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Environmental Management System

FY2022 Environmental Management System Implementation Plan (Result)
FY2023 Environmental Management System Implementation Plan

FY2022 Environmental Management System Implementation Plan (Result)

Evaluation : 100% (○); 50-100% (△); below 50% (×)

Climate change actions: Reduce GHG emissions

FY2022 Environmental Goal	Activity Plan	Verification Result	Evaluation
20% reduction in CO2 emissions per transportation unit (ton-mile) by 2030 from 2019 level	Promote efficient operations in organizations on land Promote efficient onboard operations Make plans for developing new ship design and installing improved equipment Use chemical additives or other materials to enhance fuel efficiency	Achieved an 7.83% reduction from 2019 (for target period from January to December) Achieved efficient vessel allocation, mainly by reducing the number of days for ballast voyage and optimizing the load capacity Conducted the trial use of biofuels In the process of holding discussions for ommercialization of ammonia-fueled vessels Conducted research on vessels with hard sails Considered adoption of energy-saving technologies Introduced internal carbon pricing systems Considered purchasing carbon credits	ー
Formulate plans for achieving IMO GHG emissions reduction targets	Create a roadmap to improve fuel efficiency by 20% by 2030 compared with 2019 Respond to EEXI regulations	In the process of creating plans for achieving GHG emissions reduction targets Calculated EEXI values and implemented engine power limitation (EPL) and considered introducing energy-saving devices (ESDs)	△
Obtain ISO 14064 certification	Create and submit the GHG emissions calculation report	Obtained certification for GHG emissions in 2021	○
Implement actions to help customers and society with reducing GHG emissions	Proactively offer proposals to customers for reducing Scopes 1, 2 and 3 carbon emissions, and conduct related hearings and other surveys	Conducted the trial use of biofuels jointly with customers Conducted information sharing with customers and heard from them on environment-related topics Conducted onboard check for discharging imported HBI	○

Promotion of safe navigation (prevention of pollution):
Protecting the marine environment and conserving biodiversity

FY2022 Environmental Goal	Activity Plan	Verification Result	Evaluation
Achieve zero oil spill from vessels (regardless of oil amount)	Promote safe navigation of vessels Perform safe bunkering and oil transfer procedures Safely perform maintenance work with the risk of causing an oil spill from vessels Prevent oil spills from deck at anchorage and berth	LSFO (5ℓ) spill from a chartered vessel during fuel supply in Shanghai Ensuring compliance with safety management manuals Safety campaigns including distribution of video messages and collecting opinions from vessels under our management Sending sailing instructions and email to help operating vessels apply measures to prevent oil spills Sending pre-delivery reminders	×
Manage ballast water properly	Ensure proper Ballast water management through exchange of ballast water in compliance with the rules of the relevant port, or using ballast water treatment systems Respond to the enforcement of the Ballast water Management Convention	Exchanged ballast water in compliance with rules of the relevant port Gave an order to shift to ballast water management methods using ballast water treatment systems even for vessels not subject to the Ballast Water Management Convention D-2 Standard Conducted ballast water treatment system retrofit for two vessels (three remaining)	○

Air quality conservation (prevention of pollution): Preventing air pollution

FY2022 Environmental Goal	Activity Plan	Verification Result	Evaluation
Implement the Green Flag Incentive Program for vessels calling at Long Beach Port in the US (100%)	Sailing at 12 knots or less within 40 miles of the port	Instructed 4 vessels (1 from Energy Group/3 from Tramp Chartering Group) calling at the port appropriately	○
Prevent use of low-quality (off-spec) fuel oil	Perform fuel oil analyses Use low-sulfur fuel oil in specified waters	Checked BDN and performed analysis for each fuel supply Ensured use of low-sulfur fuel oil when sailing in specified waters (ECA area) Applied the scrubber for use of high-sulfur fuel oil in order to comply with the relevant rules	○

Resource saving and waste reduction: Conserving resources

FY2022 Environmental Goal	Activity Plan	Verification Result	Evaluation
Keep per-capita paper consumption at or below the previous level	Promote reduction through switching to electronic data materials Promote reduction through power-saving printing Promote paperless operations by utilizing vessel management software	Started operating document management software from November, and switched to electronic formatting for vouchers and other accounting documents Started to introduce the new vessel management software Considered switching to electronic formatting for checklists	○
Implement power-saving measures	Encourage efforts to turn the power off for lighting, PCs, and machinery when not in use Implement power-saving measures, such as saving unneeded lighting, in response to power supply shortages Promote the Cool Biz campaign and other summer power-saving activities	Appropriately implemented	○
Promote recycling activities	Ensure compliance with laws and regulations as well as rules of office buildings for waste disposal/separation Promote recycling of packaging materials for ship supplies	Gave guidance in writing on waste disposal/separation by division Returned unneeded packaging materials to the supplier	○

