︱

Foundation of Sustainability Management ︱Environment

E

S

G

Environment

SocialGovernance

Environment
Basic Philosophy

Sanki Engineering Group Environmental Policy

https://www.sanki.co.jp/en/csr/environment/management/

Environmental
Management System
環境マネジメントシステム⨋ Basic Policy and Management System⨋ Virtuous Cycle in Management System

In addition to providing training programs on EMS, we are working to improve the levelof management by encouraging our employees to acquire qualifications required byenvironment-related laws and regulations.
After the waste incineration facilities we constructed in 2019 were cited fornoncompliance, we followed our standard procedures to take action to prevent any
recurrence, and we are continuing to strengthen our management system. In fiscal
2022, we conducted four environmental management training sessions (one for new
employees and three for internal auditors), which also included Group companies.
We also ensure the effectiveness of our management system through internal
audits and checks during ISO certification audits. In fiscal 2022, no nonconformities
were found in the internal or external audits, and there were no violations ofenvironmental laws and regulations or issues reported regarding noise, dust, or odor atconstruction sites, confirming that our management system is operating properly.
⨋ Environmental Risk Assessment

We assess environmental risks at each construction site, including those overseas,
before construction begins. We use our own JOB Environmental Aspects Assessment
List, consisting of 10 aspects and approximately 70 items, for an accurate and efficient
review of the wide variety of applicable environment-related risks and regulations,depending on the nature of work and the surrounding environment. In fiscal 2023,
we made major revisions to the list, in particular to improve its sustainability elements
and take into account local bylaws. Assessing environmental risks, including potential

46

SANKI REPORT 2023

All our business activities and services,
including those overseas, are considered inmanaging our environmental impact.

https://www.sanki.co.jp/en/csr/
environment/management/

P. 55
Quality and Environmental Management
SystemNumber of Employeeswith Environment-Related
Qualifications (as of April 1, 2023)•C ertified environmental measurer
Non-consolidated: 7
Consolidated: 8• Supervisor of managementof industrial waste subject tospecial control
Non-consolidated: 183
Consolidated: 208•P ollution prevention manager(cumulative total)
Non-consolidated: 61
Consolidated: 92•Q ualified person for energy
management
Non-consolidated: 88
Consolidated: 91

Environmental Aspects Assessed
under the JOB Environmental
Aspects Assessment List (FY2023)
1. R educed use of resources andenergy for customers and users
2. R eduction and proper disposal of waste
3. Abnormal situations and outflow ofcontaminants
4. Consideration for areas
surrounding construction sites
5. Consideration for uniqueenvironmental needs
6. Natural disasters⨋ Information Disclosure Based on TCFD Recommendations

The Sanki Engineering Group has endorsed the recommendations of the Task Forceon Climate-related Financial Disclosures (TCFD) and therefore discloses climate-related
information in accordance with the required framework. Of the five material issues
identified for sustainability management, we place the highest priority on contributing
to a decarbonized society, and we are addressing climate change by mitigating risks
and capturing opportunities.
⨋ Governance

The Sanki Engineering Group established the Sustainability Committee, chairedby the president and composed of members of the Board of Directors, to address
climate change and sustainability issues in general. The committee discusses andmakes decisions on key issues and actions for realizing sustainability management. All
deliberations and decisions made by the committee are reported to the Management
Meeting and the Board of Directors for review and approval. Issues that may have asignificant impact on our business and management strategies are also presented
to the Management Meeting and the Board of Directors for further discussion andapproval, depending on their relative importance.
The Sustainability Promotion Council, established as a subordinate body of thecommittee and composed of persons in charge of the related practical matters in eachdepartment, communicates the deliberations and decisions of the committee to theentire Group, discusses and supports specific activities to promote sustainability, andmonitors progress.

