Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Welcome to your CDP Climate Change
Questionnaire 2023

C0. Introduction
C0.1(C0.1) Give a general description and introduction to your organization.
Benesse is about enjoying the process of moving forward step by step, with “resolve,” toward
the realization of your dreams and aspirations. Benesse empowers people to solve issues forthemselves and to enjoy life to the full at every stage by offering them the tools and support
they need to create “well-being.” We aim to be a globally respected corporate group that is
supported by and indispensable to customers, communities, and society.
United under the above Corporate Philosophy, we make strenuous efforts as members of aleading company in the fields of education and nursing care to deliver “services that enrichpeople’s lives” and embody an “indispensable group of companies” that customers,
communities, and society as a whole can support. We support the well-being of all people
through our operations in the following business domains:i) Pregnancy and child-rearing support business: (a) Magazines “Tamago Club” and “Hiyoko
Club”, (b) Web services related to pregnancy, childbirth and childcare, (c) Online shopping, (d)“Tamahiyo Photo Studio”, (e) Various App services and events, etc.
ii) Preschool education business: (a) Correspondence course “Kodomo Challenge”, (b)Members-only childcare information site “Shimajiro Club”, (c) Child-rearing information site
“Kosodate Info”, (d) Correspondence course in English “Kodomo Challenge English”, (e)English classes “BE Studio”, etc.
iii) Elementary school education business: (a) Correspondence courses “Shinken Zemi
Elementary School Courses”, (b) Classroom tutorial “Shinken Zemi Tutorial Class”, (c) Online
learning materials in English “Challenge English”, (d) English classes “BE Studio”, (e) Japaneseclasses “Benesse Grim School”, (f) After-school childcare centers “Benesse After-School Club”,(g) Online training "Challenge School", etc.
iv) Junior high school education business: (a) Correspondence courses “Shinken Zemi JuniorHigh School Courses” and “Shinken Zemi Top-level Private Integrated Junior and Senior HighSchool Courses”, (b) Online learning for top-level high school entrance exams “EVERES”, (c)Classroom tutorials “Shinken Zemi Tutorial Class”, (d) Online learning materials in English“Challenge English”, (e) Online training "Challenge School", etc.

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

v) High school education business: (a) Correspondence courses “Shinken Zemi High School
Courses” and “Shinken Zemi Top-level Private Integrated Junior and Senior High School Courses”,(b)Support for studying abroad “Benesse Study Abroad Center”, (c) Cram school for top-leveloverseas
universities “Route H”, (d) High-level online tutoring “EVERES”, etc.
vi) Education business for working adults and schools: (a) Mock examinations “Shinken Moshi”, (b)English certificate examinations “GTEC for STUDENTS” and “GTEC”, (c) Certificate examinations“Literas Logical Language Proficiency Examination” and “P Plus Digital Information Utilization
Examination”, (d) Teaching aids for schools “Benesse Dictionary”, “Benesse Elementary School Drill”,“Study Support”, “Academic and Career Path Map”, “ICT Support”, “Tankyu Navi” and “AI-based
Speaking Skills Assessment Support Software Speaking Quest”, (e) Information site for academic andcareer path support “Benesse Manavision”, (f) ICT-based cloud services to support teachers andschools “Classi” and “Tablet-based Learning Platform Mirai Seed”, (g) ICT learning tailored todevelopmental stage “Marugu Land for School”, (h) On-line learning services “Udemy” and “Udemy
Business”, etc.
vii) Lifestyle- and pet-related support business: (a) Direct mail magazines “Dog’s Heart” and “Cat’s
Heart”, (b) Lifestyle information magazine “THANK YOU!”, (c) Online lifestyle information forum“Kuchikomi THANK YOU!”, etc.

C0.2
(C0.2) State the start and end date of the year for which you are reporting data andindicate whether you will be providing emissions data for past reporting years.
Reporting year
Start date
April 1, 2021

End date
March 31, 2022

Indicate if you are providing emissions data for past reporting years
Yes

Select the number of past reporting years you will be providing Scope 1
emissions data for
1 year

Select the number of past reporting years you will be providing Scope 2
emissions data for
1 year

Select the number of past reporting years you will be providing Scope 3
emissions data for
1 year

C0.3(C0.3) Select the countries/areas in which you operate.
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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Japan
Taiwan, China

C0.4(C0.4) Select the currency used for all financial information disclosed throughout yourresponse.
JPY

C0.5(C0.5) Select the option that describes the reporting boundary for which climaterelated impacts on your business are being reported. Note that this option shouldalign with your chosen approach for consolidating your GHG inventory.
Operational control

C0.8(C0.8) Does your organization have an ISIN code or another unique identifier (e.g.,
Ticker, CUSIP, etc.)?
Indicate whether you are able to provide a unique identifier foryour organization

Provide your unique
identifier

Yes, an ISIN code

JP3835620000

C1. GovernanceC1.1(C1.1) Is there board-level oversight of climate-related issues within yourorganization?
Yes

C1.1a
(C1.1a) Identify the position(s) (do not include any names) of the individual(s) on theboard with responsibility for climate-related issues.
Position ofindividual orcommittee

Responsibilities for climate-related issues

Chief Executive Benesse Holdings Representative Director and President, CEO, is currently a
Officer (CEO)member of the Sustainability and ESG Promotion Committee, which has oversightof Benesse’s environmental protection and climate change initiatives.
Environmental protection is an important priority around the world, and we believethat corporations have a duty to play their part in this movement by actively
promoting environmental protection efforts. To put its Corporate Philosophy
3Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

“Benesse = Well-Being” into practice, the Benesse Group has positioned“protection of the environment” as a key management priority and works
strenuously on environmental protection initiatives, reflecting the fact that many of
its business domains center around education. It is very important for the Benesse
Group, a leading company in the education business, to “pass on a rich global
environment to the children of the future”, since children are our main customers.
The CEO takes responsibility for the advancement of environmental protection
initiatives and overall sustainability management and decided to publicly endorse
the TCFD framework in July 2019.
In his role as leader, the CEO also made a decision in December 2021 to revise
upward our Scope 1 and 2 CO2 emissions reduction targets in line with lowering
the cap for global temperature rise from well below 2°C to 1.5°C (by setting Scope
1 and 2 emission targets to 100% reduction by 2041). This target was approved
after it was resubmitted to the SBTi as an upward revision of our goal. All suchdecisions are CEO decisions.

C1.1b(C1.1b) Provide further details on the board’s oversight of climate-related issues.
Frequency with Governance mechanisms into
which climate- which climate-related issues are
related issues integrated
are ascheduled
agenda item

Please explain

Scheduled –some meetings

Reviewing and Guiding Strategy: Benesse
supports the TCFD framework together withthe goals of the Paris Agreement on climatechange. We positioned climate change as aserious challenge to be addressed andestablished the Sustainability Promotion
Committee to oversee environmental
protection and climate change initiatives with
the Representative Director and President,
CEO bearing primary responsibility in theseareas. Sustainability Promotion Committee
meetings are held three times a year; inaddition, the CEO submits a report at theend of the fiscal year, and there isconsultation, approval, and reporting at
management meetings as necessary.
The members of the Sustainability
Promotion Committee are all full-time
Directors, making Board Meetings a forum toreview strategies for confronting future

Reviewing and guiding annual
budgets
Oversight of major capital
expenditures
Oversight ofacquisitions/mergers/divestitures
Screening of innovation/R&Dpriorities
Reviewing and guiding strategy
Supervision and guidance intransition planning
Monitoring of transition plan
execution
Supervision and guidance inscenario analysis
Oversight of corporate goal setting
Monitoring progress toward
corporate goals

4Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

environmental challenges.
Concrete steps are taken under the directionof the Representative Director andPresident, CEO and are based on the resultsof the review process, which are drafted by
the Environment Promotion Secretariat. Inline with TCFD recommendations, Benesse
established a mechanism to identify
environmental changes happening in theenvirons of our organization, followed byclimate-related scenario analysis, a SWOT
(Strengths, Weaknesses, Opportunities andThreats) analysis, and a materiality analysis
to get a grasp of our risks and opportunities.
Managers will identify the risks andopportunities of their respective divisions,and those seen as important will be reflectedin our business strategy. Our greenhousegas emissions reduction targets for eachyear as well as for 2030 and 2050 wererevised in line with the SBTi Certification
guidelines under the direction of theRepresentative Director and President,
CEO. The targets have been certified by the
SBTi. In addition, in the reporting year, adecision was made to raise the 2030 target
for reduction of Scope 1 and 2 emissions to
be consistent with a target of capping global
warming at 1.5°C, and this target was
resubmitted to the SBTi for approval. In
conjunction with this decision, a goal of
100% reduction by 2041 was also set.
Progress in reducing CO2 emissions isreviewed each year and reported to theCEO, who then gives guidance on the policy
for the following fiscal year (FY). As one
facet of our internal communication
measures, we conduct an in-house survey
regarding the materiality of environmental
activities Benesse should undertake to whichalmost all employees give their feedback(Benesse Holdings, Inc. CDP Climate
Change Questionnaire 2022 7/25/2022 5).
We also conduct a survey of different
stakeholders as an external communication5

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

measure. The results are analysed to createa full picture of the materiality of potential
measures and are reported to the CEO forreview so that they can be reflected byrevising our strategies, if necessary.

C1.1d(C1.1d) Does your organization have at least one board member with competence on
climate-related issues?
Board member(s)have competence
on climate-related
issuesRow Yes1

Criteria used to assess competence of board member(s) on
climate-related issues

Benesse supports the TCFD framework together with the goals of theParis Agreement on climate change. Climate change is positioned as aserious challenge to be addressed and the Sustainability Promotion
Committee was established to oversee environmental protection andclimate change initiatives with the Representative Director andPresident, CEO bearing the primary responsibility in these areas. The
Sustainability Promotion Committee meetings are held three times a
year; in addition, the CEO submits a report at the end of the fiscal year,
and there is consultation, approval, and reporting at management
meetings as necessary.
The members of the Sustainability Promotion Committee are all fulltime Directors, making Board Meetings a forum to review strategies forconfronting future environmental challenges.
Concrete steps are taken under the direction of the Representative
Director and President, CEO and based on the results of the review
process, which are drafted by the Environment Promotion Secretariat.
In line with TCFD recommendations, Benesse established amechanism to identify environmental changes happening in theenvirons of our organization, followed by a climate-related scenario
analysis, a SWOT (Strengths, Weaknesses, Opportunities and Threats)
analysis, and a materiality analysis to get a grasp of our risks andopportunities. Managers will identify the risks and opportunities of theirrespective divisions, and those seen as important will be reflected in ourbusiness strategy. Our greenhouse gas emissions reduction targets foreach year as well as for 2030 and 2050 were revised in line with the
SBTi Certification guidelines under the direction of the Representative
Director and President, CEO. The targets have been certified by the
SBTi. In addition, in the reporting year, a decision was made to raisethe 2030 target for reduction of Scope 1 and 2 emissions to beconsistent with a target of capping global warming at 1.5°C, and this6

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

target was resubmitted to the SBTi for approval. In conjunction with thisdecision, a goal of 100% reduction by 2041 was also set.

C1.2
(C1.2) Provide the highest management-level position(s) or committee(s) withresponsibility for climate-related issues.

Position or committee
Chief Executive Officer (CEO)Climate-related responsibilities of this position
Management of annual budgets for climate mitigation activities
Capital expenditure/operational expenditure related to low carbon products/services(including R&D)
Overseeing climate-related acquisitions/mergers/divestments
Preparation of climate transition plans
Implementation of climate transition plans
Incorporation of climate-related issues into strategies
Conducting climate-related scenario analyses
Setting climate-related corporate objectives
Monitoring progress towards climate-related corporate objectives

Coverage of responsibilities

Reporting line
CEO reporting line

Frequency of reporting to the board on climate-related issues via thisreporting line
More frequently than quarterly

Please explain
Benesse supports the TCFD framework together with the goals of the Paris
Agreement on climate change. Climate change is positioned as a serious challenge
to be addressed and the Sustainability Promotion Committee was established tooversee environmental protection and climate change initiatives with the
Representative Director and President, CEO bearing the primary responsibility inthese areas. The Sustainability Promotion Committee meetings are held three times
a year; in addition the CEO submits a report at the end of the fiscal year, and there
is consultation, approval, and reporting at management meetings as necessary.
The members of the Sustainability Promotion Committee are all full-time Directors,
making the Board Meeting a forum to review the strategy for confronting futureenvironmental challenges.
Concrete steps are taken under the direction of the Representative Director and7Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

President, CEO and based on the results of the review process, which are draftedby the Environment Promotion Secretariat. In line with TCFD recommendations,
Benesse established a mechanism to identify environmental changes happening in
the environs of our organization, followed by a climate-related scenario analysis, a
SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis, and amateriality analysis to get a grasp of the risks and opportunities. Managers will
identify risks and opportunities of their respective divisions, and those seen as
important are reflected in our business strategy. Our greenhouse gas emissions
reduction targets for each year as well as for 2030 and 2050 were revised in linewith the SBTi Certification guidelines under the direction of the Representative
Director and President, CEO. The targets have been certified by the SBTi. In
addition, in the reporting year, a decision was made to raise the 2030 target for
Scope 1 and 2 emissions to be consistent with a target of capping global warming at
1.5°C, and this target was resubmitted to the SBTi for approval. In conjunction withthis decision, a goal of 100% reduction by 2041 was also set.

C1.3
(C1.3) Do you provide incentives for the management of climate-related issues,
including the attainment of targets?

Row
1

Provide incentives for the management ofclimate-related issues

Comment

Yes

The rewards for each target are listed
under C1.3a.

C1.3a(C1.3a) Provide further details on the incentives provided for the management ofclimate-related issues (do not include the names of individuals).

Entitled to incentive
Chief Executive Officer (CEO)Type of incentive
Monetary reward

Incentive(s)Bonus - % of salary

Performance indicator(s)Approval of the Climate Transition Plan by the Board of Directors
KPIs (Key Performance Indicators) for progress of climate transition plan
Progress towards climate-related targets
Progress towards climate-related targets
8Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Total reduction

Incentive plan(s) this incentive is linked to
Short-term incentive plan

Further details of incentive(s)・Time line for performance indicators⇒Yearly assessment
・Quantitative information on incentives and performance indicators⇒(i) Continued inclusion in FTSE and MSCI indexes (annually), including evaluation of
the setting of targets, progress and implementation of measures to address climatechange-related issues.
(ii) Active involvement in the Global Compact CoP program, including assessment of thesetting of targets, progress and implementation of measures to address climate changerelated issues (e.g., continued endorsement and continued improvement of CoP-related
endeavors).
(iii) Continued holding of ESG/sustainability briefings (at least once a year), including
assessment of the setting of targets, progress and implementation of measures toaddress climate change-related issues.
・Regional, sectoral and operationally specific content⇒Overall performance and progress in Japan and Taiwan (China)
・Details of how incentives are linked to incentive plans⇒The CEO is ultimately responsible for Benesse’s environmental protection andclimate change initiatives, and our policy, governance structure, risk management,
creation of opportunities and setting of indicators and targets are all in his area of
responsibility. Progress in achieving these goals is reflected in the CEO's performancelinked remuneration. Specifically, (i) continued inclusion in FTSE and MSCI indexes, (ii)
active involvement in the Global Compact CoP program, and (iii) continued holding of
ESG/sustainability briefings, including evaluation of the setting of targets, progress andimplementation of measures to address climate change-related issues, have an impact
of 3% on his total compensation.

Explain how this incentive contributes to the implementation of yourorganization’s climate commitments and/or climate transition plan
We were instructed to make an upward revision to our Scope 1 and 2 emission
reduction targets, which had been set following the agreement on the 2°C global
warming cap target of the Paris Agreement at COP21; after the target was revised
upwards in line with a goal of global warming Well-Below 2°C, a decision was taken tofurther increase it in line with a goal of capping global warming at 1.5°C.
Revised targets for Scope 1 and 2 emissions: 3.02% annually, 36.2% in 2030 and 100%in 2050 (carbon neutral), compared to the base year 2018.
Scope 3 emissions: 14.8% in 2030, 39.4% in 2050
(SBTi certified)
In December 2021, our target was revised to a 52.8% reduction in Scope 1 and 2
emissions in 2030 and 100% reduction in 2041 (carbon neutral) at the CEO's discretion,9

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

in line with the goal of capping global warming at 1.5°C for the same base year, and the2030 target was resubmitted to the SBTi and was approved.
The CEO is ultimately responsible for Benesse’s environmental protection and climatechange initiatives, and our policy, governance structure, risk management, creation ofopportunities and setting of indicators and targets and management of progress are allareas of responsibility of the CEO. Progress in achieving this is reflected in the CEO's
remuneration. Therefore, (i) continued inclusion in FTSE and MSCI indexes, (ii) active
involvement in the Global Compact CoP program, and (iii) continued holding of
ESG/sustainability briefings, including evaluation of the setting of targets, progress andimplementation of measures to address climate change-related issues, will have an
impact of 3% on his total remuneration.

Entitled to incentive
All employeesType of incentive
Monetary reward

Incentive(s)Other, please specify
A cash voucher of JPY 5,000 is offered to all entrants. For the grand prize, anadditional cash voucher of JPY 5,000 is offered.

Performance indicator(s)Implementation of employee awareness campaign and training program on climaterelated issues

Incentive plan(s) this incentive is linked to
Short-Term Incentive Plan

Further details of incentive(s)All applicants were offered a cash voucher worth 5,000 JPY for the single year in which
they applied, and the winner of the Excellence Award was offered a further 5,000 JPY
cash voucher; the award was announced on the company intranet.

Explain how this incentive contributes to the implementation of yourorganization’s climate commitments and/or climate transition plan
For Employees and Their Children
We host the “My Environment Contest” and offer monetary reward to the winners as anincentive. We have worked on raising awareness of CO 2 emissions reduction byannouncing the winning posters internally. There were 11 digital contest entrants in
FY2021 (the fiscal year ending March, 2022). Outstanding works were posted on thecompany’s intranet to advertise the company’s climate commitments and to attract
interest for the following year.

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C2. Risks and opportunities
C2.1(C2.1) Does your organization have a process for identifying, assessing, andresponding to climate-related risks and opportunities?
Yes

C2.1a
(C2.1a) How does your organization define short-, medium- and long-term time
horizons?
From(years)To (years)

Comment

Short-term 0

1

Set each year

Mediumterm

1

9

Set as target for 2030
* Scope 1, 2 and 3 emission targts are all SBTi certified

Long-term 929

Set as targets for 2041 and 2050 (100% reduction in 2041
due to the increase in Scope 1 and 2 emission targets in linewith a goal of capping global waming to 1.5°C）*Scope 1, 2 and 3 emission targets are all SBTi certified

C2.1b(C2.1b) How does your organization define substantive financial or strategic impact
on your business?
Financial impacts for the Benesse Group are classified into three types: major impacts (100 million
JPY or more), medium impacts (more than 10 million JPY but less than 100 million JPY), and minor
impacts (less than 10 million JPY). Significant impacts are defined to be as 100 million JPY or more.

C2.2(C2.2) Describe your process(es) for identifying, assessing and responding to climaterelated risks and opportunities.

Value chain stage(s) covered
Direct operations
Upstream
Downstream

Risk management process
Integrated into a multi-disciplinary company-wide risk management process

Frequency of assessment

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

More than once a year

Time horizon(s) covered
Short-term
Medium-termLong-term

Description of process
Climate-related risks, opportunities and scenario analyses follow the TCFD procedures,
taking into account risks on a short- to long-term basis. Therefore, potential risks andopportunities have been identified in the processes of the entire value chain, ranging
from its upstream to downstream activities, as well as the external environment. There
are specific climate-related risks associated with Benesse’s wide-ranging businesses
resulting from the nature of these businesses that include pregnancy and child-rearing
support, preschool education, elementary school education, junior high school
education, high school education, and education business related to working adults andschools. To ensure regular delivery of products and services to its large number ofcustomers, Benesse taps into its sources of carefully selected suppliers for raw
materials both in Japan and overseas. The following Benesse targets have been
approved by the SBTi: Scope 1 and 2 emission reduction targets for 2030 and 2050 inline with a goal of capping global warming Well Below 2°C and a Scope 3 emission
reduction target in line with a goal of capping global warming at 2°C. Furthermore, in
December 2021, a decision to increase the company’s Scope 1 and 2 emission
reduction target to 52.8% for 2030 in line with a goal of capping global warming at 1.5°C
was made and application for the new target was made to and approved by SBTi. For
Scope 1 and 2 emissions, a long-term target of 100% reduction by 2041 has been set.
Benesse’s analyses and revisions have been based on a target goal in line with a 1.5°C
global warming scenario as well as a business-as-usual 4°C global warming scenario.
Risk management assessment is carried out four times a year.
Benesse classifies its substantive financial impact levels as major impacts (100 million
JPY or more), medium impacts (more than 10 million JPY but less than 100 million JPY)
and minor impacts (less than 10 million JPY).
Climate-related risks should be addressed through three steps: ➀ Identifying the key
business bases that can pose a significant impact on the value chain of our products
and services as well as the estimated level of potential damage; ➁ Identifying various
factors that affect our external environment, ranging from human resources andsuppliers, changes in customer behaviour and preferences, reinforcement of laws andregulations, requests from investors, and the need to secure alternative goods androutes, to the scope of influence by new market entrants; ③ Identifying potential risks
and opportunities on the basis of their level of impact and probability of occurrence.
More specifically, we have evaluated the level of impact and probability of occurrence
for three different levels.
● Risks: Level of Impact

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

・Depth of Impact: Sales decrease/increase rate, cost increase/decrease rate, impact
on assets, amount of damage, whether life-threatening or not・Range of Impact: Percentage of departments affected as a proportion of the wholeGroup and sales revenue, as well as costs.
・Recoverability: Necessity of transforming our business model in the event of adisaster, time required to repair the infrastructure● Risks: Probability of Occurrence
・Transition Risks: 3: already present / most likely, 2: partially present / likely, 1:
potential / least likely
・Physical Risks: 3: may occur by 2030, 2: may occur by 2050, 1: lowest probability● Opportunities: Level of Impact
・Estimated market size
・Financial Impact: Sales decrease /increase rate, unit price increase/decrease rate
・Necessity of restructuring our business model and value chain● Opportunities: Probability of Occurrence
In addition to the strength of probability,
・Technology: Ranging from the practical use stage to probably not put into use
・Possibility of allocating resources (R&D costs, capital investment, human resources)
to take advantage of opportunities
・Degree of market receptivity (early adopters or expanding to majority)
Impact levels are classified as major (100 million JPY or more), medium (from 10
million JPY or more to less than 100 million JPY) and minor (less than 10 million JPY).
References used for each global warming scenario are as follows. Taken from the IEAWorld Energy Outlook 2020, 2021, IPCC Fifth Assessment Report, IPCC Sixth
Assessment Report and Reports of WG1 and WG2; Physical risks: Hazard maps issued
by regional authorities and local municipalities, Carbon Tax: set with reference to theWorld Energy Outlook 2021 (2030 targets for a scenario of capping global warming at
1.5°C were set based on prices of the advanced economies (130 USD/t-CO2) shown in
the WEO2021 Net Zero Emissions by 2050 Scenario. 2030 targets for a scenario of
global warming reaching 4°C were set based on EU prices (65 USD/t-CO2) shown in the
WEO2021 Stated Policy Scenario. 2030 targets for a scenario of capping global
warming at 1.5°C were set based on prices of the advanced economies (250 USD/tCO2) in the WEO2021 Net Zero Emissions by 2050 Scenario. 2050 targets for a
scenario of global warming reaching 4°C were set based on EU prices (90 USD/t-CO2)
in the WEO2021 Stated Policy Scenario.)
We have set variables (parameters) to measure the level of financial impact generated
for each year and each scenario. For example, an increased carbon tax rate on Scope 1
emissions will lead to cost increases for Scope 1 emissions while an increased rate forpurchasing electricity will increase power prices for purchased electricity. Carbon pricing
fluctuations were calculated based using the World Energy Outlook 2021 carbon tax
rates as parameters: 4680 JPY/t-CO2 for the 1.5°C global warming in 2030 scenario,
10010 JPY/t-CO2 for the 4°C global warming in 2030 Scenario, 3120 JPY/t-CO2 for the
1.5°C global warming in 2050 Scenario, and 11440 JPY/t-CO2 for the 4°C global

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

warming in 2050 scenario.
As a result, we identified physical and transition risks, as well as opportunities with large
impact and high to medium probability of occurrence as follows:・Physical Risks: Climate change exacerbates extreme weather conditions andincreases the frequency and intensity of typhoons and flooding. This can cause changes
in shipping methods due to the suspension of logistics networks, the relocation offactories and business sites, the restructuring of supply chains due to environmental
changes, and the spread of infectious diseases.
・Transition Risks: Climate change causes changes in precipitation patterns andexacerbates deforestation, which in turn leads to sharp increases in paper prices.
Shipping costs can also increase sharply due to higher delivery fees following carbon
tax and shipping fuel price hikes.
The results of the analysis indicate that physical risks will have the largest impact on the
Benesse Group. When climate change increases the frequency and intensity of
typhoons and flooding, there will be an increasing number of customers who will not beable to receive our products and services. Potential challenges faced by the Benesse
Group will be the need to change shipping methods due to the suspension of logistics
networks as well as the loss of sales opportunities. Put in more concrete terms, costs
borne to change shipping methods in the event of disasters of different levels andscenarios are as follows: (a) Torrential rains equivalent to the 2018 West Japan disasterwould cause widespread damage for a few days and require approximately 10 million
JPY to manage their impact (probability of occurrence: once under a 1.5°C global
warming in 2030 scenario, once under a 4°C global warming in 2030 scenario, once
under a 1.5°C global warming in 2050 scenario, and twice under a 4°C global warming
in 2050 scenario, (b) A Great East Japan Earthquake level disaster would cause
extensive widespread damage for about 3 weeks and require approximately 150 million
JPY to manage its impact (probability of occurrence: once under a 4°C global warming
in 2050 scenario). Our SCM Division is in charge of making the necessary preparations
to secure alternative shipping methods based on the above analysis.
Physical risks are listed below with explanations on how they are to be managed.
➀ As a short-term plan, acute physical risks related to disaster response caused byexacerbated extreme weather conditions, including massive typhoons and flooding, will
require immediate actions to be taken to ensure seamless services to our customers.
Benesse has established the “Contact Center Division”, which is dedicated to making
decisions promptly to improve customer experience such as securing alternative meansof transport to make sure our products and services are delivered smoothly to ourcustomers. When there is a risk of a decrease in revenues due to voluntary suspensionof sales activities in disaster-affected areas, we plan to work to minimize losses byadjusting the timing of sales and changing sales methods from direct mail to web-based
marketing activities.
Furthermore, Business Continuity Planning measures are set forth below, and clarify

