The deployment of renewable energy is expected to further increase with the introduction of promotion systems by national governments and local authorities, technological advancements and other developments. At the same time, the introduction of gas-fired power generation with low environmental impact is also expected to increase.
For renewable energy businesses, MC has set a target aiming to double renewable power generation capacity by the fiscal year ending March 2031 compared to the fiscal year ended March 2020 (from 3.3GW to 6.6GW). Embracing the trend that renewable energy will become the world's main energy source, MC's policy is to expand investment and initiatives from power generation to sales centered on renewable energy. This is exemplified by MC's purchasing the Dutch company Eneco in 2020. Eneco operates an integrated energy business that actively promotes the business development of renewable energy and cogeneration businesses. By combining renewable energy with digital technology,
MC aims to contribute to establishing a sustainable society. MC will do so by providing new value to customers, such as the adjustability of the supply and demand of energy depending on power usage, as well as contributing to the stable supply of energy by compensating for renewable energy, intermittency＊.
＊ A trait of renewable energy is that it cannot maintain a stable daily or hourly supply of energy due to environmental conditions.
Renewable Energy Projects
|Country||Power plant||Fuel||Net equity basis
(Net, 10,000 kW)
|United States||Nexamp||Solar power||17.4|
|Mexico||Eolica del Sur||Wind power||19.8|
|Spain||MC Solar cascaras de cofin||Solar power||0.1|
|France||Toul-Rosières SAS1||Solar power||2.2|
|France||Crucey SAS1||Solar power||1.4|
|France||Massangis SAS 2||Solar power||0.8|
|France||Ecotera/Plaine de l’Escrebieux||Wind power||0.6|
|France||Ecotera/Seuil de Bapaume||Wind power||0.8|
|France||Ecotera/Basse Thierache Sud||Wind power||1.2|
|France||Ecotera/Plateau d’Andigny||Wind power||1.1|
|The Netherlands||Luchterduinen||Offshore wind power||6.5|
|Belgium||Norther||Offshore wind power||9.2|
|The Netherlands||Other renewable energy projects owned by ENECO||Solar power||107.2|
|Offshore wind power|
|Jordan||Shams Maan||Solar power||1.8|
|Philippines||UPCWind powerIPP||Wind power||2.2|
|Thailand and others||Other renewable energy projects owned by EGCO||Solar power||6.7|
|Malaysia||Gebeng Solar||Solar power||0.3|
|Japan||Kumamoto Aso Solar||Solar power||0.2|
|Japan||Onahama Solar||Solar power||0.5|
|Japan||Onahama/Izumi Solar||Solar power||0.2|
|Japan||Nippon Paper Mega Solar Komatsushima||Solar power||1.3|
|Japan||Tahara Solar||Solar power||2.8|
|Japan||Nagasaki Tadewara Mega Solar||Solar power||0.5|
|Japan||Higashi Nozaki Solar Energy||Solar power||0.7|
|Japan||Kochi Solar||Solar power||1.3|
|Japan||JAMC Solar||Solar power||2.1|
|Japan||Akita Katagami wind farm||Wind power||2.9|
The Dutch integrated energy company Eneco is operating power generation businesses, power and gas trading businesses, power and gas retail businesses and district heating businesses focused in the Netherlands, Belgium and Germany with renewable energy at its core. With a solid customer base that is the third largest in the Netherlands, Eneco has approximately 1.3 GW of renewable energy assets. Since 2007, Eneco has developed renewable energy ahead of its competitors and has established a position as a green brand by providing consumers with 100% green energy (including the use of green certificates) since 2011. Also, Eneco is an innovative company that has set customer-focused services as an objective since very early on. In addition, Eneco is the first Dutch company to be recognized as having set 2°C-aligned targets , known as a “Science-Based Targets.” Eneco is also recognized both domestically and internationally as a company actively working toward measures to address climate change.
MC and Eneco, from 2012 to the present, have contributed to the deployment and expansion of renewable energy in Europe, working together on three European offshore wind projects (1.23 GW) along with Europe's largest electricity storage project (50 MW). MC aims to contribute to the establishment of a sustainable society through the simultaneous realization of the three types of value—economic, societal and environmental —
by utilizing Eneco's technology and expertise to accelerate the development of renewable energy inside and outside of Europe. Also, by combining Eneco's customer base and MC's various products and services, MC aims to improve services related to energy management for Eneco's customers and to achieve growth through the business model outlined in Midterm Corporate Strategy 2021.
The electric power business is facing a transition period brought about by the increase in small-scale decentralized power sources and developments in storage batteries and digital technology that have arisen with the dissemination of renewable energy. Under such circumstances, MC, along with its partner Chubu Electric Power, aims to contribute to solving societal issues such as the transition to a low-carbon society and the preservation of the global environment. Both companies will do so by supporting the infrastructure of people’s lives through the growth of the innovative integrated energy company Eneco, which provides customer-focused services that utilize renewable energy development along with AI and IoT.
