Loan agreement with MUFG Bank for Positive Impact Finance
March 31, 2023
Takenaka Corporation
Takenaka Corporation (President: Masato Sasaki) has signed a loan agreement with MUFG Bank (President & CEO: Junichi Hanzawa) for "Positive Impact Finance (a type of loan to companies where the use of funds is not specified).”
Positive Impact Finance is a type of loan that comprehensively analyzes and assesses the environmental, social, and economic impacts (positive and negative) of corporate activities based on the Principles for Positive Impact Finance (* 1) and its implementation guidelines formulated by the United Nations Environment Programme Finance Initiative (UNEP FI).
MUFG Bank's Positive Impact Finance is a type of financing designed to, "Properly identify and mitigate potential negative impact in any of the three sides of sustainable development (economy, environment, and society), and make a positive contribution in at least one of those aspects."
In entering into this agreement, our business and Major Objectives (Materiality) were mainly evaluated as activities that have an impact on achieving our SDGs, and this was based on the Positive Impact Finance Framework, which developed by MUFG Bank and Mitsubishi UFJ Research and Consulting Co., Ltd. The Positive Impact Finance Framework has received a third-party evaluation (* 3) from Japan Credit Rating Agency, Ltd. to the effect that it conforms to the Principles for Positive Impact Finance established by the United Nations Environment Programme Finance Initiative.
In 2020, we identified issues that should be addressed through our corporate activities as Major Objectives. Beginning in 2023, we reviewed these Major Objectives in light of international guidelines and trends in the corporate environment. In addition, while focusing on the characteristics of our company's heritage and corporate culture, we have established Major Objectives that are unique to our group in the areas of “sustainable architecture and urban creation” and “harmony with the environment.” In doing so, our aim is to resolve social issues and achieve sustainable growth for our group.
Our group will continue to contribute to attaining our SDGs and the realization of a sustainable society.
Contents and targets of our main initiatives that will be assessed and the items to be monitored for maintaining creation of positive impact, and mitigation and management of negative impact.
| Theme | Evaluated initiatives | Targets and monitoring items |
|---|---|---|
| Introduction of green infrastructure Promotion of biodiversity improvement projects |
・Attempts to create cities and localities that have a low environmental impact, are resilient to disasters, and promote health, and that allow a diverse range of people to participate in the development, maintenance and management of green infrastructure. ・In order to promote optimal land use that makes the most of the diverse functions of nature through projects designed by our company, focus on biodiversity to implement activities such as consistent initiatives from planning and design through to managing maintenance and operation after completion by focusing on biodiversity, giving consideration to local vegetation and historical use of the land, creating ecosystem networks, and having stakeholders participate. |
Targets ・Implementation of 12 biodiversity improvement projects annually up through 2025. ・Registration on nature symbiosis sites to achieve 30 by 30. Monitoring items (KPIs, etc.)・Number of biodiversity improvement projects ・Status of registration on nature symbiosis sites |
| Promotion of zero-energy buildings (ZEBs) and energy management | ・Expansion of net zero energy buildings (ZEBs) through passive designs that incorporate natural ventilation and lighting, and thorough energy-saving designs and utilization of renewable energy by adopting and developing various technologies. | Targets ・2025: 32 projects that are ZEB oriented or better ・2025: 26 projects that are ZEB ready or better Monitoring items (KPIs, etc.)・Number of ZEB oriented projects ・Number of ZEB ready projects |
| Promotion of wooden architecture and construction | ・Establishment of the Wooden Architecture Promotion Department in September 2016 to create projects using large amounts of wood in line with customer needs ・Promotion of mid- to high-rise construction technology through a wide range of wooden construction solutions, such as Moen Wood, fire-resistant laminated wood developed by our company, and cross-laminated timber (CLT) by implementing initiatives to promote the popularization of wooden architecture and construction, and utilization of domestic timber through the development of technologies for fire-resistant wooden construction and mid- to high-rise wooden construction |
>Targets ・2025: Five buildings promoting the use of wood (wood usage per square meter of floor area: 0.001 m3 or more) Monitoring items (KPIs, etc.) ・Number of buildings promoting the use of wood |
| Initiatives to preserve and promote culture and tradition | ・Establishment of the Urban Creation Strategy Division in October 2017 as an organization that will play a central role with our aim of being an "integrated engineering firm for urban creation," and promotion of MACHInnovation®. | Targets ・2025: Cumulative number of initiatives leading to MACHInnovation® (social system demonstration activities): 12 Monitoring items (KPIs, etc.)Cumulative number of initiatives (social system demonstration and other activities) leading to MACHInnovation® |