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

necessary steps to be taken to prepare or respond to emergency situations such as
torrential rain and largescale typhoons:a) Departments in charge of operations will set up and update procedures to prevent or
mitigate adverse environmental impacts in times of emergency. In case the company
has already issued a specific document and/or procedure, they will follow them.
b) Respond to actual emergency situations. Review the procedures and documents, asnecessary. In the wake of an emergency, make sure to review them and revise asneeded.
c) Related departments will periodically test their emergency response procedures
through simulations and drills and revise them as needed.
d) The Environment Promotion Secretariat will work to mitigate adverse environmental
impacts and make contact with stakeholders as appropriate in case an accident or
emergency situation occurs.
e) Provide relevant information and training related to emergency preparedness andresponse, as appropriate, to relevant parties, including persons working under thecontrol of our company.
Major transition risks include increase in energy costs caused by the introduction of the
Global Warming Countermeasure Tax to be imposed on fossil fuels (medium- and longterm).
Transition risks are listed below with explanations on how they are to be managed.
Climate change causes changes in precipitation and exacerbates deforestation, which
can lead to sharp increases in paper prices. Shipping costs can also increase sharply
due to higher delivery fees following carbon tax and shipping fuel price hikes. Long-termrisks caused by environmental changes include increases in paper prices caused bydeforestation that is exacerbated by changes in precipitation and weather patterns. This
would have a great impact on our business, which depends heavily on paper. (Benesse
consumes about 0.7% of the total printing and information processing paper produced inJapan). Delivery of paper-based products accounts for the majority of our shipping
volume.
We are promoting the digitalization of our products and services to mitigate such risks.
・We are digitalizing our learning materials and making them paperless to reduce paper
consumption, curb cost increases and eventually enhance our competitiveness.
・Benesse offers “Aka Pen (red pen) services” to elementary, junior high and highschool students. Our instructors are called “Aka Pen Sensei” (red pen teachers) and areassigned to individual students to provide advice tailored to the academic progress ofevery student to encourage them, in addition to making corrections to the assignments
submitted by post or online. We can reduce shipping costs by switching to web-based
distribution of assignments and allocate extra resources to provide additional services toour subscribers, leading to improvement of the learning experience, increased added
value and enhanced customer loyalty.
・Digitalization of learning materials will enable us to compile large amounts ofcustomer data, including learning records and methods, to improve our understanding of
our customers’ needs, seize opportunities by providing suitable products and services,
improve the learning experience and increase membership retention rates, and willconsequently boost our sales and profits. Membership retention rate is one of our major

15

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

KPIs (Key Performance Indicators). An increase of 1% in our retention rate (defined as
members of the previous month who do not quit and continue using our products andservices) will lead to annual revenue growth of 5%.
Our short-term plan for operations:・We manage our monthly paper consumption expenditure using an in-house systemcalled BENKEI and review the results at the Management Meeting on a quarterly basis.
In case excessive consumption is detected in comparison to our target, we analyze thecause and take due measures.
・We select paper manufacturers through a simultaneous bidding process. Those who
can provide paper with lower environmental impact will be selected for annual contracts.
We also engage in price negotiation with the paper manufacturers. We are well-versed
in future trends of the paper industry, including the outlook for the coming few years. We
have continuously renewed our ISO14001 certification since 2004 and established,
implemented and maintained an environmental management system based on its
requirements. We make continual improvements under a PDCA cycle which includes
review by the management on climate-related risks as well as opportunities.
In addition, there is a risk that more stringent restrictions will be imposed on greenhousegas emissions that adversely cause climate change in case these emissions fail to be
reduced as planned. When mid- and long-term renovation plans of company-ownedbuildings fail to proceed as planned, challenges can arise. Such risks are reviewed andthose evaluated to have more serious impacts will be incorporated in our short-,
medium- and long-term plans for further management and monitoring (monthly/yearly)
by the divisions in charge in light of their respective plans.
Management of energy-related risks and opportunities in our medium- and long-termplans are as seen below:
We have been considering the introduction of energy-saving equipment utilizing thelatest technology in our mid- and long-term renovation plans at our Headquarters
building in Minamigata, Okayama City, as well as three company-owned buildings in
Takayanagi, Okayama City, our Logistics Center in Setouchi City, Okayama Prefecture,and our Tokyo Headquarters building in Tama City, Tokyo. The Naoshima Coordination
Division, our SCM Division and the General Affairs Division of Benesse Holdings are in
charge of managing these renovations. Additionally, we are promoting “work stylereform” and working on the reduction of electricity consumption by 40% as we cut rented
office space by nearly 50%, under the supervision of the General Affairs Division. We
will get competitive quotes from multiple companies and award the contract after carefulconsideration. Progress on each project will be monitored to ensure project goals aremet.
We are also working to reduce our environmental impact as well as cut down on utility
expenses by installing solar power generation panels at company-owned facilities. At
our Logistics Center in Setouchi City, for example, Center No.1 had solar generator
installed when it started operation. We have also been upgrading our facilities topromote energy efficiency: high-efficiency air-cooled chiller and multi air conditioning
units with motion sensors were installed at Center No. 1 (2018); high-efficiency air-16

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

cooled chiller and multi air conditioning units with motion sensors were installed atCenter No. 2, where the lighting throughout the building was also switched to LEDs
(2020); renovation work at our Minamigata Headquarters included upgrading the (20182019); switching to LED lighting (2018); elevator renovation work in high-rise buildings(2021-2024); installation of thermal blinds in the Tama Building (2020); renewal oflighting equipment in common areas and other areas (2021); elevator renewal work
(2021-2023); replacement of transformers in electrical equipment rooms (2022-2025);
and maintenance and renewal of ventilation units (2023-2025). We are working towards
making climate-related opportunities feed positively into our business operations. Our
SCM Division supervises the Logistics Center based on our business plan, while our
Headquarters building in Minamigata is under the supervision of the Naoshima
Coordination Division of Benesse Holdings. Changes in work styles have also led to a
reduction in the number of leased offices.
In addition, at the decision of the President and CEO, additional renewable energy
sources will be introduced starting in April 2022, with a renewable energy ratio target of
50% in March of FY2024 and 100% in March of FY2041. At the same time, thecompany is also considering the introduction of its own solar power generation facilities
or off-site PPAs (power purchasing agreements) and other methods.

C2.2a(C2.2a) Which risk types are considered in your organization's climate-related risk
assessments?
Relevance & Please explain
inclusion
Current
regulations

Relevant,
alwaysincluded

The nature of our business creates a situation where over 90% of ourfacilities are located in Japan. If a Global Warming Countermeasures
Tax is introduced and imposed on fossil fuels in Japan, it will increase
our energy costs and become a transition risk. Therefore, we manage
our monthly energy consumption expenditure by an in-house systemcalled BENKEI and review the results at the Management Meeting on aquarterly basis. If excessive consumption is detected compared to theprevious FY, we take reduction measures. If laws and regulations aretightened to reduce greenhouse gas emissions, this will trigger a rise in
our energy costs for our business activities. We have positioned this asa major challenge to be addressed among our climate-related risks andopportunities and are striving to reduce our energy consumption.

Emerging
regulations

Relevant,
alwaysincluded

We deliver products and services to a large number of customers
through our main business domain that centers around education.
There is a risk of delivery cost increases throughout our supply chain if
carbon prices rise or new emission regulations are imposed. Over 90%
of our facilities are located in Japan. There is a risk of cost increases if
carbon prices rise or emission regulations are imposed in Japan. Alarge proportion of the energy we use is consumed at our companyowned facilities, including our Headquarters building in Okayama City,17

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

our Tokyo Headquarters building in Tama City, and the Benesse
Logistics Center in Setouchi City, Okayama Prefecture. If carbon prices
rise or new emission regulations are imposed, there is a risk ofincreased costs. However, the impact will be limited as our Scope 1
and 2 emissions are small.
Technology

Relevant,
alwaysincludedWe performed scenario analyses on climate-related risks and foundthat climate change causes increased precipitation along with greater
frequency and intensity of typhoons and flooding. This can thenexacerbate deforestation and impact our paper procurement costs. We
are promoting the digitalization of our products and services to mitigate
such risk based on robust research and development related to tablets
and the contents to be provided through them. We investigate
advanced technologies and know-how, review and seek alternative
delivery methods, contents and energy-efficient merchandise while
examining the most energy-efficient specifications for products to bedelivered to our customers.

Legal

Not relevant, Over 90% of our facilities are in Japan. The majority of them are offices
includedand classrooms that require less electricity with limited greenhouse gas
emissions compared with factories. Based on our analysis, we believe
the risk of lawsuits from global warming is low.

MarketRelevant,
alwaysincluded

We provide learning materials, tablets and publications through our
main business domains “Kodomo Challenge” and “Shinken Zemi.”
Global warming can trigger massive typhoons and flooding that can
expose us to potential risks of growing uncertainty over market-related
indices and cost increases in paper when global warming causes forest
loss, since our company is heavily reliant on paper.

Reputation

Relevant,
alwaysincluded

Our main business domains “Kodomo Challenge,” “Shinken Zemi,” and“Shinken Moshi” as well as our magazines “THANK YOU!”, “Dog’s
Heart” and “Cat’s Heart” consume nearly 40,000 tons of paper (for themain products) each year. As a company with a large volume of paper
consumption, there is a risk of damaging our brand image if we are
judged to be taking a passive approach to environmental issues,
including forest conservation. Companies perceived to have a“negative impact on the environment” will come under criticism,
accompanied by changes in customer values and behaviour, including
avoidance of our products.

AcutephysicalRelevant,
alwaysincludedIn case major disasters caused by climate-related acute physical risks,
including massive typhoons and flooding, occur, it will lead to cost
increases, as we will need to change the way we ship our products andservices due to the suspension of our logistics networks. There is the
additional risk of a decrease in revenues caused by lost sales
opportunities when direct mail services, our primary marketing tool, areinterrupted due to the voluntary suspension of sales activities indisaster-affected areas18

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Chronic
physicalRelevant,
alwaysincluded

Global warming affects ecosystems, accelerates desertification andintensifies unexpected torrential rains and other climate-related
extreme weather conditions. Such physical risks will trigger
deforestation and forest degradation, leading to increases in paper
costs and have a significant impact on our business, which relies
heavily on paper. Risks (medium- and long-term) caused by long-term
environmental changes include sharp increases in paper prices caused
by deforestation that is exacerbated by changes in precipitation andweather patterns.

C2.3(C2.3) Have you identified any inherent climate-related risks with the potential to havea substantive financial or strategic impact on your business?
Yes

C2.3a
(C2.3a) Provide details of risks identified with the potential to have a substantive
financial or strategic impact on your business.

ID
Risk 1

Where in the value chain does the risk driver occur?
Direct operations

Risk type & Primary climate-related risk driver
New regulations
Carbon pricing mechanisms

Primary potential financial impact
Increased indirect (operating) costs

Company-specific description
Climate change is forcing changes in delivery methods due to the shutdown ofdistribution networks caused by extreme weather events such as large typhoons andfloods, as well as relocation of factories and business sites, while environmental
changes are forcing supply chain restructuring due to the spread of infectious diseases.
Benesse's main education businesses, such as “Kodomo Challenge” and “Shinken
Zemi” (elementary, junior high, high school, junior high and high school courses, etc.),
deliver products and services directly to many customers throughout Japan from our
Logistics Centre in Setouchi City, Okayama Prefecture.

19

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

It is anticipated that delivery costs will increase in the future, reflecting the sharp rise incarbon taxes as well as cost increases associated with the switch to EVs and/or theswitch to renewable energy sources when more rigorous policies, laws and regulations
are introduced to address climate change. Delivery costs to our customers have asignificant impact on our business, which depends heavily on paper. Our paper
consumption totalled 45,825 tons for the reporting FY2022.
Our main education business relies on direct mailing as its primary sales method, whichmakes Benesse the second largest sender of direct mail in Japan, in addition to sending
learning materials out on a monthly basis. An increase in shipping costs would have asignificant impact on our financial status. Benesse consumes about 0.7% of the total
printing and information processing paper produced in Japan, while delivery of paperbased products and services accounts for 15.9% of its sales expenses.
The assumption for the future is that if carbon taxes are imposed in the medium term on
a par with those in Europe and the U.S., it is highly likely that this will be passed on todelivery costs in a significant way. Also, if fuel costs rise in the short term, this is likely tolead to similar price increases in delivery costs, leading to higher costs for Benesse.
Changes in the means of transportation, based on the estimate that the ratio of plug-in
hybrid vehicles, battery electric vehicles and fuel cell vehicles in Japan will reach 64% in
2030 and 100% in 2050 under the scenario in which global warming is to be capped at
1.5°C, is another factor that could lead to cost increases.
Delivery-related labour costs and wages also tend to keep rising, so businesses are
beginning to rely on automation and gig workers. In this situation, labour costs can risein the short term, while automation and improved efficiency can keep the costs downover the medium- to long-term. When there are hurdles to automation, costs can rise.
However, these factors were not incorporated into our current assumptions, as they do
not fall within the scope of climate change.

Time horizon
Medium-term

Likelihood
LikelyMagnitude of impact
High

Are you able to provide a potential financial impact figure?
Yes, an estimated range

Potential financial impact figure (currency)
Potential financial impact figure – minimum (currency)
20

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

1,280,000,000

Potential financial impact figure – maximum (currency)
3,700,000,000

Explanation of financial impact figure
The potential financial impact of shipping our learning materials is estimated at between
1.28 billion JPY to 3.7 billion JPY based on the assumption that the volume will remain
the same.
(However, we are working on reducing the number of items to be shipped.)
Minimum: Learning materials shipment of 28 million items X 10 JPY / item + direct mail200 million items X 5 JPY / item = 1.28 billion JPY
Maximum: Learning materials shipment of 28 million items X 25 JPY / item + direct mail200 million items X 15 JPY / item = 3.7 billion JPY
Explanation of the Above Figures● Our estimates for the impact on 2030 targets for the scenario in which global warming
is capped at 1.5°C anticipate advances in decarbonization and automation. ① FuelCost: Crude oil price will decrease by approx. 15% from the 2020 level (WEO 2021).
About 5% of trucks will be switched to EVs. Switching to renewable energy sources will
push up costs that will be reflected in unit prices.
② Carbon Tax: 3 JPY will be added to learning material shipping fees while 2 JPY will
be added to direct mail shipping fees.
⇒ Learning material shipping fee + 25 JPY/ item, direct mail shipping fee +15 JPY /item● Our estimates for the impact on 2030 targets for the scenario in which global warming
reaches 4°C anticipate business as usual in terms of decarbonization but the same
progress in automation as that used in setting 2030 targets for the scenario in which
global warming is capped at 2°C.
① Fuel Cost: Crude oil prices will increase approximately 83% over the 2020 level(WEO 2021). This will be reflected in a 3 JPY increase in unit prices.
② Carbon Tax: “Approx. 7,000 JPY/t-CO2” will be added to the delivery costs (estimatedto be an increase of around 2 JPY in unit prices)⇒ Learning material shipping fee + 10 JPY/ item, direct mail shipping fee + 5 JPY /item
The above delivery cost increase is based on the following assumptions
・Japan Post Co., Ltd. has a monopoly on postal services in Japan, which makes it
easier for the company to raise prices. When it comes to door-to-door parcel delivery
service, however, there are multiple operators with similar price ranges, which makes it
more difficult for them to raise prices. (However, Yamato Holdings revised its prices andthere is an overall trend of rising unit prices.)
・Against such a backdrop, our calculation of the financial impact of delivery costs is21

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

based on the assumption that “fluctuating factors, such as increases in crude oil prices
or labour costs, will be reflected in prices”.
・Labour costs and wages tend to keep rising, so businesses are beginning to promote
automation and reliance on gig workers. In this situation, ➀ labour costs can rise in the
short term, and ➁ when there are hurdles to implementing automation, the rise in labourcosts can be reflected in prices.
・When carbon taxes are introduced, there is good possibility this cost will be added todelivery prices.
・Yamato Holdings is committed to net zero carbon emissions by 2050.
・Japan Post is promoting the switch to EVs based on its low emissions goals. Costs
associated with switching to EVs are identified as a risk factor (based on Article 13 of
the Act on Japan Post Holdings Co., Ltd.).
Changes in the means of transportation are estimated to result in the ratio of plug-in
hybrid vehicles, battery electric vehicles and fuel cell vehicles reaching 64% in 2030 and
100% in 2050 under targets aimed at capping global warming at 1.5°C.

Cost of response to risk
85,000,000

Description of response and explanation of cost calculation
It is anticipated that delivery costs will increase, reflecting the sharp rise in costs due tocarbon taxes as well as cost increases associated with the switch to EVs and/or theswitch to renewable energy sources as we near 2030, when more rigorous policies,
laws and regulations are expected to be introduced to address climate change. Benesse
consumes about 0.7% of the total printing and information processing paper produced inJapan and delivery of paper-based products accounts for the majority of its shipping
volume.
To mitigate such risks, we are promoting the digitalization of our products and services.
・Digitalize learning materials and make them paperless to reduce paper consumption,
curb cost increases and eventually enhance our competitiveness.
・Benesse offers “Aka Pen” (red pen) services to elementary, junior high and highschool students. Our instructors are called “Aka Pen Sensei” (red pen teachers) and areassigned to individual students to provide advice tailored to the academic progress ofevery student to encourage them, in addition to making corrections to the assignments
submitted by post or online. We can reduce shipping costs by switching to web-based
distribution of assignments and allocate extra resources to provide additional services toour subscribers, leading to improvement of the learning experience, increased added
value and enhanced customer loyalty.
・Digitalization of learning materials will enable us to compile large amounts ofcustomer data, including learning records and methods, to improve our understanding of
our customers’ needs, seize opportunities by providing suitable products and services,
improve the learning experience, and increase membership retention rates, and willconsequently boost our sales and profits. Our membership retention rate is one of ourmajor KPIs (Key Performance Indicators). An increase of 1% in our retention rate22

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

(defined as members of the previous month who do not quit and continue using our
products and services) will lead to annual revenue growth of 5%.
In terms of our operation as a short-term plan:・We manage our monthly paper consumption expenditure using an in-house systemcalled BENKEI and review the results at the Management Meeting on a quarterly basis.
In case excessive consumption is detected in comparison with our target, we analyze
the cause and take due measures.
・We select paper manufacturers through a simultaneous bidding process. Those who
can provide paper with lower environmental impact are selected for annual contracts.
We also engage in price negotiation with the paper manufacturers. We are well-versed
in future trends of the paper industry, including the outlook for the coming few years.
We have continuously renewed our ISO14001 certification since 2004 and established,
implemented and maintained an environmental management system based on its
requirements. We make continual improvements under a PDCA cycle which includes
review by the management on climate-related risks as well as opportunities.
The results of these efforts between 2014 and 2021 include approximately 70% of
elementary and junior high school students adopting tablet materials and approximately
100% of our high school student subscribers using smartphones to study our learningmaterials. Consequently, paper consumption has been reduced 60% per elementaryand junior high school student who opted for tablet-based learning materials. Of ourpaper costs that total 5.3 billion JPY, 64% are for costed items and 36% are for noncosted items (data for the reporting year).
・Annual depreciation of system development costs is calculated based on a 5-year
period. Administrative cost per year is calculated as 425 million JPY X 20% = 85 million
JPY.

Comment

C2.4(C2.4) Have you identified any climate-related opportunities with the potential to havea substantive financial or strategic impact on your business?
Yes

C2.4a
(C2.4a) Provide details of opportunities identified with the potential to have asubstantive financial or strategic impact on your business.
ID
Opp1

Where in the value chain does the opportunity occur?
Upstream23

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Opportunity type
Products and services

Primary climate-related opportunity driver
Development and/or expansion of low-emission goods and services

Primary potential financial impact
Reduced direct costs

Company-specific description
As background, intensifying global warming due to climate change can trigger depletionof the forests that supply the primary raw material for paper. Learning materials
constitute the majority of our products, most of which are provided to schools as
material printed on paper. Benesse consumed 45,825 tons of paper for the reporting
year, or about 0.7% of the total printing and information processing paper produced inJapan. If we can reduce our paper consumption, which accounts for the largest part ofour Scope 3 raw material procurement emissions, we can reduce not only ourgreenhouse gas emissions but also our paper costs. This can be done while working to
improve the learning experience and enhance customer satisfaction through thedigitalization of our products and services. Thus, Benesse can play an instrumental rolein preventing deforestation and alleviating climate change.
We are trying try to cut down on our paper-based products and gradually switch todigitalized products over the next few years as we promote the digitalization of our
products and services. This digitalization strategy has reduced our paper consumption
by 46.9% between 2014 and 2021. This measure is ongoing.
Our focus is placed on shifting towards digital products, and this also constitutes one ofthe priority measures in our new Mid-Term Management Plan. We are also accelerating
measures to reduce paper consumption by switching to digitalizing documents andinformation exchanged between our offices, employees, clients, suppliers andcustomers (Quotations, Purchase Orders, Statements of Delivery, Inspection
Documents, Mock Exam Reports etc.) and sending them online.
As we work to reduce the amount of paper we consume, we are also given theopportunity to reduce delivery costs.
Benesse's main education businesses, such as "Kodomo Challenge" and "Shinken
Zemi” (elementary, junior high, high school, junior high and high school courses, etc.),
deliver products and services directly to many customers throughout Japan from our
Logistics Centre in Setouchi City, Okayama Prefecture.
It is anticipated that delivery costs will increase, reflecting the sharp rise in carbon taxes
as well as cost increases associated with the switch to EVs and/or the switch torenewable energy sources as we near 2030, when more rigorous policies, laws andregulations are expected to be introduced to address climate change. Delivery costs will
have a significant impact on our business, which depends heavily on paper. (Benesse

24Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

consumes about 0.7% of the total printing and information processing paper produced inJapan).
Benesse ships its products nationwide from its own Logistics Centre in Setouchi,
Okayama, and although external factors such as climate change may increase transport
costs, our digitalization strategy enables a significant reduction in paper use and lower
costs for the delivery of our goods and services.
We are working to reduce delivery costs by digitalizing some of our paper-basedlearning materials and tapping into AI technology to provide individualized online
instruction for ease of use, to improve the learning experience, and to ensureprofitability. Our learning materials are used on tablets by 70% of our elementary andjunior high school subscribers, while nearly 100% of our high school customers areusing smartphones to study our materials. Through our “Shinken Zemi” home study
program for elementary to high school students, we create and deliver a unique programof tablet-based learning materials. In addition, we have also begun a tablet reuse
initiative for those who wish to use such tablets, with plans to expand this initiative in the
future.

Time horizon
Medium-term

Likelihood
Virtually certain

Magnitude of impact
High

Are you able to provide a potential financial impact figure?
Yes, an estimated range.

Potential financial impact figure (currency)
Potential financial impact figure – minimum (currency)
1,765,800,000

Potential financial impact figure – maximum (currency)
2,059,800,000

Explanation of financial impact figure
Total Reduction of Paper Consumption and Delivery Costs
1.5°C global warming cap scenario as the minimum
Paper consumption reduction effect 1.357 billion JPY + Delivery cost reduction effect408.8 million JPY = 1.7658 billion JPY
4°C global warming scenario as the maximum

25

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Paper consumption reduction effect 1.357 billion JPY + Delivery cost reduction effect702.8 million JPY = 2.0598 billion JPY
Breakdown:
Reduction of Paper Consumption
5.9 billion JPY X 0.1 (cost increase accompanying a 10% increase in paper unit price) –[5.9 billion JPY X 1.1 (10% increase in paper unit price) X 0.3 (paper consumption
reduced to 70%) = ▲1.357 billion JPY (cost reduction estimated at 1.357 billion JPY)
※ The basis of a 10% increase in paper procurement costs is as follows:
Review based on the “Paper and Paperboard” index in the Bank of Japan Corporate
Goods Price Index.
Paper prices are subject to various factors as listed below. Following the price increaseof 10% from 2015 to 2020, this calculation is based on the assumption that paper prices
will continue to increase at the same rate from 2020 to 2030; thus there will be a 10%
price increase up to 2030.
Factors Affecting Paper Price Volatility
・Advances in digitalization; decrease in paper media due to the impact of the novel
coronavirus pandemic; crude oil price hikes; sharp rise in pulp prices and tight supply in
the global pulp market; increase in logistics costs; deterioration of the supply-demandbalance; structural factors that affect demand and supply such as an aging society
combined with a declining birth rate.
https://www.toshibatec.co.jp/products/office/loopsspecial/blog/20201106-49.html※ Paper consumption reduced to 70% through product and service planning.
Impact of Reduction on Delivery Costs
1.5°C global warming cap scenario as the minimum
28 million items X 70% X 132 JPY/item – 28 million items x 107 JPY/item = ▲408.8
million JPY (impact of delivery cost reduction estimated at 408.8 million JPY)
4°C global warming scenario as the maximum
28 million items X 70% X 117 JPY/item – 28 million items x 107 JPY/item = ▲702.8
million JPY (impact of delivery cost reduction estimated at 702.8 million JPY)
～Explanation of Impact of Reduction on Delivery Costs● 30% reduction in delivery volume through strategic digitalization of products andservices.
● 1.5°C global warming cap scenario for 2030 anticipates advances in decarbonization,
automation and efficiency improvement.
① Fuel Cost: Crude oil prices will decrease by approximately 15% of the 2020 level(WEO 2021). About 5% of trucks will be replaced with EVs. Switching to renewableenergy sources will push up costs that will be reflected in unit prices.
26

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

② Carbon Tax: 3 JPY will be added to learning material shipping fees, while 2 JPY will
be added to direct mail shipping fees.
⇒ Learning material shipping fee + 25 JPY/ item, direct mail shipping fee +15 JPY /item● Our estimates for the impact on 2030 targets for the scenario in which global warming
reaches 4°C anticipate business as usual in terms of decarbonization but the same
progress in automation and efficiency improvement as that used in setting 2030 targets
for the scenario in which global warming is capped at 1.5°C.
① Fuel Cost: Crude oil prices will increase approximately 83% over the 2020 level(WEO 2021). This will be reflected by a 3 JPY increase in unit prices.
② Carbon Tax: “Approximately 7,000 JPY/t-CO2” will be added to the delivery costs(estimated around 2 JPY per unit)⇒ Learning material shipping fee + 10 JPY/ item, direct mail shipping fee + 5 JPY /item
The above delivery cost increase is based on the following assumptions:・Japan Post Co., Ltd. has a monopoly on postal services in Japan, which makes it
easier for the company to raise prices. When it comes to door-to-door parcel delivery
service, however, there are multiple operators with similar price ranges, which makes it
more difficult for them to raise prices. (However, Yamato Holdings revised its prices andthere is an overall trend of rising unit prices).
・Against such a backdrop, our calculation of the financial impact of delivery costs isbased on the assumption that “fluctuating factors, such as increases in crude oil prices
or labour costs, will be reflected in prices”.
・Labour costs and wages tend to keep rising, so businesses are beginning to promote
automation and reliance on gig workers. In this situation, ➀ labour costs can rise in the
short term, and ➁ when there are hurdles to implementing automation, the rise in labourcosts can be reflected in the prices.
・When carbon taxes are introduced, there is good possibility this cost will be added todelivery prices.
・Yamato Holdings is committed to net zero carbon emissions by 2050.
・Japan Post is promoting the switch to EVs based on its low emission goals. Costs
associated with switching to EVs are identified as a risk factor (based on Article 13 of
the Act on Japan Post Holdings Co., Ltd.).
Under targets aimed at capping global warming at 1.5°C, the ratio of plug-in hybrid
vehicles, battery electric vehicles and fuel cell vehicles is expected to reach 64% in
2030 and 100% in 2050.

