Marubeni official website. This page offers you information about our Living in Harmony with Nature (Disclosure in Line with the Recommendations of the TNFD)
The Marubeni Group is expanding its business on a global level in a wide range of fields. We recognize that each of our business streams has some degree of impact on the natural environment and biodiversity, and that all businesses benefit from nature. The Marubeni Group believes that for the sustainable development of its businesses, it is critical to appropriately analyze and evaluate the dependencies and impacts on nature related to its businesses, as well as the risks and opportunities arising from them. Additionally, we acknowledge the importance of disclosing nature-related financial information regarding these matters. In January 2024, we endorsed the recommendations of the Taskforce on Nature-related Financial Disclosures (TNFD) and registered as a “TNFD Adopter.” Furthermore, in March 2022, we participated in the TNFD Forum, an organization which shares the vision and mission of the TNFD and supports their activity.
The general requirements for this disclosure are as follows.
Our governance structure ensures adequate Board supervision of important sustainability-related issues (policy, targets, action plans, etc.) for the Marubeni Group, which are deliberated and decided by the Corporate Management Committee and the Board of Directors. In the individuals’ qualitative evaluation in the compensation system for directors, we consider contributions to the plans and efforts related to sustainability measures, etc. We have put into place a framework to enhance the linkage with director compensation to medium- to long-term corporate value. (for more information on our Green Strategy, please refer to “Long-Term Strategy On Nature,” below). The Sustainability Management Committee, which reports directly to the President holds discussions about a broad range of matters related to sustainability. With regard to nature-related responses, the committee deliberates the process of evaluation of dependencies and impacts, risks and opportunities, strategy, risk management, and metrics and targets as identified in the TNFD Recommendations and reports regularly (at least once a year) on these matters to the Board of Directors. Reporting includes progress and results of nature-related metrics and targets, including climate change. In the fiscal year ended March 31, 2025, the Sustainability Management Committee was held twice and discussed the progresses and results of the Green Strategy set out in Mid-Term Management Strategy GC2024 and the TNFD disclosures. The Sustainability Management Committee is chaired by the Chief Sustainable Development Officer, who is Managing Executive Officer, CSO. The chairperson of the Committee is responsible for the promotion of sustainability and related disclosures of the Marubeni Group. Outside advisor is also a member of the committee in an advisory role to support the management and supervision of sustainability-related matters from an independent external perspective.
In line with our initiatives to contribute toward the realization of a nature positive world, and of a society that lives in harmony with nature, the Marubeni Group respects the human rights including the right to a clean, healthy and sustainable environment of all stakeholders who could be indirectly affected by the impact that our businesses and supply chains can have on nature (particularly those stakeholders who are especially vulnerable to environmental degradation, such as indigenous people, local communities, senior citizens, women (in some regions), people with disabilities, children and young people). In particular, we recognize the special importance of stakeholders’ right to accurate, relevant information (including their right to exercise free, prior and informed consent), their right to substantive participation in environment-related decision-making (including the right of indigenous people and local communities to self-determination and the prevention of forced relocation), their right to effective relief measures, and the implementation of engagement (dialogue) to support and realize their enjoyment of these rights, and we aim to expand efforts that prioritize these rights. The status of the responses for human rights and engagement is included in regular (at least once a year) reports to the Board of Directors by the Sustainability Management Committee; the system to supervise the status has been established. We also recognize the importance of the process for monitoring, managing and remedying any negative human rights impacts in the development and operation of projects on site and in the surrounding area. We monitor and assess these risks and impacts at the stage of exploring the potential for new business development. We have formalized and are implementing related internal procedures. We have also instituted an internal process that serves as a grievance mechanism for complaints relating to human rights (redress). This is a formal mechanism that guarantees confidentiality and anonymity, and is available to and covers complaints about human rights violations from any stakeholders (A dedicated contact point for submission of complaints about human rights violations).
For details, please refer to “Policy: Our Approach to the Human Right to a Healthy Environment” and “Initiatives: Human Rights Due Diligence” under “Respect for Human Rights.”
We recognize that respect for the human rights of stakeholders such as indigenous people and local communities is a vital prerequisite for nature-related initiatives. We strive to promote the widespread adoption of measures that embody respect for human rights through occasional opportunities for the exchange of views with related parties such as representatives of relevant government agencies, authorities and international organizations, and through participation in United Nations Human Rights Forum (including attendance at sessions relating to issues affecting indigenous people), etc.For details, please refer to “Policy Recommendation and Lobbying Activities Relating to Nature.”
Regarding nature-related issues, our executives attend policy councils on nature-related issues to speak out and make proposals for reducing environmental impact.
