Environmental Responsibility (PDF:3.4MB)

Environmental Responsibility

Policy and Management

Basic Stance

The Nippon Paper Group provides society with a wide range of products and services through the effective use of wood, a renewable resource. At the same time, its manufacturing processes use a great deal of energy and water. Bearing this in mind, the Nippon Paper Group has formulated the Nippon Paper Group Environmental Charter. The Group practices environmental management that contributes to the formation of a circulation-oriented society by working from a long-term perspective to reduce environmental impact, promote resource recycling, conserve biodiversity, and respond to climate change. Under the 2030VISION, the Group has identified these priorities as materiality for realizing the Group Mission and will contribute to building a sustainable society through its business activities.

The Nippon Paper Group Environmental Charter

https://www.nipponpapergroup.com/english/csr/policies/

Environmental Management Promotion Structure

The Nippon Paper Group Environmental Committee, chaired by the general manager of the Technical Division, who is also the director in charge of environmental matters at Nippon Paper Industries, identifies management risks related to the Group's environmental activities and promotes countermeasures. Additionally, the committee manages and assesses the proper implementation of the Environmental Action Plan in accordance with the Nippon Paper Group Environmental Charter and reports to the Board of Directors through the Risk Management Committee.

With the aim of creating corporate value through environmental management, the Group regularly convenes the New Product Development Committee, and promotes the development of products derived from wood resources in line with growing environmental awareness. The Executive Committee deliberates and decides on environmental management policies and measures based on this information, and incorporates them into business strategies to address environmental risks and capture business opportunities, thereby enhancing the resilience of the Company's growth strategies.

The Board of Directors of Nippon Paper Industries Co., Ltd.

Oversight

Report

Oversight

Risk Management Committee

Nippon Paper Industries Co., Ltd.

Management Executive Committee

Report

Report

Oversight Report

Oversight

Nippon Paper Group Environment Committee

New Product Development Committee

Secretariat: Environment Dept. of Nippon Paper Industries Co., Ltd.

Group companies in Japan

Group companies outside of Japan

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Environmental Responsibility

Aiming for a Sustainable Society Where Nature and People Can Coexist in Harmony

In order to be more effective in dealing with environmental issues such as climate change, which are highly uncertain and require long-term responses and countermeasures, it is necessary to have a vision and goals based on a medium- to long-term perspective. The Group has formulated targets and plans for 2030 by backcasting from the ideal state of the Group in 2050, and the entire Group is working together to achieve them.

Sustainable Society Where Nature and People Can Coexist in Harmony

2050

Environmental Vision 2050 Sustainable Future Vision

Create and circulate resources

Carbon neutral

Minimum impact

2030

Expand recycling

Maximize forest value

Reduce greenhouse gas

Reduce environmental burden

Used paper food

Improve CO2

fixation

(GHG) emissions

Final waste disposal

containers, etc.

efficiency by 30%

45% reduction vs. FY2013 level

rate of 2% or less

Environmental Targets 2030 Path to Sustainable Future

Nippon Paper Group Environmental Vision 2050 (Sustainable Future Vision)

■ Carbon-neutral

Reduce greenhouse gas emissions to virtually zero.

▶ Minimize greenhouse gas emissions through the efficient use of energy and the use of renewable energy sources.

▶ Minimize greenhouse gas emissions in the value chain through collaboration with stakeholders.

▶ Become carbon neutral by offsetting residual emissions through CO2 absorption and fixation in forests and CO2 removal technologies.

■ Creation and circulation of resources

Create sustainable forests that conserve biodiversity and procure and supply resources. ▶ Maintain and expand forests with multifaceted value and maximize forest value.

▶ Procure and supply a variety of woody biomass resources that can be used as raw materials for various products.

Promote the utilization of woody biomass resources to contribute to better living in a circulation- oriented society.

▶ Provide a variety of materials and products made from woody biomass resources. ▶ Promote resource circulation and product recycling as a social infrastructure.

■ Minimum impact

Minimize the environmental impact of the Group's business activities. ▶ Minimize the input and output of resources that impact the environment.

▶ Provide society with products and services that have a low environmental impact throughout their entire life cycle.

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Environmental Responsibility

Nippon Paper Group Environmental Targets 2030: Path to Sustainable Future

■ Reduce greenhouse gas emissions

Reduce greenhouse gas emissions through fuel conversion and energy conservation measures. ▶ Reduce direct greenhouse gas emissions by 45% from FY2013 levels.

▶ Accelerate fuel conversion and increase the ratio of non-fossil energy use to at least 60%.

▶ Improve total energy consumption per unit of production and distribution by 1% from the previous year.

▶ Reduce CO2 emissions during logistics by promoting modal shift and shortening transportation distances.

▶ Collaborate with stakeholders to reduce indirect greenhouse gas emissions.

■ Promote the creation and circulating of resources

Promote the protection and cultivation of forest resources and biodiversity-conscious forest management.

▶ Improve CO2 fixation efficiency in overseas forest plantations by 30% compared to 2013 levels. ▶ Obtain and maintain forest certification for all company forests in Japan and overseas.

