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Concept of Environmental Activities/Efforts against Global Warming

As we aim for harmony between society and nature, the SG Holdings Group is introducing new technology and combining the efforts of each individual employee towards the prevention of global warming.

Participation in Climate Savers Program

Climate Savers Program is an effort to reduce the greenhouse gas effect, initiated by the world's biggest nature conservation group in the private sector, the WWF (World Wildlife Fund), in which the most advanced companies in the field of environmental operations take part in. The particularities of this program are that firstly, the companies set the reduction targets through dialogue with the WWF and secondly, a third party organization conducts the verification process. This gives transparency and credibility to the participating companies.
As a condition to join this program, the companies are required to set the reduction targets that exceed their current plan and, in principle, the targets must be set in the absolute quantities (gross emission), not in the basic units that indicate the amount of emissions per production quantities or sales volume. As of March 2011, only 24 companies are taking part in this program in the entire world. Sagawa Express is the first Japanese company and the only distribution company in the world to join the program.

Climate Savers Logo

The Sagawa Express target for CO2 reduction

Sagawa Express sealed the Climate Savers Program in May 2003 and started efforts in collaboration with the WWF. The target we stated is the reduction of gross CO2 emission by 6% (compared to fiscal year 2002) before FY 2012. We calculated it based on the volumes of fuel and electric power used in our business activities, and it will be regarded as the absolute limit for our CO2 emissions. Although our target is a 6% reduction, we will need to achieve approx. a 14% reduction, considering the increase of emissions due to the growth in business performance.
At Sagawa Express, we are implementing various measures to reach this target, including introduction of trucks fueled by natural gas.

At Sagawa Express, our CO2 emissions are calculated from our actual fuel volume used and verifications from a third party organization are implemented.

Progress

Sagawa Express made various efforts, including the introduction of natural gas fueled vehicles, using the gross CO2 emissions in FY 2002 as a reference point.

■Sagawa Express trends in CO2 emission (unit:t-CO2) Current as of May 31, 2011
  Diesel oil Gasoline (including Premium gasoline, bio gasoline) Natural gas Electric power Total
FY 2002 244,552 18,780 5,810 97,477 366,619
FY 2003 235,154 17,153 9,660 97,654 359,621
FY 2004 221,886 19,474 14,658 101,459 357,477
FY 2005 217,648 20,741 18,916 97,927 355,232
FY 2006 207,515 25,893 24,300 98,407 356,116
FY 2007 238,886 30,808 28,261 101,307 399,262
FY 2008 236,158 40,028 32,010 98,653 406,849
FY 2009 230,854 44,177 35,397 94,902 405,330
FY 2010 236,097 47,366 35,388 99,863 418,715
Changes
(10-02)
▲8,454 28,586 29,578 2,386 52,097
Ratio
(10-02)
96.54% 252.21% 609.10% 102.45% 114.21%
  • * The reference point (the baseline) is the amount in FY 2002 when we started to work on Climate Savers Program.
  • * Scope of statistics: The baseline in FY 2002 was calculated from statistics that included the electric power consumed by our group companies and tenants located in Sagawa Express's facilities and the fuels sold to outside parties. Since FY 2004, the scope of statistics was narrowed down to only the business operations of Sagawa Express which is a participant in the program and, for the purpose of comparison with the baseline, an equivalent amount to the CO2 emission from the electric power consumed by our group companies and tenants located in Sagawa Express's facilities and the fuels sold to outside parties (10,435t-CO2) was added.
  • * Standard of statistics: The Agreement on Climate Savers and the FY 2008 Environmental Accounting Manual.
  • * CO2 emissions coefficient: The coefficient according to Enforcement Order on the Promotion of Measures against Global Warming (Ministry of the Environment, December 19, 2002).
  • * The fuel quantity is calculated from the quantity purchased. Some values are, however, quoted from the data of the quantity filled, based on the company's statistics.

Reason for the increase of CO2 emissions
Subcontracted core transportation operations and part of courier operations were merged into Sagawa Express. This had a large effect since the emissions of these companies were not previously included in the total for Sagawa Express.

■Changes in emission volumes within original scope of calculations
In total CO2 emissions within the scope of calculations based on the initial year's value, excluding increases in volumes resulting from mergers and acquisitions and other such factors from FY 2006 onward, we achieved a 3.58% decrease in emissions volume in FY 2010. With the aim of achieving a 6% decrease by FY 2012, we are making further efforts to reduce CO2 emissions.

Note 1:
The figure of 366,600 t in FY 2002 is used as the standard (initial) value.

Note 2:
From FY 2006 onward, in order increase the ratio of home deliveries handled by Sagawa Express against those handled by subcontracted companies, Sagawa Express greatly expanded its fleet of light vehicles, resulting in factoring-in of CO2 emissions that were previously outside the scope of company emission calculations.

Note 3:
In FY 2007, due to merging of the group company that formerly handled core transportation operations into Sagawa Express, CO2 emissions that were previously outside the scope of Sagawa Express emissions calculation were factored in.

Note 4:
The FY 2010 consolidation take-over by Sagawa Express of domestic air cargo operations from a group company resulted in the factoring-in of CO2 emissions that were previously outside the scope of Sagawa Express emission calculations.

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