Environment Takasago Thermal Enginnering
Green Bonds

We have decided to issue Green Bonds under the determination that their issuance and effective use will positively contribute to achieving a sustainable society by activating further open innovation as well as creation and evolution of the environmental improvement technology by which our group aims for net zero energy, and that the issuance thus aligns with our medium- to long-term direction.

As a third-party evaluation, the bonds have received an evaluation by JCR of Green1, the highest level of JCR green bond evaluations. This recognizes that the bond issuance meets the standards of the Green Bond Principles 2018 established by the International Capital Market Association (ICMA) and the Green Bond Guidelines 2017 of the Ministry of the Environment.
The contribution of the bond issuance to the following goals and targets of the sustainable development goals (SDGs) is also evaluated in the JCR evaluation.

Related link:

"Green1 Evaluation Conferred upon Takasago Thermal Engineering Co., Ltd. Third Round of Unsecured Bonds (Takasago Thermal Engineering Green Bonds)"(July 9, 2019)(628KB)

Investors who have made declarations of investment in the bonds are as follows. (In Japanese phonetic order; list is as of July 16, 2019)

• Ichii Shinkin Bank
• IBARAKI SHINREN
• Iwate Prefectural Credit Federation of Agricultural Cooperatives
• THE KAGAWA BANK
• The Kita Osaka Shinkin Bank
• KITAMI SHINKIN BANK
• Kiryu Shinkin Bank
• Kuwanamie Shinkin Bank
• The 77 Bank, Ltd.
• The Johnan Shinkin Bank
• The Sugamo Shinkin Bank
• SUWA SHINKIN BANK
• THE DAIDO FIRE AND MARINE INSURANCE COMPANY LIMITED
• TAIYO LIFE INSURANCE COMPANY
• Takanabe Shinkin Bank
• The TAKAMATSU SHINKIN BANK
• Tokio Marine Asset Management Co., Ltd.
• Nasu Shinkumi Bank
• Nishi-Chugoku Shinkin Bank
• NIHON DENGI CO.,LTD.
• HAMAMATSU IWATA SHINKIN BANK
• Hanno Shinkin Bank
• Hiratsuka SHINKIN BANK
• The Hiroshimaken Credit Cooperative
• The Fukushima Shinkin Bank
• Fukoku Mutual Life Insurance Company
• Hokkaido Shinkin Bank
• MATSUMOTO SHINKIN BANK
• THE MISHIMA SHINKIN BANK
• Sumitomo Mitsui Trust Asset Management Co., Ltd.
• MINAMI NIPPON BANK
• Meiji Yasuda Asset Management Company Ltd.
• Ryobi Shinyo Kumiai

Allocation of funds

The 5.0 billion yen of procured funds from Takasago Thermal Engineering Green Bonds has as of the end of March 2020 all been allocated as funding for construction and facilities of our new R&D base, the "Takasago Thermal Engineering Innovation Center."
The Takasago Thermal Engineering Innovation Center was completed at the end of January 2020, and opened for operations in March.
In the event of any significant change in conditions in the future, an outline of the funded eligible projects, the amounts allocated to the projects, and the unallocated amount will be disclosed on our website.

Related link:

News release, "New R&D Base "Takasago Thermal Engineering Innovation Center" in Tsukubamirai, Ibaraki Prefecture" Completed (February 25, 2020)(564KB)

Environmental improvement effects

Completed at the end of January 2020 and opening for operation in March, the Takasago Thermal Enginnering Innovation Center adopts a range of energy-saving methods as well as solar and biomass power generation as renewable energy sources, with any additional power sourced from the green power grid (Aqua Premium plan from TEPCO) with the aim of achieving a carbon-free building with zero CO₂ emissions.

Environment Impact Evaluation

Items			FY2021	FY2022
Annual energy consumption		(MWh)	798	1,138
of which, renewable energy		(MWh)	798	1,138
Breakdown	Solar power generation	(MWh)	200	225
	Biomass gasification power generation	(MWh)	436	439
	Green power grid (Aqua Premium plan from TEPCO)	(MWh)	162	474
CO2 emissions		(t-CO2)	0	0
Reduction in CO2 emissions*		(t-CO2)	807	807

• Reference value: Actual emissions of R&D Laboratory before relocation 807.4 t-CO₂/year

ZEB Achievements

Area	Fiscal Year	ZEB Ranks	Energy Consumption against Reference*	Energy Supply against Reference*
Office buildings	FY2021	"ZEB"	0.35	0.91
	FY2022	"ZEB"	0.34	0.95
Overall site	FY2021	Nearly ZEB	0.20	0.17
	FY2022	Nearly ZEB	0.29	0.17

• Reference value: Office buildings 1,389 MJ/(m²/year), overall site 3,150 MJ/(m²/year)

(Acquired environmental certifications)
CASBEE for New Construction (2016 Edition): S rank (self assessment)
BELS: 5 star (91% reduction of design primary energy consumption), Nearly ZEB
LEED v4 BD+C (NC) : Gold
CASBEE-Wellness Office 2020 (v1.0): S rank