Environmental Data
- Actively Disclose Environmental Data
- MOL Group's Environmental Data
- Third-party Verification of CO2 Emission Data
- FY2018 Environmental Accounting
- Funds allocation status and Environmental improvement effect for Green Bonds as of August 2019(20th and 21st series unsecured corporate bonds)
Actively Disclose Environmental Data
Demand for proactive disclosure of environmental data is increasing. Customers have raised their awareness of the importance of calculating and reducing the environmental impact such as CO2 emissions generated in transport activities because their efforts on reducing the environmental load on their supply chains contribute to improving their social evaluations and positions. At the same time investors recognize that businesses whose activities produce GHG emissions may be imperiling their corporate value more than ever due to various policies and regulations to address the environmental issues such as escalation of global warming, and growing concern among consumers.
Clean Shipping Index (CSI)
The Clean Shipping Index is an environmental assessment tool for ships and shipowners, used by a network of cargo owners and forwarders (customers) when buying sea transport. Ship owners present the environmental performance on emissions of CO2, sulfur oxides, particulate matter and nitrogen oxides and the use and handling of chemicals, waste and waste water. Vessels are then ranked from 'low performance' to 'good performance'. With the information collected, the cargo owners and forwarders evaluate the ship owner in the procurement process. In line with MOL's target to "Actively Disclose Environmental Data", MOL started reporting in CSI in 2013.
Clean Cargo Working Group(CCWG)
The global nonprofit organization "Business for Social Responsibility (BSR)," which works with containership owners, container shipping customers, and non-vessel operating common carriers, has established the Clean Cargo Working Group (CCWG) in 2003. CCWG measures, evaluates, and reports the Ship owner environmental performance including CO2, NOx, SOx and Environmental Management System. MOL has been participating since 2012.
CDP
CDP is a U.K.-based non-governmental organization that represents 827 institutional investors all over the world. It holds about $100 trillion in total. It sends specific questionnaires asking about strategies on climate change and on greenhouse gas emissions to companies. Answers and scores of the results are publicly announced around the world, and the scores are becoming a key indicator in measuring corporate value. MOL has responded to CDP's inquiries every year, and was recognized for "B" in FY2018.
MOL Group's Environmental Data (As of March 31, 2019)
Energy Consumption
| Unit | FY2016 | FY2017 | FY2018 | |
|---|---|---|---|---|
| Fuel oil (C oil) | thousand tons | 5,468 | 5,321 | 4,876 |
| MOL vessels | thousand tons | 4,443 | 4,591 | 4,048 |
| Group company vessels | thousand tons | 1,025 | 730 | 829 |
| Diesel oil (A oil) | thousand tons | 318 | 346 | 341 |
| MOL vessels | thousand tons | 223 | 267 | 252 |
| Group company vessels | thousand tons | 95 | 79 | 89 |
| Electricity | thousand kWh | 95,267 | 83,552 | 85,605 |
| Municipal gas | thousand m3 | 1,830 | 1,637 | 1,799 |
| Energy consumption (equivalent) | thousand GJ | 251,754 | 245,896 | 225,976 |
- C oil/A oil: sed mainly for vessel fuel
- Energy consumption: The energy equivalent of heat originated from C oil, A oil, electricity, municipal gas and other energy consumed.
Greenhouse Gas Emissions
| Unit | FY2016 | FY2017 | FY2018 | |
|---|---|---|---|---|
| Scope 1: CO2 emissions | thousand tons | 18,203 | 17,774 | 16,369 |
| MOL vessels | thousand tons | 14,621 | 15,239 | 13,499 |
| Group company vessels | thousand tons | 3,489 | 2,510 | 2,849 |
| others | thousand tons | 93 | 25 | 21 |
| Scope 2: CO2 emissions | thousand tons | 55 | 46 | 47 |
| Scope 3: CO2 emissions | thousand tons | 2,346 | 2,246 | 2,166 |
- Scope 1: CO2 emissions originating mainly from A oil and C oil used as fuel in vessels
- Scope 2: CO2 emissions originating mainly from electricity consumption
- Scope 3: CO2 emissions originating mainly from when the capital goods and/or ship's stores are produced, fuels the vessels used are generated etc.
* Scope3 data of FY2016-2017 has been adjusted retrospectively for category change.
