Sustainability of the SoftBank Group

Environment

Society

Governance

Environmental Initiatives

Environmental Policy

Environmental
Initiatives
Rapid progress in science and technology
has been the driving force by which we, as
humankind, have achieved the present
economic growth. Unfortunately, thesedevelopments have also contributed toclimate change including extreme
weather, depletion of resources, andlosses in biodiversity.
Under the recognition that maintaining
and preserving the global environment is
the foundation for sustainable
development and growth, the SoftBank
Group assesses the impact of its businessactivities on the environment andpromotes initiatives to reduce greenhousegas emissions and promote a circular
economy. In addition, we are working tosolve environmental issues through ourbusiness activities by utilizing the advanced
technologies of each Group company, suchas renewable energy business and thedevelopment of next-generation productswith low environmental impact.
Based on our sustainability vision of help
shape the next 300 years for our future
generations and the planet, we aim tocreate a world where people live inharmony with the planet.

Sustainability Report 2021

The SoftBank Group established its “Environmental Policy” in May 2021, recognizing that maintaining and preserving the
global environment serves as the foundation for our sustainable development and growth. This policy requires all directors,
officers and employees of the Group to be aware of the need to reduce the burden on the global environment in our businessactivities, to conserve resources and energy, and to strive to maintain biodiversity and contribute to the continuous
improvement of the global environment in order to achieve harmony between humankind and nature.
We will promote corporate activities with consideration of the global environment in accordance with this policy.

Key points in our Environmental Policy
Comply with laws and regulations concerning environmental conservation
Recognize the impacts and the associated risks and opportunities of climate change, and work to mitigate andadapt to climate change
Strive to reduce environmental burdens by reducing greenhouse gas emissions, reducing energy and resource use,and establishing a procurement network that takes the natural environment into consideration
Strive to prevent or reduce negative impacts on the environment and biodiversity
Strive to disclose information on the environment and promote active communication with stakeholders
See our corporate website for the full text of our Environmental Policy.

Supplier Code of Conduct
In order to promote environmentally-friendly business activities, the SoftBank Group has formulated ethical standards
for the environment in its “Supplier Code of Conduct,” and requires suppliers to work in accordance with the ethicalstandards set forth in the Code. The SoftBank Group will proactively undertake relevant environmentally-friendly
corporate activities through partnership with our stakeholders.
See our corporate website for the full text of our Supplier Code of Conduct.

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Sustainability of the SoftBank Group

Environment

Society

Governance

Environmental Initiatives

Efforts to Address Climate Change
The SoftBank Group is working to mitigate and adapt to climate change, a global andurgent issue, in collaboration with Group companies and various stakeholders. Each Group
company has set a target for reducing greenhouse gas emissions from its business activities
and is working to achieve them by a date certain. We also contribute to the expansion ofrenewable energy through the Group’s energy-related businesses. Furthermore, we arehelping to contribute to the decarbonization of society as a whole in cooperation withenvironmental organizations and initiatives.
Going forward, we will identify risks and opportunities, conduct scenario analysis, and set
targets for the entire Group in accordance with the framework of the Task Force on Climaterelated Financial Disclosures (TCFD), in order to further strengthen our resilience to climatechange and enhance our information disclosure.

Reducing Greenhouse Gas Emissions
SoftBank Group Corp. has achieved carbon neutrality in fiscal 2020, reducing greenhousegas emissions from its business activities to virtually zero, and will continue to do so in the
future. Each Group company has also set a target to reduce greenhouse gas emissions fromits business activities and is working to achieve it.
Greenhouse gas emission reduction targets of major subsidiaries and achievement status
Company name(corporate status omitted)

