Basic Commitment

Nidec has set new medium-term strategic goals for the group, called “Vision 2025”, and incorporated achieving “carbon neutrality in operations by 2040" as one of the main targets. This reinforces the group's commitment to contribute to a decarbonized society and the plan to reduce net CO2 emissions to zero by FY2040 (Scope 1 and 2), even though energy consumption is expected to increase in proportion to sales growth.

Main Measures Planned to Achieve the Target

The company is focusing on both the improvement of energy efficiency and the increase of renewable energy consumption in its operations. The first action is to improve the energy efficiency of facilities and equipment at each site by sharing energy-saving tools and best practices. Second, the focus is to increase renewable energy consumption by combining self-generation at the site with comprehensive implementation at the regional level. The plan is to expand the rate of renewable energy to 40% in FY2025 and to 80% in FY2030.

Achievements in FY2022 and Future Initiatives

In FY2022, we expanded CO2 emissions calculations globally and calculated them for all business areas. As a result, the total CO2 emissions for the group were 1,051,000 t-CO2. Also, the energy consumption in FY2022 was 1,834 GWh, and the renewable energy implementation ratio was 7.8%.

In March 2024, we set new mid- to long-term targets for reducing CO2 emissions. The mid-term target is to apply for SBT certification by the SBTi (Science Based Targets initiative), an international climate change initiative. We also underwent third-party verification regarding CO2 emissions.

Press release regarding new reduction target setting is here

Third party verification report is  here

Improvement of Energy Efficiency in Nidec’s Business Activity

There are several ways to boost energy efficiency at the factories, starting with energy-saving diagnosis and training employees to identify opportunities for savings, such as improving the efficiency of air-conditioning systems. At the pressing factory of Nidec Motor (Dalian), for example, it was installed a large fan by using the height of the ceiling to reduce power consumption during summer. Additionally, Nidec Components reduced electric energy consumption significantly by switching air conditioning equipment for high-efficiency ones.

Large fan

Electricity reduction effect at Nidec Motor (Dalian)

Newly replaced air conditioner

Implementation of Renewable Electricity

A very important action is to stimulate the implementation of renewable electricity for the power consumption of Nidec’s business activities. At Nidec Precision Components unit (THAILAND), a 2,000 kW solar power generation system was implemented by on-site PPA.

Nidec Precision Components (THAILAND)

Additionally, the following 5 factories consume 100% renewable electricity:

Nidec Shin-Kawasaki Technology Center

Nidec Philippines

Nidec Precision Philippines

Nidec Mobility Brazil

Nidec Global Appliance Slovakia