| Promotion of Diversity | ・Aiming to create a work environment in which everyone can play an active role regardless of gender, nationality, age, or disability, efforts to promote active participation by women and to expand their scope of work. Continuous creation of an environment in which women can thrive at work sites, such as by promoting the activities of the Kensetsu Komachi Construction Team. ・In support of balancing childcare and work, introduction of telecommuting and a shorter flextime system for childcare and elderly care. Implementation of measures to enable flexible lifestyles, such as introduction of variable work hours for nonwork matters, and introduction of annual paid leave in hourly units for all employees. ・Female manager rate of 4.8% in 2021 |
Targets ・Female manager ratio of 8% by 2025 Monitoring items (KPIs, etc.)・Ratio of female managers |
| Reduction of GHG emissions | ・Promoting introduction of renewable energy, such as adoption of CO2-free electricity from biomass power generation. (Scopes 1 and 2 emissions) ・Low-carbon construction materials. (Scope 3 emissions) ・Use of ECM concrete/ECM cement (Concrete that can reduce concrete derived CO2 emissions 60% by replacing 60 ~ 70% of the cement with blast furnace slag powder, a byproduct of steel production). (Scope 3 emissions) ・Active adoption of electric furnace steel (about half the CO2 emissions intensity of blast furnace steel) for steel frames. (Scope 3 emissions) ・Active adoption of Evoludan (ecoducts made of cardboard and aluminum) for air-conditioning ducts. (Scope 3 emissions) |
Targets ・2030 CO2 reduction rate (compared to 2019) Scopes 1,2: 46.2% Scope 3: 27.5% ・2050 carbon neutral (compared to 2019) Monitoring items (KPIs, etc.)・CO2 emissions (reduction rate) |
| Reduction of construction waste generation in new construction | ・Initiatives aimed at green procurement of materials with low environmental impact, technological development, and innovation in building production and demolition technology. | Targets Building byproduct recycling rate for new construction by 2050: 100% by volume (= 0 incineration/landfill ratio) Monitoring items (KPIs, etc.)Building byproduct recycling rate for new construction (by volume) |
| Reduction of employee working hours | Implementation of the following initiatives with Takenaka's new production system to improve productivity ahead of the revised Labor Standards Act. ・Early examination (design stage ~ before the start of construction) of construction plans (optimal construction methods, process planning, etc.) with high productivity improvement effects ・Effective collaboration with relevant parties through an open BIM method that does not rely on specific BIM software. ・Promotion of off-site construction (front-loading construction) with the aim of reducing on-site person-hours. ・Application of effective productivity-enhancing technologies, such as leading-edge digital technology, construction equipment, and robots. |
Targets 100% achievement rate of 8 closures per 4 weeks up through the end of FY2023 Monitoring items (KPIs, etc.)Achievement rate of 8 closures per 4 weeks |
| Reduction of workplace accidents and public disasters | ・Creation of VR contents for workers to learn about workplace accidents as matters that concern them, and utilization of training to improve their knowledge and awareness. Contents are comprised of accidents cases that actually occurred with actual photos. The education is realistic as if it had actually been experienced, and the contents are easy-to-understand even for inexperienced and young workers. | Targets Each year: 0 public disasters and serious workplace accidents. Monitoring items (KPIs, etc.)Number of public disasters and serious workplace accidents |
- (*1)United Nations Environment Programme Finance Initiative (UNEP FI)
The United Nations Environment Programme (UNEP) is a subsidiary organ of the United Nations. It was established in 1972 as the executive body of the Human Environment Declaration and the International Plan of Action on the Environment. The UNEP FI, which was established in 1992, is a broad and close partnership between UNEP and more than 200 global financial institutions. It works with financial institutions, and policy and regulatory authorities to transform a financial system into one that integrates consideration for economic development and ESG (environmental, social and corporate governance). - (*2) Principles for Positive Impact Finance
The financial framework for achieving Sustainable Development Goals (SDGs) was established by UNEP FI in January 2017. A company discloses its contribution to achieving SDGs in KPIs. The bank then makes an assessment and guides efforts to increase the positive impact and reduce the negative impact of the company it is funding. As the responsible financial institution, the bank monitors indicators to issue loans that ensure the impact is ongoing. - (*3)Third-party evaluation of compliance with the Principles for Positive Impact Finance and the reasonableness of the evaluation metrics used
Please refer to the website of Japan Credit Rating Agency, Ltd.https://www.jcr.co.jp/greenfinance/