LINTEC uses environmental accounting to ascertain the costs and benefits of environmental protection, and continues to carry out environmental protection activities as effectively as possible. Environmental investments^★1 made in fiscal 2022 totaled 852 million yen, while environmental costs^★2 incurred for the same year totaled 4,610 million yen. Total investments increased by 86 million yen from fiscal 2021. In fiscal 2022, exhaust gas treatment equipment was introduced at production plants related to release paper for the purpose of preventing air contamination. Total costs increased by 403 million yen from fiscal 2021. This is mainly due to an increase in the number of projects and researchers for the development of environmentally friendly products and an increase in energy conservation costs, such as maintenance and management of internal power generation systems.

• ★1Environmental investments: The amount of investments made during a year for the purpose of environmental conservation.
  Since the effect of the investments lasts for several years or longer, the invested amounts are recognized as costs over those years.
• ★2Environmental costs: Costs or losses arising from consuming goods and services for the purpose of environmental conservation.

Calculation Basis

1. The scope of data collection covers LINTEC COPORATION and TOKYO LINTEC KAKO, INC. Other affiliates are not included.
2. The data is for the period from April 1, 2022 to March 31, 2023.
3. The Environmental Accounting Guidelines (2005) from the Japanese Ministry of the Environment were used as a reference.

Fiscal 2022 environmental conservation costs

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Category		Target equipment	Investments (Millions of yen)	Details of main initiatives	Expenses (Millions of yen)
1.Business area cost	Pollution prevention cost
	a. Preventing air pollution	Exhaust treatment system	171	Management and maintenance of equipment to prevent air pollution	316
	b. Preventing water pollution	Effluent Water treatment system	182	Management and maintenance of equipment to prevent water pollution	142
	c. Preventing overall pollution	-	-	Sludge disposal costs	27
	Global environmental conservation cost
	a. Preventing global warming	Exhaust treatment system	37	Management and maintenance of fuel conversion systems	76
	b. Energy conservation	Exhaust heat recovery system	423	Management and maintenance of in-house power generation equipment	584
	Resource circulation cost
	a. Efficient utilization of resources	-	-	Management and maintenance of wastepaper processing equipment; use of wastepaper as raw material	338
	b. Treating, reducing, and recycling waste	Waste-derived fuels system	35	Management and maintenance of incinerator and boiler equipment; industrial waste processing	466
2.Upstream / downstream cost	Recovering, recycling, and reusing auxiliary materials	-	-	Auxiliary material return	67
	Green procurement and purchasing	-	-	Purchase of environmentally friendly office supplies	7
3.Administration cost	Constructing and operating environmental management systems	-	-	Environmental conservation organizations	392
	Environmental information disclosure	-	-	Preparation of the Sustainability Report and Website	30
	Monitoring and measuring environmental impact	-	1	Analysis and measurement of regulated substances	44
	Environmental education	-	-	Participation in seminars and workshops	2
	Environmental improvement measures	-	-	On-site beautification; garden tree pruning	29
4.R&D cost		-	3	R&D relating to environmental protection	2,076
5.Social activity cost		-	-	-	-
6.Environmental remediation cost		-	-	Payment of pollution load levy; compensation for fisheries	15
Total		-	852	-	4,610

• Note: Investment in exhaust treatment system installation includes spare parts and miscellaneous work.

Fiscal 2022 environmental conservation effects

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Environmental conservation effect categories	Environmental performance indicators		Base period (FY2021)	FY2022	Environmental conservation effect (difference against base period)
1. Environmental conservation effects related to resources put into business activities	Purchased electricity usage (crude oil equivalent)	1,000 kl	38	32	-6
	Fuel usage (crude oil equivalent)	1,000 kl	45	43	-2
	Organic solvent usage	1,000 t	10.1	7.4	-2.7
	Water usage	1,000 m3	7,718	7,798	80
2. Environmental conservation effects related to environmental impact and waste output from business activities	CO2 emissions from manufacturing	1,000 t -CO2	159	113	-46
	Toluene emissions to air	1,000 t	0.434	0.357	-0.077
	Waste discharge	1,000 t	30.8	27.3	-3.5
	Waste incinerated	1,000 t	3.5	4.1	0.6
	Waste buried in final landfills	1,000 t	0.16	0.13	-0.03
	Total effluent (Kumagaya and Mishima plants)	1,000 m3	5,644	5,091	-553
	SOx emissions	t	6.1	9.4	3.3
	NOx emissions	t	113.3	107.7	-5.6
3. Other environmental conservation effects	Fuel usage associated with transportation (crude oil equivalent)	kl	4,016	3,596	-420
	CO2 emissions associated with transportation	1,000 t -CO2	10.67	9.55	-1.12
	Amount of product transportation	10 Million ton-km	9.96	9.41	-0.55