Nippon Sanso Holdings expressed its support for the recommendations of the Task Force on Climate-related Financial
Disclosures (TCFD)*
in November 2019. We have already been working to reduce environmental impacts and save energy, and to expand its
lineup of products that contribute to reducing GHG emissions.
However, based on the
final recommendations of the TCFD, we will enhance these
initiatives even further and phase in improvements to our
relevant information disclosure as we work to increase the
corporate value of the entire Group.
※The TCFD announced its final recommendation report in June 2017, which recommends
that all companies and other organizations disclose information about governance,
strategies, risk management, indicators, and targets regarding climate change-related
risks and opportunities.
Governance
We have established a governance structure for
climate change issues, and we are engaged in
initiatives on climate change.
Strategy
Regarding climate-related issues identified as materiality, we have
identified opportunities and risks through
"transition scenarios" and "physical climate scenarios" based on the TCFD's recommendations. Negative impacts that
have a significant financial impact on our company are considered as risks, while positive impacts are considered as
opportunities.
For the "Transition Scenario," the Sustainable Development Scenario(SDS) of the International Energy Agency(IEA)
was used, and for the "Physical Climate Scenario," Fifth Assessment Report (RCP8.5) of the UN's Intergovernmental
Panel on Climate Change(IPCC) was used as a reference for impact analysis.
The table below shows the results of our analysis and synthesis of our group's opportunities and risks and their
possible impact on our procurement, operations, and products/services.
Risk Management
We will construct a Groupwide risk management structure, and will identify, assess, and manage climate-related
risks.
Climate change risk identification, assessment, and management process
|
Risk identification, assessment, and management |
• Global Risk Management Committee
• Global Strategy Review Committee
• Technology Risk Liaison Committee |
• Construction of risk management system in Nippon Sanso Holdings Group companies to
enable early
discovery of long-term risk, prevention, and rapid response in cases of risk materialization
• Risk importance determined by occurrence frequency × Financial or strategic impact
• Annual Global Strategy Review Committee meeting (Chairperson: CEO) to determine financial or
strategic impact on business
• Specific countermeasures for items determined by the Global Strategy Review Committee determined
at Technology Risk Liaison Committee meeting held between Nippon Sanso Holdings and operating
companies, then deployed globally
|
Metrics (Indicators) and Targets
In the medium-term management plan, we will set out indicators and targets to be used for assessing and managing
risks and
opportunities, then use them to evaluate our progress.