September 03, 2024
Japan Airlines Co., Ltd.
ITOCHU Corporation
ENEOS Corporation
NIPPON EXPRESS HOLDINGS, INC.
Mizuho Bank, Ltd.
Mizuho Research & Technologies, Ltd.
NARITA INTERNATIONAL AIRPORT CORPORATIONWorld’s First Initiative to Promote SAF Use andDecarbonize Aviation Begins- Scope 3 Environmental Value Trading Demonstration Test
to be Conducted at Narita Airport Sustainable aviation fuel (SAF)*1 is expected to contribute to the decarbonization of aviation by
substantially reducing the volume of CO2 emissions compared with conventional aviation fuel.
To encourage the use of SAF, a project aimed at building a new scheme for trading Scope 3
environmental value*2—the reduction effects of indirect CO₂ emissions resulting from SAF use—isbeing launched. As the first step, seven companies (listed on the next page) have agreed to conduct ademonstration test of Scope 3 environmental value trading to verify the concept behind the new scheme.

Scope 3environmental value
providers

Matching
Sales
information

Purchase
information

Scope 3environmental value
purchasers(Indirect CO2 emitters)

Cargo
Forwarders
OwnersFuel suppliers

Certificate

Certificate

Purchase

Purchase

Airlines

Passengers
Companies

This represents the world’s first*3 initiative bringing together fuel suppliers, an airline, a forwarder, andan airport operator in an effort to jump-start trading in Scope 3 environmental value. Brisk trading inenvironmental value via this project’s scheme will make it possible to share the costs associatedwith SAF throughout the air transport value chain.
After a trial phase of trading, a full-scale demonstration project with a larger number ofparticipating companies will be followed by efforts to achieve the social implementation of theestablished scheme. The use of this scheme by a large number of companies involved in air transport
will generate substantial opportunities to drive the widespread uptake of SAF throughout Japan.
Extending decarbonization efforts to encompass the entire air transport value chain will secure thesustainable growth of the aviation industry.

◼ Information on and Comments from Each Company
ITOCHU Corporation
Head Office: Minato-ku, Tokyo President & COO: ISHII Keita
ITOCHU’s management policy commits to the enhancement of corporate brand value, and positions“Enhancing our contribution to and engagement with the SDGs through business activities” as onepillar of this effort. Through this project and increasing the market prevalence of SAF in cooperation
with leading partners, ITOCHU aims to make an even greater contribution to the achievement of acircular economy.
ENEOS Corporation
Head Office: Chiyoda-ku, Tokyo President: YAMAGUCHI Atsuji
ENEOS is moving forward with the construction of an integrated system covering everything fromprocurement of the raw materials for SAF to in-house manufacture and sales. Through its participationin this project, ENEOS will promote Scope 3 environmental value and SAF use, thereby contributing tothe reduction of GHG emissions throughout the aviation industry value chain.
NIPPON EXPRESS HOLDINGS, INC. (NX)
Head Office: Chiyoda-ku, Tokyo President & CEO: HORIKIRI Satoshi
Expanding the use of SAF is crucial to the pursuit of decarbonization in the aviation field, and efforts
throughout the supply chain are required. Participating in this project as a forwarder, the NX Groupaims to contribute to the creation of a sustainable society.
Japan Airlines Co., Ltd. (JAL)
Head Office: Shinagawa-ku, Tokyo President & Group CEO: TOTTORI Mitsuko
The JAL Group will contribute to the decarbonization of the aviation industry as a whole through theuse of SAF. Via this project, JAL aims to work with customers and partner companies alike, in an effort
to further the development of aviation networks and industry as a whole, and to achieve a sustainablesociety.
Mizuho Bank, Ltd.
Head Office: Chiyoda-ku, Tokyo President & CEO: KATO MasahikoMizuho Bank is strengthening its sustainability action, in an effort to achieve a sustainable society. In
this project, it will contribute to the decarbonization of the aviation and airport sector by supplying
Mizuho’s financial knowledge and platform development expertise.
Mizuho Research & Technologies, Ltd.
Head Office: Chiyoda-ku, Tokyo President & CEO: YOSHIHARA Masatoshi
Mizuho Research & Technologies supports its customers’ decarbonization activities as an expert groupin the environmental field. In this project, it will contribute to the decarbonization of the aviation andairport sector by supplying Mizuho’s financial knowledge and platform development expertise.
NARITA INTERNATIONAL AIRPORT CORPORATION (NAA)
Head Office: Narita-city, Chiba President & CEO: TAMURA Akihiko
As around 70% of the CO2 emitted from Narita Airport stems from aircraft operation, ensuring thewidespread uptake of SAF is a crucial task for NAA as well. Through this project, NAA will encourage
efforts to reduce the Scope 3 emissions of aviation users, thereby contributing to decarbonization in theaviation industry and, by extension, across the globe.

