Fujikura Ltd.

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CO2 Emissions Reduction (Climate change measures)

Policy and Guideline

The Fujikura Group is working to reduce CO2 emissions as part of its key CSR measures for 2020. In addition, as medium-term targets for 2020, we have established detailed targets on the reduction of our total CO2 emissions in Japan and the reduction of CO2 emissions intensity outside of Japan. Furthermore, we have established the Fujikura Group Long-term Environmental Vision 2050 and a roadmap as long-term targets, under which we are promoting the challenge of eliminating CO2 emissions.

Aimed at achieving these targets, we are working from the two directions of using renewable energy and reducing energy usage through the promotion of investments in energy conservation and zero energy buildings (ZEB), among other measures.

Concept of the Base Year and Intensity Levels of CO2 Emissions

  • Fujikura Group's CO2 emissions are calculated by multiplying the energy usage amount by each type for each fiscal year by the CO2 conversion factor for each type of energy.
  • From FY2018, change to a calculation method based on the use of market standard emission factors indicated in the GHG Protocol Scope 2 guidance.
  • Base year
    - Japan: fiscal 2013
    - Overseas: fiscal 2014
  • Conversion factor
    - Electricity in Japan: FY2013-2017: Fixed use of actual emission factors for each electric utility in FY2013 announced by the Act on Promotion of Global Warming Countermeasures / FY2018: Adjusted emission factors for electric utilities for the most recent year announced by Act on Promotion of Global Warming Countermeasures
    - Electricity overseas: Fiscal 2012 emission factors announced by the IEA in fiscal 2014
    - Fuel inside and outside Japan: Emission factors for the latest fiscal year published by the Ministry of the Environment
  • For CO2 emissions overseas, we have established a uniform reduction target for the entire Group based on the basic unit per net sales

Total GHG Emissions and Energy Usage

Total GHG emissions in fiscal 2018 amounted to 437,000 tons, all of which were CO2. Emissions in Japan totaled 159,000 tons, while emissions outside of Japan totaled 278,000 tons.
Electricity accounted for 92% of energy used, with fuel accounting for 8%.

Calculating Emissions in the Supply Chain (Scope 1, 2 and 3)

Following the establishment of Scope 3 criteria in 2011, the GHG Protocol* requires companies disclose information on CO2 emissions not only for our own business activities but also for the entire supply chain. Fujikura continued to perform a simple calculation for all Scope 3 categories of the GHG Protocol in fiscal 2018.

  • **The Greenhouse Gas Protocol: A set of calculation standards for greenhouse gases created mainly by the World Business Council for Sustainable Development (WBCSD) and the World Resources Institute (WRI).

Scope 1, 2, and 3 Calculation Results for Fujikura

Accounting results of Scope1, 2, 3(Fujikura Ltd.)

Activity Results for FY 2018

Fujikura saw its CO2 emissions increase 1.0% compared to the base year of fiscal 2013 because total emissions amounted to 110,000 tons due to increased capacity of fiber optic manufacturing facilities at the Sakura Works and reorganization of our power cable business. However, we actively invested in energy conservation, including improvements to manufacturing facilities, improvements and upgrades to air conditioning for offices and clean rooms, replacement of factory utilities with energy efficient types, and the replacement of mercury bulbs with LED at factories.

In addition, our headquarters and R&D center switched electricity to hydroelectric power, reducing CO2 emissions by around 3,300 tons annually or 3.0% of total emissions. The headquarters building now produces net zero CO2 emissions associated with energy usage.

The number of sites in Japan decreased following a restructuring of the Group’s operations, resulting in CO2 emissions totaling 67,000 tons, which is 3.0% above the base year of fiscal 2013. However, we continue to promote energy conservation through improvements to manufacturing facilities, the shift to energy efficient air compressors, upgrading of air conditioning, and switching factory lighting to LED.

As a result of these initiatives, the four Group companies were named Excellent Energy-Saving Companies (S class) by the Agency for Natural Resources and Energy per the Class Ranking Based on Energy-Saving in Factories and Workplaces Law Bulletin (FY 2017 edition).

The Group’s CO2 emissions outside of Japan increased to 278,000 tons, but the CO2 emissions intensity was reduced 7.2% compared to last year thanks to improvements in productivity and other areas.

Trends in CO2 Emissions and Basic Unit per Net Sales for Japan and Overseas

Change in Domestic and International CO2 Emissions and Sales Performance

Activities in Transportation and Logistics

Our target was to lower energy intensity associated with logistics activities by 1% compared to the previous fiscal year (41.2 KL/kilotons). The actual figure was 41.6 KL/kilotons, beating the target. We improved load factor through such efforts as eliminating pallets used to carry rough drawing wire.

In addition, we continue to promote the efficient use of resources and are moving ahead with the reuse of packaging material and wooden drums. Moreover, we are now actively using the two-level loading jig developed to increase load factor (official name: power cable drum pallet).

Reuse of Packaging Material and Wooden Drums

Wooden Drum Image1

Electric Wire Drum Palette

Wooden Drum Image2

Energy Conservation Initiatives

Promotion of Ministry of the Environment Campaigns

As a group of companies that is mindful of the environment, the Fujikura Group participates in the COOL CHOICE campaign for preventing global warming ahead of 2030 being implemented by Japan’s Ministry of the Environment. We are implementing active initiatives under this campaign. In addition, we also participate in the energy conservation and Cool Biz campaigns in the summer and Warm Biz campaign in the winter.

Promoting to the Switch to LED Lighting

The Fujikura Group is promoting the use of LED lighting. We have been working to changeover lighting at each of works in Sakura, Suzuka, and Numazu from mercury to LED bulbs by taking advantage of government subsidies. Looking ahead, we will continue to changeover from mercury to LED lighting systematically ahead of the 2020 regulations following the conclusion of the Minamata Treaty on Mercury. At the same time, we will transition to LED bulbs mainly in ceiling lighting to save electricity and lower CO2 emissions.

Energy Conservation Initiatives at Business Sites

The Sakura Works improved the energy efficiency of air conditioning used for the clean room manufacturing fiber optics, which operates day and night throughout the year. Conventionally, water-cooling package air conditioners were subjected to different burdens and changing coolant temperatures based on the operating status of manufacturing facilities and the outside air temperature. Now temperature sensors have been installed in the coolant recycling system to monitor the temperature of coolant and we developed a technology for controlling the circulation pump to keep the coolant at a constant temperature.

Energy Conservation Initiatives at Group Companies

At a manufacturing site in the Kingdom of Thailand, we have contracted to purchase electricity generated by mega-solars floating in a reservoir adjacent to the factory, and are aiming to start operation in FY2019. At each site, LED lighting is being replaced, air conditioners and factory air compressors are being replaced with energy-saving types, and large drive motors in production facilities are being replaced with energy-saving types.