In accordance with the spirit grounded in “Fairness, Innovation and Harmony,” the Marubeni Group is proudly committed to social and economic development and safeguarding the global environment by conducting fair and upright corporate activities as our Management Philosophy. The Marubeni Group’s long-term strategy is to put our management philosophy into practice and to create value and grow by anticipating the challenges of our customers and society and providing solutions. The challenges faced by customers and society are diverse and constantly evolving. To stay ahead of these changes, the Marubeni Group continues to evolve, using four key aspects of diversity—1. human capital, 2. regions, 3. sectors, and 4. business models—as an important differentiator. This is a major strength and source of value creation for the Marubeni Group. To further enhance this strength, we have identified the “Fundamental Materiality (1. Human Capital That Creates New Value, 2. Robust Management Foundations, 3. Governance That Supports Coexistence with Society)” and are committed to its continuous strengthening.
The impact of our business on natural capital and biodiversity (impact materiality) is an issue for our customers and society, and by providing solutions, the Marubeni Group will achieve financial impact (financial materiality) in the form of “growth.” Therefore, double materiality and single materiality are inseparable for our Group, and understanding the nature-related issues associated with our business is nothing less than exploring growth opportunities for our Group. The Marubeni Group is committed to anticipating the societal issues posed by nature degradation and achieving the international community’s goal of nature positive (halting the loss of natural capital and biodiversity and putting it on a recovery path) in accordance with the Kunming-Montreal Global Biodiversity Framework (GBF), while promoting economic transition to a nature positive economy both within and outside of our Group, and we will link this to our own growth. This strategy is based on the Mid-Term Management Strategy (FY2022-2024) GC2024 “Green Strategy” and the Mid-Term Management Strategy (FY2025-2027) GC2027 “Green Initiatives.”
The Green Strategy was formulated as one of the basic policies in GC2024. It is intended to lead to the growth of the Marubeni Group by working together with customers, partners, and other stakeholders to solve social issues related to ”Living in Harmony with Nature”, such as decarbonization, transition to a circular economy, and conservation of water resources and biodiversity.
Green Strategy: For details, please refer to Integrated Report 2023 (P21-22)[33MB].
To implement our Green Strategy in a field-led manner, we have formulated a Green Strategy for each business division for FY2022. Based on the relationship between business and nature, which varies by sector, this strategy identifies issues that each business division should prioritize, provides solutions, and leads to growth (see below for examples of major green business and green initiatives). The analysis and assessment of the relationship between business and nature by sector, identification of priority issues and details of the strategy, which were conducted when the strategy was formulated, have been organized and integrated into the Green Portal, described below.
State of major green business initiatives: For details, please refer to Integrated Report 2024 (P106-107)[37MB].Major progress in greening all business domains: For details, please refer to Integrated Report 2024 (P108)[37MB].
Through the formulation and implementation of the GC2024 Green Strategy and Division-Specific Green Strategies for each business divisions, awareness of connecting “green” to “growth” has permeated throughout the entire Group. In the Mid-Term Management Strategy GC2027, under the basic policy of “shifting into high gear towards the next growth stage, accelerating profit growth and corporate value enhancement,” we aim to “promote green initiatives to enhance corporate value.” In other words, “green” is also advancing toward the next stage.
GC2027 Green Initiatives: For details, please refer to GC2027 (P13)[2.0MB].
The “Green Portal” is a database currently under development as a platform to reorganize and integrate the Green Strategy formulation process for each business division of the Marubeni Group, enabling the Group to understand and assess the relationship between business and nature, identify priority issues, and consider solutions both internally and externally. The Division-Specific Green Strategies for each business division are being formulated to encompass all businesses of the Marubeni Group, a general trading company, including their value chains. They cover a wide variety of products, value chains, and regions. These strategies also aim to contribute to the transition toward nature positive. In developing the Green Portal, we applied the “LEAP Approach” of the TNFD to identify and evaluate nature-related issues. The LEAP Approach is a voluntary framework proposed by the TNFD for understanding nature-related issues, with “LEAP” standing for the initials of its four steps: Locate, Evaluate, Assess, and Prepare. By implementing the LEAP Approach, we are able to comprehensively identify which activities related to specific products, value chains, and regions are material, forming the foundational information for the Green Portal. The Green Portal is being developed through the following steps.
We defined the businesses of the Marubeni Group and the upstream and downstream of its value chain using four coordinate axes: “product,” “value chain (VC),” “handling organization (within/outside the Group*),” and “location (activity region).”
As a result of steps ① to ③ above, we identified over 100 types of products and more than 500 product × VC combinations, demonstrating that the Marubeni Group, as a general trading company, operates a diverse range of businesses globally.
Marubeni Corporation, consolidated subsidiaries, and equity-method affiliates are classified as “Within the Group,” while other companies and organizations in the upstream and downstream of the VC are classified as “Outside the Group.”
