Climate Change Mitigation
1．Philosophy
Environmental problems attributable to global warming (e.g., forest fires, droughts, water shortages, rising sea levels, threats of extinction, and impacts on ecosystems) are occurring on a global scale. Such problems are also seen in Japan. They are represented by floods caused by torrential rains, health problems such as heatstroke that result from more and more days of extreme heat, and impacts on ecosystems, such as coral bleaching.
JSR Group recognizes this as an important issue. Therefore, with the aim of helping realize a decarbonized society, we strive to lower our greenhouse gas (GHG) emissions by, for example, reducing the amount of energy needed in the various processes of producing and supplying our products.
Together with this, we also calculate and ascertain the GHG emissions in our supply chain (Scope 3) based on the Basic Guidelines on Accounting for Greenhouse Gas Emissions Throughout the Supply Chain issued by Ministry of the Environment, Government of Japan. Chemical products are ultimately used in various products. Therefore, we believe it is necessary to work to reduce GHG emissions throughout the lifecycle of our products. We will continue to calculate and ascertain our GHG emissions on a global basis to contribute to reducing GHG emissions throughout society in the future.
In addition to this, we participate in the Japan Chemical Industry Association, the TCFD Consortium and other organizations to collect information. We recognize that climate change will bring about both risks and opportunities for JSR Group. Accordingly, we formulate and implement strategies based on scenario analysis.
- Scope 1:
Direct GHG emissions by companies themselves (fuel combustion and company-owned vehicles, etc.) - Scope 2:
Indirect GHG emissions from the use of electricity, heat or steam supplied by other companies
- Scope 3:
Other indirect GHG emissions besides Scope 2.
(Company: This includes the procurement of raw materials, employee business trips and subcontracting of waste disposal, etc.)
2．JSR Group’s GHG Emissions and Energy Consumption
We continued to conduct energy saving activities as we did in the previous fiscal year. However, with an increase in production volume and an addition of overseas bases, both our GHG emissions (1,013 kt-CO2) and energy consumption (439,000 kL) in FY2021 increased compared to FY2020 (GHG emissions: up 14% / energy consumption: up 19%).
We spun off our elastomer business in April 2022. If we make an estimate based on the post-spin-off boundary, GHG emissions become 260 kt-CO2 and energy consumption becomes 109,000 kL.
We will continue to strive to reduce GHG emissions on a global basis.
3．Initiatives to Reduce GHG Emissions
(1) JSR Bases
Since FY2005, JSR has been striving to upgrade our energy-saving technologies through various approaches. Those have included introducing co-generation facilities and sludge dryer systems in addition to fuel conversion. We thus achieved a significant GHG emissions reduction of 21.6% by FY2013 compared to the FY2005 level.
Furthermore, in FY2019, we set a long-term goal of “reducing emissions by 15% in FY2030 compared to the FY2013 level.” We are endeavoring to further reduce GHG emissions by introducing highly efficient equipment and using renewable energy in addition to our energy conservation activities.
In FY2021, we only reduced our GHG emissions by 4.4% compared to FY2013 to 618 kt-CO2. That was partly due to the impact of an increase in production volume. JSR spun off our elastomer business in April 2022. If we make an estimate based on the post-spin-off boundary, GHG emissions become 77 kt-CO2.
In addition to agreeing with the TCFD, we are continuing to identify risks and opportunities with respect to climate change through scenario analyses and formulating medium- and long-term measures.
Yokkaichi Plant
JSR Group develops various products which contribute to a reduction in the environmental impact. We use those products in various places throughout the main building at Yokkaichi Plant to mitigate climate change.
Cooling and Heating System
JSR BiRD*, which started operation in 2021, has adopted a cooling and heating system which uses geothermal heat (geothermal heat utilization system).
The temperature in the ground is lower than the outside temperature in the summer and higher than in the winter. We have built an effective cooling and heating system using this temperature difference. This system reduces CO2 emissions resulting from the generation of cold and hot water further than with conventional air conditioning systems. That has led to a reduction in the environmental impact.
* This stands for JSR Bioscience and informatics R&D center. It is a JSR research facility we newly established in 2021 for the creation of new business.
Natural gas-fired turbine cogeneration system
Using natural gas as fuel
Reduces CO2 emissions as compared to coal- or heavy oil-fired steam boilers and condensing steam turbine systems.
Sludge dryer system
Reduces the amount of combustion support fuel (heavy oil) used in onsite incineration by drying high-water-content sludge that is produced by comprehensive wastewater treatment facilities and using it as fuel.
(2) Logistics: Improving Transport Efficiency
In terms of transportation, we are proactively promoting a move to bigger forms of transport with a modal shift from trucks to railways and ships. That is leading to a reduction in our transport energy intensity. In FY2021, as a result of promoting the use of railways and ships to transport products and raw materials, we maintained a high-level modal shift similar to the previous fiscal year at 85%. That meant we maintained our transport energy intensity. We transferred our elastomer business, which accounted for approximately 90% of our transportation volume, in April 2022. Accordingly, we expect our modal shift rate to fall significantly. Nevertheless, we will continue to work to improve transportation efficiency in consideration of the environment together with our business partners and logistics companies.
| FY | 2013 | 2017 | 2018 | 2019 | 2020 | 2021 |
|---|---|---|---|---|---|---|
| CO2 emissions (tons) | 22,960 | 24,437 | 24,208 | 20,211 | 15,517 | 17,686 |
| Category 4 Transportation and delivery of raw materials and other materials |
10,489 | 13,177 | 13,112 | 10,706 | 7,559 | 8,537 |
| Category 5 Transportation of waste from plants |
164 | 195 | 202 | 193 | 168 | 201 |
| Category 9 Transportation and delivery of products |
12,307 | 11,065 | 10,894 | 9,312 | 7,790 | 8,948 |
| Transport volume (million ton-kilometers*) | 492 | 534 | 514 | 434 | 324 | 377 |
| Modal shift rate (%) | 83 | 86 | 85 | 85 | 83 | 85 |
| Energy consumption (kL: crude oil equivalent) | 9,026 | 9,899 | 9,324 | 7,855 | 6,052 | 6,944 |
| Energy intensity (kL/1,000 t-km) | 0.0183 | 0.0185 | 0.0181 | 0.0181 | 0.0187 | 0.0184 |
* Ton-kilometer: Freight Tonnage (ton) x Transport Distance (km)