HIGHLIGHT
Roundtable Meeting with Stakeholders

Green Fab1—Requirements for a Good Semiconductor Factory
On June 27, 2007, we invited some of our stakeholders to a roundtable meeting to discuss therequirements for a good semiconductor factory. Specifically, we invited representatives of the following companies engaged in the upstream and downstream semiconductor manufacturing
processes: semiconductor manufacturers, relevant equipment and component manufacturers, and acompany engaged in the design and construction of clean rooms.
1. Green Fab: Meaning a factory/manufacturing process that is comprehensively environment-conscious

Collaboration from the Upstream throughDownstream Processes Is Essential

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8
Roundtable Meeting with Stakeholders

Green Fab—Requirements for a Good Semiconductor Factory

Mr. Honma: I would like to comment in my capacity as someone
engaged in building semiconductor factories and production
systems. As a result of the shift from 200-millimeter wafers to 300millimeter wafers, the power consumed by semiconductor production equipment is increasing, and we are now required to save evenmore energy. For the environment, it is important to eliminate
duplication and waste in semiconductor factories from a comprehensive viewpoint, but the environmental efficiency of individual
parts and equipment in the semiconductor factory has already
improved dramatically, and so we can no longer expect substantial
improvements in environmental efficiency from them. In the past,
semiconductor production equipment manufacturers and component manufacturers were independently developing products withlower environmental impact, including more energy-saving products downstream of the supply chain. From now, however, I believethat the three parties—semiconductor manufacturers, semiconductor production equipment manufacturers, and component manufacturers need to collaborate more fully by exchanging informationthat will enable us to reduce the environmental impact resulting
from the manufacture of semiconductors.
Mr. Iwaida: I agree with Mr. Honma. I also feel strongly that thesethree parties together will be able to implement effective measures.
Our company manufactures pneumatic devices used in semiconductor production equipment. Usually, we seldom have the opportunity to talk directly with the semiconductor manufacturers who
are the end users of our products. We are only informed of the situation at the end user via the semiconductor production equipment

manufacturers. However, when we have the rare opportunity to visit
the factory of a semiconductor manufacturer, we often find room
for improvement at the factory, something which only component
manufacturers would be able to see. For example, the pipe on afreezer might be too long and coiled up. Although the freezer isworking hard to keep the temperature below zero, the long pipe is
continuously giving out heat beside the freezer. Reducing this typeof waste would help reduce the environmental impact of the factory,
and roundtable meetings like this one are very useful for thispurpose.
Mr. Urano: I think it necessary for all the companies involved in the
upstream to downstream steps to collaborate to reduce the environmental impact generated over the entire semiconductor manufacturing process. Our company deals with exhaust systems,
Participants in the Roundtable Meeting● NEC Electronics Corporation

Mr. Michio Honma● Elpida Memory, Inc.

Mr. Kazuhiro Tada

● Sony Corporation

Mr. Junichi Aoyama● Edwards Japan Limited

Mr. Chiaki Urano● Edwards Japan Limited

Mr. Masaharu Miki

● SMC Corporation

Mr. Katsuro Iwaida● Taisei Corporation

Mr. Tomoo Gocho● Taisei Corporation

Mr. Tsutomu Kobayashi

Roles Played in the Semiconductor Manufacturing Process by Participating Companies
We develop and manufacture semiconductors
in semiconductor factories.

Design and construction of clean rooms

Taisei
NEC Electronics

Elpida Memory

Sony

What is a clean room?
A clean room is a controlled space where theamount of fine dust and particles in the air,which are unacceptable in the manufacture ofsemiconductors, is kept within predefinedvalues. In a clean room, humidity and temperature are also regulated.

Semiconductor production equipment

Tokyo Electron

Temperature controller
Direction controller

Gas scrubber

Pump

Pneumatic devices andtemperature controllers

Gas scrubbers and pumps

SMC

What is a gas scrubber?
A gas scrubber removes various gases used in the semiconductor manufacturing process ina safe manner.

What is a temperature controller?
A temperature controller is a device
used to cool the inside of semiconductor production equipment.