Target and achievement status

SoftBank Group

Achieve carbon neutrality in fiscal 2020 Achieved

SoftBank

Achieve carbon neutrality by 2030

Z Holdings
Yahoo Japan
Arm

Specific Efforts to Reduce Greenhouse Gas Emissions
Leveraging Group Synergies to Drive Conversion to Renewable
Energy for Base Stations (SoftBank Corp.)
In May 2021, SoftBank Corp. announced its“Carbon-Neutral 2030 Declaration” as its
commitment to reducing its greenhouse gas
emissions to virtually zero by 2030. In order toachieve this target, the company purchases
electricity from virtually renewable energy*1
from SB Power Corp., a subsidiary of thecompany that operates an electricity retailbusiness, and as of the end of fiscal 2020,
approximately 30% of the electricity used at
mobile phone base stations is already generated
from virtually renewable energy.*1 The company
plans to increase this ratio to at least 50% infiscal 2021 and 70% in fiscal 2022.
The company is also considering direct
procurement of electricity from renewableenergy generated by SB Energy Corp.,
a subsidiary of SoftBank Group Corp.

Mobile phone base stations adopting renewableenergy*1 Electricity from virtually 100% renewable energy sources using non-fossil certificates with renewable energy designation.

Reduce CO2 emissions per revenue by 50% from fiscal 2008 levels by fiscal
2028
100% conversion to renewable energy for the electricity used by the end of
fiscal 2023
Achieve Net-Zero Carbon by 2030

Data Center Energy Efficiency and Conversion to
Renewable Energy (Yahoo Japan Corporation)
Yahoo Japan Corporation has set a goal of converting all electricity used in its businessactivities to renewable energy by fiscal 2023, and is actively switching to renewable energy
sources, particularly in its data centers.
In its major data centers in Japan, the corporation has been installing air conditioning
systems that use outside air for exhaust heat treatment of servers, and has been working tosignificantly reduce electricity consumption. In addition, the company has completely
switched its power used in Shirakawa Data Center to virtually renewable energy* 2 suppliedby SB Power Corp. from May 2021.
*2 Electricity from virtually 100% renewable energy sources using FIT Non-fossil Fuel Energy Certificates with Tracking Information, etc.

Sustainability Report 2021

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Sustainability of the SoftBank Group

Environment

Society

Governance

Environmental Initiatives

Energy-saving Measures at New Head Office Building(SoftBank Group Corp., SoftBank Corp.)

Climate Change Investor Framework Membership (SBIA)
SBIA, which manages the SoftBank Vision Fund 1 and 2, joined the Climate Change
Framework One Planet as founding members of the Private Equity working group in
November 2020. Through its membership in this initiative, SBIA is looking to support
efforts to advance the understanding of climate related risks and opportunities within
investment portfolios.

Along with SoftBank Corp. and other Group
companies, SoftBank Group Corp. relocatedits headquarters to the “Tokyo Portcity
Takeshiba Office Tower” in 2020. As a cuttingedge smart building, the new offices employ
LED lighting that uses motion sensors toautomatically adjust brightness, automaticallyoperated blinds, and other energy-saving
technologies.

See the official website for further details.

New head office building: Tokyo Portcity Takeshiba
Office Tower

Examples of Investments in Companies that Contribute to Decarbonization
SBIA has made a number of investments which are having a positive impact on climate change.

Next-generation Lithium-ion Battery Development (SoftBank Corp.)
Since 2018, SoftBank Corp. has worked with multiple research institutes including National
Institute for Materials Science (NIMS), universities, manufacturers, and other companies inan effort to research and develop battery material technologies and to exchange
information on such. In the field of next-generation batteries, which are indispensable fornext-generation devices such as HAPS (High Altitude Platform Station)* 1 and drone cabs,
the company is advancing the development of a large
capacity yet lightweight next-generation lithium-ion
battery with a high specific energy density. In March
2021, together with U.S.-based Enpower Greentech Inc.,
the company successfully produced a prototype battery
with a specific energy density of 450 Wh/kg,
approximately twice that of existing models.
In addition, the company established the “SoftBank
Next-generation Battery Lab” in June 2021. This lab
evaluates and verifies a variety of next-generation
batteries from around the world with the aim to becomea platform for advancing the development of nextgeneration batteries by promoting research anddevelopment and early commercialization going forward.
Lithium-ion battery (prototype) jointly*1 General term for a system in which an unmanned aircraft flown into thestratosphere operated as a telecommunications base station to provide
communications services over a wide area.