Cost to realize opportunity
8,500,000

Strategy to realize opportunity and explanation of cost calculation
As background, intensifying global warming due to climate change can trigger depletionof the forests that supply the primary raw material for paper. Learning materials
27

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

constitute the majority of our products, most of which are provided to schools as
material printed on paper. Benesse consumed 45,825 tons of paper for the reporting
year, or about 0.7% of the total printing and information processing paper produced inJapan. If we can reduce our paper consumption, we can curb deforestation, and that, inturn, can alleviate climate change. This, on top of reducing our paper procurement
costs, will have a positive impact that will outweigh the rise in costs caused by tabletbased learning materials.
Our main education business relies on direct mailing as its primary sales method, whichmakes Benesse the second largest sender of direct mail in Japan, in addition to sending
learning materials out on a monthly basis. A decrease in shipping costs will therefore
have a significant impact on our financial status.
Paper consumption and delivery accounts for nearly 60% of our Scope 3 emissions(with the increase in use of our tablet-based learning materials taken into account).
In response to this challenge, our medium-term plan includes a strategy to digitalize our
products and services.
We are trying to cut down on paper-based products and gradually switch to digitalized
products over the next few years.
Our focus on promoting the shift towards the digitalization of our products and services
constitutes one of the top priorities in our new Mid-Term Management Plan.
• We have been reducing paper consumption by digitalizing a portion of our paperbased learning and teaching materials and tapping into AI technology to provide
individualized online instruction to enhance usability and profitability and improve thelearning experience. We can enhance our competitiveness at the same time. We arealso accelerating measures to reduce paper consumption by switching to digitalizing
documents and information exchanged between our offices, employees,
clients/suppliers, and customers (such as Quotations, Purchase Orders, Statements ofDelivery, Inspection Documents, Mock Exam Reports, etc.) and sending them online.
• Benesse offers “Aka Pen” (red pen) services to elementary, junior high and highschool students. Our instructors are called “Aka Pen Sensei” (red pen teachers) and areassigned to individual students to provide advice tailored to the academic progress ofevery student to encourage them, in addition to making corrections to the assignments
submitted by post or online. We can reduce shipping costs by switching to web-based
distribution of assignments and allocate extra resources to provide additional services toour subscribers, leading to improvement of the learning experience, increased added
value and enhanced customer loyalty.
Our short-term plan for operational activities is as follows.
・We manage our monthly paper consumption expenditure using an in-house systemcalled BENKEI and review the results at the Management Meeting on a quarterly basis.
In case excessive consumption is detected in comparison with our target, we analyze
the cause and take due measures.

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

・We have continuously renewed our ISO14001 certification since 2004 andestablished, implemented and maintained an environmental management system basedon its requirements. We make continual improvements under a PDCA cycle which
includes review by the management on climate-related risks as well as opportunities.
As a result of these efforts between FY 2014 and FY2021, 70% of our elementary andjunior high school subscribers adopted tablet-based learning materials, while nearly
100% of our high school student subscribers began using smartphones to study ourlearning materials. Consequently, paper consumption has been reduced 60% for eachelementary and junior high school student who opted for tablet-based learning materials.
Of our paper costs that total 5.3 billion JPY, 64% are for costed items and 36% are fornon-costed items.
We also select the manufacturers of the paper we use through a bidding process,alongside other considerations. Paper determined to not be associated with illegal
logging and with a low environmental impact is selected for our annual contracts, while
we also engage in price negotiations with the paper manufacturers. We are able tocontrol costs because we have an understanding of future trends in the paper industry,including a forecast for the coming few years.
・Annual depreciation of system development costs is calculated based on a 5-year
period. Administrative costs per year are calculated as 425 million JPY X 20% = 85
million JPY.

Comment

ID
Opp2

Where in the value chain does the opportunity occur?
Direct operations

Opportunity type
Products and services

Primary climate-related opportunity driver
Shift in consumer preferences

Primary potential financial impact
Increased revenues resulting from increased demand for products and services

Company-specific description
As background, intensifying global warming due to climate change can trigger depletionof the forests that supply primary raw material for paper. Most of our products are29Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

delivered every month in printed form, making us one of the largest paper consumers inour country. (Benesse consumed about 0.7% of the total printing and information
processing paper produced in Japan. Moreover, paper accounts for the largest
proportion of our Scope 3 emissions.) If we can reduce our paper consumption, we cancurb deforestation, and that, in turn, can alleviate climate change.
We are addressing this challenge by promoting the digitalization of our products andservices as part of our medium-term plan.
Digitalization of our learning materials enables us to compile large amounts of customer
data, including learning records and methods, to improve our understanding of ourcustomers’ needs, seize opportunities by providing suitable products and services,
improve the learning experience, and increase membership retention rate, and willconsequently boost our sales and profits. Our membership retention rate is one of ourmajor KPIs (Key Performance Indicators). An increase of 1% in our retention rate
(defined as members of the previous month do not quit and continue using our products
and services) will lead to annual revenue growth of 5%.
The goal of our digitalization strategy is to cut down on paper-based products andgradually switch to digitalized products over the next few years. We have been
implementing this strategy continuously since FY2014 and we are still working on it.
Our focus on promoting the shift towards digital products and services constitutes one ofthe priority measures in our new Mid-Term Management Plan. For example, we areaccelerating measures to reduce paper consumption by switching to digitalizing
documents and information exchanged between offices, employees, clients/suppliers,
and customers (such as Quotations, Purchase Orders, Statements of Delivery,
Inspection Documents, Mock Exam Reports, etc.) and sending them online. We havealso been reducing paper consumption by digitalizing a portion of our paper-basedlearning and teaching materials and tapping into AI technology to provide individualized
online instruction to enhance usability and profitability and improve the learning
experience.
As a result of these efforts between FY2014 and FY2021, 70% of our elementary andjunior high school subscribers adopted tablet-based learning materials, while nearly
100% of our high school student subscribers began using smartphones to study ourlearning materials (according to data from a survey taken using the Benesse Holdings,
Inc. CDP Climate Change Questionnaire from July 25 ~ 27, 2022). Consequently, paper
consumption has been reduced 60% for each elementary and junior high school student
who opted for tablet-based learning materials, while we achieved an increase of justover 0.5% in our sales.

Time horizon
Medium-term

Likelihood30

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

More than 50%

Magnitude of impact
High

Are you able to provide a potential financial impact figure?
Yes, a single figure estimate

Potential financial impact figure (currency)
5,600,000,000 (JPY)

Potential financial impact figure – minimum (currency)
Potential financial impact figure – maximum (currency)

Explanation of financial impact figure
The Benesse business model is a fixed-cost subscription model, in which a fixedamount is received each month on an ongoing basis. Based on past results, a 1%
increase in the subscriber retention rate will lead to a 5% increase in sales, which is thecompany's goal.
Sales of 112.3 billion JPY X 5% = 5.6 billion JPY

Cost to realize opportunity
100,000,000

Strategy to realize opportunity and explanation of cost calculation
As background, global warming will intensify typhoons, flooding and other climaterelated extreme weather conditions, cause changes in vegetation and trigger a depletionof forests, which supply the primary raw material for paper. As our business consumes alarge amount of paper, these phenomena can lead to an increase in paper procurement
costs. Circumstances surrounding education could also undergo drastic changes.
We therefore need to further pursue digitalization, especially the use of tablet-basedlearning materials, to reduce paper consumption while working to improve the learning
experience. This is why we are promoting the digitalization of our products and services.
As a countermeasure to the impact of climate change, we have enhanced thedigitalization of our learning materials through the introduction of the Learning
Management System (LMS), which keeps track of how the tablet-based “Shinken Zemi”
program is used. This system compiles and manages each subscribers’ study recordand promotes good study habits, while also encouraging subscribers and supporting
their learning experience with the goal of enhancing customer satisfaction andincreasing our membership retention rate.

31

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

As a result, the use of digitalized learning materials for “Shinken Zemi” correspondence
courses for elementary and junior high school students increased considerably, risingfrom 34% in 2018 to about 70% in the reporting year.
The total expenses for implementing this strategy are estimated to be 100 million JPY,
including research (qualitative and quantitative) costs for members using tablet-basedlearning materials, LMS depreciation expenses, and web-based marketing activity fees.

Comment

ID
Opp3

Where in the value chain does the opportunity occur?
Direct operations

Opportunity type
Direct operations

Opportunity type
Products and services

Primary climate-related opportunity driver
Ability to diversify business activities

Primary potential financial impact
Increased revenues resulting from increased demand for products and services

Company-specific description
As background, global warming will intensify climate-related extreme weather conditions
like massive typhoons, while the public and private sectors are accelerating various
measures aimed at achieving carbon neutrality by 2050. The “Green Growth Strategy”
announced by the Japanese government highlights the importance of capacity building.
This strategy includes plans to grant academic credits for climate-related activities andincrease the enrollment in related university departments as well as enhancing STEAM(Science, Technology, Engineering, the Arts and Mathematics) education at theelementary and secondary education levels. Increasing media coverage on
environmental issues has enhanced the eco-awareness of our customers andconsumers. Benesse has a significant advantage in promoting environmental education
with a focus on climate change, and it can respond to shifting customer awarenessthrough its main business that focuses on education. We are working strenuously toachieve carbon neutrality by 2050 to make the earth more sustainable so that children
can achieve “well-being” for a better and safer life, apropos of our Corporate Philosophy“Benesse = Well-Being.” Benesse’s learning materials that promote STEAM education
are used in an overwhelming share of Japan’s high schools.For example, “Tankyu Navi"(Inquiry Navigator) materials for schools includes contents such as “will countries in thesouth be submerged by global warming?” This can attract the interest of students and32

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

support learners in practicing inquisitive ways of thinking and deepening theirunderstanding of actual social issues. Benesse also developed content on “STEAM
education for disaster prevention and risk reduction” for high school students, as part of
the STEAM Library in the “Mirai no Kyoshitsu” (Future Classroom), a project of the
Ministry of Economy, Trade and Industry. These educational support materials allow
high school students to investigate regional disaster prevention and risk reduction basedon hazard maps and statistical information from the areas in which they live. At thesame time, this helps students to understand the state of disasters occurring in Japanand around the world. High school students, in collaboration with universities, privatecompanies, and local government agencies, will also consider the use of technology,
such as the role of robots as part of the solution in disasters and risk reduction.
Furthermore, Benesse has also been providing advanced products and services tosupport inquisitive learning on different issues to reduce environmental impacts, such as
the communication forum “Benesse STEAM Festival” and the “National Exploration
Contest”.
https://benesse-hd.disclosure.site/ja/themes/150
Currently, we are providing environmental education within a framework aimed atfortifying science and social studies education, based on the Curriculum Guidelines
issued by the Ministry of Education, Culture, Sports, Science and Technology. However,Japan is still in the early stages of providing STEAM education, and there are not yet
enough educational opportunities for students to develop problem-solving skills to
address environmental and social issues; this leaves room for Benesse to diversify our
educational business activities. This is a significant opportunity for Benesse, with its
strong content development skills and experience.

Time horizon
Medium-term

Likelihood
More than 50%

Magnitude of impact
High

Are you able to provide a potential financial impact figure?
Yes, an estimated range

Potential financial impact figure (currency)
Potential financial impact figure – minimum (currency)
870,000,000

Potential financial impact figure – maximum (currency)
1,740,000,000

33

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Explanation of financial impact figure
Minimum based on a 4°C global warming scenario and assuming 870 million JPY in
sales with a 1% share of current high school market X 10% share of future high school
market. Maximum based on a scenario in which global warming is capped at 1.5°C andassuming 1.74 billion JPY in sales with a 1% share of current high school market X 20%
share of future high school market.

Cost to realize opportunity
40,000,000 JPY

Strategy to realize opportunity and explanation of cost calculation
As background, global warming will intensify climate-related extreme weather conditions
like massive typhoons, while the public and private sectors are accelerating various
measures aimed at achieving carbon neutrality by 2050. The “Green Growth Strategy”
announced by the Japanese government highlights the importance of capacity building.
This strategy includes plans to grant academic credits for climate-related activities andincrease the enrolment in related university departments as well as enhancing STEAM(Science, Technology, Engineering, the Arts and Mathematics) education at theelementary and secondary education levels. Increasing media coverage on
environmental issues has enhanced the eco-awareness of our customers andconsumers. Benesse has a significant advantage in promoting environmental education
as we aim to achieve carbon neutrality by 2050 and respond to shifting customer
awareness through our main business that focuses on education. In particular, Benesse
has captured an overwhelming share of sales to high schools in this area by providing
advanced products and services to promote STEAM education for high school students
with learning materials such as “Tankyu Navi (Inquiry Navigator)” for schools and the“Benesse STEAM Festival communication forum (ongoing since 2018) and the "National
Exploration Contest" (ongoing since 2021).
Currently, we are providing environmental education within a framework aimed atfortifying science and social studies education, based on the Curriculum Guidelines
issued by the Ministry of Education, Culture, Sports, Science and Technology. However,Japan is still in the early stages of providing STEAM education, and there are not yet
enough educational opportunities for students to develop problem-solving skills to
address environmental and social issues; this leaves room for Benesse to diversify our
educational business activities.
More specifically, Benesse offers “Tankyu Navi (Inquiry Navigator)” learning materials
for schools with content designed to help students learn about the “inquiry-basedlearning process” and “necessary approaches”. It supports learners in practicing
inquisitive ways of thinking and deepening their understanding of global warming basedon actual social issues that include climate change and marine plastic pollution. We also
provide a communication forum, “Benesse STEAM Festa,” where junior and senior highschool students from across Japan share inquisitive learning activities on different
issues, including SDGs (Sustainable Development Goals), which is a popular theme.
Cases presented range from surveys to experimental studies on the development ofapps. (For example, students from Aoyama Gakuin Senior High School created the34Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Benesse Holdings, Inc. CDP Climate Change Questionnaire, which was used in asurvey conducted from July 25 through July 31, 2022 as a tool to help learners visualize
the amount of greenhouse gas emissions that can be reduced in our daily activities.)
Benesse also developed content on the use of technology in disaster prevention andrisk reduction, as part of the STEAM Library in the “Mirai no Kyoshitu” (Future
Classroom), a project of the Ministry of Economy, Trade and Industry.
As we look ahead into the future, there are opportunities to expand the scope of oureducational services in response to the enhanced eco-awareness of our customers.
One outcome of our activities can be seen in the success of the Benesse STEAM Festa.
In March 2022, teams selected from across the country presented at this online forum
and the event is gaining momentum year on year. One outcome indicator will be anincrease in the number of customers served when it is held in March 2023 compared tothe previous year.
Benesse also continues to implement “B-STAGE”, a system for proposing new businessdevelopment and operational improvements, which generates a wide range ofdevelopment of new products and services. This started in FY2021 and is ongoing in
FY2023.
The estimated cost to manage this new system totals 40 million JPY, which covers fees
for training, financial incentives, and outsourcing. It does not include labor costs.

Comment

C3. Business Strategy
C3.1(C3.1) Does your organization’s strategy include a climate transition plan that aligns
with a 1.5°C world?
Row 1
Climate transition planYes, we have a climate transition plan which aligns with a 1.5°C world.

Publicly available climate transition plan
Yes

Mechanism by which feedback is collected from shareholders on your climatetransition plan
We have a different feedback mechanism in place

Description of feedback mechanism
The IR (Investor Relations) Department engages in dialogue with asset managers andinvestors.
35

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

About 200 briefings and SR (Shareholder Relations) /ESG (Environment, Social,
Governance) meetings with investment managers and investors were held during thereporting year (with ESG briefings starting in FY2022), during which dialogue ispromoted and we receive feedback about our activities.
Being a relatively small greenhouse gas emitter, we got a limited number of questions
that focused on how we had established our goals for reductions in greenhouse gas
emissions, how we track and manage progress towards our goals, as well as about
specific measures to be implemented to achieve our reductions. We explained a numberof concrete steps we have been taking, such as raising our renewable energy targets atthe same time as we were revising the targets for Scope 1 and 2 emissions in line withcapping global warming at 1.5°C. Additionally, we have been promoting the digitalizationof our products and services to work on Scope 3 emission reductions. We have also
reviewed and updated our information disclosure based on the TCFD recommendations
for our revised target goal for Scope 1 and 2 emissions in line with the 1.5°C global
warming scenario. The information is published on our website. Renewed approval fromthe SBTi was also received in September 2022 and a statement was made on thewebsite to that effect.

Frequency of feedback collectionMore frequently than annually

Attach any relevant documents which detail your climate transition plan
(optional)
Results of TCFD scenario analysis consistent with a target of capping global warming at
1.5°C
20220928tcfd_disclosure.pdf

C3.2(C3.2) Does your organization use climate-related scenario analysis to inform its
strategy?
Use of climate-related scenario analysis to inform strategy
Row 1

Yes, qualitative and quantitative

C3.2a(C3.2a) Provide details of your organization’s use of climate-related scenario analysis.
Climaterelated
scenario

Scenario
analysiscoverageTransition
Companyscenarios
wide
IEA NZE 2050

Temperaturealignment of
scenarioParameters, assumptions, analytical choices

・A carbon tax price for the 1.5°C warming cap
scenario was set based on the estimated prices of
the advanced economies published in WEO 2021
NZE.
※ Reference made to the highest figure.

36

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

・The renewable energy price for the 1.5°C
warming cap scenario was estimated to be 10,000
JPY/t-CO2.
・Electricity prices for the 1.5°C warming cap
scenario reflect no increase in the difference
between renewable and non-renewable energy
prices in 2030. Power from fossil fuels + carbon tax
will lead to +4 JPY/kWh in 2030 and +8 JPY/kWhin 2050.
・The crude oil price was estimated at 4,680
JPY/bbl in 2030 and 3,120 JPY/bbl in 2050.
(Exchange rate of 1 USD=130 JPY)
Transition
scenarios

Companywide

IEA STEPS(previously
IEA NPS)・A carbon tax price for the 4°C business-as-usual
global warming scenario was set based on theestimated prices in the EU published in the WEO
2021 Stated Policies Scenario.
※ Reference made to the highest figure.
・The renewable energy price for the 4°C global
warming scenario was estimated at 5,000 JPY/tCO2.
・Electricity prices for the 4°C global warming
scenario reflect a difference between renewable
and non-renewable energy prices in 2030 of +4
JPY/kWh. Power from fossil fuel + carbon tax willlead to +2 JPY/kWh in 2030 and +3 JPY/kWh in
2050.
・The crude oil price was estimated at 10,010
JPY/bbl in 2030 and 11,440 JPY/bbl in 2050.
(Exchange rate of 1 USD=130 JPY)

Physicalclimatescenarios
RCP 1.9

Companywide

Physicalclimatescenarios
RCP 8.5

Companywide

Reference made to a temperature rise is estimatedat 1.5°C in the 2030 scenario and 1.6°C in the2050 scenario based on the IPCC：SSP1-1.9(AR6 WG I,II). ・Exchange rate of 1 USD=130 JPY
Reference made to a temperature rise is estimatedat 1.6°C in the 2030 scenario and 2.4°C in the2050 scenario based on the IPCC：SSP5-8.5(AR6 WG I,II). ・Exchange rate of 1 USD=130 JPY

C3.2b(C3.2b) Provide details of the focal questions your organization seeks to address byusing climate-related scenario analysis, and summarize the results with respect tothese questions.
37Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Row 1
Focal questions
In order to understand how climate change would affect our business strategy andfinancial plans, we needed to clarify the answers to the following questions(i) In order to achieve a carbon-neutral society, would it be possible to continue our main
existing business, the education business, in a world where the average global
temperature has risen by 1.5°C or by nearly 4°C since pre-industrial times? If so, what
would be the major challenges?
(ii) Could our moves to develop and revise our products and services in line with our
digitalization strategy, which is the direction in which our business is being transformed,
as well as the changing needs of our customers, who are increasingly concerned aboutclimate change and reducing our impact on the global environmental, be business
opportunities for us?
(iii) How can we increase the value we provide to our customers as we strive towards
the realisation of a carbon-neutral society, and at the same time, how can we put our
Corporate Purpose (“a world where everyone can grow and develop throughout theirlives, a world where they can live their own lives as they see fit”) into practice? Benesse
will continue to aim to help bring about a world where everyone can live their own life as
they see fit.) How should we enhance and develop our product and service development
capabilities, marketing and expertise in line with this Purpose (helping make this “aworld where everyone can grow and develop throughout their lives and live their own
lives as they see fit”)?
(iv) What impact could the risk of natural disasters and new regulations due to global
warming have on the company and its supply chain? What would be the economic
impact if global warming is capped at 1.5°C? What would it be if global warming rose
4°C? What policies and measures are needed to address these risks?
To answer these questions, an objective analysis based on the TCFD framework was
conducted.
When greenhouse gas (GHG) emission regulations are reinforced or more stringent
reduction obligations are put into place, there will be financial consequences in terms ofthe delivery and administrative costs of logistics companies, which may switch totransportation means with a smaller carbon impact. There is also growing awarenessand engagement in environmental initiatives taken by businesses among members ofGeneration Z and their families, who constitute our main customer base.
①The surge in delivery costs due to climate change will have a significant impact on ourbusiness.
Benesse's main education businesses, such as our “Kodomo Challenge” and “Shinken
Zemi” programs (elementary, junior high, high school and junior high/high school
courses), deliver products and services directly from the Benesse Logistics Centre in
Setouchi City, Okayama Prefecture, to our many customers throughout Japan.
Since we send out our products across the country from the Logistics Center inOkayama Prefecture, it is anticipated that delivery costs will increase to reflect the sharp
rise in carbon taxes. We also anticipate cost increases associated with the switch to
EVs and/or renewable energy sources when stricter policies, laws and regulations are38

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

introduced to address climate change.
②Due to the large volume of paper consumption in our business, there is a risk to our
reputation if we’re seen as a company that has a negative impact on the environment.
Benesse's main educational businesses, our "Kodomo Challenge" and "Shinken Zemi”
programs (elementary, junior high, high school, and junior high/high school courses),
use a great deal of paper, since their teaching materials are physically delivered tocustomers’ homes. Compared to FY2011, paper consumption was reduced by 53% in
FY2021, but even so, Benesse's paper consumption is still high, accounting for
approximately 0.7% of the total printing and information paper produced in Japan.
Therefore, in terms of our Scope 3 raw material use, it is possible that our reputation will
be harmed if the company is regarded as insufficiently responsive or as a company
having a high environmental impact. Conversely, if a company is regarded as having an
excellent approach to climate change and environmental issues, it could be seen as anopportunity to increase its corporate value.

Results of the climate-related scenario analysis with respect to the focal
questions➀ The surge in delivery costs due to climate change
Since we send out our products across the country from the Logistics Center inOkayama Prefecture, it is anticipated that delivery costs will increase to reflect a sharp
rise in carbon taxes. We also anticipate cost increases associated with the switch to
EVs and/or renewable energy sources in the lead-up to 2030, when stricter policies,
laws and regulations are expected to be introduced to address climate change. Benesse
consumes about 0.7% of the total printing and information processing paper produced inJapan and delivery of paper-based products accounts for the majority of its shipping
volume.
The results of climate-related scenario analyses are as below:
As deliveries are made directly across Japan from a logistics centre in Setouchi City,
Okayama Prefecture, rising oil prices lead to higher petrol costs, which directly translate
into higher land transport fares. The expected rise in carbon taxes will also increase
delivery fees, and that will push up shipping costs. On the other hand, as
decarbonization moves forward, it will push down crude oil prices leading to a possible
reduction in shipping costs. A rise in labour costs can be offset with automation and leadto a decrease in delivery costs. However, if automation cannot be successfully
implemented, there may be a rise in delivery costs.
The results of these scenario analyses highlight the need to promote decarbonization,
curb price hikes in crude oil and further automate our delivery processes.
As countermeasures to deal with the difficulties projected in our scenario analyses,
Benesse has reduced the size of its teaching materials and packaging to meet set
standards in order to reduce energy use in delivery every month starting in 2021. In
addition, it has coordinated its monthly delivery volumes with the shipping companies it
uses in advance to ensure that containers and trucks are loaded without waste. This useof containers and trucks has proven successful. The company will further strengthen its
39

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

efforts in this area starting in 2023. This will not only reduce energy consumption during
delivery, but also delivery costs.
It is assumed that carbon tax and delivery costs will have a larger impact if global
warming is to be capped at 1.5°C than if it is allowed to rise 4°C.

②Due to the large volume of paper consumption in our business, there is a risk to our
reputation if we’re seen as a company having a negative impact on the environment.
Benesse's correspondence education businesses, "Kodomo Challenge" and "Shinken
Zemi” (elementary, junior high, high school and integrated junior high and high school
courses) for students from pre-school through high school age, are paper-intensive, andif the growing environmental awareness of our customers leads to them being deemed
to be placing a burden on the environment by using a lot of paper, this could lead to adecrease in sales and a decline in the price of Benesse’s stock. Conversely, if thecompany's efforts to address climate change and environmental issues are highly
evaluated, this could provide an opportunity to increase the company's value.
Our main business focuses on education and our customers are mainly children (frompre-schoolers up to senior high school and university students) or who we call “theexchange students from the future”. In the medium to long term, education has a huge
influence on people and society and is recognised as having the power to bring aboutsocial change.
The results of climate-change scenario analysis are as below:
Increased environmental awareness among people and society has led to an increase
in alternative, environmentally friendly services, a trend that has led to the rise ofcompetitors, and as Benesse's main business is the education business, centering on“Kodomo Challenge” and “Shinken Zemi”, if its response to climate change is deemed
inadequate, the resulting damage to or decline in its reputation could lead to a decline incustomer numbers and sales. This, in turn, could lead to a decline in the price ofBenesse’s stock. Conversely, if the company is regarded as being proactive in terms of
its environmental initiatives, this may lead to opportunities to increase corporate value.
Increased environmental awareness among people and society will also lead toincreased ESG (Environment, Social, Governance) investment, and if the company's
climate change measures are assessed as insufficient, this could also lead to a decline
in the price of our stock. Conversely, if the company is assessed as being proactive interms of its environmental initiatives, this could lead to opportunities to increase
corporate value.
These results of our scenario analysis highlight the need to switch to more eco-friendly
services as well as to improve our brand image by strengthening our climate change
countermeasures. A proactive approach can optimize Benesse’s social value, thus
creating greater economic value as well. The results of an actual customer awarenesssurvey show that the results of this analysis are increasingly reliable, as customer
awareness is steadily changing, and our plans to offer contents about climate change

40Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

and global environmental protection, such as the concept of “Mottainai” (What a waste!),are highly evaluated.
In order to meet the expectations of our customers, Benesse is not only providing
environmental education tailored to our customers’ developmental stages through its
education programs such as “Kodomo Challenge” and “Shinken Zemi”, but since 2020,
it has also started a program offering Benesse's original tablets for reuse by those whowish to use them, and plans to expand the scale of reuse of these tablets. A campaign
to increase the tablet reuse has been implemented starting in 2023. Other
environmentally friendly measures that have been taken include the introduction of
biomaterials in film envelopes for direct mail from Benesse from November 2022
onwards (switching to all film envelopes). Other measures under consideration include
BYOD (bring your own device) for the tablets themselves, and new decisions areexerting their influence one after another and additional measures are being
implemented.
It is assumed that the development of eco-friendly alternative services, safeguarding thebrand image, and ESG investment will have a larger impact if the goal is capping global
warming at 1.5°C than if it is to be allowed to rise 4°C.

