Resource Conservation and Waste Reductions

Waste Reduction and Recycling Management

Basic Policy

The Sumitomo Forestry Group makes efforts in attaining zero emissions and reducing industrial waste generated, at the same time as promoting reuse and recycling for each operational process in accordance with the Sumitomo Forestry Group Environmental Policies in order to build a sustainable and recycling-oriented society. In the Mid-Term Sustainability Targets announced in May 2019, the Sumitomo Forestry Group sets protecting resources, reducing the generation of waste and achieving zero emissions as critical targets to achieve by fiscal 2021. In order to achieve these targets, the Sumitomo Forestry Group established key measures in each division and confirms their progress each fiscal year. In the final year of fiscal 2021, the Group achieved the overall final disposal amount at 21,050t, surpassing the planned 54,087t. As main achievement factors, promotion of effective utilization of incinerator ash in Mombetsu Biomass Electric power and review of calculation method in demolition work* were conducted.

In the new Mid-Term Sustainability Targets until fiscal 2024, we will strive to effectively utilize resources to reduce generated waste and achieve zero emissions.

* With respect to final disposal amount at the housing demolition site, we changed the aggregation method based on the electronic manifest from the actual results in fiscal 2021. The impact of the change in the aggregation method is recognized as -19,415t.

Trends in Waste Generated and Recycling Rate Over the Last Four Years*1 *2

*1 Does not include figures for Cohnan Kensetsu Inc., which joined the Sumitomo Forestry Group in January 2021 (total emissions based on Company baseline: 66,044t; final disposal amount: 1,779t; recycling rate: 97.3%).

*2 Aggregation period for emissions after fiscal 2020 is from January to December of each year, and aggregation period for emissions for fiscal 2019 and before is from April of each year to March of the following year.

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Initiatives at Domestic Manufacturing Facilities

Sumitomo Forestry Group managed to achieve a recycling rate of 99.1% against the target of 97.3% while zero emissions (recycling rate of 98% or more) were achieved at Sumitomo Forestry Crest and Sumitomo Forestry Landspaing Agricultural Products Division in fiscal 2021 as a result of ongoing efforts to reduce waste emissions, for example by tightening the sorting of industrial waste and selling it for a profit.

Recycling Rate at Domestic Manufacturing Plants*
(Sumitomo Forestry Crest, the Agro-Products division of Sumitomo Forestry Landscaping, Japan Bio Energy, Okhotsk Bio Energy, Michinoku Bio Energy)

Recycling Rate at Domestic Manufacturing Plants (Sumitomo Forestry Crest, the Agro-Products division of Sumitomo Forestry Landscaping, Japan Bio Energy, Okhotsk Bio Energy, Michinoku Bio Energy)

*Aggregation period for emissions after fiscal 2020 is from January to December of each year, and aggregation period for emissions before fiscal 2019 is from April of each year to March of the following year.

Breakdown of Waste Generated at Domestic Manufacturing Plants (FY2021)

Breakdown of Waste Generated at Domestic Manufacturing Plants (FY2021)
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Initiatives at Overseas Manufacturing Plants

We are working toward zero emissions with two new Group companies from fiscal 2019: Sinar Rimba Pasifik (SRP) in Indonesia and Canyon Creek Cabinet (CCC) in the United States in addition to five main manufacturing companies outside Japan*. Kutai Timber Indonesia collects wood waste generated during the particle board manufacturing process and reuses it as boiler fuel or in wood building materials.

In fiscal 2021, the total volume of waste produced was 253,540t, with a final waste processing volume of 3,816t and a recycling rate of 98.5% against the 98.0% target set by the Mid-Term Sustainability Targets. The Mid-Term Sustainability Targets until fiscal 2024 set the target of a 99% recycling rate for fiscal 2021.

* Indonesia: Kutai Timber Indonesia, PT. Rimba Partikel Indonesia, and PT. AST Indonesia
New Zealand: Nelson Pine Industries Ltd.
Vietnam: Vina Eco Board Co., Ltd.

Breakdown of Waste Generated at Overseas Manufacturing Plants (FY2021)

Breakdown of Waste Generated at Overseas Manufacturing Plants (FY2021)
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Efforts at New Housing Construction Sites

We work to reduce waste generated at Sumitomo Forestry's new housing construction sites. At monthly meetings of our Waste Reduction Working Group, leaders of sub-groups raise and share issues while managing progress toward meeting targets. Efforts to reduce waste have included the use of the bare minimum necessary packaging materials and reusable protective material for flooring. In the Tokyo metropolitan area, the Company obtained inter-region recovery and recycling certification, whereupon we established the Metropolitan Area Recycling Center, and implemented streamlined sorting of waste. Since fiscal 2018, new housing construction site waste processing operations expanded areas covered by the inter-region recovery and recycling certification are promoting a higher recycling rate. The recycling rate was 95.1% in fiscal 2021 with respect to 98%, which is the target of Mid-Term Sustainability Targets by fiscal 2021. From now on, we will work to improve the recycling rate by expanding the precut of roof slate and exterior wall siding, which has a large waste reduction effect, adopting new recyclable treatment plants, and promoting manufacturer collection routes.

