Environment

The MIRAINI Group recognizes that environmental conservation is essential for the well-being of the planet and positions it as a key management priority in achieving a sustainable society. The group strives to promote environment conservation through its business activities, aiming to create a prosperous society in which nature and people coexist in harmony. In addition, the group is committed to developing technologies and providing services that balance the environmental and economic value, thereby contributing to the realization of a sustainable society.
Based on this fundamental approach, the MIRAINI Group has formulated an environmental policy and will implement various environmental initiatives as well as measures to address climate change, including those based on ISO 14001.

The Hagiwara Electric Group is strengthening its group-wide management through a systematic and effective management structure aligned with ISO 14001 in order to promote environmental management across all group companies.
In line with the policies and key themes of the MIRAINI Holdings Sustainability Promotion Committee, we deploy concrete initiatives to address environmental issues across relevant departments and environmental management systems (EMS) at each group company, thereby promoting activities tailored to each organization.

Multiple sites have acquired ISO14001 certification and are actively promoting EMS initiatives, focusing on our environmental management system.

Toward the realization of a society in which people and nature coexist, the Hagiwara Electric Group has set three priority themes of climate change, biodiversity and resource circulation, and work to preserve and improve the sustainable global environment.

1. Task Force on Climate-related Financial Disclosures (TCFD)
   The TCFD is a task force established by the Financial Stability Board in 2015 at the request of the G20. It recommends that companies assess the financial impacts of climate-related risks and opportunities on their businesses and disclose information related to Governance, Strategy, Risk Management, and Metrics and Targets.

In July 2022, the Hagiwara Electric Group established its Sustainability Committee, chaired by the Representative Director, President and Executive Officer, in order to promote sustainability management across all group companies. Under the systematic and effective management structure centered on the Sustainability Committee, we have formulated sustainability policies, including those related to environmental issues such as addressing climate change and promoting carbon neutrality, discussed and decided upon measures to address material issues, monitored the progress of these measures, and promoted sustainability initiatives while strengthening group management. Following the establishment of MIRAINI Holdings in April 2026, we will continue these initiatives while operating under a new and more appropriate sustainability promotion framework.

Major activities and important matters relating to the promotion of sustainability are discussed by the MIRAINI Holdings Sustainability Promotion Committee. Based on the Committee's examination and judgement, important matters are discussed and decided upon at management meetings and meetings of the Board of Directors according to their significance. Thus, our operating system is designed to ensure appropriate supervision and guidance by the Board of Directors.

As MIRAINI Holdings, we recognize climate change as one of our key management issues and will continue to integrate our climate-related initiatives with the TCFD framework.

The Hagiwara Electric Group has conducted a quantitative scenario analysis based on a 2 degrees scenario that concerns the period up to 2050. We comprehensively analyzed the short, medium, and long-term risks and business opportunities of the Hagiwara Electric Group related to climate change, and identified the following key risks and opportunities.

We set matters that we believe will have a large impact on our businesses and corporate activities as “important matters,” and extracted these. As a result, in the area of transition risks, we extracted matters such as the effects of the introduction of carbon taxes and other changes to various laws and regulations on costs, and unaddressed risks related to information-disclosure needs. Furthermore, in the area of physical risks, we extracted matters such as supply-chain disruptions caused by the intensification of abnormal weather, and risks regarding declines in sales caused by the effects of a rise in average temperatures and so on.

Going forward, based on that analysis, we will identify risks and opportunities that apply to a 1.5 degrees scenario, reevaluate their degree of impact, consider various countermeasures, and then incorporate them into our management strategy.

We address climate change-related risks by referring to external scenarios, including those of the Intergovernmental Panel on Climate Change (IPCC) and the International Energy Agency (IEA). We sort out risks through scenario analysis and move forward with appropriately addressing such risks based on identifying levels of impact regarding each business and specifying risks that are of particularly high importance in light of industry trends.

As the MIRAINI Group, we will strengthen processes for managing climate-related risks, strengthen structures for integrating climate-related risk management and the comprehensive risk management of our group, and work to incorporate climate-related risks into our management strategies.

We calculated Scope 1 and Scope 2 (for FY2020 onward) and Scope 3 (for FY2021 onward) in order to achieve our medium-to-long-term greenhouse gas (GHG) emission reduction targets. On the basis of those results, we had set a reduction target for FY2027 for Scope 1 and Scope 2 (25% reduction from the reference year) and had launched specific initiatives in order to achieve those targets. However, we achieved the target by FY2023 ahead of schedule. Accordingly, as a new reduction target, we have revised our goal to achieve a reduction of 50% or more compared to the reference year by 2030. To achieve our new targets, we are fundamentally committed to essential and meaningful reduction activities based on self-initiated efforts.
Additionally, for Scope 3, we are reviewing our calculation logic to improve accuracy and ensure that our activities are appropriately reflected. Since FY2024, with the cooperation of our suppliers, we have been using primary data provided by our suppliers to calculate Scope 3 emissions for selected categories.