TOKYO ELECTRON Environmental and Social Report 2007

Edwards

Semiconductor Manufacturers Need to DiscloseMore Information
Mr. Urano: I have long thought that Japanese semiconductor manufacturers do not seem willing to disclose information. For example,
when constructing a new semiconductor factory, they will not disclose any information about which components from which manufacturers they are going to use in the new factory. After the individual pieces of equipment and components are delivered, piping
routes are worked out on a case-by-case basis. As a result, thefacility area in the clean room is like a jungle of pipes and signal

Mr. Iwaida: Information is really important. We component manufacturers manufacture products according to the specifications
given by our customers without knowing the entire process flow.
However, the specifications do not always reflect the reality. For
example, we once made a temperature controller with a coolingability down to minus 30 degrees centigrade. We delivered it to theend user’s factory and found out that the factory did not actuallyneed that much cooling ability. If we say that a temperature controller with a cooling ability of minus 20 degrees centigrade is likethe engine in a luxury car, a temperature controller with a coolingability of minus 30 degrees is like the engine in a fighter aircraft. If
we had the right information, we would not have had to make thiskind of pointless effort.
Mr. Kobayashi: In the future, we would like to provide our customers with clean rooms equipped with a function to reduce chemical pollutants, which will in turn reduce the load on the filters. We
also want to offer energy-saving technologies for air conditioning
systems. However, there are limits to what we can do working on
our own. If we have opportunities to exchange information like attoday’s meeting, I think we will be able to propose more ideas andtechnologies for energy conservation.
TOKYO ELECTRON Environmental and Social Report 2007

9
Roundtable Meeting with Stakeholders

Mr. Tada: How about showing the process developers the adverse
effect of increasing gas flows by using the check list that can beused for a design review?

Mr. Kobayashi: I completely agree with Mr. Urano. In designing aclean room, we have to predict the rate of operation according togiven specifications. We are not provided with practical data about
the clean room, including data on cooling water, air conditioning
load, and exhaust air. If we are given more practical data, we will beable to contribute more to energy saving. For example, there are
two methods of cooling: one uses water and the other uses air forcooling. If air is used for cooling, the energy consumed will be fiveor six times as large as the energy required for water cooling.
However, we are not given the relevant information. Without theappropriate information, we cannot decide whether it is really necessary to use air for cooling, whether water could be used instead,or whether the air in the clean room should be used for the air cooling. If these kinds of problems with information disclosure aresolved one by one, I believe we can contribute substantially to
reducing the total environmental impact generated by semiconductor factories.

Green Fab—Requirements for a Good Semiconductor Factory

Mr. Komiyama (TEL): I am in charge of managing the clean roomsin the Tokyo Electron Group. It is true that process engineers working on semiconductor production equipment tend to increase gas
flows to improve the process and as Mr. Urano has pointed out,
this might impose an extra load on the exhaust system.

cables. I believe it important for semiconductor manufacturers todisclose more information in order to reduce their environmental
impact and to improve the performance of the equipment.

HIGHLIGHT

including vacuum pumps and gas scrubbers. Recently, various
process gases have been introduced in the production process andI am afraid that the exhaust system is regarded as a “dust box” into
which any kind of gas can be put and eventually rendered harmless.
However, if different kinds of gases are mixed without being sorted
out, they can easily solidify and this may cause the vacuum pump
to halt. To prevent this, more nitrogen gas need to be injected. This
will impose an extra load on the gas scrubbers and will result in an
increase in environmental impact. However, if the production
process is improved and the types of gases used and their flows
are limited, the problem can be alleviated.

HIGHLIGHT

10

Michio Honma

Kazuhiro Tada

Junichi Aoyama

Chiaki Urano

NEC Electronics
Corporation

Elpida Memory, Inc.

Sony Corporation

Edwards Japan Limited

We Need to Overcome Organizational
Boundaries to Reduce Our Environmental
Impact.

