llIiiiltPromoting CO2 emissions reduction activities across the supply nacifingSeResponding to the need to account for the environmenttaredoMacisyhPtnacifingSetaredoMseitinutroppOnoitisnarTetaredoMksiRsPromoting the Government’s national resilience measureseitinutroppO・ Educating employees and promoting activities to gain ・ Developing construction methods and temporary building evesksiR tcapmRisk managementHow the risks associated with climate change are selected, evaluated, and managedMetrics and targetsMetrics and targets for evaluating and managing the risks and opportunities posed by climate change32*1: Concierge functions: Listening to customer issues and requests, eliciting specific aspects based on the general social context, and proposing optimal solutions based on TOBISHIMA technologies/know-how and external resources*2: Carbon stock technologies: TOBISHIMA’s proprietary technologies for sequestering large volumes of lumber for extended periods to reduce CO2*3: Field Success Centers (FSCs): Centralized site management systems for enhancing labor savings, quality, safety, and productivity at construction sites● As part of our approach to realizing TOBISHIMA SX, we have identified challenging issues related to contributing to social sustainability; established key issues to be tackled first (SX Materiality); and identified the pursuit of decarbonization as a priority issue.● For risks posed by climate change, the Risk Management Committee checks the impact of these risks on the business of each section and undertakes regular monitoring to confirm that the required measures are taken.● The discussions of and decisions made by the Risk Management Committee are into the companywide risk management process at the Internal Control Committee chaired by the President and reported to the Board of Directors.integrated Rising procurement costs due to carbon tax burdens and carbon tax payment burdens・ Carbon taxes will be imposed on raw materials/construction ・ Carbon taxes will be incurred in accordance with CO2 emission machinery prices, increasing procurement costs.from business activities.Shrinking orders for companies unable to respond to the need to make environmental adjustments・ Companies with low environmental awareness will receive low ・ Lack of advantages in technological requirements for required evaluations from the market, reducing sales opportunities.environmental consideration may be a factor in losing the capacity to attract orders.Growing demand for construction technologies based on high CO2 reduction effects/sequestration effects・ Growing need for energy-saving technologies・ Expanding opportunities to apply CO2 capture/sequestration technologiesGrowing demand for renewable energy-related facilities/equipment ・ Investments in renewable energy-related facilities/equipment will increase and expand opportunities to win orders.Risk of operational stoppages due to damage at civil engineering/building construction worksites・ Extreme climate events may damage or result in the wholesale loss of facilities, buildings, and other assets; impair construction capabilities; and disrupt or delay the transportation and delivery of materials and supplies. Such conditions would significantly affect business activities, including delays or work suspension.Impaired productivity at construction sites・ Extreme summer heat will affect working conditions and impair productivity.Growing demand for natural disaster countermeasure construction projects・ More frequent and heavier rainfall and torrential rain and more intense typhoons will require more countermeasures at construction sites.(*) SBT (Science Based Targets): GHG emissions reductions targets set by each enterprise to achieve targets to be attained in 5-10 years, aligned with the levels required by the Paris Agreement (curbing global temperature rise to well below 2°C above preindustrial levels and pursuing efforts to limit warming to 1.5°C).● We have been granted SBT (*) certification for setting long-term CO2 reduction targets for a zero-carbon society.chain・ Promoting low carbon emitting materials/machinery, construction ・ Using renewable energy to reduce CO2 emissionsdevices and methods to reduce carbon taxescertificationsmethods associated with low CO2 emissionsEnhancing initiatives involving low-carbon compatible construction/CO2 capture/sequestration technologies・ Enhanced proposal formulating capabilities/technological developments involving wooden architecture based on the concierge functions (*1) as well as ZEB and other energy-saving construction methodsstock technologies (*2)tPromoting and enhancing sales activities for customers with nacifingSthe future changing electricity structures in mind・ Enhanced sales promotions in areas related to renewable energy (new small-scale hydroelectric power generation, upgrading existing facilities, hydraulic power renewal construction, solar energy/biomass)Enhancing BCP response capabilities in the event of a disaster in coordination with supply chain・Formulating construction plans incorporating BCP・ Establishing BCP system incorporating supply chains and ・ Development and deployment of disaster-prevention/mitigation implementing regular trainingtechnologiesMeasures to improve working environments・ Production process innovations involving robots and ICT technologies・Promoting the use of precast items to reduce on-site labor ・ Deploying Field Success Centers (*3) to make site management requirements operations more efficient Strengthening response to meet the needs of improved infrastructure and infrastructure service life・ Drawing on our renowned and proprietary disaster prevention ・ Developing construction technologies to implement government-・ Applying concierge functions to enhance our capacity to formulate technologiessponsored national resilience measuresproposals for solutions and maintenance/management services CoverageScope 1/2from 2020 levels by 2030Scope 3from 2020 levels by 2030・Expanding the application and further development of carbon Risks/opportunitiesImpact of carbon taxesEnforcement of decarbonization policiesEnforcement of decarbonization policiesGrowing need for renewable energyNatural disastersImpact on TOBIHSIMAItemGreenhouse gasCountermeasuresTarget25% reduction 13% reduction
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