Ensuring the positive coexisting of nature and humanity (PDF:3.6 KB)

CEO Message	Ensuring the positive coexisting	Improving prosperity for all	Maximizing well-being for all
of nature and humanity	people and cultures

Ensuring the positive coexisting of nature and humanity

The NTT Group is contributing to solving environmental issues as well as achieving economic growth.

Sustainability Repor t 2021

016

Ensuring the positive coexisting of nature and humanity

CEO Message	Ensuring the positive coexisting	Improving prosperity for all	Maximizing well-being for all
of nature and humanity	people and cultures

m e s s ag e

Message from Management (Senior Executive Vice President)

Akira Shimada

Representative Member of the Board

(Senior Executive Vice President)

Addressing environment problems with "NTT Green Innovation toward 2040"

Climate change and other environmental issues are increasing in severity year by year, and are leaving a greater social and economic impact as natural disasters become more extensive on a global scale. The NTT Group views resolving issues like climate change as one of its key corporate activities in its goal of building a sustainable society, and implements various initiatives in line with its "Your Valued Partner" management philosophy.

In September 2021, we unveiled our new environment and energy vision, "NTT Green Innovation toward 2040" aimed at achieving zero environmental impact while continuing economic growth, by reducing the environmental impact of our business activities and creating breakthrough innovation. This vision was designed so that the NTT Group is able to achieve carbon neutrality in fiscal 2040, ten years before the 2050 goal for carbon neutrality set by the Japanese government. As interim mile- stones, we are aiming to reduce greenhouse gas emissions by 80% from fiscal 2013 levels by fiscal 2030, as well as achieve carbon neutrality for our mobility communications (NTT DOCOMO) and data center businesses-two areas in particular where electricity usage is expected to rise-by fiscal 2030.

More specifically, rolling out our "IOWN (Innovative Optical and Wireless Network) Concept" will help us to significantly reduce power consumption throughout networks and other infra- structure, resulting in a 45% reduction in greenhouse gas emissions by fiscal 2040. This will be in conjunction with better energy-saving efforts to cut emissions by a further 10%. We will be slashing greenhouse gas emissions by another 45% by fiscal 2040 through greater use of renewable energy sources.

We are also placing a greater emphasis on green financing initiatives as a means of achieving a sustainable society, by issuing green bonds of around 300 billion yen for the year applicable to 5G-related investments, FTTH-related investments, and research and development toward building the IOWN concept.

Contributing to the Reduction of Society's Environmental Impact

In addition to reducing our own impact on the environment, NTT is working on initiatives aimed at reducing the environmental impact of society as a whole. One way to achieve this is with the IOWN concept, which promises to slash electricity consump- tion. By working to increase uptake and scope of applications in not just the communications but also other industrial sectors such as computers, we are aiming to help cut greenhouse gas emissions throughout Japan by 4% by fiscal 2040 (and a 2% reduction on a global level). In May 2020, NTT became the first private company in Japan to conclude a comprehensive collaboration agreement with the International Thermonuclear Experimental Reactor (ITER) Project, where we will support the successful development of nuclear fusion reactors-the most promising power source of the future-by providing IOWN's ultra -low-latency,high-speed,high-capacity network and digital twin computing. We established "NTT Space Environment and Energy Laboratories" in July 2020 to conduct research into the regeneration of the global environment and development of a sustainable society. In addition to these developments, NTT DOCOMO will also begin offering consumers green energy plans, with "docomo Denki" kicking off from March 2022. Initiatives like these illustrate just some of the ways that the NTT Group is helping to alleviate the impact that society as a whole has on the environment.

Sustainability Repor t 2021

017

	CEO Message	Ensuring the positive coexisting	Improving prosperity for all	Maximizing well-being for all
Ensuring the positive coexisting of nature and humanity	of nature and humanity	people and cultures

Efforts for climate change-related information disclosure

Ensuring disclosure and transparency to society is vital. In May 2020, NT T declared its suppor t for the Task Force on Climate-related Financial Disclosures, or TFCD, which is a framework encouraging companies to disclose information related to their climate change initiatives so investors can make sound investment decisions, in line with the target of keeping global temperatures to well below 2°C above pre-industrial levels as stipulated under the 2015 Paris Agreement. NTT discloses information related to climate change, while improvements to ensure that its own growth strategies remain sustainable. In conjunction with the Environment and Energy Vision "NTT Green Innovation toward 2040" that we have developed, we also raised NTT Group's fiscal 2030 greenhouse gas emissions reduction target from the "well-below 2°C level" of Science Based Targets (SBT) (approved in 2020) to the "1.5°C level," a move that was approved by SBT in December 2021. The NTT Group will continue to set more challenging targets as part of its initiatives for tackling climate change.

Greater awareness by each and every employee

Reducing society's impact on the environment calls for a major shift in attitude, from traditional business activities involving the consumption of resources and energy, to decarbonized and circular business activities. Moving to such decarbonized and circular businesses processes will only be possible when both employees and management team alike have a thorough understanding of the vision we have developed, and employees take autonomous and independent action accordingly. Moving for- ward, employees and management will be working together as a single team to help develop a decarbonized and circular society.

Sustainability Repor t 2021

018

	CEO Message	Ensuring the positive coexisting	Improving prosperity for all	Maximizing well-being for all
Ensuring the positive coexisting of nature and humanity	of nature and humanity	people and cultures

Feature 1: Environment and Energy Vision

Achieving carbon neutrality

In September 2021, the NTT Group unveiled its new environment and energy vision, "NTT Green Innovation toward 2040" for achieving "zero environmental impact" while continuing "economic growth" by reducing the environmental impact of its business activities and creating breakthrough innovation, with the aim of creating a well-being society and boosting corporate value through ESG initiatives. NTT will aim to achieve carbon neutrality by fiscal 2040 based on this vision.

