Environmental Accounting
The Hitachi High-Tech Group is working to efficiently reduce environmental impact by managing and calculating environmental conservation costs, economic effects, and material effects.
Environmental Accounting
In addition, in order to achieve the goals of Hitachi Environmental Innovation 2050 (1. Achieving a Decarbonized Society 2. Achieving a Resource Efficient Society 3. Achieving a Harmonized Society with Nature), that are the long-term environmental goals shared by the Hitachi Group, we are managing measures and targets through the Environmental Committee and its subcommittees and meetings, and are working to understand the costs of environmental conservation and improve the effects of environmental conservation by implementing these measures and setting targets.
Compared to our record-high FY2022 results, our FY2023 results were lower in both revenue and profit, having been impacted by customer investment deferrals due to deteriorating semiconductor market conditions, making it a difficult year.
Under these circumstances, the business area cost, which is included in the environmental conservation costs, and is for controlling the environmental impact which results from key business operations within the business area, decreased by ¥57 million.
R&D and design costs (costs for research and development activities) for designing environmentally conscious products and for other such measures also decreased, down ¥297 million from the previous fiscal year.
On the other hand, administration costs (costs for management activities for environmental conservation) increased by ¥56 million from the previous fiscal year due to increases in the number of course takers in response to implementation of remote environmental education and webinars.
Among environmental investment costs, those for preventing global warming were ¥380 million due to replacement of air compressor equipment, and other measures. Total environmental investment decreased by ¥103 million compared to the previous fiscal year.
* The charts below have been formulated in compliance with the Ministry of the Environment's Environmental Accounting Guidebook II.
* Calculation Standards
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Scope of calculation:
Hitachi High-Tech Group (head offices, branches in Japan, manufacturing division in Japan), manufacturing Group companies in Japan, headquarters of sales Group Companies, and headquarters of service Group company (Hitachi High-Tech Fielding Corporation) -
Period covered:
April 1, 2023 - March 31, 2024 -
Costs:
Includes labor costs, R&D costs, depreciation costs, etc. -
Effects:
Net earnings effect: Earnings from operations relating to environmental conservation
Cost reduction effect: Sum by which costs are reduced as a result of measures to reduce the environmental burden (does not include expected effects)
Environmental Conservation Costs
| Classification | FY2022 | FY2023 | Increase/ Decrease |
Notes | |
|---|---|---|---|---|---|
| 1. Business area costs Cost of minimizing the environmental burden arising from business activities in each business area |
878 | 821 | ▲57 | Costs associated with reducing environmental risks | |
| Breakdown | Pollution prevention costs Cost of preventing pollution, including air, water, and soil pollution |
149 | 132 | ▲17 | |
| Environmental conservation costs Costs associated with the prevention of global warming and energy conservation |
479 | 433 | ▲46 | ||
| Resource recycling costs Costs associated with resource conservation and waste reduction and recycling |
249 | 255 | 6 | ||
| 2. Upstream and downstream costs Cost of minimizing the upstream/downstream environmental burden arising from business activities |
60 | 356 | 296 | ||
| 3. Administration costs Cost of management activities focused on environmental conservation |
817 | 873 | 56 | Costs associated with promoting activities | |
| 4. R&D costs Cost of R&D activities |
2,257 | 1,960 | ▲297 | ||
| 5. Social activity costs Cost of social projects |
81 | 58 | ▲23 | ||
| 6. Other Environmental remediation costs |
1 | 1 | 0 | ||
| Total expenses of environmental conservation (1-6) | 4,093 | 4,070 | ▲24 | ||
| All environmental conservation costs - environmental conservation effects (economic effects) | 4,004 | 3,999 | ▲4 | ||
* 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
Environmental Conservation Benefit
| Item | Conservation Benefit (FY2022) | Conservation Benefit (FY2023) | |
|---|---|---|---|
| Economic benefit | Net earnings effect | 42 | 35 |
| Cost reduction effect | 48 | 35 | |
| Total | 90 | 70 | |
Unit: ¥1 million/year
| Classification | FY2022 | FY2023 | Increase/Decrease | Notes |
|---|---|---|---|---|
| Total environmental investment | 483 | 380 | ▲103 |
Unit: ¥1 million/year
Breakdown of Environment-related Investment by Purpose (Year-on-Year Change)