Roundtable Meeting with Stakeholders

Green Fab—Requirements for a Good Semiconductor Factory

Mr. Honma: In reducing the environmental impact caused by ourfactories, we face the problem of organizational boundaries—eachorganization, department, and employee foolishly limits the scopeof their jobs and tend not to think beyond the range of their own
jobs. We may need to remove these boundaries if we want to makemore improvements.
Mr. Gocho: I fully agree with Mr. Honma’s opinion that we need toovercome organizational boundaries. In the construction industry,
too, we have boundaries between the building and civil engineering
sectors and between the sections working on air conditioning andstructural designing. In the past, many people would express theiropinions of the job being done by other departments, but now thisis rare, perhaps because their scope of work is too clearly defined.
As a designer and constructor of clean rooms, in the future wewould like to ask semiconductor production equipment manufacturers questions like “Is it really OK to set the temperature of thecooling water at 25 degrees centigrade?”
Mr. Ibuka (TEL): There are indeed organizational and personnel
boundaries. I think it necessary to create a model of collaboration
between organizations based on the concept of “total optimization.”TOKYO ELECTRON Environmental and Social Report 2007

No One Has a Comprehensive Overview of the
Factory Equipment.
Mr. Kaneko (TEL): I am afraid semiconductor factories are producing substantial amounts of wasteful exhaust. Also, there are somecases in which semiconductor production equipment can actually
be operated using only around 60% of the specified amount ofenergy. So I think it is important for us semiconductor production
equipment manufacturers to study how we can reduce wasteful
operations.
Mr. Aoyama: When we build a new factory, the department incharge of construction gathers data on cooling water, facilities, andelectricity separately from those who will run the factory and fixes
the specifications based on that department’s experience and intuition. But in fact, no one knows the real electrical capacity required.
There is no one who can oversee the construction in a comprehensive way. In the power industry and the steel manufacturing industry, some companies have started to monitor the efficiency of theirequipment while it is in use in real time to maintain high efficiency
over an extended period. In the semiconductor manufacturingindustry as well, things need to be done not only to ensure the perfect finish on a wafer but also to improve the efficiency of the semiconductor production equipment.

Masaharu Miki

Katsuro Iwaida

Tomoo Gocho

Tsutomu Kobayashi

Edwards Japan Limited

SMC Corporation

Taisei Corporation

Taisei Corporation

HIGHLIGHT

Mr. Urano: In order to make the entire semiconductor manufacturing process more energy-saving, it would be necessary to take theexhaust system, valves, and cooling system into considerationfrom early on in the design stage, in addition to making individualcomponents capable of saving greater amounts of energy by adopting pumps and temperature controllers that use lower amounts ofenergy. This will also limit the unnecessary use of gas and contribute to energy conservation.

11

2

Use of Life Cycle Assessment (LCA) to
Promote Energy Conservation
Mr. Aoyama: We can use LCA to do this. Using LCA, we can get acomprehensive understanding of the effects of an improvement.
For example, we can identify the reduction in CO 2 emissions
throughout the process achieved by introducing a gas scrubber.
Comprehensive measures can be taken more easily for new production lines and so the construction company can make a comprehensive proposal on an energy-saving line in addition to justsimply constructing a new building. Of course we can also makeexisting lines more energy-saving using LCA. When our company
renovated a factory, we implemented measures to substantiallyreduce power consumption and the money we invested in this ini-

tiative will be recovered over a relatively short period.
Mr. Ibuka (TEL): I regard LCA as a “double-edged sword,” which
can simultaneously help and hinder us. With LCA, any semiconductor manufacturer can identify the amount of energy used and sounless we, in proposing the use of LCA, are first past the post withthe use of LCA, our competitors will make good use of LCA to gaincustomers. So it is important to encourage information sharing,
while at the same time remaining vigilant of the effect that information sharing may have on competition in the market.
2. Life Cycle Assessment (LCA): Method to assess the environmental impact of a
product throughout its life cycle from production to recovery and reuse.

Encouraging Discussions between Upstream
and Downstream Companies
Mr. Honma: I have been participating in a variety of improvement
projects recently and this experience has helped me to recognize
one thing. There are multiple layers in the supply chain for semiconductors, and it is not really necessary to encourage collaboration between companies on two layers that are far apart from eachother in the supply chain. Usually, a lot of improvement can bemade by collaboration between companies in two adjacent layers.
However, it is essential to have a consultant who questions the status quo of the entire supply chain. I believe small improvements
can produce great results if they are implemented in the form ofprojects.
Mr. Ibuka (TEL): We held individual forums with suppliers on
PFC gas.3 Open forums with these companies and the forums
held by industry associations are indeed effective.

