Environmental Management

Environmental Management System

In April 2021, Shindengen Electric Manufacturing Co., Ltd. opened its Asaka Office. By consolidating research and development, business operations, and headquarters functions at the Asaka Office and ceasing operations at the Hanno plant, we reviewed the scope of application for our environmental management system and, in February 2022, designated the Asaka Office, including headquarters functions, as the applicable scope for Shindengen Electric Manufacturing.
As a result, the domestic environmental management system of the Shindengen Group has been structured to cover the Asaka Office and major domestic production companies, and environmental conservation activities are being promoted.
Regarding compliance with ISO14001:2015/Amd1:2024, we added supplementary information to the Shindengen Group’s domestic environmental management manual without making significant changes to the environmental management system, and underwent a renewal audit by the certification body in December 2024.
In addition, overseas within the Shindengen Group, six out of seven major production companies have individually established environmental management systems and obtained ISO14001:2015 certification.
Note: Even companies that have not obtained ISO14001:2015 certification are actively engaged in activities such as decarbonization, energy conservation, waste reduction, and recycling to reduce environmental impact.

ISO 14001 Certification

Creating a System for Environmental Vision 2050

We reorganized the Energy Conservation Subcommittee, which had been under the Environment Committee, in April 2022 to establish the Decarbonization and Energy Conservation Subcommittee as an organization to promote the Shindengen Group’s Environmental Vision 2050 and FY 2030 environmental targets.The Decarbonization and Energy Conservation Promotion Subcommittee comprises environment-related divisions, operating divisions, and Group companies, with Shindengen Electric Manufacturing Co.,Ltd.'s Corporate Planning Department and Sustainability Promotion Department as secretariat, thereby creating a structure that spans the entire organization from management to the frontline.

Environmental Education

The Shindengen Group provides environmental education combined with elements of social issues in each of its training programs, including general environmental education and new employee education, with the aim of raising environmental awareness among its employees. For new hires, we provide simple explanations of ISO 14001 and the SDGs; provide education on the relationship between our business activities and environmental laws and regulations, our internal rules to ensure compliance with environmental laws and regulations, and the importance of complying with environmental laws and regulations; and raise awareness about the interconnectedness of the environment and our operations.
Furthermore, we provide employee education on environmental laws and regulations in a systematic manner, believing that the awareness of each employee significantly affects the success of our compliance with these laws.
At Shindengen Electric Manufacturing Co., Ltd.’s Asaka Office, from March to June 2024, we conducted web-based training on ‘Environmental Labels’ for all employees. In the latter half of fiscal year 2024, we also implemented web-based training on biodiversity using the electric and electronics industry’s material ‘Let’s Study Biodiversity ver.2.’ The purpose of the biodiversity training was to help participants understand the relationship between corporate activities and biodiversity, as well as acquire basic knowledge and the latest information on biodiversity conservation.

Environmental Objectives and Targets

At the Shindengen Group, we set environmental objectives and targets based on our Environmental Policy and have implemented the following initiatives that alleviate environmental problems.

The Shindengen Group Domestic Companies: Environmental Objectives and Targets with Key Results (FY 2024)

Objective	Target	Result
Promote chemical substance management •Engage in sustainable activities to protect people and the environment through appropriate management of information about chemical substances contained in products	•Strengthen compliance with chemical substance regulations by sharing information and raising awareness on each company's prevention activities (actual on-site operations)	In the Chemical Substance Management Promotion Subcommittee, the secretariat provided an explanation of the provisions of the Poisonous and Deleterious Substances Control Act, and conducted training for handlers to ensure correct understanding of the law. The handling status of poisonous and deleterious substances was shared within the Shindengen domestic group, and improvements were made to identified issues to ensure proper management.
Promoting decarbonization and energy conservation measures •Help solve issues related to climate change and curb global warming by working to reduce total CO₂ and make energy use more efficient in consideration of the value chain for the entire business	1. Increase the Group’s consolidated crude oil equivalent energy intensity improvement rate by 3.94% compared to FY 2020 (improvement of 9.97% by end of FY 2030)	1.The crude oil equivalent unit consumption (crude oil equivalent energy per activity level) ended with a 12.70% improvement compared to the end of fiscal year 2020, and a 0.5% improvement over the previous fiscal year.
	2. Reduce the Group’s consolidated Scope 1+2 CO₂ emissions by 29.81% compared to FY 2013 (46.07% reduction by end of FY 2030)	2. Fiscal Year 2024: Domestic: 48.80% Consolidated Group: 28.31% Excluding PFC (compared to FY2013)
	3. Reduce the Group’s consolidated Scope 3 CO₂ emissions by 8.34% compared to FY 2021 (25.02% reduction by end of FY 2030)	3.The Group's consolidated Scope 3 CO₂ emissions were reduced by 24.5% compared to fiscal year 2021.
•Strengthen compliance through a proper response to environmental information disclosures	Build a framework to implement annual data reporting by institutionalizing CDP disclosure tasks and obtaining SBT certification. CDP: An international non-profit organization that provides an environmental information disclosure system. SBT (Science Based Targets): Targets set by companies to reduce their greenhouse gas emissions in line with the levels required by the Paris Agreement.	CDP Disclosure Response Task: Draft responses to the questionnaire were prepared in collaboration with each department. Implementation Framework for SBT Acquisition: Actions were taken in collaboration with the Sustainability Promotion Office. CO₂ emissions data for Scope 1, 2, and 3 for fiscal year 2023 was disclosed in October 2024.
Promote proper waste management •Consider the environment through the control and substitution of plastics in our core businesses	•Build operations to replace plastics and create a system to continually suppress plastic use	Activities were carried out with the primary objective of reducing plastic usage starting from the product design stage. Data was compiled showing that approximately 2 tons of plastic were reduced from the product design stage during fiscal years 2022, 2023, and 2024. Group companies in Japan that do not engage in design and development have independently set their own targets for reducing plastic usage and have each achieved results accordingly.

The Shindengen Group Domestic Companies: Environmental Objectives and Targets (FY 2025)

Promote chemical substance management
•Engage in sustainable activities to protect people and the environment through appropriate management of information about chemical substances contained in products

To strengthen compliance related to hazardous materials management, preventive activities (actual on-site practices) at each company are shared to raise awareness.

Promoting decarbonization and energy conservation measures
•Help solve issues related to climate change and curb global warming by working to reduce total CO2 and make energy use more efficient in consideration of the value chain for the entire business

1. Increase the Group’s consolidated crude oil equivalent energy intensity improvement rate by 4.90% compared to FY 2020 (improvement of 9.97% by end of FY 2030)

2. Reduce the Group’s consolidated Scope 1+2 CO₂ emissions by 32.52% compared to FY 2013 (46.07% reduction by end of FY 2030)

3. Reduce the Group’s consolidated Scope 3 CO₂ emissions by 11.12% compared to FY 2021 (25.02% reduction by end of FY 2030)

Promote proper waste management
•Contribute to the development of a circular society by properly sorting emissions and promoting resource recycling.

Implement six or more cases of converting waste into valuable resources across the entire domestic group.

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