Management of Chemical Substances

Contamination caused by hazardous chemical substances leads to risks of a major impact on human health or the environment and the risk of a disaster. The Sumitomo Forestry Group keeps track of amounts of hazardous chemical substances including volatile organic compounds (VOCs) used and emitted, and has established an appropriate management system. We conduct regular measurements to ensure compliance with regulatory standards for various chemical substances required by laws in each country. If these standards are not met, we investigate the causes and implement measures to reduce levels below the prescribed limits, thereby ensuring proper management of hazardous chemical substances. In addition, from the perspective of reducing environmental impact, we promote initiatives to reduce the use and emission of hazardous chemical substances. Going forward, we will not only comply with relevant laws and regulations but also strive for continuous improvement.

Management of Chemical Substances at Manufacturing Plants in Japan

The Sumitomo Forestry Group manages hazardous chemical substances at each of three relevant Sumitomo Forestry Crest plants (Kashima Plant, Niihama Plant, Imari Plant) in accordance with the Pollutant Release and Transfer Register Law in Japan.

Management of Chemical Substances at Manufacturing Plants Overseas

Chemical substances, including adhesives and coatings, in the table below are managed at overseas manufacturing plants in accordance with the management regulations for chemical substances in each country.

Management of Air Pollutants

Management of Air Pollutants at Manufacturing Plants in Japan and Power Generation Sites

The Sumitomo Forestry Group periodically conducts atmospheric emission concentration tests for dioxins, NOx, SOx, and smoke dust for each relevant plant at Sumitomo Forestry Crest (Kashima Plant, Shizuoka Plant, and Niihama Plant), the Shinshiro Plant at Sumitomo Forestry Landscaping, and at the Mombetsu and Hachinohe Biomass Electric Power in accordance with the Air Pollution Control Act as well as local regulations. In fiscal 2024, emissions concentration testing results were all within the relevant standard values.

Management of Air Pollutants at Manufacturing Plants Overseas

At overseas manufacturing plants, the Sumitomo Forestry Group measures the concentration of NOx, SOx and smoke dust in Indonesia and Vietnam as well as VOC emission in the United States of America in accordance with the regulations of each country and region. In fiscal 2024, emissions concentration testing results were all within the relevant standard values.

Management of Water Pollutants

Management of Water Pollutants in Japan

Water pollution creates the risks of human health being directly affected by contamination of drinking water and of contamination affecting the habitats of organisms living in rivers, lakes and seas. The Sumitomo Forestry Group conducts periodic water quality concentration tests of waste water at the Tsukuba Research Institute, all plants of Sumitomo Forestry Crest (Kashima Plant, Shizuoka Plant, Niihama Plant, Imari Plant), Mombetsu Biomass Power Generation Plant and Hachinohe Biomass Power Generation Plant in accordance with the Water Pollution Control Act of Japan. Also, measured concentrations at the Kashima Plant have been affected by slags^* in the soil since the land was purchased (when the Kashima Plant was built), causing the land to rise and water quality concentrations (PH values) to exceed the regulated values, but measurements continue to be carried out to determine the values. All other plant measured concentrations were below regulation threshold.

Also, inspections entrusted to external measurement agencies are conducted once every two months and daily water quality tests are done internally through automatic COD measurement devices for the waste water expelled from waste water processing facilities in the Sumitomo Forestry Crest Imari Plant, which is a specified office under the amended Water Pollution Control Act of Japan, and the inspection results are issued to the local municipals every six months. In addition, water is also sampled and inspected by the prefecture once a year. Through these measures, all inspections found the level of water pollution to be within the statutory limit for wastewater.

The Tsukuba Research Institute is considered a specified office under the amended Water Pollution Control Act of Japan and therefore, delivers notification of updates to some testing equipment and new installations according to this law. The Institute also conducts water quality inspections once every month through an external measurement agency to monitor those results and issue reports to Tsukuba City once every six months.

* General term for unwanted components that are separated during the smelting of minerals. Also known as slag

Management of Water Pollutants Overseas

The Sumitomo Forestry Group conducts concentration tests of water pollutants at overseas manufacturing plants in accordance with the water quality regulations for wastewater in each country. In fiscal 2024, the regulation threshold for suspended solids (SS) concentration at Pan Asia Packing Ltd. was exceeded. Pan Asia Packing Ltd. only discharges domestic wastewater, and it addressed this situation by embedding a device that filters food waste in front of the pipes. The company plans to replace aging pipes to improve the SS concentration.

Appropriate Disposal of Building Materials Containing Asbestos

The Sumitomo Forestry Group has secured the proper disposal routes for asbestos. At Sumitomo Forestry, credential holders conduct preliminary surveys on all construction works subject to regulations to determine whether or not asbestos-containing building materials are present. In particular, the basis for determining the presence of asbestos is made clear, and results are reported to the asbestos preliminary survey results reporting system. At demolition sites, guidance is given and measures are implemented to prevent the release of asbestos into the air and to ensure that it is disposed of properly. The Group is also engaged in proper disposal of asbestos in the buildings of the various Group companies based on the law.
The Group is also engaged in proper disposal of asbestos in the buildings of the various Group companies based on the law.
The persons in charge of the sales, design, and production groups involved in demolition work have taken e-learning on the preliminary survey of asbestos to enhance their knowledge.

Storage and Proper Disposal Polychlorinated Biphenyl Waste

The treatment of polychlorinated biphenyl (PCB) contained in equipment such as spent high-voltage capacitors, was completed in Japan in fiscal 2021 in accordance with the Law concerning Special Measures for Promotion of Proper Treatment of PCB Wastes.

