Size of Contribution in Reducing CO2 Emissions

At the 21st session of the Conference of the Parties (COP21) of the United Nations Conference on Climate Change held in November-December 2015, the Paris Agreement was adopted, which limits global temperature increases to less than 2°C above pre-industrial levels and a more ambitious target of keeping global temperature increases to less than 1.5°C above preindustrial levels, as well as setting the goal for CO2 and other greenhouse gas emission levels for the second half of this century to be virtually zero. In order to achieve this, CO2 emissions should "peak out" (to reach a peak and decline thereafter) as soon as possible. With this background, companies are asked to contribute to reducing CO2 more than ever.

Panasonic has introduced a unique indicator "size of contribution in reducing CO2 emissions" to accelerate emissions reduction, targeting both our products (for energy saving and energy creation) and production activities. The size of contribution in reducing CO2 emissions is defined as the amount achieved by deducting the actual emissions from the amount that would have been emitted without the improvements by the energy-saving performance of our products and productivity from fiscal 2006, and this amount is combined with the emission reduction resulting from power generation by energy-creating products. In other words, it reflects the continuous efforts being made to reduce CO2 emissions.
Panasonic will continue to maximize the size of contribution in reducing CO2 emissions.

We will improve the energy-saving performance of our products to reduce the energy consumed in using the products.The more energy-saving products are introduced and promoted, the size of contribution in reducing CO2 emissions will further increase.

Size of Direct Contribution in Reducing CO2 Emissions through Energy-saving Products

*1 For each product category, the model that was sold in the largest quantity in the region was selected.
*2 Regional CO2 emission factors (kg-CO2/kWh) used: 0.410 (Japan); 0.487 (Europe); 0.579 (North America); 0.740 (China & Northeast Asia); 0.927 (India & South Asia); 0.527 (Southeast Asia & Oceania); 0.332 (Latin America); and 0.599 (Middle East & Africa).
*3 Number of years during which spare parts for the product are available (defined by Panasonic).

Meanwhile, since fiscal 2014, Panasonic has been reinforcing its housing, automotive, and B2B businesses, and is disclosing the CO2 reduction effect results in these areas from fiscal 2015. Specifically, the data represents "air conditioning load reduction effects from improved insulation performance in Panasonic housing," "energy-saving effects from products by other companies equipped with Panasonic energy-saving compressors and motors," and "improved fuel economy effects from electric vehicles equipped with Panasonic automotive batteries." Beginning with the results for fiscal 2016, we will calculate and disclose the CO2 reduction from the energy-saving effect of products by other manufacturers using Panasonic vacuum insulation materials. As with the calculation of energy-saving effects of our home appliances, the calculation of the size of contribution in reducing CO2 emissions through these effects is based on comparison with the performances of fiscal 2006. We regard such contribution in reducing CO2 emissions as "indirect" contribution to reducing CO2 emissions, to distinguish them from the direct contribution from products under the Panasonic brand such as home appliances. This represents the fact that the energy-saving effect does not come from our finished products themselves but that our products support the CO2 reduction effects for products by other manufacturers.

By using electricity generated by solar power generation and such, we can reduce CO2 emissions from thermal power plants. Panasonic will further foster its energy creation business to increase the size of contribution in reducing CO2 emissions.

Size of Contribution in Reducing CO2 Emissions through Energy-creating Products

*4 For photovoltaic power generation: 1,204 kWh/kW (after fiscal 2015), 1,193 kWh/kW (fiscal 2014 and prior).Considering sunshine conditions, system loss, and other variables.
*5 For photovoltaic power generation: 0.360kg-CO2/kWh (Source: Voluntary Rules on Indication (2010) by the Japan Photovoltaic Energy Association).
*6 For photovoltaic power generation: 20 years.

The smaller amount of CO2 emissions per unit of production (tons/100 million yen),*7 the more efficient productivity is, the size of contribution in reducing CO2 emissions in production activities will increase.

*7 Productivity indicator (Energy consumed in manufacturing products whose total monetary value is 100 million yen, converted to the amount of CO2 emissions).

Size of Contribution in Reducing CO2 Emissions through Production Activities

*8 Factories whose nominal energy consumption per basic unit of production had increased from the fiscal 2006 level due to sharp declines in product prices recorded negative figures in the size of contribution in reducing CO2 emissions. For the size of contribution made by factories consolidated or sold in fiscal 2007 onwards, CO2 emissions in fiscal 2006 were used for the calculation. For factories purchased, CO2 emissions in fiscal 2006 were not deemed as a negative contribution.
*9 CO2 emissions per basic unit for fiscal 2006 were used for factories acquired; while for factories newly constructed, the CO2 emissions per basic unit for the fiscal year in which they were constructed were used.
*10 The factors related to fuels are based on the Guideline for Calculation of Greenhouse Gas Emissions (version 2.2) published by the Japanese Ministry of the Environment. The CO2 emission factor for electricity purchased in Japan (kg-CO2/kWh) is fixed at 0.410. The factors above are also used for electricity purchased from power producers and suppliers (PPS). The GHG Protocol's factors for each country are used for electricity purchased outside Japan.
*11 Nominal production value.

In fiscal 2016, the size of contribution in reducing CO2 emissions came to 43.12 million tons. In addition, the size of indirect contribution in reducing CO2 emissions through Panasonic products marked 10.47 million tons. The size of contribution in reducing CO2 emissions reached a total of 53.60 million tons.

Size of Contribution in Reducing CO2 Emissions

Trend of estimated CO2 emissions without improvements in energy-saving performances of products and productivity from fiscal 2006

Trend of total CO2 emissions through production activities and energy-saving products, minus the size of contribution in reducing CO2 emissions through energy-creating products.

*12 Amount achieved by deducting the actual emissions from the amount that would have been emitted without the improvements by the energy-saving performance of our key consumer products and productivity from fiscal 2006, and this amount is combined with the size of contribution in reducing CO2 emissions resulting from power generation by energy-creating products.
*13 Size of contribution in reducing CO2 emissions in the housing, automotive, and B2B businesses. Specifically, the data represents "air conditioning load reduction effects from improved insulation performance in Panasonic housing," "energy-saving effects from products by other companies equipped with Panasonic energy-saving compressors and motors," "improved fuel economy effects from electric vehicles equipped with Panasonic automotive batteries," and "energy-saving effect from products by other manufacturers using Panasonic vacuum insulation materials (FY2016 only)."