14 June 2021
Sumitomo Electric Obtains SBTi Certification for Its GHG Emission Reduction Targets and Supports TCFD Recommendations
Sumitomo Electric Industries, Ltd. is pleased to announce that the Sumitomo Electric Group has become certified by the international initiative Science Based Targets initiative (SBTi)*1 for the compliance of the Group’s greenhouse gas (GHG) emission reduction targets, which it is aiming to achieve by 2030, with the initiative’s standards. In addition, Sumitomo Electric has announced its support for the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD)*2, which has been set up by the Financial Stability Board (FSB).
The Sumitomo Electric Group sees that its most significant management
challenges include environmental conservation efforts to be made from
a global perspective. Based on its Environmental Policy＊３, the Group is
promoting the Action ECO-22V Campaign＊４ and making other efforts to
conserve the environment through its products and services.
With this background, the Company has become certified by SBTi for the
following GHG emission reduction targets, which the entire Group has set
as parts of its efforts regarding environment conservation.
<Sumitomo Electric Group’s GHG Emission Reduction Targets＊５>
■ Scope 1 + 2 (GHGs directly emitted by the Company + GHGs indirectly emitted as a result of the use of power, heat and steam supplied by other companies): reduction by 30% from the FY 2018 level by FY2030
■ Scope3 (GHGs emitted indirectly in manners other than Scope 1 and Scope 2): 15% reduction from the FY 2018 level by FY2030
To further contribute to establishing a sustainable society with less
environmental impact, the Company has also announced its
support for the TCFD recommendations to analyze risks and
opportunities brought about by climate change to businesses and
disclose the information.
Taking its certification by SBTi and support to the TCFD recommendations
as a good opportunity, the Sumitomo Electric Group is determined to further
promote business operations that will contribute to solving global
environmental problems＊６ while proceeding with climate-related disclosures.
<Supplement information >
* 1. Science Based Targets initiative (SBTi)
A joint initiative operated by the four institutes of the CDP
(an international NGO developed from the Carbon Disclosure Project),
the United Nations Global Compact (UNGC), the World Resources
Institute (WRI) and the World Wide Fund for Nature (WWF).
The SBTi certifies “science-based” GHG emission reduction targets
that meet the Paris Agreement (which aims to limit global warming
to well below 2℃, preferably to 1.5℃, compared to pre-industrial levels).
* 2. Taskforce on Climate-Related Financial Disclosures (TCFD)
A taskforce established by the Financial Stability Board (FSB)
at the request of the Summit on Financial Markets and the World
Economy (G20). Seeing climate change as “risks” and “opportunities,”
the institute recommends disclosing the impact caused on corporate
finance by global warming due to GHGs and calls for governmental
agencies, financial institutes, and companies to support the
TCFD’s website: https://www.fsb-tcfd.org/
* 3. Environmental Policy
* 4 Action ECO-22V Campaign
Launched in FY 2018, the campaign strives to reduce environmental
impact toward realizing a recycling-oriented society based on a
five-year plan. https://sumitomoelectric.com/csr/environment/action
* 5. Sumitomo Electric Group’s GHG Emission Reduction Targets Unlisted
companies in the Sumitomo Electric Group are covered.
Sumitomo Riko Co., Ltd. and Nissin Electric Co., Ltd., as well as their
group companies, are also covered.
* 6. The Company’s business operations that will contribute to solving
global environmental problems toward making society
“environmentally friendly,” “safe and secure” and “comfortable
with much potential for growth,” the Company offers new products,
services and solutions, especially in the fields of mobility, energy
・ Examples of the Company’s contribution in each area
Mobility: CO2 emission reduction through the spread of EVs
and weight-reduction of automobiles
Energy: Spread of environmentally friendly, renewable energy
Communications: Realization of a data-driven society and societal
implementation of eco-friendly technology