＊ The target set out in the Paris Agreement to limit the rise in average global temperatures to well-below 2°C above pre-industrial levels.
For the offshore wind business, which is expanding in Europe, the offshore power transmission business that connects offshore wind power generation facilities to the onshore power grid is essential. In the UK, MC entered the offshore power transmission business that supports the proliferation of the offshore wind business at an early stage, and has established a firm position in the industry.
|Country||Portfolio asset||Transmission capacity
|MC’s share||Cable route length (Onshore/ offshore km)|
|Burbo Bank Extension||25.8||50％||35|
According to UN statistics, Sub-Saharan Africa's population will double to 2.1 billion by 2050. Among the current population, more than 600 million people are living in off-grid areas (without access to electricity) where transmission and distribution networks have yet to been established, and this number is predicted to rise. MC is promoting a distributed power supply business using battery storage in these off-grid regions of Africa. MC provides equipment that combines power sources (solar panels, battery storage) with appliances (lighting, radios, TVs, etc.) as a service for households in order to supply power to off-grid areas. This also plays a role in reducing the health and environmental impacts of kerosene lamps, which at present are commonly used for lighting in these areas.
|Project||Business Activities||Project Details|
|Bboxx||Distributed power generation business in off-grid areas||Operating in 11 countries across Africa and Asia, serving approx. 300,000 households.|
|NEoT Off Grid Africa||Asset finance for distributed power companies in off-grid areas||Providing asset finance for off-grid operators in Côte d’Ivoire/Nigeria.|
＜Chiyoda’s SPERA Hydrogen>
MC is focusing on ammonia and hydrogen which are seen as promising next-generation energies. MC is proceeding with joint testing with our partners at each stage of the ammonia fuel value chain, “production,” “transportation” and “usage.”
For the “production” stage, MC is currently assessing the production process of ammonia fuel with a combination of fossil fuels and CCUS. MC is considering this a practical option both from a technical and economic perspective. However, at the same time, MC is also proceeding with reviewing more environmentally-friendly methods such as hydrogen and ammonia production derived from renewable energies and hydrogen production that utilizes photocatalytic technology.
For the “transportation” stage, it is assumed that large-scale transportation and storage of ammonia fuel will be necessary, so MC will respond by utilizing its expertise in logistics cultivated through its existing businesses.
For the “use” stage, MC will leverage our relationships with energy industry players that we have cultivated through our existing businesses. MC has also begun detailed studies for the joint full-scale introduction at each company.
The use of hydrogen as a source of energy is gaining attention as a low-carbon alternative. Hydrogen serves not only as a clean fuel to displace fossil fuel-based power generation, but also functions as a regulator by storing surplus renewable energy through the electrolysis of water using an electrolytic device. In addition, fuel cells for hydrogen-powered generation of electricity and heat are expected to be key to reducing carbon emissions in the transportation, household and industrial sectors. To prepare for the new hydrogen era, MC is actively working in the hydrogen energy field, which will continue to expand, and aims to realize large-scale, international transport of hydrogen, starting with taking part in a hydrogen supply chain demonstration project＊1 sponsored by Japanʼs New Energy and Industrial Technology Development Organization (NEDO) that utilizes the organic chemical hydride method.
＊1 This demonstration project is an initiative for the establishment of the mass transportation of hydrogen from overseas and supply technology that will be necessary for the full-scale introduction of hydrogen power generation for the power generation business in 2030 to realize phase two of METI's Strategic Road Map for Hydrogen and Fuel Cells (published in June 2014, revised edition published in March 2016). In 2020, MC implemented a demonstration project transporting hydrogen from Brunei to Japan. Based on the Paris Agreement that was adopted at COP21 in December 2015, with the increasing need to reduce future greenhouse gas emissions, MC will contribute to the realization of utilizing hydrogen, which does not emit CO2 during combustion, in the field of large-scale power generation.
Working with Singapore towards the Realization of a Sustainable Hydrogen Economy
In March 2020, in the presence of Singaporean government officials, MC signed a memorandum regarding bilateral cooperation towards the realization of a sustainable hydrogen economy in Singapore, with five private Singaporean companies (City Gas, Jurong Port, PSA Corporation Limited, Sembcorp Industries and Singapore LNG Corporation) and Chiyoda Corporation.
The Singaporean Government, in the Long-Term Low-Emissions Development Strategy published in 2020, set a target to halve Singapore's CO2 emissions from its peak to 33 Million tons annually by 2050, along with achieving net-zero CO2 emissions as soon as possible in the second half of the century. The Singaporean government, towards the realization of this target, has positioned the introduction of hydrogen and low-carbon technology as an important initiative, and by promoting its introduction, is aiming to shift to a superior energy system that is environmentally friendly, economically feasible, reliable and sustainable.
