Sustainability

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Material Balance and Environmental Accounting

Material Balance

The Kyowa Hakko Kirin Group strives to reduce its environmental impacts. The following shows an overview of our environmental impacts in fiscal 2017 imposed by our domestic plants and research laboratories*1 and overseas plants*2.

*1
The domestic plants and research laboratories of Kyowa Hakko Kirin, Kyowa Medex, Kyowa Hakko Bio and Kyowa Pharma Chemical are covered.
*2
The overseas plants of Kyowa Hakko Kirin China Pharmaceutical Co., Ltd., BioKyowa Inc.(U.S.A.), Shanghai Kyowa Amino Acid Co., Ltd., and Thai Kyowa Biotechnologies Co., Ltd. are covered.
*3
Due to rounding, some totals may not correspond with the sum of the breakdown.

Environmental Accounting

The Kyowa Hakko Kirin Group identifies how much investment was made in environmental protection and the economic effects in quantitative terms. In 2017, total investment and total costs amounted to 464 million yen and 2,802 million yen, respectively. At the new plant building constructed in the course of reorganizing plants and research laboratories, environmentally friendly facilities were installed, including highly energy-efficient equipment. The economic effect generated by recycling waste (as valuable resources) and saving energy amounted to approximately 66 million yen.

Environmental conservation cost*1,2,3
(Millions of yen)
Cost classification FY2017 FY2016 FY2015
Investment Expense Investment Expense Investment Expense
(1) Business area cost 449 2,413 740 2,101 1,105 2,573
Details (1)-1 Pollution prevention cost            
1. Cost of preventing water contamination 259 1,145 371 980 541 1,121
2. Cost of preventing air pollution and other pollution 31 334 17 263 267 417
(1)-2 Global environment conservation cost 115 126 228 120 178 276
(1)-3 Resource circulation cost 43 808 125 737 119 758
(2) Upstream/downstream cost 0 23 0 91 0 52
(3) Administration cost 15 298 58 335 4 327
(4) R&D cost 0 64 0 40 0 90
(5) Social activity cost 0 4 0 9 0 8
(6) Environmental remediation cost 0 0 0 0 0 0
Total 464 2,802 799 2,576 1,109 3,051
Economic benefit*1,2
(Millions of yen)
Item Activities (FY2016) FY2017 FY2016 FY2015
Total investment Expansion and rationalization of production and research facilities 9,731 16,300 15,326
Total R&D cost R&D for new products and technologies 50,916 51,105 51,064
Sales of valuables in connection with (1)-3 and (2) Sale of dried fungus fertilizer, used catalysts, and by-product oil 14 4 9
Resource-saving effects in connection with (1)-2 and (1)-3 Energy and resource conservation and waste reduction 52 53 37
*1
The plants and research laboratories of Kyowa Hakko Kirin, KyowaMedex, Kyowa Hakko Bio and Kyowa Pharma Chemical are covered.
*2
Calculated based on "Environmental Accounting Guidelines 2005 (Ministry of the Environment)".
*3
Due to rounding, some totals may not correspond with the sum of the breakdown.


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