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Environmental Report
Reducing the Environmental Burdens through Business Activities

Materials

IHI works continuously to lower its environmental impact by reducing the amounts of materials it uses and generates in its operations. The “material balance” in IHI operations in FY2015 is shown below.

Cutting Energy Consumption and CO2 Emissions

IHI is constantly striving to use energy more efficiently and further reduce CO2 emissions. The aim this year is to cut energy consumption per unit of consolidated sales (energy consumption per standard physical unit) by 1% compared to FY2014. To achieve this target, IHI is introducing energy-saving equipment and holding in-house lectures where outside experts teach employees about, for example, energy-control procedures for improved energy management. In FY2015, IHI’s energy consumption per standard physical unit was 10.0 (crude oil equivalent, kilo-liter/100 million yen), a 2.9% reduction from FY2014. Although energy consumption has been increasing since FY2012, energy consumption per standard physical unit has been decreasing thanks to energy-saving efforts. In FY2015, IHI’s CO2 emissions was 297,000 tons, up 0.5% from FY2014, and its CO2 emissions per standard physical unit was 19.3 (t-CO2/100 million yen), down 4.9%.

■ Energy Consumption

■ CO2 Emitted

Reducing Energy Consumption in Transportation

Transportation-related initiatives are targeted at reducing energy consumption by at least 1% annually.
For example, when aero engine parts manufactured at the Soma No. 1 and No. 2 Aero-Engine Works are sent for assembly at the Kure Aero-Engine & Turbo Machinery Works, the company now uses larger trucks, consolidates diverse products in one truck and runs trucks more regularly.
Also, a deck crane manufactured at the Aichi Works is transported by a salvage barge. In addition, roll-on/roll-off (RO-RO) ships are being used more often because vehicles can be driven directly on and off the ship for enhanced efficiency.
Through such measures, IHI is intensifying efforts to visualize the amount of energy it expends to transport products at each works. Also, the data is reported regularly to the Group-wide Environment Committee chaired by the board member in charge of the environment.

Building material-cycles societies

Improving waste management

IHI reduces, reuses and recycles industrial waste—the 3Rs—and appropriately disposes it as required. Since FY2012, all IHI offices and works have been using an electronic manifest system to comply with the laws and regulation of waste management. In FY2015, IHI introduced the Manual for Handling Wastes, which is helping to raise in-house understanding of how to manage waste effectively.

Waste emitted by IHI

IHI segregates and recycles selected waste to increase its value. In FY2015, the company emitted 31,394 tons of wastes, the same level as FY2014.

■ Waste Generated on Consolidated Basis

Water Consumption

IHI is striving to cut its water consumption by reusing more water, including drinking water, industrial water and groundwater. IHI also is working hard to cut its water emissions to rivers, seas and sewerage. IHI consumed 4,148,000 m3 of water in FY2015, down 0.5% from FY2014.

■ Water Consumption on Consolidated Basis

Management and Disposal of PCB contaminated equipment

Since FY2009, IHI has been detoxifying electric equipment containing highly concentrated polychlorinated biphenyl (PCB). As of FY2015, detoxification had been completed on 97% of such equipment and 29% of all capacitors.

Addressing Soil Contamination

Contamination of soil can adversely affect the health of humans and other organisms through direct and indirect intake of hazardous substances. Worksites are inspected regularly and aging equipment is being renewed to avoid any leakage of hazardous substances. A survey of hazardous substances* used at 68 former and current production facilities was completed in March 2013. The survey results are compiled in a database.

*25 substances, including lead, hexavalent chromium and mercury, listed in Article 2 of Japan’s Soil Contamination Countermeasures Act.

Information on Chemical Substances in Products

Chemical Substances and Pollutant Release and Transfer Registers (PRTR)

IHI is developing a system to manage chemical substances contained in IHI products. We cooperate with suppliers to provide customers with information about chemical substances contained in our products in a timely manner.
IHI also monitors each worksite’s release of designated chemical substances into the atmosphere, public waters, soil, etc., or transfer to off-premises locations. This is done in accordance with the Pollutant Release and Transfer Register (PRTR), and the government is notified accordingly. The table below compiles the release or transfer of Class I Chemical Substances designated by the PRTR Act.

