Environmental accounting

We employ environmental accounting to make a quantitative analysis of the costs and eﬀectiveness of environmental preservation activities involved in our business activities and utilize this analysis as a guide in our corporate activities.

As for the cost of the environmental conservation program in the FY2023, we injected 57,752,000 yen for the facility investment and 992,711,000 yen for the cost and the economic effects resulted in a variation of 220,602,000 yen.

Environmental preservation costs

Unit: Thousand yen

Area		Description	Investment	Expenses
Costs within business areas	(i) Pollution control costs	Prevention of air, water and soil pollution, etc.	0	67,301
	(ii) Global environment preservation costs	Global warming prevention, ozone layer protection, etc.	57,752	20,491
	(iii) Resource recycling costs	Productive use of resources, waste reduction, etc.	0	124,595
Upstream and downstream costs		Green procurement, recycling, etc.	0	6,897
Administrative costs		Monitoring, measurement, environmental education, etc	0	157,621
Research and development costs		Developing environmentally conscious products, etc	0	613,341
Social activity costs		Greening, information disclosure, etc.	0	2,396
Environmental damage costs		Removal of soil pollution etc.	0	69
Total			57,752	992,711

Entities included: Toshiba Machine Co., Ltd. and ﬁve of its domestic aﬃliated companies
Reported covered: From April 1, 2023 to March 31, 2024

Eﬀects for environment preservation

Unit: Thousand yen

Area	Description	Reduction in environmental load *	Monetary value of eﬀect	How the monetary value of eﬀect was calculated
Real eﬀect	Energy (crude oil equivalent)	940kl	233,610	The sum total of savings on electric charges, waste disposal costs etc., as compared with the previous year's results, and proceeds from the sales of valuable scraps.
	Industrial waste	178t	-6,019
	Service water	-64千m³	268
Deemed eﬀect	Discharge (BOD, SS, oil, N-HEX)	-294kg	-19,292	Assign a weight to each substance as a cadmium equivalent based on standards speciﬁed in environmental laws and regulations and ACGIH-TLV (the threshold limit value for each substance speciﬁed by American Conference of Governmental Industrial Hygienists), and multiply by possible damages for cadmium pollution. Convert a reduction in environmental load to air, water, soil, etc., into a monetary value so diﬀerent types of environmental load can be compared with one another by the same standard.
Deemed eﬀect	Air (soot and dust, nitrogen oxide, sulfur oxide)	76kg	-3.1
Total		220,602

*The environmental load reduction amount refers to the difference between the amount of FY2023 and that of FY2024. The negative value indicates an increase of the environmental load.