Performance Data

Climate Change

Climate change governance

Committee MHI Group Environment Committee
Risk management measures At MHI, our efforts to mitigate and adapt to climate change with measures like reducing CO2 and other greenhouse-gas emissions is responsible for the Environment Committee, chaired by the Chief Technology Officer (CTO), which holds supreme authority in the field. In fiscal 2016, the Environmental Planning Group at MHI Headquarters served as the Secretariat. The managers of individual divisions assess climate change risk and other forms of environmental risk using benchmarks for the scale of impact on business operations and society, and the urgency of risk countermeasures. Significant risks are relayed through Environmental Planning Group channels to the Environment Committee, which then deliberates on countermeasures. Especially serious risks are reported to the Executive Committee headed by the Company President. The Executive Committee then explores reported risks and implements Companywide measures against those deemed important. These risks will be proposed to the Board of Directors for deliberation when members of the Board of Directors present at the Executive Committee deem it important to do so.
Climate change opportunities Implementation of the Paris Agreement is expected to spur global growth in the demand for highly effcient power generation as a step toward the creation of a low-carbon society. MHI Group has developed and begun supplying power generation systems that use hydrogen fuel, power-generating plants powered by high-effciency gas turbines as well as systems for the recovery of CO2 from power plant exhaust gases. The Group considers emissions regulations overseas to be a significant business opportunity.
Incentives toward management activities related to the issue of climate change In fiscal 2017, as part of its Group-wide award system, MHI Group established the Best Environmental Product Award and the Best Environmental Practices Award as categories in its annual Best Innovation Awards. Winners receive awards amounting to hundreds of thousands of yen.
In fiscal 2019, the Best Environmental Product Awards were presented to two products including the plug-in hybrid transport refrigeration unit which reduces energy consumption and exhaust emissions and MEROS®, the dry-type multi-component off-gas cleaning system for steel plants. Meanwhile, the Best Environmental Practice Award, which recognizes business activities that reduce environmental impact, was presented to the members of the Commercial Aviation Systems Division who successfully reduced VOC emissions in the process of manufacturing aircraft metallic parts through the development of solventless paint.
CDP submission We have submitted a CDP response since fiscal 2004, and the evaluation of fiscal 2019 was A-.
Recommendations for policies related to climate change In order to maximize efforts to combat climate change, MHI Group makes policy recommendations through the Japan Business Federation.

Efforts toward the Task Force on Climate-related Financial Disclosures

Efforts toward the Task Force on Climate-related Financial Disclosures Offering solutions to address the issue of climate change is MHI Group’s contribution and responsibility to society. Efforts to do so are part of the Group’s business strategy and determined after Groupwide discussion.
Initiatives on reducing environmental burden are carried out across the entire Group. We conducted the initiatives and analysis below centered on the energy-related products business, which has the biggest impact on the environment.
1. Climate scenario for the Under 2°C Increase Goal Power demand will grow worldwide and share of renewable energy will increase.
  • United States and Europe: Power demand is increasing due to the progress in electrification.
    Meanwhile, society is aiming for decarbonization as the penetration of renewable energy.
  • Southeast Asia : Power demand is increasing by economic growth. Stable power supply is required in addition to renewable energy.
2. Climate-related risks and opportunities
  • Downward trend in the market for new coal-fired thermal power facilities.
  • Meanwhile, demand still remains for the thermal power with low environmental emissions with the energy security needs.
    Strong demand for modernizing existing power plants reducing CO2 and other environmental emissions for stable energy supply.
  • Solid market expected over medium- to long-term demand for new gas power plants with expansion of the LNG market.
  • Growth in offshore wind turbine market
    (Expansion from the Europe into greater North America and Asia (approx. 4–6 GW per year))
3. Business strategies and risk management
  • Optimization of resources for the market after 2021 (reorganization, personnel shifts, etc.)
  • Provision of solutions for low-carbon needs
    • Strengthen mass production systems for offshore wind turbines and launch the world’s largest turbine
    • Collaboration with renewable energy toward realizing a decarbonization society in the future (eg. the development of hydrogen-powered gas turbines.)
  • Promotion of state-of-the-art technologies (IGCC, highly efficient GTCC/USC, CCS/CCUS)
  • Provision of AI/IoT technology solutions
  • Development of Key Index Approach (QoEnTM Index) (Note 3) to support necessary energy supply with high-quality energy infrastructure in accordance with the characteristics and needs of target area.
4. Financial impact Disclosure of results at earnings announcements, business strategy meetings, etc., upon examination within business forecasts.
  • 1Ultra super critical
  • 2Carbon capture and storage/carbon capture utilization and storage
  • 3QoEnTM is a registered trademark of Mitsubishi Heavy Industries, Ltd.

Climate change opportunities and risks

Activities that mitigate climate change at business site

Energy-saving activities To reduce emissions of CO2 and other greenhouse gases from our operations, MHI Group conducts a range of activities to conserve and raise the efficiency of energy at each site, including the shift to LED lighting and highly energy-efficient substation equipment.
Introduction of Renewable Energy MHI Group, at some of its business sites,works to reduce emissions of CO2 and other greenhouse gases by shifting to renewable energy and using electricity. Each site has installed photovoltaic (PV) systems and purchases electricity generated through hydroelectric power. In March 2018 PV systems were installed on the rooftop of the Thailand plant of Mitsubishi Turbocharger Asia Co., Ltd, reducing annual CO2 emissions by nearly 3,000 tons, for which the company received high acclaim from the Thai government as it contributed to the country’s reduction of CO2 emissions.

