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Medium-Term Environmental Targets, Results and Evaluation

Six principal initiatives promote environmentally friendly business activities

As part of its long-term policy, the Kobe Steel Group has set out and is committed to achieving medium-term targets by the end of fiscal 2011.

Self-evaluation
O: Progressed as planned
delta: Some issues remaining
X: Plan not achieved
Category Long-term policy Medium-term targets Achievements during fiscal 2010 Future activities Self-
evaluation
1. Environmentally friendly manufacturing
Measures against global warming To save energy, reduce CO2 emissions and help prevent global warming through every aspect of the Group’s business activities. To effectively achieve voluntary action plan targets set by each industry sector.
Total energy consumption for the Kobe Steel Group: 223 PJ.
Reduced CO2 emissions by 3.6% compared to fiscal 1990 (Iron & Steel Business).
Installed gas turbine power generation facilities at the Kakogawa Works, with the aim of achieving stable operations and reducing CO2 emissions in the future.

Implementing planned measures in each business to help achieve sector-specific targets.

Monitoring developments with regard to national medium-term reduction targets and examining how best to respond to any changes to domestic systems.

 

O
Promoting recycling To continue activities aimed at zero landfill waste. To reduce the volume of waste sent to landfill in line with voluntary action plans in each sector, focusing particularly on recycling resources from slag in the Iron & Steel Business.
Reduced the volume of slag, sludge and dust sent to landfill by improving slag recycling in the Iron & Steel Business, enabling us to achieve our voluntary action plan target of a 75% reduction compared to fiscal 1990.
Conducting extensive research into waste reduction and recycling technologies and examining the feasibility of installing existing recycling technologies, in an effort to further reduce the volume of waste sent to landfill. O
Proper control of chemical substances To reduce hazardous substances in accordance with the "Kobe Steel Group Policy on Controlling Hazardous Chemical Substances." To continue to properly control chemical substances on a Groupwide basis and to make voluntary reductions in the use of chemical substances wherever possible.
Took appropriate action in response to the revised Act on the Evaluation of Chemical Substances and the Regulation of their Manufacture, the revised PRTR Act and REACH regulations.
Examining measures to reduce hazardous substances and formulating an action plan for reductions as part of our next medium-term plan. delta
Reducing the environmental impact To make continuing efforts to reduce the impact on the environment through comprehensive voluntary controls. To reduce the environmental impact of production activities by upgrading pollution control facilities, etc.
Installed new desulfurization and denitration equipment at the Kakogawa Works’ sintering plant and effectively reduced NOx and other emissions.
Exceeded target steelworks-generated dust levels at the Kakogawa Works in May, July and August.
Working to reduce dust levels at the Kakogawa Works. delta
2. Contributing to the environment through environment-friendly products, technologies and services To make all product development and technical development environmentally accountable, and to create environmentally friendly products and new businesses. To improve the environmental performance of existing products (contributing to lightweight vehicle development, etc.). To identify long-term priorities with regard to resources and energy, taking into account matters such as legislation and national policies.
Helped to reduce CO2 emissions through the provision of Kobe Steel Group technologies, products and services.
Continued with testing and research directly linked to untapped resources, through technologies such as ITmk3® and Hyper-coal.
Continuing to contribute to the environment through our products, technologies and services and focusing on research and development in order to create new technologies and products. O
3. Disclosure of environmental information To take active steps to disclose environmental information and improve communication among interested parties. To adequately disclose information to all stakeholders via media such as annual reports and company websites.
Published the Sustainability Report and provided environmental information via channels such as the company website and environmental monitors.
Showcased Kobe Steel Group environmental products and technologies at numerous exhibitions.
Continuing to ensure adequate disclosure. O
4. Cooperation with the local community To promote harmony with the local community in terms of the environment. To continue clean-up activities around company locations, support environmental activities and encourage environmental volunteers.
Carried out activities to make the areas around our sites cleaner and more beautiful and provided support for community initiatives via the Kobelco Environment Creation Fund and the Kobelco Natural Environment Conservation Charitable Trust Fund.
Continuing to carry out activities to make the areas around our sites cleaner and more beautiful, provide support for environmental activities and organize environmental education. O
5. Full staff participation To ensure that every employee of the Kobe Steel Group is constantly aware of the environment. To continue with Eco Office activities and environmental accounting in order to raise environmental awareness, to make all employees more sensitive to environmental issues through environmental training and education, and to create a climate in which legal compliance is regarded as second nature.
Raised awareness of legal compliance and improved employees’ ability to identify risks via training at all levels.
Introduced an incentive scheme to encourage employees to get involved in environmental accounting and to raise environmental awareness.
Continuing to raise levels of awareness and understanding among all employees, through environmental training and improving employees’ ability to identify risks, and introducing an online system to encourage more employees to get involved in environmental accounting. O
6. Comprehensive risk management To direct ceaseless efforts in a systematic and organized way to reduce risks. Reduce administrative guidance from government authorities and complaints from local residents to zero. To explore the possibility of environmental management in line with domestic practices at overseas locations.
Verified legal compliance at individual sites and group companies via environmental audits and verification surveys, and provided support for risk avoidance activities.
Conducted overseas environmental surveys at six group company sites in Thailand.
Obtained ISO 14001 certification at Kobe CH Wire (Thailand) Co., Ltd. (January 2011)
Continuing to maintain groupwide management systems and establishing mechanisms to ensure legal compliance at all sites, through activities such as environmental audits and verification surveys. delta