Sustainability

By participating in the “Federation of Pharmaceutical Manufacturers' Associations of Japan: Low Carbon Society Action Plan” for the realization of a decarbonized society, the Hisamitsu Pharmaceutical Group reviewed its CO₂ emission reduction target in December 2021 and aims to reduce it by 46% compared to FY2013 by FY2030 (Scopes 1 and 2; target: all bases in Japan) and to achieve Carbon Neutrality by FY2050. In order to ensure consistency with the position of industry associations in our Climate Change Strategy, we participate in government-sponsored seminars on climate change, including those organized by the Ministry of Economy, Trade and Industry, the Ministry of the Environment, and the Ministry of Health, Labor and Welfare, as well as those organized by industry associations, to gather information and share it with our employees. Furthermore, the contents are checked to ensure that they are in line with the Company's position and approach, and for any discrepancies, the environmental management division of the Company discusses them and then coordinate them through Sustainability Promotion Committee, which is chaired by the Sustainability Promotion officer.Through this process, the Company aligns its Climate Change Strategy with activities carried out by industry associations. Our FY2022 performance was a 30.6% reduction compared to FY2013, and we will continue activities to steadily reduce our environmental impact toward the FY2030 target through further measures and efficient operations.

1．Hisamitsu Pharmaceutical Group*

The total CO₂ emissions in FY2022 were 34,452 t. For breakdown, 22,140 t for Hisamitsu Pharmaceutical on a non-consolidated basis in Japan, 1,576 t for domestic subsidiaries, and 10,736 t for overseas subsidiaries. Particularly, since the CO₂ emissions of overseas subsidiaries tend to increase as the production volume increases, accounting for 31.2% of the entire Group, we will share and promote CO₂ reduction measures with subsidiaries abroad and in Japan and verify and disclose the results, including reduction outcome.*The Hisamitsu Pharmaceutical Group consists of Hisamitsu Pharmaceutical on a non-consolidated basis, two domestic subsidiaries, and four overseas subsidiaries with manufacturing plants, excluding domestic subsidiaries and overseas and sales bases with minimal impact on the calculation of CO₂ emissions.

Generated throughout the entire process from manufacturing to consumption, including raw material procurement, manufacturing, logistics, sales, and disposal, greenhouse gases are affecting the global environment. To realize a decarbonized society, we believe that it is critical to reduce CO₂ emissions not only at our company but also throughout our entire supply chain. We began to calculate the CO₂ emissions generated throughout our supply chain, in accordance with the guidelines released by the Ministry of the Environment.

The amount of energy used was calculated in accordance with the Energy Saving Act (Act on Rational Uses of Energy, etc.) In FY2022, the overall amount (Hisamitsu Non-consolidated) decreased by 8.1% from the previous fiscal year. We believe this is due to the Kyushu HO’s efforts of setting air conditioning temperatures, managing lighting to save energy, and ensuring efficient operation of manufacturing equipment, and to the shift of the energy source at Tokyo Head Office to renewable energy. We will continue to reduce energy consumption by various measures including the continued promotion of renewable energy use.

Based on the “Act on Rational Use and Appropriate Management of Fluorocarbons” (abbreviated as “CFC Discharge Control Act”), we implement measures such as management of target equipment based on a ledger, simple inspection/periodic inspection, preparation of records, and calculation of leakage amount. At the time of equipment renewal, we are promoting the use of equipment using non-CFC and low global warming potential refrigerants. We will continue to implement measures to prevent leakage and global warming.

Although most of our products are transported by truck, we are working on a modal shift to reduce environmental impact on major routes with a high volume of transport, which will reduce the impact on the environment. In FY2022, in addition to ship transportation, we incorporated rail transportation for the first time, resulting in a reduction of CO₂ emissions of approximately 422 tons compared to truck transportation alone. We will continue to strive to further reduce CO₂ emissions by actively incorporating ship and rail transportation while working to increase our loading efficiency and leveraging a joint delivery system.

We are working to reduce the environmental impact of corporate sales vehicles. For sales vehicles, we are gradually replacing our existing vehicles with hybrid models to reduce CO₂ emissions and conserve resources. As of February 2023, 93.5% of our sales vehicles are hybrid models. We plan to replace all of our vehicles with hybrid models by 2025. Moreover, at the Kyushu Head Office, two electric vehicles have been introduced since July 2022.

Completed in February 2019, Hisamitsu Pharmaceutical Museum (within the Kyushu Head Office) has been certified as a Zero Energy Building (ZEB).* The facility’s energy-saving rate for a year from March 1, 2022 to February 28, 2023, calculated in accordance with the ZEB assessment standards, was 120%, higher than the design value of 103%. We would like to continue to administer the facility in an energy-saving manner.
*Zero Energy Building (ZEB): Highest rank in the Building Energy-Efficiency Labeling System