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Environmental Accounting

Environmental Preservation Costs and Benefits

(Units: million yen)
Category Major
Preservation Costs
Environmental Preservation Benefits
Investments Expenses
Amount YoY Amount YoY Amount YoY Consumption/
Output Savings
Business area costs Pollution
Operation and maintenance, etc. of facilities used to prevent pollution 3.9 560% 28.2 97% 0 - Use of Environmentally Hazardous Substances: -5.0 t 13%
Adoption of energy-saving equipment, efficient operation of air conditioning and other such equipment as well as related maintenance, inspection, etc. 18.7 82% 47.4 87% 21.8 130% CO2 emissions per unit of production value: -0.006 t-CO2/million yen 5%
Appropriate processing and recycling promotion, etc. of industrial waste discharge 0 - 43.2 157% 147.9 138% Landfill waste amount: 20.1t -
Industrial waste discharge per unit of production value: -0.0017 t/million yen
Sub-total - 22.5 96% 118.0 107% 169.7 137% -
Upstream /
Green procurement, etc. 0 - 0.7 195% 0 - -
Administration X-ray fluorescence spectrometer replacement, activities which aim to guarantee eliminating the use of environmentally hazardous substances in products, environmental management promotion, etc. 30.2 122% 196.5 102% 0 - -
R&D Development of environmentally friendly products, etc 0 - 16.0 91% 0 - -
Social activity Initiatives to expand green areas in local communities and at works, etc. 0 - 7.9 39% 0 - -
- 0 - 0 - 0 - -
Total - 52.8 109% 339.8 99% 169.7 137%

Environmental preservation costs: In regard to environmental preservation costs during FY2017, investments increased from the previous fiscal year while expenses remained at the same level.
Major investments were from the adoption of energy-saving equipment (including photovoltaic power generation facilities, LED lighting, and upgraded air conditioning equipment) and for upgrading X-ray fluorescence spectrometers used to inspect for environmental hazardous substances.

Economic Benefits: Economic benefits for FY2017 increased from the previous fiscal year. This was the result of an increase in sales revenue of waste with value at overseas offices, energy savings from new energy saving equipment, and continued profits on energy from a photovoltaic power generation system.

Environmental Preservation Benefits (Reduction of waste): As for environmental preservation benefits, although landfill waste amount decreased as a result of its environmental improvement activities, SMK's CO₂ emission per unit of production, industrial waste per unit of production, and environmental hazardous material values worsened.

Actual results of Power Generation at photovoltaic power plant

1,320,000 kWh of electricity was produced by photovoltaic power plant owned by SMK and its subsidiaries in fiscal 2017. This reduced CO2 emissions by 416 tons. * CO2 emission factor used in accordance with Industry Independent Rules of the Japan Photovoltaic Energy Association.

SMK Electronics (Phils.) Corporation Installation of Photovoltaic Power Generation Facilities

The adoption of small-sized photovoltaic power generation facilities in November 2017 contributes to a decrease in power usage for lighting at SMK Electronics (Phils.) Corporation.
Until May 2018, the power generated by the new facilities was 12,000 kWh (CO2 reduction amount of 6t-CO2).

Reporting period

FY2017 (April 1, 2017 – March 31, 2018)

Scope of calculations

SMK Corporation (nine sites in Japan) and consolidated subsidiaries (three in Japan and 19 overseas)


Electric CO2 emission factor for domestic sites: The Electric Power Council for a Low Carbon Society. Electric CO2 emission factor for overseas sites: 2005 – 2011: Subject to the standards of the IEA (International Energy Agency), from 2012: Subject to the standards of the DEFRA (Department for Environment Food & Rural Affairs). CO2 emissions for fuels are subject to the standards found in official announcements by the Ministry of the Environment. In addition, data for past fiscal years was corrected by updating CO2 emission factor.