■ PRTR Act Class I Chemical Substances Released or Transferred by IHI

(unit : metric ton)

Cabinet Order No. Designated substance Total release to atmosphere, rivers, seas or soils Total transfer (Substances discharged to sewers or disposed as industrial waste)
37 Bisphenol A 0.0 2.8
53 Ethylbenzene 76.5 14.5
80 Xylene 175.8 34.4
87 Chromium and chromium (III) compounds 0.0 39.8
186 Methylene chloride 3.6 4.6
240 Styrene 1.1 0.0
296 1,2,4-trimethylbenzene 2.1 0.0
300 Toluene 79.2 7.5
374 Hydrogen fluoride and its water-soluble salts 0.0 4.2
384 1-bromopropane 4.6 1.3
448 Methylenebis (4, 1-phenylene) = diisocyanate 0.0 1.3
453 Molybdenum and its compound 0.0 1.0
  Subtotal 342.9 111.4
Total 454.3

The IHI Group handled no Class I Chemical Substances.

Biodiversity Protection

Global Effort

The Convention on Biological Diversity was signed at the United Nations Conference on Environment and Development (Earth Summit) in 1992 for the main purpose of protecting biodiversity. In 1995, the Japanese government introduced its National Biodiversity Strategy, followed by the enactment of the Basic Act on Biodiversity in 2008, which urge businesses to partake in biodiversity protection. In 2010, the International Year of Biodiversity, the 10th Conference of Parties (COP 10) was held in Aichi Prefecture, Japan. The Strategic Plan of the Convention of the Biological Diversity, or the Aichi Target, adopted at COP 10 describes a course of action for interested parties at all levels, including corporations, to practice sustainable production and consumption, and presents the rationale for putting concrete measures into practice.

Protecting Biodiversity

IHI is undertaking a number of initiatives to protect biodiversity in the face of urban development in Japan and other areas of the world.

■IHI’s Stance

IHI Group Basic Environmental Policy sets out the group’s stance regarding environmental protection. Recognizing the impact that its business has on the environment, IHI strives to reduce any burden and to protect biodiversity. Each IHI office and work carries out local activities in conjunction with their surrounding communities.
Going forward, IHI will continue to strengthen awareness of biodiversity among its executives and employees, and will strive to further protect biodiversity and environmental sustainability through its business and philanthropic activities.

■Selected initiatives

  • Replaced non-native species with native species on land within IHI premises
  • Created and maintained biotopes on IHI premises
  • Organized tours of green preserve on IHI premises
  • Engaged in activities to conserve forests

■ Aichi Worksites

In Chita, Aichi Prefecture, where IHI's Aichi worksite is located, 54% of the city is covered with woodland, lush greenery in an industrial zone, and parks. The IHI Aichi worksite has its own green preserve measuring nearly 70,000 m2, which studies have shown helps to protect biodiversity in the area. The Aichi worksite is conducting a variety of activities related to biodiversity protection, including nature watches for local residents and the planting of native plants by university students, which are presented herein.

■ Initiatives in FY2015
■ Initiatives in FY2014
■ Initiatives in FY2013
■ Initiatives in FY2012
■ Initiatives in FY2011
■ Initiatives in FY2010

■ Activities in FY2015

IHI’s Aichi Works opened its green preserve for LOVE GREEN DAY 2015 and welcomed 20 residents on August 29 and 30, 2015.
The works opened its green preserve for the Chita City Nature Watch Group on September 19. Some 30 residents enjoyed looking for animals and plants living in the forest on the works’ premises.
Going forward, the works will continue to organize such activities so that its preserve can serve as a place for locals and employees to commune with nature and learn about the environment.

■ Activities in FY2014

On September 20, 2014, the LOVE GREEN DAY 2014 event took place at IHI's Aichi Works, participated by 25 local residents. Hosted by the Japan Ecologist Support Society and supported by 11 neighboring companies, the event enabled participants to learn about the ecosystem of the forest located in the industrial area. They also enjoyed hunting for grasshoppers in IHI's sports ground and observing Japanese trident gobies (fish), dragonfly larvae, diving beetles and other insects living in the water. The event helped people to understand that diverse creatures live on the IHI site and aroused their interest in forest creatures.

■ Activities in FY2013

■Life Relay Project Receives Two Environment Ministry Awards

Students planting native species

The Life Relay Project, a public support project sponsored by the Aichi worksite, received the Good Life Award Judging Committee’s Special Award from a program - the Special Global Environment Protection Awards - organized by the Ministry of Environment. In addition, the Life Relay Project's Student Executive Committee received an Environment Minister Commendation for Green Day Distinguished Services to the Natural Environment. The Life Relay Project works to protect the local area’s ecosystem in collaboration with the nonprofit Japan Ecologist Support Association, combining the efforts of students, companies and public agencies. The award is a testament to the Aichi worksite’s commitment to promoting awareness of the natural environment for the benefit of future generations.