Environmental education: Raising environmental awareness

FY2022 Environmental Goal	Activity Plan	Verification Result	Evaluation
Conduct employee education	Set programs as part of new employee training curriculum Utilize group meetings (including online sessions) to provide internal education programs (at least four times a year) Internally distribute information related to environmental conservation	Carried out appropriate programs to raise environmental awareness as part of new employee training and group/team meetings Distributed environment-related information materials and conducted employee awareness surveys	○
Conduct pre-boarding seminars (100%)	Achieve full implementation in cooperation with manning companies	Implemented online seminars	○
Conduct onboard education and training for crews (once a year on each vessel)	Provide education during visit to vessels under our management	Conducted relevant programs utilizing opportunities for remote vessel audit/inspection	○
Hold Shipboard Safety and Health Committee meetings (once a month)	Share updates and issues related to environmental conservation at Shipboard Safety and Health Committee meetings	Held the meeting every month on all vessels.	○

FY2023 Environmental Management System Implementation Plan

Climate change actions: Reduce GHG emissions

FY2023 Environmental Goal	Activity Plan
20% reduction in CO₂ emissions per transportation unit (ton-mile) by 2030 from 2019 level	Promote efficient operations in organizations on land Promote efficient onboard operations Make plans for developing new ship design and installing improved equipment Use chemical additives or other materials to enhance fuel efficiency
Formulate plans for achieving IMO GHG emissions reduction targets	Create a roadmap to improve fuel efficiency by 20% by 2030 compared with 2019 Respond to EEXI regulations
Use low global warming potential refrigerants	Replace refrigerants of refrigerators and air conditioners
Implement actions to help customers and society with reducing GHG emissions	Proactively offer proposals to customers for reducing Scopes 1, 2 and 3 carbon emissions, and conduct related hearings and other surveys

Promotion of safe navigation (prevention of pollution): Protecting the marine environment and conserving biodiversity

FY2023 Environmental Goal	Activity Plan
Achieve zero oil spill from vessels (regardless of oil amount)	Promote safe navigation of vessels Perform safe bunkering and oil transfer procedures Safely perform maintenance work with the risk of causing an oil spill from vessels Prevent oil spills from deck at anchorage and berth
Manage ballast water properly	Ensure proper Ballast water management through exchange of ballast water in compliance with the rules of the relevant port, or using ballast water treatment systems Respond to the enforcement of the Ballast water Management Convention

Air quality conservation (prevention of pollution): Preventing air pollution

FY2023 Environmental Goal	Activity Plan
Implement the Green Flag Incentive Program for vessels calling at Long Beach Port in the US (100%)	Sailing at 12 knots or less within 40 miles of the port
Comply with SOx emissions regulations	Use low-sulfur fuel oil in specified waters
Comply with NOx emissions regulations	Respond to Tier III NOx regulations for specified waters

Resource saving and waste reduction: Conserving resources

FY2023 Environmental Goal	Activity Plan
Keep per-capita paper consumption at or below the previous level	Promote reduction through switching to electronic data materials Promote reduction through power-saving printing Promote paperless operations by utilizing vessel management software
Implement power-saving measures	Encourage efforts to turn the power off for lighting, PCs, and machinery when not in use Implement power-saving measures, such as saving unneeded lighting, in response to power supply shortages Promote the Cool Biz campaign and other summer power-saving activities
Promote recycling activities	Ensure compliance with laws and regulations as well as rules of office buildings for waste disposal/separation Promote recycling of packaging materials for ship supplies

Environmental education: Raising environmental awareness

FY2023 Environmental Goal	Activity Plan
Conduct employee education	Set programs as part of new employee training curriculum Utilize group meetings (including online sessions) to provide internal education programs (at least four times a year) Internally distribute information related to environmental conservation
Conduct pre-boarding seminars (100%)	Achieve full implementation in cooperation with manning companies
Conduct onboard education and training for crews (once a year on each vessel)	Provide education during visit to vessels under our management
Hold Shipboard Safety and Health Committee meetings (once a month)	Share updates and issues related to environmental conservation at Shipboard Safety and Health Committee meetings

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