TRANIT CO., LTD.

SUSTAINABILITY

Environmental Management

Environmental Management

  1. 01

    Contributing to Solving Climate Crisis Issues

    Continuously promoting activities to improve energy performance and enhance efficiency, establishing a low-energy/low-carbon management environment.

  2. 02

    Preventing Environmental Pollution and Protecting the Environment

    Minimizing environmental impact from production to transportation, delivery, and disposal of products, while reducing the emission of substances affecting the environment, taking a leading role in environmental protection.

  3. 03

    Continuous Performance Improvement

    To continuously improve environmental management performance, we set environmental management goals and establish action plans annually by hierarchy and function to reduce significant environmental impacts and risks.

Environmental Policy

TranIt establishes an eco-friendly management system through its environmental policy, minimizing negative environmental impacts.

Environmental Policy

1. Overview
1. Purpose of Establishment

TranIt establishes this environmental policy to continuously improve environmental performance through eco-friendly management, while minimizing negative environmental impacts across business activities and the value chain in collaboration with employees, partners, customers, and local communities.

TranIt Environmental Management Detailed Guidelines

  • - Recognize the environment as a key success factor for the company and create corporate value while fulfilling social responsibilities through proactive environmental management.
  • - Set actionable targets and evaluate implementation performance for environmental factors significantly impacted by business operations (e.g., climate change, pollutant emissions, waste, chemicals, water resources).
  • - Comply with domestic and international environmental laws and agreements and proactively respond to strengthened or newly introduced environmental regulations.
  • - Actively strive for the sustainable use of resources and energy and the reduction of pollutants throughout the entire lifecycle of products, from raw material supply to recycling after disposal.
  • - Actively support the environmental management activities of partners and establish and implement criteria necessary for the execution of eco-friendly supply chain policies.
  • - Protect biodiversity and establish policies for the preservation of the natural environment.
  • - Conduct environmental management education for employees and other stakeholders to promote awareness of the necessity of environmental management.
  • - Identify and mitigate risks for sustainable environmental management and climate change response, while enhancing execution capabilities through systematic training and education.
  • - Disclose environmental information transparently, actively communicate with stakeholders, and respond proactively to changing circumstances.
2. Scope of Application

This policy applies to all of TranIt’s domestic and international business sites.

Partners and contractors working with TranIt are also encouraged to comply with this policy or an equivalent level of policy.

Additionally, employees should ensure compliance with this environmental policy when dealing with partners throughout the business process, including suppliers and service providers.

TranIt prioritizes compliance with the environmental laws and regulations of each country before applying this policy and adheres to this policy for aspects not addressed or explicitly stated in local laws.

  1. 1) Environmental Management/Control System

    TranIt establishes an environmental management system based on internationally recognized standards or national guidelines.

    It manages and monitors impacts through process procedures such as target management, training, documentation, and internal audits, as well as specific standards (e.g., environmental management system manuals, air, water, waste, chemicals, soil, noise, and vibration management).

    Internal regulations for environmental impact improvement and pollution reduction are adopted to drive continuous performance enhancement activities.

  2. 2) Supply Chain

    TranIt incorporates environmental management level evaluation criteria when selecting external providers (suppliers, contractors, and service providers) to minimize environmental impact.

    It supports the establishment of environmental management systems by conducting regular sustainability evaluations for high-risk supply chains or those with significant mutual influence.

    Additionally, it expands the procurement of eco-certified products (raw materials) and services and builds a collaborative ecosystem with the supply chain for developing and producing eco-friendly products.

  3. 3) Distribution Network

    TranIt strives to reduce environmental impacts during logistics and transportation processes for raw materials, work-in-progress, and final products.

    It continuously expands logistics and transportation networks that utilize high energy efficiency or eco-friendly energy.

    Additionally, TranIt establishes internal and external cooperative activities to reduce greenhouse gas emissions, waste, wastewater, and other pollutants during logistics and transportation.

  4. 4) Products and Services

    TranIt promotes environmental impact improvement activities across the entire lifecycle of its products, from raw material input to production, distribution, end-of-life recovery, and recycling, based on Life Cycle Assessment (LCA) results.

    Furthermore, it strives to develop eco-friendly products and services to transition to a low-carbon, renewable energy society.

  5. 5) Waste Management

    TranIt establishes and manages waste management standards for the entire process from waste generation to final disposal.

    The standards cover scope of application, definitions, responsibilities and authorities, waste segregation bins, storage facilities, waste generation, collection, storage, disposal, inspections, outsourcing contracts, and monitoring.

    TranIt maximizes resource reuse and recycling rates through collaboration with similar and dissimilar industries and spreads economic value by recycling usable waste from local communities.

  6. 6) Mergers and Acquisitions

    TranIt operates an environmental due diligence process during mergers and acquisitions.

