Nidec : ESG Conference Presentation Material

TSE: 6594 OTC US: NJDCY https://www.nidec.com/en/

Nidec Corporation

ESG Conference

Presentation Material

Disclaimer Regarding Forward-looking Statements

These presentation materials and the related discussions contain forward-looking statements including expectations, estimates, projections, plans and strategies. Such forward-looking statements are based on management's targets, assumptions and beliefs in light of the information currently available. Certain risks, uncertainties and other factors could cause actual results to differ materially from those discussed in the forward-looking statements. Such risks and uncertainties include, but are not limited to, changes in customer circumstances and demand, exchange rate fluctuations, and the Nidec Group's ability to design, develop, mass produce and win acceptance of its products and to acquire and successfully integrate companies with complementary technologies and product lines. Please see other disclosure documents filed or published by the Nidec Group companies, including the Japanese securities report, for additional information regarding such risks and uncertainties. Nidec undertakes no obligation to update the forward-looking statements unless required by law.

Contents of Today's Presentation

1. Opening Speech

Ms. Takako Sakai - Outside Member of the Board of Directors

2. Environmental contributions of MOEN business

- Overview of MOEN business

Mr. Michael Briggs - MOEN (Motion & Energy) Executive General Manager

- Power generator business

Mr. David Sonzogni - EPGE (Electric Power Generation Europe and Asia Pacific) President

- EV charger & BESS business

Mr. Dominique Llonch - NIS (Nidec Industrial Solutions) President

- Environmental impact reduction activities at MOEN

Mr. Mark Weisheit - MOEN (Motion & Energy) Supply Chain Vice President

3. Q&A

Contents of Today's Presentation

1. Opening Speech

Ms. Takako Sakai - Outside Member of the Board of Directors

2. Environmental contributions of MOEN business

- Overview of MOEN business

Mr. Michael Briggs - MOEN (Motion & Energy) Executive General Manager

- Power generator business

Mr. David Sonzogni - EPGE (Electric Power Generation Europe and Asia Pacific) President

- EV charger & BESS business

Mr. Dominique Llonch - NIS (Nidec Industrial Solutions) President

- Environmental impact reduction activities at MOEN

Mr. Mark Weisheit - MOEN (Motion & Energy) Supply Chain Vice President

3. Q&A

Contents of Today's Presentation

1. Opening Speech

Ms. Takako Sakai - Outside Member of the Board of Directors

2. Environmental contributions of MOEN business

- Overview of MOEN business

Mr. Michael Briggs - MOEN (Motion & Energy) Executive General Manager

- Power generator business

Mr. David Sonzogni - EPGE (Electric Power Generation Europe and Asia Pacific) President

- EV charger & BESS business

Mr. Dominique Llonch - NIS (Nidec Industrial Solutions) President

- Environmental impact reduction activities at MOEN

Mr. Mark Weisheit - MOEN (Motion & Energy) Supply Chain Vice President

3. Q&A

Nidec MOEN

ESG

March

Nidec Corporation

Product Groups & Revenue Breakdown

	¥2.2T FY22 Group Revenue
23%	19%	25%	16%	13% 4%
Automotive Products	Small Precision	Appliance, Commercial &	Motion & Energy	Machinery Other
	Motors	Industrial Motors	(MOEN)

eAxle Electric power	ADAS
steering

Innovating to help improve safety, environmental protection and comfort required for automobiles

Hard disk	Haptic	Washing	HVAC	Refrigeration			Gear cutting
drive (HDD)	Machine	motor	compressor			tools
motor	motor	Charger
	motor
					Motors, generators, drives,	Machines, factory
DC motors for all industries and	High performance motor and drive	and solutions for	automation equipment,
applications including HDD	technology for commercial, industrial, and	renewables, automation,	and measuring & testing
motors			home appliances	infrastructure, and EVs	devices

Motion & Energy Global Footprint

13k

E M P L O Y E E S

50+

F A C I L I T I E S

30+

C O U N T R I E S

R&D

Production

Sales

Multipurpose

Motion & Energy Sustainability

Generators

Motion & Energy contributes to Nidec's environmental mission and to sustainable economic growth through the development of products and technologies that drive energy efficiency and resiliency…

Battery Energy

Storage Systems

Electric Vehicle Charging Infrastructure

….and ensuring our production and

business processes are sustainable.

Sustainable Practices

Powering lives,

Connecting worlds

Providing resilient electric power,

and powering essential services

Powering Lives, Connecting Worlds

Generators

Providing resilient electric power…

…and powering essential services…

…whenever, wherever, and

in any weather condition.

