Environmental
ReportContents
Editorial Statement…p.3

Eco-Friendly Production …p.14
Global Warming Prevention

Management…p.4
Message from the President
Environmental Philosophy

Environmental Policies

Formation of a Recycling-based SocietyManaging Chemicals
Environmental conservation & community
contribution activities …p.20

Environmental Management Structure
Environmental Targets and Achievements

Environmental conservation activities

Environmental Impact Overview

Community contribution activities

Environmental risk management
Eco-Friendly Products…p.12
Developing Products withHigh Environmental Performance2

Editorial Statement
Information Disclosure

Contact

Denyo Co., Ltd. will use the media shown below todisclose information to all stakeholders, including
customers and shareholders about its environmental
initiatives aimed at delivering a sustainable society.
【 Annual Environmental Report】

Denyo Co., Ltd.
2-8-5, Nihonbashi-Horidomecho, Chuo-ku,
Tokyo 103-8566
Website: http://www.denyo.co.jp/english/
Planning & Coordination Department:
Phone: +81-3-6861-1111
Facsimile: +81-3-6861-1185

http://www.denyo.co.jp/english/

Reporting Period

Disclaimer

Fiscal 2019 (April 2018 to March 2019) and for somecontent, the periods before and after.

This Environmental Report may contain predictions
or forecasts about the future. Actual results mayvary from forecasts due to a variety of factors.

Publication DateOctober 20193

ManagementContents
Message from the President…p.5

Environmental Philosophy…p.6

Environmental Policies…p.6

Environmental Management Structure…p.7

Environmental Targets and Achievements…p.8

Environmental Impact Overview…p.9

Environmental risk management

…p.10

4

Management
Message from the President

Thank you very much for reading our Environmental Report.
In fiscal year 2019, we had weather that can be argued to have been abnormal,
including typhoons, heavy rains, extreme heat, and heavy snow. Such abnormal
weather events have not only happened in Japan, but are occurring globally,drawing the attention of the world. To solve these environmental issues, demands
for companies, who are members of society, to advance eco-friendly businessactivities are increasing. In such an environment, as a company operating a global
business, we, the Denyo Group, are striving to improve the worsening
environmental conditions by actively carrying out eco-friendly activities andproduct development. More specifically, we have been conducting environmental
activities based on the ISO 14001 environmental management system, as well as
implementing CO2 and waste reduction activities such as the introduction ofenergy conscious facilities and implementation of the 3Rs and greening.
We will continue to contribute to achieving a sustainable society. We would greatly
appreciate your continued understanding and support.
October 2019
Shoichi Shiratori,
President
Denyo Co., Ltd.

5

Management
Environmental Philosophy
As well as contributing to social infrastructure upgrades worldwide
through our power source products, Denyo is profoundly aware ofits corporate social responsibility to conserve the environment,
and tirelessly promotes environmentally sound business activities.

Fukui Plant of Denyo Co., Ltd.

Environmental Policies
1.

In our business activities, we strive to prevent pollution and to promote eco-friendly products while seeking ways tomaintain a healthy environment by conserving materials and energy, cutting back on solid waste, and reducing odors
and noise.

2.

We comply with environmental regulations and other agreed requirements, and we respect related demands fromsociety.

3.

As well as building a system of management which is based on the ISO14001:2015 to engage with environmental
conservation and finding ways to make continual improvements, we set environmental goals and targets, and improve
environmental performance by carrying out reviews.

4.

As well as documenting the environmental policies to inform employees and everyone who works on behalf of thecompany, including the requirements of stakeholders, we disclose the information in the public domain on ourhomepage.

5.

We strive to achieve environmental targets by continually improving the effectiveness and efficiency of the process.
6Management
Environmental Management Structure◎ Promotion System
Denyo is carrying out promotion activities aimed at reducing the total environmental impact by the following
promotion Dept. intensively.
Board of Directors■… Promotion Department

PresidentInternal Audit Office

Administration Division

Global Marketing Office

Sales Division

Planning &Coordination
Dept.

International Sales
Dept.Ⅰ

East Japan Sales
Dept.

Information
System Dept.

International Sales
Dept.ⅡWest Japan Sales
Dept.

General Affairs
Dept.

Plant & Project
Dept.

Sales Promotion
Dept.

Sales Planning
Dept.

Quality
ManagementDivison

Development Division

Production DivisionQuality
Management
Dept.

PatentAdministration
Dept.

Production
Management
Dept.

Development
Dept.

Manufacturing
Dept.

Technical
Support Dept.

Engineering
Dept.

Personnel Dept.

Finance Dept.