C3.3
(C3.3) Describe where and how climate-related risks and opportunities haveinfluenced your strategy.
Have climate-relatedrisks andopportunities
influenced yourstrategy in this area?
Products and Yes
services

Description of influence

The biggest risk our company faces in relation to climatechange is increased paper costs due to changes inprecipitation and other weather patterns. As a medium-term
strategy to manage this risk, over the next few years we will
strive to cut down on the amount of paper-based products weoffer by gradually switching from paper-based learningmaterials for elementary school through high school students
who are studying in our “Shinken Zemi” program to tabletbased digital learning materials called “Challenge Touch”.
This strategy is intended to ensure an optimum balance
between our concern for the environment and our goal ofproviding effective learning materials for our customers.
Looking ahead to 2030, we estimate that the financial
impact of increased paper costs will be approximately 590
million JPY; however, through our shift to digital products and41

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

services, we are planning to strategically reduce our paper
consumption and thus reduce medium-term paper costs byapproximately 1.357 billion JPY despite the above-mentioned
anticipated increases in the cost of paper.
Supply chain Yes
and/or valuechain

It is anticipated that climate change may impact our
supply chain and/or value chain for the production of ourlearning materials and toys.
In the event of a major natural disaster that leads tosuspension of production by our suppliers or stoppage ofthe shipping of products and materials from our suppliers toJapan, recovery of our supply chain may need to involve air
freight, which would lead to an estimated 100 million JPY
increase in cost. We are therefore investigating possible
countermeasures such as relocating our production bases
and factories.

Investment in Yes
R&D

Global warming due to climate change can affectecosystems, accelerate desertification and intensify thefrequency of unanticipated torrential rains and other extreme
weather conditions. It is anticipated that such risks may welllead to deforestation, and as the number of trees decreases,
the cost of paper, which is made from trees, will rise.
The challenges we face also include the possibility of theneed to change shipping methods due to the suspension oflogistics networks caused by typhoons, floods and otherextreme weather conditions as well as sharp increases inpaper prices due to deforestation caused by changes inprecipitation patterns resulting from climate change.
To deal with these challenges, Benesse has adopted astrategy of digitalizing the products and services in our mainlines of business, including “Shinken Zemi”. This strategy isenhancing our customers’ learning experiences while also
leading to reduced paper consumption and allowing us tomitigate the impact of price increases. Thus, we are able toprovide better products and services and boost ourcompetitiveness.
We are expanding our use of information technology in ourline-up of products and services for schools, and our
research and development in the areas of educational
content and programs as well as tools has enabled us tostrengthen our line-up of tablet-based products and services.
This, in turn, has allowed us to compile a wealth of customer
data, which should make it possible to provide products that
better meet our customers’ needs, thereby boosting oursales and profits.

42

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Specifically, digitalization leads to enhanced products andservices that build on Benesse’s strengths in guiding
students and boosting their motivation by deepening theirunderstanding of the learning materials and improving theircomprehension through faster confirmation of whether theiranswers to questions are right or wrong. This enhances thelearning experience, thereby improving customer satisfaction
and increasing membership retention rates, thus boosting
our sales and profits.
This is the medium-term strategy which we plan toimplement in the next few years. We do not believe that we
can completely eliminate our use of paper, however, since
we need to find the optimum balance between our ecologicalgoals and our customers’ needs.
Benesse invests 280 million JPY annually on R&D projects
related to the shift to digital products.
Operations

Yes

Benesse faces the risk of being forced to change themethods it uses to deliver its products and services in theevent that climate change-induced shifts in precipitation
patterns lead to typhoons, flooding and other natural
disasters that cause suspension of operations in its logistic
networks.
Based on past experience, we can estimate that in casessuch as (a) logistic suspensions lasting a few days, such as
occurred during the shipping stoppage due to torrential
rainfall in western Japan, the company would suffer asetback of approximately 10 million JPY; (b) suspensions
lasting around three weeks, as in the case of the Great East
Japan Earthquake, it would take about 150 million JPY tohandle.
Our SCM (Supply Chain Management) Division iscurrently in charge of making preparations to secure
alternative shipping methods in such cases.
In addition, to mitigate the risk of difficulties arising fromshortages of wood pulp due to deforestation caused byclimate change-induced changes in precipitation patterns,
we have set a medium-term goal of shifting to paperlesscommunication within our group companies, by taking thefollowing measures:① We are promoting paperless operations through theuse of digital invoices and receipts for transactions between
group companies (starting in November 2015). We havealso begun issuing electronic estimates and purchaseorders and plan to extend digitalization throughout theentire Benesse group of companies.

43Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

② Our Operations Division, which serves schools andteachers, has also introduced an electronic ordering system
for its clients in order to promote paperless operations.
③ By digitalizing the editing process used in the
production of our products and services, we were able tocut back on the use of paper used to print out proofs as wellas on delivery costs and outsourcing commissions.
Investments for the above three measures wasapproximately 60 million JPY, while annual savings due topaperless operations reached 57 million JPY.

C3.4
(C3.4) Describe where and how climate-related risks and opportunities haveinfluenced your financial planning.
Financialelements thathave been
influenced
Row Revenues
1
Direct costs
Indirect costs

Description of influence

1) Potential impact on revenues
・Opportunities related to products and services
Our efforts to reduce CO2 emissions by digitalizing our “Shinken
Zemi” learning materials for students of elementary school through highschool have allowed us to compile a wealth of data on our customers’
study history and methods, which should make it possible to provide
products that better meet their needs; research has shown that this will
improve their learning experience while also boosting our sales. These
research results have been reflected in our financial plan as anticipatedincreases in sales thanks to a rise in our subscriber “retention rate”, amajor financial index. The results of research on changes in consumer
behaviour due to climate change (awareness of the reduction in paper
use and enhanced learning experience thanks to digitalization of thelearning materials) are also reflected in our financial plan.
Based on past business performance, a 1% rise in our retention rate
(defined as the percentage of subscribers from the previous month who
continue to use our products and services without cancelling theircontracts), which is one of our company’s major KPIs (key performanceindicators), will lead to an annual growth in revenues of around 5%.
2) Potential impact on direct spending
Risks and opportunities related to climate change may well have an
impact on our revenues. The risks that Benesse has identified include
those related to changes in consumer behaviour and those resulting
from unexpected occurrences such as natural disasters. Identified
opportunities include those involving our products and services and44

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

those created by more efficient use of resources. For example, the risks
that may arise from unexpected occurrences include the possible needto change the methods we use to deliver materials such as “Kodomo
Challenge” and “Shinken Zemi” in case our logistics networks suspend
operations.
① Risks arising from unexpected occurrences
Based on past experience, we estimate that costs related to the needto change the methods by which we ship “Kodomo Challenge” and“Shinken Zemi” learning materials to areas affected by natural disasters
when our logistics networks have suspended operations would run toapproximately 10 million JPY each time a wide area is affected forseveral days, as in the case of the torrential rains that ravaged westernJapan in 2018, or 150 million JPY each time an extremely large region
is affected for approximately 3 weeks, as it was after the Great East
Japan Earthquake in 2011.
② Possible opportunities
Our strategy of producing more digital products and services suchas “Challenge Touch” will minimize the influence of rising paper costs
through the reduction of the use of paper, and thus potentially
increase our competitiveness. The impact of our reduced paper
consumption may potentially lead to medium- to long-term savings of
1.357 billion JPY despite possible increases in paper costs due topaper shortages.
3) Potential impact on indirect costs4) Risks due to legal restrictions and new policies
A corporate scandal in 2014 had a major negative financial impact
on the Benesse Group, including large losses of existing customers,
missed opportunities to enroll new customers and new costs incurredin striving to rebuild trust. In the face of such severe financial
conditions, it was difficult to switch to renewable energy sources, so
we have been relying on 8,062 MWh of electricity generated using
fossil fuels annually to keep the financial impact to a minimum.
However, given the possibility that a tax on fossil fuel use may beintroduced in Japan to counter global warming, this reliance on fossil
fuels is accompanied by the risk of increased energy costs.
If the cost of procuring energy rises 5%, our operating costs willrise by about 10 million JPY annually. In the face of new laws
concerning climate change and the use of fluorocarbons, our CEO
approved the following measures. In FY2020, high-efficiency aircooled chillers and multiple air conditioning units that can makeaccurate output adjustments based on motion sensors were installed45

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

at the Benesse Logistics Center, resulting in an annual reduction ofenergy equivalent to 67 kiloliters of crude oil a year.
In addition, toilet renovation is now underway (2021 ~ 2023).
Plumbing work at the Minamigata Headquarters building undertaken
in 2020 led to a reduction in water consumption for flushing toilets by
240 m3/ year (0.6t Co2/ year). In addition, a shift to LED lights and areduction in electricity consumption for lighting and air conditioning
reduced electricity consumption by 12,696 kwh (3.3 kl/year), while theelevators in our high buildings are undergoing renovation between
2021 and 2024 with the expectation that this will reduce carbon
dioxide emissions by 6t/year.
At our Tama Office Building, upgrades in the lighting equipment
and the installation of insulation film in offices and on glass windows
reduced electricity use by an estimated 82.82kl during FY2020, while
refurbishment of plumbing and toilets is being undertaken between
2020 and 2023 and is expected to reduce water consumption for
flushing toilets by 15,000 m3/year (7t CO2/ year). In addition, we areplanning on upgrading the voltage transformer and the ventilation andexhaust fans in the electricity generating room to reduce electricity
consumption by 6.9 kl.

C3.5(C3.5) In your organization’s financial accounting, do you identify spending/revenue
that is aligned with your organization’s climate transition to a 1.5°C world??
Identification of spending/revenue that is aligned with your organization’s climatetransition
Row Yes, we have identified spending and revenue that are aligned with our organization’s climate
1transition.

C3.5a(C3.5a) Quantify the percentage share of your spending/revenue that is aligned withyour organization’s climate transition.

Financial Metric
Revenue/Turnover
Type of alignment being reported for this financial metric
Alignment with our climate transition plan
Taxonomy under which information is being reported
Objective under which alignment is being reported

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Amount of selected financial metric that is aligned in the reporting year
(unit currency as selected in C0.4)
87,000,000
Percentage share of selected financial metric aligned in the reporting year(%)
0.01
Percentage share of selected financial metric planned to align in 2025 (%)
0.2
Percentage share of selected financial metric planned to align in 2030 (%)
1
Describe the methodology used to identify spending/revenue that isalignedThe simulation of our increase in sales resulting from environmental education
is as follows:
In order to cap global warming at 1.5℃ by 2030, sales for a 1% market share (30million JPY + 57 million JPY) X our future market share* For 2050, sales for a 1% market share will be multiplied by the projected
decline in the number of schools (61%).

C4. Targets and performance
C4.1(C4.1) Did you have an emissions target that was active in the reporting year?
We had an aggregate target.

C4.1a(C4.1a) Provide details of your absolute emissions target(s) and progress madeagainst those targets.
Target reference number
Abs 1

Is this a science-based target?
Yes, we understand it to be a science-based target and are committed to seeking an
SBTi review of this target within two years.

Target ambition
1.5℃ aligned

Year target was set
2021

Target coverage
47

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Company-wide

Scope(s)Scope 1
Scope 2
Scope 2 accounting method
Market-based
Scope 3 category(ies)Base year
2018
Base year Scope 1 emissions covered by target (metric tons CO2e)
120
Base year Scope 2 emissions covered by target (metric tons CO2e)7,477
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 2: Capital goods emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 4: Upstream transportation and distribution
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 6: Business travel emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 7: Employee commuting emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target (metric tons CO2e)48

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 10: Processing of sold products emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 15: Investments emissions covered by target(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target (metric tons
CO2e)Base year Scope 3, Other (downstream) emissions covered by target (metrictons CO2e)
Base year total Scope 3 emissions covered by target (metric tons CO2e)
Total base year emissions covered by target in all selected Scopes (metrictons CO2e)
7,597
Base year Scope 1 emissions covered by target as % of total base year
emissions in Scope 1
100
Base year Scope 2 emissions covered by target as % of total base year
emissions in Scope 2
100
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target as % of total base year emissions in Scope 3, Category 1:
Purchased goods and services (metric tons CO2e)
Base year Scope 3, Category 2: Capital goods emissions covered by target
as % of total base year emissions in Scope 3, Category 2: Capital goods(metric tons CO2e)49

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target as % of total base year
emissions in Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) (metric tons CO2e)
Base year Scope 3, Category 4: Upstream transportation and distribution
covered by target as % of total base year emissions in Scope 3, Category 4:
Upstream transportation and distribution (metric tons CO2e)
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target as % of total base year emissions in Scope 3, Category 5:
Waste generated in operations (metric tons CO2e)
Base year Scope 3, Category 6: Business travel emissions covered by target
as % of total base year emissions in Scope 3, Category 6: Business travel(metric tons CO2e)
Base year Scope 3, Category 7: Employee commuting covered by target as %of total base year emissions in Scope 3, Category 7: Employee commuting(metric tons CO2e)
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget as % of total base year emissions in Scope 3, Category 8: Upstream
leased assets (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target as % of total base year emissions in Scope 3,
Category 9: Downstream transportation and distribution (metric tons CO2e)
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target as % of total base year emissions in Scope 3, Category 10:
Processing of sold products (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget as % of total base year emissions in Scope 3, Category 11: Use of soldproducts (metric tons CO2e)
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target as % of total base year emissions in Scope 3,
Category 12: End-of-life treatment of sold products (metric tons CO2e)
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target as % of total base year emissions in Scope 3, Category 13:
Downstream leased assets (metric tons CO2e)50

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 14: Franchises emissions covered by target as %of total base year emissions in Scope 3, Category 14: Franchises (metric tons
CO2e)Base year Scope 3, Category 15: Investments emissions covered by target
as % of total base year emissions in Scope 3, Category 15: Investments(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (upstream) (metric tons CO2e)
Base year Scope 3, Other (downstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (downstream) (metric tons CO2e)
Base year total Scope 3 emissions covered by target as % of total base year
emissions in Scope 3 (in all Scope 3 categories)
Base year emissions covered by target in all selected Scopes as % of total
base year emissions in all selected Scopes
100
Target year
2041
Targeted reduction from base year (%)
100
Total emissions in target year covered by target in all selected Scopes (metrictons CO2e) [auto-calculated]0
Scope 1 emissions in reporting year covered by target (metric tons CO2e)75
Scope 2 emissions in reporting year covered by target (metric tons CO2e)4,502
Scope 3, Category 1: Purchased goods and services emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 2: Capital goods emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 3: Fuel-and-energy-related activities (not included in
Scopes 1 or 2) emissions in reporting year covered by target (metric tons
CO2e)

Scope 3, Category 4: Upstream transportation and distribution emissions inreporting year covered by target (metric tons CO2e)51

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Scope 3, Category 5: Waste generated in operations emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 6: Business travel emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 7: Employee commuting emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 8: Upstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 9: Downstream transportation and distribution emissions
in reporting year covered by target (metric tons CO2e)
Scope 3, Category 10: Processing of sold products emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 11: Use of sold products emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 12: End-of-life treatment of sold products emissions inreporting year covered by target (metric tons CO2e)
Scope 3, Category 13: Downstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 14: Franchises emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 15: Investments emissions in reporting year covered bytarget (metric tons CO2e)

Scope 3, Other (upstream) emissions in reporting year covered by target(metric tons CO2e)
Scope 3, Other (downstream) emissions in reporting year covered by target(metric tons CO2e)
Total Scope 3 emissions in reporting year covered by target (metric tons
CO2e)

52

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Total emissions in reporting year covered by target in all selected scopes(metric tons CO2e)4,577
Does this target cover any land-related emissions?
No. It does not cover any land-related emissions (for example, non-FLAG SBT).
% of target achieved relative to base year [auto-calculated]
39.752533895
Target status in reporting year
RevisedPlease explain target coverage and identify any exclusions
Using 2018 as our base year, the target was revised upward to be a 4.4%
annual reduction of the total Scope 1 and 2 amounts. The target for 2041 is a
100% reduction. There are no exclusions.
Emissions for the reporting year (2022) are 4,577t -CO2, which is 39.8%
reduction from base year emissions and significantly ahead of schedule.

Plan for achieving target, and progress made to the end of the reporting year
・Medium-term plan to renovate our offices and distribution center to make themenergy-efficient facilities (including some ongoing measures related to air
conditioning, the replacement of some lights with LED lights, upgradingelevators, replacing gas equipment with electric equipment in the Tama Office
Building’s cafeteria and so on)
・Measures to reduce energy consumption (lining glass windows with energysaving film sheets, adjusting the time when air conditioning is turned on, turning
off unnecessary lights, etc., plus “Cool Biz” clothing guidelines for summer timeand “Warm Biz” clothing guidelines for the winter months)

・Reducing the amount of office space that is being rented by about 50%
through changes in work styles (adjusting the proportion of employees who will
work at company offices, giving free addresses, etc.)

List the emissions reduction initiatives which contributed most to achieving
this target

Target reference number
Abs 2
Is this a science-based target?
Yes, and this target has been approved by the Science Based Targets initiative
Target ambition
1.5°C aligned
Year target was set
2021

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Target coverage
Company-wide
Scope(s)Scope 1
Scope 2
Scope 2 accounting method
Market-based
Scope 3 category(ies)Base year
2018
Base year Scope 1 emissions covered by target (metric tons CO2e)
120
Base year Scope 2 emissions covered by target (metric tons CO2e)7,477
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 2: Capital goods emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 4: Upstream transportation and distribution
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 6: Business travel emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 7: Employee commuting emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target (metric tons CO2e)54

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 10: Processing of sold products emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 15: Investments emissions covered by target(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target (metric tons
CO2e)Base year Scope 3, Other (downstream) emissions covered by target (metrictons CO2e)
Base year total Scope 3 emissions covered by target (metric tons CO2e)
Total base year emissions covered by target in all selected Scopes (metrictons CO2e)
7,597
Base year Scope 1 emissions covered by target as % of total base year
emissions in Scope 1
100
Base year Scope 2 emissions covered by target as % of total base year
emissions in Scope 2
100
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target as % of total base year emissions in Scope 3, Category 1:
Purchased goods and services (metric tons CO2e)
Base year Scope 3, Category 2: Capital goods emissions covered by target
as % of total base year emissions in Scope 3, Category 2: Capital goods(metric tons CO2e)55

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target as % of total base year
emissions in Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) (metric tons CO2e)
Base year Scope 3, Category 4: Upstream transportation and distribution
covered by target as % of total base year emissions in Scope 3, Category 4:
Upstream transportation and distribution (metric tons CO2e)
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target as % of total base year emissions in Scope 3, Category 5:
Waste generated in operations (metric tons CO2e)
Base year Scope 3, Category 6: Business travel emissions covered by target
as % of total base year emissions in Scope 3, Category 6: Business travel(metric tons CO2e)
Base year Scope 3, Category 7: Employee commuting covered by target as %of total base year emissions in Scope 3, Category 7: Employee commuting(metric tons CO2e)
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget as % of total base year emissions in Scope 3, Category 8: Upstream
leased assets (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target as % of total base year emissions in Scope 3,
Category 9: Downstream transportation and distribution (metric tons CO2e)
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target as % of total base year emissions in Scope 3, Category 10:
Processing of sold products (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget as % of total base year emissions in Scope 3, Category 11: Use of soldproducts (metric tons CO2e)
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target as % of total base year emissions in Scope 3,
Category 12: End-of-life treatment of sold products (metric tons CO2e)
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target as % of total base year emissions in Scope 3, Category 13:
Downstream leased assets (metric tons CO2e)56

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 14: Franchises emissions covered by target as %of total base year emissions in Scope 3, Category 14: Franchises (metric tons
CO2e)Base year Scope 3, Category 15: Investments emissions covered by target
as % of total base year emissions in Scope 3, Category 15: Investments(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (upstream) (metric tons CO2e)
Base year Scope 3, Other (downstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (downstream) (metric tons CO2e)
Base year total Scope 3 emissions covered by target as % of total base year
emissions in Scope 3 (in all Scope 3 categories)
Base year emissions covered by target in all selected Scopes as % of total
base year emissions in all selected Scopes
100
Target year
2030
Targeted reduction from base year (%)
52.8
Total emissions in target year covered by target in all selected Scopes (metrictons CO2e) [auto-calculated]
3,585.784
Scope 1 emissions in reporting year covered by target (metric tons CO2e)75
Scope 2 emissions in reporting year covered by target (metric tons CO2e)4,502
Scope 3, Category 1: Purchased goods and services emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 2: Capital goods emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 3: Fuel-and-energy-related activities (not included in
Scopes 1 or 2) emissions in reporting year covered by target (metric tons
CO2e)
Scope 3, Category 4: Upstream transportation and distribution emissions inreporting year covered by target (metric tons CO2e)57

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Scope 3, Category 5: Waste generated in operations emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 6: Business travel emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 7: Employee commuting emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 8: Upstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 9: Downstream transportation and distribution emissions
in reporting year covered by target (metric tons CO2e)
Scope 3, Category 10: Processing of sold products emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 11: Use of sold products emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 12: End-of-life treatment of sold products emissions inreporting year covered by target (metric tons CO2e)
Scope 3, Category 13: Downstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 14: Franchises emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 15: Investments emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Other (upstream) emissions in reporting year covered by target(metric tons CO2e)
Scope 3, Other (downstream) emissions in reporting year covered by target(metric tons CO2e)
Total Scope 3 emissions in reporting year covered by target (metric tons
CO2e)

58

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Total emissions in reporting year covered by target in all selected scopes(metric tons CO2e)4,577
Does this target cover any land-related emissions?

No, it does not cover any land-related emissions (e.g. non-FLAG SBT)
% of target achieved relative to base year [auto-calculated]
75.2888899526
Target status in reporting year
RevisedPlease explain target coverage and identify any exclusions
Using 2018 as our base year, the target is a 4.4% annual reduction of thetotal Scope 1 and 2 emissions (SBTi-approved target aligned with capping
global warming at 1.5℃). The target for 2041 is a 100% reduction. There are no
exclusions.
Emissions for the reporting year (2022) were 4,577t -CO2, which is 39.8%
reduction from base year emissions, with reduction proceeding significantly
ahead of schedule.
Plan for achieving target, and progress made to the end of the reporting year
・Medium-term plan to renovate our offices and distribution center to makethem energy-efficient facilities (including some ongoing measures related toair conditioning, the replacement of some lights with LED lights, upgradingelevators, replacing gas equipment with electric equipment in the Tama
Office Building’s cafeteria and so on)
・Measures to reduce energy consumption (lining glass windows with energysaving film sheets, adjusting the time when air conditioning is turned on, turning
off unnecessary lights, etc., plus “Cool Biz” clothing guidelines for summer timeand “Warm Biz” clothing guidelines for the winter months)
・Reducing the amount of office space that is being rented by about 50%
through changes in work styles (adjusting the proportion of employees who will
work at company offices, giving free addresses, etc.)
List the emissions reduction initiatives which contributed most to achieving
this target

Target reference number
Abs 3
Is this a science-based target?
Yes, and this target has been approved by the Science Based Targets initiative.
Target ambition
2°C aligned
Year target was set
59

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

2021
Target coverage
Company-wide
Scope(s)Scope 3
Scope 2 accounting method
Scope 3 category(ies)Category 1: Purchased goods and services
Category 2: Capital goods
Category 3: Fuel-and-energy-related activities (not included in Scopes 1 or 2)
Category 4: Upstream transportation and distribution
Category 5: Waste generated in operations
Category 6: Business travel
Category 7: Employee commuting
Category 9: Downstream transportation and distribution
Category 11: Use of sold products
Category 12: End-of-life treatment of sold products
Base year
2018
Base year Scope 1 emissions covered by target (metric tons CO2e)
Base year Scope 2 emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target (metric tons CO2e)183,759
Base year Scope 3, Category 2: Capital goods emissions covered by target(metric tons CO2e)
7,772
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target (metric tons CO2e)705
Base year Scope 3, Category 4: Upstream transportation and distribution
emissions covered by target (metric tons CO2e)
4,585
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target (metric tons CO2e)694
Base year Scope 3, Category 6: Business travel emissions covered by target(metric tons CO2e)
6,025

60

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 7: Employee commuting emissions covered bytarget (metric tons CO2e)641
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target (metric tons CO2e)
8,055
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget (metric tons CO2e)278
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target (metric tons CO2e)
7,937
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 15: Investments emissions covered by target(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target (metric tons
CO2e)Base year Scope 3, Other (downstream) emissions covered by target (metrictons CO2e)
Base year total Scope 3 emissions covered by target (metric tons CO2e)
220,450
Total base year emissions covered by target in all selected Scopes (metrictons CO2e)
228,047
Base year Scope 1 emissions covered by target as % of total base year
emissions in Scope 1
Base year Scope 2 emissions covered by target as % of total base year
emissions in Scope 261

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target as % of total base year emissions in Scope 3, Category 1:
Purchased goods and services (metric tons CO2e)100
Base year Scope 3, Category 2: Capital goods emissions covered by target
as % of total base year emissions in Scope 3, Category 2: Capital goods(metric tons CO2e)100
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target as % of total base year
emissions in Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) (metric tons CO2e)100
Base year Scope 3, Category 4: Upstream transportation and distribution
covered by target as % of total base year emissions in Scope 3, Category 4:
Upstream transportation and distribution (metric tons CO2e)100
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target as % of total base year emissions in Scope 3, Category 5:
Waste generated in operations (metric tons CO2e)100
Base year Scope 3, Category 6: Business travel emissions covered by target
as % of total base year emissions in Scope 3, Category 6: Business travel(metric tons CO2e)100
Base year Scope 3, Category 7: Employee commuting covered by target as %of total base year emissions in Scope 3, Category 7: Employee commuting(metric tons CO2e)100
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget as % of total base year emissions in Scope 3, Category 8: Upstream
leased assets (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target as % of total base year emissions in Scope 3,
Category 9: Downstream transportation and distribution (metric tons CO2e)100
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target as % of total base year emissions in Scope 3, Category 10:
Processing of sold products (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget as % of total base year emissions in Scope 3, Category 11: Use of soldproducts (metric tons CO2e)100

62Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target as % of total base year emissions in Scope 3,
Category 12: End-of-life treatment of sold products (metric tons CO2e)100
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target as % of total base year emissions in Scope 3, Category 13:
Downstream leased assets (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target as %of total base year emissions in Scope 3, Category 14: Franchises (metric tons
CO2e)Base year Scope 3, Category 15: Investments emissions covered by target
as % of total base year emissions in Scope 3, Category 15: Investments(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (upstream) (metric tons CO2e)
Base year Scope 3, Other (downstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (downstream) (metric tons CO2e)
Base year total Scope 3 emissions covered by target as % of total base year
emissions in Scope 3 (in all Scope 3 categories)
100
Base year emissions covered by target in all selected Scopes as % of total
base year emissions in all selected Scopes
100
Target year
2050
Targeted reduction from base year (%)
39.4
Total emissions in target year covered by target in all selected Scopes (metrictons CO2e) [auto-calculated]
138,196.482
Scope 1 emissions in reporting year covered by target (metric tons CO2e)
Scope 2 emissions in reporting year covered by target (metric tons CO2e)
Scope 3, Category 1: Purchased goods and services emissions in reporting
year covered by target (metric tons CO2e)
162,462
Scope 3, Category 2: Capital goods emissions in reporting year covered bytarget (metric tons CO2e)63Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

6,583
Scope 3, Category 3: Fuel-and-energy-related activities (not included in
Scopes 1 or 2) emissions in reporting year covered by target (metric tons
CO2e)
883
Scope 3, Category 4: Upstream transportation and distribution emissions inreporting year covered by target (metric tons CO2e)
2,834
Scope 3, Category 5: Waste generated in operations emissions in reporting
year covered by target (metric tons CO2e)498
Scope 3, Category 6: Business travel emissions in reporting year covered bytarget (metric tons CO2e)
1,368
Scope 3, Category 7: Employee commuting emissions in reporting year
covered by target (metric tons CO2e)455
Scope 3, Category 8: Upstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 9: Downstream transportation and distribution emissions
in reporting year covered by target (metric tons CO2e)8,335
Scope 3, Category 10: Processing of sold products emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 11: Use of sold products emissions in reporting year
covered by target (metric tons CO2e)347
Scope 3, Category 12: End-of-life treatment of sold products emissions inreporting year covered by target (metric tons CO2e)6,216
Scope 3, Category 13: Downstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 14: Franchises emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 15: Investments emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Other (upstream) emissions in reporting year covered by target(metric tons CO2e)64Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Scope 3, Other (downstream) emissions in reporting year covered by target(metric tons CO2e)
Total Scope 3 emissions in reporting year covered by target (metric tons
CO2e)
189,981
Total emissions in reporting year covered by target in all selected scopes(metric tons CO2e)
194,558
Does this target cover any land-related emissions?
No, it does not cover any land-related emissions (e.g. non-FLAG SBT)
% of target achieved relative to base year [auto-calculated]
37.2719053217
Target status in reporting year
Underway
Please explain target coverage and identify any exclusions
Using 2018 as our base year, the target is a 1.23% annual reduction of our
Scope 3 emissions.
The target for 2050 is a 39.4% reduction.
Scope 3 emissions for the reporting year were 189,981 t -CO2, which is a
13.8% reduction from base year emissions, with reduction proceeding
significantly ahead of schedule.