In the promotion of these initiatives, it is expected that Chiyoda Corporation’s hydrogen storage and transportation technology, “SPERA Hydrogen”＊2, that was verified in NEDO's “Demonstration of Unutilized energy-driven Hydrogen Supply Chain powered by the Organic Chemical Hydride Method,” will play a vital role. Together with the above-listed companies and other companies who are highly interested in introducing this technology and the related business opportunities, MC will collaborate to further reduce the cost of hydrogen and proceed with studies into hydrogen demand focused on energy and mobility in the energy supply business.
＊2 Hydrogen, for which transportation has been an issue, is converted into methylcyclohexane (liquid, Chiyoda Corporation's registered name: SPERA Hydrogen) through a chemical reaction with toluene and is stored and transported at a compressed volume of one 500th as that of hydrogen at ambient temperature and pressure. It is a circulatory system where hydrogen and toluene are separated at the site through dehydrogenation, hydrogen is supplied to the consumer, and toluene is reused as a raw material for SPERA Hydrogen.
Chiyoda’s SPERA Hydrogen
MC, as a company aiming to contribute towards achieving the goals of the Paris Agreement, recognizes that Carbon Capture, Utilization and Storage CCUS) will play a major role in achieving those goals. The International Energy Agency (IEA) has stated that CCUS must be used to reduce roughly 10% of CO2 emitted in 2050 in order to achieve the 2°C target (the remaining amount to be reduced through renewable energy and energy-saving technology), and the IPCC＊ has also emphasized the role that technology should play. CCUS is a field that spans multiple industries, from those that are the source of CO2 emissions, to those that produce end-products such as fuel and chemical materials. Therefore, MC recognizes CCUS as a business opportunity to demonstrate its comprehensive capabilities as a company that interacts with many industries. To take advantage of this business opportunity, MC will promote the commercialization of CCUS by establishing a cross-group task force and liaison committee.
For CCU, MC is working on short-term initiatives in the construction materials field where there are already commercialized products (such as concrete) and technology. It is also working on medium- to long-term initiatives in the petroleum and chemicals field where further research and development is necessary for demonstration (such as jet fuel and synthetic fibers). Through the above initiatives, MC is developing new businesses and technology through investment and collaboration with various domestic and international corporations. In addition, MC is accelerating efforts in the wide-ranging field of CCUS, including participating in demonstration projects through Japan CCS Co., Ltd.
＊ IPCC: Intergovernmental Panel on Climate Change. The IPCC is an intergovernmental organization established by the UNEP (United Nations Environment Programme) and the WMO (World Meteorological Organization) that collects and organizes scientific research regarding climate change.
MC is working in the field of construction materials where technological maturity is high and where commercialized projects already exist. There are many kinds of construction materials, such as ready-mixed concrete, precast concrete (concrete block products) and aggregates (raw material of concrete). As a suitable CO2 reduction method is required for each, MC aims for the maximum reduction in CO2 by approaching each product with a combination of various technologies and collaborations with corporations (Green Concrete Concept).
CO2-SUICOM, which is already commercialized, is the world's first concrete block manufacturing technology to achieve net-zero CO2 emissions during concrete production. Net-zero CO2 emissions are achieved by reducing CO2 in cement production—the raw material of concrete—, and the absorption of CO2 to concrete. In Japan,
the technology has been used in the construction of the Tokyo Outer Ring Road and other paved roads, and MC is proceeding with commercialization overseas. Four companies, Chugoku Electric Power Co., Inc., Kajima Corporation, Denka Company Limited and Landes Co., Inc., are responsible for the technology, and MC is primarily responsible for overseas commercialization. Also, three companies, Kajima Corporation, Chugoku Electric Power Co., Inc and MC, were chosen in NEDO’s＊ publicly-offered commissioned project, “Carbon Recycling, Development of Next-Generation Thermal Power Generation/Technological Development at CO2 Utilization Sites/ Technology Development and Demonstration Projects of the Effective Utilization of CO2 at Research Bases/Research and Development of Concrete that Effectively Utilizes CO2.” In this project, MC is working on research and development into new CO2-utilizing concrete such as ready-mixed concrete and reinforced concrete that makes the application of CO2-SUICOM technology outside of ready-mixed concrete possible.
＊ NEDO: New Energy and Industrial Technology Development Organization
Blue Planet is an US-based start-up company that possesses technology for producing aggregates—the raw material for concrete—by fixing CO2 to unused and scrap concrete from industrial waste. Blue Planet's CO2-utilization aggregate was used in the renovation of San Francisco International Airport and is addressing industry issues of both CO2 emissions and unused and scrap concrete. MC is financing Blue Ocean and is responsible for the technology's domestic and international commercialization. MC has signed a collaboration agreement with Blue Ocean to commercialize their CO2-utilization technology. Throughout the fiscal year ending March 2022,
MC will conduct a demonstration project for CO2-utilization technology in California's Silicon Valley region and is subsequently planning full-scale commercial development.