◎ ISO14001 Certification
Denyo has established an environment management system (EMS) with the president as the system manager andobtained ISO14001:2015 certification. While ensuring smooth operation of the EMS, we evaluate the environmental
impact of our business activities, set concrete targets and an annual plan for important issues, and perform
environmental load reduction and environmental risk prevention activities through the promotion of resource andenergy saving.

7

Management
Environmental Targets and Achievements
To implement environmental management, we set targets for each fiscal year and carry out evaluations from time to time.
Item

Develop products withhigh environmental
performance

Formation of a recyclingbased society

Contribute to society

FY2019 Target

FY2019 Achievements

FY2020 Target

We will develop eco-friendly
products.

・Development of low fuel consumption「rotation control gasoline TIG weldingmachine」
・Development of 「Natural Gas
Generator with Environmentally friendlybase」

We will develop eco-friendly
products.

By the end of FY2019, we will cut
the volume of industrial waste peroutput by at least 9% compared toFY2017 levels.

18.0% year-on-year reduction peroutput
compared to FY2017 levels

By the end of FY2020, we will
cut the volume of industrial
waste per output by at least
12% compared to FY2017 levels

By the end of FY2019, we will cut
the volume of crude oil equivalentenergy used per output by at least
3% compared to FY2017 levels

6.5% year-on-year reduction per output
compared to FY2017

By the end of FY2020, we will
cut the volume of crude oil
equivalent energy used per
output by at least 6% comparedto FY2017 levels.

Enhance maintenance in green
belts adjoining the areas aroundour business facilities.

・In Fukui Plant, a planter is placed at
the front entrance, and azaleas areplanted on the south slope.
・The maintenance and management ofGreen Belt and routine cleaning
activities in the surrounding areas are
conducted at the Laboratory & Training
Center.

Enhance maintenance in green
belts adjoining the areas aroundour business facilities.

8Management
Environmental Impact Overview
At Denyo, we understand the material input for our business activities and we endeavor to reduce the environmental impact.

INPUT

OUTPUT

Business Activities【Atmospheric Discharge】【Fuel】

Greenhouse Gas (CO2)Kerosene

55.5klDevelop/Design

Fuel oil A

401.1kl↓LPG

214.0tGasoline

10.2klDiesel121.2kl

Purchased
electricity

4,997.0MWh

・Xylene

11.8t

・Toluene

14.4t

・Ethyl benzene

2.4t

Procure materials･Methylene chloride

2.4t

↓

・Tetrahydromethylphth
alicanhydride

0.3t・Styrene

7.5t

・1,2,4-trimethyl benzene

1.0t

Water supply

7,886.0㎥

Ground water

38,833.0㎥Distribute↓【Main Raw Materials】

ChemicalsProduce↓【Water Resources】 （1）【Water Discharge】 （2）Waste water

1,973.7ｔ

Copper521.8ｔ

N.B. (1) and (2) are totals for the Fukui and Shiga Plants.

Sell

46,719.0㎥* The figure indicates waste water that is not recycled.

【Solid Waste】
Industrial waste

Iron

4,425t227.4ｔ【Main Products】
Generators, Welders,Compressors
FY2019 Results

9Management
Environmental risk management
Denyo assumes the environmental risks of a sudden accident or disaster, etc. that may occur during our businessactivities and implements regular education and training for the purposes of the prevention of, early action against,and mitigation of such situations.
We evaluate appropriate action procedures and continually improve activities.

【The Emergency Response Education and Training】
Date

2018/7/26

Place

Shiga Plant

Participants

63 persons

DetailActions to take when fuel, oil, or chemicals flow out from a plant and how to use
mitigation materials

10Management
Environmental risk management【Fire Drill】
Denyo regularly conducts fire drill in case a fire occurs during its operations.

Fire Drill inFukui Plant

Fire Drillin Laboratory &Training Center11

Eco-Friendly
Products
Contents
Developing Products with High
Environmental Performance…p.13

Aftercooler Compressors withEnvironmentally friendly baseBattery powered electrical supply
systems12

Eco-Friendly Products
Developing Products with High Environmental Performance◎ Aftercooler Compressors withEnvironmentally friendly baseCompressors with an aftercooler generate water
when cooling compressed air, and this drain water
had to be treated as waste.
The DIS-80LBE-C employs a new design that treats
the generated drain water in the unit (patentpending), which will eliminate the discrete drainwater treatment.