Recycling Rate at New Housing Construction Sites
(Housing and Construction Division, Sumitomo Forestry Landscaping, Sumitomo Forestry Home Engineering)

Recycling Rate at New Housing Construction Sites (Housing and Construction Division, Sumitomo Forestry Landscaping, Sumitomo Forestry Home Engineering)

*Aggregation period for emissions after fiscal 2020 is from January to December of each year, and aggregation period for emissions before fiscal 2019 is from April of each year to March of the following year.

Breakdown of Waste Generated by Disposal Process for New Housing Construction Sites (FY2021)

Breakdown of Waste Generated by Disposal Process for New Housing Construction Sites (FY2021)

Breakdown of Waste Generated at New Housing Construction Sites (FY2021)

Breakdown of Waste Generated at New Housing Construction Sites (FY2021)
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Renovation Business Initiatives

We are working to reduce waste generated by renovation sites by using protective materials as well as other measures to mitigate waste generation. Sumitomo Forestry Home Tech recycles wood waste materials generated at its renovation sites. Our efforts to use resources effectively include recycling wood waste as raw material for particle board. The recycling rate in fiscal 2021 was 79.7% against our target of 84.0%.

In the three major metropolitan areas with high volumes of generated waste, we have established construction departments to supervise the entire area and provide guidance and education to improve their recycling rate. We will also outsource to contractors with high-level recycling capabilities for glass and ceramic waste.

Breakdown of Waste Generated at Renovation Business Operations (FY2021)
(Sumitomo Forestry Home Tech)

Breakdown of Waste Generated at Renovation Business Operations (FY2021) (Sumitomo Forestry Home Tech)
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Efforts at Demolition Housing Sites

Sumitomo Forestry was promoting resource recycling even before the enactment of the Construction Material Recycling Law implemented in 2002 by ensuring that materials were properly sorted during demolition prior to the construction of a new house and that waste remained sorted for processing afterwards. Since the enactment in 2002, the Company has recycled the items required under the Law (wood waste, concrete, etc.), sorting them at the sites where the waste is generated.

The recycling rate for concrete was almost 100% in fiscal 2021, as it was the previous year. We also maintain a high recycling rate for wood waste by removing extraneous matter. In the Mid-Term Sustainability Targets from fiscal 2022, we have set the target of a 100% recycling rate based on the Construction Waste Recycling Law, including for construction projects that fall outside the scope of the Law (total floor area of 80 m2 or less).

Breakdown of Demolition Waste Generated (FY2021)

Breakdown of Demolition Waste Generated (FY2021)
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Power Generation Business Initiatives

In power generation business operations, incineration ash emitted by biomass boilers is blended with quicklime for reuse primarily as a forest roadbed material. In fiscal 2018, it was manufactured under the product name Rovander, and received approval as a Hokkaido Government-certified Recycled Product. In fiscal 2021, the actual recycling rate was 99.3%, achieving the target of 56.5% by a wide margin due to the effective use of incinerator ash. We also achieved zero emissions (recycling rate of 98% or more) for the first time in the power generation business.

Breakdown of Waste Generated at Power Generation Business Operations (FY2021)
(Mombetsu Biomass Electric Power, Hachinohe Biomass Electric Power)

Breakdown of Waste Generated at Power Generation Business Operations (FY2021) (Mombetsu Biomass Power Generation, Hachinohe Biomass Power Generation)
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Initiatives at Lifestyle Service Business, Housing-Related Materials Sales*1, etc.

At waste-generating locations of enterprises such as Lifestyle Service Business and housing materials sales, initiatives to reduce amounts of waste generated are implemented at a department level.

Breakdown of Waste Emissions at Lifestyle Service Business, Housing-related Materials Sales, etc.*2 (FY2021)

Breakdown of Waste Generated by Lifestyle Service Business, Housing-related Materials Sales, etc. (FY2020)

*1 Housing materials sales comprise distribution and renovation operations, Tsukuba Research Institute, etc.

*2 Does not include figures for Cohnan Kensetsu Inc., which joined the Sumitomo Forestry Group in January 2021 (total emissions based on Company baseline: 66,044t).

Formulating Standards to Handle Plastics

Plastics spread throughout society quickly and brought convenience and other benefits to our lives. However, the reuse and material recycling rate of plastics is still low in the world, compared to other materials. Pollution problems caused by plastics waste flowing into our oceans have become a global issue. The Sumitomo Forestry Group set measures to respond to the issue of plastics in August 2019, and it has been raising awareness in all relevant departments. We are looking into any and all alternatives to plastic goods for novelty item, stationary supplies and even packaging. We have put in place various initiatives from using cans instead of plastic bottles for vending machines and drinks stored at the company unless for a special reason, such as disaster prevention, to not passing out drinks in plastic bottles during meetings. We have also reflected and revised measures for handling plastics in the "Sumitomo Forestry Group Green Purchasing Guidelines".