The Hagiwara Electric Group gets third-party verification done by the Japan Management Association Sustainability Center for the purpose of ensuring the reliability of the calculation data.

We had set a target of 25% reduction from the reference year for Scope 1 and Scope 2 by FY2027. However, we achieved the target by FY2023 ahead of schedule. Accordingly, as a new reduction target, we have revised our goal to achieve a reduction of 50% or more compared to the reference year by 2030. To achieve our new targets, we will be fundamentally committed to essential and meaningful reduction activities based on self-initiated efforts.

The Hagiwara Electric Group has been planning and launching activities aimed at reducing CO₂ emissions since FY2022.

The business activities of the Hagiwara Electric Group have minimal direct impact on the natural environment. However, we recognize that the products and services we handle may have indirect effects on water resources, such as water consumption during production and usage stages.
As a first step, we are monitoring water usage within the scope of our direct operations. Based on the level of impact, we also acknowledge the need to engage with suppliers and will continue our efforts accordingly.

In assessing water security-related risks and opportunities, we identify and evaluate such risks and opportunities by collecting and utilizing external information, including expert insights. These are then reviewed by the MIRAINI Holdings Sustainability Promotion Committee and reported to the Board of Directors. Recognizing that identified risks and opportunities are subject to change, we review them at least once a year under the above governance structure and processes.

Toward the realization of a society in which people and nature coexist, the Hagiwara Electric Group engages in activities that minimize the use of limited resources, promote reuse, and contribute to the realization of sustainable resource circulation.

The Hagiwara Electric Group complies with relevant laws and regulations (such as the Waste Management and Public Cleansing Act and the Act on the Promotion of Effective Utilization of Resources) and works to minimize environmental impact by reducing waste generated from our business activities, promoting reuse and recycling, and ensuring proper disposal.

At the Miyoshi Distribution Center, we are engaged in recycling packaging materials. For product packaging at the time of shipment, we are working to reduce plastic waste by reusing surplus plastic wrapping materials from incoming shipments.

With the aim of contributing to resource circulation, we are engaged in the Ecocap Activities, which involves collecting plastic bottle caps purchased by employees.
The collected plastic bottle caps are donated to the NPO Eco-Cap Movement Association, where they are utilized as recycled plastic materials to promote recycling and reduce CO₂ emissions. This initiative also contributes to supporting medical care in developing countries and promoting employment opportunities for people with disabilities and the elderly through the recycling process.

At our manufacturing and distribution sites, we reduce power consumption by switching to LED lighting. We also actively introduce renewable energy at these sites, and work to reduce both energy consumption and GHG emissions.

To promote effective resource utilization and reduce CO₂ emissions, we are supporting the initiative by Askul Corporation called the “Askul Resource Circulation Platform (Used Clear Holders)” and are actively promoting the collection of used clear holders throughout the company.
The collected clear holders are not only recycled into new resources and products, but the proceeds from their purchase are also donated, through Askul Corporation, to The Ocean Cleanup, an environmental non-profit organization dedicated to protecting marine ecosystems. Through this initiative, we contribute to both the advancement of a circular economy and the preservation of the global marine environment.

At Hagiwara Engineering, an electric vehicle (EV) commuting service has been introduced for employees seconded from group companies.
We not only ensure commuting options for employees on solo assignments who are unable to bring their personal vehicles, but also contribute to reducing GHG emissions as a company. Furthermore, the power supply ports used for EV charging are available not only for the vehicles of dispatched employees, but also for customers who visit us in EVs. We aim to reduce the environmental impact not only of our company but also of all companies involved.
Electric vehicles also play an important role from the perspective of business continuity planning (BCP), as they can be used as "running storage batteries" and as an emergency power source in the event of a disaster.

In Electronic Devices Business, which primarily handles in-vehicle devices, we contribute to reducing the power consumption of finished products through the sale of energy-efficient devices. As hybrid and electric vehicles become increasingly widespread, we also support the automotive industry's shift toward greater fuel efficiency by ensuring a stable supply of device products such as power semiconductors and microcomputers used in these vehicles. Through these efforts, we help reduce environmental impact.
In Technology Solutions Business, we offer IT equipment and services that enhance production efficiency. Through these offerings, we help improve energy efficiency at manufacturing sites and contribute to reducing environmental impact.

In office supplies, we give priority to environment-friendly products (such as pens made from recycled plastics). We also handle novelties used in our business activities that are made of rice resin, bamboo, recycled marine plastics, and other environment-friendly products.

Hagiwara Electric Holdings Co., Ltd. has endorsed the Nagoya Nature Positive Declaration, an initiative launched by the City of Nagoya to promote biodiversity conservation, and has been certified as a Nagoya Nature Positive Partner.In line with the objectives of this initiative, we will continue to work with other partner organizations to promote environmental conservation activities that help protect biodiversity.

* What is Nature Positive
Nature Positive is a global goal to halt and reverse biodiversity loss by putting nature on a path to recovery by 2030 and achieving a net positive state for nature by 2050, compared with 2020 levels.