Corporate Social Responsibility (CSR) / Environmental and Social Report 2014

Companywide Environmental Targets

In fiscal year 2012, we established new medium- to long-term targets and identified the prevention of global warming as our single most important basic theme. We will also continue taking decisive steps to address our other basic themes.

Environmental Targets and Progress as of Fiscal Year 2014

  • Very goodAchieved
  • GoodEssentially achieved
  • More effort neededMore work needed

Theme

Challenge

Target

Base fiscal year Progress as of fiscal year 2014

Assessment

Relevant companies/
departments/
sites
Prevention of global warming Reduce energy consumption at gas production facilities 20% reduction in power consumption per unit Fiscal year 1991 Down 26.1% Very good Gas production facilities belonging to and gas production companies managed by Taiyo Nippon Sanso
Reduce energy consumption at offices Reduction in absolute power consumption
(Average annual reduction in excess of 1% over the medium to long term)
Down 1.6%
(Average annual reduction from fiscal year 2010 through fiscal year 2014)
Very good All Taiyo Nippon Sanso sites (excluding production facilities)
Improve transport efficiency of tanker trucks Reduction in energy consumption per unit (volume of products transported) Fiscal year 1991 Down 31.4% Very good Group and subcontracted logistics companies

Environmental contribution-oriented development themes

Pursue environmental contribution-oriented development themes Targets set for individual development themes All targets for individual development themes attained Very good Relevant departments
Greater sales of environment-friendly products Bolster efforts to sell environment-friendly products Targets set for individual products

Most targets for individual products attained

Very good Relevant departments

Overall Environmental Impact

We quantify the overall impact imposed by our operating activities on the environment and implement various initiatives aimed at contributing to environmental preservation.

Balance of Materials Input/Output in Fiscal Year 2014 (Taiyo Nippon Sanso Group)

Balance of Materials Input/Output in Fiscal Year 2013 (Taiyo Nippon Sanso Group)
Notes:
1.   Scope of data gathered: Taiyo Nippon Sanso Corporation, Taiyo Nippon Sanso Group logistics companies, principal subcontracted logistics companies and other subcontracted companies
2.   Emissions of CO2 are calculated in line with laws aimed at helping to prevent global warming. Emissions due to the use of electrical power are after adjustment by relevant electric power utilities to reflect the impact of CO2 emissions credits.

Intellectual Property Activities

Hydro Shuttle® Package-Type Hydrogen Refueling Station

The Hydro Shuttle® package-type hydrogen refueling station integrates the four major components of a hydrogen refueling station—dispenser, pre-cooler, hydrogen compressor and storage—into a single unit. These compact (7 m × 2 m × 2.6 m) units can be used not only as permanent stations, but also as truck-mounted mobile stations. The package format significantly reduces cost of installation, while the simplification of components means the cost of fabrication is only half that of conventional permanent stations.

Because it can be used as a mobile station, a single Hydro Shuttle® offers promise for multiple applications, including on-site stations equipped with hydrogen production facilities, offsite stations that supply hydrogen produced at facilities elsewhere and travelling stations that transport hydrogen from one location to another.

VOC recovery system

Ultralarge-Scale Air Separation Unit

Our most advanced ultralarge-scale air separation unit delivers outstanding energy efficiency, consuming 15% less energy per unit of production than its predecessor. This accomplishment reflected the following key improvements:

  • An increase in the size of the unit and of the air compressor therein, which bolstered operating efficiency;
  • A reduction in air compressor power requirements achieved through the use of a low pressure-loss packed column; and
  • A reduction in air compressor power requirements attributable to the use of a downflow condenser reboiler.
Ultralarge-scale air separation unit

Low-Cost Biogas Refining Unit

Our biogas refining units, which employ ordinary-pressure regenerative pressure swing adsorption (PSA), are capable of increasing the purity of methane gas to 98% or higher. We recently developed a low-cost compact unit suitable for the small- and medium-scale decentralized biogas plants used by dairy farmers and food processing factories. Because high-purity methane gas separated and refined from biogas is suitable for applications that conventionally depend on city gas, it offers promise as carbon-neutral energy that can be produced locally for local consumption. In Japan, tests are currently under way to determine the feasibility of supplying methane produced from biogas and city gas using the same distribution networks, underscoring the potential of biogas-derived methane to contribute to environmental preservation.

 

Exterior of Innova-Jet oxygen-enriched combustion system

Environmental Accounting

We commenced the full-scale application of environmental accounting in fiscal year 2002. In fiscal year 2003, we began measuring investments in and costs for environmental initiatives with the aim of ensuring the efficiency thereof. Our environmental accounting system is based on Environmental Accounting Guidelines 2005, published by Japan’s Ministry of the Environment.

Scope of Environmental Accounting

Periods covered:
Fiscal year 2013 (April 1, 2012–March 31, 2013)
Fiscal year 2014 (April 1, 2013–March 31, 2014)


Scope of calculations:

All Taiyo Nippon Sanso sites in Japan, four domestic affiliates (Japan Fine Products Co., Ltd.; Taiyo Nippon Sanso Engineering Corporation; Nissan Transport Corporation and Thermos K.K.) and gas production companies whose operations are managed by Taiyo Nippon Sanso.


Calculation of economic benefits of environmental conservation initiatives:

  • “Profit” is profit from the sale of recycled waste from business activities with monetary value.
  • “Reduction in expenses” is calculated by comparing the reduction in payments for electric power achieved through energy-saving initiatives, adjusted for production volume as an indicator of business activities, with that of the previous fiscal year.

Cost of Environmental Conservation

Millions of yen

Category Principal initiatives Fiscal year 2013 Fiscal year 2014
Investment Expenses Investment Expenses

Pollution prevention costs

Installation and maintenance of abatement systems; replacement and maintenance of purification tanks ¥  122 ¥151 ¥  71 ¥133
Global environmental protection costs Introduction of energy-efficient air separation unit, others 2,702 142 2,443 194
Resource recycling costs Waste disposal/recycling; recovery/disposal of used absorbent agents from customers 0 78 0 67
Upstream/downstream costs Green procurement 0 29 0 27
Administration costs Expenses involved in environmental management system administration 0 117 0 114
R&D costs R&D for environment-friendly products, others 29 266 35 354
Community activity costs Environmental protection; clean-up/beautification; landscape and other improvements 0 5 0 9

Environmental remediation costs

 

0 0 0 0

Total

¥2,853 ¥788 ¥2,549 ¥898

Economic Benefits of Environmental Conservation

Millions of yen

Benefits Fiscal year 2013 Fiscal year 2014

Profit

Profit attributable to the recycling of waste from principal business activities ¥15 ¥12

Reduction in expenses

Reduction in energy expenses achieved through energy conservation initiatives

57 12

Total

¥72 ¥24