CarbonCure Technologies Inc. is a Canadian company that possesses technology for fixing CO2 into concrete building materials. MC has made an equity participation in CarbonCure and has a business partnership to expand businesses related to CarbonCure's technology. CarbonCure's carbon recycling technology fixes and utilizes CO2 into fresh concrete during production, reducing CO2 emissions by reducing the amount of cement used.
The strength and dependability of CarbonCure’s concrete is the same as traditional concrete, and it is currently widely used commercially, mainly in North America.
With CCUS as a medium-to-long-term initiative, MC is addressing the petroleum and chemicals field where further research and development is required. Specifically, MC, along with the University of Toyama, Chiyoda Corporation, Nippon Steel Engineering Co., Ltd, Nippon Steel Corporation and HighChem Company Limited, were chosen in NEDO’s publicly-offered commissioned projects, “Carbon Recycling and Development of Next-Generation Thermal Power Generation/Development of Technology for the Reduction of CO2 Emissions and the Effective and Practical Use of CO2/Development of Technology for the Use of CO2 in Chemical Materials,” and the organizations are working on the research and development of a method to produce paraxylene, which is a material used in clothing and PET bottles, from CO2. In this initiative, MC, as a company with one of the world's highest transaction volumes in paraxylene, is responsible for testing and reviewing commercial feasibility using its global network. Due to its composition, paraxylene can fixate CO2 while limiting the amount of hydrogen as material. MC recognizes that the potential for CCU paraxylene is significant, both from an economic and environmental perspective. It is expected that demand for clothing will rise with the increase in the global population. Therefore, to meet the demand for polyester that cannot be covered with recycling alone, MC aims to substitute existing petroleum-based paraxylene with sustainable paraxylene produced from CO2.
MC is involved in a pilot project led by Japan CCS Co., Ltd. at Tomakomai, Japan (target to inject a cumulative total of 300,000 tons of CO2 was achieved in November 2019). While conducting studies through Japan CCS into CCS and carbon recycling technology that effectively utilizes emitted CO2, MC is pursuing future commercial use possibilities.
MC is promoting the development, manufacturing and sales of lithium-ion batteries, which are expected to become increasingly prevalent for use in environmentally-friendly vehicles and power storage applications.
We aim to contribute to the spread of electric mobility by promoting service businesses including electric bus rentals and charging facilities targeting transportation authorities and transport operators in European cities.
|Lithium Energy Japan||Lithium-ion battery manufacturing||Production capacity: 1.5GWh|
|Energy storage demonstration project in India||Energy storage business||Storage capacity: 10MW (10MWh)|
|Battery storage project in Germany||Energy storage business||Storage capacity: 48MW (over 50MWh)|
Currently, it is said that the transportation sector accounts for approximately 20% of global CO2 emissions, and the reduction of CO2 emissions as well as of the use of fossil fuels in the automotive industry pose significant issues. As part of its involvement in the automobile sales business worldwide, MC is engaged in expanding the sales of the Outlander PHEV＊1, a plug-in hybrid electric vehicle, manufactured by Mitsubishi Motors Corporation (MMC), which has less impact on the environment while operation. Through the promotion of these electric vehicles, MC is contributing to the realization of a low-carbon and sustainable, energy-efficient society.
MC implements a variety of initiatives, including through collaboration with local affiliates, to promote and expand sales for the Outlander PHEV, developed and sold by Mitsubishi Motors Corporation(MMC). MC further promotes electric vehicles through initiatives such as hosting test-ride events, participating in events that utilize electric vehicles, collaborating in environmental initiatives with other companies including power companies, and participating in energy-saving projects that utilize electric vehicles. The Outlander PHEV, launched in Indonesia in November 2019, was the first PHEV launched in the ASEAN region. Interest in environmental measures such as reducing CO2 emissions has been increasing in Indonesia, and MC will contribute to society by expanding the sales of the Outlander PHEV. In addition, we are collaborating with other companies that are tackling environmental issues. PT Mitsubishi Motors Krama Yudha Sales Indonesia (MMKSI)＊2, our affiliated company, signed a memorandum of understanding with the state-owned power company to expand the charging environment for EVs. Through initiatives such as these, we are supporting the proliferation of EVs in Indonesia, helping them to spread even further.
Through initiatives such as the installation of solar power generation equipment for Mitsubishi Motors Corporation (MMC) ʼs factories and innovation of technology for the reuse of electric vehicle (EV) batteries, MC and Mitsubishi Corporation Power Ltd.＊3 (MC Power), are reducing the environmental impact of the manufacture and proliferation of EVs, helping them to spread even further.