Plan for achieving target, and progress made to the end of the reporting year
・ Reduce the amount of paper procured, shipped and disposed of throughdigitalization of the learning materials
・ Reduce the use of office supplies, etc. by boosting the efficiency of ouroperations
・ Reduce our commuting and transportation costs by making changes in work

styles.
List the emissions reduction initiatives which contributed most to achieving
this target

Target reference number
Abs 4
Is this a science-based target?
Yes, and this target has been approved by the Science Based Targets initiative
Target ambition
2°C aligned
Year target was set
2021
65Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Target coverage
Company-wide
Scope(s)Scope 3
Scope 2 accounting method
Scope 3 category(ies)Category 1: Purchased goods and services
Category 2: Capital goods
Category 3: Fuel-and-energy-related activities (not included in Scopes 1 or 2)
Category 4: Upstream transportation and distribution
Category 5: Waste generated in operations
Category 6: Business travel
Category 7: Employee commuting
Category 9: Downstream transportation and distribution
Category 11: Use of sold products
Category 12: End-of-life treatment of sold products
Base year
2018
Base year Scope 1 emissions covered by target (metric tons CO2e)
Base year Scope 2 emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target (metric tons CO2e)183,759
Base year Scope 3, Category 2: Capital goods emissions covered by target(metric tons CO2e)
7,772
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target (metric tons CO2e)705
Base year Scope 3, Category 4: Upstream transportation and distribution
emissions covered by target (metric tons CO2e)
4,585
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target (metric tons CO2e)694
Base year Scope 3, Category 6: Business travel emissions covered by target(metric tons CO2e)
6,025
Base year Scope 3, Category 7: Employee commuting emissions covered bytarget (metric tons CO2e)641

66

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target (metric tons CO2e)
8,055
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget (metric tons CO2e)278
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target (metric tons CO2e)
7,937
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 15: Investments emissions covered by target(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target (metric tons
CO2e)Base year Scope 3, Other (downstream) emissions covered by target (metrictons CO2e)
Base year total Scope 3 emissions covered by target (metric tons CO2e)
220,450
Total base year emissions covered by target in all selected Scopes (metrictons CO2e)
228,047
Base year Scope 1 emissions covered by target as % of total base year
emissions in Scope 1
Base year Scope 2 emissions covered by target as % of total base year
emissions in Scope 2
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target as % of total base year emissions in Scope 3, Category 1:
Purchased goods and services (metric tons CO2e)67Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

100
Base year Scope 3, Category 2: Capital goods emissions covered by target
as % of total base year emissions in Scope 3, Category 2: Capital goods(metric tons CO2e)100
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target as % of total base year
emissions in Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) (metric tons CO2e)100
Base year Scope 3, Category 4: Upstream transportation and distribution
covered by target as % of total base year emissions in Scope 3, Category 4:
Upstream transportation and distribution (metric tons CO2e)100
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target as % of total base year emissions in Scope 3, Category 5:
Waste generated in operations (metric tons CO2e)100
Base year Scope 3, Category 6: Business travel emissions covered by target
as % of total base year emissions in Scope 3, Category 6: Business travel(metric tons CO2e)100
Base year Scope 3, Category 7: Employee commuting covered by target as %of total base year emissions in Scope 3, Category 7: Employee commuting(metric tons CO2e)100
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget as % of total base year emissions in Scope 3, Category 8: Upstream
leased assets (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target as % of total base year emissions in Scope 3,
Category 9: Downstream transportation and distribution (metric tons CO2e)100
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target as % of total base year emissions in Scope 3, Category 10:
Processing of sold products (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget as % of total base year emissions in Scope 3, Category 11: Use of soldproducts (metric tons CO2e)100
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target as % of total base year emissions in Scope 3,
Category 12: End-of-life treatment of sold products (metric tons CO2e)100
68Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target as % of total base year emissions in Scope 3, Category 13:
Downstream leased assets (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target as %of total base year emissions in Scope 3, Category 14: Franchises (metric tons
CO2e)Base year Scope 3, Category 15: Investments emissions covered by target
as % of total base year emissions in Scope 3, Category 15: Investments(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (upstream) (metric tons CO2e)
Base year Scope 3, Other (downstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (downstream) (metric tons CO2e)
Base year total Scope 3 emissions covered by target as % of total base year
emissions in Scope 3 (in all Scope 3 categories)
100
Base year emissions covered by target in all selected Scopes as % of total
base year emissions in all selected Scopes
100
Target year
2030
Targeted reduction from base year (%)
14.8
Total emissions in target year covered by target in all selected Scopes (metrictons CO2e) [auto-calculated]
194,296.044
Scope 1 emissions in reporting year covered by target (metric tons CO2e)
Scope 2 emissions in reporting year covered by target (metric tons CO2e)
Scope 3, Category 1: Purchased goods and services emissions in reporting
year covered by target (metric tons CO2e)
162,462
Scope 3, Category 2: Capital goods emissions in reporting year covered bytarget (metric tons CO2e)
6,583
Scope 3, Category 3: Fuel-and-energy-related activities (not included in
Scopes 1 or 2) emissions in reporting year covered by target (metric tons
CO2e)
69

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

883
Scope 3, Category 4: Upstream transportation and distribution emissions inreporting year covered by target (metric tons CO2e)
2,834
Scope 3, Category 5: Waste generated in operations emissions in reporting
year covered by target (metric tons CO2e)498
Scope 3, Category 6: Business travel emissions in reporting year covered bytarget (metric tons CO2e)
1,368
Scope 3, Category 7: Employee commuting emissions in reporting year
covered by target (metric tons CO2e)455
Scope 3, Category 8: Upstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 9: Downstream transportation and distribution emissions
in reporting year covered by target (metric tons CO2e)8,335
Scope 3, Category 10: Processing of sold products emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 11: Use of sold products emissions in reporting year
covered by target (metric tons CO2e)347
Scope 3, Category 12: End-of-life treatment of sold products emissions inreporting year covered by target (metric tons CO2e)6,216
Scope 3, Category 13: Downstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 14: Franchises emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 15: Investments emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Other (upstream) emissions in reporting year covered by target(metric tons CO2e)
Scope 3, Other (downstream) emissions in reporting year covered by target(metric tons CO2e)70

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Total Scope 3 emissions in reporting year covered by target (metric tons
CO2e)
189,981
Total emissions in reporting year covered by target in all selected scopes(metric tons CO2e)
194,558
Does this target cover any land-related emissions?
No, it does not cover any land-related emissions (e.g. non-FLAG SBT)
% of target achieved relative to base year [auto-calculated]
99.2238560591
Target status in reporting year
Underway
Please explain target coverage and identify any exclusions
Using 2018 as our base year, the target is a 1.23% annual reduction of the
Scope 3 amount.
The target for 2050 is a 39.4% reduction.
Scope 3 emissions for the reporting year were 189,981 t -CO2, which is a
13.8% reduction from base year emissions, with reduction proceeding
significantly ahead of schedule.

Plan for achieving target, and progress made to the end of the reporting year
・ Reduce the amount of paper procured, shipped and disposed of throughdigitalization of the learning materials
・ Reduce the use of office supplies, etc. by boosting the efficiency of ouroperations
・ Reduce our commuting and transportation costs by making changes in work
styles.
List the emissions reduction initiatives which contributed most to achieving
this target

Target reference number
Abs 5
Is this a science-based target?
Yes, and this target has been approved by the Science Based Targets initiative.
Target ambition
Well-below 2°C aligned
Year target was set
2020
Target coverage
Company-wide71Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Scope(s)Scope 1
Scope 2
Scope 2 accounting method
Market-based
Scope 3 category(ies)Base year
2018
Base year Scope 1 emissions covered by target (metric tons CO2e)
120
Base year Scope 2 emissions covered by target (metric tons CO2e)7,477
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 2: Capital goods emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 4: Upstream transportation and distribution
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 6: Business travel emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 7: Employee commuting emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target (metric tons CO2e)72

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 11: Use of sold products emissions covered bytarget (metric tons CO2e)
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target (metric tons CO2e)
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target(metric tons CO2e)
Base year Scope 3, Category 15: Investments emissions covered by target(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target (metric tons
CO2e)Base year Scope 3, Other (downstream) emissions covered by target (metrictons CO2e)
Base year total Scope 3 emissions covered by target (metric tons CO2e)
Total base year emissions covered by target in all selected Scopes (metrictons CO2e)
7,597
Base year Scope 1 emissions covered by target as % of total base year
emissions in Scope 1
100
Base year Scope 2 emissions covered by target as % of total base year
emissions in Scope 2
100
Base year Scope 3, Category 1: Purchased goods and services emissions
covered by target as % of total base year emissions in Scope 3, Category 1:
Purchased goods and services (metric tons CO2e)
Base year Scope 3, Category 2: Capital goods emissions covered by target
as % of total base year emissions in Scope 3, Category 2: Capital goods(metric tons CO2e)
Base year Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) emissions covered by target as % of total base year
emissions in Scope 3, Category 3: Fuel-and-energy-related activities (notincluded in Scopes 1 or 2) (metric tons CO2e)73

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 4: Upstream transportation and distribution
covered by target as % of total base year emissions in Scope 3, Category 4:
Upstream transportation and distribution (metric tons CO2e)
Base year Scope 3, Category 5: Waste generated in operations emissions
covered by target as % of total base year emissions in Scope 3, Category 5:
Waste generated in operations (metric tons CO2e)
Base year Scope 3, Category 6: Business travel emissions covered by target
as % of total base year emissions in Scope 3, Category 6: Business travel(metric tons CO2e)
Base year Scope 3, Category 7: Employee commuting covered by target as %of total base year emissions in Scope 3, Category 7: Employee commuting(metric tons CO2e)
Base year Scope 3, Category 8: Upstream leased assets emissions covered bytarget as % of total base year emissions in Scope 3, Category 8: Upstream
leased assets (metric tons CO2e)
Base year Scope 3, Category 9: Downstream transportation and distribution
emissions covered by target as % of total base year emissions in Scope 3,
Category 9: Downstream transportation and distribution (metric tons CO2e)
Base year Scope 3, Category 10: Processing of sold products emissions
covered by target as % of total base year emissions in Scope 3, Category 10:
Processing of sold products (metric tons CO2e)
Base year Scope 3, Category 11: Use of sold products emissions covered bytarget as % of total base year emissions in Scope 3, Category 11: Use of soldproducts (metric tons CO2e)
Base year Scope 3, Category 12: End-of-life treatment of sold products
emissions covered by target as % of total base year emissions in Scope 3,
Category 12: End-of-life treatment of sold products (metric tons CO2e)
Base year Scope 3, Category 13: Downstream leased assets emissions
covered by target as % of total base year emissions in Scope 3, Category 13:
Downstream leased assets (metric tons CO2e)
Base year Scope 3, Category 14: Franchises emissions covered by target as %of total base year emissions in Scope 3, Category 14: Franchises (metric tons
CO2e)

74

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year Scope 3, Category 15: Investments emissions covered by target
as % of total base year emissions in Scope 3, Category 15: Investments(metric tons CO2e)
Base year Scope 3, Other (upstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (upstream) (metric tons CO2e)
Base year Scope 3, Other (downstream) emissions covered by target as % of
total base year emissions in Scope 3, Other (downstream) (metric tons CO2e)
Base year total Scope 3 emissions covered by target as % of total base year
emissions in Scope 3 (in all Scope 3 categories)
Base year emissions covered by target in all selected Scopes as % of total
base year emissions in all selected Scopes
100
Target year
2050
Targeted reduction from base year (%)
100
Total emissions in target year covered by target in all selected Scopes (metrictons CO2e) [auto-calculated]0
Scope 1 emissions in reporting year covered by target (metric tons CO2e)75
Scope 2 emissions in reporting year covered by target (metric tons CO2e)4,502
Scope 3, Category 1: Purchased goods and services emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 2: Capital goods emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 3: Fuel-and-energy-related activities (not included in
Scopes 1 or 2) emissions in reporting year covered by target (metric tons
CO2e)
Scope 3, Category 4: Upstream transportation and distribution emissions inreporting year covered by target (metric tons CO2e)
Scope 3, Category 5: Waste generated in operations emissions in reporting
year covered by target (metric tons CO2e)75

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Scope 3, Category 6: Business travel emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 7: Employee commuting emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 8: Upstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 9: Downstream transportation and distribution emissions
in reporting year covered by target (metric tons CO2e)
Scope 3, Category 10: Processing of sold products emissions in reporting
year covered by target (metric tons CO2e)
Scope 3, Category 11: Use of sold products emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 12: End-of-life treatment of sold products emissions inreporting year covered by target (metric tons CO2e)
Scope 3, Category 13: Downstream leased assets emissions in reporting year
covered by target (metric tons CO2e)
Scope 3, Category 14: Franchises emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Category 15: Investments emissions in reporting year covered bytarget (metric tons CO2e)
Scope 3, Other (upstream) emissions in reporting year covered by target(metric tons CO2e)
Scope 3, Other (downstream) emissions in reporting year covered by target(metric tons CO2e)
Total Scope 3 emissions in reporting year covered by target (metric tons
CO2e)Total emissions in reporting year covered by target in all selected scopes(metric tons CO2e)4,577
Does this target cover any land-related emissions?

76

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

No, it does not cover any land-related emissions (e.g. non-FLAG SBT)
% of target achieved relative to base year [auto-calculated]
39.752533895
Target status in reporting year
Underway
Please explain target coverage and identify any exclusions
Using 2018 as our base year, the target for 2050 is a 100% reduction of thetotal Scope 1 and 2 emissions (SBTi-approved target). There are no exclusions.
Emissions for the reporting year (2022) are 4,577t -CO2, which is 39.8%
reduction from base year emissions and significantly ahead of schedule.
Plan for achieving target, and progress made to the end of the reporting year
・Medium-term plan to renovate our offices and distribution center to make themenergy-efficient facilities (including some ongoing measures related to air
conditioning, the replacement of some lights with LED lights, upgradingelevators, replacing gas equipment with electric equipment in the Tama Office
Building’s cafeteria and so on)
・Measures to reduce energy consumption (lining glass windows with energysaving film sheets, adjusting the time when air conditioning is turned on, turning
off unnecessary lights, etc., plus “Cool Biz” clothing guidelines for summer timeand “Warm Biz” clothing guidelines for the winter months)
・Reducing the amount of office space that is being rented by about 50%
through changes in work styles (adjusting the proportion of employees who will
work at company offices, giving free addresses, etc.)
List the emissions reduction initiatives which contributed most to achieving
this target

C4.2(C4.2) Did you have any other climate-related targets that were active in the reportingyear?
Net-zero target(s)(C4.2c) Provide details of your net-zero target(s).

Target reference number
NZ1
Target coverage
Company-wide
Absolute/intensity emission target(s) linked to this net-zero target
Abs1

77

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Target year for achieving net zero
2041
Is this a science-based target?
Yes, we consider this a science-based target, and we have committed to seek
validation of this target through the SBTi in the next two years.
Please explain target coverage and identify any exclusions
Using 2018 as our base year, the target for 2041 is a 100% reduction in
Scope 1 and Scope 2 emissions. This will equal a 4.4% annual reduction in the
total Scope 1 and 2 emissions: the same as for our 2030 target.
Do you intend to neutralize any unabated emissions with permanent carbon
removals at the target year?
UnsurePlanned milestones and/or near-term investments for neutralization at target
year
Planned actions to mitigate emissions beyond your value chain (optional)
Although we have decided on our overall policy, specific measures are still
under consideration.

Target reference number
NZ2
Target coverage
Company-wide
Absolute/intensity emission target(s) linked to this net-zero target
Abs5
Target year for achieving net zero
2050
Is this a science-based target?
Yes, and this target has been approved by the SBTi.
Please explain target coverage and identify any exclusions
Using 2018 as our base year, our target is a 100% reduction in Scope 1 andScope 2 emissions; this target that has been approved by the SBTi.
* This is the initial target that was approved by the SBTi. The target was later
revised upward to the NZ1 target shown above.
Do you intend to neutralize any unabated emissions with permanent carbon
removals at the target year?
Uncertain
Planned milestones and/or near-term investments for neutralization at target
year
78Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Planned actions to mitigate emissions beyond your value chain (optional)
Although we have decided on our overall policy, specific measures are still
under consideration.

C4.3(C4.3) Did you have emissions reduction initiatives that were active within thereporting year? Note that this can include those in the planning and/or
implementation phases.
Yes

C4.3a
(C4.3a) Identify the total number of initiatives at each stage of development, and for
those in the implementation stages, the estimated CO2e savings.
Number of
initiatives

Total estimated annual CO2e savings in metrictonnes CO2e (only for rows marked *)Under investigation

1429

To be implemented*

1

5.2

Implementationcommenced*

3

30.4

Implemented*

4702

Not to be implemented 0

0

C4.3b
(C4.3b) Provide details on the initiatives implemented in the reporting year in the tablebelow.
Initiative category & Initiative typeCompany policy or behavioral change
Change in purchasing practices
Estimated annual CO2e savings (metric tonnes CO2e)702
Scope(s) or Scope 3 category(ies) where emissions savings occur
Scope 2 (market-based)
Voluntary/Mandatory
Voluntary
Annual monetary savings (unit currency – as specified in C0.4)
300,000,000
Investment required (unit currency – as specified in C0.4)
79

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

1,000,000,000
Payback period
4-10 years
Estimated lifetime of the initiative
16-20 years
Comment
The initiative that has had the largest impact is the substantial reduction in our
office space through our “work style reform” strategy (reduction in energy use
through reduction in rented office space). In addition, medium-term measures
are being taken to improve energy efficiency, concentrating mainly on Benesse’s
own facilities (the Logistics Center, the Okayama Headquarters Building, and theTama Office Building (by upgrading lighting equipment, lining window glass withtransparent energy-saving film, upgrading elevators, etc.)

C4.3c(C4.3c) What methods do you use to drive investment in emissions reduction
activities?
MethodComment

Financial
optimization
calculations

Decisions are made by comparing investment and recoupment plans and thendeciding on priorities for investments in energy reduction and otherinvestments.

Employeeengagement

We have adopted a method of collaborating with employees to improve
processes that do not involve investment and review plans in accordance witheach department’s environmental protection action plan.

C4.5(C4.5) Do you classify any of your existing goods and/or services as low-carbon
products?
Yes

C4.5a
(C4.5a) Provide details of your products and/or services that you classify as lowcarbon products.
Level of aggregation
Group of products or services
Taxonomy used to classify product(s) or service(s) as low-carbon
Other, please specify
The digitalization of our learning materials, which were previously mainly
paper-based but are now being made available for use on tablets, has led to80Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

a reduction in our use of paper and a corresponding reduction in our Scope
3 emissions target.
Type of product(s) or service(s)Other
Other, please specify
We plan to reduce paper consumption as well as greenhouse gas
emissions during delivery by digitalizing our learning materials.
Description of product(s) or service(s)Our learning materials, which are targeted at grade levels from pre-school
through the end of high school, have been mainly provided in printed form up
until now; by digitalizing our materials and shifting to tablet-based programs
that reduce the amount of paper consumed as well as the number and weightof product deliveries, we are currently working on reducing not only our paper
usage but also our Scope 3 greenhouse gas emissions.
Have you estimated the avoided emissions of this low-carbon product(s) or
service(s)YesMethodology used to calculate avoided emissions
Other, please specify
By reconsidering the type of products we offer, we were able to reduce
emissions in Category 1 (purchased products and services), Categories 4
and 9 (upstream and downstream transport and delivery), and Category 12(disposal of products we sold). On the other hand, Category 11 emissions(due to use of products that we sold) increased because tablets use
electricity when in operation.
Life cycle stage(s) covered for the low-carbon product(s) or services(s)Cradle-to-grave
Functional unit used
Digitalization of the learning materials that we provide on a monthly basis
contributed to a reduction in paper consumption as well as reductions inemissions due to transport, use and disposal; on the other hand, emissions
arising from the tablets that are used in place of the paper-based materials
had to be subtracted from these projected reductions in emissions in otherareas. Although the total number of students taking our courses has
increased, we have been able to reduce total emissions by 16,463 t-CO2 (ofwhich 13,403 t-CO2 was due to reductions in Category 1 paper-based andtablet-based emissions).
Per capita total monthly emissions were reduced by 14%, from 0.005048 tCO2 last year to 0.004337 t-CO2 in the reporting year.
We are considering trying to achieve further reductions throughdigitalization by increasing the proportion of students studying tablet-basedmaterials and also, by encouraging them to use their own devices.
Reference product/service or baseline scenario used81

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Previous year emissions for each category:Category 1 (Purchased goods and services)：179,397t-CO2
Category 4 (Upstream transportation and distribution)：3,242 t-CO2
Category 9 (Downstream transportation and distribution)：8,340 t-CO2
Category 11 (Use of sold products)：417t-CO2
Category12 (End-of-life treatment of sold products)：7,086t-CO2
Life cycle stage(s) covered for the reference product/service or baseline
scenario
Cradle to gate (from product development to shipping)
Estimated avoided emissions (metric tons CO2e per functional unit) compared
to reference product/service or baseline scenario
18,288
Explain your calculation of avoided emissions, including any assumptions
Category 1 (Purchased goods and services)：162,462t-CO2
Category 4 (Upstream transportation and distribution)：2,834 t-CO2
Category 9 (Downstream transportation and distribution)：8,335 t-CO2
Category 11 (Use of sold products)：347t-CO2
Category12 (End-of-life treatment of sold products)：6,216t-CO2

Revenue generated from low-carbon product(s) or service(s) as % of total
revenue in the reporting year
36.6

C5. Emissions methodology
C5.1(C5.1) Is this your first year of reporting emissions data to CDP?
No

C5.1a
(C5.1a) Has your organization undergone any structural changes in the reporting year,
or are any previous structural changes being accounted for in this disclosure ofemissions data?
Have there been a structural change?
Row 1

No

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C5.1b
(C5.1b) Has your emissions accounting methodology, boundary, and/or reporting year
definition changed in the reporting year?
Change(s) in methodology, boundary, and/or reporting year definition?
Row 1

No

C5.2
(C5.2)

Provide your base year and base year emissions.

Scope 1
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)120
Comment
Direct emissions of greenhouse gasses by Benesse itself.
Scope 2 (location-based)
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)7,105
Comment
Indirect emissions due to the use of electricity, heat and steam provided byother companies within Japan and in Taiwan.
Scope 2 (market-based)
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)7,477
Comment

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Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Indirect emissions due to the use of electricity, heat and steam provided byother companies within Japan and in Taiwan.

Scope 3 category 1: Purchased goods and services
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)183,759
Comment
Energy consumption X weight of waste calculated using the emission coefficientfuel consumption method and the revised ton-kilometer method X purchaseprice of goods per standard physical unit X standard unit of emissions
References① Energy
・Emission coefficient for each provider of electricity (for use in calculating
greenhouse gas emissions by specific producers of such emissions) –Records
for FY2017– Published by the Ministry of the Environment and the Ministry of
Economy, Trade and Industry（https://www.env.go.jp/content/900528174.pdf）
・List of coefficients for global warming countermeasures for reporting“Household and Industrial Water Consumption”（https://www8.kankyo.metro.tokyo.lg.jp/ondanka/report/pdf/keisuuitiran.pdf）② FuelEmission coefficients for fuel consumption taken from the list of Emission
Coefficients and Calculation Methods for Use in the System for Calculating,
Reporting and Publishing Fuel Consumption (Reference 1):
https://ghg-santeikohyo.env.go.jp/files/about_document/2018/gaiyo_3.pdf③ WasteDatabase of Emissions Unit Values for Use in Calculating an Organization’s
Greenhouse Gas Emissions Throughout Its Supply Chain (Version 2.5)
Ministry of the Environment, Section 8: Unit Values for Emissions According toWaste Type and Disposal Method
Table 8: Unit Values for Emissions According to Waste Type and Disposal
MethodFor cases in which the disposal method was unknown, we used Table 9: Unit
Values for Emissions According to Waste Typehttps://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf
Database of Emissions Unit Values for Use in Calculating an Organization’s
Greenhouse Gas Emissions Throughout Its Supply Chain (Version 2.5) Section84Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

5: Unit Values of Emissions According to Industry Based on Input-Output
Tableshttps://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf
Calculations for paper and printing emissions were directly made using data
provided by our suppliers.
Emissions unit values for office supplies were calculated using profit and loss
data and the Embodied Energy and Emission Intensity Data for Japan Using
Input-Output Tables data book published by the Center for Global
Environmental Research of the National Institute for Environmental Studies
http://www.cger.nies.go.jp/publications/report/d031/jpn/datafile/embodied/2005/4
03.htmScope 3 category 2: Capital goods
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)
7,772
Comment
The emissions unit value per unit of capital goods was calculated using the cost of
acquisition of tangible fixed assets as shown in the cash flow statement.
The emissions unit values shown on the Green Value Chain Platform jointly
established by the Ministry of the Environment and the Ministry of Economy, Tradeand Industry were used in this calculation.
Scope 3 category 3: Fuel-and-energy-related activities (not included in Scope 1 or
2)
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)705
Comment(Benesse electricity intake data) X average emissions unit value for all
sources of electricity)(Benesse heat intake data) X emissions unit value

85

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

References① Energy
・Emission coefficient for each provider of electricity (for use in calculating
greenhouse gas emissions by specific producers of such emissions) – Records
for FY2017 – Published by the Ministry of the Environment and the Ministry of
Economy, Trade and Industry（https://www.env.go.jp/content/900528174.pdf）
・List of coefficients for global warming countermeasures for reporting“Household and Industrial Water Consumption”（https://www8.kankyo.metro.tokyo.lg.jp/ondanka/report/pdf/keisuuitiran.pdf）② FuelEmission coefficients for fuel consumption taken from the list of Emission
Coefficients and Calculation Methods for Use in the System for Calculating,
Reporting and Publishing Fuel Consumption (Reference 1):
https://ghg-santeikohyo.env.go.jp/files/about_document/2018/gaiyo_3.pdf
Emission units for fuel procured from other companies and the procurement offuel needed to generate electricity, heat, etc. were calculated using the IDEA
database.

