In fiscal 2021, the transportation volume increased by 11.0% (9,845 ton-kilometers^★) from the previous year, and CO₂ emissions accordingly increased by 8.5% (823 t-CO₂). The average energy used per unit of transportation in the past five years decreased by about 1.1%. Meanwhile, Lintec voluntarily declared its commitment to the White Logistics Movement promoted by the Ministry of Land, Infrastructure, Transport and Tourism of Japan.
We will further reinforce our collaboration with logistics companies, related companies, and our plants for the optimization of transport efficiency and modal shift.

• ^★Ton-kilometers: A unit of cargo transport amounts, computed by multiplying the cargo tonnage by the transportation distance. Transporting 1 ton of cargo over a distance of one kilometer equals one ton-kilometer.

• Notes:Calculated according to the emission intensity database.

• Notes:Calculated on the basis of the Energy Conservation Act (Measures Pertaining to Consigners)

For the continuation of sustainable business activities, we established the TCFD Subcommittee under the Environmental Committee and worked on identifying risks and opportunities related to climate change. In assessing impacts of risks and opportunities, we particularly focused on identifying those that may have a big impact on our business under the 4°C scenario, where physical impacts of climate change become prominent, and for the 2^°C or lower scenario, where climate change countermeasures in line with the Paris Agreement are accelerated. In June 2022, we disclosed on our website details about our governance, strategy, risk management, and metrics and targets in accordance with the TCFD recommendations. In fiscal 2022, we will add new subcommittee members from across the organization to further delve into the identified risks and opportunities.

To build a recycling-oriented world in which limited resources are used effectively through recycling, we continue to work on the 3Rs (reduce, reuse, and recycle) of waste. At the same time, we promote the introduction of electronic manifestos and ensure the thorough classification of waste at our plants and sales offices. As for waste generated from our business activities, we will make efforts to reduce the amount generated and promote its more effective use to reduce the amount of landfill disposal.

To achieve a sustainable economy and sustainable environments, we are promoting a transition to a circular economy, in which resources are circulated from product production to product use and then to recycling, with product design that limits the generation of waste and pollution from products and production, and the effective use of recycled materials to reduce consumption of new resources. In response to the April 2022 enforcement of the Plastic Resource Circulation Act, which responds to the issues of marine plastic waste, climate change, and tightened regulations on waste imports in other countries, we will work on initiatives to reduce the amount of plastic used at the stages of design and manufacturing, reduce the amount discharged, and recycle plastic.

We conduct sustainable raw material procurement based on the Lintec Procurement Policy. This means we ask suppliers to confirm the stability of supply through surveys. In fiscal 2021, we asked 118 raw material suppliers (150 departments) in Japan to complete a self-evaluation questionnaire, which included items on BCP^★ and services, with 109 companies (141 departments) responding. We are also researching and organizing data on the production of around 3,700 raw materials. In the event of an incident, we will use the research results to promptly identify raw materials that may be affected and make efforts to avoid disruptions to raw material procurement.

• ^★BCP: BCP stands for a Business Continuity Plan. It is a plan developed in advance to enable the minimization of damage and the continuation or early resumption of business in the event that a company encounters an emergency situation such as an accident or disaster.