■Chita City Nature Watch Group Invited to Aichi Worksite’s Greenbelt

Participants enjoying a nature watch

IHI’s Aichi worksite invited the Chita City Nature Watch Group to observe its green preserve on September 28, 2013. Forty parents and children were selected to take part in activities such as badge making, nature quizzes and catching insects. The participants also enjoyed becoming more familiar with the insects and plants living in the worksite’s greenbelt. The media covered the event and carried reports on local TV.

■Planting Native Trees

Students replanting the saplings of native trees

IHI’s Aichi worksite has a special garden for growing native plants in an effort to replace non-native trees with indigenous species for biodiversity protection. The seeds of native species were cultivated in the garden for eventual replanting in the green preserve. On February 21, 2014, members of the Life Relay Project’s Student Executive Committee replanted the saplings after being briefed about native and non-native species and the importance of biodiversity.

■ Activities in FY2012

■Aichi Environmental Excellence Award
IHI’s Aichi worksite received the Outstanding Performance Award at the Aichi Environment Awards for FY2012. The awards program, created in conjunction with Expo 2005 held in Aichi Prefecture, recognizes local businesses and residents for outstanding efforts to conserve resources, save energy and recycle. The program has demonstrated to the rest of Japan that Aichi is one of the most environmentally friendly prefectures in the country. The IHI worksite’s Life Relay Project, which was recognized as a pioneering model for protecting local ecosystems, is now having a ripple effect in other regions of the country.

■Nature Watch Organized by Chita City

Participants observing insects and plants

An event entitled “Nature Watch? Let's Look for Autumn Insects” was organized by Chita City in September 2012 to provide local residents with a closer look at the insects and plants living in the Aichi worksite’s green preserve. The nature watch, which was attended by 48 local residents, allowed participants to experience ecosystems and even catch insects to observe them up close.

■Corporate Green Preserves Opened to Public

Love Green Day 2012 participants

“Love Green Day 2012,” an event organized by the nonprofit Japan Ecologist Support Association, which is associated with the Life Relay Project, was held in December 2012. Green preserves owned by businesses in the Chita Peninsula area were opened to the public for the event. The IHI Aichi worksite organized a project to plant seeds of native tree species, enoki and keyaki, in pots made of recycled cardboard.

■ Activities in FY2011

■Workshop Organized by Life Relay Project

Workshop organized by the Life Relay Project

In December 2011, the Life Relay Project organized a workshop for university students in the green preserve of IHI’s Aichi worksite. A total of 23 university students from Aichi and Mie prefectures attended the workshop conducted under the guidance of the nonprofit Japan Ecologist Support Association, which is associated with the Life Relay Project. The students observed wild birds in the worksite’s green preserve and learned about maintaining such eco-assets. They also discussed the findings of a survey about preserves that businesses are holding to help protect ecosystems on the Chita Peninsula. Another project was to compile a free guide and ecosystem map featuring corporate green preserves.

■Environmental Activity for IHI Employees and Children
IHI organized an environmental activity-Fun with the Environment - Let's Play and Learn in the Woodland Created by the Sea-for company employees and their children in September 2011. The event provided opportunities for the participants to observe about wildlife living in the IHI Aichi worksite green preserve and learn the importance of nature. The children enjoyed playing games, looking for wildlife and building cricket houses in IHI's natural preserve.

Building dwellings for crickets

Building dwellings for Japanese grass lizards

Building dwellings for Japanese grass lizards

■ Activities in FY2010

Map of preserve and the 3-km area around the Aichi worksite
(Courtesy of Eco-Asset Consortium)

In FY2011, the IHI Aichi worksite began examining how to put its green preserve to practical use in terms of protecting biodiversity. It conducted an analysis of the surrounding ecosystem, of which the green preserve is one part, aiming to ascertain what roles the preserve serves now and what would be possible in the future from the perspective of biodiversity. Satellite imagery was used to evaluate the preserve and create a map to visualize how it connects with the surrounding area. It was learned that it is part of a larger ecosystem that links woodland on one side and the sea on the other, with the preserve forming the center of this natural network.

Also, a study of the worksite and neighboring area conducted in October revealed a range of animal species living in the preserve, including tanuki raccoons, kingfisher and pygmy woodpeckers, stag beetles, colias butterflies and much more. The findings were identical to those of surveys conducted in the surrounding area.

Tanuki raccoon droppings

Stag beetle

Copper butterfly

(Courtesy of Eco-Asset Consortium)

Green preserve utilization and improvement scheme
(Courtesy of Eco-Asset Consortium)

As a result of the studies, it was determined that the green preserve of the Aichi worksite is helping to preserve biodiversity. Based on this conclusion, the company devised a plan for environmental preservation and enhancement to support the surrounding ecosystem, including to provide animals with sustainable natural habitats.

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