Responding to climate change

Responding to climate change

Our Group has identified “promotion of monozukuri that is considerate to Earth’s environment” as one materiality (critical challenge).We are engaged in responding to climate change, and we have declared our support for the TCFD (Task Force on Climate-related Financial Disclosures) recommendations, participating in the TCFD Consortium, which is a forum for supporting companies and financial institutions to hold discussions. We recognize that climate-related risks and opportunities have a major impact on business strategy, and based on the TCFD recommendations, we are engaged in the 4 items of “governance”, “strategy”, “risk management” and “metrics and targets”, as below, and will promote information disclosure.

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Item Activity Content
Governance As TPR engages in various challenges relating to sustainability, with the aim of systematic promotion, we will enhance our activities by establishing a "Sustainability Promotion Committee", set critical issues and various types of policies, give direction to our activities and report activity status and follow-up to the Board of Directors Meeting, enhancing our sustainability efforts.
Also, we have positioned response to climate change etc. as a critical business challenge, and the various policies etc. from the Sustainability Promotion Committee will, via the Carbon Neutrality Promotion Meeting and various ESG Meeting forums, study and engage in immediate concerns and medium/long term challenges, starting with environmental matters.
Strategy From before, TPR has engaged in climate change countermeasures/CO2 reduction, but recently we have set a target of 100% reduction (versus FY2013) of CO2 emissions by 2045, and we are engaged with this company wide. To realize this, we take into consideration the “4℃ Scenario”, “2℃ Scenario”, etc. published by the UN IPCC (Intergovernmental Panel on Climate Change), to identify and deal with the risks (transition risks and physical risks) and opportunities of climate change that could impact business activities.
Risk Management Through the “Risk Management Committee”, TPR evaluates/recognizes risks related to the execution of our company’s work, deliberating risk management at our company and each group company, as well as monitoring critical risk matters.
Regarding climate change, TPR’s environmental policy is a resolution matter for the Management Meeting. Issues are recognized, response status is followed-up and environmental policy is disseminated at the Company Wide Environmental Conservation Meeting which manages all environmental concerns. The identification and handling of climate-related risks and opportunities is carried out in line with the framework described by the TCFD, based on scenario analysis.
The Board of Directors Meeting receives reports relating to critical items on ESG risks and sustainability efforts, and, through discussion, supervises these matters.
Metrics and Targets As a long-term metric to mitigate climate change, TPR’s Scope 1-2 target against 2013 is to reduce CO2 emissions 50% by 2030, and 100% by 2045.
Toward this target, we are progressing internal cross-organization CO2 reduction activities, such as production process and facility renewal that is considerate to the environment, as well as use of renewable energy.


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