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Climate ChangeMajior Initiatives

We will create together
A society that has overcome climate change

Basic Thinking

The KIRIN Group, based on the scenario analysis conducted on TCFD recommendations, reaffirmed that climate change associated with global warming will have a serious impact on the biological resources and water resources that are important raw materials for the Kirin Group. Given these analysis results, we set an ambitious target to “realize Net-Zero GHG emissions from the entire value chain” in its new Environmental Vision 2050, which far exceeds the target of the previous Long-Term Environmental Vision. We will lead to build a decarbonized society.

Overview of Approaches

In 2009, the Kirin Group declared the lofty target of halving our CO2 emissions from its entire value chain by 2050 compared with those of 1990. In 2017, we set new GHG reduction targets for the total of Scope 1 and Scope 2 emissions, and Scope 3 emissions, by 30% compared with those of 2015 by the end of 2030, and we have been taking action toward the target.
This target is the first food industry case in Japan approved by Science Based Targets initiative (SBTi).
We have been working actively to reduce GHG emissions from our entire value chain. In the upstream of our business, we introduced the in-house production of PET bottles and the domestic bottling of imported wine. In our production, we converted the fuel from oil to gas and introduced advanced technologies such as co-generation and heat pump. In the downstream logistics, we propelled modal shift and joint deliveries with our competitors.
In the introduction of renewable energy, we are promoting use of wastewater biogas to generate electricity and purchase of CO2-free electricity derived from hydroelectric power generation. In Australia, we are aiming to realize its production with 100% renewable electricity by 2025.
In Environmental Vision 2050, our new long-term environmental strategy we announced this year, we commit to “realize Net-Zero GHG in the entire value chain” by 2050. We will raise our GHG reduction target to SBT 1.5°C standard, achieve RE100 prior to 2050, and lead to build a decarbonized society.

Target

Target for total Scope 1 and Scope 2 emissions*
Target for total Scope 3 emissions*

Highlights of Outcomes

Challenges Progress
Realize Net-Zero GHG emission from the entire value chain. Kirin Brewery is steadily installing heat pump systems in the aim of shifting our energy sources from fossil fuels to electric power. Kyowa Kirin has introduced hydroelectric power.
The Kirin Group has made steady progress toward meeting the GHG emissions reduction targets set in its CSV Commitment, achieving an 8.5% reduction in combined Scope1 + Scope2 emissions, and 12.7% reduction in Scope3 from the 2015 levels in 2019.
Kirin Brewery set a target of increasing the ratio of renewable energy in power purchased by its breweries to 50% by 2030. The ratio in 2019 was 15%.
Lion acquired its first large-scale carbon neutral certification in Australia in May 2020.
Lead to build a decarbonized society. The Kirin Group has signed the Business Ambition for 1.5°C and Uniting Business and Governments to Recover Better in response to the efforts for the 1.5°C future and promoting green recovery. Fermentist, a craft brewery in New Zealand, has launched Kiwi Pale Ale, the country's first carbon-free certified beer. Fermentist is working to reduce GHG emissions from its production process and utilize offset program for the balance to realize carbon neutral throughout the lifecycle of the product, from fertilizers used to grow crops to refrigeration at the homes of consumers.

Progress

Trends of GHG emission from entire value chain*

Trends of GHG emissions against medium-term targets

GHG data

Value chain greenhouse gas emissions*

* The emissions are calculated in the same range as the target approved by SBTi.

(Unit:tCO22)

  2015 2016 2017 2018 2019
Direct emissions from corporate activities
(Scope 1 + Scope 2)
964,392 959,070 943,194 927,337 881,943
  Scope 1
(Emissions from use of fuel)
366,286 365,680 370,340 375,096 368,169
  Scope 2
(Emissions related to purchase of power and steam)
598,106 593,391 572,855 552,241 513,774
Indirect emissions
(Scope 3)
4,560,065 4,087,271 4,222,803 3,972,378 3,982,794
  Raw materials
(Category 1)
2,811,940 2,626,854 2,557,411 2,331,798 2,306,915
  Transport - Upstream
(Category 4)
384,873 374,510 363,123 364,936 405,309
  Transport - Downstream
(Category 9)
979,569 787,665 941,234 920,313 929,111
  Product use/disposal
(Category 11, 12)
178,557 80,111 158,309 150,569 154,227
  Other
(Category 2, 3, 5, 6, 7, 8, 10, 13, 14, 15)
205,126 218,131 202,727 204,761 187,231
Emissions from entire value chain
(Scope 1 + Scope 2 + Scope 3)
5,524,457 5,046,341 5,165,998 4,899,715 4,864,737

Trend in value chain greenhouse gas emissions*

Greenhouse emissions by business (2019) (thousand tCO2e)

Energy use by business (2019)

GHG Graphs

Total direct emissions (Scope 1+2) and intensity (emissions/sales revenue)

Direct emissions (Scope 1+2) and intensity (emissions/production) of Lion

Direct emissions (Scope 1+2) and intensity (emissions/sales revenue) of entire Kyowa Kirin Group (global, Kyowa Hakko Bio)

Direct emissions (Scope 1+2) and intensity (emissions/production) of Kirin Brewery

Biogas generation and power generation by Kirin Brewery’s

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