Conservation of Water Resources and Biodiversity

Basic Approach and Policy

Basic Approach to Water Resources

Although the Nabtesco Group does not currently require a large amount of water nor water of a certain quality for its business operations, we consider the management of water resources to be an important issue for environmental conservation and are working to reduce water consumption, properly manage water quality, and prevent the outflow of hazardous substances.

The amount of water used and discharged at each base are measured every month, and the Group data are accumulated using the environmental information management tool. As for bases where the amount of water per month fluctuates greatly, we conduct surveys to identify contributing factors for the increased water usage, and implement measures to reduce the water use as necessary. As for water quality control, we continuously monitor through monthly voluntary tests and regular inspections by external experts.

In addition, we work on controlling global water usage, including that of overseas group companies Although water usage at our overseas group companies is only 10% of the usage of the Nabtesco Group as a whole, we will continue to implement controls in order to address global water risks.

In FY2021, one case of violation of environmental laws and regulations and one case of administrative guidance occurred in China. In both cases, we promptly implemented corrective measures and completed the necessary procedures. There were zero violations of laws and regulations at domestic and overseas sites in FY2022. In the future, we will continue to further tighten control over water use.

The Nabtesco Group has collaborated with external initiatives to reduce water usage, responding to CDP Water* since FY2014.

*CDP Water is a CDP program that asks companies about risk awareness and response strategies regarding water risk.

Measures

Targets and Results for the Fiscal Year

The Nabtesco Group uses groundwater mainly to cool test stands and melt snow in snowy regions (Yamagata and Gifu). We discharge the used groundwater to rivers based on the strict water quality control criteria set by the Group.

The total volume of water used by the Nabtesco Group in FY2022 amounted to 690,000m3. Unit sales were 2.24, which were achieved against a target of 2.48.

Due to heavy rain falls caused by recent climate change, the risk of rainwater flooding our plants is increasing. The Nabtesco Group uses oil-based type and water-soluble type cutting fluids in our business operations and recognizes the risk that hazardous substances contained in these cutting might be discharged to rivers if rainwater floods the manufacturing facilities. To prevent this, we are making capital expenditure to install oil-water separation tanks and oil recovery equipment.

In FY2022 we spent ¥6.33 million to enhance the rainwater discharging function, and make our facilities more water-resistant.

Target of Water Use Activities and FY2022 Results

Item Targets FY2022 results Status
Global water use
(Amount per unit of sales)
Amount per unit of sales: 2.48m3/one million yen (amount in the previous fiscal year) or below 2.24m3/one million yen Achieved
  • *The calculation scope includes Nabtesco Corporation and Japanese and overseas consolidated subsidiaries (27 companies and 43 sites), which are listed at “Scope of Environment and Other Data (Excel 20.8 KB) .”
  • *Data is examined by LRQA Limited with a view to ensuring the reliability of the calculated data.

Global Water Intake Amount

Global Water Intake Amount

Global Wastewater

Global Wastewater

Addressing Water Risks

Every year, the Nabtesco Group evaluates the water risks posed to its major sites using the Aqueduct tool provided by the World Resources Institute and in reference to the “water vision” announced by the local municipalities. Based on the evaluation results obtained in FY2022, six sites in China and one in Thailand out of 36 sites have high water risks. However, our facilities outside Japan exclusively utilize tap water, without drawing from underground sources or rivers. Also, the total amount of water used at the sites is minimal and so the impact of the water risks on Nabtesco is limited. Going forward, we will control the risks through ESH audits and monitoring of laws and regulations.

In addition, to further promote action on water risks through the supply chain, we are conducting surveys on water use (water intake, wastewater, water quality, etc.) of Tier-1 suppliers in Japan and overseas, and evaluation of water risks using AQUEDUCT. Each supplier is analyzed and evaluated, with the results provided in the form of written feedback. We also visit specific suppliers directly and conduct interviews at web conferencing. This serves to enhance communication with suppliers while supporting knowledge sharing regarding environmental management and improved environmental stewardship. As well as engaging with suppliers, we actively participate in environmental and water related regional councils, exchanging information and conducting activities related to water conservation in order to maintain harmony with the local community.

Risk Assessment on Groundwater Use

The Nabtesco Group does not currently require a large amount of water or a certain quality of water in its business operations. However, some offices pump groundwater from a well on their premises for use. Due to this, in FY2020, the Group also investigated the impact of the use of groundwater to the water resources in the area. First, the Group performed an investigation in the Gifu Region, where the quantity of groundwater used is large. The investigation results show the Tarui Plant (for hydraulic equipment) and Gifu Plant (for aircraft equipment) of Nabtesco in the Gifu Region do not place a large burden on the groundwater resources of Tarui-cho.

Figure

The plants will monitor usage to not impact the area, in order to sustain the valuable environment over many years, while still using groundwater going forward.

Comment from an expert familiar with groundwater in Gifu Prefecture

Tarui-cho is blessed with a rich groundwater environment, where you can find spring water and a healthy population of smallhead sticklebacks (Gasterosteus microcephalus) who live there. It is also an important recharge area for the Nobi Plain. Nabtesco, which uses groundwater in Tarui-cho, cares about its impact of its business operations on the downstream area, and quantifiably assessed the groundwater and surface water circulation in the area. It is a very meaningful initiative. In order for us to enjoy the benefits of groundwater into the future, I hope Nabtesco will promote the conservation of the groundwater environment together with residents, based on the results of the assessment.

Professor Kohji Kamiya,
Department of Civil Engineering,
Gifu University

In addition to the Tarui Area, Nabtesco actively participates in regional councils related to the environment and water, and engages in water conservation activities and information exchange to harmonize with the local community.

Name Area
Hyogo Environmental Conservation Liaison Committee Kobe
Kobe District Environmental Conservation Liaison Council Kobe
Toban Regional Groundwater Useage Measure Council Kobe
Gifu Prefecture Environment Promotion Association Gifu
Seino Area Groundwater Useage Measure Council Gifu

Biodiversity Conservation

Following the revision of the Environmental Philosophy and Environmental Action Guidelines, the Nabtesco Group evaluated the impact of its business activities on biodiversity by using an external tool, namely the SBTN Sectoral Materiality Tool*1. As the first step for the evaluation, we carried out a screening to identify the materiality of the impact on biodiversity of the sectors to which our businesses are related. As a result of performing the analysis by defining the pressure categories given the score of “Medium” or higher as “material pressure categories,” we found out that all our Group’s businesses needed to be assessed in more detail. We next used the WWF Biodiversity Risk Filter*2 to identify the impact according to the location of each base. As a result, two of our bases were assessed to have a large impact on forests with regard to the use of construction materials. However, major materials used at the bases are stainless steel and others, and we believe the actual impact is not so high. We will work continuously for biodiversity conservation while advancing our impact assessment method.

  • *1 Tool to assess the impact on biodiversity provided by the Science Based Targets Network (SBTN). Users of the tool can assess the materiality of impacts on a six-point scale for the selected business activities (sectors) and pressure categories.
  • *2 Impact assessment tool provided by the World Wide Fund for Nature (WWF). Users of this tool can assess biodiversity-related global risks based on the use of 50 or more biodiversity-related dataset groups.