Scope 3 category 4: Upstream transportation and distribution
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)
4,585
Comment
Revised kiloton method
The emissions unit values were calculated using the following methods:
Figures available in the Greenhouse Gas Emissions Throughout Its Supply
Chain database (Version 2.5) developed by the Ministry of the Environment
https://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf
In calculating the volume of emissions related to upstream and downstreamshipping of printed materials and tablets, the emission unit values were
determined according to the reporting rules of the individual shippers.
Scope 3 category 5: Waste generated in operations
Base year start
April 1, 201786

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year end
March 31, 2018
Base year emissions (metric tons CO2e)694
Comment
Total emissions from waste generated at company-owned buildings were
calculated by multiplying the weight of each type times its emission coefficient.
Manifest data was used to calculate the emissions unit values for industrial
waste (based on the unit values shown in the Ministry of the Environment’s
database).
References
Database of Emissions Unit Values for Use in Calculating an Organization’s
Greenhouse Gas Emissions Throughout Its Supply Chain (Version 2.5)
Ministry of the Environment, Section 8: Unit Values for Emissions According toWaste Type and Disposal Method
Table 8: Unit Values for Emissions According to Waste Type and Disposal
MethodFor cases in which the disposal method was unknown, we used Table 9: Unit
Values for Emissions According to Waste Typehttps://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf
Database of Emissions Unit Values for Use in Calculating an Organization’s
Greenhouse Gas Emissions Throughout Its Supply Chain (Version 2.5) Section
5: Unit Values of Emissions According to Industry Based on Input-Output Tables
https://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf
Waste generated at company-owned buildings (paper, plastic, burnable garbage,
bottles, cans, PET (polyethylene terephthalate) bottles and other waste)
Scope 3 category 6: Business travel
Base year start
April 1, 2017
Base year end
March 31, 2018

Base year emissions (metric tons CO2e)
6,025Comment
Calculations of emissions related to business travel were based on total
expenditures on business travel as reflected in Benesse’s in-house BENKEI
system for managing annual domestic and overseas travel and accommodation
expenses, as well as management records of actual travel shown in the businesstravel navigation data system.

87Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Emission unit values were based on the Unit Values of Emissions According toIndustry Based on Input-Output Tables, Section 5 of the Database of Emissions
Unit Values for Use in Calculating an Organization’s Greenhouse Gas Emissions
Throughout Its Supply Chain (Version 2.5)https://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf

Scope 3 category 7: Employee commuting
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)641
Comment
・Commuting expenses
Amount spent on employee commuting expenses X emissions unit value
・Emissions unit value calculated using the following database:
Database of Emissions Unit Values for Use in Calculating an
Organization’s Greenhouse Gas Emissions Throughout Its Supply Chain
https://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf
Scope 3 category 8: Upstream leased assets
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
Not applicable (due to its inclusion in Scope 1 and 2 calculations)

Scope 3 category 9: Downstream transportation and distribution
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)
8,055
Comment
88

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Emissions from product shipments (including transport of products from Benesseand downstream thereafter) and warehouse storage.
Fuel consumption method and the revised ton-kilometer method■ ton-kilometer method: ton-kilometer transport (cargo weight in tons X distancetransported in kilometers) X emissions unit value for ton-kilometer fuelconsumption [D] X unit value (heating value units [A] X emissions coefficient [B]X 44/129
Emissions unit values were taken from the Database of Emissions Unit Values
for Use in Calculating an Organization’s Greenhouse Gas Emissions Throughout
Its Supply Chain, published by the Ministry for the Environment
https://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf

Scope 3 category 10: Processing of sold products
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
Due to the nature of our business, which is selling finished products, there are
no Scope emissions in this category
Scope 3 category 11: Use of sold products
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)278
Comment
Calculated emissions related to the electricity used by the tablets we sold:Power consumption during tablet use X number of tablets sold X emission
coefficient
Emission coefficient for each provider of electricity (for use in calculating
greenhouse gas emissions by specific producers of such emissions) – Records
for FY2017 – Published by the Ministry of the Environment and the Ministry of
Economy, Trade and Industry（https://www.env.go.jp/content/900528174.pdf）

Scope 3 category 12: End of life treatment of sold products89Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)
7,937
Comment
Calculated emissions related to disposal of printed materials, educational toysand mail-order products:
Weight of waste X emissions unit value
Source of emissions unit values used:
・Database of Emissions Unit Values for Use in Calculating an Organization’s
Greenhouse Gas Emissions Throughout Its Supply Chain, published by the
Ministry for the Environment, Version 2.5, Section 8: Unit Values for Emissions
According to Waste Type and Disposal Method, Table 8: Unit Values for
Emissions According to Waste Type and Disposal Method
・For cases in which the disposal method was unknown, we used Table 9: Unit
Values for Emissions According to Waste Typehttps://www.env.go.jp/earth/ondanka/supply_chain/gvc/files/tools/DB_V2-5.pdf

Scope 3 category 13: Downstream leased assets
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
We checked, but there are no emissions generated from this type of business.

Scope 3 category 14: Franchises
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
We checked, but there are no emissions generated from this type of business.

90Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Scope 3 category 15: Investments
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
Since the primary focus of our business is not finance, we excluded thiscategory as irrelevant.

Scope 3: Other (upstream)
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
We checked, but since our main business is in the field of education, there were noemissions generated in this category.

Scope 3: Other (downstream)
Base year start
April 1, 2017
Base year end
March 31, 2018
Base year emissions (metric tons CO2e)0
Comment
We checked, but since our main business is in the field of education, there were
no emissions generated in this category.

C5.3(C5.3) Select the name of the standard, protocol, or methodology you have used tocollect activity data and calculate emissions.

91Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Japan Ministry of the Environment, Law Concerning the Promotion of the Measures to
Cope with Global Warming, Superseded by Revision of the Act on Promotion of Global
Warming Countermeasures (2005 Amendment)
The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard(Revised Edition)
The Greenhouse Gas Protocol: Scope 2 Guidance
The Greenhouse Gas Protocol: Corporate Value Chain (Scope 3) Standard

C6. Emissions data
C6.1
(C6.1) What were your organization’s gross global Scope 1 emissions in metric tons
CO2e?
Gross global Scope 1 emissions (metric tons CO2e)75
Start date
April 1, 2021
End date
March 31, 2022
Comment
These are direct greenhouse gas emissions by Benesse itself.
Past year 1
Gross global Scope 1 emissions (metric tons CO2e)76
Start date
April 1, 2020
End date
March 31, 2021
Comment
These are direct greenhouse gas emissions by Benesse itself.

C6.2(C6.2) Describe your organization’s approach to reporting Scope 2 emissions.
Row 1
Scope 2, location-based
We are reporting a Scope 2, location-based figure
Scope 2, market-based
We are reporting a Scope 2, market-based figure
92Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Comment
We calculated emissions arising from use of electricity, steam and cold water at
our facilities within Japan and in Taiwan using location-based and marketbased standards.

C6.3(C6.3) What were your organization’s gross global Scope 2 emissions in metric tons
CO2e?
Reporting year
Scope 2, location-based
4,169
Scope 2, market-based (if applicable)
4,502
Start date
April 1, 2021
End date
March 31, 2022
Comment① Location-based standard: 4,169tCO2 (Use of electricity, steam and cold water atfacilities within Japan at our Taipei branch)② Market-based standard: 4,502tCO2 (Use of electricity, steam and cold water atfacilities within Japan at our Taipei branch)

Past year 1
Scope 2, location-based
4,752
Scope 2, market-based (if applicable)
5,204
Start date
April 1, 2020
End date
March 31, 2021
Comment① Location-based standard: 4,752tCO2 (Use of electricity, steam and cold
water at facilities within Japan at our Taipei branch)② Market-based standard: 5,204tCO2 (Use of electricity, steam and cold waterat facilities within Japan at our Taipei branch)93Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C6.4
(C6.4) Are there any sources (e.g. facilities, specific GHGs, activities, geographies,etc.) of Scope 1, Scope 2 or Scope 3 emissions that are within your selected reporting
boundary which are not included in your disclosure?
No

C6.5(C6.5) Account for your organization’s gross global Scope 3 emissions, disclosing
and explaining any exclusions.
Purchased goods and services
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)
162,462
Emissions calculation methodology
Hybrid method
Fuel-based method
Waste-type-specific method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
99
Please explain
Calculations included emissions related to the procurement of raw materials for our
printed materials, water use during the production of printed materials and tablet
products, procurement of educational toys and mail order products, repair of andinsurance for vehicles used by our sales department, use of water in our offices, andemissions related to our purchase of office supplies and so on.

Capital goods
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)6,583
Emissions calculation methodology
Asset-specific method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Tangible fixed assets in cash flow statements

94

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Fuel-and-energy-related activities (not included in Scope 1 or 2)
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)883
Emissions calculation methodology
Fuel-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Emissions associated with the procurement of fuels from other companies, andthe procurement of fuels required for the generation of electricity, heat and other
power
Emission units were calculated using the IDEA database.

Upstream transportation and distribution
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)
2,834
Emissions calculation methodology
Fuel-based method
Waste-type-specific method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
100
Please explain
Calculated emissions related to transportation (both upstream and downstream)
during production of printed learning materials and tablets.
Emission unit values based on the reporting rules of individual shippers wereused.
Waste generated in operations
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)498
Emissions calculation methodology
Waste-type-specific method95

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
100
Please explain
Waste generated at company-owned buildings (paper, plastic, burnablegarbage, bottles, cans, PET (polyethylene terephthalate) bottles and other
Business travel
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)
1,368
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Calculations of emissions related to business travel were based on total
expenditures on business travel as reflected in Benesse’s in-house BENKEI
system for managing annual domestic and overseas travel and accommodation
expenses, as well as management records of actual travel shown in ourbusiness travel navigation data system.
Employee commuting
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)455
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Calculations are made in advance based on annual totals of actual commuting
expenses recorded in the human resources management system andBenesse’s in-house BENKEI system.

Upstream leased assets
Evaluation status
Not relevant, calculated96Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Asset-specific method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Since our main business is in the field of education, there are no emissions
generated in upstream leased assets.

Downstream transportation and distribution
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)8,335
Emissions calculation methodology
Fuel-based method
Waste-type-specific method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Emissions from product shipments (including transport of products from Benesseand downstream thereafter) and warehouse storage were calculated.
Processing of sold products
Evaluation status
Not relevant, calculated
Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Since we only sell finished products, we do not generate emissions in thisScope category.
Use of sold products97Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)
347
Emissions calculation methodology
Average data method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Emissions related to the electricity consumed when the tablets we sell are usedwere calculated.
End of life treatment of sold products
Evaluation status
Relevant, calculated
Emissions in reporting year (metric tons CO2e)6,216
Emissions calculation methodology
Waste-type-specific method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Emissions related to the disposal of waste from the printed materials,
educational toys and mail-order products sold in Japan were calculated.
Downstream leased assets
Evaluation status
Not relevant, calculated
Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
Since our main business is in the field of education, we do not hold any leased
downstream assets.

Franchises98Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Evaluation status
Not relevant, calculated
Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
We checked, but there are no emissions generated from this type of business.

Investments
Evaluation status
Not relevant, calculated
Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
Please explain
Since the primary focus of our business is not finance, we decided that thiscategory is irrelevant and excluded it.

Other (upstream)
Evaluation status
Not relevant, calculated
Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
We checked, but since our main business is in the field of education, there areno emissions from other (upstream) sources.

99

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Other (downstream)
Evaluation status
Not relevant, calculated
Emissions in reporting year (metric tons CO2e)0
Emissions calculation methodology
Spend-based method
Percentage of emissions calculated using data obtained from suppliers orvalue chain partners
0Please explain
We checked, but since our main business is in the field of education, there areno emissions from other (downstream) sources.

C6.5a(C6.5a) Disclose or restate your Scope 3 emissions data for previous years.
Past year 1
Start date
April 1, 2020
End date
March 31, 2021
Scope 3: Purchased goods and services (metric tons CO2e)
179,397
Scope 3: Capital goods (metric tons CO2e)7,100
Scope 3: Fuel and energy-related activities (not included in Scopes 1 or 2)(metric tons CO2e)987
Scope 3: Upstream transportation and distribution (metric tons CO2e)
3,242
Scope 3: Waste generated in operations (metric tons CO2e)515
Scope 3: Business travel (metric tons CO2e)
1,098
Scope 3: Employee commuting (metric tons CO2e)345
Scope 3: Upstream leased assets (metric tons CO2e)0
Scope 3: Downstream transportation and distribution (metric tons CO2e)100

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

8,340
Scope 3: Processing of sold products (metric tons CO2e)0
Scope 3: Use of sold products (metric tons CO2e)
417
Scope 3: End of life treatment of sold products (metric tons CO2e)
7,086
Scope 3: Downstream leased assets (metric tons CO2e)0
Scope 3: Franchises (metric tons CO2e)0
Scope 3: Investments (metric tons CO2e)0
Scope 3: Other (upstream) (metric tons CO2e)0
Scope 3: Other (downstream) (metric tons CO2e)0
Comment
Total Scope 3 emissions for the reporting year were 189,981t-CO2, compared to208,527t-CO2 for the previous year, which represents a reduction of 8.9%.
This was a result of our strategy of digitalizing our entire product line by replacing theconventional paper-based educational materials we offer our customers with tabletbased education materials, as well as of our efforts to reduce our overall emissions.

C6.7(C6.7) Are carbon dioxide emissions from biogenic carbon relevant to yourorganization?
No

C6.10
(C6.10) Describe your gross global combined Scope 1 and 2 emissions for thereporting year in metric tons CO2e per unit currency total revenue and provide any
additional intensity metrics that are appropriate to your business operations.
Intensity figure
0.000024
Metric numerator (Gross global combined Scope 1 and 2 emissions, metrictons CO2e)4,577
Metric denominator101Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Unit total revenue
Metric denominator: Unit total
189,421,511,449
Scope 2 figure used
Market-based% change from previous year
0.86
Direction of change
Decreased
Reason(s) for change
Other emissions reduction activities
Please explain
Reductions were due mainly to the following measures implemented to reduce
Scope 1and 2 emissions:・Implementation of our medium-term renovation plans for our facilities (including
the Logistics Center, the Minamikata Headquarters in Okayama and our Tama
Office Building.
・Reduction of total rental office space due to our work style reform measures.

C7.Emissions breakdown
C7.1(C7.1) Does your organization break down its Scope 1 emissions by greenhouse gas
type?
No

C7.2
(C7.2) Break down your total gross global Scope 1 emissions by country/area/region.
Country/area/region

Scope 1 emissions (metric tons CO2e)

Japan

75

Taiwan, China

0

C7.3(C7.3) Indicate which gross global Scope 1 emissions breakdowns you are able toprovide.
By activity

102

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C7.3c
(C7.3c) Break down your total gross global Scope 1 emissions by business activity.
Activity

Scope 1 emissions (metric tons CO2e)

Use of city gas on site

56

Use of gasoline for our sales vehicles

19

C7.5
(C7.5) Break down your total gross global Scope 2 emissions by country/area/region.
Country/area/region Scope 2, location-based (metrictons CO2e)

Scope 2, market-based (metrictons CO2e)

Japan

3,781

4,119

Taiwan, China

383

383

C7.6
(C7.6) Indicate which gross global Scope 2 emissions breakdowns you are able toprovide.
By activity

C7.6c(C7.6c) Break down your total gross global Scope 2 emissions by business activity.
Activity

Scope 2, location-based (metric tons
CO2e)

Scope 2, market-based (metric tons
CO2e)

Offices

2,880

3,098

Logistics
Center923

1,005

Scoring sites

227

247

Classrooms

139

152

C7.7
(C7.7) Is your organization able to break down your emissions data for any of thesubsidiaries included in your CDP response?
No

C7.9(C7.9) How do your gross global emissions (Scope 1 and 2 combined) for thereporting year compare to those of the previous reporting year?
103Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Decreased

C7.9a(C7.9a) Identify the reasons for any change in your gross global emissions (Scope 1
and 2 combined), and for each of them specify how your emissions compare to theprevious year.
Change inemissions(metric tons
CO2e)

Direction ofchange inemissions

Emissionsvalue(percentage)

Please explain calculation

Change in0
renewableenergyconsumption

No change0

There was no change in emissions
even though we installed solar
panels at the First Logistics Centerin Setouchi.

Otheremissions
reduction
activities

Decreased

13.5

Efforts to reduce emissions in areas
other than renewable energy
resulted in reductions of 712t-CO2.

712

Scope 1 and 2 emissions for theprevious year were 5280t-CO2, so
the rate of reduction can becalculated as712/5280×100=13.5%
Divestment0

No change0

No change

Acquisitions 0

No change0

No change

Mergers0

No change0

No change

Change in
output9

Increased

0.17

The use of gasoline for sales
vehicles increased.
Emissions for the previous year
were 10t-CO2, so the increase was
9t-CO2. The rate of increase can becalculated as 9/5280×100＝0.017%

Change in0methodology

No change0

No change

Change inboundary0

No change0

No change

Change inphysicaloperatingconditions

0

No change0

No change

104Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Unidentified0

No change0

No change

Other

0

No change0

No change

C7.9b(C7.9b) Are your emissions performance calculations in C7.9 and C7.9a based on alocation-based Scope 2 emissions figure or a market-based Scope 2 emissions
figure?
Market-based

C8. Energy
C8.1(C8.1) What percentage of your total operational spend in the reporting year was onenergy?
More than 0% but less than or equal to 5%

C8.2(C8.2) Select which energy-related activities your organization has undertaken.
Indicate whether your organization undertook this energyrelated activity in the reporting year
Consumption of fuel (excluding
feedstocks)

Yes

Consumption of purchased or
acquired electricity

Yes

Consumption of purchased or
acquired heat

No

Consumption of purchased or
acquired steam

Yes

Consumption of purchased or
acquired cooling

Yes

Generation of electricity, heat,steam, or cooling

Yes

C8.2a
(C8.2a) Report your organization’s energy consumption totals (excluding feedstocks)
in MWh.

105

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Heatingvalue

MWh from
renewable
sources (MWh)MWh from nonrenewablesources (MWh)Total (renewable
and nonrenewable) MWh

LHV (lower
heatingvalue)

0

402

402

Consumption ofpurchased or acquired
electricity

0

8,062

8,062

Consumption ofpurchased or acquired
steam

0

1,567

1,567

Consumption ofpurchased or acquired
cooling

0

1,111

1,111

Consumption of selfgenerated non-fuelrenewable energy635

Total energy
consumption

635

Consumption of fuel(excluding feedstock)635

11,142

11,777C8.2b
(C8.2b) Select the applications of your organization’s consumption of fuel.
Indicate whether your organization undertakes
this fuel application
Consumption of fuel for the generation ofelectricity

No

Consumption of fuel for the generation of heat

No

Consumption of fuel for the generation of steam No
Consumption of fuel for the generation ofcooling

No

Consumption of fuel for co-generation or trigeneration

No

C8.2c
(C8.2c) State how much fuel in MWh your organization has consumed (excluding
feedstocks) by fuel type.
Sustainable biomass
Heating value
LHV106

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Total fuel MWh consumed by the organization
0
Comment
No fuel is used for these purposes.
Other biomass
Heating value
LHV
Total fuel MWh consumed by the organization
0
Comment
No fuel is used for these purposes.
Other renewable fuels (e.g. renewable hydrogen)Heating value
LHV
Total fuel MWh consumed by the organization
0
Comment
No other renewable fuels are used for these purposes.
Coal
Heating value
LHV
Total fuel MWh consumed by the organization
0
Comment
No fuel is used for these purposes.
Oil
Heating value
LHV
Total fuel MWh consumed by the organization
77
Comment
Gasoline is used.
Gas
Heating value
LHV
Total fuel MWh consumed by the organization
325

107

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Comment
City gas is used.

Other non-renewable fuels (e.g. non-renewable hydrogen)Heating value
LHV
Total fuel MWh consumed by the organization
0
Comment
No other non-renewable fuels are used for these purposes.
Total fuelHeating value
LHV
Total fuel MWh consumed by the organization

402
Comment
Calculated in conformity with the Ministry of the Environment’s energy conservation
law.

C8.2d
(C8.2d) Provide details on the electricity, heat, steam, and cooling your organization
has generated and consumed in the reporting year.
Total
Generation that is
Grossconsumed by thegeneration organization (MWh)(MWh)

Gross generation fromrenewable sources(MWh)Generation fromrenewable sources thatis consumed by theorganization (MWh)Electricity 820

635

820

635

Heat

0

0

0

0

Steam

0

0

0

0

Cooling

0

0

0

0

C8.2e
(C8.2e) Provide details on the electricity, heat, steam, and/or cooling amounts thatwere accounted for at a zero or near-zero emission factor in the market-based Scope
2 figure reported in C6.3.
Country/area of low-carbon energy consumption
Japan
Sourcing method
108Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

None (no active purchases of low-carbon electricity, heat, steam or cooling)
Energy carrier
Low-carbon technology typeLow-carbon energy consumed via selected sourcing method in the reporting
year (MWh)Tracking instrument used
Country/area of origin (generation) of the low-carbon energy or energy
attribute
Are you able to report the commissioning or re-powering year of the energy
generation facility?
Commissioning year of the energy generation facility (e.g. date of firstcommercial operation or repowering)
Comment
In addition to the solar power generation units installed at Benesse’s Logistics
Center, we are considering concrete measures to achieve our target of relianceon 100% renewable energy by 2041 (with procurement commencing in 2023).
We are currently considering additional measures such as company-owned
solar power generation or off-site PPAs (power purchasing agreements).

C8.2g(C8.2g) Provide a breakdown by country/area of your non-fuel energy consumption in
the reporting year.
Country/areaJapan
Consumption of purchased electricity (MWh)7,492
Consumption of self-generated electricity (MWh)635
Consumption of purchased heat, steam, and cooling (MWh)2,641Consumption of self-generated heat, steam, and cooling (MWh)0109Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Total non-fuel energy consumption (MWh) [Auto-calculated]
10,768Country/area
Taiwan, China
Consumption of purchased electricity (MWh)570
Consumption of self-generated electricity (MWh)0Consumption of purchased heat, steam, and cooling (MWh)37
Consumption of self-generated heat, steam, and cooling (MWh)0Total non-fuel energy consumption (MWh) [Auto-calculated]
607

C9. Additional metrics
C9.1(C9.1) Provide any additional climate-related metrics relevant to your business.

C10. Verification
C10.1(C10.1) Indicate the verification/assurance status that applies to your reported
emissions.
Verification/assurance status
Scope 1

Third-party verification or assurance process in place

Scope 2 (location-based or market-based)

Third-party verification or assurance process in place

Scope 3

Third-party verification or assurance process in place

C10.1a(C10.1a) Provide further details of the verification/assurance undertaken for your
Scope 1 emissions, and attach the relevant statements.
Verification or assurance cycle in place
Annual process110Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Status in the current reporting year
Complete
Type of verification or assurance
Limited assurance
Attach the statement
independent-verification-report_2021_ja.pdf
Page/ section reference
Independent Third-Party Verification Report issued by Socotec Sustainability
Japan, pp. 1 ~ 3.
The above report can be downloaded from the “Our Response to Climate
Change” section of Benesse’s website:
https://sustainability-cms-benesse-hd-s3.s3-ap-northeast1.amazonaws.com/ja/data/download/independent-verificationreport_2021_ja.pdf
Relevant standard
ISO14064-3
Proportion of reported emissions verified (%)
100

C10.1b
(C10.1b) Provide further details of the verification/assurance undertaken for your
Scope 2 emissions and attach the relevant statements.
Scope 2 approach
Scope 2 market-based
Verification or assurance cycle in place
Annual process
Status in the current reporting year
Complete
Type of verification or assurance
Limited assurance
Attach the statement
independent-verification-report_2021_ja.pdf
Page/ section reference
Independent Third-Party Verification Report issued by Socotec Sustainability
Japan, pp. 1 ~ 3.
The above report can be downloaded from the “Our Response to Climate
Change” section of Benesse’s website:111

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

https://sustainability-cms-benesse-hd-s3.s3-ap-northeast1.amazonaws.com/ja/data/download/independent-verificationreport_2021_ja.pdf
Relevant standard
ISO14064-3
Proportion of reported emissions verified (%)
100

C10.1c(C10.1c) Provide further details of the verification/assurance undertaken for your
Scope 3 emissions and attach the relevant statements.
Scope 3 category
Scope 3: Purchased goods and services
Scope 3: Capital goods
Scope 3: Fuel and energy-related activities (not included in Scopes 1 or 2)
Scope 3: Upstream transportation and distribution
Scope 3: Waste generated in operations
Scope 3: Business travel
Scope 3: Employee commuting
Scope 3: Downstream transportation and distribution
Scope 3: Use of sold products
Scope 3: End-of-life treatment of sold products
Verification or assurance cycle in place
Annual process
Status in the current reporting year
Complete
Type of verification or assurance
Limited assurance
Attach the statement
independent-verification-report_2021_ja.pdf
Page/section reference
Independent Third-Party Verification Report issued by Socotec Sustainability
Japan, pp. 1 ~ 3.
The above report can be downloaded from the “Our Response to Climate
Change” section of Benesse’s website:
https://sustainability-cms-benesse-hd-s3.s3-ap-northeast1.amazonaws.com/ja/data/download/independent-verificationreport_2021_ja.pdf
Relevant standard
ISO14064-3

112

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Proportion of reported emissions verified (%)
100

C10.2
(C10.2) Do you verify any climate-related information reported in your CDP disclosure
other than the emissions figures reported in C6.1, C6.3, and C6.5?
Yes

C10.2a(C10.2a) Which data points within your CDP disclosure have been verified, and which
verification standards were used?
Disclosure Data
moduleverifiedverification
relates to
C6.
Emissionsdata

Verification Please explain
standard

EnergyISO14064-3
Independent Third-Party Verification Report issued
consumption

by Socotec Sustainability Japan, pp. 1 ~ 2, 4.

