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, Ltd., eight manufacturing subsidiaries in Japan, and 58 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. 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 HFCs and PFCs in production processes at sitesScope 1

• The scope of calculation covers four manufacturing bases of Daikin Industries, Ltd., eight manufacturing subsidiaries in Japan, and 58 manufacturing subsidiaries overseas.
• For estimates of emissions of HFCs and PFCs, 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 potentials of HFCs and PFCs are from the IPCC Fourth Assessment Report.

(3) Non-energy-induced CO₂, CH₄, N₂O, SF₆ NF₃ emissions in production processes at sitesScope 1

• The scope of calculation is the four manufacturing bases of Daikin Industries.
• Calculations are based on emissions coefficients stipulated in the Act on the Promotion of Global Warming Countermeasures.
• Global warming potentials are from the IPCC Fourth 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, Ltd., eight manufacturing subsidiaries in Japan, and 58 manufacturing subsidiaries overseas.
• CO₂ emissions coefficients are as follows.

  Purchased electricity: 

  Use one of the followings

  • Coefficients provided by electricity distribution companies
  • 2019 Annual Emission Reduction Project China Regional Grid Baseline Emission Factors
  • IEA Emissions Factors(2021)

  Purchased heat: 

  Use one of the followings 

  • Coefficients provided by heat distributors
  • Based on Environmental Activity Evaluation Program (Eco-Action 21) (1998, Ministry of the Environment)

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

• Scope of calculation covers components and materials purchased for air conditioners, water heaters, oil hydraulic products, filters, and fluorochemical products produced in Japan, China, Thailand, Malaysia, India, Belgium, the Czech Republic, the Netherlands, France, Italy, Germany, Turkey, and the U.S.
• For each, purchased amount is multiplied by CO₂ emission coefficient.
• CO₂ emission coefficient is based on 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) CO₂ emissions from the use of products sold (Energy-induced CO₂)Scope 3

• Scope of calculation covers the use of products sold globally which includes residential air conditioners, air conditioners for shops, offices and buildings, air conditioners for factories, central air conditioning units and equipment for hot water supply and heating.

• Calculation method: 

  Annual energy consumption × Product lifecycle × Electricity CO₂ emission coefficient (or Gas^* CO₂ emission coefficient) × Sales volume
  *used as fuel in combustion heating equipment

• Data for the calculation method are as follows.

  Annual energy consumption: 

  Catalogue value, standard value or value calculated assuming actual usage conditions

  Product lifecycle: 

  10 years for residential equipment and 13 years for others

  Electricity CO₂ emission coefficient: 

  value reported in "IEA Emissions Factors"

(7) CO₂ emissions from the use of products sold (Fluorocarbons)Scope 3

• Scope of calculation is same as part (6).

• Calculation method: 

  Refrigerant charge amount × Annual leakage rate × Product lifecycle × Global warming potential × Sales volume

• Data for the calculation method are as follows.

  Refrigerant charge amount: 

  Catalogue value

  Annual leakage rate: 

  Value reported in "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 equipment and 13 years for others

  Global warming potential: 

  Value reported in IPCC Assessment Report

(8) CO₂ emissions from the disposal of products soldScope 3

• Scope of calculation is same as part (6).
• For calculation method, impact by refrigerant release is calculated by refrigerant charge amount × global warming potential × (1- recovery rate). Emissions associated with the transport, disassembly etc. of waste products is calculated by multiplying the emission per unit by sales volume.
• Data for the calculation method are as follows.

  Refrigerant charge amount: 

  Catalogue value

  Global warming potential: 

  Value reported in IPCC Assessment Report

  Recovery rate: 

  Set to 0% conservatively