*1The total disposal amount is based on the disposal notification and includes the weight of the storage container

*2The (Former) Nagoya Plant was closed in end of June 2015

*1The equipment included above is equipment currently in use or in storage which is being evaluated for processing

*2The (Former) Nagoya Plant was closed in end of June 2015

Management of Fluorocarbon Emissions

In April 2015, the Fluorocarbons Recovery and Destruction Law came into force for the purpose of promoting drastic measures over the entire lifecycle of chlorofluorocarbons that have a strong greenhouse effect, from manufacture to disposal.

Since April 2020, regulations under the law have been further strengthened. In response, the Sumitomo Forestry Group has worked to raise awareness of these changes and take appropriate measures. At the same time, as the manager of Class 1 specified products, the Group carried out simplified and regular inspections according to plan. Additionally, an inventory check is conducted once a year to verify the number of managed units.

In most cases, the Sumitomo Forestry Group leases its offices as tenants in buildings, therefore owns (or manages) only a limited amount of commercial refrigeration and air-conditioning equipment (air-conditioners, refrigerators, etc.). Some business sites also have construction vehicles that fall under the category of "specified products," such as forklifts, etc. equipped with air conditioners. In response to the enactment of this law, we are conducting periodic simple inspections of the equipment that is using fluorocarbons as a coolant as well as executing legal and periodic inspections for devices with compressors that have 7.5kW or higher rated output.
Furthermore, Sumitomo Forestry promotes the transition to products that do not use fluorocarbons in accordance with the Law on Promoting Green Purchasing when replacing existing equipment or purchasing new equipment.

On the other hand, fluorocarbon gases used as refrigerants in testing equipment at facilities such as the Tsukuba Research Institute and in air-conditioning and refrigeration units at affiliated companies are managed in accordance with the Act through charging and recovery certificates. In fiscal 2023, the volume of fluorocarbon leakage was 254.8 t-CO₂ for Sumitomo Forestry and 1.74 t-CO₂ for its affiliated companies. (Since the total is less than 1,000 t-CO₂, it is not subject to the mandatory leakage volume reporting requirement.) We have confirmed that the leaked fluorocarbons were properly recovered, reprocessed, or destroyed.

Sumitomo Forestry was awarded the highest rank of 'A' in the 2024 Fluorocarbon Countermeasure Rating, a survey conducted by the Japan Refrigerants and Environment Conservation Organization (JRECO) targeting companies listed on the Tokyo Stock Exchange Prime Market. The survey evaluates companies' understanding, awareness, initiatives, and information disclosure related to the Act on Rational Use and Proper Management of Fluorocarbons.

* Data collection period: April 2023 to March 2024

Response to Soil Contamination Risks

Soil contamination is difficult to discover as contaminants build up and spread underground out of sight. The Sumitomo Forestry Group implements soil contamination countermeasures for land owned or administered by the Group and conducts voluntary soil contamination studies prior to new land purchases in the subdivision business. We are in compliance on land applicable to the Soil Contamination Countermeasures Act.

The Group's domestic built-for-sale housing business conducts independent surveys of land related to brownfields^* and has not purchased or sold any land that has not been through soil contamination measures.

*Land that is not used or underutilized significantly compared to its potential value due to the presence or concern of soil contamination

Project for Soil Purification Technology and Environmental Remediation Aided by Plants

In re-using the site of an old factory there is often the environmental impact associated with soil contamination and the cost burden of any remedial measures, which has become a problem as brownfields. Under the revised Fire Service Act of Japan, gasoline stations are now obliged to repair any underground tanks that have lain under the ground for more than 40 years, and as a consequence of this, it is expected that between 1,000 and 2,000 stations will close down each year.

In order to meet the demand for environmental remediation and measures dealing with soil contamination, the Sumitomo Forestry Group has been working on cleansing contaminated soil by using the functions of plants (phytoremediation). As part of this, during fiscal 2012, in collaboration with ENEOS (JX Nippon Oil & Energy Corporation at the time), the Group developed a method for purifying soil contaminated with oil using Burning Field, a variety of Japanese lawn-grass independently registered by the Group.

One of the functions possessed by the variety of Japanese lawn-grass used in this method is that the nutrients transpiring from its roots activate microorganisms in the soil, and the upshot of this is that it has the potential to inexpensively reduce the oil content in polluted soil. The purification has completed at five gasoline stations or oil depots by fiscal 2024.

In fiscal 2013 and 2014, the Ministry of the Environment conducted a study on low-cost, low-impact technologies for surveying and for counteracting contaminated soil in addition to presenting the Environmental Measures Exemplary Efforts Awards (Minister of the Environment Award) in 2013. The study found that oil-degrading microorganisms tend to become more active, and were recognized as having potential to be applied at sites heavily contaminated with oil. Received the Good Design Award in October 2018 from the Japan Institute of Design Promotion. In March 2020, the Burning Field®, an enhanced variety of Japanese lawn-grass was registered with the Ministry of Land, Infrastructure, Transport and Tourism's New Technology Information System (NETIS). NETIS is a new technology information system designed by the Ministry of Land, Infrastructure, Transport and Tourism to share and provide information for use of new technologies. The use of NETIS-registered technology scores additional points for general evaluation at the bidding stage or construction performance evaluation during the usage stage, which is expected to raise awareness and standardize these new technologies at contractors involved in public works projects.

Moving forward, by steadily producing results in soil purification based on this technique, the Group will continue to help resolve the nationwide problem of oil contamination.