Medium-term Management Plan Sustainability Initiatives

Based on our new materiality, we have launched various sustainability initiatives in the form of programs. By managing and disclosing the progress of these programs, we will strengthen and enhance our efforts to resolve issues.

Medium-term Management Plan Sustainability Programs

Carbon Neutral ProgramⅠ(CNPⅠ)

We reduce our GHG emissions.
NSHD aims for carbon neutrality by technological breakthroughs by FYE2051.

KPI:
NSHD Group GHG emissions
FYE2026: -18%
FYE2031: -32% 
*) Compared to FYE2019

  • Further promotion of energy conservation and
    increased efficiency of energy use
  • Promotion of the use of renewable energy and green power
  • Carbon capture and offsets

*)  Base year: set in FYE2019, when the European gas business and the US HyCO business joined to the Group GHG emissions in FYE2019 show the actual GHG emissions in FYE2019 plus the following:
①emissions of European gas business in FYE2019 ②estimated emissions of the US HyCO business in FYE2019

Carbon Neutral ProgramⅡ(CNPⅡ)

We reduce our customers’ GHG emissions through environmental products offerings and applications.
Aim to increase the amount of GHG reduction contributions by environmental products offerings and applications.

The following target is set as KPI:

"By FYE2026, NSHD will achieve GHG reduction contribution that exceeds GHG emissions by the Group."

Lower Customer GHG emissions through environmental products offerings and applications >
NSHD Group GHG emissions 
 (FYE2026)


Global GHG reduction through NSHD’s products and technologies

Major GHG reduction contribution initiatives
  • Oxygen-enriched combustion in blast furnaces
  • H2 and NH3 combustion in industrial furnaces
  • Carbon capture and utilization

Zero Waste Program (ZWP)

3R (Reduce, Reuse, Recycle) approaches of waste treatment are requirements of the times.
We reduce our waste emissions and enable resource circulation through appropriate waste management and recycling.
Aim to reduce waste emissions by implementing ZWP

We introduce a new initiative (HALD: Halve Amount of Landfill Disposal) to the Gas business in Japan. Taiyo Nippon Sanso halve the amount of its landfill disposal by FYE 2026.

Sustainable Water Program (SWP)

Effective use of water resources is essential. We aim for the preservation of water resources by the efficient utilization of water throughout our business activities.
Aim to minimize water risks by executing SWP

Understand water risks and take measures for high-risk facilities.
  • Identify gas production plants (ASU/HyCO) in high-risk areas through the investigation of water stress by use of the “Aqueduct,” a water risk assessment tool developed by the World Resources Institute (WRI)
  • At such high-risk facilities, efforts will be made to reduce water withdrawal and consumption, such as increasing the amount of water circulation

Safety First Program (SFP)

Safety constitutes the foundation of corporate existence. Based on our motto of “Selling gas is selling safety,” we strive for the continuation of secure and safe supply by further promoting our safety activities.
Aim for World-Class Safety in the industrial gas industry
The following target is set as group safety KPI:

KPI:
Lost Time Injury Rate (LTIR)*1) ≦ 1.6*2)
Until FYE2026 

  • Sharing information on workers’ and other accidents and best practices
  • Safety capability by using DX, AI and IoT
  • Safety education/utilizing the Technical Academy
  • Investment for safety

*1) Number of lost time injuries per one million working hours
*2) The average value of FYE2017-2021 (2.53) is set as a benchmark, and a reduction of about40% by FYE2026 is set as a goal

Quality Reliability Program (QRP)

Instill a quality-oriented culture to further reform of employee awareness, and enhance NSHD’s quality and reliability by promoting introduction of automation technologies.

  • Quality ethics and compliance education
  • Quality audit program
  • Automatization of test, inspection and analysis recording
  • Increasing customer satisfaction through the activities of Semiconductor Specialty Gas Quality Committee

Talent Diversity Program (TDP)

Diversified talents are essential to the sustainable growth of our Group. We secure and train our diversified talents, and promote talent exchanges among them.
Initiate the talent development strategies for our sustainable growth
The following target is set as KPI to secure group diversity (by promoting active roles for women):

KPI:
Female employee 22% FYE2026, 25% FYE2031
Female Management posts 18% FYE2026, 22% FYE2031

  • Embrace and motivate diversified talents
  • Promote cross regional talent exchanges
  • Enhance successor development plans

Compliance Penetration Program (CPP)

Compliance constitutes the foundation of corporate existence. We further promote our compliance activities by instilling awareness and correct understanding of compliance among all employees.
The following target is set as KPI for the group compliance training:

KPI:
Rate of receiving compliance training 100%

  • Continue compliance training in each region to instill awareness and correct knowledge among all employees
  • Prevent compliance violations
  • Detect compliance violations through disseminating and operating the whistleblowing system

(Reference) Relationship between Our Materiality and Mid-term Management Plan

Based on our new materiality, we will comprehensively promote our development through "8 programs", in addition to "response to TCFD recommended disclosures" and "compliance with and implementation of the 10 principles related to the 4 areas of UNGC".

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