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 FY2022, we injected 75,381,000 yen for the facility investment and 1,546,828,000 yen for the cost and the economic effects resulted in a variation of -420,949,300 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	91,952
	(ii) Global environment preservation costs	Global warming prevention, ozone layer protection, etc.	51,007	21,517
	(iii) Resource recycling costs	Productive use of resources, waste reduction, etc.	0	245,545
Upstream and downstream costs		Green procurement, recycling, etc.	0	2,658
Administrative costs		Monitoring, measurement, environmental education, etc	0	156,371
Research and development costs		Developing environmentally conscious products, etc	24,374	804,398
Social activity costs		Greening, information disclosure, etc.	0	3,787
Environmental damage costs		Removal of soil pollution etc.	0	127
Total			75,381	1,546,828

Entities included: Toshiba Machine Co., Ltd. and ﬁve of its domestic aﬃliated companies
Reported covered: From April 1, 2022 to March 31, 2023

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)	-647kl	-408,818	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	-60t	4,559
	Service water	-66千m³	５,339
Deemed eﬀect	Discharge (BOD, SS, oil, N-HEX)	-182kg	-22,029	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)	2kg	-0.3
Total		-420,949.3

*The environmental load reduction amount refers to the difference between the amount of FY2021 and that of FY2022. The negative value indicates an increase of the environmental load.