Recognized as an “A List” company, thehighest rating given by the CDP in thearea of climate change. The CDP is aninternational non-profit organizationthat oversees the global disclosuresystem for companies in managing theirenvironmental impact.
Click here for details:

https://www.sanki.co.jp/news/release/article468.html ( Japanese only )Environment

Our integrated management system, consisting of an EMS (ISO 14001) and a QMS(ISO 9001), manages the impact in terms of risks and opportunities of our businessactivities on the environment, including the natural environment that surrounds theGroup. Under our system for implementing environmental management, headed by
the president, each division sets targets and formulates plans for the implementationof measures in accordance with its annual action plan. Progress is reviewed at thedivisional and general meetings.
In addition, the Sustainability Committee, which is mainly composed of directors,
discusses sustainability issues in general and deliberates and determines actions toaddress environmental issues, including climate change. Progress is monitored by the
Board of Directors, and issues that may have a significant impact on our management
and business strategies are discussed in the Management Meeting and Board of
Directors meetings, depending on their relative importance, and incorporated into theMedium-Term Management Plan.

Scope of ISO 14001
Certification

Addressing
Climate Change toward a Decarbonized Society
環境マネジメントシステム

Foundation of Sustainability Management

In accordance with the Sanki Engineering Group Environmental Policy, we strive to conserve the global environment inall our business activities, including the supply chain, with the intention of realizing a decarbonized society, recyclingoriented society, and society in harmony with nature. Having identified our efforts in response to environmental issues
as a key management concern, we are primarily working to contribute to a decarbonized society as our top-priority
material issue as well as to use engineering to build a comfortable environment.

ones, can allow us not only to reduce our environmental impact but also to avoid
work schedule delays and additional costs by gaining the understanding of local
communities and government authorities related to our work sites.

P. 43
Sustainability Management Promotion
System⨋ Risk Management

Our Risk Management Committee oversees and manages risks that impact theentire Group. It identifies and categorizes business-related risks, determines thesubcommittees in charge and content of control plans, assesses the risks by quantifying
their impact and frequency insofar as possible, formulates and implements priorities
and response policies, and conducts periodic reviews.
With regard to climate-related risks, the Climate Change Risk Subcommittee
conducts scenario analysis to extract and assess the impact of climate change risks.
The decided measures are submitted to the Sustainability Committee, Management
Meeting, and Board of Directors for further decision and approval, depending on
the relative importance of the assessed risk, and are then implemented by all the
departments of the Group. Measures included in the Medium-Term Management Planare incorporated into the execution plans of each division to manage their progress.

P. 43
Sustainability Risk Management

PP. 87–88
Risk Management Promotion System

7. Legal compliance
8. Local bylaws governing job location
9. Temporary materials and equipment,
and office and other supplies
10. Other aspects

SANKI REPORT 2023

47

︱

Environment

Foundation of Sustainability Management ︱⨋ Strategies

verified and assessed in the three stages of high, medium,and low.
Adopted Scenarios

Reference Scenarios

1.5°C scenario• Scenario Analysis and Financial Impact Assessment
We analyzed 1.5°C and 4.0°C scenarios in terms of relations
to policies and market trends, and we also analyzed physicalchanges engendered by events such as disasters. For eachscenario, causes of Group-wide risks and opportunities havebeen identified and their degree of impact on businessNet zero is reached by 2050 by taking
stringent measures against climatechange, and the temperature
increase in 2100 is limited to 1.5°C
or below from the level of theIndustrial Revolution

� I EA: Net Zero Emissions by 2050

4°C scenario� I EA: Stated Policies Scenario(NZE)

�I PCC: Shared Socioeconomic

Transition Risks
Category

Policies and Regulations

Technology

Increase in carbon taxes and prices for renewable energy
certificates (RECs) and stricter CO ₂ emission regulations

Advances in energy conservation andrenewable energy technologies

Impact on
business

Increase in carbon tax burden Increase in construction
and costs of purchasing RECs costs due to rising costs ofmaterials and equipment,
and other expenses- Technological obsolescence
Concerns over a possible washout- D elayed technological support due to lack and decline in corporate brand imageof technical capabilities and engineers
due to insufficient climate action andinformation disclosure

Medium- to long-term

Medium- to long-term

Impact1.5°C scenario: Moderate
Minor
4°C scenario:

1.5°C scenario: Major
4°C scenario: Moderate

1.5°C scenario: Major
4°C scenario: Moderate

1.5°C scenario:
4°C scenario:

Promote decarbonization
measures and capital
investment

Strengthen procurement
capabilities throughcentralized purchasing, DX,etc.