▶ Ensure the traceability and sustainability of all woody biomass resources used. ▶ Promote the use of domestic forest resources.

Promote the circulation of resources.

▶ Work to build a recycling system that promotes resource circulation

▶ Utilize 12,000 t/year of unused recovered paper, which has been difficult to recycle, through the development of recovered paper utilization technology.

■ Reduce environmental impact

Promote the protection and cultivation of forest resources and biodiversity-conscious forest management.

▶ Reduce air pollutants by 15% and water pollutants by 15% compared to FY2018.

▶ Reduce the final disposal of industrial waste at domestic production sites to 2% or less.

▶ Provide society with products and services that have minimal environmental impact throughout their entire life cycle.

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Environmental Responsibility

Achievements of Environmental Action Plan (Green Action Plan 2020)

• The Group has established an environmental action plan-the Green Action Plan-in accordance with the six basic policies expressed in its Environmental Charter. Since the establishment of this action plan in 2006, the Group set quantitative and qualitative management targets every five years relating to response to climate change and all manner of other environmental issues and carried out specific initiatives to achieve those targets.
• Based on this, Group companies have each established their own environmental action plans to reflect their own individual business characteristics. Their efforts to fulfill these plans are improving our effectiveness towards achieving the targets of the Green Action Plan.

The Nippon Paper Group Environmental Action Plan (Green Action Plan 2020: from 2016 to 2020) FY2020 Achievementt

	Green Action Plan 2020	Main Initiatives and Final Results
	Reduce greenhouse gas emissions by 10% compared to	By systematic investment in energy saving equipment and promotion of fuel conversion, greenhouse gas
1. Anti global	FY2013. 2013.*¹	emissions were reduced by 21% compared to FY2013.
	・Continued efforts to reduce CO2 emissions by shortening transportation distances and promoting modal
warming	Reduce logistics generated CO2 emissions.	shifts for efficient transportation.
action	・The Eco Rail Mark certification, established by the Ministry of Land, Infrastructure, Transport and Tourism,
		to recognize companies and products that engage in rail freight transportation with low CO2 emissions per
		unit, has been obtained by Nippon Paper Industries for both the company and its products.
	Advance domestic company owned forest operations and	As of the end of 2020, we had planted 78,000 hectares of trees in our overseas afforestation business.
	the overseas afforestation project (Tree Farm Initiative)
	to ensure the sustainable nurturing of forest resources.
	Maintain forest certifications in all proprietary forests,	The company continues to maintain forest certification (FSC® ※2 , SGEC, PEFC,) for all its forests in Japan and
2. Protection and	both domestically and internationally.	overseas.
The wood chips and pulp used for papermaking in FY2020	The wood chips and pulp used for papermaking in Fy2020 were all made from wood approved by FSC®	※2	or
development	were all made from wood approved by FSC® ※2 or PEFC
of forest	(including controlled wood and controlled sources)	PEFC (including controlled wood and controlled sources
Resources
Enhance traceability and facilitate the procurement of	Utilized the forest certification system to enhance traceability and in FY2020, 100% of the risk assessments
	sustainable forest resources.	for imported woodchips were cleared under both PEFC and FSC rules.
	Advance the use of wood fiber produced from	The use of domestic wood at all Nippon Paper mills reached 39.5% in FY2020 (based on actual purchases).
	domestically grown trees to promote sound growth of
	forest resources in Japan.
		・As a result of our efforts to use unused recovered paper, the utilization rate of recovered paper for paper and
3. Recycling of	Promote greater use of wastepaper by achieving	paperboard reached 34% and 89%, respectively.
・The Company started a new recycling project with the support of Hamamatsu City, to collect used paper
Resources	advances in wastepaper utilization technologies.	containers which had previously been incinerated as general garbage.
		・The Company have begun efforts to expand the recycling of discarded beverage paper packs with aluminum.
	Increase the waste recycling rate to at least 98%.※1	In addition to reducing waste generation, we achieved a 98% recycling rate through the recycling of boiler ash.
4. Observance of	Use the environmental management system to strengthen	At sites that have a high environmental load, environmental management systems such as ISO 14001 were
environment	environmental management and reduce environmental impact.	introduced in an effort to comply with laws and regulations and reduce the environmental load.
related laws	Properly manage chemical substances in accordance	For each site, chemical substances are managed appropriately according to type and amount together with
and reduction of	with the Nippon Paper Group Chemical Substance
environmental load	Management Guidelines.	the information from safety data sheets.
		・Commercial production is being carried out at the TEMPO oxidized CNF mass production machine at
		the Ishinomaki mill and the CM-CNF mass production machine at the Gotsu mill, and its adoption is
		increasing mainly for food and cosmetic applications. In addition, at the Fuji Plant / CNF Reinforced Resin
		Demonstration, sample work is being conducted for various users.
		・CNF was adopted by the NEDO project "Development of cellulose nanofiber-related technologies that
		contribute to a carbon cycle society" (2 projects) and started research and development.
		・For promotion of practical use of MinerpaR that has some characteristic such as deodorant, antibacterial,
	Enhance the more sophisticated use of wood materials.	flame retardant, radiation blocking, etc., the Company implemented sample work for application development.
	The product from demonstration production equipment at Fuji mill has been adopted as cat sand (cat litter).
		・Using a proprietary technology that removes only cellulose fibers that are easy for cows to digest from wood
		chips, the Company has developed "highly digestible cellulose" with excellent fiber content and nutritional
		value, and has started sample work for expanding sales.
		・The NEDO project "Development of Bio-Asphalt Mixture Using Kraft Lignin from Pulp Digesting Process"
5. Development		was adopted, and the application development of craft lignin was started in this project.
of eco		・The Company has developed a resin composite material (Trefide Biocomposite TM) that contains a high
Friendly		amount of woody biomass and can reduce the amount of plastic used by 50%.
technologies	Develop equipment technology for facilitating a departure	Development of new fuel production technology using biomass has started.
and products	from reliance on fossil energy.
		・Started selling "School POP®", a school lunch strawless paper pack. .
		・The world's first aseptic filling system for paper containers (NSATOM®), which can handle new beverages
		with solids, long fibers, and high viscosity and can be stored at room temperature instead of resin containers,
		has been completed and orders have started.
		・Started production and sales of long toilet rolls that lead to reduction of CO2 emissions and packaging materials.
	Reduce the environmental load through the provision of	・A new paper material to replace plastics, "Shield Plus", is a paper packaging material with excellent barrier
	ecofriendly products and services.	properties against oxygen and water-vapor produced in combination with biodegradable resin.
	・The new high-barrier product "Shield Plus® Premier" has been adopted as food wrapping paper. In addition,
		Shield Plus II, which is adapted to gravure printing and has an improved barrier bending tolerance, was launched.
		・"Lamina®", a heat-sealing paper that does not require a laminating process and can be packaged with just
		paper, has been developed and has started providing samples.
		・As a sustainable packaging material to replace Styrofoam, the multifunctional corrugated cardboard base
		paper "Waterproof Liner" was developed.
	Disclose environment related information to stakeholders	Through Integrated reports and risk communication held by each business site, dialogue with local
	and accelerate environmental communication through
6. Environmental	communities and other communities was activated to share risk information.
dialogue and other means.
Communication	Proactively participate in and support environment	Actively participated in environmental preservation activities such as community cleanup etc. and made
	conservation activities.	efforts to contribute to the conservation of the local environment.
		・For more than 10 years, the company has been working to preserve the habitat of the endangered
	Advance companywide biodiversity initiatives in	Blakiston's fish owl in company-owned forests in Hokkaido under an agreement with the Wild Bird Society
7. Biodiversity	of Japan. While balancing with the company's forestry business, in 2020, the two companies jointly installed
accordance with the Nippon Paper Group Basic Policies
Commitments	artificial nest boxes to support breeding.
on Protection of Biodiversity.
	・Since 2017, the Group have been working with a local NPO (Ecotourism Association) on Iriomote Island to
		exterminate the invasive plant American Hamaguruma.

