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Sustainability > Sustainability Report > Third-Party Verification > Method of Calculating Greenhouse Gas Emissions Data

Third-Party Verification

Method of Calculating Greenhouse
Gas Emissions Data

Greenhouse gas emissions data are calculated as follows.

(1) Use of fuel at sites (Energy-induced CO2) Scope 1

  • The scope of calculation covers four manufacturing bases of Daikin Industries, eight manufacturing subsidiaries in Japan, and 43 manufacturing subsidiaries overseas.
  • However, the following may not be included in calculation: newly consolidated bases, sites that are newly established and that don’t yet have a data collection system in place, and sites whose emissions are negligible. As well, for sites where data procurement is difficult, calculation is based on estimates of past data, for example.
  • Heat generation per unit, CO2 emissions coefficient: Based on Environmental Activity Evaluation Program (Eco-Action 21) (1998, Ministry of the Environment); for natural gas in Japan, the coefficient used is based on the Act on the Promotion of Global Warming Countermeasures.

(2) Emissions of HFC and PFC in production processes at sitesScope 1

  • The scope of calculation covers four manufacturing bases of Daikin Industries, eight manufacturing subsidiaries in Japan, and 43 manufacturing subsidiaries overseas.
  • For estimates of HFC and PFC emissions, material balances and emissions coefficients are set and calculated based on methods stipulated in the Act on the Promotion of Global Warming Countermeasures.
  • Global warming coefficients of HFC and PFC: Coefficients provided in the IPCC Second Assessment Report.

(3) Non-energy-induced CO2, CH4, N2O, SF6 emissions in production processes at sitesScope 1

  • The scope of calculation is as follows.
    Four manufacturing bases of Daikin Industries (Non-energy-induced CO2, CH4, N2O, SF6).
  • Calculations are based on emissions coefficients stipulated in the Act on the Promotion of Global Warming Countermeasures.
  • Global warming coefficients: Coefficients provided in the IPCC Second Assessment Report.

(4) Use of electricity and heat at sites (Energy-induced CO2)Scope 2

  • The scope of calculation covers four manufacturing bases of Daikin Industries, eight manufacturing subsidiaries in Japan, and 43 manufacturing subsidiaries overseas.
  • CO2 emissions coefficients are as follows.
Purchased electricity:  In Japan: 

0.384 kg-CO2/kWh

Based on Environmental Activity Evaluation Program (Eco-Action 21) (1998, Ministry of the Environment)

Overseas: 

Based on Report on Survey of Estimates of CO2 Unit Emissions in Power Generation Fields in Countries of the World (Japan Electrical Manufacturers’ Association), or on coefficients confirmed by power companies servicing each site.

Purchased heat:  0.068kg-CO2/MJ

Based on Environmental Activity Evaluation Program (Eco-Action 21) (1998, Ministry of the Environment)

For Kashima Plant, 0.05 kg-CO2/MJ (surveyed value by site)

(5) Purchased products and services (Energy-induced CO2)Scope 3

  • Period: April 1, 2014 to March 31, 2015
  • Scope of calculation covers components and materials purchased for air conditioners, water heaters, oil hydraulic products, and fluorochemical products produced in Japan, China, Thailand, Malaysia, Belgium, and the Czech Republic.
  • For each, purchased amount is multiplied by CO2 emission coefficient.
  • CO2 emission coefficient is based on CFP Program Basic Database Ver. 1.01 (data in Japan), by the Japan Environmental Management Association for Industry, and the Inventory Database for Environment Analysis, by the National Institute of Advanced Industrial Science and Technology, and the Japan Environmental Management Association for Industry
  • For chemicals, approximately 80% of the highest volume ones were selected, and a 100% value estimate calculation was done.

(6) Transport and transmission (Upstream) (Energy-induced CO2)Scope 3

  • Period: April 1, 2014 to March 31, 2015
  • Scope of calculation covers transport, including imports, of products and parts (compressors) sold in Japan by Daikin Industries.
  • For calculation method, transport in ton-kilometers (transport amount X transport distance) is multiplied by CO2 conversion coefficient.
  • CO2 conversion coefficient:
    Within Japan: Based on Act on the Promotion of Global Warming Countermeasures.
    From overseas to Japan: Based on simple calculation tool for logistics CO2 emissions, by Policy Research Institute for Land, Infrastructure, Transport and Tourism.

(7) Business trips (Energy-induced CO2)Scope 3

  • Period: April 1, 2014 to March 31, 2015
  • Scope of calculation covers business trips in Japan and overseas by employees of Daikin Industries and its consolidated subsidiaries in Japan.
  • Transportation cost is multiplied by CO2 emission coefficient. Transportation cost is cost of travel minus lodging, daily allowance, and other expenses that can be excluded.
    In Japan: Transportation cost X emission coefficient per amount paid (Air flight: Domestic).
    Overseas: Transportation cost X emission coefficient per amount paid (Air flight: International).
  • CO2 emission coefficient is based on the database of emission unit values (Ver. 2.0) of the Report on Emissions Unit Values for Calculation of Greenhouse Gas Emissions, etc., by Organizations Throughout the Supply Chain, by the Ministry of the Environment and the Ministry of Economy, Trade and Industry. Emission coefficient uses the most expensive air flights.

(8) CO2 emissions in use of products sold in Japan (Energy-induced CO2)Scope 3

  • Scope of calculation covers CO2 emissions from the use of residential air purifiers, central air conditioners, residential water heaters, residential air conditioners, factory air conditioners, and air conditioners for buildings, stores, and offices sold in Japan, ASEAN, China, Hong Kong, Taiwan, Australia, and the EU in fiscal 2014.
  • Calculation method: Annual electricity consumption X product lifecycle X electricity CO2 emission coefficient X products sold in fiscal 2014.
  • Annual electricity consumption and others are as follows.
Annual electricity consumption:  Catalog values for room air conditioners, assumed conditions of actual use for other products.
Product lifecycle:  10 years for room air conditioners, water heaters, and air purifiers, 13 years for other products.
Electricity CO2 emission coefficient:  In Japan:  0.348 kg-CO2/kWh;
based on Environmental Activity Evaluation Program (Eco-Action 21) (1998, Ministry of the Environment).
Overseas:  Based on Report on Survey of Estimates of CO2 Unit Emissions in Power Generation Fields in Countries of the World (The Japan Electrical Manufacturers’ Association), or on “Methodology for Ecodesign of Energy-related Products (COWI, VHK).”
  • Up to 80% of the total sales volume, in order of highest selling products, was calculated, and a 100% value estimate calculation was done.

(9) Refrigerant leakage in use of products sold in Japan Scope 3

  • Scope of calculation covers refrigerant leakage during use of refrigeration and air conditioning equipment sold in Japan, ASEAN, China, Hong Kong, Taiwan, Australia, and the EU in fiscal 2014.
  • Calculation method: Annual leakage rate X product lifecycle X global warming coefficient of refrigerant X products sold in fiscal 2014.
  • Annual leakage rate and others are as follows.
    • Annual leakage rate: Revisions of Emission Coefficient, Etc. During Use of Refrigeration and Air Conditioning Equipment, by Manufacturing Industries Bureau, Ministry of Economy, Trade and Industry, March 17, 2009.
    • Product lifecycle: 10 years for residential products, 13 years for commercial refrigeration and air conditioning equipment.
    • Global warming coefficient of refrigerant: Coefficients provided in the IPCC Second Assessment Report.
  • Up to 80% of the total sales volume, in order of highest selling products, was calculated, and a 100% value estimate calculation was done.
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