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Environmental Preservation

Initiatives to Achieve Carbon-Neutral Status

Updated in October 2022

Initiatives to Achieve Carbon-Neutral Status

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We are strengthening our environmental management with the aim of achieving carbon neutrality by 2050.

Message from the Supervisor of Environmental Measures Promotion
  • Shojiro Watanabe Managing Executive Officer, Supervisor of Environmental Measures Promotion

    Shojiro Watanabe
    Managing Executive Officer,
    Supervisor of Environmental Measures Promotion

  • Committed to Reducing our Environmental Impact
    The global movement toward global environmental protection and global warming countermeasures is accelerating, as evidenced by the de facto strengthening of the standard for climate change countermeasures to 1.5°C at COP26 held in Glasgow, UK in November 2021 and the completion of the Paris Agreement rulebook. In November 2020, we announced our carbon neutrality target for FY2050, and in May 2021, we raised our interim target for FY2030 from 26% to 50%, as we acknowledge the increasing importance of achieving carbon neutrality.
    As a result, we have identified options that take advantage of our strengths, including energy conservation, expansion of renewable energy sources, fuel conversion at thermal power plants, introduction of CCUS* technology, and the development and introduction of processes that reduce environmental impact. These options are concrete measures to address the issues we have identified. We continue to actively consider and promote them.
    In addition, although there are many ways to achieve carbon neutrality, there are some that we cannot achieve alone. Therefore, we will actively explore possibilities for collaboration with neighboring companies and the government.
    While accelerating our response to global warming from a long-term perspective, we have begun to examine the environmental impact of our current production activities in an expanded scope. By including conservation of water resources and securing biodiversity, which to date have been sporadic and individual activities, in our environmental policy, we have decided to comprehensively assess the impact of our business activities on the natural environment from a higher perspective and promote countermeasures.
    From now on, we will actively promote measures to conserve water resources and ensure biodiversity, in addition to reducing waste, promoting energy conservation, and reducing CO2 emissions from production activities.
    As a chemical manufacturer, Denka is keenly aware of its social responsibility and will make every effort to play our part in addressing the problem of climate change.
    • *CCUS: Carbon Dioxide Capture, Utilization and Storage
Policy on the Prevention of Environmental Pollution
Denka strives to accurately gauge the volume of environmental load substances emitted from production facilities run by its Group companies while continuously working to reduce them. These substances include greenhouse gases, such as CO2, SOx (sulfur oxides), NOx (nitrogen oxides), soot and dust, BOD (biochemical oxygen demand), COD (chemical oxygen demand), and other substances designated by the PRTR Law (Pollutant Release and Transfer Register Law). With marine plastic waste becoming a social issue, we are also focusing our efforts on reducing and recycling plastic waste as stipulated in the Law for Promotion of Recycling of Plastic Resources, which came into force in April 2022.
We will actively introduce equipment to remove substances that have a negative environmental impact, comply with voluntary management standards that are stricter than those set by relevant laws and regulations, and continue to strive to reduce the amount of environmental load substances.
Roadmap to FY2050

Denka announced in FY2020 that it would be carbon neutral by FY2050. As a milestone, we have established the interim target of reducing CO2 emissions by 50% (compared to FY2013) by FY2030.
Annual emissions from Denka and its Group companies in FY2021 increased compared to the previous year, when plant operations declined significantly due to the outbreak of COVID-19. However, thanks to efforts to promote energy conservation and the introduction of renewable energy (hydroelectric power), total emissions amounted to 2.15 million tons, 87% of the FY2013 level.
As part of measures to achieve carbon neutrality, we will continue to promote the following.

Promotion of energy conservation High-efficiency gas turbine generators were introduced at the Omi Plant (started operation in October 2020) and the Chiba Plant (started operation in June 2022).
We will continue to promote thorough energy conservation at all of our business sites.
Further introduction of renewable energy Denka currently has 17 hydroelectric power generation facilities (1 of which started operation in FY2022).
In the future, we will actively consider the introduction of solar power generation and further promote the use of other forms of renewable energy.
Introduction of innovative technology Denka is promoting joint development with the National Institute of Advanced Industrial Science and Technology with the aim of implementing CO2 recovery technologies by FY2030.

