Responsible person Chief Technology Officer (Senior Executive Vice President)
Committee Name MHI Group Environment Committee
Members Chaired by Senior Executive Vice President, CTO and composed of 10 members.
Number of meetings 1 (FY2017)
ISO14001 certification
(As of March 31, 2018)
Cover ratio of target sites
Group company Domestic 19 companies 36%
Overseas 8 companies 16%
Other certification
(As of March 31, 2018)
EcoAction 21 2 companies
K-EMS (Certification by City of Kobe) 3 companies
Environmental audit MHI Group conducts internal environmental audits at works (plants) in Japan to ensure compliance with environmental laws and regulations and to conduct physical, on-site verification of operational conditions. Based on the environmental policy, these audits confirm that countermeasures against climate change, pollution, and measures for water conservation have been properly implemented as part of the environment management system. The audits are performed by teams composed of auditors coming from outside the works (plants) and districts being audited. We promote activities in accordance with environmental management regulations, and confirm that the environmental management system is undergoing ongoing improvements.
Reporting on breaches (Note 1) There was no significant breach last year.

Environmental KPIs

The Fourth MHI Group Environmental Targets

KPI(1) CO2 emissions / Amount of sales Target Reduce the unit CO2 emissions by 6% compared to FY2014.
Target Year FY2020
KPI(2) Water usage / Amount of sales Target Reduce the unit water consumption by 6% compared to FY2014.
Target Year FY2020
KPI(3) Waste generation / Amount of sales Target Reduce the unit waste generation in FY2020 by 6% compared to FY2014.
Target Year FY2020
2015 2016 2017 2018
Performance Compared with FY2014 Performance Compared with FY2014 Performance Compared with FY2014 Performance Compared with FY2014
KPI(1) CO2emissions (Note 1) / Amount of sales(Note 1) 19.41 Down 6.5% 19.81 Down 4.5% 18.00 Down 13.3% 17.47 Down 15.8%
KPI(2) Water usage (Note 2)/ Amount of sales (Note 2) 0.199 Down 8.5% 0.206 Down 4.9% 0.179 Down 17.0% 0.183 Down 15.0%
KPI(3) Waste generation (Note 3) / Amount of sales (Note 3) 2.46 Up 10.8% 2.24 Up 1.0% 2.02 Down 9.1% 1.88 Down 15.2%

Environmental action

Environmental management in each sites (Note 15) MHI Group has prepared and uses an ISO-based manual for each works (plants), encompassing such issues as risk identification methods, daily management procedures, and contingency plans. At each works (plants), emergency response drills are carried out to confirm the effectiveness of the response procedures for emergencies such as oil spills and earthquakes.
In the event of any crisis, the Company's in-house crisis management information system is prepared to quickly convey information to the President.

Environmental activities

Fostering environmental awareness (Note 15) At MHI, each works formulates its own environmental education curriculum based on e-learning and other methods to provide environmental education to employees. In addition to the internal environmental auditor training program organized by our training center, specialized training that deals with daily management procedures and handling emergencies also takes place for employees doing painting tasks and handling dangerous materials.
Activities for environmental preservation Supporting conservation survey for loggerhead turtles in danger of extinction Promoting forest conservation and non-native species removal activities
(Reference) Biodiversity

Environmental reporting coverage

Coverage In principle, scope of the financial and environment-related non-financial information disclosure of MHI Group includes Mitsubishi Heavy Industries Ltd. and consolidated subsidiaries. When some non-financial information applies to either only MHI Ltd. or the specific scope of business at our subsidiaries, such specific scope is defined separately.

Referenced guidelines

References guidelines Global Reporting Initiative's (GRI) Sustainability Reporting Standards
The International Integrated Reporting Council's (IIRC) International Integrated Reporting Framework
Ministry of the Environment's Environmental Reporting Guidelines (2012 version, 2018 version)
ISO 26000 Guidance on Social Responsibility.
Ministry of Economy, Trade and Industry of Japan's The Guidance for Integrated Corporate Disclosure and Company-Investor Dialogues for Collaborative Value Creation

Product Stewardship

Life-cycle assessment

Environmental Standards for Product Development In 2005, we formulated the Basic Guidelines for Environment-Friendly Product Fabrication. This technology standard provides a framework for creating products that contribute to environmental preservation and CO2 reduction. Under these guidelines, we assess the environmental impact of products across their life cycles and strive to create products that reduce environmental impact (not disclosed).
Life cycle stages included LCA Every year, we calculate the amount of CO2 reduction achieved by the use of our representative products. CO2 reductions from the fiscal 1990 level through the use of MHI Group's products in fiscal 2017 came to approximately 49,790 thousand tons.

Environmental impact assessment in products development and design phase

Assessment of environmental impact (Note 15) MHI formally established Basic Guidelines for Environment-Friendly Product Fabrication (not disclosed) in 2005 as one of the standards for producing and manufacturing guidelines common across the Company based on which we have been pursuing efforts to reduce environmental impact across the entire product life cycle.

Environmental product declaration

Environmental product declaration Since the majority of our products are industrial products for B to B sales, we need confirmation with each customer regarding the precise details required for product tests, provisions, and contracts, by going beyond the general Environmental Product Declaration in order to ensure the environmental standards and performance to be met. As for products for the general public (B to C), we have air conditioners that are fully compatible with the Energy Saving Labeling Program authorized by the Ministry of Economy, Trade and Industry (METI) by meet 100% of the set energy-saving standards. Concerning the S6M3F-MTK-S marine engine, we have also obtained the Environmental Advanced Secondary Qualification Label for Fishing Vessels certified by the Ministry of the Environment in Japan.
% of revenue Less than 5%

Collection and recycling of used products

Collection and recycling of used products Although the majority of our products are industrial products targeted for business to business (B to B) use, we promote product management throughout their entire life cycle, including disposal and recycling, through project stewardship centered on eco-design and eco-labeling. As for products targeted for the general public (B to C), air conditioners are subject to the Home Appliances Recycling Law of Japan, and are therefore collected in compliance with relevant laws and regulations. Furthermore, our rental forklifts are selected from registered Rental UP vehicles, inspected, and have parts replaced based on our in-company standards. These vehicles are then divided into three ranks according to replacement parts, painting, and warranty period for sale as a "certified second-hand vehicle." We are currently developing this business model as the first of its kind in Japan.
% of revenue Less than 5%