MC Power has installed rooftop solar panels (approximately 3.3MW, with sequential expansion planned) at the Mitsubishi Motors Okazaki Plant (Okazaki City, Aichi Prefecture)—one of MMCʼs main EV-producing plants—,
and the power generated is supplied to the facility. This is reducing the plantʼs CO2 emissions (by roughly 1,600 tons/year) and is contributing to the creation of an environment where EVs can be produced in a low-carbon, clean manner.
In addition, together with MC Power, MC jointly plans to build a demonstration battery storage system with a maximum capacity of 1MWh utilizing reusable batteries (produced by Lithium Energy Japan ＊4) from the Outlander PHEVs manufactured at the Okazaki Plant. Through this project, we aim to establish a method to reuse the large amounts of used batteries that will result from the spread of EVs.
We will make the most of our vast connections across various industries, and starting with green logistics and green buildings, we will promote carbon reductions and decarbonization through businesses in various fields.
In May 2020, together with Asahi Tanker Co., Ltd., Idemitsu Kosan Co., Ltd (trade name: Idemitsu-Showa Shell), Exeno Yamamizu Corporation, Mitsui O.S.K. Lines, Ltd., Tokio Marine & Nichido Fire Insurance Co., Ltd. and TEPCO Energy Partner, Inc., MC established the e5 Consortium＊1 which aims to create a new shipping infrastructure service through various initiatives toward the development, realization and dissemination of a
zero-emission electric propulsion ship (hereafter “EV ship”). e5 Lab Inc.＊2 will serve as the secretariat.
Coastal shipping, a vital social infrastructure for Japan, is facing structural issues such as crew shortages, crew aging and the aging of ships. Also, reducing greenhouse gas emissions from the shipping industry is demanded as one of the climate measures to be addressed by Japan. The seven member companies of the e5 Consortium are focusing on the abundant possibilities and potential of EV ships as an effective solution to solve these pressing matters. They are also considering developing new services that utilize a communications and digital infrastructure for industry. By bringing together and combining the strengths, technical expertise and networks of each member company, we will build a platform to provide an innovative shipping infrastructure service based on EV ships.
As the e5 Consortium's first initiative, it is planning to complete the world's first zero-emission EV tanker powered by high-capacity lithium-ion batteries in March 2022.＊3
The e5 Consortium will contribute to sustainable growth in coastal shipping and Japan's society and economy by providing value to the coastal shipping industry through the development and introduction of advanced ships.
Mitsubishi Corporation (MC) and Air Water Inc. (Air Water) have jointly developed a compact LNG filling facility (Facility) ＊1 that can be used in space-limited logistics facilities. The equipment will be used to fuel heavy LNG-powered trucks.
This is the first portable filling system in Japan and the world's first off-grid power-generation system capable of fueling trucks with LNG even during power outages. Furthermore, by circulating hot water through its waste-heat recovery mechanism, the system can help to prevent freezing problems associated LNG operations in cold or highly humid regions.
MC and Air Water will begin testing the system in Hokkaido, where it will be used to fuel three heavy LNG trucks, one manufactured by Isuzu Motors Ltd. and the other two by Italian firm. With the cooperation of Hokkaido Electric Power Co., Inc., the partners plan to assess the system’s overall effectiveness and how much it can reduce CO2 emissions and fuels costs typically generated by heavy trucks. The results of the tests will help the partners to determine whether or not to make the system commercially available.
At present, heavy trucks fueled by LNG are not in commercial use in Japan. Most (approximately 500,000) of the heavy trucks on Japan’s roads are diesel fueled, and there are growing concerns about the need to reduce their CO2 emissions. Unlike trucks powered by electric batteries or fuel cells, LNG fueled trucks have ranges in excess of 1,000 kilometers, and tests have already shown them to be capable of cutting CO2 emissions by more than 10% when compared to diesel-fueled trucks.＊2 The partners are also considering ways to further reduce CO2 emissions in the future, such as by using CO2-free LNG.
To successfully commercialize this system, the partners will be relying on an effective marriage of their respective assets and expertise. MC has been developing a wide range of LNG operations since 1969 and can claim both an extensive business profile and industry-wide know-how, while, in addition to its logistics field of network,
Air Water boasts an impressive lineup of development-and manufacturing technologies in the field of LNG, including tanker trucks and satellite supply facilities. This joint project represents a meaningful step towards our transition to cleaner energies, and both partners are confident that it can help to realize low-carbon or carbon-free societies in the future. MC and Air Water are aiming to install this system in locations throughout Japan by mid 2020s,
at which point they hope to be offering a competitive supply of automobile-use LNG to customers across the country.
The e-commerce market is expanding year after year due to changes in Japan’s social environment, such as the declining birthrate, aging population, the increase in the number of double-income households and the spread of COVID-19. Amid these circumstances, with the increase in e-commerce operators providing rental and sharing services, along with optional services such as free returns, there has been a pronounced increase in the number of returned products. On the other hand, labor shortages are becoming a serious issue for logistics.