NOx and SOx Emissions
| Unit | FY2016 | FY2017 | FY2018 | |
|---|---|---|---|---|
| NOx emissions | thousand tons | 504 | 481 | 438 |
| MOL vessels | thousand tons | 409 | 406 | 361 |
| Group company vessels | thousand tons | 95 | 76 | 77 |
| SOx emissions | thousand tons | 315 | 328 | 286 |
| MOL vessels | thousand tons | 258 | 278 | 237 |
| Group company vessels | thousand tons | 57 | 50 | 49 |
Other Resources
| Unit | FY2016 | FY2017 | FY2018 | |
|---|---|---|---|---|
| Waste | tons | 48,542 | 78,225 | 2,391 |
| Recycled | tons | 47,521 | 77,388 | 1,584 |
| Non-recycled | tons | 1,021 | 838 | 807 |
| Recycling rate (MOL Head Office Building) | % | 63 | 67 | 66 |
| Water | m3 | 672,783 | 623,924 | 579,341 |
| Tap water | m3 | 672,783 | 623,924 | 579,341 |
| River water | m3 | – | – | – |
| Seawater (cyclic usage) | m3 | – | – | – |
- Waste: Mainly vessels sold to be scrapped; recycled at scrapping yards
- Water: The volume of water used in offices. Most of the water used in vessels is made from seawater and recycled
Eco Sailing Initiatives
| Unit | FY2016 | FY2017 | FY2018 | |
|---|---|---|---|---|
| Ocean-going vessels | ||||
| CO2 emissions per unit load (ton-mile) | g/ton-mile | 11.2 | 11.4 | 11.2 |
| MOL | g/ton-mile | 10.8 | 11.0 | 10.9 |
| Domestic coastal vessels | ||||
| Unit energy consumption | FY2009=100 | 103.1 | 102.9 | 100.8 |
Onshore Initiatives
| Unit | FY2016 | FY2017 | FY2018 | |
|---|---|---|---|---|
| Unit energy consumption (MOL, Daibiru, Shosen Koun) |
FY2009=100 | 77.8 | 78.1 | 76.0 |
| Solar power generation | thousand kWh | 232 | 243 | 247 |
Data scope
MOL Group consolidated subsidiaries in Japan and overseas. Excludes some small offices
Noted areas such as "(MOL)" are limited to that scope
CO2 Emissions
NOx Emissions
SOx Emissions
■Emissions per unit load (ton-mile: Ocean-going vessels) (Comparison with FY2009*)
■Emissions per unit load (ton-mile: Ocean-going vessels) (Comparison with FY2012*)
*Reduction target benchmark year
Environment Investment Amount (Unit:¥ billion)
| FY2016 (Results) | FY2017 (Results) | FY2018 (Results) | |
|---|---|---|---|
| Environment-related R&D activities | 4 | 5 | 9 |
| Utilization and expansion of existing environmental technologies | 5 | 8 | 18 |
| Compliance with environmental regulations | 31 | 31 | 36 |
| Initiatives to save bunker fuel | 11 | 8 | 6 |
| Initiatives of Group companies | 3 | 5 | 4 |
| Total | 54 | 57 | 73 |
Third-party Verification of CO2 Emission Data
MOL acquired third-party verification by SGS Japan, Co., Ltd. to ensure the fairness, accuracy, and transparency of FY2018 CO2 emission data included in this report. The verification was conducted based on ISO14064-3:2006.
Through the third party verification, we will identify issues and enhance our efforts to further reduce CO2 emissions.
FY2018 Environmental Accounting
Environmental Protection Costs (unit: ¥ million)
| Category | Items | Investment | Cost |
|---|---|---|---|
| (1) Costs in business areas | |||
| Global environmental protection | Measures to reduce exhaust gas from vessels | 2,008 | 673 |
| Measures on vessels to preserve the marine environment | 3,756 | 0 | |
| Office related | 129 | 0 | |
| Costs for resource circulation | Related to the vessels | 41 | 0 |
| (2) Costs for management activity | Environmental management activities | 0 | 88 |
| (3) Costs for R&D | R&D | 0 | 638 |
| (4) Social activity costs | Social contribution activities | 0 | 0 |
| TOTAL | 5,933 | 1,399 | |
- Reference Guidelines
Japan's Ministry of the Environment "Environmental Accounting Guideline (FY2005)" Cost does not include depreciation and amortization expenses. - Tabulation Period
FY2018 (April 1, 2018 to March 31, 2019) - Scope of Tabulation
Head Office and operated vessels of Mitsui O.S.K. Lines, Ltd. (non-consolidated) and ocean-going vessels operated by MOL Group companies in Japan.
Funds allocation status and Environmental improvement effect for Green Bonds as of August 2019(20th and 21st series unsecured corporate bonds)
Funds allocation report
All funds from bonds issue have been allocated for eligible projects as below.
| Sub-groups | Projects categories | Amount(100 million yen) |
|---|---|---|
| Regulation response | Ballast Water Treatment System |
55 |
| SOx Scrubber | 22 | |
| LNG related | LNG Bunkering Vessels | 14 |
| LNG-fuelled Vessels （Tugboat） |
7 | |
| Upgraded PBCF and Wind Challenger Project |
Upgraded Propeller Boss Cap Fins |
2 |
| Wind Challenger Project | 0 | |
| Total(*) | 100 | |
(*) Refinancing ratio: 48%
Environmental impact report
| Projects categories | Reporting indicator | |
|---|---|---|
| Ballast Water Treatment System |
Number of Ballast Water Treatment System installed |
54 vessels |
| Volume of treated ballast water | 4,118,600mt/54 vessels total/year | |
| SOx Scrubber | Number of systems installed | 4 vessels |
| SOx emission reduction | 86% | |
| LNG Bunkering Vessels | Number of LBVs financed and entered into operations | Under construction |
| LNG-fuelled Vessels (Tugboat) |
Number of LNG-fuelled Vessels financed and entered into operations | 1 vessel |
| GHG emission | 1,248mt/vessel/year | |
| GHG emission reduction | 15% | |
| CO2 emission reduction | 25% | |
| NOx emission reduction | 80% | |
| SOx emission reduction | 99% | |
| Upgraded Propeller Boss Cap Fins |
Number of PBCF financed and entered into operations | 35 vessels |
| Energy saving effect | 5% | |
| Avoided GHG emissions | 43700mt/35 vessels total/year | |
| CO2 emission reduction | 5% | |
| NOx emission reduction | 5% | |
| SOx emission reduction | 5% | |
| Wind Challenger Project | Number of Wind Challenger financed and entered into operations | N/A |
| Future plans | MOL will select a vessel to equip with sails within fiscal 2019, aiming to start operation in 2022 | |