※1 For manufacturing sites in Japan.

※2 FSC® Logo License No. FSC® C120260 (Volterra: Chile), FSC® C012171 (Forestco: South Africa ), FSC® C023383 ( AMCEL:Brazil )

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Environmental Responsibility

■ Introducing environmental management systems

● In order to promote environmental management, the Group is introducing various environmental management systems, including ISO14001 and Eco-Action 21.

● Nippon Paper Industries has obtained ISO 14001 certification for 100% of its production locations (as of March 31, 2021).

Acquisition of ISO 14001 Certification (as of March 31, 2021)

Company Name	Mills/Operating Division/Production Subsidiaries
	Kushiro Mill, Asahikawa Mill, Siraoi Mill, Akita Mill,
Nippon Paper Industries	Ishinomaki Mill, Iwanuma Mill, Nakoso Mill, Kanto Mill,
Fuji Mill, Gotsu Mill,Otake Mill, Iwakuni Mill, Yatsushiro Mill,
	Higashimatsuyama Mill
Nippon Paper Liquid Package Product	Egawa Mill, IshiokaMill, Miki Mill
Nippon Paper Crecia	Tokyo Mill, Kaisei Mill, Koyo Mill, Kyoto Mill
Crecia-Kasuga	Shin-Fuji Mill
Nippon Paper Papylia	Harada Mill, Suita Mill, Kochi Mill
NP Trading	Headquarters/Sapporo Branch Office/Chubu Branch Office/
Kansai Branch Office/Chugoku Branch Office/
	Kyushu Branch Office/Shizuoka Sales Office
Daishowa Uniboard	Headquarters/Miyagi Mill
N&E	Headquarters Mill
Nippon Paper Ishinomaki Technology	Headquarters
Opal	Acquired at 4 sites
Jujo Thermal	Kauttua

The status of Eco-Action 21 acquisition (as of March 31, 2021)

Company Name		Mills/Operating Division/Production Subsidiaries
Akita Jujo Chemicals		Head Office Plant

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