In cooperation with Lawson, Inc., in April 2019, MC began the service SMARI, which uses Lawson's existing logistics network to accept the return and sending of products. As of 2021, this has expanded to roughly 3,000 stores in the Tokyo, Kansai and Nagoya regions.
At around 14,500 Lawson stores across Japan, around seven to eight products are delivered every day from the dedicated distribution center. SMARI is an initiative where drivers who have finished their delivery pick up packages from the SMARI box and deliver them using their truck's spare space. SMARI is an eco-friendly business model that limits new CO2 emissions by using the existing logistics network's return trips. Also, as it utilizes the existing logistics network, there is no need for additional employees. As it is a system where return operations are completed with the SMARI Box alone, stores can expect a reduction in the time of cash register operations that accompany the returning of products. Users do not have to complete a courier return slip or wait at the cash register and can easily return the product in under a minute. Simultaneously, e-commerce companies can expect an increase in customer satisfaction due to diversification in the methods for returning products.
In addition, as SMARI is a non-face-to-face process, it is useful in reducing concerns surrounding face-to-face processes due to the COVID-19 pandemic.
Food waste in Japan has been calculated to be 6,120,000 tons (2017), and the scale of this food waste is equivalent to 1.5 times the amount of the WFP's＊ world food aid (2019). Also, of all the food waste in Japan, around 54% is comprised of commercial food waste that is disposed of during the distribution and production process. This is recognized as a key issue to be solved for the food distribution industry.
MC has launched a digital transformation (DX) concept for food distribution (see figure below) for such issues and is proceeding with initiatives to reduce food waste using digital technology, including AI.
Specifically, we have begun developing a solution that will predict demand and automate ordering at food wholesalers. While reducing the stock amount at food wholesalers by connecting the appropriate order quantity that will not cause shortages to actual orders calculated using AI, “purchasing the necessary amounts of necessary items” will become possible. Therefore, we can contribute to the reduction of food waste at food wholesalers. In the demonstration experiment, compared to current manual ordering processes, an approximate 30% decrease in stock amount was achieved while reducing the probability of shortages. The solution is anticipated to display sufficient efficacy.
Going forward, by popularizing the solution we are currently developing throughout the entire food wholesale industry,
we will contribute to the reduction of food loss in the food wholesale industry. We will also aim for distribution optimization and reducing food waste across the entire foodstuff distribution value chain by providing solutions for food manufacturers and food retailers.
＊ WFP: World Food Programme
Mitsubishi Corp. - UBS Realty Inc. (MCUBSR)
MC's subsidiary MCUBSR, through funds managed as listed real estate REIT management companies, is promoting responses aimed at environmental considerations and reducing environmental impacts. These include addressing environmental and energy-saving measures along with optimizing energy use for the properties it owns.
As an overall rating for investment corporations, the GRESB (Global Sustainability Benchmark for Real Estate) has established its position as the current global standard. GRESB’s Green Star—which highlights outstanding participants—has been attained by the Japan Retail Fund Investment Corporation (JRF) for six years running, the Industrial & Infrastructure Fund (IIF) for eight years running, and MCUBS MidCity Investment Corporation for five years running. In addition, IIF has been certified from the early stages, being the first J-REIT to be chosen as a “Sector Leader” in 2013. In the assessment for 2020, IIF was awarded the highest rank of “5 Star,” with JRF and MMI being awarded “4 Star.” Also, in the CDP climate change program, JRF was the first J-REIT to participate in 2016, and in 2020 it was awarded a B score.
For real estate performance ratings, JRF has attained CASBEE Real Estate Assessment Certification ＊1,
DBJ Green Building Certification ＊2, and BELS Certification ＊3. Furthermore, in December 2019, MMI was the first J-REIT to obtain a CASBEE Smart Wellness Office Certification＊4 from the Institute for Building Environment and Energy Conservation (IBEC).
At MCUBSR, we will continue to strive to improve the overall evaluation of investment corporations. We plan to raise the attainment rate for external certifications for property by setting KPIs for buildings that have environmental certification to be over 80% of buildings at JRF (total floor space) and 60% of the portfolio and 70% of logistics centers at IIF.
Diamond Realty Management Inc. (DREAM)
DREAM, an MC subsidiary that forms and manages private real estate funds for domestic and international investors, has formulated a Sustainability Vision (vision for 2030) to meet future stakeholder needs as a real estate management pioneer, and to continue to be a corporation that contributes to the conservation of the global environment and sustainable economic and social development.” DREAM is implementing sustainability management that aims to promote a real estate management business that considers people and organizations as well as the global environment and society.
DREAM Private REIT Inc. (DPR) has a top-class asset size in Japan focused mainly on logistics centers. For the 2020 GRESB real estate assessment, DPR was chosen as a “Sector Leader” in the Diversified, Asia, Non-listed sector. Also, DPR has attained a Green Star for three years running and a “4 Star” rating for two years running.