We conducted an evaluation of sensitive locations concerning the “main countries of origin for raw materials” and “regions of our direct operations.” Here, based on the TNFD criteria, we assessed whether the locations where our business operates are situated in or near regions that are considered sensitive from a nature perspective. For products × VC with activities in or near sensitive locations, further evaluation was conducted in subsequent steps (see 4 below). Additionally, we identified the biomes of the locations where our business operates. For details on the evaluation of sensitive locations, please refer to “Connections Between the Marubeni Group and Upstream/Downstream Value Chain Businesses and Sensitive Locations.”
We evaluated the dependencies and impacts on nature of each product × VC across the Marubeni Group and its upstream and downstream VC, as defined in 1 above, using a five-level scale (Very Low, Low, Medium, High, Very High). For the evaluation of dependencies and impacts, we utilized the “ENCORE” tool, operated by UNEP-FI (United Nations Environment Programme Finance Initiative), UNEP-WCMC (United Nations Environment Programme World Conservation Monitoring Centre), and Global Canopy (a UK think tank). We refered to ENCORE as of December 2024. Additionally, ENCORE was also applied to the industry classification of each product × VC.
We combined the evaluation results of sensitive locations for each product × VC (see 2 above) with the evaluation results of dependencies and impacts (see 3 above) to identify regions (risk regions) where business activities may potentially face nature-related issues. In this step, we narrowed down risk regions using a matrix, with the evaluation results of biomes and sensitive locations on the vertical axis and the evaluation results of dependencies and impacts on the horizontal axis. The Marubeni Group not only identifies dependencies and impacts for products × VC but also organizes its relationship with nature by incorporating location information into these dependencies and impacts. This is the most distinctive feature of the LEAP Approach implemented by the Marubeni Group. This approach can be applied horizontally across a wide range of products × VC, providing the core information for the Green Portal.
Since avoiding or reducing dependencies and impacts on nature contributes to mitigating nature-related risks, we linked the Division-Specific Green Strategies of the business divisions to the information for each product × VC × location. This integration connects “Green Strategies that contribute to reducing dependencies and impacts” with “the characteristics of the locations where business is operated,” enabling the Marubeni Group to systematically organize its approach to addressing nature-related issues. Additionally, the Green Portal is to be publicly available by the first half of fiscal year 2025.
Below, we provide an overview of the relationships between the Marubeni Group, its upstream and downstream VC, and nature, as identified through the five steps outlined above.
Since nature-related issues vary by region, it is critical to understand how our business activities interact with specific natural environments and ecosystems and what kinds of activities are being operated in those areas. The TNFD requires organizations to identify and disclose regions considered ecologically high-risk (sensitive locations) within their direct operations or value chains (VC), as well as regions where the organization has identified significant nature-related issues (material locations). This document focuses on disclosing information regarding sensitive locations. The identification of sensitive locations was carried out through the following steps.
The location information for the Marubeni Group and its upstream and downstream VC was organized by referring to the “Definition of Business” established in the Green Portal. Note that the traceability of some products and VC includes data at the country or state level.
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In the TNFD, sensitive locations are indicated by four areas: “Areas important for biodiversity,” “Areas of high ecosystem integrity,” “Areas of importance for ecosystem service provision,” and “Areas of high physical water risks.” The TNFD requires organizations to select tools or indicators based on these criteria and explain how they have defined sensitive locations.Given that the Marubeni Group deals with a wide range of products, we selected indicators as outlined to enable cross-sectoral evaluation across diverse sectors as follows. Locations that intersect with these regions are defined as sensitive locations for the Marubeni Group and its upstream and downstream value chains. For businesses operating in these sensitive locations, we conduct a more detailed assessment of their dependencies and impacts on nature.
We overlaid the location information organized in step 1 and the indicators selected in step 2 on GIS (Geographic Information System) software to examine the ecological characteristics of the areas surrounding the locations of where the Marubeni Group and companies with upstream and downstream value chains operate business. The analysis was conducted for all the indicators selected in the Step2.
Based on the analysis results of step 3, we selected locations where require the ecological attention (sensitive locations). These sensitive locations were identified based on the four areas: “Areas important for biodiversity,” “Areas of high ecosystem integrity,” “Areas of importance for ecosystem service provision,” and “Areas of high physical water risks.” The selected sensitive locations were organized as within or outside of the Group according to the handling organizations involved in the Green Portal.
