Furukawa Electric Group has formulated the Furukawa Electric Group Environmental Vision 2050, which looks ahead to the year 2050, and has been working to reduce greenhouse gases throughout the value chain as a contribution to a carbon-free society. In particular, we have been working to reduce greenhouse gas emissions (Scope 1 and 2) in our business activities, use renewable energy, save energy at our plants, and reduce CO₂ emissions in our logistics. We also take appropriate preventive measures against physical risks such as heavy rainfall. In order to accelerate our efforts to reduce greenhouse gas emissions toward carbon neutrality, which is the goal of our Environmental Vision 2050, we raised the 2030 greenhouse gas emissions reduction target to SBT1.5℃ in November 2022, and obtained SBT1.5℃ certification in July 2023. We will continue our efforts to further reduce greenhouse gas emissions.
The Group sets annual targets and addresses reducing greenhouse gas emissions, increasing the ratio of renewable energy, and reducing unit energy consumption.
The greenhouse gas emissions of Furukawa Electric Group are mainly energy originated CO₂ emissions and the sulfur hexafluoride (SF₆) emissions.
The CO₂ emissions of the group companies in Japan in FY2023 totaled 158,000 tons-CO₂e, which was 55.2% decrease from FY2017. CO₂ emissions of the overseas group companies totaled 293,000 tons-CO₂e in FY2023, which was a decrease of 36.3% from FY2017. Total greenhouse gas emissions in FY2022 were 493,000 tons-CO₂e, which was a decrease of 45.4% from FY2017.
*1 For the overseas CO₂ emission factor, purchased electricity uses emission factors published by the authorities in each country or International Energy Agency (IEA) data, and the other energy uses domestic CO₂ emission factors.
*2 Emissions of greenhouse gases other than CO₂ are converted to CO₂ equivalent emissions using Global Warming Potential (GWP).
* In Scope 3, categories 1-8 are upstream, and categories 9-15 are downstream. Up to FY2018, downstream of Scope 3 is not calculated. The downstream of Scope 3 has been calculated and the latest emission factors have been used since FY2019.
TOPICS "Copper alloy products/superconducting products manufactured with renewable energy"
Furukawa Electric Group's energy usage rate was about 20% for fuel and about 80% for electricity. In particular, we achieved energy saving in the manufacturing process with high energy usage ratio. We replaced conventional equipment with more efficient production process and higher efficiency equipment. We implemented measures such as heat insulation of the high temperature section of equipment considering energy balance. We switch to the use of LED for the plant buildings’ lighting as planned. In FY2023, we worked on the efficient operation of electric facilities, including the efficient use of heat (improvement of thermal insulation of furnaces and updating of facilities), the introduction of high-efficiency equipment (updating of transformers and introducing inverters ), and the shutdown of equipment that did not operate.
The domestic group’s freight transport volume was 166 million ton-kilometers in FY2023. Furukawa Electric accounted for 104 million ton-kilometers of the total, reduced 11.8% from FY2020, and related CO₂ emissions reduced 7.3% to 12,700 tons -CO₂e. Freight energy intensity increased 4.1% from FY2020. We will continue to promote modal shifts, improve loading ratios, and promote joint distribution.
Internal carbon pricing (using a shadow price) has been calculated since FY 2019. By visualizing the amount of CO₂ emissions for each division using carbon prices, we encourage preparation to avoid climate change risks toward decarbonization. For example, a division that cannot meet its reduction target will have a negative shadow price and will incur a hypothetical loss. Conversely, a division that meets the target will have a positive shadow price and will bring hypothetical profit. Based on the quarterly evaluation and posting effects, a renewable energy introduction plan is promoted for any division that does not meet the target.
The Group takes appropriate management and preventive measures against physical risks related to climate change (heavy rain, heavy snow, etc.). Each works take measures for air-conditioning to cope with global warming. The following is initiatives Hiratsuka and Nikko Works have taken.
| Works | Target | Measures |
|---|---|---|
| Hiratsuka | heavy rain |
|
| Nikko | heavy snowfall |
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Furukawa Electric Group participates in the following initiatives to realize a carbon-free society.
Our group companies located in Japan belong to two industry associations, the Japanese Electric Wire & Cable Makers' Association and Japan Copper and Brass Association. In the Carbon Neutral Action Plan of each association, we set targets for each association and work to ensure that our policies and strategies are consistent with those of the associations as a group.In the worst case scenario, the association's policies are significantly weaker or inconsistent with the Group's strategy, we will encourage the associations to align their policies with those of the Group. If such alignment is difficult, we will take appropriate action considering withdrawal from the associations.
In order to accelerate our efforts to reduce greenhouse gas emissions to achieve the Environmental Vision 2050, we have revised the Environmental Target 2030. This content is also in line with Global Warming Countermeasure Plan, a comprehensive plan for the implementation of Japan’s emissions reduction goal for the year 2030, presented by the Japanese government in October 2021.
The Group has been responding to CDP's questionnaire on climate change, which represents institutional investors, since FY2008. In order to support customers making use of CDP supply chain programs, we participated in explanatory meetings and attended seminars. We will continue to expand the scope of environmental data we disclose and enhance our reliability.
The Group has received the following external evaluations and certifications.