Mitigating and adapting to the threat posed by climate change requires active involvement by national governments, local governments, corporations, citizens, and others. Astellas recognizes that climate change will become a constraint on conducting sustained corporate activity, and considers it one of management's most important problems to address.
Astellas has adopted the method for setting reduction targets recommended by the Science Based Targets (SBT) Initiative. This method is designed to achieve the 2°C target of the Paris Agreement, which entered force in 2016. In November 2018, the SBT Initiative certified the targets laid out in Astellas’ Environmental Action Plan.
In the review of risks and opportunities that the SBT target setting process and climate change will present to businesses, we have adopted the 2°C Scenario of the International Energy Agency (IEA 2DS). Guided by IEA 2DS, we will promote measures from a medium- to long-term perspective.
Progress on Action Plan (SBT): Change in Actual GHG Emissions Volume
Our progress toward SBT targets calculated based on the GHG Protocol is as follows:
Environmental Action Plan (Scope 3 / revenue)
|Fiscal 2015||Fiscal 2016||Fiscal 2017||Fiscal 2018|
|GHG emissions (Scope 3) (Tons)||266,637||253,613||254,991||228,183|
|Revenue (billion Yen)||1,373||1,312||1,300||1,306|
|Emission per unit of revenue (tons/billion Yen)||194||193||196||175|
|Ratio to Base-year (%)||--||-0.5||1.0||-10.1|
* The third-party assurance covers GHG emissions (Scope 3) and emission per unit of revenue.
Changes in Actual GHG Emissions Volume
The actual volume of GHG emissions of Astellas in fiscal 2018 was 194 kilotons (Scope 1: 82 kilotons, Scope 2: 112 kilotons).
Changes in Actual GHG Emissions Volume by Area
* Non-energy-related GHG emissions are not included.
Our Efforts to Reduce GHG Emissions
In order to reduce GHG emissions, Astellas must implement management practices that involve the entire Group from a medium-term perspective. Astellas’ manufacturing plants, research centers, sales and marketing divisions, and offices are implementing a variety of initiatives with the aim of mitigating climate change.
Regarding tangible elements, efforts to improve facilities, which include the introduction of high-efficiency equipment and the conversion to alternative fuels, are expected to make a significant contribution to reducing the level of GHG emissions generated by energy sources. Regarding intangible aspects, employees’ participation in energy saving through improvements of daily work is also important. To this end, each facility adopts a two-pronged approach, comprising measures related to both tangible and intangible elements.
Promotion Framework and Initiatives for Climate Change Mitigation
Astellas has established the Global EHS Sub-Committee (GEHSSC) as a special task force under the CSR Committee to discuss measures to deal with various environmental issues, including climate change mitigation measures. Members from regional bases participate in discussions on methods to save energy and reduce GHG emissions throughout the Group based on an analysis of the risks and opportunities that climate change presents to our business, and so forth.
Matters are discussed and decided in GEHSSC and are referred to the Executive Committee and the Board of Directors for discussion depending on their importance. Through this process, Astellas decides on these matters.
Analysis of the Risks and Opportunities That Climate Change Presents to Our Business
Based on IEA 2DS, we carry out scenario analysis regarding changes in the external environment due to such factors as international policy trends and emissions trading systems, the impact on work operations of physical changes caused by climate change, and assessments by stakeholders concerning our measures to mitigate and adapt to climate change. We believe that understanding the conceivable risks and moving forward with medium- to long-term measures to minimize risk will lead to opportunities for our business to be sustainable.
Investment Plan for Climate Change Mitigation Measures
In fiscal 2018, Astellas planned to invest approximately ¥450 million in mainly energy-saving measures at each business facility, the renewal of air conditioning equipment, and the introduction of LED lighting. In fact, we completed an investment of ¥180 million and reduced GHG emissions by 2,061 tons.
Regarding the survey about the possibility of installing a biomass boiler conducted in fiscal 2016, we will continue to investigate its installation despite issues such as cost-effectiveness.
Understanding GHG Emissions in the Supply Chain
Although the Environmental Action Plan concerning climate change is targeting emissions directly generated by business activities (Scope 1 and Scope 2), Astellas is also striving to assess emissions produced throughout the entire supply chain (Scope 3). We have also set SBTs for GHG emissions from major categories within Scope 3, and are striving to reduce them. In addition, we encourage our production contractors to support and cooperate with our measures to reduce GHG emissions.
Details of Scope 3 are available in the section on indirect GHG emissions (Scope 3).
Priority Use of Gaseous Fuel
At Astellas’ research and production bases, we use boilers fueled by city gas, LPG and LNG (liquefied natural gas), all of which generate low GHG emissions during combustion. These boilers not only contribute to reducing GHG emissions but also to reducing SOx emissions, another air pollutant.
Introduction of Energy Monitoring Systems
Knowing exactly how much energy we use is useful for the formulation of new strategies. We have introduced energy monitoring systems that can visually monitor energy usage at our facilities.
Reduction of GHG Emissions Generated by Sales Activities
Since fiscal 2008, Astellas has been striving to reduce GHG emissions associated with the use of sales fleets. In each region, we are continuously switching over to vehicles with low environmental impact (e.g. hybrid cars). In Japan, where the rate of introducing hybrid vehicles is high, the volume of GHG emissions relative to the number of vehicles has been reduced more than in other regions.
GHG emissions associated with the use of sales fleets are reported under Scope 1.
Changes in GHG Emissions Volume
|Fiscal 2016||Fiscal 2017||Fiscal 2018|
|Total for each region||27,287||24,203||23,725|
When it cannot be directly measured, the actual fuel usage is estimated from mileage and fuel efficiency (catalog value).
Using Renewable Energy
The use of renewable energy is one of the most effective climate change countermeasures. Astellas is proactively introducing photovoltaic panels and wind power, and such equipment as biomass boilers, to its facilities. All energy generated through these means is consumed at these facilities.
Moreover, we purchase electricity generated by renewable energy sources. As a result, we are indirectly suppressing GHG emissions.
Usage of Renewable Energy (Fiscal 2018)
|Offices||Type of renewable energy||Energy consumed|
|Kerry Plant||Wind turbine generation (Power capacity 800 kW)||1,688 MWh|
|Wood chip biomass boiler (Power capacity 1.8 MW)||38,794 GJ|
|Purchase of electricity generated by renewable energy sources||6,827 MWh|
|Dublin Plant||Purchase of electricity generated by renewable energy sources||4,993 MWh|
|Meppel Plant||Purchase of electricity generated by renewable energy sources||12,908 MWh|
|Leiden||Purchase of electricity generated by renewable energy sources||3,120 MWh|
|Use of geothermal heat||1,665 GJ|
|US HQs||Use of geothermal heat||3 GJ|
|Tsukuba Research Center||Photovoltaics||48 MWh|
|Yaizu Facilities||Use of geothermal heat (can not be measured)||-|
Participation in the Federation of Economic Organizations’ Commitment to a Low-Carbon Society
Astellas is participating in the commitment to a low-carbon society* formulated by the Federation of Pharmaceutical Manufacturers’ Associations of Japan, which is based on requests from the Federation of Economic Organizations.
*To reduce the amount of carbon dioxide emissions from pharmaceutical manufacturers in fiscal 2020 by 23% based on the amount of emissions in fiscal 2005.