The analysis and evaluation conducted at the country or state level for Product × VC may have been overestimated. Therefore, we organized the evaluation results targeting products × VC for which traceability is secured at a level more detailed than the city level. Based on the results from steps 1 to 4 above, an example of countries containing regions considered ecologically sensitive is presented below. For products × VC corresponding to sensitive locations, the next step involves verifying the actual ecological impacts at the locations where the Marubeni Group operates the business, based on each of the four relevant criteria; necessary measures will then be considered as needed. For the status of responses to “Water physical risks,” please refer to the CDP Water Security responses.
Furthermore, for infrastructure facilities operated using public funds or project financing, we conduct environmental assessments in accordance with the standards of the funding entities and relevant government agencies before carrying out business activities.
As a result of the dependencies and impacts assessment using ENCORE, we have excerpted and listed those with particularly high significance within and outside the Group. The evaluation results of dependencies and impacts for all products × value chain (VC) are scheduled to be published on the Green Portal. (Note that Division and Industry group in the following tables adopt ENCORE’s industry classifications, which include products and businesses not handled by the Marubeni Group.) As a characteristic of the relationship between the business and nature for the Marubeni Group, its upstream and downstream VC, the degree of dependency and impact tends to be higher outside the Group than within it. Businesses outside the Group span a wide variety of sectors. Providing solutions to these business entities to reduce their nature-related dependencies and impacts not only contributes significantly to nature positive but also represents an opportunity for our Group to transition toward nature positive practices, thereby supporting growth. For efforts to reduce climate change-related impacts, please also refer to the TCFD disclosures. Based on the findings so far, regarding direct operations, we have determined that the dependencies and impacts of the industrial afforestation business (Forest Products Division, Lifestyle Division from April 2025), which deals with paper and pulp as its products, are material. In particular, Indonesia have been identified as a sensitive location and, this year, we conducted an in-depth LEAP analysis targeting the industrial afforestation in Indonesia. For the industrial afforestation, we have also assessed nature-related risks and opportunities, and the results will be explained in the subsequent section, “Industrial Afforestation Business.”
The Marubeni Group identifies Environmental and Social Materialities—namely, “Contributing Toward Measures in Response to Climate Change,” “Contributing Toward the Realization of a Society That Is in Harmony with Nature,” “Contributing Toward the Building of the Circular Economy,” and “Human Rights & Co-development with Communities”—to anticipate customer and societal challenges, provide solutions, and drive its own growth. In the context of the relationship between business and nature, forest-related businesses hold significant importance. The Marubeni Group owns afforestation business in two countries of Indonesia and Australia with a total of approximately 120,000 hectares of tree plantable land. In particular, the industrial afforestation business in Indonesia is a critical element not only as an opportunity for transitioning to nature positive practices but also as a contributor to the growth of our Group (for details, please refer to “TCFD Disclosures: Long-Term Strategy on Climate Change – Marubeni Group’s Initiatives Leading the Transition to a Low-Carbon and Decarbonized Society, Section 3) Initiatives in the Forestry and Afforestation Sector”). Furthermore, as mentioned earlier, an analysis of nature-related dependencies and impacts across the Marubeni Group’s value chain revealed that, in direct operations, the industrial afforestation business is particularly material from the perspective of dependency. Accordingly, this year, we conducted a detailed analysis of the industrial afforestation business following the LEAP approach.
First, we evaluated sensitive locations among the business sites. The analysis identified the ecosystem services depended upon and the impact factors affecting nature in the industrial afforestation business in Indonesia, which was assessed as a sensitive location. Subsequently, we identified risks and opportunities arising from these dependencies and impacts and conducted a qualitative evaluation of their significance. Furthermore, risk items evaluated as highly significant and requiring priority action were linked to Green Strategy and existing initiatives. The details of each evaluation are presented below.
To identify sensitive locations among our business sites, we conducted an analysis using the following indicators. These indicators were selected from the WWF Biodiversity Risk Filter (BRF) data, corresponding to three of the four TNFD areas for sensitive locations: Areas important for biodiversity, Areas of high ecosystem integrity, and Areas of high physical water risks. According to the WWF BRF, a score of 3.4 or higher is considered high risks. Therefore, we designated sites with scores of 3.4 or above for each indicator as “Sensitive Locations.”
The results are as follows: In certain regions of Indonesia, there are numerous protected areas near our business sites, and compared to other regions, the ecosystem integrity is high, confirming that these are locations of significant value to nature. Additionally, PT. Musi Hutan Persada (MHP), located in Indonesia, is not only responsible for producing materials for the Marubeni Group’s key pulp-related products but, as mentioned earlier, is also critical to our growth. Therefore, we have identified nature-related issues in MHP’s industrial afforestation business and formulated strategies targeting it as part of the Division-Specific Green Strategies.