For real estate performance ratings, CASBEE Real Estate Assessment Certification＊1, DBJ Green Building Certification＊2 and BELS Certification＊3 have been attained for the 12 buildings owned by the private funds and private REITs managed by DREAM.
By managing real estate, DREAM will continue to contribute to maximizing society's well-being in the future.
Japan Retail Fund Investment Corporation
|CDP Climate Change Program||B-||2016、2017、2018、2019、2020|
|Certifications received||Property||Evaluation rank||Gross floor area（㎡）||Acquisition price
|CASBEE||AEON Itabashi Shopping Center||Rank S||33,098.88 ㎡ has been certified (Area corresponding to ownership %), out of the total rentable area of 64,096.14 ㎡ and total area of 72,737.91 ㎡.||12,411|
|AEON Naha Shopping Center||Rank S||72,997.08||10,830|
|Ito-Yokado Yotsukaido||Rank S||55,977.58||13,744|
|Ario Otori||Rank S||95,135.36||19,040|
|AEON MALL Kobe Kita||Rank S||128,031.55||10,920|
|AEON MALL Yamato||Rank S||85,226.68||16,823|
|AEON MALL Sapporo Naebo||Rank S||66,893.18||9,260|
|AEON MALL Sapporo Hassamu||Rank S||102,162.16||18,818|
|AEON MALL Musashi Murayama||Rank S||137,466.97||30,600|
|Higashi-Totsuka Aurora City||Rank S||150,684.26||50,500|
|AEON MALL Tsurumi Ryokuchi||Rank S||138,538.63||29,902|
|Abiko Shopping Plaza||Rank S||55,761.48||10,332|
|MARINE ＆ WALK YOKOHAMA||Rank S||12670.93||11,300|
|mozo wonder city||Rank S||233,606.73||55,480|
|Nara Family||Rank S||115,707.41||34,875|
|Oyama Yuen Harvest Walk||Rank S||60,788.15||10,709|
|AEON MALL Itami||Rank A||144,723.12||21,488|
|Kawaramachi Opa||Rank A||16,515.39||18,500|
|DBJ Green Building Certification||G-Bldg. Kichijoji 02||★★★||8,534.71||15,300|
|G-Bldg. Midosuji 02||★★||1,389.79||15,000|
|MARINE & WALK YOKOHAMA||★★★★||12,670.93||11,300|
Food court building：637.57
|Bic Camera Tachikawa||★★★||20,983.43||11,920|
|pivo Izumi Chuo||★||pivo bldg：7,146.70
Tecc Land bldg：10,258.96
|La Porte Aoyama||★★||6,572.29||9,400|
|G-Bldg. Jiyugaoka 01 (Bldg. A)||★★||1,367.43||3,093|
|G-Bldg. Jiyugaoka 01 (Bldg. B)||★★||895.12|
|DFS T GALLERIA OKINAWA||★★★★||42,088.14||15,600|
|Abiko Shopping Plaza||★★★★||55,761.48||10,322|
|G Building Umeda 01 (Building A)||★★★||1,730.56||9,483|
|G Building Umeda 01 (Building B)||★★★||1,169.93|
|G Building Umeda 01 (Building C)||★★★||1,225.20|
|G Building Minami Aoyama 03||★★||1423.83||12,200|
|KAWASAKI Le FRONT||★★★★||Main：88,818.38
Parking lot tower：5,705.63
|mozo wonder city||★★★★★||Main：229,976.30
|Oyama Yuen Harvest Walk||★★★★||60,788.15||10,709|
|BELS||G-Bldg. Jiyugaoka 01 (Bldg. B)||★★★★||895.12||1,266|
Industrial & Infrastructure Fund Investment Corporation
|Certifications received||Property||Evaluation rank||Gross floor area（㎡）||Acquisition price
|CASBEE||IIF Fukuoka Hakozaki Logistics Center Ⅱ(Existing)||Rank S||44,135.76||9,044|
|IIF Nishinomiya Logistics Center (Extension)||Rank S||6,075.58||859|
|IIF Misato Logistics Center||Rank S||19,019.71||3,550|
|IIF Shin-Kawasaki R&D Center||Rank S||11,894.29||6,300|
|IIF Shinagawa IT Solution Center||Rank S||10,479.42||7,200|
|IIF Hiroshima Logistics Center||Rank S||22,768.24||3,540|
|IIF Kobe Logistics Center||Rank S||39,567.74||5,193|
|IIF Noda Logistics Center||Rank S||38,828.10||6,500|
|IIF Fukuoka Hakozaki Logistics Center Ⅱ(Extension)||Rank A||9,153.68||1,135|
|IIF Kashiwa Logistics Center||Rank A||17,379.78||1,810|
|IIF Iruma Logistics Center||Rank A||17,881.65||3,184|
