Prevention of Air Pollution and Waste Reduction

Policy and Strategy

Basic Views

The IINO Group views the reduction of air pollution and waste as one element of materiality (key sustainability issues), and in "The Adventure to Our Sustainable Future," our mid-term management plan, we have set greenhouse gas (GHG) emission reduction targets and formulated a roadmap to achieving carbon neutrality by the year 2050 as part of our commitment to sustainability.

In the Shipping Business, we are working to reduce GHG emissions and plastic waste not only in terms of preventing air pollution but also to combat climate change.

In the Real Estate Business, we are endeavoring to reduce waste by cooperating with the tenants of IINO LINES-owned buildings.

Initiatives

Prevention of Air Pollution

Ship operations lead to the generation of CO₂ emissions and other greenhouse gases and emissions of nitrogen oxides (NOx) and sulfur oxides (SOx), which are causes of air pollution and acid rain.

The IINO Group has introduced scrubber systems, uses low-sulfur fuel, and is pursuing the operation and management of exhaust gas recyclers (EGR) as a NOx reducing technology and selective catalytic reduction (SCR) NOx removal equipment. We are also working to introduce wind propulsion systems "Rotor Sails". Rotor Sails is an innovative, modernised version of the Flettner rotor. A small amount of electricity is used to spin the cylinder on the deck. The spinning cylinder and the wind create the Magnus effect to generate thrust supporting the main propulsion which reduces fuel consumption, emissions, and fuel costs. As of November 2023, Rotor Sails have been installed on two vessels. In the future, we will continue with initiatives aimed at improving fuel efficiency and reducing our environmental impact.

Data List (NOx Emissions / SOx Emissions)

Use of Next-Generation Fuel Vessels

As an alternative fuel to significantly reduce sulfur oxide (SOx) emissions when burning fuel, diesel engines that use methanol and LPG as fuel are being put to use.

We are now building on its technical knowledge and experience through operations and management with the delivery in December 2019 of a chemical tanker equipped with a dual-fuel engine that can use methanol as fuel.

To further reduce environmental impact, the first VLGC equipped with a dual-fuel engine that can use LPG as fuel was completed in February 2022, and the second was delivered in March 2023.

In addition, the world's first ammonia carrier designed and built based on the basic certification for ammonia-fuel-ready ship by the American Bureau of Shipping (ABS), a global classification society, is scheduled for delivery in February 2024.

The technical knowledge and experience gained from methanol and LPG dual-fuel main engine vessels are expected to be directly related to carbon-free diesel engine technology and operation management, which are anticipated to be put to practical use in the future, and we will continue to acquire technical knowledge. At the same time, we are also carrying out technical research and verification of other low-environmental impact fuels and power sources (engines).

Measuring the Air Environment in Buildings

In accordance with the Act on Maintenance of Sanitation in Buildings, we periodically measure the air environment, regularly inspect drinking water, and perform scheduled cleaning of water tanks and other building facilities to maintain building safety and hygiene.

Data List (Air Quality Assessment Results in the Real Estate Business)

Waste Reduction

At the buildings owned by the IINO Group in Japan, we have set the target waste reuse rate to 72.4%*¹ of total waste, and are working to reduce waste by tackling resource conservation. In FY2022, the waste generation increased compared with during the COVID-19 pandemic, but since the volume of recyclable paper used decreased, the reuse rate was 70%, falling below the target. Additionally, for IINO LINES' main leased buildings, we have created and submitted "Reuse Plans for Large-scale Commercial Buildings" based on the Ordinance on the Disposal and Reuse of Waste for Tokyo's 23 wards. We have set up waste weighing machines at the IINO Building, Shiodome Shiba-Rikyu Building, and other buildings to accurately weigh and record the weights of waste internally. This allows us to monitor trends and issues related to waste and helps us limit waste generation and lower disposal costs.

In FY2022, the amount of copy paper used*² declined by 70% year on year to 895,000 pages, reflecting mixed paper use and the recycling of copy paper in addition to the rise in teleworking.

*1

The waste recycling rate from Chiyoda Ward, Tokyo (the figure for FY2014, which is the highest in recent years) is used as the Company's target figure.

*2

Calculated based on copy paper used by IINO LINES and the IINO Group companies at the IINO Building and NS Toranomon Building

Data List (Amount of Copy Paper Used at Company Offices)

Data List (Waste Generation and Recycling Rate)

Initiatives to Improve Recycling Rates

The IINO Group works with tenants to promote the proper sorting of waste and maintain a high recycling rate.

In the IINO Building, raw waste (leftover food, cooking scraps) and waste cooking oil are jointly recycled with tenants. Since raw waste cannot be used as livestock feed if it contains foreign particles or impurities, we request and gain the cooperation of tenants in properly sorting it. The sorted raw waste is transported to a feed production facility, where it is dried and recycled into raw material for livestock feed.

In FY2022, 58.7 tons of collected raw waste was recycled into livestock feed. If waste cooking oil is incinerated as-is, it impacts the environment, but when refined into biodiesel fuel, it can be used as a carbon-neutral fuel.

The IINO Building refines all 6.5 tons of waste cooking oil generated annually into biodiesel fuel.

Proper Treatment of Shipboard Daily-Life Waste

Ship crews generate various types of daily-life waste while living aboard vessels. To protect the marine environment, the IINO Group treats this waste properly according to the International Convention for the Prevention of Pollution from Ships (MARPOL 73/78).

Waste is sorted by type and incinerated, dumped at sea (biodegradable garbage), or transported to onshore waste reception facilities. In particular, to deal with the waste from PET bottles used for drinking water on board, since 2021, IINO LINES has been installing mineral water production equipment on the vessels it owns to reduce the shipboard waste generated from the use of PET bottles for drinking water. On three large crude oil tankers, we have not only verified adequate reduction effects in PET bottle waste but also reduced the workload required to load and store PET bottles, leading to an improved work environment.

During FY2023, we have also decided to equip an additional three vessels with the equipment. Crew members on the vessels where the equipment is installed are distributed stainless steel bottles bearing the IINO Group's logo and are making unified efforts to reduce waste.

*

Data for January to June 2022, with an estimated reduction of around 1,300 (1.5-liter) PET bottles per vessel per month

Data List (Daily-Life Waste from Vessels)

Initiatives to Reduce Waste and Contribute to a Resource Recycling―Oriented Economy in Cooperation with Other Companies

The Real Estate Business of the IINO Group cooperates with other companies to reduce pollution and waste.

Examples of Efforts to Reduce Pollution and Waste in Coordination with Other Companies and Tenants

*

A recycling scheme that makes use of beverage containers to collect, process, and recycle used PET bottles into new PET bottles. The approach has a minimal environmental impact because new raw materials are not needed.