Focusing on the industrial afforestation business in Indonesia, we identified the specific dependencies and impacts relevant to the actual operations. To identify these dependencies and impacts, we reviewed business information and management practices owned by MHP, and conducted interviews with on-site personnel, and verified the actual extent of dependencies and impacts. As a result, the material dependencies and impacts on nature specifically related to MHP’s industrial afforestation business in Indonesia were identified as follows: It was found that the company is particularly dependent on provisioning services related to the trees themselves, such as biomass and genetic material, as well as on regulating and maintenance services, including soil quality regulation necessary for growth, suppression of natural disasters such as floods and landslides, and the nursery population and habitat maintenance.
While the plantation site was established on bare land, and thus the ecological impact from land modification is deemed non-material, we recognize the importance of engagement with various stakeholders regarding the land. Social engagement in the region is carried out in collaboration with diverse stakeholders, including landowners, NGOs, government sectors or agencies, communities, and interest groups. Numerous communities with rights exist within the permitted boundaries of the business, and our corporate social responsibility team regularly visits these villages to ensure harmonious relationships are maintained. Furthermore, as part of efforts to foster greater harmony with local communities, MHP implements a regional collaboration initiative called the Partnership Program. A notable example is a scheme where local communities provide land for growing eucalyptus, and MHP shares the economic benefits generated after harvesting with these communities. To date, approximately 1,000 hectares have already been planted under this program, with plans for further expansion in the future.
To identify nature-related risks and opportunities, we categorized the activities of the industrial afforestation business into two segments: “Planting” and “Logging (final cutting).” We then assessed the risks and opportunities for each segment arising from the dependencies and impacts on nature identified in the previous section. For the identified risks, we conducted a qualitative evaluation of their significance based on two axes—impact severity if the risk materializes and likelihood of occurrence— while considering the actual operational details of MHP. Based on the evaluation results, for items identified as major risks in Indonesia’s industrial afforestation business, we implemented existing risk mitigation measures and integrated additional responses and opportunities into the Division-Specific Green Strategies. A list of major risks, opportunities, and corresponding measures is provided below. In particular, physical risks were identified as significant, including acute risks such as “damage to trees, infrastructure, and employees due to natural disasters” and chronic risks such as “decreased timber productivity and changes in the environment of planting site due to climate change” and “spread of tree diseases due to monoculture planting.” One of the Division-Specific Green Strategies related to MHP’s operations, the “biochar business utilizing forest residues and downstream pulp mill residues,” contributes to reducing greenhouse gas (GHG) emissions and maintaining soil quality regulation, a key aspect of the planting environment. As an opportunity to address issues through impact reduction and create further value for the Marubeni Group, we have formulated and are actively pursuing Division-Specific Green Strategies to advance this initiative.
Forest Products Division (Lifestyle Division from April 2025) Green Strategy for MHP (Examples)
[Green Strategy]
For the forestry business, we conducted a scenario analysis regarding the Mid-Term financial implications caused by climate change, as well as corresponding policies and initiatives. For details, please refer to the TCFD disclosures (Results of Scenario Analysis: Forestry Business).
Regarding the current (fiscal year ended March 2024) and short term (up to 3 years) financial implications (impact of financial position, financial performance, and cash flows) of climate-related risks (risks that can reasonably be expected to affect cash flows, access to financing, or cost of capital) on the Marubeni Group, Please refer to the TCFD disclosures. Based on the analysis results of the “LEAP Approach” of the TNFD conducted this time, the financial implications of nature-related risks other than climate-related risks on the Marubeni Group in the current and short-term timeframe are limited.
The Marubeni Group manages and monitors high-priority risks and opportunities from the perspective of sustainability including climate change, natural capital, and supply chain management—through the Sustainability Management Committee. The Marubeni Group is assessing potential risks in business from a sustainability perspective. We have developed an assessment framework to support the multifaceted analysis of 27 items across the three risk categories (environmental, health and safety, and social). In addition, we assess the importance and impact of potential risks in each assessment category. We use this risk assessment approach in sustainability survey methods within the Group and our suppliers, and also impliment this as a part of the process used to make any investment and financing decisions. Besides monitoring of existing businesses, we use this approach to gauge the value of Group businesses on an ongoing basis from a sustainability perspective.
For impacts on nature, particularly those of high significance such as climate change, the Marubeni Group leverages various scenario analyses, including those by the International Energy Agency (IEA), to identify high-risk situations. In such cases, we consider factors such as projected GHG emission reduction plans, decarbonization strategies in project host countries, and alignment with long-term climate change visions. These evaluations, alongside climate-related risks, opportunities, and business priorities, inform our investment and financing decisions.Business domains with high risks, including those related to the impacts of climate change, are deliberated by the Investment and Credit Committee, the Corporate Management Committee, and the Board of Directors as needed. The status of these risk management systems is reported to the Board of Directors during the annual review of the basic policy for internal control to evaluate their effectiveness.