We are exploring and considering the development of chemical diversion for use of recovered CO2, with a view to collaborating with local communities and surrounding companies. We are also considering the introduction and development of an environmental impact reduction process to reduce CO2 emissions. By combining these technological developments and collaboration with external partners, we will steadily reduce CO2 emissions generated by our business operations.

Medium- and long-term targets for reducing greenhouse gas emissions (Scope 1 + 2)

Medium- and long-term targets for reducing greenhouse gas emissions (Scope 1 + 2)

  • * Denka Group (consolidated)
  • * Starting from the Denka Report 2021, values for the entire Denka Group are shown.

Roadmap toward carbon neutrality

Expansion of Renewable Energy Sources and Introduction of Power Generation Technologies with Low Environmental Impact

For more than 100 years, Denka has been promoting the use of renewable energy. Specifically, we have engaged in technological pursuits on two fronts, namely (1) leveraging hydroelectric power generation and other technologies to create renewable energy while (2) fully taking advantage of this energy in chemical manufacturing and utilizing it as a valuable energy source. Toward the realization of a low-carbon society, we are increasing our focus on renewable energy-related initiatives, one of our areas of strength.

1. Denka Hydroelectric Power Plants

The Omi Plant is geographically situated amid a web of 16 hydroelectric power plants, including those under co-ownership. These power plants boast a combined maximum output of approximately 140,000 kW, making this one of the largest private-owned power generation network of its kind in Japan. All of these facilities employ a natural inflow type hydroelectric power generation system that ushers river water into the turbine runners and returns it to the river as soon it leaves the generator. Thanks to these features, this type of hydroelectric power plant places a relatively smaller burden on the natural environment.
Moreover, hydroelectric power plants generate virtually no greenhouse gases while serving as a renewable energy source with superior energy efficiency. Thus, these power plants are capable of harmoniously coexisting with the natural environment while generating electricity in a sustainable manner.

  • Hydroelectric power plants [17plants in Japan] Maximum output [140,290 kW]

  • New Himekawa No. 6 Power Plant run by Kurobegawa Electric Power Company which commenced operation in April 2022 (on the left is the New Himekawa No.6 Power Plant, and on the right is the Himekawa No.6 Power Plant).New Himekawa No. 6 Power Plant run by Kurobegawa Electric Power Company which commenced operation in April 2022 (on the left is the New Himekawa No.6 Power Plant, and on the right is the Himekawa No.6 Power Plant).

2. Initiatives Related to Solar Power Generation
  • In 2013, Denka installed solar power generation facilities on the premises of its Shibukawa and Isesaki plants.
    We are currently considering new candidate sites for our plants in Japan and Group companies and promoting the introduction of more solar power generation facilities.

  • Denka Solar Power ShibukawaDenka Solar Power Shibukawa

3. Introduction of Power Generation Technologies with Low Environmental Impact
  • Denka is promoting energy conservation and expanding the use of renewable energy sources in order to achieve carbon neutrality. We have been promoting energy conservation measures by switching to alternative fuels and introducing high-efficiency gas turbine generators at thermal plants, and waste heat and biomass power generation at cement plants.
    Recently, a high-efficiency gas turbine went into operation at the Omi Plant in FY2020, and a similar gas turbine started operation at the Chiba Plant in FY2022.

  • Gas turbine power generation facility at Chiba Plant, which started operation in June 2022Gas turbine power generation facility at Chiba Plant, which started operation in June 2022

4. Breakdown of Energy Consumption by Source (non-consolidated)
  • The Omi Plant employs biomass power generation in addition to utilizing hydroelectric power generation facilities.

  • Breakdown of Energy Consumption by Source (non-consolidated)

5. Future Outlook for Our Renewable Energy Generation Capacity

We will contribute to the realization of a sustainable society through various initiatives, including the construction of new power plants and the renewal of existing power plants.

Power generation capacity (1000 kW)
  FY2005 FY2021 FY2022 FY2030
Hydroelectric 111 126 140 141
Solar, etc. 3 7 7 13
Total 114 133 147 154
  • * The above figures include 50% of the power output from power plants run by Kurobegawa Electric Power Company (a joint venture co-owned by Denka and Hokuriku Electric Power Company).
Initiatives to Reduce Environmental Burden

To fulfill its social responsibilities as a chemical manufacturer, the Denka Group is striving to reduce the environmental burden attributable to its own operations while also striving to resolve environmental concerns by recycling waste plastic and conserving biodiversity through its products and technologies.