Nidec Generators in 2023:

2.24M

45

9

Tons of CO2 emissions saved by Nidec power plant generators for clean power usage

GW of Nidec generators delivered

Nuclear power plants worth of energy produced

Powering Lives,
Connecting Worlds	Generators
Nidec generators offer the smallest carbon footprint in the
industry

10kVA / 70kgs

35,000kVA / 80 tons

Up to 98% efficiency to minimize

fuel consumption

Manufactured with 96% recyclable raw materials

Extended and eco-friendly lifecycle through remanufacturing and IoT Monitoring

Enabling the energy transition through reliability & resiliency

BESS stores energy when	…and deploys it when demand is high or
electricity is plentiful…	when typical sources are unavailable

Battery Energy

Storage Systems

Power Conversion	Microgrids	Renewable Energy
Systems		Sources

Robust, Reliable, Rain or Shine.

Enabling the energy transition through reliability & resiliency

Battery Energy

Storage Systems

Source: BloombergNEF

Demand poised to ramp-up as customers address intermittent energy supply with BESS technology

~8

760k

233%

GWh of Nidec BESS installed worldwide as of 2023

Tons of CO2 saved by Nidec BESS customers in 2023

Expected growth in global BESS market by 2040

Nidec BESS accelerates new energy adoption by

mitigating the impact of intermittent energy sources

Electrifying the world

while keeping it moving

AC Chargers	DC Chargers Battery Buffered
	DC Chargers

Installing safe, reliable, and efficient chargers to support EV

adoption for residential, commercial, and industrial use

Microgrid Solutions

Electric Vehicle Charging Infrastructure

Nidec EVCI and BESS synergy supports energy transition

without interruption to power supply

Electrifying the world

while keeping it moving

	Environmental Impact	Energy Efficiency
	Facilitating transition from	Accelerating adoption of
	fossil fuel-powered vehicles	more energy-efficient
	to EV	technology
	Grid Benefits
	Enhancing grid reliability and
	resiliency
Emissions	-40%
	Average 40% CO2 Emission
Carbon
	Reduction from ICEV to BEV

Electric Vehicle Charging Infrastructure

MOEN Global ESG Compliance Campaign Process

Until FY21

Beginning FY22

Regulatory Scope

EU Regulation Campaign

1. REACH Restriction
2. REACH Authorization
3. REACH SVHC
4. RoHS
5. EU Mercury (Minamata)
6. EU POPs (Stockholm)
7. Halogen-free
8. IMO Green Passport

U.S. Conflict Mineral Campaign

• Section 1502 of the U.S Dodd-Frank Wall Street Reform Act

CA Prop 65 Campaign

• The Safe Drinking Water and Toxic Enforcement Act of 1986

U.S. EPA TSCA Campaign

• TSCA Section 6(h)-Persistent, Bioaccmulative and Toxic Substance

EU Regulation Campaign

1. REACH Restriction
2. REACH Authorization
3. REACH SVHC
4. RoHS
5. EU Mercury (Minamata)
6. EU POPs (Stockholm)
7. EU Ozone Depletion (Vienna)
8. EU Battery
9. EU Prior Informed Consent
10. EU Package

U.S. Conflict Mineral & Ethical Sourcing Campaign

• 3TG (Section 1502 of the U.S Dodd-Frank Wall Street Reform Act)
• Cobalt (Artisanal and Small-scale miners of cobalt framework)

U.S. EPA TSCA Campaign

• TSCA Section 6(h)-Persistent, Bioaccmulative and Toxic Substance
• TSCA Risk-evaluation and management substances

# of Campaigns

4

3

Sustainable Practices

Motion & Energy GHG Capability

Measures across Europe, America, Canada, and China facilities to minimize carbon footprint

Scope 1	Scope 2		Scope 3
MOEN Direct Activity	Indirect Electricity	Upstream	Other	Downstream
Heating &	MOEN purchased	MOEN business	Customer
Cooling	energy	travel	process of Nidec
			sold products
Vehicles	MOEN renewable energy	Employee	End of life
commute	treatment
	(avoiding carbon emissions)
Fuel Combustion		Supplier production	Customer
	of purchased	use of Nidec
		material	product
Logistics		Capital expenses &	Customer
		Services	distribution
Facilities		Waste management
Warehouse		Supplier logistics

Manufacturing

Processes

Fully meets European Union January 2025 Reporting Requirements

Sustainable Practices

MOEN Global ESG Compliance New in FY23

(Complete)

Manila

accounting & process

(Complete)

The Greenhouse Gases Protocol

International GHG Standard

Calculation tool (Complete)

covers Scope 1 and 2 emissions accounting Scope 3 upstream categories

Automatic calculation

GHG Campaign Form (Complete)

Nail the questions in emission sources Use to collect data inputs from facilities

GHG Processes prepared for independent 3rd party audit

MOEN GHG Working Instruction (Complete)

• Detailed process in data collection and calculation
• Detailed process flow charts

Program has kicked-off

Industry leading process with the most	Sustainable Practices
comprehensive emission factors