Environmental Approach

The Tsubaki Group utilizes environmental accounting to quantify the economic and ecological benefits obtained through its environmental conservation activities as well as the cost of these activities. We use this information to analyze the progress of environmental conservation activities and implement continuous improvements. Here we provide a summary of our main environmental accounting data.

FYE 2011 Environmental Accounting

Environmental accounting

The Tsubaki Group undertook investments in environmental conservation in the fiscal year ended March 31, 2011, that included seismic retrofitting and addition of thermal insulation to factories; the introduction of an energy efficient heat-treatment furnace, automatic controllers for pneumatic equipment, and LED lighting; and the addition of soundproofing to facilities, among other initiatives. The total conservation investment was ¥190 million, representing a year-on-year increase of 10%. In terms of costs, we realized a year-on-year increase of ¥50 million due to factors such as an increase in depreciation related to wastewater facilities during the previous fiscal year.

Environmental conservation costs

Unit: kg/year
FYE 2011 environmental conservation cost (Categories corresponding to business activities)
Category Details of Main Activities Investment (D) Expenses (F)
(1) Business area costs   192,678 519,408
Breakdown (1)-1 Pollution control costs Introduction and operational management of air pollution control facilities & wastewater treatment facilities 146,566 246,950
(1)-2 Environmental conservation costs Introduction and operational management of power management system 20,939 127,609
(1)-3 Resource recycling costs Waste disposal and recycling costs; improvements to industrial waste storage facilities 25,173 144,849
(2) Upstream and downstream costs Analysis outsourcing costs, including substances imparting an environmental impact 0 71
(3) Administration costs Establishment & operation of EMS; improving the greening of worksite interiors; installation of equipment for measuring air & water quality 0 173,135
(4) R&D costs* Research & development of environmentally friendly products (reducing environmental impact during product use) - -
(5) Social activity cost Regional environmental activities 0 950
(6) Environmental remediation costs Purification of groundwater and the like 0 0
Total   192,678 693,563

*Method used to calculate research and development costs has been reconsidered following a review of product environmental consideration standards.

Benefits of environmental conservation

Category Environmental performance indicators
FYE 2010 FYE 2011 Difference from Reference Period
(Environmental Conservation Benefit)
Environmental conservation benefit from investing resources in business operations
Water (1,000 m3) 382 398 Increase of 16,000 m3
Conservation benefits related to environmental impact and waste emissions from business operations
CO2 emissions
(tons of CO2)
49,443 57,376 Increase of 7,933 tons of CO2

Economic benefits of environmental conservation measures

FYE 2011 gain on sale of valuable resources

Unit: Yen in thousands
  Kyotanabe Plant Saitama Plant Seven group companies Total
Gain on sale of punch press scrap 122,122 113,882 35,450 271,455
Gain on sale of machining swarf (scrap iron) 6,898 26,984 37,339 71,221
Gain on sale of long scrap 4,133 0 11,293 15,427
Gain on sale of scrap stainless steel 10,762 24 17,494 28,280
Gain on sale of scrap wire 171 1,092 6,020 7,283
Gain on sale of scrap aluminum 1,266 1,574 826 3,666
Gain on sale of scrap parts 10,147 8,144 4,974 23,265
Gain on sale of processing scrap 0 453 709 1,162
Gain on sale of scrap vanadium 0 533 0 533
Gain on sale of plastic scrap 559 1,366 23 1,947
Gain on sale of waste oil 0 390 0 390
Total 156,058 154,443 114,128 424,628
Nine domestic worksites (Tsubakimoto Chain’s Kyotanabe Plant, Saitama Plant, Tsubaki Emerson Co.(Now Tsubaki E&M), Tsubakimoto Custom Chain Co., Tsubakimoto Sprocket Co., Tsubakimoto Bulk Systems Corp., Tsubakimoto Mayfran Inc., Tsubakimoto Iron Casting Co., Ltd., Tsubaki Yamakyu Chain Co.)
Period covered:
April 1, 2010 to March 31, 2011

Reference guidelines: Environmental Accounting Guidelines 2005, Ministry of the Environment-Japan