Environment

Initiatives Based on the TNFD Recommendations

Furukawa Electric Group has declared its endorsement of the Task Force on Nature-related Financial Disclosures (TNFD), and joined the TNFD Forum, which supports this activity in November 2023. We will continue to prepare for nature-related disclosures in line with the TNFD recommendations, and will work to strengthen our relationships of trust with all of our stakeholders.

TNFD ロゴ

Basic Concept

In our Environmental Vision 2050, we have set out to minimize the impact on the ecosystem through value chain management, including raw materials, as a contribution to society in harmony with nature. Recognizing the impacts of our business activities on biodiversity, we started initiatives not only on climate change but also on biodiversity. The characteristics of biological resources and water vary depending on the region. Therefore, we conducted a trial in reference to the LEAP (Locate, Evaluate, Assess, Prepare) approach, etc., as shown in the TNFD Framework.

Evaluation in line with the TNFD

The “LEAP Approach” is an integrated approach to evaluate and manage nature-related issues developed by TNFD. There are four phases of evaluation as mentioned below. We used the recommended TNFD tools for the evaluation.

  • Locate your interface with nature
    We confirmed the location information for major manufacturing bases in Japan and overseas, and conducted an evaluation based on the five criteria set by TNFD: importance of conservation, integrity of the ecosystem, rapid deterioration of ecosystem integrity, water stress, and magnitude of dependence. In addition, we conducted an evaluation of supply chains based on publicly available country, region and location information. As a result, we identified two priority regions (one district in Japan and a region upstream in the supply chain where raw materials are mined).
  • Evaluate your dependencies and impacts on nature
    We used the recommended tool to conduct a trial assessment of the dependence and impact on nature. As a result, we found that the land use and water use in the upstream part of the supply chain had a very large impact. However, the assessment using the tool is only a tentative assessment based on information from relevant academic papers and research results in the field in which our Group's business belongs to, and it does not necessarily reflect the actual situation of our Group. Evaluating biodiversity also requires a comprehensive approach that includes assessing risks specific to the region. We will continue to strengthen data collection and analysis, deepen our collaboration with diverse stakeholders, and continue to promote evaluation.
  • Assess your nature-related risks and opportunities
    We conducted a simple evaluation of risks and opportunities related to nature. The risks include the strengthening of environmental regulations related to key raw materials and the resulting increase in costs, while the opportunities include the creation and expansion of environmentally friendly businesses and products. Going forward, we will add analysis of production areas unique to each region and promote initiatives to avoid and mitigate nature-related risks.
  • Prepare to respond to, and report on, material nature-related issues
    Based on our Environmental Vision 2050 and Environmental Targets 2030, Furukawa Electric Group is working to contribute to a decarbonized society, a water and resources-recycling oriented society, and a society in harmony with nature. We also believe that it is important to work on CSR (corporate social responsibility) throughout the entire supply chain, including our suppliers, in order to achieve sustainable business development. We will work with our partners* to promote CSR.

* We refer to our supplier as “partners” who collaborate with us to create value.

Next Steps of Our Initiatives

At present, our assessment of nature-related risks is limited to a simple examination. Since the characteristics of each region differ, we will consider examining the actual conditions of each region and scenario analysis in the future. We will also proceed with the investigation of the impact of our business activities on the natural environment. Alongside these detailed investigations, we will work to enhance the content of our disclosures of the 14 items based on the TNFD recommendations.

DFF Inc., サステナビリティ推進室, ものづくり改革本部 安全推進室, ものづくり改革本部 資材部, ものづくり改革本部 品質管理推進室, FTR, 組織開発課, 健康推進センター, 環境部, リスク管理部, 人材・組織開発部　労政課, 人材・組織開発部　システム企画課, 戦略人事部　人事２課, 戦略人事部　人事1課, 人材・組織開発部　人材教育課, 広報部