DIS-80LBE-C◎ Battery powered electrical supply systems
Battery powered electrical supply systems do not
generate exhaust gases and thus, can be used as power
supplies on sites where engine generators cannot beinstalled, for example, in tunnels or indoor worksites.
They also do not generate engine noise and areenvironmentally friendly products that do not stress thesurroundings.
Additionally, they employ lithium-ion batteries. This
realizes size and weight reduction, and an increase ofcapacity, and extends their service life, compared totraditional lead batteries, eliminating battery
replacement during that period. Therefore, they are ecofriendly products that not only reduce replacementtasks but also reduce waste.

LIBP-2000

13

Eco-FriendlyProduction
Contents
Global Warming Prevention…p.15

Formation of a Recycling-based Society…p.16

Managing Chemicals

…p.19

14

Eco-Friendly Production
Global Warming Prevention◎ Reduce CO2 Emissions
Denyo endeavors to prevent global warming through initiatives to reduce CO2 emissions due to business activities.
CO2 emissions in FY2019 were 4,425 tons, an increase of 7.1% from the FY2017 levels.
We will continue to implement initiatives aimed at reducing CO2 emissions.

FY2019Powerconsumption(thousandkWh)

Fuelconsumption(GJ)

4,997.1

33,513.2CO2emission
afterconversion(t)

CO2 emissions (kg) /Non-consolidated
sales (Millions of yen)

4,425

116.6

t-CO2
6,000
5,000

Total CO2 Emissions and CO2 Emissions
Per Non-consolidated Sales

135.6

kg-CO2/Net Sales

141.7
116.6

4,000
3,000

FY2017

4,932.7

34,088.2

4,762135.6

Change fromFY2017+ 1.3 %△1.7%△7.1 %△14.0%

2,000

4,762

4,956

4,425

1,0000※Net sales is Denyo Non-consolidated Sales

20172018
2019
Fiscal year
(t-CO2)(kg-CO2/売上高）(t-CO2)(kg-CO2/Net Sales)15

Eco-Friendly Production
Formation of a Recycling-based Society◎ Energy Consumption reduction
The volume of crude oil equivalent energy used per output in FY2019 was 75.8L/million yen, which is a decrease of
6.5% from the FY2017 levels. Although energy consumption was almost the same as in 2016, production efficiency
improved and the volume of crude oil equivalent energy used per output decreased due to the increased output andrenewed facilities and equipment, etc.
Breakdown of Energy Consumption(Crude Oil Equivalent)
Kerosene
Diesel
3.0%
6.0%

LPG
14.0%

Fuel oil/
Fuel oil A
21.0%

Electircity
56.0%

Energy Consumption and Crude Oil Equivalent per output
L/Million Yen

kL
2500.0
使 2000.0
用エ 1500.0
ネル
ギ 1000.0ー
量 500.0

81.1

1921.5

86.1
75.8

2007.8

1934.4

2018

2019

原油換
算／生産
高0.0
2017

Fiscal year
Energy Consumption（kL）

Curde Oil Equivalent/Output （L/Million Yen）

16

Eco-Friendly Production
Formation of a Recycling-based Society◎ Reduce Solid Waste
We manage and process solid waste appropriately and in compliance with all laws and ordinances.
In FY2019, we discharged about 227 tons of industrial waste, down by 18.0% per output compared to the FY2017 levels.
We are also working toward to implement initiatives to reduce a certain amount or more of Solid Waste stably.

Plastic waste
5.9%

Waste oil Scrap metal
4.0%
0.2%

Amount of Solid waste and Solid waste per output

Others0.3%

Alkali waste
8.4%ｔ
300.0

Kg/Million Yen
10.9

10.4

250.0

Wood chips

Sludge
47.9%

33.3%

200.0
廃棄 150.0物
量 100.0

8.9

257.6

241.8

20172018
2019
Fiscal Year
Solid Waste/Output （kg/million Yen）

227.4

廃棄物
量／生
産
高50.0
0.0
Breakdown of Total Solid Waste*Total for the Fukui and Shiga Plants

Solid Waste（ｔ）

17

Eco-Friendly Production
Formation of a Recycling-based Society◎ 3Rs Activities
In recent years, there have been problems with the depletion of resources such as petroleum, which are essential forour daily lives, and the shortage of final disposal sites for garbage. The importance of 3Rs (Reduce, Reuse, Recycle) has
been increasing.
Denyo implements a range of initiatives to make effective use of limited resources and minimize the impact on theenvironment. We will now introduce some of these activities.
Reduce ／ Reuse

RecycleDenyo changed from wooden pallets to iron pallets
on the loading platforms used to transport
products and other goods. The disused wooden
pallets were taken by companies that use wooden
pallets, through which 826 wooden pallets wererecycled in FY2019. This reduced waste byapproximately 14 tons, which accounts for 15% of
the amount of scrap wood.