TOKYO ELECTRON Environmental and Social Report 2007

Roundtable Meeting with Stakeholders

Mr. Kaneko (TEL): It is true that semiconductor manufacturing factories do not pursue total optimization from scratch: instead, they
seem to want to pursue energy conservation and environmental
friendliness by simply combining optimal components. For example, they think that they can reduce their energy use simply by
improving the performance of individual components.
Semiconductor manufacturers need to manage their factories in amore comprehensive manner and semiconductor production equipment manufacturers must have the strength to put proposals tosemiconductor manufacturers and persuade them to accept their
proposals. Otherwise, semiconductor production equipment manufacturers cannot show a good example to the manufacturers of
their equipment components. The three parties must rely on mutualcommunication and understanding to ensure the consistency of thefactory facility as a whole.

Green Fab—Requirements for a Good Semiconductor Factory

Mr. Miki: Pump manufacturers think that energy conservation canbe achieved by skillful pump layouts and skillful piping configurations. Energy-saving can be implemented efficiently if it is started
back at the initial stage of construction of the factory and we havebeen putting forward proposals to do this for the last 10 years. But
our proposals have not yet been widely accepted.

HIGHLIGHT

12

Kiyoshi Komiyama

Munetsugu Yamanaka

Masaki Kaneko

Shigehito Ibuka

Joji Hoshi

Leading Edge Process
Development CenterTokyo Electron Limited

Development Planning Dept.
Tokyo Electron Limited

Environment, Health &Safety CenterTokyo Electron Limited

Environment, Health &Safety CenterTokyo Electron Limited

Environment, Health &Safety CenterTokyo Electron Limited

Mr. Honma: It would be better to draw a clear line between information that must be kept confidential and technologies that can betransferred. In other words, there are topics that can be discussed
in a relatively open manner at the meetings of JEITA4 or SEMI and
those that should be discussed among limited participants, forexample by members of a consortium.

Roundtable Meeting with Stakeholders

Green Fab—Requirements for a Good Semiconductor Factory

Mr. Aoyama: Even if each company conducts its own environmental activities, the effects will be limited and I think that we canconduct activities appropriately within the framework of JEITA.
Component manufacturers, too, can more easily engage in environmental activities if they are led by JEITA. Every semiconductor
manufacturer in the world is aware of its environmental responsibilities. We do want to disseminate environmental information andcooperate with equipment and component manufacturers to protect
the environment.
3. PFC gas (perfluorocarbon gas): A greenhouse gas used in the semiconductor
manufacturing process as a CFC substitute(2) high operational productivity; and (3) voluntary contribution toenvironmental and energy conservation. Environment-friendly andenergy-saving functions tend to be low-priority functions, and we
aim to build these undervalued functions invisibly into our products.
Mr. Kaneko (TEL): To make environmental functions invisible
sounds great. To deactivate the equipment if the environmental andenergy-saving functions are removed is also a good idea.
Mr. Tada: Sales of semiconductor production equipment will increasein the NICs in the future and it is highly probable that customers inthese countries will demand that we remove the lowpriority environmental functions due to cost reduction. However, toreinforce the need to reduce environmental impact across theworld, it will be better if we provide these customers with equipment in which environmental functions are inseparably integrated
with the manufacturing process technologies and functions toimprove productivity.

4. JEITA: Japan Electronics and Information Technology Industries Association

Making the Environmental Performance ofEquipment Invisible
Mr. Tada: I think we should make the environmental performanceof semiconductor production equipment invisible. By that, I mean
to incorporate the environmental functions as an integral part of theequipment. For example, we could make the equipment inoperable
if the environmental functions are deactivated. We should meet thefollowing requirements for our products in this order of priority:(1) introduction of advanced manufacturing process technologies;

Pursuit of Profit Will Result in a Reduction
in Environmental Impact.
Mr. Aoyama: Now, I would like to ask one question: what are thebasic requirements for a good semiconductor manufacturing
factory? I think FPD factories in Japan represent the most usefulexample. These factories are excellent in terms of harmony with thelocal environment and also in terms of creating local employment
and returning profit to the local communities in the form of taxes.
Their products do contribute to energy conservation and the factories producing these products help improve the corporate image ofthe companies that own the factories.
Mr. Miki: Generally, good factories input the minimum required
amount of resources and output the maximum values and profits
with low emissions. This is consistent with the concept of GreenFab.
Mr. Iwaida: I agree with the idea that environmental measures willlead to profit making. Many of our users are small factories andsome of them are not environmentally aware. If, however, the mosteffective way to recommend energy-saving products is to show
how much money they can save by reducing their annual power
consumption. The use of energy-saving products will of course
contribute to reducing the environmental impact.

