SBT (Science Based Targets) for Small and Medium-Sized Enterprises
The SBT for SMEs certification is issued by the Science Based Targets initiative (SBTi) to companies that have set greenhouse gas (GHG) emission reduction targets based on scientific evidence.This certification serves as a vital framework for companies to engage in climate action, by supporting the establishment of science-based targets and the implementation of concrete measures to achieve them.Through these efforts, companies are expected to fulfill their environmental and social responsibilities while achieving sustainable growth.
Hero Electric Co., Ltd. is actively committed to addressing climate change, including the reduction of greenhouse gas (GHG) emissions, as part of our ongoing efforts to contribute to the realization of a sustainable society.
Background and Purpose of Obtaining the SBT for SMEs Certification
As environmental issues such as global warming continue to intensify year by year, companies are being called upon to take more responsible actions than ever before.At Hero Electric Co., Ltd., we have made the decision to obtain the SBT for SMEs certification as part of our commitment to fulfilling our responsibilities to both the global environment and the local community.We are confident that this initiative will further drive our sustainable growth and contribute to the realization of a more sustainable society.
Contribution to the SDGs (Sustainable Development Goals)
Obtaining the SBT for SMEs certification enables companies to reduce their own greenhouse gas emissions, thereby contributing to the achievement of SDG Goal 13: “Take urgent action to combat climate change and its impacts.”
Establishing medium- to long-term greenhouse gas emission reduction targets in alignment with international standards
Through the acquisition of the SBT for SMEs certification, we are committed to setting medium- to long-term greenhouse gas emission reduction targets based on international standards, and to formulating and implementing concrete reduction plans.
Promoting GHG Emissions Reductions Across the Supply Chain
The acquisition of the SBT for SMEs certification serves as an important opportunity for us and our stakeholders to engage more deeply in discussions on carbon neutrality.It also strengthens our efforts to reduce greenhouse gas emissions across the entire supply chain, contributing to the realization of a sustainable future.
Significance of the SBT for SMEs Certification
Acquiring the SBT for SMEs certification is expected to yield the following environmental benefits:
Reduction of Atmospheric CO₂ Concentration
By reducing greenhouse gas emissions from both our own operations and across the entire supply chain, we contribute to lowering the concentration of carbon dioxide in the atmosphere.
Risk Management and Enhanced Competitiveness
By advancing our climate change initiatives, we strengthen our ability to manage risks associated with future environmental regulations and market fluctuations.At the same time, we are building a sustainable management foundation while further enhancing our corporate value and competitiveness.
Ecosystem Protection
We promote ecosystem conservation and the preservation of biodiversity, contributing to the realization of a sustainable future.
Responsible Business for Future Generations
By advancing environmentally responsible initiatives in line with the SBT for SMEs guidelines, we fulfill our responsibility to future generations and establish a sustainable foundation for our business.
Future Outlook Following SBT for SMEs Certification
Building on our acquisition of the SBT for SMEs certification, Hero Electric is committed to further promoting the reduction of greenhouse gas emissions.We will place greater emphasis on sustainable business operations and focus even more on developing innovative products with high added value.
In addition, we will strengthen collaboration with our stakeholders to reduce environmental impact across the entire supply chain.Through these efforts, we aim to enhance our corporate value, improve customer satisfaction, strengthen our competitiveness, and contribute to the realization of a sustainable society.
We are pleased to announce that Hero Electric has obtained the SBT for SMEs certification from the Science Based Targets initiative (SBTi),in recognition of our concrete efforts to achieve greenhouse gas reduction targets based on scientific evidence.
Following the acquisition of this certification, Hero Electric Co., Ltd. is committed to advancing sustainable management practices grounded in global warming prevention, efficient resource utilization, and biodiversity conservation.This certification supports the scientifically grounded greenhouse gas reduction targets set forth in the Paris Agreement, which aims to limit global temperature rise to below 1.5°C.Through this recognition, Hero Electric will further strengthen its climate action initiatives, reduce environmental impact, and strive for sustainable growth, accelerating our contribution to a better future.
We aim to reduce greenhouse gas emissions by 42% by fiscal year 2030 compared to fiscal year 2022. Through ongoing efforts to address various environmental challenges, we will continue to contribute to the realization of a healthy and prosperous future society for people and the planet.
| Fiscal Year 2022 39.52t-CO2e |  | Fiscal Year 2030 22.92t-CO2e |
[Key Initiatives for Reducing Greenhouse Gas Emissions]
Promotion of Energy-Saving Measures
We are working to reduce energy consumption and CO₂ emissions by gradually upgrading air conditioning systems and lighting to high-efficiency equipment.
Optimization of Electricity Contracts
We are reducing greenhouse gas emissions associated with electricity use by switching to power plans with lower CO₂ emission factors. At the same time, we are reviewing electricity costs to achieve more sustainable management.
Introduction of Electrified Vehicles for Business Use
*We have introduced hybrid vehicles as business-use vehicles. While the CO₂ reduction per unit is limited compared to electric vehicles (EVs), the introduction of three hybrids is said to achieve a reduction effect equivalent to that of one EV (see note). This demonstrates that it is possible to balance practicality with reducing environmental impact. Going forward, we will further promote decarbonization by gradually expanding their introduction.
Reducing Emissions in Procurement and Shipping Logistics
In the procurement and shipping of products listed in our general catalog, as well as packaging materials such as cardboard, we are striving to reduce CO₂ emissions across the supply chain by improving transportation efficiency, increasing load ratios, and utilizing environmentally friendly logistics wherever possible.
*(Note) [Source] Toyota Automobile Dealers Association, Kinki Branch Website: “Our Home is Finally Going Electric!”
https://kinki-all-toyota.jp/osaka/assets/pdf/carbon_neutrality_02.pdf
| Category | Fiscal Year 2022 | Fiscal Year 2023 | Fiscal Year 2024 |
|---|---|---|---|
| Target Value | 39.52 | 37.44 | 35.37 |
| Scope 1 (Direct Emissions) | 3.66 | 4.17 | 3.85 |
| Scope 2 (Indirect Emissions) | 35.86 | 34.60 | 36.19 |
| Total (Scope 1 + Scope 2) | 39.52 | 38.77 | 40.04 |
About the Science Based Targets initiative (SBTi)
- United Nations Global Compact
- CDP (an international environmental nonprofit organization based in the UK)
- World Resources Institute (WRI)
- World Wide Fund for Nature (WWF)
(Use of the SBTi certification logo has been authorized.)
Related Information
Green Value Chain Platform
https://www.env.go.jp/earth/ondanka/supply_chain/gvc/
About the Science Based Targets initiative (SBTi)
https://www.wwf.or.jp/activities/basicinfo/409.html