The above report can be downloaded from the “Our
Response to Climate Change” section of Benesse’s
website:https://sustainability-cms-benesse-hd-s3.s3-apnortheast1.amazonaws.com/ja/data/download/independentverification-report_2021_ja.pdf
1

C6.
Emissions
data

Waste data

ISO14064-3

Independent Third-Party Verification Report issued
by Socotec Sustainability Japan, pp. 1 ~ 2, 4.
The above report can be downloaded from the “Our
Response to Climate Change” section of Benesse’s
website:https://sustainability-cms-benesse-hd-s3.s3-apnortheast1.amazonaws.com/ja/data/download/independentverification-report_2021_ja.pdf
1

1independent-verification-report_2021_ja.pdf

113

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C11. Carbon pricing
C11.1(C11.1) Are any of your operations or activities regulated by a carbon pricing system(i.e. ETS, Cap & Trade or Carbon Tax)?
Yes

C11.1a(C11.1a) Select the carbon pricing regulation(s) which impacts your operations.
Japan’s carbon tax

C11.1c(C11.1c) Complete the following table for each of the tax systems you are regulatedby.
Japan’s Carbon Tax
Period start date:
April 1, 2021

Period end date:
March 31, 2022

% of total Scope 1 emissions covered by tax
18

Total cost of tax paid
21,675

Comment
Scope 1 emissions within Japan (75t-CO2) ÷ Total Scope 1 & 2 emissions within Japan
(4,194) ＝18％
Carbon tax per ton Scope 1 emissions (289 JPY) X Scope 1 emissions within Japan(75t-CO2) = 21,675 JPY
Due to the fact that all Scope 1 emissions within Japan are due to the burning of fossil
fuels.

C11.1d(C11.1d) What is your strategy for complying with the systems you are regulated by or
anticipate being regulated by?
Based on Article 8 of the management rules of the Central Environment Councilof Japan’s Ministry of the Environment, the Subcommittee on the Use of Carbon
114

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Pricing was established and began deliberations. It discussed measures to deal
with climate change that were included in the “Green Growth Strategies” publishedin December 2020 and how they could be used as opportunities for economic
growth. The Ministry of Economy, Trade and Industry then published the Basic
Concept of the GX (Green Transformation) League and began enlistingendorsements from businesses. Benesse endorsed the Basic Concept of the GX
League in March 2022.
Specifically, the GX League supports Japan’s goal of achieving carbon neutrality
by 2050 by such measures as developing a vision of a future carbon neutral
society, creating new markets and devising rules for them, and establishing asystem called “carbon pricing” (developing rules for implementing a voluntarycarbon credit exchange scheme). Benesse participated in the GX League as a core
member of “The Future Society” platform and made a presentation as arepresentative team at the GX League Symposium sponsored by the Ministry of
Economy, Trade and Industry in November 2022.
Discussion on the rules for the “carbon pricing” carbon credit exchange
proceeded with a view to implementation during FY 2023, with actual trading toproceed on a voluntary basis. Activity commenced in full in April 2023, andBenesse is taking part. Since Benesse’s emissions are small, it is included in thegroup of GX League members with direct emissions of under 100,000 t-CO2 during
FY2021, so its impact will not be large; however, Japan’s environmental policies are
expected to be further strengthened in the future, so we believe Benesse’s actions
will have some impact down the line.
Trading on the carbon credit exchange began during FY 2023, and work on thedevelopment of rules is also scheduled to start, so it is possible that new legal
regulations will be applied in the future.
Benesse also endorses the Ministry of the Environment’s climate change
measure urging Japan’s people to make “wise choices” under the slogan “CoolChoice”. We are striving to reduce our energy consumption by continuing tocommunicate the need to set thermostats to appropriate levels and adjust clothingsuited to those settings under the slogans “Cool Biz” in summer and “Warm Biz” inwinter.
We have also endorsed the TCFD (the Task Force on Climate-Related Financial
Disclosures) framework and have gained approval for our goals as SBTs (ScienceBased Targets). Benesse’s SBTi-approved targets for Scope 1 and 2 emissions arein line with a goal of keeping warming well below 2℃, with reductions of 36.2%(compared to the base year 2018) in 2030 and 100% (compared to the base year2018) in 2050, thereby meeting our medium- to long-term reduction goals. In
addition, in December 2021 we reapplied for SBTi approval for reductions in linewith a goal of capping warming at 1.5℃ through reductions of 52.8% (compared tothe base year 2018), and this target was approved in September 2022. At the sametime, we reviewed our Scope 3 unit emission value and, although we were unable
115Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

to change the reduction target itself, there was a change in our data, so wereapplied for approval. Approval of this target was received at the same time as thatfor the revised Scope 1 and 2 targets. We also set our target for Scope 1 and 2
emissions in 2041 to a reduction of 100% compared to the base year 2018.
To achieve these targets, we have developed a plan to reduce Scope 1 and 2
emissions and are considering a plan to consult with our customers as we digitalize
our products with a view to reducing our Scope 3 emissions.

C11.2(C11.2) Has your organization canceled any project-based carbon credits within thereporting year?
Yes

C11.2a(C11.2a) Provide details of the project-based carbon credits canceled by yourorganization in the reporting year.

Project type
Other, please specify.
We have been using Okayama City’s “Local Recycling Carbon Offset Scheme”
since 2014. This carbon offset scheme recycles used cooking oil from homes andthe cafeterias of local businesses and uses it as fuel for city buses.

Type of mitigation activity
Emissions reduction
Project description
Measures taken at the Benesse general stockholder meetings to reduce our CO2
emissions to zero:
We have been using Okayama City’s “Local Recycling Carbon Offset Scheme”
since 2014 and our general stockholder meetings are organized in anenvironmentally friendly way.
During the reporting year, 27 t-CO2 were offset at a cost of 1,500JPY/t-CO2,
and this “Write off” was certified (a certificate showing the amount was issued).
Carbon offsets were arranged for the following measures:
・Lighting and air conditioning during the stockholder meetings and rehearsals
for them.
・The creation and sending of invitations to the stockholder meetings
・Transportation of stockholders and company staff to the stockholder meetings

116

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

For information on our use of Okayama City’s Carbon Offset Scheme, see:https://benesse.co.jp/kankyo/office/own_building.html#anc03
Benesse’s carbon offset certificate for the reporting year can be seen at:https://sustainability-cms-benesse-hd-s3.s3-ap-northeast1.amazonaws.com/ja/pdf/carbon_offset_certificate21.pdf

Credits canceled by your organization from this project in the reporting year
(metric tons CO2e)28
Purpose of cancellation
Voluntary offsetting
Are you able to report the vintage of the credits at cancellation?
Yes
Vintage of credits at cancellation
2021
Were these credits issued to or purchased by your organization?
Purchased
Credits issued by which carbon-crediting programIf other carbon credit programs were used, please specify.
Okayama City’s “Local Recycling Carbon Offset Scheme” was used.
Method(s) the program uses to assess additionality for this project
Consideration of legal requirements
Investment analysis
Approach(es) by which the selected program requires this project to address
reversal risk
No risk of reversal
Potential sources of leakage the selected program requires this project tohave assessed
Upstream/downstream emissions
Provide details of other issues the selected program requires projects toaddress
・Methods the program used to evaluate the additionality of the project in question→ Consideration of legal requirements, investment analysis
As criteria used to judge the additionality of the project when it was registered, we
confirmed that it was not being planned in view of legal obligations, and that it
fulfilled the standard of recovery of investment in 3 years or more (e.g., if theinvestment recovery period was long and there was no credit incentive, there would
have been a high possibility that the project would not have been undertaken.)* See the following link for an outline of the results of the evaluation of the project inquestion:
https://www.japancredit.go.jp/jcdm/items/data/1346_2.pdf

117Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

・Potential sources of leakage that entail obligatory evaluation of the
project in question in the selected program → upstream/downstream
emissionsBecause it says “The use of power systems and methanol to power BDF(biodiesel fuel) facilities could be listed as potential sources of leakage, butthese are included in our calculations of leakage emissions.” * See the abovelink.
・If there are other problems with the project in question in the selected
program that would entail obligatory measures, please specify them.
→ One of the requirements for registering projects in the J credit system is that“Environmental concerns are taken into account and sustainability is ensured”,
so these conditions are requirements for registration in the J credit system.

Comment

C11.3(C11.3) Does your organization use an internal price on carbon?
Yes

C11.3a(C11.3a) Provide details of how your organization uses an internal price on carbon.
Type of internal carbon priceShadow priceHow the price is determined
Cost of required measures to achieve emissions reduction targets
Objective(s) for implementing this internal carbon price
In-House Operations Changes
Promotion of energy efficiency
Promotion of investment in low-carbon operations
Desires of stakeholders
Reduction in emissions along the supply chain

Scope(s) covered
Scope 3 (upstream)
Pricing approach used – spatial varianceDifferentiated118Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Pricing approach used – temporal variance
StaticIndicate how you expect the price to change over time
Actual price(s) used – minimum (currency as specified in C0.4 per metric ton
CO2e)
1,575
Actual price(s) used – maximum (currency as specified in C0.4 per metric ton
CO2e)
1,575
Business decision-making processes this internal carbon price is applied to
Procurement
Risk management:
Value chain engagement
Mandatory enforcement of this internal carbon price within these businessdecision-making processes
Yes, mandatory enforcement in a number of decision-making processes.
Please specify.
We made our decision on the plan after calculating the difference in cost andgreenhouse gas emissions volume between when biomaterials were used andwhen they were not.
Explain how this internal carbon price has contributed to the implementationof your organization’s climate commitments and/or climate transition plan
The introduction of biomaterials in film envelopes used in direct mailing of our
products could be linked to cost increases; however, priority was placed onchanges in in-house operations such as investment in low-carbon activities,
reduction in emissions along the supply chain and responding to ourcustomers’ expectations, and the CEO himself decided to adopt biomaterials
even if this led to higher costs.

C12. Engagement
C12.1(C12.1) Do you engage with your value chain on climate-related issues?
Yes, our suppliers
Yes, our customers/clients

C12.1a(C12.1a) Provide details of your climate-related supplier engagement strategy.
Type of engagement
119Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Engagement and provision of incentives (to promote change in supplier operations)

Details of engagement
Conduct an engagement campaign through which we educate our suppliers
about climate change% of suppliers by number83% total procurement spend (direct and indirect)
83% of supplier-related Scope 3 emissions as reported in C6.5
77
Rationale for the coverage of your engagement
Benesse has established a procurement policy for the procurement of paperand supplies for the manufacture of learning materials and toys and made it
public. This policy is based on the Benesse Group’s environmental policy that
addresses climate change, among other issues, and strives to ensure that allprocesses along the supply chain, including procurement and shipping, areconducted with the environment in mind. Our policy promotes low-waste productspecifications, procurement that takes the environment, including climatechange, into account, and increased accuracy in our production numbers. We
are also working with our trading partners to evaluate measures to protect theenvironment and take climate change into consideration and promote efficientshipping methods.
The Benesse Logistics Center, our main logistics hub, is striving to reduce CO2
emissions.
Benesse has established a product procurement policy and standards as wellas an in-house inspection system. We use only suppliers who fully meet
Benesse’s standards. In particular, we have implemented a stringent checking
system based on rules strictly prohibiting the use of materials that have an
adverse impact on the environment. Since paper constitutes the largest
proportion of our resource consumption, we have established paper procurement
standards and conduct strict screening of the paper we consume. (* Our paper
procurement standard is disclosed to our suppliers.)
Benesse provides these standards in writing to all of our primary andsecondary agents as well as to the paper manufacturers so that they can confirm
them.
To ensure that this type of strict management is carried out on a daily basis,
our engagement covers not only suppliers of products and services, but all
suppliers, from those who provide marketing tools and packaging to those who
handle shipping.
Moreover, we hold monthly meetings with our suppliers and are considering
ways to strengthen our measures to protect the environment and control climatechange.
Impact of engagement, including measures of success
Benesse’s main business is the supply of “Kodomo Challenge” and “Shinken
Zemi” learning materials in paper-based and tablet forms. We work with our120

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suppliers to evaluate the environmental impact of each phase of the work,
including by conducting audits and inspections of environmental measures atmanufacturing sites and reviewing our shipping methods. By continuing to award
contracts to suppliers who meet our standards, we help stabilize their business
operations. This collaboration with our suppliers not only helps reduce the impactof our business on climate change and other environmental challenges, but alsoenables us to offer safe products. We view this consideration of both theenvironment and product safety as a hallmark of Benesse’s business. As acompany that outsources the manufacture of learning materials and tablets, wetake our responsibility over the supply chain seriously. We therefore view ourability to conduct audits and inspections of environmental initiatives to enable us
to provide products that meet rigorous standards as a benchmark of our
success.
Approximately 100% of the paper procured by Benesse meets theenvironmental standards we set.
We are using the ratio of supplier compliance with Benesse environmental
standards as the KPI (key performance indicator) to measure our success inengagement. Our target is100% compliance and we are meeting that goal. Thisis the result of preliminary surveys to ascertain whether suppliers meet ourstandards and our rule that we will not begin doing business with suppliers
whose survey answers show that they do not meet these standards, as well as
our system of multiple checks to meet our policy of not shipping out products
from suppliers that do not meet our standards.

Comment
There are three main steps involved in the process of going from theprocurement of materials and the manufacturing of products to the delivery ofthese products to our customers: “procurement and manufacturing,” “packaging”
and “shipping”.
Our SCM (Supply Chain Management) Division is involved in all of these steps,
collaborating with our Operations Division and affiliated companies and working
closely with suppliers to gather and exchange information and verify complianceand thus ensure that environmental initiatives are implemented in a coherent
manner.

Type of engagement
Innovation & collaboration (changing markets)
Details of engagement
Conduct a campaign to encourage innovation to reduce the climate impact ofour products and services
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% of suppliers by number
0.5% total procurement spend (direct and indirect)
1.5% of supplier-related Scope 3 emissions as reported in C6.5
5
Rationale for the coverage of your engagement
Announcements to students of our correspondence courses are sent via
direct mail, web mail and SNS messages, with 90% of the direct mailannouncements sent in OPP (biaxially oriented polypropylene) envelopes. It
was decided to blend bio-based materials in the material used to manufacture
these envelopes, and to that end, we worked with the suppliers to develop a
glue to seal these envelopes, because the new vinyl envelopes tore whensealed with the glue we had been using up to that point. We repeatedly
developed, improved and tested new glues and were finally able to produce
one of the right adhesive strength for the new envelopes.
The reduction in emissions due to this measure is only 5% due to the fact that
our use of envelopes for direct mail is low. However, we began work on thismeasure with the intent of undertaking initiatives to reduce even small amountsof emissions whenever possible. We are planning to continue our efforts toincrease such activities with possible collaborators among our business
partners in the future.
Impact of engagement, including measures of success
90% of our direct mail announcements delivered in November 2022 wereenclosed in vinyl envelopes; we have succeeded in replacing 100% withenvelopes made of a film blend that includes bio-based materials. Since
80,100,000 pieces of direct mail are posted by Benesse each year, this will havea major impact. In this way, we intend to reduce our greenhouse gas emissions;
we have also been able to confirm through marketing research that ourenvironmental protection initiatives have been received favorably by ourclientele.
Comment
This initiative was spearheaded by our CEO, who has primary responsibility forour environmental initiatives and is especially concerned with our measures toameliorate climate change. Benesse purchases plastic materials from four
companies, two of which handle costed items and two of which supply theenvelopes for direct mailing. The development and improvement of these newenvelopes was undertaken in collaboration with one of the suppliers of direct
mailing envelopes.
Of our total procurement costs of 47.5 billion JPY, 720 million JPY was related
to this initiative. Out of our 200 suppliers (including those we are planning touse), one collaborated with us on this initiative.

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Type of engagement
Engagement & incentivization (changing supplier behavior)
Details of engagement
Offer financial incentives for suppliers who reduce your upstream emissions(Scope 3)% of suppliers by number
1.4% total procurement spend (direct and indirect)
3% of supplier-related Scope 3 emissions as reported in C6.5
2
Rationale for the coverage of your engagement
Paper is normally purchased by the ream, but since we don’t need an exact
number of reams, we had been asking our paper suppliers to dispose of theleftover paper. We recently changed our procurement contracts so that theleftover fraction would be counted and collected for a half year, with the profit
accrued then split between the supplier and Benesse. This not only reduced
waste but also reduced paper consumption, thereby contributing to Benesse’s
climate change measures by reducing our Scope 3 emissions. The total paper
used for learning materials and direct mailing resulted in an annual incentive of 2
million JPY for the suppliers.
Impact of engagement, including measures of success
Paper is normally purchased by the ream, but since we don’t need an exact
number of reams, in the past we asked our paper suppliers to dispose of theleftover paper. However, we recently changed our procurement contracts so thatthe leftover fraction would be counted and collected for a half year, with the profit
accrued then split between the supplier and Benesse. Thus, we were able toachieve a reduction in waste by giving our suppliers a profit.
In order to make this measure successful, we needed to apply it to 100% of thepurchases we made from the suppliers targeted by the measure. We actuallyasked each of our suppliers to give us a detailed annual breakdown containing
data for each transaction; we confirmed the incentives with them by attaching
documents based on accounting slips at the time payments were made.
Comment

Type of engagement
Engagement & incentivization (changing supplier behavior)
Details of engagement
Facilitate adoption of a unified climate transition approach with suppliers% of suppliers by number
9.6% total procurement spend (direct and indirect)123

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

16
% of supplier-related Scope 3 emissions as reported in C6.5
30.5
Rationale for the coverage of your engagement
Emissions from the use of paper account for the largest portion of Benesse’s
Scope 3 emissions, so they are very significant.
100% of the paper we procure from all of our paper suppliers is certified by the
SGEC (Sustainable Green Ecosystem Council), the Japanese version of PEFC
(Program for the Endorsement of Forest Certification).
For an explanation of PEFC/SGFC, see https://sgec-pefcj.jp/
Impact of engagement, including measures of success
Benesse consumes approximately 46,000 tons of paper annually. 100% of
this large volume is procured on the condition that it has been certified by SGEC
(Sustainable Green Ecosystem Council), the Japanese version of PEFC
(Program for the Endorsement of Forest Certification).
The measure of our success involves not relying on imported paper, butinstead relying solely on paper produced in Japan for 100% of our supplies.
Somewhere over 9% of the paper marketed for printing in Japan is imported
from other countries, but Benesse gets 100% its supplies from domestic paper
makers, totally eschewing imported paper. The paper type is specified in all ourpaper procurement operations and we have a system in place to check the
paper procured in all of our transactions.
This is an important measure undertaken to promote the absorption andstorage of CO2, which is one cause of global warming, while also conserving
forests and making appropriate use of them in order to prevent soil erosion andnatural disasters.

Comment

C12.1b
(C12.1b) Give details of your climate-related engagement strategy with your customers.

Type of engagement / Details of engagement
Cooperation and innovation
Implementation of campaign promoting innovations to ameliorate the impact ofclimate change% of customers by number
70% of customer-related Scope 3 emissions as reported in C6.5
65

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Please explain the rationale for selecting this group of customers and scopeof engagement
The target of this engagement strategy is elementary, junior high and highschool student customers who use tablets and smart phones. This is thegeneration that will play an instrumental role in protecting the global environment
through climate control strategies in the future, and we believe that continuous
education on the environment tailored to their developmental stages could be an
important strategy in addressing climate change.
We view children as “exchange students from the future” and define theenvironmental activities we are engaged in as working to bring the earth to asustainable state so that children can bring about a state of well being that is in
keeping with our corporate philosophy: “Benesse = Well-Being.”
Benesse’s environmental activities revolve around the following two points:① Promoting environmental education in order to increase the number ofpeople who understand environmental issues and can take environmentallyaware action.
② Reducing our burden on the environment.
Our collaboration with our customers and other related institutions is based on
point ① above.
Impact of engagement, including measures of successOur biggest success in this area comes through the initiation of tablet-based
courses for “Shinken Zemi”, Benesse’s main product for elementary, junior highand high school students. Attendance rates for tablet-based courses, our KPI(Key Performance Indicator) in this area, reached approximately 70% forelementary and junior high school students and 100% for high school students
for the reporting year. This increase over the previous year is a sign of thesuccess of this measure.
Furthermore, we were able to reduce paper consumption 5,998 tons (theequivalent of approximately 9500 t-CO2 Scope 3 greenhouse gas emissions)and in addition, we were able to reduce emissions in the transportation, use andwaste categories.

Type of engagement & Details of engagement
Collaboration & innovation
Run a campaign to encourage innovation to reduce climate change impacts% of customers by number
5% of customer-related Scope 3 emissions as reported in C6.5
0.01
Please explain the rationale for selecting this group of customers and scopeof engagement
The target of this engagement strategy is the families of our very young
customers who are aware of the “Shimajiro Club Kuru Kuru Recycling” program.
We are trying to engage with these customers because we believe that they willplay an instrumental role in protecting the global environment through climate
125Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

control strategies in the future and that providing continuous education on theenvironment from early childhood could be an important strategy in addressing
climate change.
We view children as “exchange students from the future” and define theenvironmental activities we are engaged in as working to bring the earth to asustainable state so that children can bring about a state of well being that is in
keeping with our corporate philosophy: “Benesse = Well-Being.” We areconscious of the fact that carrying out environmental education, including
education about climate change, is extremely important for Benesse, a company
whose main business is education, because we know that it is the role ofeducation to transform society over the medium and long term.
Benesse’s environmental activities revolve around the following two points:① Promoting environmental education in order to increase the number ofpeople who understand environmental issues and can take environmentallyaware action.
② Reducing our burden on the environment.
Our collaboration with our customers and other related institutions is based on
point ① above.
Details about the “Shimajiro Club Kuru Kuru Recycling” program are available
at:https://kodomo.benesse.ne.jp/open/project/recycle/
Impact of engagement, including measures of success
We view the measure of the success of our efforts as the increase in thevolume of recovered materials over the previous year.
The following is a list of collaborative activities carried out with our customers
and related institutions:i) Method of collaboration: Active participation in efforts to recycle our
products. Information on how to participate in this program is provided on
our website （https://kodomo.benesse.ne.jp/open/project/recycle/）, in thecontent of our learning materials, and in flyers distributed at concert halls.
ii) Strategies to prioritize collaborative activities:a) Students enrolled in the “Kodomo Challenge” program receive
educational toys (made of plastic, wood and cloth) and DVDs and CDs
every month, so they get more products that could be thrown away (andtherefore more that could be recycled) than those enrolled in the“Shinken Zemi” program.
b) We put priority on collaborating with students enrolled in the “Kodomo
Challenge” program because there are more chances and venues suchas concerts and events at which we can have contact with them.
iii) The collected toys are reprocessed to make oil that is reused as energy
sources. It is separated into type A heavy oil and kerosene, with therecycled type A heavy oil used to power forklifts, while the recycled
kerosene is used as fuel for heaters in greenhouses where strawberries
and other fruits and vegetables are grown.

126Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Through the “Kodomo Challenge Recycling” program, 407 kg ofrecyclable materials were collected in FY 2022 (the year ending on March
31, 2021). The cumulative total of materials collected since the program
began in 2010 reached 16.7 tons. Thus, the program can be seen to be
successful in view of the fact that the cumulative total of materials collected
rose; however, the volume of materials collected during the reporting year
was lower than that of the previous year because concerts and eventswere cancelled due to the COVID 19 pandemic, and this led to fewer
opportunities to collect recyclable materials.
Since the materials used to make the educational toys and DVDs wecollect include plastic, wood, cloth and other materials, it is practically
impossible to calculate the reduction in CO2 emissions.
① The educational toys that are collected are reprocessed to make oil thatis reused as energy sources. It is separated into type A heavy oil andkerosene, with the recycled type A heavy oil used to power forklifts, while
the recycled kerosene is used as fuel for heaters in greenhouses wherestrawberries and other fruits and vegetables are grown.
② Feedback from customer questionnaire:
・I am happy to see how my child’s consciousness is being raised about
wasting things; s/he actually talks about not wasting water and electricity.
・My child talks about being careful with water and grains of rice.
・My child sings the “Mottainai (wasteful) Song” when eating or washing
her hands.
・My child asked if we should turn off the lights. (It was a dark, rainy day,so we didn’t actually turn them off.)・My child has learned the importance of food and now understands why I,
as a parent, am constantly cautioning him about not wasting it.
・My child has started making sure to eat all of her rice—down to the lastgrain.
・On bright, sunny days, my child has started turning off lights.
・My child now says “mottainai” (What a waste!) when the shower is left
running.
・I’m happy that my daughter now talks to me about waste at every
opportunity, like when she sees water, electric lights or things like that.
・My child asked me what kind of things are “mottainai”.
・My child has begun saving water while taking a bath, saying things like“mottainai” if the water is left running. He didn’t seem to get this up untilnow.
・My child now makes sure to eat all her food.
・I used to think it would be hard to get the concept of “mottainai” across,but Shimajiro helped us think about it together.
127Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

・The concept of “mottainai” is surprisingly difficult, but the explanation
was easy to follow.
We see the above customer feedback as indicators of our success inchanging children’s actions (including expressing ideas through language).