Sustainability Report 2021

Tier Mobility (SVF2*2)
Tier Mobility provides sharing mobility services through its
electricity scooters in over 80 cities in 10 European countries.
In 2020, it achieved complete carbon neutrality, a first for the
micro mobility industry including scooters. It is leading thedecarbonization of the entire industry.
Energy Vault (SVF1*2)
With the use of gravity and kinetic energy, Energy Vault hasdeveloped a system to store electricity in proprietary “blocks”
stacked in tower-like structures. Energy Vault contributes tothe further spread of renewable energy by reducing the cost of
power storage facilities essential for the effective use ofrenewable energy, in which the amount of power generation is
influenced by weather conditions.
Cruise (SVF1*2)
Cruise is developing all-electric, self-driving cars that produce
zero emissions while driving. Led by its vision of achieving zerocrashes, zero emissions and zero congestion, it is a front-runnerin the automobile industry on the cutting-edge of both
environmental conservation and safety.
*2 The names of the funds investing in the portfolio companies.

developed by SoftBank Corp. and Enpower
Greentech Inc.

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Sustainability of the SoftBank Group

Environment

Society

Governance

Environmental Initiatives

Promotion of a Decarbonized Society through Initiatives
Support for TCFD Recommendations andMembership in TCFD Consortium (SoftBank Corp., Z Holdings Corporation)
SoftBank Corp. and Z Holdings Corporation announced their support for therecommendations of the Task Force on Climate-related Financial Disclosures (TCFD) in April
2020 and in June 2020, respectively. Each is working to proactively enhance information
disclosure on climate change in accordance with TCFD recommendations. Both companies
are also members of the TCFD Consortium, which consists of companies that support therecommendations, and participate in the consortium’s activities
and exchange information with member companies andorganizations.

SBT Approval and Commitment to Setting a Target(SoftBank Corp., Yahoo Japan Corporation)

In June 2021, SoftBank Corp.’s target of reducing its greenhouse gas emissions to virtuallyzero by 2030, as set forth in its “Carbon-Neutral 2030 Declaration,” was approved ashaving a scientific basis for sufficiently achieving the target of the Paris Agreement by the
Science Based Targets initiative (SBTi), an international climate change initiative.
Yahoo Japan Corporation is also committed to SBT since April 2021.

Participation in Japan Climate Initiative(SoftBank Group Corp., SB Energy Corp.)

SoftBank Group Corp. and SB Energy Corp. have participated in theJapan Climate Initiative (JCI)*1 since its foundation in 2018. Bothcompanies exchange opinions with companies, local governments, andNGOs that actively take measures to fight climate change, and apply
the JCI’s activities in the Group’s overall efforts for decarbonization.
In addition, by endorsing JCI’s announcements (declarations, public comments, and opinionads), we stress the urgency of climate action to society.
See the official website for further details.

*1 An initiative formed to strengthen the communication and exchange of information and opinions by companies, local authorities, andNGOs that are actively fighting climate change.

