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Copyright(C) 2023 NIPPON KANZAI Holdings Co.,Ltd.

Environmental Activities

Policy and Approach

  • The NIPPON KANZAI Group has established the following environmental policy to promote environmental consideration.
  • The NIPPON KANZAI Group recognizes environmental issues such as climate change as key issues. Based on this recognition, we will promote the reduction of environmental burdens in our business activities by curbing GHG emissions and energy consumption among other measures, and contribute to maintaining the global environment through efforts such as mitigating climate change and preventing pollution.

NIPPON KANZAI Group Environmental Policy

  • The NIPPON KANZAI Group takes the environment into account and contributes to creating a safe, secure and comfortable environment in all our business activities and services to our clients.
  • We set objectives and targets for our environmental activities, check our performance and make continual improvements.
  • We are committed to reducing waste and the depletion of resources by reducing, reusing, and recycling.
  • We strive to save resources, energy, and money while providing these services to our clients.
  • We are committed to raising employee awareness of environmental protection through environmental education and awareness raising activities, including among our related partners.
  • In addition to complying with environmental laws and regulations, we are committed to improving our management of the environment by establishing our own controls and regulations.
  • We review our operations as necessary and make continual progress to improve our environmental performance.

Commitment

The NIPPON KANZAI Group actively and continuously conducts environmental conservation and energy management activities. Several Group companies have acquired ISO 14001 (Environmental Management System) and ISO 50001 (Energy Management System) certifications, and are committed to operating, reviewing, and continuously improving systems based on international standards.

NIPPON KANZAI ISO14001 Registered office: Headquarters
Related offices: Osaka Office, Mitsubishi UFJ Trust and Banking Esaka Building/Office, Certification Management Office
ISO50001 Registered office: Headquarters
Related offices: NIPPON KANZAI Holdings Co., Ltd.
NIPPON KANZAI ENVIRONMENT SERVICE ISO14001 Registered office: NIPPON KANZAI ENVIRONMENT SERVICE
Related offices: Tokyo Branch, Osaka Branch, Kyushu Branch

ISO 14001 acquisition rate at offices:
9.8% (Offices that have acquired certification / Offices of companies that have acquired certification x 100)

Examples of Initiatives

  • We have introduced a centralized purchasing system at the 10 major companies of the NIPPON KANZAI Group, and we encourage the purchase of green products by displaying “green products (environmentally conscious products)” and “standard in-house products.”
  • We have obtained certification as an “Eco-Tuning Operator” from the Eco-Tuning Promotion Center of the Japan Building Maintenance Association. We are working to optimize the operation of facilities, equipment, and systems while ensuring the comfort and productivity of buildings. Furthermore, the “Policy for Initiatives on Reducing Greenhouse Gases to Realize a Decarbonized Society” issued by the Japan Building Maintenance Association, an industry group to which NIPPON KANZAI belongs, is aligned with the NIPPON KANZAI Group’s policy on climate change. Should the policies of our affiliated industry groups prove significantly weaker or contradictory to our own corporate policies, we will appropriately voice our opinions. (NIPPON KANZAI)
  • The day after fireworks festivals, we collect trash from security areas, clean inside and outside the venue, and sort waste. We also strive to beautify the environment in consideration of local residents, maintaining living conditions similar to those before the event. (NIPPON KANZAI)
  • As part of the “Collaborative Forest Restoration Project” promoted by Kochi Prefecture and Shimanto City, we are participating in initiatives aiming for forest regeneration and community engagement. Recently, we have conducted thinning experiences, office tours, and carbon neutrality workshops. (NIPPON KANZAI ENVIRONMENT SERVICE)

Collaborative Forest Restoration Project

NIPPON KANZAI Holdings central purchasing system | Multiple suppliers

Designation of environmentally conscious products through the centralized purchasing system

Climate Change

Approach

  • Global warming and climate change, influenced by factors such as greenhouse gas emissions from human activities, have become major global problems. The Paris Agreement establishes shared long-term goals and actions for addressing climate change worldwide, while the Sustainable Development Goals (SDGs) include “13. Take urgent action to combat climate change and its impacts” as one of its 17 global goals.
  • We recognize that rising temperatures, extreme weather events, and rising sea levels are issues that have serious impacts on the environment and society. In addition, we support various policies such as the Act on Promotion of Global Warming Countermeasures and the Act on Rationalizing Energy Use. Furthermore, we view changes in business activities due to climate change as growth opportunities and reflect this in our company policies and initiatives.
  • Each employee is working to reduce greenhouse gas emissions and lessen environmental impact, and we will build an environmentally friendly society for local residents through our business activities.

Identification of Risks and Opportunities

  • Based on the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), we identify risks and opportunities arising from climate change and evaluate their potential impact on our finances.
Risks and opportunities arising from climate change Specific impact and opportunities on the business activities of our Group Impact evaluation
1.5〜2°C 4°C
Transition risks Government policy and legal regulations Procurement and increased costs due to decarbonization tax implementation
  • Procurement and increased costs for commercial equipment with lower carbon taxes
Small Medium
Market Increased operating costs due to soaring energy prices
  • Increased costs due to rising air conditioning electricity demand resulting from rising temperatures in owned real estate, and increased costs associated with installing energy-saving equipment
Small Medium
Reputation Decreased competitiveness due to diminished reputation among clients
  • Decreased competitiveness in bidding and competitions due to lack of climate change measures, and reduced revenue and revenue opportunities due to increased risk of not being selected by clients
  • Risk of contract termination due to diminished evaluation and image among existing clients
Large Large
Decreased competitiveness due to diminished reputation among investors
  • Risk of exclusion from investment targets and stagnant or declining stock prices due to lack of climate change measures
  • Lowered corporate image due to lower external evaluations, leading to hindered sales activities
Large Large
Physical risks Acute Increased health and safety risks for employees and reduced productivity due to increasingly severe disasters and rising average temperatures
  • Decreased employee productivity due to injuries, illnesses, accidents, and deteriorating work environments during severe disasters such as wind and water damage
Medium Large
Chronic Increased water risks due to rising sea levels, droughts, and changing weather patterns
  • Damage to management facilities and operational shutdowns caused by water risks like typhoons and floods
Medium Large
Opportunities Products and services Increased demand for environmental certifications, low-carbon buildings and real estate, and renewable energy/energy-saving technologies and products
  • Increased revenue opportunities due to rising demand from clients
  • Increased opportunities to develop new markets driven by growing demand
Medium Large
Increased demand for disaster-resilient buildings and real estate
  • Increased demand for disaster prevention and mitigation in building management
  • Increased need for restoration and repairs during and after disasters
Medium Large

