In August 2022, Gakken Group endorsed the Task Force on Climate-related Financial Disclosures (TCFD).
The TCFD's final report (TCFD Recommendations) outlines a common global framework for climate-related information disclosure and recommends that all companies disclose the following four items: governance, risk management, strategy, and indicators and targets.
The Group will actively engage in dialogue with shareholders, investors, and other stakeholders regarding its climate change initiatives and will disclose information in line with the four items of the TCFD recommendations.
As the chief climate change response officer, the CEO is responsible for reviewing and guiding climate change-related risk management policies and strategies, evaluating and overseeing response measures, and ma king final decisions on major measures. The top management has i ssued a
commitment to monitor emissions and develop an action plan to reduce greenhouse gas emissions toward the goal of virtually zero emissions by 2050.
＜Click here for Environmental Policy and Promotion System＞
Risks are evaluated in terms of both "risk by frequency of occurrence" and "risk by expected size of loss," and are scored and subsequently ranked. Since
the degree of financial or strategic impact differs among the various businesses within the Group, the scored risks are managed by dividing them into
"priority to address" and "to maintain" categories. Climate change is a risk that can have a significant impact on corporate management. In recognition
of this, it is managed in an integrated manner by the Sustainab ility Committee in cooperation with the Internal Control Committee, with the Group
working as one.
＜Click here for Sustainability Promotion Structure＞
Our group has undertaken a comprehensive examination of strategies grounded in diverse climate-related scenarios, encompassing the recommended 2℃ or lower scenario outlined by the Task Force on Climate-related Financial Disclosures (TCFD). In our scenario analysis, we have specifically chosen two scenarios: the 1.5℃ scenario, which accentuates transitional effects, and the 4 ℃ scenario, highlighting the prominence of physical impacts.
Moreover, our group's operational landscape has been categorize d into distinct sectors: the "Education Sector" and the "Health care and Nursing Sector." Within the "Education Sector," we have further delineated it into the "Classroom and Learning Center" as well as the "Publication Content and Merchandising Business for Kindergartens and Schools." In this meticulous examination, we have diligently scrutinized the potential impacts of climate change on each of these distinct areas.
|
Domain |
Main Businesses |
|
Educational domain(Classroom and learning center) |
Operation of preschools and Gakken classes, operation of cram schools for higher education, etc. |
|
Educational domain(Publishing and Content, Kindergarten and school) |
Publishing, production and sales of digital content, etc., as well as sales of goods and services for kindergartens and schools |
|
Healthcare and Nursing Domain |
Operation of serviced elderly housing and home-visit care facilities, operation of group homes for elderly dementia, operation of daycare centers, and operation of facilities for school children on consignment, etc. |
- ◎：Heavy impact ○: Slightly significant impact △: Minor impact
In a scenario where global temperatures rise by 4℃, the frequency of flooding is projected to increase fourfold, driven by amplified heavy rainfall and intensified winds attributed to climate change. This foreseen escalation prompts us to anticipate elevated expenditures related to repairs and disaster mitigation efforts, supply chain disruptions, and augmented operational expenses due to flood-induced damages at our operational sites.
Of particular concern is the profound impact this could have on our endeavors within the healthcare and nursing sector. The potential ramifications encompass escalated repair costs due to flooding-related damages, financial losses arising from operational halts, and, most critically, the potential jeopardy to the well-being of the roughly 14,000 senior citizens residing in our facilities, including serviced apartments for the elderly and dementia group homes. This prospect has galvanized our commitment to address this risk earnestly by fortifying our disaster preparedness initiatives, including the formulation of comprehensive evacuation strategies.
In a scenario where global temperature rise is limited to 1.5℃, a transition toward a decarbonized world is foreseen. This transition may involve carbon taxes, policies curtailing greenhouse gas emissions, and stricter regulations. Consequently, business operations might witness potential increases of up to 500 million yen* in fuel and electricity costs
by the year 2030. To address this, the Group will augment its efforts in enhancing energy efficiency and pursuing initiatives like renewable energy integration.
Furthermore, as societal consciousness shifts toward environmental sustainability, there is an anticipated surge in demand for publishing content aligned with the Sustainable Development Goals (SDGs) and the natural environment. This presents a significant opportunity for the Group. We intend to capitalize on this opportunity by creating enhanced value and closely engaging with the evolving needs of consumers.
- The estimate is based on the Group's actual emissions of 36,00 0 t-CO₂ in FY9/2021, along with projected carbon tax for FY2030, as per the NZE2050 framework.
The Group has established greenhouse gas emissions (Scope 1, 2, and 3) as indicators for managing climate risks and opportunities.
Regarding Scope 1 and 2 emissions, we have established a target of reducing greenhouse gas (GHG) emissions per net sales by 50% by the year 2030, in comparison to the fiscal year 2022. The healthcare and nursing sector, which contributes to 80% of our emissions, is expected to see active expansion in the future. However, we are committed to ensuring that our growth strategy does not lead to emissions increase.
This will be achieved by designing and operating new sites with enhanced carbon efficiency.
Furthermore, we have extended the calculation scope for Scope 3 emissions to achieve comprehensive coverage starting from the fiscal year ending September 30, 2022. Leveraging the outcomes of these calculations, we will bolster our efforts toward emissions reduction.
|
Electricity & Gas (Crude oil equivalent, L) |
Greenhouse gas emissions（t-CO₂） |
|||
|
Scope1-2 |
Scope3 |
Total |
||
|
FY9/2018 |
11,258,481 |
- |
- |
- |
|
FY9/2019 |
11,303,363 |
- |
- |
- |
|
FY9/2020 |
16,773,265 |
36,044 |
44,301 |
80,345 |
|
FY9/2021 |
20,864,403 |
35,975 |
95,549 |
131,524 |
|
FY9/2022 |
28,758,639 |
58,402 |
282,001 |
340,403 |
【Aggregation Scope】FY9/2020 - Scope 1-2: Includes electricity and city gas. Scope 3: Includes Category 1 to Category 3, and Category 5 to 7 of Gakken Group companies. FY9/2021 - Sc ope 1-2: Includes electricity, city gas, LP gas, and gasoline, including estimations derived from energy expenditure . Scope 3: Includes Category 1 to Category 3, and Category 5 to 7 of Gakken Group companies, healthcare and nursing sector companies, Gakken Juku Holdings subsidiaries, and Gakken Logistics Company. FY9/2022 - Scope 1-3: Emissions from consolidated companies, including overseas. Scope 1-2 is calculated from electricity , city gas, LP gas, gasoline, diesel, and kerosene consumption at domestic facilities, with overseas data estimated based on dome stic facility data. Scope 3 includes Category 1 to 7, Category 9, Category 12, 13, and 14. Other categories are not relevant.
- We were awarded a "B Score" in the CDP 2022. This indicates tha t we are aware of our environmental risks and impacts and are taking action to address them. We will continue to strengthen our efforts to a ddress climate-related issues and enhance disclosure.