ESGApproach to Disclosing Climate-related Information In Accordance with TCFD Recommendations
Fuji Electric is working to disclose climate-related financial information based on the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).
Since expressing support for the TCFD recommendations in June 2020, we established a specialized advisory team, the “Climate Control Working Group” (consisting of all business segments and general managers from all business segments, environment devision, procurement devision, and R&D divisions), under the company-wide “SDGs Promotion Committee” (consisting of executive officers) to identify the impact of climate change on Fuji Electric’s business and to take measures accordingly.

Items recommended for disclosure by the TCFD
Governance | The organization’s governance in relation to climate-related risks and opportunities |
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Strategy | The impact of climate-related risks and opportunities on the organization’s businesses, strategy and financial planning |
Risk management | The processes used by the organization to identify, assess and manage climate-related risks |
Metrics and targets | The metrics and targets used to assess and manage climate-related risks and opportunities |
(Summarized by Fuji Electric based on the Recommendations of the Task Force on Climate-related Financial Disclosures (Final Report))
Timeline for Climate-related Financial Disclosures
- June 2020: Endorsement of TCFD recommendations. In addition, disclosure on “Governance” in the disclosure requirements.
- June 2021: Disclosure on “Risks and Opportunities” (2°C/4°C target base) in the “Strategy” disclosure requirements.
- March 2022: Disclosure on same “Risks and Opportunities” (1.5°C/4°C target) and “Adaptation Measures.”
Governance
Disclosed in June 2020
- Fuji Electric positions global environmental protection initiatives as a priority issue for management.
- We established the SDGs Promotion Committee, a company-wide committee composed of managers (Executive Officers) from our various business, sales and corporate departments, to discuss issues and evaluate measures concerning the promotion of the SDGs, including those related to climate. (April 2020)
The results of deliberations and evaluations by the Committee are reported to the Executive Committee* and the Board of Directors and discussed as necessary. - Through the promotion of Environmental Vision 2050, we will analyze the risks and opportunities that climate change poses for our business and value chains together with the financial impacts of these risks and opportunities, and we will incorporate them into our management strategy and proactively disclose the information.
- Deliberates and reports on important management issues as an advisory body to the President.
Strategy
Disclosed in March 2022
We reanalyzed the “Risks and Opportunities” analyzed under the “2°C Scenario” (disclosed in June 2021) under the “Below 1. 5°C Scenario” to identify “Risks and Opportunities” and “Adaptation Measures.”
(1) Scenario Analysis
Outline | Adopted Scenario | Considered external environment |
---|---|---|
Below 1.5°C scenario | Scenario in which stringent measures are taken to limit the global average temperature rise as of 2100 to1.5°C above the pre-industrial average | World Energy Outlook 2020(Published by the IEA:International Energy Agency) |
4°C scenario | Scenario in which a global temperature rise of around 4°C above the Industrial Revolution period is assumed unless measures exceeding the current level are taken. | IPCC Fifth Report(Published by the IPCC: Intergovernmental Panel on Climate Change) |
(2) “Risks and Opportunities” and “Adaptation Measures” at 1.5°C/4°C
<Points for the revised contents>
- We reanalyzed “Risks and Opportunities” under the scenarios of “Below 1.5°C” and “4°C”.
- We identified and summarized “Risks and Opportunities” of high importance for each supply chain process.
- We identified “Risks and Opportunities” and “Countermeasures.”
- We considered not only the short-term perspective, but also the medium- to long-term perspectives, envisioning the year 2040, when identifying “Risks and Opportunities” and “Countermeasures.”
We approach the “Risks and Opportunities” and “Countermeasures” as follows.
Risks | Opportunities | Adaptive countermeasures | ||
Below 1.5°C | Suppliers |
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Development and design |
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Manufacturing |
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Logistics |
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Customers and markets |
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4°C |
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The above “countermeasures” include items that have already been initiated.
We will continue to discuss countermeasures and financial impacts based on the above risks and opportunities with a view to disclosure.
Risk Management
Disclosed in March 2022
We recognize “risks related to climate change” as one of the “risks that may affect management” in the “Fuji Electric Risk Management Rules.” The year-round “risk management processes” set forth in the Rules are as follows.

Metrics and Targets
Disclosed in March 2022
We have established “Fiscal 2030 Goals” as interim action goals in our “Environmental Vision 2050,” and we aim to achieve these goals by positioning them as “metrics and targets” that correspond to TCFD recommendations.
Environmental Vision 2050
We aim to contribute to the achievement of a decarbonized society, a recycling-oriented society, and a society that is in harmony with nature by expanding the use of Fuji Electric's innovative clean energy technologies and energy-saving products.
Achieve a Decarbonized Society: Target carbon neutrality across the supply chain
Fiscal 2030 Goals
Metrics | Targets |
Greenhouse gas emissions in production | Reduction of over 46% (compared to FY2019) |
Greenhouse gas emissions throughout the supply chain | Reduction of over 46% (compared to FY2019) |
Contribution to CO2 reduction in a society | Over 59 million tons/year |
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