Sustainability Report 2021

Establishment and Operation of Renewable Energy Council
and GDC Renewable Energy Council (SoftBank Group Corp.)
In response to the energy crisis caused by the Great East Japan Earthquake on March 11,
2011, SoftBank Group Corp. established in July 2011 the “Renewable Energy Council”
together with prefectures and the “GDC Renewable Energy Council” together withgovernment-designated cities across Japan with the aim of promoting and expanding theuse of renewable energy which is a reliable, safe, and sustainable new energy source.
Both Councils are led by municipalities from 34 prefectures and 20 cities in Japan,
respectively, together with private companies and other organizations that support theabove principles. For the past 10 years since their establishment, we have been involved in
the operation of both Councils from a neutral standpoint as the secretariat. Both Councils
have made several policy proposals to the government, including the setting of renewableenergy targets and the development and revision of energy related systems. In particular,
with regard to the “Renewable Energy as Major Power Source” for which the Councils havemade policy proposals for several years, the Japanese government has adopted
fundamental decarbonization strategies in line with the principles of the two Councils’
proposals, such as ex-Prime Minister Suga’s “2050 carbon-neutral declaration,” theannouncement of 46% reduction in greenhouse gas emissions in fiscal 2030 (compared tofiscal 2013 levels) and the “Strategic Energy Plan” by the Ministry of Economy, Trade andIndustry. The draft of the next Strategic Energy Plan sets the fiscal 2030 renewable energy
target at 36-38% of the energy mix, which is a 12% increase from the current plan.* 1 In
order to achieve carbon neutrality in 2050, the use ofrenewable energy will be maximized and the
expansion of renewable energy will be prioritized by
the government.
In addition, both Councils promote information
sharing among municipalities and other members
through activities such as seminars inviting experts
and government policy makers, study sessions, andworkshops to share good practices or issues among
municipalities. These opportunities enablemunicipalities to further enhance their renewableenergy policies and also private companies todecarbonize their business networks or to promote
ESG related effort. Through the operation of bothCouncils, SoftBank Group Corp. will continue tocontribute to the realization of a decarbonized society
Submission of policy proposals
for future generations.
*1 As of September 2021

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Sustainability of the SoftBank Group

Environment

Society

Governance

Environmental Initiatives

Promotion of a Decarbonized Society through the Energy Businesses
Promoting the Spread of Renewable Energy with theStrength of the Power Generation Business (SB Energy Corp.)
Engaged in the renewable energy-based power
generation business since its establishment in2011, SB Energy Corp. has expanded its scale
to become one of the largest power generationcompanies in Japan. In recent years, thecompany has designated Watts, Bits, andMobility as its three core businesses, and has
been working on new businesses that take abird’s-eye view of midstream and downstream
power application by leveraging its strength indeveloping, owning, and operating renewableenergy power plants, which are positioned
upstream in the electric power business.
In the Watts business, the company began operating solar power plants in 2012 andcurrently has 48*1 solar and wind power plants in operation in Japan. The total power
generation capacity is 671MW,*1 which is equivalent to the annual power consumption of
approximately 216,000 standard households in Japan. Overseas, the company owns
326,000 ha of land in the Gobi Desert in Mongolia, where it is operating a wind power
generation facility with a capacity of approximately 50 MW. In addition to the conventional
operation of large-scale power plants, the company is also working on new businesses that
directly supply power from small-scale power plants to businesses.
In the Bits business, the company is using AI and IoT platforms to adjust the power supplydemand balance of electricity, and to ensure a stable supply of electricity derived fromrenewable energy sources. The Mobility business enables the storage and transportation ofrenewable energy-derived electricity through the use of energy storage technology.
With these three businesses at its core, SB Energy Corp. strives to further expand the useof renewable energy and contribute to the realization of a decarbonized society.

Providing Electricity Services
that Reduce Environmental Impact (SB Power Corp.)
SB Power Corp., that operates a retail electricity business, provides “Shizen-Denki,” anelectric power service for households with a virtually 100% renewable energy ratio,* 2 withthe aim of promoting renewable energy and supporting forest conservation activities. In
fiscal 2021, the company expects to achieve an annual reduction of approximately 16,000
tons of CO2 emissions*3 through the provision of Shizen-Denki.
In addition, “SoftBank-Denki for Biz (High Voltage),” which provides high-voltage
electricity to large-scale buildings and factories, offers a low environmental impact
electricity menu in response to the growing momentum toward decarbonization among
companies and local governments. The corporation supports Group companies in theirefforts for decarbonization and it began supplying RE100* 4 -compliant electricity to Yahoo
Japan Corporation’s Shirakawa Data Center in May 2021.
Furthermore, the “Eco-Denki App” is provided free of charge to “SoftBank-Denki”
customers. As well as functions for checking electricity bills and predicting electricity charges
for a month, this app also offers an “Electricity-Saving Challenge” that allows customers toeffortlessly save electricity through the app. In the winter trial*5 of the Electricity -Saving
Challenge, about 32,000 households haveparticipated, reducing a total of 233,237
kWh of electricity. This is equivalent to a
reduction of approximately 122 tons of CO2
emissions.
SB Power Corp. will continue tocontribute to the realization of adecarbonized society through thedevelopment and provision of energysaving and environmentally-friendly
Eco-Denki App that allows users to check and predict
services.
electricity bills*2 By combining electricity supplied to customers with Non-fossil Fuel Energy Certificates with renewable energy designation, it canvirtually supply electricity with a 100% renewable energy ratio and zero CO 2 emissions.

