Realizing a Low-Carbon Society

Approach

Social Background

Recent times have seen the emergence of global scale problems, including global population growth and an increase in average temperatures around the world. In 2015, the United Nations Sustainable Development Goals (SDGs) and the COP21 Paris Agreement were adopted as stepping stones in solving these problems.

Companies exist in a social context, so it is vital that they face these issues resolutely and take specific steps to help solve them, not only for the present but also to ensure a sustainable life for future generations.

This is why Casio has made “realizing a low-carbon society” one of its material issues and will continue to work to achieve this goal.

Image:Related SDGs

Risks and Opportunities for the Casio Group

As a result of the March 2011 Great East Japan Earthquake and the ensuing accident at the Fukushima nuclear power station, virtually all nuclear power stations across Japan have suspended operations. Japan is faced with such risks as rising electricity tariffs and power shortages in summer and winter. Moreover, the greenhouse gas emission coefficient for electricity has risen as a result of the decline in the utilization of nuclear power generation, resulting in an increase in real CO2 emissions, which is a challenge when it comes to realizing a low-carbon society. This translates into greater risk of incurring emissions trading costs under the Ordinance on Environmental Preservation to Secure the Health and Safety of the Tokyo Metropolitan Area (Environmental Preservation Ordinance). Also in 2011, there was major flooding in Thailand, which may be partially attributable to global warming and upstream deforestation. Consequently, global risks have become apparent including threats to the value chain for production and parts.

In order to avoid these risks, Casio plans to expand the introduction of renewable energy, and secure alternatives in the value chain.

On the other hand, the greenhouse gas reduction effect at time of product usage offered by Casio products which promote paperless lifestyles, such as data projectors and electronic dictionaries, has been identified as a significant opportunity to address climate change over the product life cycle. Casio will work to further expand its business in these products.

In order to minimize the various risks mentioned above, and expand opportunities, Casio must contribute to the sustainability of the planet and its human societies. Casio recognizes that this is an extremely important issue for further strengthening its business foundation, and will make even more strenuous efforts in the fight against climate change.

Policy

Casio has set medium and long-term targets for achievement by 2030 and 2050. Casio will put the highest priority on realizing a low-carbon society.

The Casio Group will provide products and services that make an even greater contribution to the reduction and absorption of CO2 emissions. In addition to expanding products and services that use energy sources that are friendly to people and the planet, including solar, wind, and hydro power, Casio will incorporate these renewable energy sources into its own business operations.

Moreover, the committee working on the material issue of realizing a low carbon society will implement an energy conservation diagnosis at the company’s main business sites to identify the potential for CO2 reductions and formulate a roadmap aimed at carbon reduction as well as share the roadmap with every relevant department to promote all possible measures.

Management Approach

Environmental Action Plans and Performance

Evaluation ◎: All targets met, ○ : Most targets met, △ : Remaining issues outweigh results, × : No progress made

Medium and long-term targets

FY2018 Target

FY2018 Performance

Evaluation

FY2019 Targets and KPI

Long-term target: Reduce the FY2051 CO2 emissions (Scope1 and 2) for the entire Casio Group by 80% compared with FY2014 Reduce the FY2018 CO2 emissions (Scope 1 and 2) for the entire Casio Group by 8.25% compared with FY2014 Achieved a 6.0% reduction

Reduce the FY2019 CO2 emissions (Scope 1 and 2) for the entire Casio Group by 7.95% compared with FY2014
Medium-term target: Reduce the FY2031 CO2 emissions (Scope1 and 2) for the entire Casio Group by 26% compared with FY2014

Activity Results

In fiscal 2018, Casio reconsidered its medium- and long-term reduction targets for Scope 1 and 2 greenhouse gas emissions.

In conjunction with this, the company brought the following sites that were not included in the scope of calculations at the time of base year into line with the GHG Protocol and added each of their past GHG emissions to each fiscal year since the base year.

  • Casio Electronics (Shaoguan) (a production site purchased from another company in fiscal 2017)
  • Small-scale sales office in Japan (not included in scope of calculations up to fiscal 2017, but included in scope from fiscal 2018)

The targets established at the beginning of fiscal 2018 were not achieved, which is partly attributable to the recalculation of base-year greenhouse gas emissions. Compared with the medium-term reduction targets for each fiscal year based on the recalculated base-year emissions, the fiscal 2018 results were close to the medium-term reduction targets. Going forward, Casio will continue to formulate and implement reduction scenarios aimed at achieving the 2030 targets while examining cost effectiveness based on more objective analysis of reduction potential and making the appropriate investment decisions.

Changes in greehouse gas emissions (Scope 1 and Scope 2)

Graph:Changes in greehouse gas emissions (Scope 1 and Scope 2)

(t-CO2

FY

2014
(Base year)

2015

2016

2017

2018

2019

2020

2021

2026

2031

CO2 emissions 38,944 38,224 38,568 37,563 36,597 - - - - -
medium-term target CO2
emissions
- 38,261 37,589 36,929 36,509 35,847 35,197 34,403 31,487 28,819
Reduction rate - 1.76% 3.48% 5.17% 6.25% 7.95% 9.62% 11.66% 19.15% 26.00%

CO2 Emissions throughout the Entire Value Chain

Life Cycle Assessment

In the past, Casio implemented unscheduled life cycle assessment (LCA) for products, but there was no systematic framework for conducting LCA for newly developed products.

In fiscal 2018, Casio brought together members of development departments, distribution departments, IT departments and others for each product to establish an in-house LCA Working Group and commenced studies in order to implement constant product LCA. In the initial fiscal year, the CO2 impact of the component and material stage in representative models for each item were calculated using the intensity in IDEA version.2.

  • Watches: 2.86kg-CO2
  • Musical instruments: 20.3kg-CO2
  • Projectors: 12kg-CO2
  • Digital cameras: 13.4kg-CO2
  • Electronic dictionaries: 11.1kg-CO2

Going forward, Casio will identify issues and formulate a roadmap for the constant implementation of LCAs with the aim of building a system that can perform LCAs for 100% of new models by fiscal 2026.