1. Resource Recycling and Chemical Recycling
  • Denka and Toyo Styrene Co., Ltd., an equity method affiliate, have launched initiatives to commercialize the chemical recycling of polystyrene resins. With technologies licensed from U.S.-based Agilyx Corporation, we have finalized plans for the construction of a plant (annual processing capacity: Approx. 3,000 tons) at our Chiba Plant, with plans to commence operations in the second half of FY2023. The chemical recycling process we are currently studying is expected to remove restrictions on the usage of recycled polystyrene and thus serve as an epoch-making alternative to conventional material recycling processes. Moreover, the volume of CO2 deriving from the chemical recycling of polystyrene is around half that of regular production. We will continue efforts to realize full implementation as soon as possible.

  • 資源循環/ケミカルリサイクル

2. Efforts to Conserve Biodiversity
  • Along with climate change, biodiversity is becoming increasingly important to establish a sustainable society, and the establishment of an international disclosure framework is in full swing. The Denka Group’s Basic ESG Policy calls for reducing environmental impact and conserving and protecting biodiversity, and aims to maintain and improve biodiversity by assessing the environmental impact of our production activities.
    More specifically, based on the Basic Act on Biodiversity and related guidelines, we will implement the following initiatives within the next three or so years.

  • Gosen Office (Gosen City, Niigata) Waterway cleaningGosen Office (Gosen City, Niigata) Waterway cleaning

  1. Conduct risk analysis on ecological conservation in environments surrounding major offices (seven domestic offices and major production sites within the Group)
  2. Identify issues based on risk analysis and formulate an effective response plan toward 2030
  3. Conduct environmental education and biodiversity awareness activities for Group employees
3. Initiatives Related to Eco-Friendly Products
Carbonization agent “LEAF”

Taking advantage of special cement additive technologies we have nurtured over many years, we have developed “LEAF,” a carbonization agent made using ingredients derived from industrial waste. “LEAF” vigorously converts CO2 into chemically stable calcium carbonate. When “LEAF” is mixed into CO2-SUICOM, an eco-friendly concrete co-developed by Denka, the Chugoku Electric Power Co., Inc., Kajima Corporation and LANDES Co., Ltd., the resulting concrete absorbs CO2 via carbonization as it hardens. Employing a combination of these products, we will help reduce net CO2 emissions attributable to cement manufacturing.

Electronic circuit substrate “SN Plate”

Denka’s “SN Plate” is a ceramic substrate boasting superiority in terms of heat conductivity and toughness. With a heat conductivity approximately four times of that of alumina, SN Plate is based on Si3N4, a silicon nitride characterized by superior resilience and mechanical properties. Thanks to improved heat conductivity in addition to its mechanical properties, SN Plate is used as substrate for lightweight power modules used for EV, railcar and other applications requiring high reliability. In anticipation of the accelerated popularization of EVs in the automotive industry, we will contribute our material technologies to support this trend and thereby help reduce CO2 emissions attributable to this industry.

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デンカ株式会社, デンカ株式会社 IR室

Stance on Environmental Management

Aiming to Achieve “Net Zero” in Terms of CO2 Emissions by Fiscal 2050 While Striving to Reduce Emissions by 50% by Fiscal 2030 from the Fiscal 2013 Level

The Denka Group strives to achieve carbon neutrality, that is, “net zero” in terms of greenhouse gas (GHG) emissions, by the end of fiscal 2050, with the aim of contributing to the realization of goals of the Paris Agreement, an international framework agreed upon by major countries to preserve the natural environment so that human society and natural ecosystems can remain viable into the future. To this end, we will strive to push ahead with energy saving while promoting the use of renewable energy, such as hydroelectric power generation. In addition, we will take on the challenge of technological innovation in Carbon dioxide Capture, Utilization and Storage (CCUS), which is the separation and collection of CO2 emitted by plant facilities, as well as in hydrogen-fired power generation and other clean energy technologies. Furthermore, with the aim of curbing the volume of GHG emissions from our business bases and contributing to decarbonization throughout society, we will promote the development and provision of eco-friendly products and technologies designed to reduce environmental burden while stepping up resource recycling via the introduction of a novel method for plastic recycling.

DFF Inc., デンカ株式会社, デンカ株式会社 IR室, 星和ビジネスリンク
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