Wind Farm Hamada

SoftBank Yakumo Solar Park

*3 The CO2 reduction effect is calculated by multiplying the amount of electricity used by Shizen-Denki customers by the national average
CO2 emission factor, and adding the amount of J-credits retired through support for forest conservation organizations.
*4 An international initiative that aims for companies to use 100% renewable energy to power their own operations.
*5 Period covered: December 1, 2020 to March 31, 2021

*1 As of the end of August 2021

Sustainability Report 2021

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Sustainability of the SoftBank Group

Environment

Society

Governance

Environmental Initiatives

Promotion of Circular Economy
In order to make efficient and effective use of limited resources, the SoftBank Group strives
to reduce the environmental impact of its business activities by conserving resources,
reducing the generation of waste, and promoting the reuse and recycling of products andother materials. We also contribute to the realization of a circulate economy through ourreuse business.

Promotion of “3R” Initiative in Mobile Phone Services (SoftBank Corp.)
In order to realize a circular economy, SoftBank Corp. is promoting the “3R initiatives(Reduce = reduce the volume of waste, Reuse = use repeatedly, Recycle = utilize once again
as resources)” in the mobile phone services.
ReduceReduce paper consumption by digitizing instruction manuals and invoices, and using
iPads in stores.

Reuse

Promote trade-in of mobile phones and tablets, some of which are for reuse inemerging countries

RecycleCollect and recycle used mobile phones handsets and battery packs

E-commerce Services that Contribute to a Circular Economy(Yahoo Japan Corporation, PayPay Corporation)

Yahoo Japan Corporation offers “YAHUOKU!” and PayPay Corporation offers “PayPay Flea
Market” as e-commerce services that contribute to the realization of a circular economy
through the promotion of reuse.

YAHUOKU!
YAHUOKU! is one of the largest online
auction and flea market services inJapan since 1999. The service promotes the reuseof unwanted items by those who need them,
thereby helping to create a circuler economy.

Sustainability Report 2021

Efficient Use of Resources in Logistics Processes and Initiatives fora Circular Economy (SB Logistics Corp.)
SB Logistics Corp., which engages in logistics-related businesses, is promoting various
efforts for a circular economy with the aim of realizing sustainable logistics and supply
chains. One of these initiatives is to change the buffer materials. The manual packaging line
uses buffer materials such as recycled paper instead of the plastic film buffer materials usedin general distribution warehouses.
The automated packaging line that the company plans to operate in the future will alsoutilize a packaging machine that automatically generates boxes with adjustable three sides(height, width, and depth) in order to reduce the size of the packages, while reducing theuse of buffer materials. The company is also working to eliminate the use of buffermaterials themselves by introducing a system that automatically generates shipping boxes
that are almost the same size as the products, and a packaging system that uses shrink
wrap to secure products to mounts. As for other efforts to reduce the size of packages, thecompany has established a “Box Recommendation System” that automatically selects the
optimal sized shipping box for each product, thereby reducing the amount of cardboard
used and improving the efficiency of cargo space utilization through packaging size
optimization, and reducing CO2 emissions from transportation.
In July 2021, the company started aneffort to redistribute products that would
otherwise be discarded due to reasons suchas damaged packaging, despite having nofunctional or quality problems, through thesocial contribution shopping website“KURADASHI,” thus contributing to therealization of a circular economy throughlogistics.

