Asahi Kasei : Sustainability Report 2021 Part2

Asahi Kasei Group Sustainability Report 2021

Environment

The Asahi Kasei Group will contribute to the achievement of a carbon neutral and sustainable world by reducing the environmental impact of our business activities and improving the environment around the world through our businesses.

Environmental

Management

We have established a group- wide management system in recognition of environmental initiatives as important management tasks.

Biodiversity

We work towards the sustainable use of biological resources in our business activities while taking biodiversity into account.

Climate Change

We implement measures that deal with climate change by reducing greenhouse gas emissions and developing innovative technologies.

Environmental Contribution Products

We defne products that help improve the environment throughout their entire life cycle as environmental contribution products, and we are making eforts in this area.

Pollution and Natural Resources

We strive to use natural resources and energy efciently throughout the entire life cycle of our products, as well as achieve resource circulation in society.

Water Resource

Preservation

We strive to enhance water use efciency in our business activities while contributing to the conservation of water resources worldwide.

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Asahi Kasei Group Sustainability Report 2021

Environmental Management

Policy

As expressed in our Group Vision that includes "harmony with the natural environment," the Asahi Kasei Group places high priority on environmental initiatives. The Group Policy regarding global environmental measures is shown below.

The Asahi Kasei Group's Global Environmental Policy

1. Building a low-carbon society
2. 1. Taking into account Japan's Plan for Global Warming Countermeasures and Nippon Keidanren's "Proposal on Japan's long-term growth strategy under the Paris Agreement," the Asahi Kasei Group aims for greenhouse gas emissions related to its business activities to meet reduction targets by 2030.
   2. The Asahi Kasei Group will promote energy conservation across the full range of our business activities with the aim of preventing global warming and conserving limited resources.
   3. The Asahi Kasei Group will develop a plan to reduce CO2 (Scope 3) emissions from its supply chain.
   4. The Asahi Kasei Group will help create a low-carbon society incorporating our proprietary technologies, contributing to the reduction of global greenhouse gas emissions by providing products, technologies, and services to the global market.
3. Preserving water resources

The Asahi Kasei Group will contribute to preserving global water resources through our water purifcation membrane module business, water recycling service business, and the sale of water quality monitoring equipment and wastewater treatment products. It will measure the quantity of its water intake while striving to maintain and improve the efciency of its water usage.

3. Recycling

The Asahi Kasei Group will promote the reduction of environmental impacts and the efcient utilization of resources and energy throughout the entire life cycle in its business activities in order to contribute to a circular economy. Specifcally, it will promote the 3Rs of reduction, reuse, and recycling, and increase the usage of resources and energy with lower environmental impacts as well as renewable resources and energy.

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Asahi Kasei Group Sustainability Report 2021

4. Achieving harmony with nature

The Asahi Kasei Group will give due consideration to the conservation of natural capital and biodiversity, and promote the reduction of environmental impacts of its business activities. We will also monitor and carefully manage our use of land and biological resources.

5. Overseas plants

The Asahi Kasei Group will create monitoring items that enable environmental management practices equivalent to those at its plants in Japan.

6. Supply chain

The Asahi Kasei Group will proactively collaborate with members of its supply chain to undertake the abovementioned activities.

Management framework

The Group's global environmental measures are part of our Responsible Care program, and we have established a management system based on ISO 14001 requirements.

See below for the Responsible Care (RC) promotion framework.

Asahi Kasei Group's Responsible Care Program

Targets and results

Based on the Asahi Kasei Group's Global Environmental Policy, we promote activities with the following indicators and targets. Regarding climate change measures, we have set greenhouse gas reduction targets to be met by fscal 2030.

Quantitative indicators and targets of global environmental measures

1. Low-carbon society

GHG emissions

By 2050, carbon neutral

By 2030, emissions reduction of 30% or more (from fscal 2013)

Clean power generation

Maintain use of biomass fuel at 60% or more by energy content in mixed combustion at the biomass power plant in Nobeoka

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Asahi Kasei Group Sustainability Report 2021

2. Energy management target

Management target

Improve unit energy consumption by an annual average of at least 1% over a 5-year period

3. Water resource preservation activity target

Our target is shown in the response to question W8.1a of the CDP Water Security Questionnaire 2021 posted on the Water Resource Preservation page.

Click here to read our response concerning CDP Water Security 2021 （353.8KB）

Concerning water resources, we are considering setting a new target.

Details of activities and achievements for fscal 2020 are posted here.

FY2020 Responsible Care Targets and Achievements

Environmental impacts

The diagram below describes the environmental impacts of business activities at Asahi Kasei Group plants.

Asahi Kasei Group (domestic) Main Environmental Impacts (FY2020)

Violations of Environmental Laws and Regulations, Fines, etc.

There were no violations or fnes related to environmental laws and regulations in fscal 2020.

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Asahi Kasei Group Sustainability Report 2021

Climate Change

Responding to Climate Change		Disclosure based on TCFD Recommendations

Click here to read our response concerning CDP Climate Change 2021 （589.3KB）

Asahi Kasei Group's Carbon Neutrality Policy

In accordance with its Group Mission, the Asahi Kasei Group is committed to contributing to life and living for people around the world. The Asahi Kasei Group has long been aware that climate change is a global issue that will have a signifcant impact on both the natural environment and society, and we see it as our mission to use the scientifc expertise we have cultivated since our founding to deal with this issue leveraging our combined strength.

In May 2021, the Asahi Kasei Group adopted a new policy for carbon neutrality.

Greenhouse gas (GHG) emission targets for the Asahi Kasei Group

2050 ： Carbon neutral

2030 ： Emissions reduction of 30% or more (from fscal 2013)*

• Scope 1 (direct GHG emissions) and

Scope 2 (indirect emissions use of electricity, heat, and steam supplied by other companies), absolute quantity

While our former target was to reduce GHG emissions relative to sales (emissions intensity), we have changed to an absolute reduction target to clarify our path toward the goal of becoming carbon neutral.

Initiative Policy

In addition to reducing GHG emissions from our own business activities, we believe that it is also important to help to reduce GHG emissions in society through our diverse array of technologies and businesses to deal with climate change. In April 2021, we launched a Green Solution Project reporting directly to the President, and we are working to create new businesses for a carbon neutral society.

Regarding "Care for Earth," we are committed to addressing climate change issues group-wide, both in terms of (1) reducing the amount of GHGs emitted by our own business activities and (2) helping to reduce GHGs throughout society through our businesses and technologies.

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