- P romote development of energy
conservation and renewable energy
technologies- Promote open innovation- S ecure human resources and enhanceengineer training- P romote decarbonization measuresand capital investment- Proactively disclose information

Risks
Possible event
Impact on
business
Timeline
ImpactResponse

Major

Chronic
Rising temperatures- Delays in procurement of materials and equipment- Suspensions or delays in construction- S tagnation of business operations due to infrastructure
failures
Short-term/medium- to long-term
1.5°C scenario: Moderate 4°C scenario:

Possible event
Impact on
business
Timeline

Major- Operate BCMS for maintaining effective BCPs
- Strengthen cooperation with partner companies

Medium- to long-term
1.5°C scenario: Moderate
Major
4°C scenario:

Medium- to long-term
1.5°C scenario:
4°C scenario:

Markets
Expansion of energy conservation and renewable Growing need for greater coolingenergy markets
capacity

Expansion of climate services market- Increased demand for ZEB and other energy
conservation projects- Increased demand for energy creation projects- I ncreased demand for renovation projects to copewith disasters- I ncreased demand for construction projects andservices to cope with disasters

Short-term/medium- to long-term

Increased demand for renovation work
to boost cooling capacity

Medium- to long-term

Medium- to long-term

Impact1.5°C scenario: Major
4°C scenario: Moderate

1.5°C scenario: Minor
4°C scenario: Moderate

1.5°C scenario: Minor
4°C scenario: Moderate

Response- Promote development of energy conservation
and renewable energy technologies- Promote open innovation- S trengthen the SANKI YOU Eco Contribution
Point system- S trengthen system to quickly respondto customer needs- Strengthen the maintenance system- P romote LCE Business- S trengthen the total integration business ofbuilding ICT- Expand consulting services- Operate BCMS to maintain an effective BCP

SANKI REPORT 2023

Carbonneutrality

Carbonneutrality

FY202010% reduction–

FY2018–FY2020(average)

30% increase––

Category

Scope 1, 2

Base YearFY20208,061

Changes (%)

Results*
FY2021
7,849

FY2022
5,341

Comparedto the base
year

YoY

–34%

–32%

PP. 30–31

Feature 1

Scope 1

1,658

1,722

1,743

+5%

+1%

Scope 2

Indirect emissions causedby use of purchased
electricity or heat

6,403

6,127

3,598

–44%

–41%

6,161,990

5,005,392

3,931,712

–36%

–21%

344,460

345,217355,854

–36%

–21%

Category 1

Products and services
purchased

Category 2

Capital goods

7,419

5,518

7,763

Category 3

Fuel and energy
activities not included in
Scope 1 and 2

1,006

1,336

1,358

Category 4

Upstreamtransportation anddistribution

819

1,123

846

Category 5

Waste generated inoperations

1,481

1,744

1,856

Category 6

Business travel

332

401

402

Category 7

Employee commuting

658

965

963

Category 11

Use of sold products

5,800,139

4,643,385

3,558,271

Category 12

End-of-life treatment ofsold products

1,483

1,381

1,548

Category 13

Downstream leased
assets

4,193

4,322

2,851

6,170,051

5,013,241

3,937,053

Total*Scope: Sanki Engineering GroupWe have obtained third-party assurance
for the results.
Note: C ategories 8, 9, 14, and 15 are notapplicable.
Independent Third-Party
Assurance Report

