Environmental Conservation

Environmental Management OKI Group Environmental Activity Plan

OKI Group Medium-Term Environmental Plan 2022

OKI has formulated a Medium-Term Environmental Management Plan (Medium-Term Environmental Plan) with the aim of spreting in the organization a desire for and awareness of environmental management, with the aim of realizing the medium- to long-term environmental vision, "OKI Environmental Challenge 2030/2050".
The Medium-Term Environmental Plan includes five pillars based on our desire to promote environmental activities as we con-duct business-including SDGs and decarbonization-communicate information on the process and results of such activities to stakeholders, use the results to help achieve sustainable growth, and revitalize the environ-mental activities of individual employees, which provide the support necessary to make all this happen.

Overview of Medium-Term Environmental Plan 2022

The details of this medium-term plan-which have been formulated as the action plan up through fiscal year 2022.

OKI Group's Major Environmental Activity Plan Targets for Fiscal 2022 and Results for Fiscal 2020

The following table shows the major activities and achievements of the environmental activity plan, in fiscal 2020.

Environmental Theme	Measures	Classification	Applicable	Action Plan through FY 2022	Achievements in Fiscal 2020
Mitigation of Climate Change (Decarbonization)	Reduction of life cycle CO2	Risk	Entire	Life cycle CO2 reduction rate of 21% or more (compared to FY 2013) Purchase of emissions trading rights 1,350 t-CO2 or more	54% reduction Cumulative purchase of 600 tons of CO2
Mitigation of Climate Change (Decarbonization)	Reduction of CO2 emissions from business sites	Risk	Base	35% reduction in CO2 emissions from sites (compared to FY 2013)	34% reduction
Adaptation to Climate Change	Measures against extreme weather: Measures against wind and flood damage, high and low temperatures, etc.	Opportunity	Merchandise	Developing solutions that contribute to climate change adaptation	Provision of disaster prevention information systems
Adaptation to Climate Change		Risk	Entire	Strengthen BCP/BCM for sites and important procurement	Implemented in each division
Prevention of Contamination	Strengthen management of chemical substances contained in products	Risk	Merchandise	Strengthen common operations throughout the Group	Strengthening operations through working groups across business divisions
Prevention of Contamination	Reduction of chemical substance emissions	Risk	Base	Monitoring of emission rate (*1) 1 at least once a year	Conducted monitoring. (The emission rate in fiscal 2020 was 1.8%.)
Resource Recycling	Circular economy compatible	Opportunity	Merchandise	Creation of 3 circular economy projects	Six existing projects are under consideration
Resource Recycling	Reduction of waste materials	Risk	Base	Recycling rate (*2) Above the average (83%) for FY 22014 to FY 18	Recycling rate of 79%
Entire	Expansion of eco-solutions	Opportunity	Merchandise	Sales of 72 billion yen (16% of total sales) or more	Sales 127.3 billion yen (32% of total sales) *Definition and classification are being maintained.

*1 :
Amount of chemical substances released into the air/water system ÷ Amount of chemical substances input
*2 :
Amount of resource waste (including amount sold for value)/amount of resource input

Water consumption reduction targets and water shortage risk

The OKI Group's water consumption in fiscal 2020 was 1.75 million m3. Of this amount, 88% is used at production sites in Japan, and 8% is used at overseas production sites, accounting for 96% of the total. In FY 2020, water intake/consumption in water-stressed areas was 89700 m3, or about 5% of the Group's total water consumption, and the risk of water shortage is considered to be low at present. (Water stress is defined as "high level" or higher in Base Line Water Stress of AQUEDUCT Water Risk Atlas and is evaluated periodically.)

Based on the belief that the impact of climate change will be felt in water in general, OKI has set an absolute reduction target of 0.2% or more from fiscal 21 for the Group's total water consumption in fiscal 22 in preparation for future water shortage risks. We plan to continue our efforts to reduce emissions based on the results of fiscal 22.

As an example of water use at production sites in Japan, water used in production processes is neutralized and detoxified using chemicals before being discharged.
In many cases, these sources of water are groundwater, which is abundant in Japan due to its geographical environment. In fiscal 22, we began setting group-wide targets for reducing water consumption, mainly at sites with large water withdrawals, with a view to future water shortage risks associated with climate change.

In Thailand, where the risk of water shortage is high, almost no water is used in the production process because the plant is an assembly plant. However, considering the scarcity of water resources in the region, we have set water reduction targets and will continue to do so.
In preparation for water shortages, one of our plants in Thailand has agreed to cooperate with an industrial park in dealing with water shortages. Groundwater is provided by the industrial park in the first stage of water shortage, and after a certain number of days, recycled water is provided in the second stage. In the second stage, the plant does not use water for production from the viewpoint of conductivity of water quality, but only for household water for employees, such as toilets and cafeterias, in consideration of production quality.

Water consumption by the OKI Group (FY 2020 results)

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