TOKYO ELECTRON Environmental and Social Report 2007

Mr. Aoyama: I referred to FPD factories in Japan as an example ofgood factories. But the general public does not have a specificimage of products manufactured at semiconductor manufacturing
factories. Although semiconductors are incorporated into products
sold on the market and contribute to energy conservation, people
do not have a specific product image for semiconductors, unlike
LCD televisions, for example. So I think it is important to more
widely publicize how useful semiconductors are to society at large.

Mr. Ibuka (TEL): Today we discussed energy conservation in semiconductor manufacturing. I think it is extremely important to publicize more widely the contribution to energy saving using semiconductors. In the semiconductor supply chain, we should remain awareof the importance of highlighting the environmental effectiveness ofsemiconductors to end users in formulating our business strategies.
We have had meaningful discussions today. I hope that we will
have similar opportunities in the future.

In response to the roundtable meeting
The Tokyo Electron Group held its first roundtable meeting for its environmental and social report in 2004, participated in by people responsible
for the environment and safety within the Group. Subsequently in 2005, we held our second roundtable meeting, inviting the Group’s employees
responsible for sales, development, and design. In 2006, we held our third roundtable meeting, and invited our customers. For our fourth meeting
held this year, we invited representatives from Sony Corporation, Elpida Memory, Inc., NEC Electronics Corporation, who are our customers,
Edwards Japan Limited and SMC Corporation, who are manufacturers of components for semiconductor production equipment, and Taisei
Corporation, a designer and constructor of clean rooms. The meeting provided EHS managers at these companies with a great opportunity to
exchange information on comprehensive energy-saving measures for clean rooms.
At the meeting, participants recognized once again the necessity of reducing environmental impact across the entire supply chain and proposals were made by some participants to hold this kind of meeting regularly for information exchange. The meeting was therefore very meaningful.
The meeting also gave us an opportunity to reconfirm how important it is to make reducing the environmental impact generated by the products of
our Group and customers into one of our business objectives. We should make concerted efforts with everyone involved to attain that objective.
We will continue to ask a variety of people for their opinions and examine ways in which we can make it easier for our Group to design environmentally conscious products.
Masaki Kaneko
Director of Environment, Health & Safety CenterTokyo Electron Limited

TOKYO ELECTRON Environmental and Social Report 2007

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Roundtable Meeting with Stakeholders

Semiconductors Contribute to an Energy-Saving
Society.

Mr. Tada: If the general public becomes more aware of the contribution that semiconductors make to energy conservation, semiconductor manufacturing factories will surely be able to receive
emission rights through the Clean Development Mechanism (CDM)
and Joint Implementation (JI). Semiconductors do contribute to
reducing the environmental impact caused by products such ashome electrical appliances; at least 50% of that reduction is thanks
to the use of semiconductors. The semiconductor industry is therefore entitled to receive emission rights equivalent to the amount of
their contribution.

Green Fab—Requirements for a Good Semiconductor Factory

Mr. Hoshi (TEL): Even if they are not initially designed to promote
environmental conservation or energy saving, other improvements
sometimes contribute to reducing the environmental impact. For
example, downsizing efforts designed to reduce costs might eventually contribute to energy conservation. We are committed to technological development using our experience of achieving strict cost
reduction targets one after another.

Mr. Kobayashi: In June 2007, the Tokyo Metropolitan Government
announced a 10-year project to achieve a 25% reduction in Tokyo’s
CO2 emissions over the 2000 level by 2020. The government also
has an emissions trading plan. What influence do you think these
initiatives will have on the semiconductor industry?

HIGHLIGHT

Mr. Aoyama: I agree with Mr. Iwaida. It is indeed wrong to thinkthat environmental measures and profit are not compatible.
Environmental efforts will help companies make more profit. If you
can make a greater number of products with the minimum amountof materials, you will generate more profit. We must make everyone
understand this obvious fact.