To comprehensively assess and manage risks across diverse industries and regions with discipline, in addition to addressing individual risks, we implement “integrated risk management” that oversees the entire Marubeni Group. This framework integrates risks such as “market risk,” “legal and regulatory risk,” “environmental and social risk,” and “natural disaster risks.” In conducting integrated risk management, the Marubeni Group calculates the maximum downside risk (risk assets) by multiplying the consolidated risk exposure by the assumed maximum loss ratio, which is defined according to the risk profile of each asset type. The Group’s basic risk management policy is to keep risk assets within equity, which represents its risk-bearing capacity. As of March 31, 2024, risk assets were within the scope of shareholders’ equity. The Marubeni Group screens and selects each investment project to maximize returns relative to risk for the entire Group. In addition, by monitoring RORA (return on risk assets), we work to strengthen earnings capacity against potential risks, sustain and improve ROE, and reduce the cost of equity. Main Risk Factors: For details, please refer to Integrated Report 2024 (P59)[37MB].
Regarding Nature related “physical risks,” the Marubeni Group continuously evaluates the effectiveness of individual measures and works to establish a system that can address all potential crises. In April 2022, the Marubeni Group updated its Business Continuity Plan (BCP) from a scenario-based approach to an All-Hazards BCP, an impact-based approach preparing for natural disasters and other calamities. To ensure the effective functioning of the BCP and to establish and promote the Business Continuity Management (BCM) system, the Marubeni Group has set up a dedicated organization within the General Affairs Department of the Head Office. This system is designed to respond swiftly in the event of a disaster affecting employees, systems, offices (buildings), payment functions, or other critical resources related to the management of Group companies, with the highest priority given to ensuring the safety of human lives.
We have established metrics for dependencies and impacts on nature as outlined as follows.
1) Status of land use in the industrial afforestation business analyzed under the LEAP Approach (conversion from bare land to plantation land).
2) Other major land use situations in our Group’s operations
Biomes are cited from the IUCN Global Ecosystem Typology. Data Source: KEITH, David A., et al. “A function-based typology for Earth’s ecosystems.” Nature, 2022, 610.7932: 513-518.
Scope includes Marubeni Corporation and consolidated subsidiaries.
Water Supply Population (in tens of thousands)
Water Stress: A condition where human water demand significantly exceeds available water resources. Major causes include population growth, urbanization, climate change, and excessive water use in agriculture or industry.
TeaM Energy Foundation, Inc. (TEFI) was established to handle the CSR activities of TeaM Energy Corporation (TeaM Energy), an independent power producer in the Philippines in which Marubeni owns a 50% stake. In cooperation with the Wild Bird Club of the Philippines (WBCP) and the Department of Environment and Natural Resources, TEFI has participated in the Asian Waterbird Census, an Asian aquatic bird population survey conducted by the international NGO “Wetlands International”, every year since 2010, and collects data on waterbirds within a 10-kilometer radius of the Pagbilao and Sual power stations. The survey has confirmed that the environmental impact on the neighborhoods around the power stations is low, and a healthy environment is being maintained. The areas around the Pagbilao and Sual power stations are sanctuaries of the Philippine duck (Anas luzonica), an endemic species of the Philippines that is designated as “vulnerable” in the IUCN Red List of Threatened Species 2014 issued by the International Union for Conservation of Nature. The sites of the power stations are resting spots for many other birds, including migratory birds. TEFI takes steps to safeguard the habitat of these birds through noise reduction measures, limitations on development, and habitat relocation in the event of development. During the pandemic from 2020 to 2022, TEFI held off its bird watching activities with WBCP. Sual Power Station and Pagbilao Power Station have separate monitoring surveys conducted by external parties.
In a survey conducted in 2021 in Sual Power Station, a total of 1,056 bird individuals in 56 species and 34 families were recorded. Three threatened birds were recorded in 2021: Lonchura oryzivora or Java sparrow, Streptopelia bitorquata or Island collared dove, and Anas luzonica or Philippine duck. For Anas Luzonica or Philippine duck, 260 were recorded in the 1st semiannual report and 60 for the 2nd semiannual report, utilizing the man-made lagoons in the area. There were no additional species recorded, with the overall total of recorded birds remaining at 129 species. However, recurrence of Motacilla cinerea or Grey wagtail and Orthotomus derbianus or Grey-backed tailorbird were noted. The former was last observed in 2011 while the latter was in 2015.
In a survey conducted in 2021 in Pagbilao Power Station, nine species are breeding residents. Nine of 18 species are associated with non-forest to forest habitats. Only one threatened species, Anas luzonica, was recorded, while 16 are classified as Least Concern by IUCN.