Direct emissions frombusinesses owned
or controlled by theCompany

Major

Resilience

40% reduction

Emissions (t-CO 2)

Minor- P romote occupational health and safety in Improve productivity through DX
cooperation with partner companies
promotion- Develop technologies to prevent occupational
hazards and robot replacements

FY2050▍Greenhouse Gas Emissions

Minor- I ncreased risk of heat stroke and other
Increased construction costs due tooccupational hazards
decreased productivity and increased- More severe labor shortages due to deteriorating costs for countermeasures
working conditions at construction sites

FY2030Carbonneutrality

Scope 3

Acute

*Scope: Sanki Engineering GroupFY2025(medium-term
management plan)

Base YearFY2020

Scope 3

Short-term/medium- to long-term

More frequent and severe natural disasters

Category

Opportunities

Medium- to long-term

Physical Risks
Category

Scope 1, 2

Increased demand for climate action
and information disclosure

Timeline

Governance

Environment

Possible event

Response

48

Review

Social▍Greenhouse Gas Reduction Targets

Reductions through the SANKI
YOU Eco Contribution Point
system▍Risks and Opportunities

Environment⨋ Indicators and Targets

Scope(STEPS)� I PCC: Shared Socio-economic
Pathways (SSP5-8.5)

G

In February 2022, we established the Sanki Carbon Neutral Declaration as a longterm goal, and we have incorporated our carbon transition plan into the mediumterm management plan. We will address climate change by focusing on reducing
greenhouse gases based on the following indicators.

Pathways (SSP1-1.9)

Stringent measures against climatechange are not taken, and thetemperature increase in 2100 isaround 4°C from the level of theIndustrial Revolution

S

Foundation of Sustainability Management

Scenario analysis is conducted to gain an understanding of
the medium and long-term impact of climate change on
business. Risks and opportunities identified through theanalysis are incorporated into Phase 3 of the Century 2025
medium-term management plan and addressed as part ofthe plan.

E

https://www.sanki.co.jp/en/csr/governance/
multistakeholder/

SANKI REPORT 2023

49

︱

Environment

Foundation of Sustainability Management ︱⨋ Initiatives for Emissions Reduction (Scope 1 and 2)▍Energy Consumption（MWh）

FY2022
Energy consumption*

22,793⨋ Contribution to Reductions through Our Business Activities (Scope 3)

610.5

647.7

- EcoSearcher® real-time heat source
optimization system (proprietary
technology)- s elFort® smart HVAC system foroffices (proprietary technology)•Y amato Product Center- P eriloop thermal stratification
HVAC system (proprietary
technology)- Solar photovoltaic panels*S cope: Sanki Engineering GroupWe have obtained third-party
assurance.
Independent Third-Party
Assurance Reporthttps://www.sanki.co.jp/en/csr/governance/
multistakeholder/

SocialGovernance

The Sanki Engineering Group’s SANKI YOU Eco Contribution Point system contributes,
along with our partners, to preventing global warming and realizing a sustainable
society. Under the system, when we propose an energy-saving solution that reduces
CO2 emissions to a customer and that proposal is adopted, the amount of theachieved emissions reduction is converted to Eco Contribution Points, used to support
environmental conservation activities.
Under the Medium-Term Management Plan “Century 2025” Phase 3, we aim tobolster this system as a measure for reducing Scope 3 emissions. In addition, we haveaccelerated our efforts to achieve the Sanki Carbon-Neutral Declaration, issued in
February 2022, by raising the price per ton of CO2 reduction from 100 yen to 200 yen
starting in fiscal 2022. In fiscal 2022, we received 322 orders (on a consolidated basis)and reduced CO2 emissions by 50,382 tons, up 97% from the average of the three-year
period from fiscal 2018 to 2020, thereby achieving the KPI in the Century 2025 Phase
3 of the medium-term management plan. The cumulative volume of CO2 emissions
reduced since the first year (fiscal 2010) on a consolidated basis reached 317,692 tons,
with over 21,000 trees planted.
We will continue to develop proposals for reducing CO2 emissions and offer an evengreater contribution to environmental conservation activities.
▍Proposals for CO2 Reduction and Outcomes

The logo of the SANKI YOU EcoContribution Point system expresses
our aspiration to contribute to social
development and create harmony with
the natural environment.
ECO2: We reduce CO2 emissions throughour contribution to ecology.

