, Niijuku 6-chome, Katsushika-ku, Tokyo 125-8601⑩ The Naniwa factory
Address: 3-27, Funamachi 1-chome, Taisho-ku, Osaka -City, Osaka 551-0022⑪ The Saga factory
Address: 681-45, Kamikumakawa, Fuji-cho, Saga-City, Saga 840-0512

MGC RC R 2007

34

MITSUBISHI GAS CHEMICAL COMPANY, INC.
Editing division and Contact for MGC Responsible Care further information
Environment and Safety Division
MITSUBISHI GAS CHEMICAL COMPANY, INC.
Mitsubishi Building, 5-2, Marunouchi 2-chome, Chiyoda-ku, Tokyo 100-8324, Japan
Phone : +81-3-3283-4828 Facsimile : +81-3-3283-4840
URL : http://www.mgc.co.jp/eng/index.html (English)
http://www.mgc.co.jp (Japanese)