Other than Pagbilao Power Station, monitoring is also conducted in three other locations: 1) Binahaan Watershed Forest Reserve, 2) Binahaan Mangrove Forest and 3) Danlagan Mangrove Forest.Across the four locations, 584 individuals of 39 bird species were recorded.
TEFI is carrying out projects to plant acacia eucalyptus and other tree varieties at its Pagbilao and Sual power stations since 2001 in partnership with neighboring communities as well as NGOs such as Sioasio East Forest Developers Association. The average survival rate of the saplings planted in Sioasio is 96.5% (as of March 2023). To date, approximately 100 hectares at Sual and 328 hectares at Pagbilao have been planted and are being maintained since 2001.
In 2021, Pagbilao Power Station planted a total of 300 native trees within 4,806 ㎡of station premises where employee volunteers planted seedlings of Agoho, Narra and Talisay.
TeaM Sual Corporation on the other hand has been rehabilitating the coast of Barangay Baquioen of Sual through annual mangrove planting and maintenance for the past 5 years. In 2021, Sual Power Station employee volunteers together with representatives of Baquioen Barangay Government unit in attendance planted 3,000 mangrove seedlings along the coast of Barangay Baquioen in Sual. In 2022, 2,000 mangrove seedlings were planted in that area with employee volunteers, and representatives from the same government unit, the local school, and contractors. In 2022, TEFI, with an external partner and members of the local community, planted 21,000 mangrove propagules in Barangays Victoria and Pilar, both in the Santiago Island of Bolinao town, Pangasinan; this is under TEFI’s Project CATCH ME (Community Alliance Transforming Coast Habitat and Mangrove Ecosystem).
Until the ownership of Sual and Pagbilao power stations are transferred to the state-run power company from 2024 through 2025, Marubeni will continue to support the protection and maintenance of a total of about 144,000 hectares of natural forests where TEFI has been carrying out conservation and afforestation, as well as at other activity areas, with the goal to protect biodiversity and to foster forest preservation.
Maynilad Water Services, Inc. (Maynilad), a Marubeni Group company engaged in water supply and sewerage services in Metropolitan Manila, has planted more than 219,000 mangrove propagules in the coastal area for the purpose of land conservation (including conservation of species), reduction of negative impacts caused by the population growth, and recovery. This activity employs fishermen in some areas and provides them with additional income opportunities. With the support of the country’s government agencies (such as the Department of Environment and Natural Resources and local government entities), businesses, and volunteers, the company also arranges events to educate people on responsible water consumption and proper wastewater management. Together with our stakeholders, Maynilad will continue to invest in local communities through tree planting activities to conserve ecosystems, prevent flooding, provide high-quality water and operate the sustainable water business.
Since 2010, TEFI has had various activities in implementing a Community Carbon Pools Program (C2P2) in the municipality of General Nakar in the province of Quezon, in cooperation with the Philippine Department of Environment and Natural Resources, local residents, and international and local NGOs.
TEFI conducted training and provided funding to a honey manufacturing facility powered by solar energy. In addition to honey, the communities of General Nakar produce resin, food and other non-timber products and also engage in textile dyeing and tea harvesting.These activities provided livelihood intended to improve living standards for 34 tribal communities and over 2,000 local residents, and to help preserve about 144,000 hectares of forest and prevent deforestation. They also contribute to the reduction of GHG emissions caused by deforestation, the long-term conservation of forests, and the promotion of carbon storage with forests.
WA Plantation Resources Pty., Ltd. (“WAPRES”), an Australian plantation and wood chip business wholly owned by Marubeni Corporation, has been engaging with the local government to comply with local laws and regulations, including the Environment Protection and Biodiversity Conservation Act 1999 (as amended), and has obtained international sustainable forest certifications.
Click here to view Forest Management and Forestry Certification at Marubeni Group
WAPRES believes that sustainable forest management contributes to the conservation of biodiversity, and will continue such business activities.
In connection with the desalination and water transmission project for Corporación Nacional del Cobre de Chile (CODELCO) (the Project), prior to participating in the Project we identified the potential impacts on biodiversity, and took measures to avoid and reduce negative impacts.
Click here to view Conclusion of a Loan Agreement and Start of Construction under a Long-Term Water Sale Agreement for a Desalination and Water Transmission Project for the National Copper Corporation of Chile
Conducting Due Diligence
Part of the proposed site of the Project falls within a priority conservation area for the Eriosyce Laui, a species of cactus that is listed as an endangered species (EL cactus). Therefore, in order to conserve the species, prior to our participation in the Project an external expert was retained to conduct due diligence to determine whether the EL cactus is present at the proposed construction site in the priority conservation area and the status of its habitat. As a result, it was confirmed that the EL cactus is not present at the proposed construction site.