"NTT Green Innovation toward 2040" targets

NTT has set targets for groupwide carbon neutrality by fiscal 2040 on its way to achieving zero environmental impact. The mobility communications (NTT DOCOMO) and data center business will be the first within the NTT Group to achieve carbon neutrality, as targets have been set to reduce greenhouse gas emissions by 80% of fiscal 2013 levels, by the fiscal year ending March 31, 2031. This target was approved as the 1.5°C level by SBT in December 2021.

Addressing	Improving	New Environment and Energy Vision
Environmental Issues	Economic Growth	NTT Green Innovation toward 2040
		2040
	Paraconsistent	Carbon-Neutral

NTT Green Innovation toward 2040	Greenhouse Gas		80% Reduction
Emissions		(compared to FY2013)
- Achieving Zero Environmental Impact and	2030
Improving Economic Growth at the Same Time -	Mobile
	(NTT DOCOMO)		Carbon-Neutral
	Data Centers

Reduction of Environmental	Creation of Breakthrough
Impact through
Innovation
Business Activities

* Scope of reduction targets

GHG protocol: Scope 1 (own direct emissions of GHG) and Scope 2 (indirect emissions from using electricity, heat and steam supplied by other companies)

Mobile: 15 companies in NTT DOCOMO Group (as of September 28, 2021)

Sustainability Repor t 2021

019

	CEO Message	Ensuring the positive coexisting	Improving prosperity for all	Maximizing well-being for all
Ensuring the positive coexisting of nature and humanity	of nature and humanity	people and cultures

Feature 1: Environment and Energy Vision

Achieving carbon neutrality

Basic Policy and Action Guidelines

Basic Policy

The NTT Group is committed to achieving a new level of prosperity where humanity can coexist and preserve nature for generations to come. To this end, we will work to balance solving ecological problems and improving economic development by reducing the environmental impact of our business activities and creating new technologies and innovations.

Action Guidelines

1. Reducing greenhouse gas emissions
   The NTT Group is committed to initiatives that reduce greenhouse gas emissions throughout its business activities and society as a whole, by rolling out IOWN technology, increasing development and use of renewable energy sources, and providing services that contribute to carbon neutrality.
2. A commitment to resource recycling
   We will shift from a one-time use consumption-oriented company to a recycling-oriented one. We will promote the effective use of resources throughout the entire life cycle of products and systems, from procurement to use and disposal.
3. Conserving ecosystems
   Through our business and employee activities, we will promote initiatives related to conserving ecosystems within nature.
4. Compliance with laws and regulations and fulfillment of social responsibilities
   We comply with the laws and regulations related to environmental issues in each country and region, and act with high ethical standards.
5. Establishing and maintaining environmental management systems
   We will establish the Green Innovation Committee chaired by the Representative Director and Senior Executive Vice President, and discuss basic strategies concerning environmental issues, the status of implementation of activities, and information disclosure, and implement relevant initiatives.
6. Stakeholder engagement
   We will engage with stakeholders throughout our entire value chain to help resolve environmental issues.

NTT Group's Environmental Activities

The NTT Group established the NTT Group Global Environmental Charter in 1991 based on the NTT Group CSR Charter, which lays out the basic policy for CSR activities. The NTT Group Global Environmental Charter outlines the basic principles and policies for conservation of the global environment, and was used as the basis for formulating the "The NTT Group Environmental Statement," "The Eco Strategy 2030" and the "Environment and Energy Vision" that NTT Group as a whole has adopted for its environmental activities.

	April	Set up the Environmental Response Office.
	July	Set up the Global Environmental Protection Promotion Committee as a decision-making organ.
1991		Established the NTT Global Environmental Charter stipulating the basic environmental principles,
	October	basic policies and promotion system.
		Formulated the Basic Program of Environmental Protection to set targets for key action plans.
1992	March	Formulated a detailed program compiling the action plans of each business unit.
1997	November	Set up issue-based committees for promoting initiatives on six key issues.
		Changed the name of the organization to the Environmental Protection Office following the
		restructuring of NTT.
1999	July	Established the new NTT Group Global Environmental Charter to clearly express our basic
principles and policies.
		Formulated NTT Group Ecology Program 21 as our basic concept for promoting environmental
		protection.
2000	March	Set our targets for fiscal 2010 on global warming prevention, waste management, etc.
2006	May	Formulated the NTT Group Vision for Environmental Contribution.
		Added "conservation of biodiversity" to the basic policy of the NTT Group Global Environmental
2010	November	Charter.
		Announced THE GREEN VISION 2020 as the NTT Group's environmental vision for fiscal 2020.
		Announced "The NTT Group Environmental Statement," which expresses the future of our
2016	September	planet and the kind of enterprise we would like to become in that future.
		Set "The Eco Strategy 2030" as the targets for fiscal 2030.
2018	October	Became a Member of the "EP100" and "EV100" Global Initiatives.
	May	Formulated the "Environment and Energy Vision."
	Declared our support for the TCFD.
2020	October	Obtained SBT "well-below 2 degrees" certification.
	December	Earned first top rating for Japanese telecommunications company in CDP Climate Change
	Evaluation, securing an 'A List' position.
	September	Formulated the Environment and Energy Vision "NTT Green Innovation toward
2021	2040."
	December	Obtained SBT "target 1.5 degrees" approval.

Sustainability Repor t 2021

020