To achieve decarbonized societies, we strive to reduce CO2 emissions through energy conservation and cleaner power consumption. In addition, we at the Group pursue manufacturing practices that incorporate energy and resource conservation (what we call Eco Manufacturing).
We have set medium- to long-term and annual targets for reducing greenhouse gas (GHG) emissions, as well as annual targets for energy saving.
We regularly monitor GHG emissions and energy consumption at each business site, analyze progress toward targets in detail, to improve energy efficiency.
We are reducing emissions steadily every year to achieve our targets, exercising energy conservation and using cleaner electricity from renewable energy sources.
In fiscal 2023, we continued our efforts towards replacing energy-saving equipment with high-efficiency equipment through capital investment, optimizing operations by implementing measures identified through energy conservation diagnostics, and expanding solar power generation equipment.
In fiscal 2023, we significantly outperformed our GHG emissions reduction target. This is due mainly to our energy conservation and energy creation initiatives exceeding the plan, as well as increase in carbon zero (use of J-Credits) in Japan, and production reductions.
As a result, we revised the SF2030 1st Stage (FY2024) target upward from a total reduction of 53% in absolute amount vs. FY2016 result to that of 68%, in May 2024.
We aim to achieve 100% renewable electricity at sites in Japan by fiscal 2024. We intend to achieve this target by continuing to improve energy efficiency based on the action plan formulated in the medium-term plan, while also utilizing renewable energy-derived J-Credit Scheme*1 and self-consignment*2 provided our own energy solutions business.
As part of our Eco Manufacturing initiative, we have improved facilities, invested in equipment, and installed optimized equipment at our operating sites.
We are also promoting innovation and R&D investments to reduce energy consumption in society as a whole through the provision of our products and services. Here are some examples:
[Energy-saving of air conditioning]
We reviewed the operation rules for setting temperatures and introduced inverter/cooling water controlling systems.
[Proper operation of the compressors]
We regularly checked and took countermeasures for air leaks, and adjusted discharge pressure volume.
[Energy-saving of lighting]
We installed motion sensors that can detect people within set areas, reviewed the operation rules for lighting areas and times, and adjusted the illuminance.
These efforts resulted in a 3,712 MWh (2.2kt-CO2) reduction in power consumption in fiscal 2023 compared with the previous year.
Based on the action plan up to fiscal 2023, we have promoted environmental investments at each business site. The main initiatives are as follows: replacement of aging equipment; replacement to high-efficiency equipment, such as transformers, air conditioning systems, compressors, lighting equipment with motion sensors; renewal of energy management systems (visualization) and introduction of additional monitoring points.
As a result, we reduced power consumption by 2,275MWh (1.2kt-CO₂) in fiscal 2023 compared with the previous year.
We will also promote the installation of charging stations in conjunction with the introduction of electric vehicles.
The Industrial Automation Business contributed to energy efficiency, taking the following steps: First, to verify energy-saving solutions services and gather knowledge, we introduced the i-BELT service to our own production sites. Then, by combining IoT, AI analysis, and data utilization, we visualized the whole picture. As a result, we were able to control the operation of production lines and various equipment in the factories and contribute to energy efficiency.
The Social Systems, Solutions and Service Business has been working to further promote renewable energy. Specifically, we have been working to contribute to the spread of solar power generation and storage batteries both inside and outside our company.
In addition, we will accelerate new initiatives, such as eliminating instable power generation with advanced energy control technologies.
In order to accelerate the promotion of thorough energy conservation, we have continuously conducted energy conservation potential assessments by outside experts since fiscal 2019. In fiscal 2023, we conducted the program again at two sites (one in Japan and one in Vietnam) for the purpose of formulating a medium-term management plan.
Eighteen sites in Japan, China, Italy and Indonesia use electricity generated in-house via solar power (including on-site PPAs*3 installed on our own premises) and self-consigned by off-site PPAs.
In fiscal 2023, we continued to invest in renewable energy facilities at each site in accordance with our action plan.
We made new installations at two sites in Japan (Kyoto Prefecture and Tottori Prefecture). We made additional installations at two sites, one in Japan (Kumamoto Prefecture) and one in Indonesia. In total, we estimate annual new renewable energy power generation of 2,948MWh for fiscal 2023.
As a result, our annual power generation from in-house power generation was 8,347MWh.
In the Kansai area of Japan, we continued procurement through centralized power purchasing that incorporates internal carbon pricing. At production sites out of Japan, we also procure electric power in the Netherlands and Malaysia. The amount of electricity purchased from these renewable energy sources totaled 48,947MWh.
Based on the action plan formulated in the medium-term plan, the OMRON Group will utilize J-Credits derived from renewable energy provided by the Social Systems, Solutions and Service Business to achieve Scope 2 (purchased electricity) carbon neutrality at 76 sites in Japan by fiscal 2024. In fiscal 2023, a total of 33 locations switched the equivalent of 8,350MWh of electricity to renewable energy sources.
In January 2022, OMRON Social Solutions Co. Ltd. launched the service named “eco-activity circle for everyone” in Japan. The service is to collect and utilize self-consumed solar power generation as environmental value by utilizing the J-Credit Scheme, the Japanese government’s measures to combat global warming.
Users of our solar power generation and energy storage systems, which are products of the Social Systems, Solutions and Service Business, followed the idea, and more than 10,000 customers applied. Today, the number is still growing.
OMRON tracks greenhouse gas emissions from non-energy sources.