PP. 26–28
Medium-Term Management Plan“Century 2025” Phase 3(CO2 reduction unit: t-CO2)

FY2019FY2020

FY2021

FY2022

Numbers CO2 reduction Numbers CO2 reduction Numbers CO2 reduction Numbers CO2 reduction Numbers CO2 reduction

Proposals

Trans-Heat Container for delivering thermalenergyConsolidated

411

50,072405

45,685379

68,810431

134,399488

131,820

Nonconsolidated

370

45,531377

44,756352

68,243

367

112,550452

105,116

Consolidated

183

20,699181

27,624

214

28,430263

35,848322

50,382

Nonconsolidated

163

16,608163

27,221200

28,296218

14,355294

24,533

Orders received▍SANKI YOU Eco Contribution Point System
1. P ropose
energy-saving
solutions(Millions of Yen)

690.5

Environment⨋ SANKI YOU Eco Contribution Point System

FY2018Woody biomass gasification plant▍R&D Expenditures Related to Environmental Preservation

624.5

•S
 anki Techno Center

G

Environment

The Sanki Engineering Group’s Scope 3 emissions for fiscal 2022 are predominantly
Category 11, at 91%. We therefore seek to help customers save and generate energy
to reduce CO2 emissions and cut lifecycle costs through our business activities byenhancing the functionality and comfort offered by the technologies and products ofeach of our businesses. Through these efforts, we achieved a 36% reduction in Scope 3
emissions in fiscal 2022 compared to the fiscal 2020 level.
In our LCE Business, we seek to reduce environmental impact across the entire
product lifecycle, from planning and design in facilities construction to operational
maintenance after completion and also renovation. This assists in shifting to a
decarbonized, zero-waste society as well as environmental preservation. We willcontinue to expand business contributions to save and create energy, such as biomass
power generation plants, and pursue resource circulation through wastewater
treatment facilities and waste treatment facilities. We will also continue to focus on
research and development related to environmental preservation to continue reducing
emissions from our business activities.

Energy-Saving Systems Installedat Sanki Engineering Facilities

S

Foundation of Sustainability Management

To reduce emissions at our plants, offices, and construction sites, we have beenthoroughly implementing energy conservation activities by effectively operating
facilities at each location. At the Sanki Techno Center and Yamato Product Center, wehave installed several energy-saving systems to reduce energy, including those that
apply our proprietary technologies. The Sanki Techno Center switched to electricity
derived from renewable power sources to meet its electricity needs in April 2022,
resulting in a reduction of 2,651 t-CO2 compared to the previous level. Our Kansai
Branch Office also switched to carbon neutral electricity following its relocation. We
consequently reduced our total amount of Scope 1 and 2 emissions in fiscal 2022 by
34% compared to the fiscal 2020 level. Looking ahead, we will consider installing solar
photovoltaic panels and converting Company vehicles to EVs.

E

Customers
Propose using energy-saving equipment to
reduce CO2 emissions

2. P roposal
AdoptedSanki Engineering

3. Convert each tonne of reduced CO2 to 200 yen

4. D onate to environmental conservation groups

Environmental
conservation activity

669.3

Contributing to a Zero-Waste Society⨋ Current State of Industrial Waste

2018

2019

2020

2021

2022

（FY）

⨋ Registered ZEB Planner

Sanki Engineering is a registered ZEB Planner, which seeks to promote the widespread
introduction of ZEBs* introduced by Japan’s Agency for Natural Resources and Energy,
under the Ministry of Economy, Trade and Industry. As a ZEB Planner, we act as thecontact point for customers planning to adopt ZEB in construction projects and play
our part in developing a decarbonized society by supporting ZEB planning.