Formulation of Biodiversity Action Plan (BAP) and Biodiversity Management Plan (BMP)
In this Project, a Biodiversity Action Plan (BAP) was developed by identifying areas with sites, species, and functions of particular importance for conservation. Detailed surveys of the relevant areas are conducted by experts, and the results are reflected in the Biodiversity Management Plan (BMP), which is continuously monitored (audited) in order to conserve biodiversity.
The improvement of living standards in the developing countries and growing health consciousness in the developed countries have resulted in the yearly increase in the global demand for marine products. Nevertheless, as the fish catch from fisheries has remained stable for the past 30 years, aquaculture has taken on an increasing significance. Within this field, in the sub-industry of salmon farming, which has been geographically limited due to the scarcity of coastal regions that are suited to seawater culture, expectations are especially high for the growth of land-based salmon farming through the use of a Recirculating Aquaculture System (hereinafter “RAS”*2), which is not limited by geographical conditions.
In April 2020, Marubeni, jointly with Nippon Suisan (Europe) B.V., acquired shares of Danish Salmon A/S (hereinafter “DS”), a globally top-ranked company with a track record in RAS production. Marubeni will meet the growing global demand for marine products through DS, one of the few companies to have established manufacturing expertise and technology in this field.
RAS has minimal impact on the surrounding environment and the ecosystem, as it uses and recirculates water within an enclosed facility, thereby reducing water pollution and the risk of escaping farmed fish. RAS also has an established control framework and is thus capable of retaining records, making it a farming method that supports traceability. It is also being regarded as a viable method of effectively resolving future shortages in protein supply which may occur in conjunction with the growing global population. Marubeni is ready to contribute to the resolution of social problems by not only meeting the growing global demand for marine products but also providing a stable supply of environmentally-friendly marine products.
Roughly 30% of the palm oil handled by our subsidiary Pasternak, Baum & Co., Inc. are RSPO/ISCC/RFA certified products.We are doing our part to promote such certified products by responding to the needs of our environmentally conscious customers.
Marubeni registered its intent to adopt the TNFD Recommendations, becoming an TNFD Adopter*3.
Our organization intends to publish its first TNFD-aligned disclosures alongside financial statements as part of the same reporting package for our financial year 2025 outcomes.
Click here to view the TNFD Website
Click here to view the list of organizations that have committed to start making disclosures aligned with the TNFD Recommendations
TNFD Forum is an organization which shares the vison and mission of Taskforce on Nature-related Financial Disclosures (TNFD)*4, an international organization that builds a risk management and disclosure framework related to nature capital and biodiversity. Marubeni participated in the TNFD Forum in March 2022.By participating in the TNFD Forum, Marubeni will continue to contribute to the conservation of biodiversity, which is an urgent issue in the world along with climate change, through supporting the development of TNFD’s framework.
Click here to view the TNFD Forum Website
Marubeni endorsed the Nature Positive Declaration of the Japan Conference for 2030 Global Biodiversity Framework (J-GBF, chaired by Keidanren’s chairman, secretariat: Ministry of the Environment), and is working toward realizing Nature Positive in accordance with the National Biodiversity Strategy and Action Plans, in cooperation with the government, relevant ministries and agencies, and industry organizations.
Click here to view the Nature Positive Declaration of J-GBF (Japanese Only)
In January 2020, the Company announced its agreement with and support of the Revision to “Declaration of Biodiversity by Keidanren and Action Policy” of October 2018 put out by Keidanren and the Keidanren Committee on Nature Conservation.
Click here to view the “Declaration of Biodiversity by Keidanren and Action Policy” (Revised Edition)
Marubeni is a full member of Marine Eco-Label Japan (MEL) Council, which promotes initiatives of fisheries, aquaculture, and chain of custody that considers environment, biodiversity, and sustainable use of fishery resources. Marubeni will continue to contribute to sustainable fishery that is environmentally and ecologically friendly within our business as well as in our supply chain.
Click here to view the Marine Eco-Label Japan (MEL) Council
Sustainability TOP
President Message
Our Views on Sustainability
Materiality for the Marubeni Group
Environment
Environmental Management
Climate Change (Disclosure in Line with the Recommendations of the TCFD)
Living in Harmony with Nature (Disclosure in Line with the Recommendations of the TNFD)
Sustainable Forestry
Water Management
Supply Chain
Environmental Data
Social
Respect for Human Rights
Occupational Health and Safety
Health and Productivity Management
Responsibility to Customers
HR Management
Diversity Management
Social Data
Governance
Content Indices
ESG Content Index
GRI Content Index
Integrated Report
Sustainable Development Report
External Recognition
Green Bond
Social Contribution Activities
