​EnvironmentEnvironment

Recognizing that climate change is a threat to sustainable development throughout the world,
Information disclosure in line with the recommendations of the TCFD (Task Force on Climate-related Financial Disclosures), etc.
We will actively work on climate change countermeasures.

ｇovernance

In order to appropriately manage important matters related to sustainability, we will proceed with the establishment of a sustainability organization headed by our President and Representative Director. We will then determine target indicators, develop a promotion system, formulate action plans, and monitor progress. These results will be reported to the Board of Directors, Management Committee, etc. for appropriate management and supervision.

strategy

There are several existing scenarios published by the International Energy Agency (IEA) and the Intergovernmental Panel on Climate Change (IPCC) (1.5°C scenario: a scenario in which the global average temperature is held to less than 1.5°C increase compared to pre-industrial revolution levels). , 4℃ scenario: Understand the financial and business impacts of a scenario in which the average global temperature rises by around 4℃ compared to before the industrial revolution, and evaluate the resilience of organizations and strategies to climate change risks and opportunities. We are conducting scenario analysis for this purpose.

• 1.5℃ scenario

  We recognize that the introduction of new policies and technologies, fluctuations in market prices, and sharp rises in raw material prices will have an impact over the short to medium term, creating financial risks through increased procurement costs and a decline in customers' purchasing power. At the same time, we recognize that some of our suppliers and customers are introducing new technologies and energy that adapt to climate change, which will have a positive impact on our finances through improved opportunities.

• 4℃ scenario
  We are aware that the effects of natural disasters and rising temperatures will be felt over the medium to long term, and that there will be medium to long term risks in both procurement and sales.

Risk management

Based on the analysis results of the 1.5°C and 4°C scenarios, we will proceed with the establishment of a sustainability organization and conduct detailed studies regarding risks and opportunities related to climate change. We will also report to the Board of Directors regarding risks and opportunities related to climate change that are important to our group.

Indicators and targets

GHG emissions and related risks by scope

GHG emissions by scope are calculated based on the GHG Protocol. For the fiscal year ending March 2022, we have calculated all items of scope 1, 2, and 3 for three major companies (TANABE CONSULTING GROUP CO.,LTD., Ltd., Leading Solutions Co.,Ltd., Growin' Partners Inc.). GHG emissions results are as follows. Regarding the calculation results for each scope, the proportion of Scope 3 is extremely high. Furthermore, among Scope 3 emissions, category 1 (purchased products and services), category 4 (transportation), and category 6 (business travel) have particularly large emissions, accounting for 88%, 3%, and 5% of Scope 3, respectively. Masu. Category 1 accounts for the majority of our group's emissions, and if a carbon tax or GHG cap-and-trade system is introduced in the future, it would pose a major financial risk to the organization. In addition, given that Category 1 is related to raw material procurement and is directly linked to procurement costs, there is a possibility that stricter GHG emission regulations will be linked to price fluctuations in the market and materialize as a financial risk for the Group. We are aware that there is.

Goals and performance in managing climate-related risks and opportunities

Our group is working to manage climate-related risks and opportunities with the aim of reducing climate-related risks and maximizing opportunities, using indicators and GHG emissions targets that have been clarified through scenario analysis. . Regarding our GHG emissions, we aim to reduce Scope 1 and 2 GHG emissions by 100% by 2030 from the base year of 2021, with consideration given to the 1.5℃ level. In order to achieve this goal, we will reduce Scope 2 by further reducing paper and multifunction devices by converting buildings to LED lights and investing in smart DX. In addition, we will reduce Scope 2 emissions by increasing the proportion of electricity derived from renewable energy in the electricity used within our offices. Based on this, we will consider offsetting emissions that cannot be reduced by purchasing non-fossil certificates and credits derived from renewable energy. Regarding Scope 3, we will continue to reduce emissions through efforts such as encouraging our suppliers and aim to achieve carbon neutrality. In doing so, since the GHG calculation method using emissions intensity automatically increases GHG emissions as the business scale expands, we will use the concept of carbon intensity as a reference to determine the trend of GHG emissions as a percentage of sales. We will also strive to improve our calculation methods, such as by conducting objective analysis.