Products and technologies that mitigate climate change

Products and technologies that mitigate climate change and reduction in CO2 from using MHI Group products MHI Group is working to create a low-carbon society across a broad spectrum of fields, including large-scale power generation technologies such as highly efficient thermal power generation plants and nuclear power plants; power generation systems that utilize wind, geothermal, and other renewable energies; ships and transportation systems for improving the efficiency of the transportation sector; and high energy-saving air-conditioning systems that use heat pump technology. In fiscal 2019, through the reduction in CO2 from using MHI Group’s main products came to about 61,438 thousand tons.
  • Base lines were determined (base year/comparison target) in accordance with the characteristics of each product. Using these base lines, the amount of CO2 reduced through product use was calculated in accordance with such factors as the number of products in operation and the number of units
    sold in the relevant fiscal year.

GHG Emissions

Direct GHG emissions (Scope1)

CO2emissions (consolidated) Unit 2017
(Note 1)
2018
(Note 2)
2019
(Note 3)
2020
(Note 4)
Performance kt 188 184 185 150
Assurance
(domestic)
kt 151 135(Note 5) 122(Note 6) -
Other emissions
(MHI)
CH4 Performance t-CO2 82 259 51 -
N2O Performance t-CO2 458 464 187 -
HFCs Performance t-CO2 791 1,303 579 -
PFCs Performance t-CO2 0 0 0 -
SFCs Performance t-CO2 42 39 21 -
Other Performance t-CO2 0 0 0 -
  • 1Data is for MHI on a non-consolidated basis and 152 Group companies.
  • 2Data is for MHI on a non-consolidated basis and 163 Group companies.
  • 3Data is for MHI on a non-consolidated basis and 157 Group companies.
  • 4Data is for MHI on a non-consolidated basis and 156 Group companies. (Coverage: 97% of consolidated revenues)
  • 5Data is for MHI on a non-consolidated basis and 16 Group companies.
  • 6Data is for MHI on a non-consolidated basis and 14 Group companies.

Indirect GHG emissions (Scope2)

Unit 2017
(Note 1)
2018
(Note 2)
2019
(Note 3)
2020
(Note 4)
Performance kt 649 609 526 417
Assurance (domestic) kt 433 358
(Note 5)
302(Note 6) -
  • 1Data is for MHI on a non-consolidated basis and 152 Group companies.
  • 2Data is for MHI on a non-consolidated basis and 163 Group companies.
  • 3Data is for MHI on a non-consolidated basis and 157 Group companies.
  • 4Data is for MHI on a non-consolidated basis and 156 Group companies. (Coverage: 97% of consolidated revenues)
  • 5Data is for MHI on a non-consolidated basis and 16 Group companies.
  • 6Data is for MHI on a non-consolidated basis and 14 Group companies.

GHG emissions (other) (Note)

Unit 2017 2018 2019 2020
Transport and delivery
(upstream & downstream emissions)
Performance t 3,095 1,374 1,647 969
  • Data is for MHI on a non-consolidated basis

Energy Consumption

Total energy consumption

Unit 2017
(Note 1)
2018
(Note 2)
2019
(Note 3)
2020
(Note 4)
Performance GWh 2,231 2,147 2,097 1,791

Electricity purchased

Unit 2017
(Note 1)
2018
(Note 2)
2019
(Note 3)
2020
(Note 4)
Performance GWh 1,269 1,191 1,120 998

Renewable energy

Unit 2017
(Note 1)
2018
(Note 2)
2019
(Note 3)
2020
(Note 4)
Performance GWh 12 17 18 119
  • 1Data is for MHI on a non-consolidated basis and 152 Group companies.
  • 2Data is for MHI on a non-consolidated basis and 163 Group companies.
  • 3Data is for MHI on a non-consolidated basis and 157 Group companies.
  • 4Data is for MHI on a non-consolidated basis and 156 Group companies. (Coverage: 97% of consolidated revenues)

Energy use (Japan)

Unit 2017(Note 1) 2018(Note 2) 2019(Note 3) 2020(Note 4)
Electricity GWh 840 739 699 617
Heavy fuel oil A ML 4 5 3 3
Heavy fuel oil B・C KL 0.1 0 20 0
Gasoline ML 2 0.7 0.3 0.2
Diesel/Gas oil ML 7 4 3 4
Kerosene ML 3 2 4 2
Jet fuel ML 0.7 0.7 0.7 0.7
Coal for fuel use Kt 0.2 0.1 0.1 0
Coke t 0 0 0 0
City gas Mm3 39 38 36 29
Liquefied Petroleum Gas Kt 5 4 4 4
Liquefied Natural Gas Kt 0.5 0.2 0.1 0.7
Petroleum hydrocarbon gas Km3 0.4 0 0.1 0.1
Hot water GJ 5 30 21 20
Chilled water TJ 13 17 7 6
Steam TJ 11 10 4 4
  • 1Data is for MHI on a non-consolidated basis and 66 Group companies in Japan.
  • 2Data is for MHI on a consolidated basis and 16 Group companies.
  • 3Data is for MHI on a non-consolidated basis and 14 Group companies.
  • 4Data is for MHI on a non-consolidated basis and 15 Group companies.