Energy Conservation / Prevention of Global Warming

Toward Global Warming Prevention

The Fourth Assessment Report has been released by the Intergovernmental Panel on Climate Change (IPCC), reporting that greenhouse gases due to human activities impact on global warming. The initial commitment period (2008-2012) of the Kyoto Protocol - an agreement which establishes goals for reducing greenhouse gas emissions - is going to become effective next year and Takeda considers that ensuring a steady implementation of these efforts toward the goal of reducing total greenhouse gas emissions is our responsibility for the next generation.
Manufacturing pharmaceutical products requires less energy consumption compared to other industries and its percentage of total greenhouse gas emissions is relatively low. However, it is true that during each stage of our operations, including the procurement of raw materials, manufacture, distribution and disposal, we release greenhouse gases into the air, which has an impact on the global warming regardless of the volume. In accordance with global warming, an increase of tropical diseases and emerging infectious diseases has been predicted; therefore, as a pharmaceutical manufacturer, playing a role in the medical services domain, Takeda recognizes the significance of efforts to boost global warming prevention.

Takeda's CO₂ Reduction Scheme

Takeda has developed the 9th five-year energy conservation program for the period 2006 - 2010 and our activities toward efficient energy use have been progressing. The 9th energy conservation program sets a target for reducing CO₂ emissions by 40 percent in fiscal 2010 compared to the fiscal 2005 level and we aim to promote our efforts toward reducing CO₂ emissions by implementing thorough energy conservation measures and converting fuels into those generating fewer CO₂ emissions, as well as improving the level of CO₂ emissions on a specific consumption basis. In addition, we also plan to set a goal for CO₂ emissions on a global scale for the future. Takeda pledges to strengthen our efforts to confront global warming issues on a group-wide basis, in order to realize the goal.

Achievements In Fiscal 2006

Takeda group's CO₂ emissions in fiscal 2006 amounted to 460K tons, a 5.5 percent decrease over the previous year. This is considered to be due to our continued efforts to accomplish thorough energy saving measures; implemented mainly within Japan. To cite some examples, at the Hikari Plant where approximately half the CO₂ emissions of the overall Takeda group have been generated, meticulous energy saving activities have been implemented: a reduction in use of heavy oil by improving the operation efficiency of the operating power generation facilities, a weekly review of temperature and humidity control during nonoperational period and focusing the compass of storage shelves in order to keep raw materials in a certain place, allowing a reduction in the power used for cranes. Takeda has accomplished an overall reduction in CO₂ emissions of approximately 27K tons on a group-wide basis.

Future Efforts

Takeda faces an issue of an increase in CO₂ emissions, along with an increased production volume at global production bases, including Takeda Pharma Ireland Limited, whereby its full-scale operation will shortly commence as the Takeda group's first global bulk compound production base.
As part of group-wide efforts to respond to such challenges, Takeda will strengthen the reduction in CO₂ emissions by establishing energy saving measures for the global production bases. In fiscal 2007, Takeda plans the conversion of coal into natural gas at Tianjin Takeda Pharmaceuticals Co., Ltd., which is our production base in China.
The Japan Pharmaceutical Manufacturers Association has set its voluntary action plan: "Reduction of CO₂ emissions of pharmaceutical companies in the fiscal 2010 to fiscal 1990 levels." Takeda's performance has been constantly maintained below 400K tons - the CO₂ emission levels for fiscal 1990 and we expect to attain the goal set for fiscal 2010.

Trend of Takeda Group's CO₂ emissions

Trend of Takeda's CO₂ emissions

Calculation Method

• Calculation object

CO₂ emissions for calculation object refer to direct emissions generated by combustion of fossil fuels and indirect emissions from electricity use.

• CO₂ emissions factor

As for the results in Japan, they are calculated based on the "Law Concerning the Rational Use of Energy" and the CO₂ emissions factor for purchased electricity is used from default value (0.000555 t-CO₂/kWh) designated by the ministry ordinance concerning calculation of greenhouse gas emissions associated with business activities by specific generator. As to the CO₂ emissions factor for purchased electricity outside Japan, country-specific factors are used from the GHG Protocol.

[*] Previous data has been amended according to the change in the calculation method.