Hitachi Zosen : Highest Rating for Six Consecutive Years in Development Bank of Japan Environmentally Rated Loan Program--Introduction to Environmental Management Initiatives at Hitachi Zosen Nanko Building

Hitachi Zosen Corporation has been assigned the highest rating for six consecutive years in the DBJ Environmentally Rated Loan Program, run by the Development Bank of Japan Inc. (Chiyoda-ku, Tokyo; DBJ).

The DBJ Environmentally Rated Loan Program uses a screening (rating) system developed by the DBJ to evaluate enterprises by level of environmental management, and sets loan conditions appropriate to each level for select enterprises with the highest scores. It represents the world's first financing menu incorporating an environmental rating.

Hitachi Zosen contributes to efforts to preserve the global environment through its businesses and products. Measures to mitigate global warming include promoting widespread use of green energy with key products such as Energy-from-Waste plants, and reducing CO emissions in developing countries by taking advantage of Japan's joint crediting mechanism.

Also an advocate of environmental management, Hitachi Zosen sets a goal of reducing CO emissions by 3.8% in FY2020 compared to FY2005 levels. Company-wide measures to reduce greenhouse gas emissions include maintaining fixed temperature settings in air conditioners year round, using LED fluorescent lamps, and incorporating solar power generation systems into each office location.

The Hitachi Zosen Nanko Building purchases electricity from the company's own power producer and supplier (PPS), and uses power generated from biomass at Energy-from-Waste plants delivered by Hitachi Zosen. Energy savings at the building are expected to reach about 28% compared to FY2004 levels, the highest in the past decade plus.

The following is an introduction to the environmental management initiatives undertaken at the Nanko Building, serving as the Hitachi Zosen head office.

1. Energy saving equipment In 2012, the 6,406 fluorescent lamps fitted in the Nanko Building were switched to LED fluorescent lamps in efforts to save energy. The following year, a solar power generation system was installed on the rooftop. With an output of up to 88 kW, it covers about 5% of maximum demand with electricity generated from a renewable energy source. Hitz Plaza, in the entrance hall on the first floor, displays in real time the status of power generated at the Nanko Building and at other Hitachi Zosen office locations. The latest addition is a new hybrid streetlamp installed in the east parking lot area. It stores solar and wind power during the day and uses it at night, all the while emitting zero CO. Hybrid streetlamp	Nanko Building Power generation status displayed at Hitz
* The FY2015 figure is an estimate based on actual results up to February and a forecast for March (average of past 5 years)
2. Office awareness activities Since FY2005, Hitachi Zosen strives to raise awareness about energy saving in officers and employees in the Nanko Building. Air conditioners in the offices are set at fixed temperatures of 28ºC in summer and 20ºC in winter. The number of fluorescent lamps is reduced in aisle areas, where there are few seats, for a total 17% reduction in lighting fixtures. Moreover, the lights are turned off during the 50-minute lunch break for an annual reduction of 39,250 kWh in power consumption. Computers are shut down when they will not be used for extended periods of time, such as during meetings and lunch hour. Some 1,500 personal computers shut down for one hour adds up to an annual reduction of 40,800 kWh in power consumption.	Office during lunch hour
3. Local production, local consumption of electricity Since July 2015, the Nanko Building sources electricity from Hitachi Zosen's own PPS. The power is generated at an Energy-from-Waste plant delivered by Hitachi Zosen to a site in Osaka City. The supply is purchased via Hitachi Zosen's PPS and consumed at the Hitachi Zosen head office. Supply and demand is managed at the remote monitoring and operation support center on the second floor of the Nanko Building. Hitachi Zosen actively uses green energy produced through the incineration of general household waste as an initiative in environmental management.	Power supply and demand management at the remote monitoring and operation support center (2F)

4. Smart & Easy Style initiative

In 2005, Hitachi Zosen introduced Smart & Easy Style, an initiative to relax the former suit-and-tie rule and promote office attire that not only helps save energy but also takes into account a fresh look and diversity. 'Smart' comes from the image of well-dressed, intelligent office employees, and 'easy' from that of effortless, comfortable clothing. The initiative aims to save energy with the casual dress code, and also create an office environment that encourages communication by embracing diversity through the visual change in attire. Hitachi Zosen seeks to create workplace environments in which employees can demonstrate spontaneity and creativity, accept each other's individuality and stimulate one another, and uphold the concepts of self-management and self-responsibility. The initiative is part of a larger scheme to offer comfortable, relaxing workplaces to officers and employees.

Hitachi Zosen strives to preserve the global environment under the belief that acting responsibly as a good corporate citizen and addressing environmental issues are essential to building relationships of trust and coexistence with society. It plans to continue promoting environmental management and contributing to a sustainable future.

News Release 2016