50

SANKI REPORT 2023

*Net-Zero Energy Buildings maintaincomfortable environments while
reducing annual energy consumption
to as close to zero as possible byenhancing energy-saving performanceusing solar power generation and othermeasures.

With respect to industrial waste discharged at our construction sites, we seek tounderstand the current status by compiling data on waste discharged at sites
where Sanki Engineering is the prime contractor. Due to the impact of large
construction projects that involved demolition, our industrial waste emissions
increased in fiscal 2022.
We have maintained the recycling and reduction rate for industrial waste,
excluding waste disposed at final landfill sites, at 89.8% (non-consolidated) and
90.0% (consolidated) in fiscal 2022. We will continue to promote proper disposal
by monitoring and analyzing the discharge of industrial waste. In fiscal 2022, thewaste disposal cost for construction sites was 525,051,000 yen (non-consolidated)

Explanation for handling CFC during
HVAC inspections

SANKI REPORT 2023

51

︱

Environment

Foundation of Sustainability Management ︱

97.8

97.2

96.6

94.8

18,482
1,971

17,321986

18,0291,377

18,616
1,733

16,652

16,883

16,335

2020

2021

89.8
23,0481,324
21,7242022（FY）*S cope: Industrial waste discharged
at sites where Sanki Engineering is
the prime contractor and at domestic
Group companies
Recycling rate: Sanki Engineering Co.,Ltd.

⨋ Proper Disposal of Hazardous Substances*W aste Management and Public
Cleansing Law

At each site where facilities are owned by the Sanki Engineering Group, we regularly
monitor water use and continuously consider ways to improve the efficient use of
our water resources to reduce usage. Most of the water used is for offices and training
accommodations, and the resumption of training camps increased water use in fiscal 2022.
▍Water Use

Governance

Keidanren Initiative for Biodiversity
Conservation

Poster: “How to handle mercury-lacedindustrial waste”（m ）FY202237,06544,088

Tap water

10,54013,884

Well water

26,52530,204

Scope: Eight sites including the Sanki
Techno Center, Yamato Product Center,
Nasu Techno Station, and field offices.

Realizing a Society in Harmony with Nature⨋ Our Response to Biodiversity

In April 2022, we established the Sanki Engineering Group Action Guidelines on
Biodiversity, which is part of the Sanki Engineering Group Environmental Policy.
Under the guidelines, we will further strengthen our activities for planting andnurturing trees and promoting environment-related facilities.

Sanki Engineering Group
Code of Conduct and Action
Guidelines

https://www.sanki.co.jp/en/csr/policy/
conduct-code.html

Ministry of the Environment’s 30by30
Alliance For Biodiversity▍Donation History for Tree-Planting Projects
Recipient

Location

Corporate Supporter System

More trees

Shiga Prefecture/Lake Biwa Afforestation
Partnership Agreement: SANKI YOU Forest
Biwako Konze

Konze Forestry Association Ritto City, Shiga Prefecture
Ritto Tourism Association

Shibuya Ward, Tokyo

Wakayama Prefecture/Forest Conservation andManagement Agreement: SANKI YOU Forest
Ohechi Forest Association
Nanki-Shirahama

Shirahama Town, Wakayama
Prefecture

Planting trees in the Hikobae Forest on
Mt. Yagoshi

NPO Mori wa Umi no
KoibitoIchinoseki City, Iwate Prefecture

Planting trees in a forest surrounding
Shonan Village

Silva Association, Shinwa
GakuenYokosuka City, Kanagawa
Prefecture

Kansha-no-Mori forestation to commemorate
the 10th anniversary of the SANKI YOU EcoContribution Point system