Type of engagement & Details of engagement
Others. Please specify.
We provide customers of a wide age range—from pre-schoolers through highschool students—opportunities to learn about environmental issues, the causes
and effects of climate change, and strategies for adapting to it and mitigating it.
% of customers by number
100% of customer-related Scope 3 emissions as reported in C6.5
0.2
Please explain the rationale for selecting this group of customers and scopeof engagement
We view children as “exchange students from the future” and define theenvironmental activities Benesse is engaged in as working to bring the earth to asustainable state so that children can bring about a state of well being that is in
keeping with our corporate philosophy: “Benesse = Well-Being.” We areconscious of the fact that carrying out environmental education, including
education about climate change, is extremely important for Benesse, a company
whose main business is education, because we know that it is the role ofeducation to transform society over the medium and long term.
Our operations are in line with the Paris Agreement on Climate Change.
Benesse is striving to help make society carbon neutral, not only through its daily
operations, but also through its “Kodomo Challenge” and “Shinken Zemi”
programs, by providing products, services and opportunities for children to learn
about why climate change is occurring and how it can be adapted to andmitigated now and into the future.
Impact of engagement, including measures of success
We view the measure of the success of our efforts as providing environmental
education to 100% of our customers.
We provide environmental education, including education about how to mitigate
climate change and adapt to it, that is in conformity with the course guidelines ofJapan’s Ministry of Education, Culture, Sports, Science and Technology (MEXT)
to 100% of our customers, with our own contents and events that are tailored toeach stage of a child’s development. At our events, we ask participants to make“Eco Friendly Declarations” about energy reduction measures they can put into
practice in their daily lives from now on. This consciousness-raising activity
encourages them to pledge to make changes in their daily lives to mitigate
climate change through measures such as reducing energy consumption in theirhome, replacing gasoline-driven cars with electric vehicles, driving in an eco128

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

friendly manner and so on. Customers learn about the environment and climatechange not only in our science and social studies materials, but also in theenvironmental education contents of such products as our “Shimajiro: A World of
Wow! Environmental Animation”, “Shimajiro: A World of Wow! “Mamimume‘Mottainai’ (Wasteful)!” and “Eco Challenge for Parents and Children”, as well as
by participating in such activities as our “Summer Challenge: Contest to Create a
Future for Elementary School Students Nationwide”, the Environmental Essay
Contest for High School Students, the Benesse STEAM Festival, and the
National Exploration Contest, and by viewing the prize-winning entries in these
programs. In these ways, Benesse is helping to raise customers’ consciousness
about climate change and other environmental concerns.
https://benesse-hd.disclosure.site/ja/themes/150

C12.2(C12.2) Do your suppliers have to meet climate-related requirements as part of yourorganization’s purchasing process?
Yes, climate-related requirements are included in our supplier contracts.
C12.2a(C12.2a) Provide details of the climate-related requirements that suppliers have tomeet as part of your organization’s purchasing process and the compliancemechanisms in place.
Climate-related requirement
Complying with regulatory requirements.
Description of this climate related requirement
The Benesse procurement policy clearly states that “we will develop a supply
chain that has a reduced environmental impact.”
The SCM (Supply Chain Management) Division of our Operations
Headquarters is in charge of developing a supply chain that covers all areas
necessary for the provision and sales of our products and services, from theprocurement of raw materials and parts through the manufacturing, inventory
management and shipping processes.
The SCM Division has the primary responsibility for ensuring that thepurchasing processes proceed in accordance with Benesse’s Purchasing
Management Regulations and our Authority Regulations.
● Purchasing Management Regulations
These regulations determine the basis of all purchasing operations as well as theprocedures for managing trading partners and making purchases, to ensure
proper and fair management and operations while also promoting enhanced
operational efficiency.
● Authority Regulations
Policies governing the following areas have been established based on
Benesse’s Authority Regulations:・ Policies governing the company’s purchase of materials, manufacturingagreements, shipping and inventory management
129Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

・ Classification of purchases according to the trading partner and method ofpurchase・ Supplier, transaction conditions, prices, etc.
● Value Chain Committee
Corporate management and Operations Headquarters consider major value
chain issues from a medium- to long-term perspective based on our businessstrategy and select issues that should be prioritized based on risk analysis.
Examples of Priority Issues
・ Business Continuity Plans to deal with risks of infectious disease outbreaks
or natural disasters
・ Enhancing sustainability (by switching to environmentally friendly materials,
promotion of recycling, etc.)
Regular Auditing PDCA (Plan-Do-Check-Act) Cycles (e.g., Overseas
Manufacturing)
The Benesse Group manufactures its products at factories that arecommissioned to do this work.
The main countries in which overseas contract factories are located are China
and Vietnam.
Benesse checks the environmental and labor conditions at these factories
through regular audits and also requires that they keep sustainability in mind intheir procurement practices.
● Initiatives undertaken to reduce environmental impact
Based on the Benesse Group Environmental Policy, we are consistently
striving to ensure that our supply chain is environmentally friendly in allprocesses in terms of procurement and logistics. We promote measures such as
low-waste product specifications, environmentally conscious procurement
methods and accuracy in production numbers. We also collaborate with our
trading partners on such measures as evaluating environmental protection
initiatives and developing efficient shipping methods.
At our main logistics hub, the Benesse Logistics Center, we are engaged inmeasures to reduce CO2 emissions.

CO2 Emission Reduction Measures at the Benesse Logistics Center:
https://www.benesse.co.jp/kankyo/office/logistics_center.html
Further details available on the Benesse website:
https://benesse-hd.disclosure.site/ja/themes/159

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One fruit of these activities was a plan to reduce greenhouse gas emissions
generated during shipping our products by reducing the thickness of our learningmaterials.
Starting in April 2022, the Shimajiro and Hana-chan puppets that accompany“Kodomo Challenge” materials have been sent in compressed form, thereby
improving loading efficiency while also reducing greenhouse gas emissions aswell as shipping costs.
Another measure we took a few years ago to reduce the environmental impactof our business was changing the stuffing in the Shimojiro and Hana-chanpuppets that accompany “Kodomo Challenge” materials to recycled cotton.
% suppliers by procurement spend that have to comply with this climaterelated requirement100% suppliers by procurement spend in compliance with this climate-related
requirement
100
Mechanisms for monitoring compliance with this climate-related requirement
Second-party verification
Response to supplier non-compliance with this climate-related requirement
Suspend and engage

Climate-related requirement
Waste reduction and material circularity
Description of this climate related requirement
Paper is normally purchased by the ream, but since we don’t need an exact
number of reams, in the past we asked our paper suppliers to dispose of theleftover paper. However, we recently took measures to have the leftover fraction
counted and accumulated for a half year, with the profit accrued then split
between the supplier and Benesse. Thus, we were able to achieve a reduction in
waste by giving our suppliers an added profit.
% suppliers by procurement spend that have to comply with this climaterelated requirement
0.5% suppliers by procurement spend in compliance with this climate-related
requirement
0.5
Mechanisms for monitoring compliance with this climate-related requirement
Second-party verification
Response to supplier non-compliance with this climate-related requirement
Retain and engage

131Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C12.3
(C12.3) Does your organization engage in activities that could either directly or
indirectly influence policy, law, or regulation that may impact the climate?
Row 1
External engagement activities that could directly or indirectly influence
policy, law, or regulation that may impact the climate
Yes, we engage directly with policy makers.
Yes, our membership of/engagement with trade associations could influence
policy, law, or regulation that may impact the climate.
Does your organization have a public commitment or position statement to
conduct your engagement activities in line with the goals of the Paris
Agreement?
Yes
Attach commitment or position statement(s)TCFD Endorsement Statement
Ministry of Economy, Trade and Industry Announcement of Basic GX League
Concept, GX League Endorsement
C12.3 TCGD と GX リーグ賛同表明.pdf (TCGD and GX League
Endorsements)
20190723_release.pdf
Describe the process(es) your organization has in place to ensure that yourexternal engagement activities are consistent with your climate commitments
and/or climate transition plan
Benesse sees our climate change measures as an important business topic
not only so that we can sustain our business but also to ensure that ourcustomers—who range from preschoolers through high school and college
students and on to adults—can carry out their lives in a sustainable society as
they see fit, and we have therefore clearly stated this in our environmental
policy.
In carrying out our climate change measures, we have set goals that are inline with the Paris Agreement on Climate Change, that is, to keep our Scope 1
and 2 emissions in line with a goal of capping global warming at 1.5℃. We
have also endorsed the TCFD (the Task Force on Climate-Related Financial
Disclosures) framework and, based on estimates of what society will be like in2030 and 2050, planned ways to deal with potential impacts, estimated risks
and opportunities, analyzed ways to adapt to climate change and also mitigate
it, and then developed governance and risk management strategies to actually
carry out these measures.
In addition, in order to take measures in line with the Paris Agreement on
Climate Change and help achieve a carbon-neutral society, Benesse joined the
GX League sponsored by Japan’s Ministry of Economy, Trade and Industry(METI) and has begun undertaking concrete measures towards its goals.
● Endorsement of the TCFD framework and disclosure of information inaccordance with this framework132Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

In line with the Paris Agreement on Climate Change and in response to arequest by Japan’s Ministry of Economy, Trade and Industry (METI), Benesseannounced its endorsement of the TCFD framework in July 2019 and began
disclosing the required information on its website in March 2021. Revisions arebeing made and the disclosed information updated as necessary, and thisprocess is included in our business strategy.
● Endorsed the Basic Concept of the GX (Green Transformation) League
announced by METI in March 2022 and served as a member of the group that
prepared for the launch of the GX League; officially joined the League after its
establishment in March 2023.
In March 2022, Benesse announced its endorsement of the Basic Concept of
the GX League, which aims to achieve carbon neutrality in line with the Paris
Agreement on Climate Change. To help achieve carbon neutrality, Benesse
joined League discussions on ① developing a vision of a future carbon neutral
society, ② creating new markets and devising rules for them, and ③ avoluntary carbon credit exchange scheme, and began preparing for
implementation starting in FY2023. Benesse officially joined the GX League
and began taking part in League activities in April 2023.
During the GX League’s pre-launch preparation period, Benesse served as acore member of the “The Future Society” group that worked on drawing up avision of a future carbon neutral society, and the Benesse team’s proposal waschosen as a representative example for presentation at the GX League
Symposium sponsored by METI in November 2022.
In April 2023, Benesse announced its formal participation in the League andbegan taking part in its activities.

C12.3a(C12.3a) On what policy, law, or regulation that may impact the climate has yourorganization been engaging directly with policy makers in the reporting year?
Specify the policy, law, or regulation on which your organization is engaging
with policy makers
Benesse sees our climate change measures as an important business topic
not only so that we can sustain our business but also to ensure that ourcustomers—who range from preschoolers through high school and college
students and on to adults—can carry out their lives in a sustainable society as
they see fit, and we have therefore clearly stated this in our environmental
policy. As one way in which we can help transform society towards carbon
neutrality in line with the Paris Agreement on Climate Change, we endorsed
METI’s Basic Concept of the GX (Green Transformation) League, which has
set a goal of achieving carbon neutrality by 2050, and served as a member ofthe group that prepared for the launch of this league.
Specifically, Benesse announced its endorsement of the Basic Concept of the
GX League, which aims to achieve carbon neutrality, in March 2022 and joined
discussions leading up to the launch of the league on ① developing a vision ofa future carbon neutral society, ② creating new markets and devising rules forthem, and ③ a voluntary carbon credit exchange scheme, and began
preparing for implementation starting in FY2023.

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Category of policy, law, or regulation that may impact the climate
Climate change mitigation
Focus area of policy, law, or regulation that may impact the climate
Climate transition plans
Policy, law, or regulation geographic coverage
National
Country/area/region the policy, law, or regulation applies toJapanYour organization’s position on the policy, law, or regulation
Support with no exceptions
Description of engagement with policy makers
In March 2022, Benesse announced its endorsement of the Basic Concept of
the GX League, which aims to achieve carbon neutrality in line with the Paris
Agreement on Climate Change and which was announced by Japan’s Ministryof Economy, Trade and Industry. Benesse then joined discussions leading up
to the launch of the league on ① developing a vision of a future carbon neutral
society, ② creating new markets and devising rules for them, and ③ avoluntary carbon credit exchange scheme, and began preparing for
implementation starting in FY2023.
In order to be eligible to endorse the Basic Concept of the GX League,companies have to have set emissions targets in line with a goal of capping
warming at 1.5℃. and expressed an intent to participate in carbon credit trading
and take other measures to achieve these targets, such as supply chain
initiatives and active, preferential purchase of green products (and including
carbon credit offsets).
In preparation for implementation starting in FY2023, Benesse joined
discussions leading up to the launch of the league on ① developing a vision of afuture carbon neutral society, ② creating new markets and devising rules forthem, and ③ a voluntary carbon credit exchange scheme. In November 2022,
Benesse made a presentation as a representative team at the GX League
Symposium sponsored by METI. Benesse joined the GX League starting in
FY2023 (officially joining in March 2023) and has moved on to theimplementation stage.
Details of exceptions (if applicable) and your organization’s proposed
alternative approach to the policy, law or regulation
Have you evaluated whether your organization’s engagement on this policy,
law, or regulation is aligned with the goals of the Paris Agreement?
Yes, we have evaluated it, and it is aligned with the Agreement’s goals.
Please explain whether this policy, law or regulation is central to theachievement of your climate transition plan and, if so, how?
Benesse sees our climate change measures as an important business topic not
only so that we can sustain our business but also to ensure that our customers—

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who range from preschoolers through high school and college students and on toadults—can carry out their lives in a sustainable society as they see fit, and wehave therefore clearly stated this in our environmental policy.
In line with the goals of the Paris Agreement on Climate Change to transformsociety towards carbon neutrality and in response to a request by Japan’s
Ministry of Economy, Trade and Industry (METI), Benesse announced its
endorsement of the TCFD framework in July 2019, began analysing its activities
in line with this framework and began disclosing the required information on its
website in March 2021. These disclosures were also included in Benesse’s June
2023 financial statement. They explain our analysis of our governance systems,
strategies, risks and opportunities, indicators and goals.
These disclosures also comply with Japan’s revised Corporate Governance
Code and are in practice mandatory for prime market companies.
Benesse’s strategy of digitalizing its learning materials has increased customer
satisfaction while also helping us make concrete progress in addressing climatechange, and is thus aligned with our environmental policy.

C12.3b
(C12.3b) Provide details of the trade associations your organization is a member of, or
engages with, which are likely to take a position on any policy, law or regulation that
may impact the climate.
Trade association
Other, please specify
Association for the Promotion of Electric Vehicles (APEV)Is your organization’s position on climate change policy consistent with
theirs?
Consistent
Has your organization attempted to influence their position in the reporting
year?
Yes, and they have changed their position.
Describe how your organization’s position is consistent with or differs fromthe trade association’s position, and any actions taken to influence theirposition
Focusing on the shipping industry, which accounts for roughly 20% of all
greenhouse gas emissions, the Association for the Promotion of Electric
Vehicles (APEV) is striving to combat climate change through the promotion ofenvironmentally friendly vehicles, including electric vehicles, fuel cell vehicles
and plug-in hybrid vehicles, with the single-minded goal of “leaving a beautiful
global environment for the children of the future.”
This organization was founded by Soichiro Fukutake, the Honorary Advisor toBenesse, and Benesse, since its inception, in addition to paying dues, has
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continuously donated to APEV, helped sponsor its events and seconded staff
through the end of June 2023. From FY2019 (which ended in March 2020)
through the end of June 2023, a dispatched Benesse staff member served as amember of APEV’s Board of Directors, which focuses on environmental
education, primarily concerning climate change, and promotes electric vehicles
such as EVs (electric vehicles), FCVs (fuel cell vehicles) and PHVs (plug-in
hybrid vehicles).
Founded with the above vision, APEV has striven to promote climate change
measures as quickly as possible.
During the reporting year, APEV exchanged views with members of Japan’s
Ministry of the Economy, Trade and Industry, the Ministry of Land, Infrastructure
and Transport, and the Ministry of the Environment about the promotion ofelectric vehicles, fuel cell vehicles and plug-in hybrids as a climate control
measure, held talks for its corporate and group members, and cosponsored
APEV-sponsored events. It also collaborated with the Embassies of India andIsrael, including by sending speakers to their events.
https://www.apev.jp/aboutus/profile.html
Funding figure your organization provided to this trade association in thereporting year (currency as selected in C0.4)
5,100,000
Describe the aim of your organization’s funding
Benesse is a member of the Association for the Promotion of Electric Vehicles(APEV), and is striving to combat climate change through the promotion ofenvironmentally friendly vehicles, including electric vehicles, fuel cell vehicles
and plug-in hybrid vehicles, with the single-minded goal of “leaving a beautiful
global environment for the children of the future.” Through workshops and othereducational activities promoting environmentally friendly vehicles, APEV has
been focusing on younger generations, who will play an instrumental role inaddressing climate change and protecting the environment in the future.
Benesse provides funds to support these activities.
The following is a list of the main activities Benesse conducted during FY2021;
due to the COVID-19 pandemic, these were mainly internet-based activities.
・Collaborated in data collection for lectures and TV appearances by the APEV
Director which conveyed the importance of the promotion of electric vehicles inaddressing climate change.
・Sponsored “Local e-mobility Promotion Committees” and “Technology
Committees” four times each (a total of eight times) to promote discussion on the
promotion of electric vehicles such as EVs, PHVs and FCVs as a strategy toaddress climate change.
・Updated the concept of the International Student EV Design Contest (for those
18 years of age and older) and made preparations for the 5th Contest.
・Held the EV X Creation of the Society of the Future Workshop for high school
students (hybrid format),・Gave lectures at, support to and participated in the following events:→ Super City Smart City Osaka 2021 @ Grand Front Osaka: Lecture:“Proposal for Next-Generation Model Local Community Building Through NextGeneration Mobility”→ Technology for Cars of the Future (Online)→ Cosponsored Automechanika Shanghai (conducted in Shanghai andstreamed online)
136Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

→ Cosponsored and exhibited at MOVE EV 2022 MOBILITY REIMAGINE:
Innovation, Tech, Performance for Electric Vehicles in Asia
→ Cosponsored and exhibited at the “Genki ni kuraseru mirai kenko
machitsukuri” (Building healthy communities of the future where we can live
healthy lives) EXPO 2022 (Online)
・ Collaboration with events sponsored by various embassies: Cosponsorship ofand lectures at events sponsored by the embassies of India and Israel・ Support for EV, PHV and FCV promotion activities by APEV corporate
members
・ Cooperation with Japan’s Ministry of Economy, Trade and Industry, Ministryof Land, Infrastructure and Transport, Ministry of the Environment and theTokyo Metropolitan Government
Have you evaluated whether your organization’s engagement with this tradeassociation is aligned with the goals of the Paris Agreement?
Yes, we have evaluated it, and it is aligned.

Trade association
Other, please specify
Japan Climate Initiative
Is your organization’s position on climate change policy consistent with
theirs?
Consistent
Has your organization attempted to influence their position in the reporting
year?
Yes, we publicly promoted their current position.
Describe how your organization’s position is consistent with or differs fromthe trade association’s position, and any actions taken to influence theirposition
The Japan Climate Initiative (JCI) clearly stated its stance in its declaration,
which is quoted below. Benesse supports this stance and is a member of thisnetwork, and supported the statements JCI presented to the Japanese
government in 2021, 2022 and 2023.
Japan Climate Initiative Declaration
In response to the 2015 Paris Agreement on Climate Change, companies, local
governments, NGOs and other non-state actors have begun fulfilling a vital rolein fighting climate change around the world.
Since the publication of the special report on Capping Global Warming at 1.5 °C by the Intergovernmental Panel on Climate Change (IPCC), it has become auniversal goal to realize a decarbonized society by 2050, and the roles that nonstate actors such as companies and local governments play has become evenmore important.
In July 2018, 105 Japanese companies, local governments, research
institutions and NGOs established the Japan Climate Initiative (JCI), a loose
network committed to broadcasting information and strengthening the exchangeof opinions, strategies and solutions among all actors that are implementing
climate actions in Japan. Its membership today is six times its original number.

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Funding figure your organization provided to this trade association in thereporting year (currency as selected in C0.4)
0Describe the aim of your organization’s funding
Have you evaluated whether your organization’s engagement with this tradeassociation is aligned with the goals of the Paris Agreement?
Yes, we have evaluated it, and it is aligned.

C12.4(C12.4) Have you published information about your organization’s response to climatechange and GHG emissions performance for this reporting year in places other thanin your CDP response? If so, please attach the publication(s).

Publication
In mainstream reports, incorporating the TCFD framework recommendations.
StatusComplete
Attach the document202306 有価証券報告書.pdf (June 2023 Financial Statement)

Page/Section references
pp. 15 – 21 in the Financial Statement
https://pdf.irpocket.com/C9783/ba4w/nEvN/vu7O.pdf
Governance: p. 15, p. 19
Strategies: pp. 16 - 19
Risks & Opportunities: p. 20
Emissions Figures: p. 21
Emission Targets: p. 21
Other Metrics (Recyclable Energy Target): p. 21
Content elements
Governance
Strategies
Risks & Opportunities
Emissions Figures
Emission Targets
Other Metrics

138Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Comment
The Financial Statement issued on June 26th, 2023 disclosed information on
measures to mitigate climate change in accordance with the TCFD framework.
https://pdf.irpocket.com/C9783/ba4w/nEvN/vu7O.pdf

C12.5(C12.5) Indicate the collaborative frameworks, initiatives and/or commitments related
to environmental issues for which you are a signatory/member.
Environmental
collaborative
framework, initiative
and/or commitment
ROW1 Task Force on

Climate-related
Financial
Disclosures (TCFD)

Describe your organization’s role within each framework,
initiative and/or commitment● Endorsement of the TCFD Framework and Disclosure ofInformation in Accordance with This Framework

In line with the goals of the Paris Agreement on Climate Change
to transform society towards carbon neutrality and in response to arequest by Japan’s Ministry of Economy, Trade and Industry
Other, please specify (METI), Benesse announced its endorsement of the TCFD
Japan Climate
framework in July 2019, began analysing its activities in line with
Initiative (JCI)
this framework, integrating measures to address climate change
into its business operations, and started disclosing the required
information on its website in March 2021. These disclosuresexplain our analysis of our governance systems, strategies, risks
and opportunities, indicators and goals.
These disclosures also comply with Japan’s revised Corporate
Governance Code and are in practice mandatory for prime market
companies.
Benesse’s strategy of digitalizing its learning materials has
increased customer satisfaction while also helping us makeconcrete progress in addressing climate change, and is thusaligned with our environmental policy.
● Japan Climate Initiative (JCI)JCI clearly stated its stance in its declaration, which is quoted
below. Benesse supports this stance and is a member of thisnetwork, and supported the statements JCI presented to theJapanese government in 2021, 2022 and 2023.
Japan Climate Initiative Declaration
In response to the 2015 Paris Agreement on Climate Change,
companies, local governments, NGOs and other non-state actors
have begun fulfilling a vital role in fighting climate change aroundthe world.
Since the publication of the special report on capping global
warming at 1.5°C by the Intergovernmental Panel on Climate
Change (IPCC), it has become a universal goal to realize a139

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

decarbonized society by 2050, and the roles that non-state actors
such as companies and local governments play has become evenmore important.
In July 2018, 105 Japanese companies, local governments, andNGOs established the Japan Climate Initiative (JCI), a loose
network committed to broadcasting information and strengthening
the exchange of opinions, strategies and solutions among all actorsthat are implementing climate actions in Japan. Its membership
today is six times its original number.
We, the members of the Japan Climate Initiative, invite Japanesecompanies, municipalities, research institutions and civil society
organizations that endorse our declaration to put Japan on the front
lines of the global decarbonization effort and are making serious
efforts towards the realization of a decarbonized society toparticipate in the initiative and help build a decarbonized Japanesesociety.

C15. Biodiversity
C15.1(C15.1) Is there board-level oversight and/or executive management-level
responsibility for biodiversity-related issues within your organization?
Board-level oversightand/or executive
management-level
responsibility forbiodiversity-related
issuesROW1 Yes, both board-level
oversight and executive
management-level
responsibility.

Description of oversight and objectives relating tobiodiversity

Environmental issues are a vital global challenge, andBenesse believes that corporations have a duty to play anactive role in promoting environmental protection efforts.
We are aware that maintaining and enhancing biodiversity
will not only support the future lives of children, our main
customers, but also help maintain and enhance the foundationof our business operations.

Because we know that it is the role of education totransform society over the medium and long term, we havebeen offering environmental education materials and giving
children from preschool age through high school
opportunities to learn about biodiversity and otherenvironmental concerns continuously for over thirty years,
with the content in this area expanding and creative efforts
to devise new ways to present these topics increasing over
the years.

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Other initiatives we have implemented that are related tobiodiversity besides the content of our educational materials
include a shift to the use of recycled cotton for the stuffing of
the Shimajiro and Hana-chan toy puppets that are sent toour “Kodomo Challenge” subscribers which was made a few
years ago, as well as a decision by our CEO to replace
plastic envelopes used in direct mailing with envelopes
made with a blend using bio-based materials which isalready being implemented.

C15.2(C15.2) Has your organization made a public commitment and/or endorsed any
initiatives related to biodiversity?
Indicate whether
your organization
made a public
commitment orendorsed any
initiatives related tobiodiversity

Biodiversity-related public
commitments

Initiatives endorsed

Row Yes, we have made1
public commitments
related to biodiversity
and publicly endorsed
initiatives related tothis field.

Net Positive Gain Declaration

Others. Please specify

No Net Loss Declaration

Helped formulatebiodiversity guidelines for
Others. Please specify1)Strive to carry out business operations in Tama City, Tokyo; also,
harmony with nature in order to achieve a endorsed the Keidanren(Japan Businesssustainable society; 2) Act from a global
Federation) Initiative forperspective in considering risks tobiodiversity; 3) Voluntarily and steadily take Biodiversity Conservation.
actions to enhance biodiversity; 4) Promote
environmental protection measures thatare integrated with business operations; 5)Contribute to the development of localities
which display a spirit of reverence fornature when utilizing natural resources; 6)
Collaborate and work in association withboth domestic and internationalorganizations working in this field; 7) Takeinitiative in offering environmental
education and human development
activities aimed at building a society that
nurtures biodiversity141Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C15.3
(C15.3) Does your organization assess the impacts and dependencies of its value
chain on biodiversity?
Impacts on biodiversity
Indicate whether your organization undertakes this type of assessment
No, but we plan to within the next two years.
Dependencies on biodiversity
Indicate whether your organization undertakes this type of assessment
No, but we plan to within the next two years.

C15.4(C15.4) Does your organization have activities located in or near to biodiversitysensitive areas in the reporting year?
No

C15.5
(C15.5) What actions has your organization taken in the reporting year to progress
your biodiversity-related commitments?
Have you taken any actions in the reporting period Type of action taken to progressto progress your biodiversity-related commitments? biodiversity-related commitments
Row Yes, we are taking actions to progress our
1
biodiversity-related commitments

Education & awareness

C15.6(C15.6) Does your organization use biodiversity indicators to monitor performanceacross its activities?
Does your organization use indicators tomonitor biodiversity performance?
Row No, we do not use such indicators, but plan to1within the next two years.

Indicators used to monitor
biodiversity performance
Response indicators

142Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

C15.7
(C15.7) Have you published information about your organization’s response tobiodiversity-related issues for this reporting year in places other than in your CDP
response? If so, please attach the publication(s)Report typeContent
elements

Attach the document and indicate where in the
document the relevant biodiversity information
is located● Environmental Management Including Biodiversity
https://benesse-hd.disclosure.site/ja/themes/147

In voluntary sustainability
report or other voluntarycommunications● Activities to Promote Environmental andBiodiversity Education
https://benesse-hd.disclosure.site/ja/themes/150

C16. Signoff
C-FI(C-FI) Use this field to provide any additional information or context that you feel isrelevant to your organization's response. Please note that this field is optional and is
not scored.

C16.1(C16.1) Provide details for the person that has signed off (approved) your CDP climatechange response.

Row
1

Job Title

Corresponding Job
Category

Representative Director, President and CEO of Benesse
Holdings, Inc.

Chief Executive Officer(CEO)

Submit your response
In which language are you submitting your response?
Japanese
Please confirm how your response should be handled by CDP

Please select yoursubmission options

I understand that my response will be sharedwith all requesting stakeholders

Response
permission

Yes

Public143

Benesse Holdings, Inc. CDP Climate Change Questionnaire 2023 28 June 2023

Please confirm below
I have read and agree to the terms and conditions.

144