The wood chips generated in the production
process were all recycled. 37% of sludge, waste
plastics, and waste alkali was recycled as
cement materials while 79% of waste oil wasreused as recycled oil. This resulted in recycling
of approximately 130 tons of waste, which is
57% of the total, 227 tons of waste, as new raw
materials in FY2019.

18

Eco-Friendly Production
Managing Chemicals◎ Managing Chemicals Subject to PRTR
Based on the PRTR Law, we compile and release data on chemicals subject to the PRTR including amounts released into
the environment or transferred as solid waste.
*A Pollutant Release and Transfer Register (PRTR) is a system for compiling and disclosing data on hazardous chemical
substances including their sources, how much is released into the environment or transferred off-site with solid waste.

Substance

Amountreleased totheatmosphere

Amount oftransfer

Amount of Release and Transfer of Chemicals
Subject to PRTRt25.0(A) Xylene

11.8

1.7(B) Toluene

14.4

6.7

(C) Ethyl benzene

2.40.4(D) Methylene chloride

2.4

4.1

(E) Tetrahydromethyl
phtalicanhydride

0.3(F) Syrene

7.5

0.0(G) 1,2,4-trimethylbenzene

1.0

0.2

3.6（Unit： t ）

20.0
15.0

6.7
1.7

10.0
5.0

11.8

0.0
(A)

0.0

14.4(B)

0.4
2.4

4.1
2.4

3.6

(C)

(D)

(E)

7.5

0.2
1.0

(F)

(G)

0.3

Amount of release
Amount of transfer

19

Environmental
conservation & community
contribution activities
Contents
Environmental conservation activities
Fuel Cell Mobile-type Generator andPower Supply Vehicle Technology
Research and Development program…p.21

Roof Greening…p.22

Water Quality Monitoring…p.22

Community contribution activities
Internship Programs

…p.23

20

Environmental conservation &community contribution activities
Environmental conservation activities◎ Fuel Cell Mobile-type Generator and Power Supply Vehicle Technology Research and Development program

With the Ministry of the Environment’s adoption of the Low Carbon Technology Research, Development andDemonstration Program, Denyo has determined it will be involved in the Fuel Cell Mobile-type Generator and Power
Supply Vehicle Technology Research and Development program, jointly with other companies.
The general sale of fuel cell vehicles (FCV) has begun, and in this situation, where hydrogen stations that supply hydrogenas fuel are being constructed, we have decided as a leading manufacturer of mobile power generators to work on theirdevelopment and demonstration, believing that the realization of fuel cells for mobile-type generators and power supply
vehicle will lead to future activities that mitigate global warming.
We will contribute to CO2 reduction through development and demonstration of the fuel cell systems for mobile-type
generators and power supply vehicle, which can use hydrogen manufactured using electricity generated from renewablesources, such as solar and wind, and the power conditioners that can support various types of loading apparatus.

21Environmental conservation &community contribution activities
Environmental conservation activities◎ Roof Greening◎ Water Quality Monitoring

Based on our environmental policy “promotingenvironmentally sound business activities,” Denyo has been
implementing roof greening activities at the headquarters
building since 2012. Roof greening can reduce temperaturerise in a building, resulting in mitigation of the heat-island
phenomenon and improved cooling efficiency.
Thirty-eight percent (40.88 m2) of the headquarters building
rooftop area is part of the roof greening efforts, including
green planters. The light, artificial soil used withstands the drysummer air well. In addition, approximately 20 varieties,
mainly blooming plants, flourish throughout the year so thatthe four seasons can be sensed, and you can feel refreshed.
The area is used by many employees to relax.
The Fukui plant employs a method that collects treateddrain water in an on-premises balancing reservoir
before releasing it into a river.
We monitor water quality to ensure that anenvironment suitable for living creatures is maintained.
Even if contaminated water should escape at theprimary water discharge, the risk of releasing
contaminated water directly into the river is minimized.

22Environmental conservation &community contribution activities
Community contribution activities◎ Internship Programs

The Fukui Plant holds many kinds of events, including plant visit events for elementary and high school
students and internship programs for high school students so that local residents are able to understand usand feel us closer to us. We will continue to proactively hold such events to further enhance our connections
with the community.

Affixing seals to outfitting parts

Checking coating quality23

2-8-5, Nihonbashi-horidomecho, Chuo-ku, Tokyo 103-8566, Japan
Phone: +81-3-6861-1111, Facsimile: +81-3-6861-1181
http://www.denyo.co.jp/english/