The Hitachi High-Tech Group strives to reduce the burden that we place on the environment, controlling costs associated with efforts to reduce the environmental burden. We are also measuring the quantity of resource inputs into our business activities and the scale of emissions that impose a burden on the environment.
The Hitachi High-Tech Group introduced environmental accounting starting in FY2001 as a tool for managing our environmental conservation activities. We confirm our cost-effectiveness with regard to environmental conservation and conduct evaluations of the Group's engagement in environmental initiatives.
As a result of Group activities in the current fiscal year, environmental conservation expenses increased by ¥137 million (about 4% year-on-year). The main factors in this increase were higher depreciation expenses due to investment in environmental facilities, which has been increasing in recent years, and higher management costs (increase in personnel expenses and outsourcing expenses) in conjunction with compliance with environmental laws and regulations.
Environmental investment was down ¥137 million (about 21% year-on-year). The main factors were decreases in large-scale production facility updates and replacement of air conditioning equipment and so on.
We expanded environmental conservation measures, which contribute to the heightened effectiveness of environmental conservation. The increases occurred due to promotion of activities for achieving a decarbonized society , realizing a recycling-oriented society, and realizing a society in harmony with nature. These are based on the long-term environmental targets of Hitachi, Ltd., in Hitachi Environmental Innovation 2050 and on the Hitachi High-Tech Group Materiality of "Contributing to a sustainable global environment."
| Classification | FY2018 | FY2019 | Increase/ Decrease |
Notes | |
|---|---|---|---|---|---|
| 1. Business area costs Cost of minimizing the environmental burden arising from business activities in each business area |
828 | 852 | 24 | Decrease is desirable due to contribution to environmental burden | |
| Breakdown | Pollution prevention costs Cost of preventing pollution, including air, water, and soil pollution |
124 | 139 | 16 | |
| Environmental conservation costs Costs associated with the prevention of global warming and energy conservation |
508 | 482 | ▲26 | ||
| Resource recycling costs Costs associated with resource conservation and waste reduction and recycling |
197 | 231 | 34 | ||
| 2. Upstream and downstream costs Cost of minimizing the upstream/downstream environmental burden arising from business activities |
18 | 60 | 43 | ||
| 3. Administration costs Cost of management activities focused on environmental conservation |
704 | 694 | ▲10 | Increase is desirable due to contribution to environmental initiatives | |
| 4. R&D costs Cost of R&D activities |
2,008 | 2,043 | 34 | ||
| 5. Social activity costs Cost of social projects |
34 | 73 | 39 | ||
| 6. Other Environmental remediation costs |
3 | 10 | 7 | ||
| Total expenses of environmental conservation (1-6) | 3,594 | 3,731 | 137 | ||
| All environmental conservation costs - environmental conservation effects (economic effects) | 3,533 | 3,682 | 149 | ||
* There were no environmental fines or penalties during the fiscal year.
* The totals of each item and the values in the total column may differ due to the number of digits displayed.
Unit: ¥1 million/year
| Item | Conservation Benefit (FY2018) | Conservation Benefit (FY2019) | Key Details | |
|---|---|---|---|---|
| Economic benefit | Net earnings effect | 30 | 21 | Reduced purchase price for scrap (mainly metal) material generated in manufacturing processes |
| Cost reduction effect | 31 | 28 | ||
| Total | 62 | 49 | ||
| Material benefit | Reduction in electricity usage | 423 MWh/year | 310 MWh/year | Increase in replacements of air-conditioning equipment, etc., by domestic Group manufacturing companies |
Unit: ¥1 million/year
| Classification | FY2018 | FY2019 | Increase/Decrease | Notes |
|---|---|---|---|---|
| Total environmental investment | 672 | 534 | ▲137 |
Unit: ¥1 million/year
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