Environmental Accounting

Policy & Plans

Sumitomo Forestry calculates and publicizes the costs and benefits of its environmental conservation activities to promote environmentally sound management.

Note:The basis of calculation includes Sumitomo Forestry on a non-consolidated basis and certain group companies.

Results

Environmental Protection Costs
Unit: Million Yen
Cost Category		Main Activities	Cost
Operations costs	Pollution prevention costs¹	Soil contamination survey	0.41
	Global environmental protection costs²	Sustainable forestry cultivation	648
		Environment-related business (CDM business, overseas reforestation, etc.)	212
		Carbon offset	76
	Resource recycling costs³	Promotion of appropriate treatment, reduction, and recycling of industrial waste	3,586
		Waste wood-based chip distribution operations	183
		Potting mix business (using sediment from water purification plants, etc.)	550
Upstream/Downstream costs⁴		Green purchasing	197
Management activity costs⁵		Operation and promotion of environmental management (ISO 14001 certification, environmental education, LCA surveys, etc.)	112
Management activity costs⁵		Disclosure and administration of environmental information (Environmental and Social Report, environment-related advertising, environment-related exhibitions, etc.)	1,554
R&D costs⁶		Research and development activities related to environmental conservation	303
Social contribution costs⁷		Management and operation of Mt. Fuji Manabi no Mori	23
		Management and operation of Forester House	8
		Participation in other social contribution activities	2
		Grants to the Keidanren Nature Conservation Fund, etc.	2
Total			7,456

1 Pollution prevention costs: Expenditures on soil contamination inspections
2 Global environmental protection costs: Expenditures for preservation and management of Company-owned forests to foster sustainable forestry, and expenditures in Japan and overseas relating to the environmental business, overseas reforestation expenses for implementing carbon offset, and offset credit purchase expense.
3 Resource recycling costs: Expenditures on waste wood distribution operations and sorting, recycling, appropriate treatment, transportation and management of construction waste, as well as costs incurred in the potting mix business.
4 Upstream/Downstream costs: Expenditures for green purchasing.
5 Management activity costs: Office expenses and auditing costs relating to maintenance of ISO 14001 certification; expenditures relating to disclosure of environmental information through advertising, environment-related exhibitions and the Environmental and Social Reports; expenditures relating to lectures on environmental education; and costs for life cycle assessment inspections.
6 R&D costs: Expenditures for environment-related research conducted at the Tsukuba Research Institute and expenditures for outsourced research and development by each division.
7 Social contribution costs: Expenditures related to operating the Mt. Fuji Manabi no Mori natural forest restoration project; expenditures related to maintaining and operating Forester House; expenditures related to other social contribution activities; and grants to the Keidanren Nature Conservation Fund and other contributions.

Environmental Benefits
Category	Description	Results
1. Benefits from operations costs	Volume of recycled waste wood from distribution operations (converted into chip equivalents)	1,186,000m³
1. Benefits from operations costs	Volume sold of potting mix using recycled sediment from water purification	25,000t
2. Benefits from upstream and downstream costs	Green procurement ratio	71.8%
3. Benefits from management activity costs	Number of people attending “Sustainable Forest Gallery 2011-Kikorin’s Forest”	5,224people
3. Benefits from management activity costs	Employees designated as internal environmental auditors	59people
4. Benefits from research and development costs	Standard installation of a highly functional, long-life, large-capacity household battery storage system Launch of the Sumitomo Forestry　Smart House Smart Solabo	-
	Successful cultivation of seedlings from the ‘Pine Tree of Hope’ in Rikuzen-takata City	-
	Started test planting of the Omuro Cherry Tree using plant tissue culture techniques	-
5. Benefits of social contribution costs	Volunteers who participated in Mt. Fuji Manabi no Mori project	324people
	Children participating in the Environmental Education Program at Mt. Fuji Manabi no Mori project	546people
	Visitors to Forester House	2,407people