■Overview of the Scope 3 Environmental Value Trading Scheme
Information about the sale and purchase of Scope 3 environmental value will be gathered on the platform
and matching will take place, thereby creating opportunities for Scope 3 environmental value trading.
Scope 3 environmental value sellers will bring SAF to Narita International Airport, and will provide Scope
3 environmental value on the platform. Scope 3 environmental value buyers will purchase Scope 3
environmental value corresponding to their purchase conditions via the platform.
■Effects of the Scope 3 Environmental Value Trading Scheme
Fuel suppliers and airlines (Scope 3 environmental value sellers) currently have their own programs forselling Scope 3 environmental value individually. The scheme to be developed in this project will enable
airlines and fuel suppliers to gain new customers for their Scope 3 environmental value, in addition totheir own programs.
In addition, both sellers and buyers of Scope 3 environmental value will be able to consolidate their
Scope 3 environmental value trades, thereby eliminating the need to conclude multiple individual
contracts with the partners in each transaction.
Concept of the Scope 3 Environmental Value Trading Scheme
Payment forenvironmentalvalue(Scope 1 only)

SAF supply
Airlines

Fuel
suppliers

SAF
procurement

Scope 3environmental
value
Platform
Payment forenvironmental
value

SAF
procurement

Fuel
suppliers

Airlines
SAF supply(Scope 1 & Scope 3)

Environmentalvalue
purchase
Scope 3environmentalvalue

Forwarder

Passengers

Scope 3environmentalvalue◼ Roles of Each Company in This Demonstration Test
ITOCHU

Supply of SAF and provision of Scope 3 environmental value

ENEOS

Supply of SAF and provision of Scope 3 environmental value

JALProvision of Scope 3 environmental value arising from the use of SAF

NX

Purchase of Scope 3 environmental value associated with air cargo transportand rollout of Scope 3 environmental value to cargo owners

Mizuho Bank

Support for the operation of the demonstration project and verification of thetrading system

Mizuho Research& Technologies

Support for the operation of the demonstration project and verification of thetrading system

NAA

Platform operation, project planning, and purchase of Scope 3 environmental
value associated with business travel by employees*1: SAF
SAF is an aviation fuel manufactured from non-fossil sources, including animal and vegetable oils andfats, waste cooking oil, and municipal waste. Using SAF makes it possible to substantially reducegreenhouse gas emissions compared with aviation fuel of fossil origin, which means that flights have alower impact on the environment than has been the case until now.
SAF

Conventional aviation fuelRelease

ReleaseCO₂

Absorption(photosynthesis)

CO₂

Incineration
Municipal
waste

Waste
cooking oil
Waste

Municipal
waste

Emission

Trees

Waste
cooking oil

Plants

CO₂

Waste

Fossil fuels

Emission
Processing

Energy use (combustion)

Extracted from underground⇒ New C released
above ground!

ReleaseProcessing

Processing

C circulates,
without an increasein volume!

Underground
Carbon (C)SAF

Energy use (combustion)*2: Scope 3 environmental value
Scope 3 environmental value arising from the use of SAF is becoming the focus of attention. The use ofSAF by airlines will reduce direct emissions of CO2 from aircraft (airlines’ Scope 1 emissions). At thesame time, it will have the effect of reducing indirect CO2 emissions arising from such activities as air
cargo transport and employees’ business travel (aviation users’ Scope 3 emissions). This is called
Scope 3 environmental value and enables companies that have used air transport fueled by SAF toreduce their own company’s Scope 3 emissions.

Passengers(companies/individuals)

Cargo(forwarders/owners)

Reduction of Scope 3emissions by aviation users,
as indirect emitters

SAF*3: NAA survey

Reduction of Scope 1
emissions by airlines,
as direct emitters