Greenhouse Gas (GHG) Emissions Reduction Plan

  • We are actively working to reduce greenhouse gas emissions and have set the following targets.
GHG emissions reduction targets
Short-term targets Quantitative target Reduce GHG emissions (Scope 1, 2) by 20% by FY2030 (compared to FY2021)
Key measures
  • Replace gasoline-powered company vehicles, which account for a large portion of energy consumption, with fuel-efficient vehicles such as EVs and hybrids
  • Reduce electricity consumption through efficiency improvements, including cubicle upgrades at the Nishinomiya Headquarters Building
Long-term targets Quantitative target Net-zero CO2 emissions (Scope 1 and 2 GHG emissions) by 2050
Key measures
  • Replace gasoline-powered company vehicles, which account for a large portion of energy consumption, with fuel-efficient vehicles such as EVs and hybrids
  • Reduce electricity consumption through efficiency improvements, including cubicle upgrades at the Nishinomiya Headquarters Building

Examples of Initiatives

  • The following are examples of our current initiatives. We will continue analyzing each item and considering countermeasures to increase revenue by mitigating risks and creating opportunities.
Initiatives for transition risks
  • Conversion of owned real estate to LED lighting and renewable energy, installation of rapid EV chargers
  • Replacement of company vehicles with fuel-efficient vehicles such as EVs and hybrids
Initiatives for physical risks
  • Reduction of electricity consumption in owned and managed properties
  • Creation of BCP manuals
  • Regular drills
Initiatives for opportunities
  • Proposed installation of solar carports in parking spaces, primarily at large facilities such as factories and hospitals under management
  • Proposed installation of storage batteries for disaster preparedness

Pollution and Resources

Approach

  • Based on the NIPPON KANZAI Group Environmental Policy, we comply with environmental laws and regulations and are committed to improving our management of the environment by establishing our own controls and regulations.
  • We are committed to reducing waste and the depletion of resources by reducing, reusing, and recycling, as well as saving resources, energy and money, while providing these services to clients of our building management business.
  • We will properly handle waste, water, and other byproducts of our business activities, and strive to reduce waste and prevent pollution.
  • We are committed to raising awareness of environmental protection through environmental education and awareness raising activities, including among our employees and related partners.

Examples of Initiatives: NIPPON KANZAI Holdings/NIPPON KANZAI Headquarters Building

  • We have acquired CASBEE real estate certification for our headquarters building, giving consideration to reducing greenhouse gases and minimizing environmental impact.
  • In addition to the key initiatives listed in the table below, we engage in daily environmental activities such as sorting, collecting, and recycling waste paper, and conserving water through the use of automatic faucets.
Year Key initiative
(1996) (Construction completed)
2011 Converted base lighting to LED and conducted performance evaluation and verification of LED lighting
2011 Implemented large-scale renovation of air conditioning system from central heating source to individual air conditioning unit
2013 Acquired CASBEE real estate certification
2016 Acquired ISO 50001 certification
2017 Conducted demonstration experiment of energy management system in collaboration with comprehensive electrical equipment manufacturer Achieved 2.7% reduction in energy consumption
2021 Introduced an energy management system with centralized air conditioning control
2022 Converted electricity supply to renewable energy sources
2024 Installed EV chargers and transitioned company vehicles to EVs

LED lighting at headquarters building

Headquarters building

EV company vehicle

Water Usage

Approach

  • The NIPPON KANZAI Group recognizes water resource conservation—which is fundamental social infrastructure—as a critical environmental problem, and we are implementing initiatives such as reducing water consumption, introducing water-saving equipment, and preventing water pollution.
  • At NIPPON KANZAI ENVIRONMENT SERVICE, we maintain, manage, and operate water and sewage facilities, working to ensure residents can use water with peace of mind.

Examples of Initiatives

  • At owned properties such as our headquarters building, we are implementing initiatives such as reducing water consumption, installing automatic faucets, and providing water-saving toilets.
  • We are also working to reuse rainwater and conserve water in buildings managed through our building management business.
  • NIPPON KANZAI is certified as a CASBEE* evaluation and certification body, enabling us to conduct evaluations and certifications for both “CASBEE-Real Estate” and “CASBEE-Wellness Office.” CASBEE real estate evaluation operations include indicators related to water usage efficiency, and we encourage stakeholders to use water efficiently.

*CASBEE is a building environmental performance evaluation system developed in 2001 under the leadership of the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) by a committee within the Institute for Building Environment and Energy Conservation (IBEC).

*CASBEE® is a registered trademark of the Institute for Built Environment and Carbon Neutral for SDGs.

Examples of encouraged practices for efficient water usage
  • Water-saving fixtures (water-saving devices, constant-flow valves, aerator faucets, automatic faucets, self-closing faucets)
  • Adoption of water-saving toilets, limiting water usage, automatic flushing
  • Use of rainwater
  • Use of well water, etc.