Toward the goal of carbon neutrality in 2050 for global environmental conservation considering future generations as a material issue, the TOK Group quantitatively measures the environmental impact throughout the value chain and works to reduce the environmental load, including CO2, with a full understanding of the impact that production activities have on the environment. TOK aims to achieve sustainable development alongside society through the development of photoresists and new products that further conserve resources and energy.

Basic Concept

We belong to the Japan Chemical Industry Association (“JCIA”). JCIA participated in the Keidanren(Japan Business Federation)'s Low Carbon Society Action Plan. The association takes global warming countermeasures in below four points:

(1)Curbing CO2 emissions from business activities in Japan
(2)Strengthening cooperation among companies to promote the reduction of CO2 emissions throughout the supply chain by the dissemination of low-carbon products/technologies 
(3)Promoting Japanese chemical products to the world and contributing to economic and social development of countries around the world
(4)Developing innovative technologies in mid-to-long term

We are also working to reduce our environmental impact by fully analyzing the influence of our production activities on the environment, including the influence of emissions in the value chain, in accordance with the Low Carbon Society Action Plan. Since its establishment in 1940, one of our management philosophies has been to "contribute to society." We unveiled our long-term vision, “TOK Vision 2030” in 2020, aiming to become "The e-Material Global Company™️" contributing to a sustainable future through chemistry. Under this vision, we will strive both to promote environmental management through the development and supply of new and existing products and to address the issue of climate change toward the goal of decarbonization.

In January 2022, TOK announced its support for the recommendations of the Task Force on Climate-related Financial Disclosures, TCFD. Based on its support for the TCFD recommendations, we will strive to analyze business risks and the opportunities presented by climate change and proactively disclose information, while also helping global environmental protection through our businesses, together with all our stakeholders.

Emissions of Greenhouse Gases

Because climate change has become more serious in recent years, companies are expected to measure greenhouse gas emissions from their own properties and across the entire value chain. The TOK Group measures and calculates greenhouse gas emissions based on the Ministry of the Environment’s Basic Guidelines on Accounting for Greenhouse Gas Emissions throughout the supply chain within the context of emissions from business activities (Scope 1 and Scope 2) and indirect emissions from nonbusiness activities (Scope 3). In 2021, we also started to calculate Scopes 1 and 2 at overseas sites. TOK will advance the initiatives for the realization of a sustainable society by identifying issues throughout the value chain where corporate activities can have an impact.

Scope 3 Emissions by Category

* January 2022 to December 2022 (Waste generated in operations: April 2022 to March 2023)

* Business trips and employees commuting exclude people seconded to other companies.

* The calculation method for Scope 3 was reviewed in 2021.

Improve Energy Consumption per Base Unit and CO2 Emissions

In operation, TOK continues to modify air conditioning temperature settings and operating hours, prioritizes the operation of energy-efficient cooling and heating source equipment, turns off unnecessary ventilation systems at night, turns off unnecessary lights outside business hours, and implements other relevant measures. In the renewal of existing equipment, the company pursues the further reduction of energy consumption and CO2 emissions in consideration of energy efficiency by selecting LED lights and by other means.

In 2022, energy consumption increased by 8% year-over-year (an increase of 2% in 2021 year-over-year). However, the energy consumption per base unit had no increase or decrease (± 0 points) year-overyear and a decrease of 20 points from 2019 due to the activities mentioned above and increased net sales. Energy-related CO2 emissions per base unit substantially improved with a decrease of 31 points year-over-year and 58 points from 2019 due to increased net sales and the annual contribution of the shift of more than 70% of purchased electricity at all key domestic sites to renewable energy.

In 2023, TOK continues to advance toward a reduction of 15 points by 2030 (vs. 2019) and carbon neutrality by 2050.

Improve Energy Consumption in Distribution

Most products are delivered to customers in Japan and overseas by refrigerated transportation and classified as hazardous materials. Because shipments have been increasing in recent years, it is becoming increasingly important to reduce energy consumption. Therefore, TOK is examining measures to reduce energy consumption by securing storage places and optimizing transportation routes and modes. In 2022, the company examined the preparation for contracting with external warehouse service for the shipment of export products from the Koriyama plant and product storage and shipment at the Gotemba plant in order to restructure the logistics bases and optimize transportation routes.

In 2023, TOK plans to build roofs on the premises and install solar panels, thereby reducing purchased electricity as counter-heat measures and operating efficiency improvement. The TOK Group continues to examine diverse means, including a modal shift with railway and marine transport, and plans measures for the improvement of energy consumption per base unit and the reduction of CO2 emissions.

Measures to Prevent Global Warming at Overseas Manufacturing Sites

The overseas ratio of energy consumption took a downturn in 2022. This was because R&D and evaluation buildings were newly established or extended in Japan. Going forward, TOK will continue its production activities with a focus on energy conservation through a PDCA cycle for environmental management systems.

Information on environmental impact by site

* Data collection period: April 2022 to March 2023

*The date on Distribution Control Center includes date on all product stock points.
*Carbon dioxide emission factor is continue to use the emission factor for fiscal 2009.
*General administrative waste:Unneeded items (office refuse) other than industrial waste generated by offices
*General Industerial waste:Industrial waste that does not require special controls (Industrial waste is defined as waste produced in conjunction with business activities and includes cinders, sludge, used oils, used acids, used alkalines, used plastics and certain other materials.) 
*Specially controlled industrial waste:Industrial waste that requires special management due to its explosivity, toxicity, infectious properties or other hazards