|IIF Higashi-Osaka Logistics Center||Rank A||20,247.86||2,280|
|IIF Kyotanabe Logistics Center||Rank A||33,243.99||5,730|
|IIF Kazo Logistics Center||Rank A||17,744.41||2,361|
|IIF Atsugi Logistics Center Ⅲ||Rank A||16,470.24||2,290|
|IIF Yokohama Tsuzuki Logistics Center||Rank A||9,562.26||2,350|
|IIF Nishinomiya Logistics Center (Existing)||Rank A||10,608.00||1,300|
|IIF Itabashi Logistics Center||Rank A||5,057.68||1,717|
|IIF Gifu-Kakamigahara Logistics Center||Rank A||16,708.51||2,343|
|IIF Koshigaya Logistics Center||Rank B||9,688.47||2,000|
|DBJ Green Building Certification||IIF Hiroshima Logistics Center||★★★★||22,768.24||3,540|
|IIF Kobe Logistics Center||★★★||39,567.74||5,193|
|IIF Tosu Logistics Center||★★★||13,836.97||1,570|
|IIF Koshigaya Logistics Center||★★★★||9,688.47||2,000|
|IIF Noda Logistics Center||★★★★||38,828.10||6,500|
|BELS||IIF Kashiwa Logistics Center||★★★★★||17,379.78||1,810|
|IIF Yokohama Tsuzuki Logistics Center||★★★★★||9,562.26||2,350|
|IIF Nishinomiya Logistics Center (Extension)||★★★★||6,075.58||859|
|IIF Hiroshima Logistics Center||★★★★||Building 1：22,539.51
|IIF Hiroshima Logistics Center||★★||4,857.73||2,168|
|IIF Haneda Airport Maintenance Center||★★||Maintenance Center 1：
Attached Bldg. Total：159.81
Maintenance Center 2：
Attached Bldg. Total：72.16
|IIF Atsugi Logistics Center Ⅲ||★★||16,470.24||2,290|
|IIF Shinagawa IT Solution Center||★★||10,479.42||7,200|
MCUBS MidCity Investment Corporation
|Certifications received||Property||Evaluation rank||Gross floor area（㎡）||Acquisition price
|CASBEE||G-Square Shibuya Dogenzaka||Rank A||6,565.87||12,220|
|TOYOTA MOBILITY SERVICE Bldg.||Rank B+||8,123.17||9,200|
|Shibuya Sakuragaoka Square||Rank B+||8,655.61||17,130|
|CASBEE Wellness Office Evaluation Authorization||G-Square Shibuya Dogenzaka||Rank B+||6,565.87||12,220|
|DBJ Green Building Certification||Twin 21||★★★★||146,034.98||68,700|
|Kitahama MID Bldg.||★★★★||14,648.13||10,800|
|Higobashi MID Bldg.||★★★★||6,519.63||3,000|
|BELS||Kitahama MID Bldg.||★★★||14,648.13||10,800|
|G-Square Shibuya Dogenzaka||★★||6,565.87||12,220|
|Higobashi MID Bldg.||★★||6,519.63||3,000|
|Shibuya Sakuragaoka Square||★★||8,655.61||17,130|
|TOYOTA MOBILITY SERVICE Bldg.||★★||8,123.17||9,200|
＊ As of March 1, 2021, merged with the below investment corporation to become Japan Metropolitan Fund Investment Corporation.
Japan Retail Fund Investment Corporation
MCUBS MidCity Investment Corporation
DREAM Private REIT Inc.
|4 Star（Comparative Assessment）||2019、2020|
|Sector Leader（Diversified, Asia, Non-Listed Sector）||2020|
|Certifications received||Property||Evaluation rank||Gross floor area（㎡）|
|CASBEE||Ichikawa Chidoricho Logics Center||Rank S||66,914.18|
|MCUD Honmoku||Rank S||66,523.47|
|Kobe Minato Warehouse||Rank S||70,109.21|
|Daikokucho Logistics Center||Rank S||89,316.19|
|Logistics Park Noda-Funakata||Rank S||111,977.23|
|AEON MALL Kobe Kita||Rank S||128,050.62|
|DBJ Green Building Certification||SG Realty Higashimatsuyama||★★★★||73,902.11|
|SG Realty Toyosu||★★★★★||95,539.04|
|Kawasaki Mizue Logistics Center||★★★★||102,014.46|
|BELS||DPR Hiratsuka Logistics Center||★★★★★||29,067.95|
|Daikokucho Logistics Center||★★★★★||89,316.19|
|Kobe Minato Warehouse||★★★★★||70,109.21|
WKC Specific Purpose Company
|Certifications received||Property||Evaluation rank||Gross floor area（㎡）|
|CASBEE||Muza Kawasaki (Office Building)||Rank S||114,322.47|
Reference:Diamond Realty Management Inc. HP https://www.mc-dream.com/