PayPay Flea Market
PayPay Flea Market is a service thatspecializes in flea market-typetransactions, where individuals can easily trade
goods at fixed price. In collaboration withYAHUOKU!, it aims for the further development of
the business in sustainable secondary distribution.

Packaging machine that automatically generates
boxes with three adjustable sides

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Sustainability of the SoftBank Group

Society

Environment

Governance

Environmental Initiatives

Water Circulation Type Hand Washing Stand Using Water Recycling
Technology (SoftBank Corp.)
SoftBank Corp. has formed a capital and business alliance with WOTA CORP. to build a newwater supply system independent of the water infrastructure. As part of these efforts, inMay 2021, the company started to sell “WOSH,” a water circulation type hand washingstand developed by WOTA CORP.
WOSH can be used anywhere with just a power source and 20 liters of water, and canrepeatedly provide hygienic water that complies with the World Health Organization’s(WHO) guidelines for drinking-water quality, even in places without running water. The
autonomous water treatment control technology by an AI, based on data collected by IoT
sensors, can recycle more than 98% of the water used on the spot, making a significant
contribution to the circulated use of water resources. Because the system can be installed at
the entrances of stores and facilities where connection to the water supply is not available,
it contributes to the prevention of the spread of infectious diseases such as COVID-19.

Internal Educational Activities (SoftBank Corp.)
In order to enhance awareness of employees of environmental issues, SoftBank Corp.
conducts educational activities through training and eco-friendly tools.
Examples of educational activities
Training: Basic environmental knowledge
training, training on industrial waste
treatment.
Use of internal tools: Use of paper bags madeonly from recyclable materials and businesscards made from “kudzu (Japanesearrowroot),” which helps protect theenvironment and culture.

Paper bags made ofrecyclable materials

Business card printed
with SoftBank Corp.’smaterialities

Greenhouse gas emissions*1

Scope 1&2
Scope 1
Scope 2
Intensity of GHG
emission*2

Unit

FY2017FY2018FY2019FY2020

FY2020(target)Achievement
rate (%)

t-CO2
t-CO2
t-CO2

722,514
11,386
711,128

693,953
11,456
682,497776,104
15,803760,301

620,929
15,416605,513722,000
15,000707,000

116
97
117

t/Gbps

849

682

628

411

520

127

Long-term goals
WOSH, a water circulation type hand washing standScope 1&2

Enhancing Employee Awareness

Unit

FY2021

FY2022

FY2023

FY2024FY2025

FY2030t-CO2553,000

473,000

443,000

417,000

400,000

0*1 Boundary: SoftBank Corp. until FY2018. SoftBank Corp., Yahoo Japan Corporation and ASKUL Corporation after FY2019. (SoftBank
Group Corp. has achieved Carbon Neutrality in Scope 1 and 2 in FY2020, and will continue to do so in FY2021 and beyond.)*2 Emissions per communication volume

See our corporate website for environmental data.

The SoftBank Group has established the “Environmental Policy” to ensure that its corporate
activities are conducted in consideration of the global environment, and the “SoftBank
Group Code of Conduct” clearly states the guidelines for employees to conduct their daily
work in consideration of the environment, which is thoroughly disseminated to all Group
employees. In addition, each Group company is actively conducting internal educational
activities on the environment to enhance employee awareness.

Sustainability Report 2021

External evaluation
SoftBank Group Corp. and SoftBank Corp. both received an “A-”score in climate change from CDP.

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Disclaimers
This report provides relevant information about the Group and does not constitute or form any solicitation of investment, including any
offer to buy or subscribe for any securities in any jurisdiction.
This report contains forward-looking statements, beliefs or opinions regarding the Group, such as statements about the Group’s futurebusiness and future position, including estimates, forecasts, targets and plans for the Group. None of the Group nor its management gives
any assurance that the estimates expressed in these forward-looking statements will turn out to be correct, and actual results or
performance could materially differ from expectations.

Inquiries
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