NPO Environmental
Relations

Kai City, Yamanashi Prefecture

Creation of the Sanki Forest to commemorate
the 90th anniversary of our founding

NPO Environmental
Relations

Kai City, Yamanashi Prefecture

Creation of the Kijimadaira Beech Forest

NPO The Life style Research Kijimadaira Village, Nagano
Institute of Forests
Prefecture

Creation of the Present Tree Forest

NPO Environmental
Relations

3

FY2021

Water use

In addition to the tree-planting and nurturing activities under the SANKI YOU EcoContribution Point system, we created the Sanki Forest in Kai City, Yamanashi Prefecture,in 2015 to commemorate the 90th anniversary of our founding, and a Kansha-no-Mori
in 2020 to commemorate the 10th anniversary of the SANKI YOU Eco Contribution Point
system. We donate to reforestation projects that take full advantage of the diversity of
local vegetation and tree-planting activities that lead to enriching the bounties of thesea, and also engage in environmental conservation activities that include employee
participation.
Furthermore, we facilitated donations to three projects by four organizations infiscal 2022 to support environmental conservation activities for forest management
under the SANKI YOU Eco Contribution Point system.

Project⨋ Limiting Water Use

SANKI REPORT 2023

SocialEnvironment

2019⨋ Tree-Planting and Nurturing Activities

We properly dispose of hazardous substances in accordance with the laws andregulations while informing our employees about proper methods of managing thesesubstances. We have created and distributed posters to inform them of the revisions
in storage and disposal procedures for mercury-laced waste in accordance with therevision of the Waste Management and Public Cleansing Act*. Regarding asbestos,
we prepare a flow chart for the proper disposal of asbestos at construction sites forrenovation work. Also, in accordance with the Air Pollution Control Law, we will properly
report the presence or absence of asbestos-containing building materials
at construction sites during demolition and renovation work.

52

Environment■ Discharge by Sanki Engineering Co., Ltd. (t)Recycling rate* for Sanki Engineering Co., Ltd. (%)

2018

G

Foundation of Sustainability Management

Since fiscal 2010, we have supported reforestation through the SANKI YOU EcoContribution Point system. After raising the point conversion rate for this program,we signed agreements in March 2023 to expand our support for environmental
conservation activities, including a Forest Conservation and Management Agreement
for the Corporate Forest Project with Shirahama Town in Wakayama Prefecture as well
as Lake Biwa Afforestation Partnership Agreements with the Konze Forestry Associationand the Ritto Tourism Association, witnessed by officials of Shiga Prefecture and Ritto
City, respectively. We will continue to engage in reforestation and other communitybased activities through tree-planting events that involve the participation of Group
employees as well as other community outreach activities.

▍Changes in the Amount of Industrial Waste Discharged

16,511S⨋ Signing a Reforestation Agreement

and 554,862,000 yen (consolidated). Furthermore, we have been properly disposing
waste CFC and halons, the cost of which was 30,391,000 yen (non-consolidated) and
39,897,000 yen (consolidated) in fiscal 2022.
With the aim of ensuring the proper disposal of industrial waste, we have madedigital manifests available to all departments for waste management. The rate of
introduction of digital manifests was 99.2% on a non-consolidated basis and 98.9% on aconsolidated basis in fiscal 2022.
We work to reduce emissions of waste plastics and promote the recycling of plastics
in accordance with the Plastic Resource Circulation Act.

■ Discharge by Group companies (t)E

Takayama City,
Gifu Prefecture, Miyako City,
Iwate Prefecture, Sammu City,
Chiba Prefecture⨋ Use of Sewage Sludge

Taking advantage of our knowledge and experience with sewage sludge, which has
been attracting significant attention as a recyclable resource, we are working to use it
as a fertilizer. Most of the incinerated sewage sludge currently disposed of in landfills
contains a large amount of phosphorus, a main component in fertilizer. In addition todeveloping low-cost, energy-saving technology for extracting phosphorus, we are also
engaged in research and development for the use of insects to treat sludge and its
conversion into feed and fertilizer.

P. 33

Feature 3

SANKI REPORT 2023

53