Sustainability

Environmental Accounting

The NGK Group discloses our environmental accounting results in accordance with guidelines published by the Ministry of the Environment. We tally the environmental conservation costs (capital investment, expenses), economic benefits, and cost effectiveness for NGK and our Group companies in Japan, and manage information on the environmental efficiency of CO2 and discarded materials as indicators.

(1) Capital Investment (NGK and Group companies in Japan)

This is a five-year graph showing the capital investment related to environmental conservation. We invested 940 million yen in FY2021.

FY2021 Capital investment Breakdown(100 million yen)

Pollution prevention Global environment Resource recycling Upstream/
downstream		 Administration Research & development Social activity Environmental remediation Total
4.6 3.7 0.4 0.0 0.0 0.7 0.0 - 9.4

(2) Expenditures(NGK and Group companies in Japan)

This is a five-year graph showing our expenditures for environmental conservation. In FY2021 this amounted to 4.14 billion yen.

FY2021 Expenditures Breakdown(100 million yen)

Pollution prevention Global environment Resource recycling Upstream/
downstream		 Administration Research & development Social activity Environmental remediation Total
8.1 6.2 9.2 0.1 4.0 1.6 2.2 9.9 41.4

(3) Economic Benefits(NGK and Group companies in Japan)

This is a five-year graph showing the economic benefits brought about by our environmental conservation activities. We made the equivalent of 690 million yen in FY2021 through profits from sales of discarded materials and conservation of resources.

FY2021 Economic Benefits Breakdown(100 million yen)

Energy savings Resource conservation
(water)		 Resource conservation
(raw materials)		 Resource conservation
(packaging)		 Discarded materials
(disposal decrease)		 Discarded materials
(gain on sale)		 Total
1.6 0.0 0.0 0.0 1.7 3.5 6.9

(4) Cost-Effectiveness(NGK and Group companies in Japan)

This is a five-year graph showing the cost-effectiveness of our environmental conservation activities. The ratio of economic benefit to expenditures in FY2021 was 16.7%.

(5) Environmental Efficiency(consolidated)

This is a five-year graph showing the environmental efficiency of our environmental conservation activities. In FY2021, the CO2 eco-efficiency, calculated as net sales divided by CO2 emissions, was 187% of FY2013. The discarded materials eco-efficiency, calculated as net sales divided by total discarded materials generated, was 172% of FY2013.

Note: The above charts do not include data for NGK Electronics Devices, Inc. and some other manufacturing subsidiaries prior to FY2015.