    It reviews potential negative environmental impacts and compliance risks of the target organization based on environmental data.

    Mitigation measures are developed for compliance risks, and environmental impact assessment results are incorporated into the valuation criteria of the acquisition or merger target organization.

  7. 7) Others (New Businesses and Project Investments)

    TranIt establishes procedures to identify and mitigate environmental impacts and risks for activities outside the aforementioned areas, such as entering new business fields, launching new projects, and engaging in internal and external investments.

  8. 8) Implementation Plan
    1. 1 - Compliance with environmental laws and regulations
    2. 2 - Declaration of policies for environmental management implementation
    3. 3 - Establishment of environmental management systems and introduction of management regulations
    4. 4 - Monitoring of environmental performance
    5. 5 - Identification of risks and implementation of improvement initiatives
    6. 6 - Continuous improvement of environmental performance
2. Basic Principles

TranIt prioritizes the natural environment, striving for energy paradigm shifts, the development of eco-friendly products and services, the activation of a circular economy, and the creation of eco-friendly workplaces.

To advance environmental management, TranIt defines the following basic principles for each environmental factor.

1. Raw Materials

TranIt establishes policies to minimize unnecessary wastage of natural resources by efficiently using raw materials in product and service production.

Additionally, it monitors for raw materials produced through illegal methods that damage natural capital or cause environmental pollution.

  1. 1) Optimization of Raw Material Usage

    TranIt continuously improves production processes to optimize raw material input and manages raw materials under planned production, taking into account business strategies, production schedules, and inventory management.

  2. 2) Reintroduction of Production Waste

    Waste generated after raw material input, such as scrap or by-products, is reintroduced into TranIt’s production processes or transferred and sold to other industries and external facilities for recycling.

  3. 3) Inspection of Raw Material Production Sites

    TranIt encourages the use of raw materials produced through eco-friendly methods or certified as eco-friendly.

    Additionally, it traces raw materials produced in ways that harm natural capital and works to mitigate significant risks.

2. Energy

TranIt leads energy transitions across the value chain, including the establishment of eco-friendly energy-based production systems and the expansion of eco-friendly products.

It also identifies and implements energy efficiency initiatives and promotes daily energy-saving activities such as energy reduction campaigns.

All TranIt business sites establish and implement energy management policies to reduce energy consumption and expand the use of renewable energy.

  1. 1) Promotion of Energy Reduction

    TranIt replaces outdated facilities with reduced energy efficiency, introduces high-efficiency energy equipment, develops and applies eco-friendly methods to minimize energy consumption, and implements energy-saving campaigns.

  2. 2) Operation of Energy Management System

    TranIt establishes systems to monitor energy and greenhouse gas emissions and reviews methods to enhance energy management efficiency based on data analysis from these systems.

3. Water Resources

TranIt recognizes the need to preserve sustainable water environments and explores ways to reduce and recycle water.

It also identifies and improves risks related to water depletion in areas beyond industrial water use, including public water sources, through internal and external initiatives.

  1. 1) Water Recycling

    TranIt engages in 3R (Reduce, Reuse, Recycle) activities to improve water sustainability by conserving, reusing, and recycling water.

    It also minimizes wastewater discharge through wastewater reuse and purification facilities.

  2. 2) Inspection of Public Water Areas

    TranIt regularly monitors whether its facilities are located in areas at risk of water scarcity or depletion.

    It promotes protection activities for such areas where facility operations have significant impacts.

4. Greenhouse Gases

TranIt actively addresses climate change by developing practical greenhouse gas reduction measures and transitioning to renewable energy systems in stages.

It establishes and implements greenhouse gas management and carbon neutrality policies, including carbon absorption and offset activities, to achieve Net Zero goals while considering current business conditions.

  1. 1. Reduction at Facilities

    Achieve carbon neutrality through the adoption of renewable energy, energy efficiency improvements, and clean hydrogen energy.

    Additionally, implement carbon-neutral production bases through advancements in manufacturing technology and platform innovations, such as eco-friendly smart factories.

  2. 2. Reduction in Supply Chains

    Develop carbon-neutral guidelines for supply chains, promote carbon neutrality practices, and conduct reduction activities tailored to supply chain characteristics.

    Collaborate with raw material partners to expand recycling and new material projects for supply chain reductions.

  3. 2. Reduction in Products and Services

    Develop dedicated platforms and technologies for eco-friendly products, expand infrastructure for eco-friendly products, and increase the distribution of eco-friendly products and services.

    These efforts aim to reduce emissions and greenhouse gases resulting from the use of products and services.

5. Waste

TranIt reduces waste generated during business operations and establishes and operates waste management and recycling policies for efficient waste disposal.

  1. 1. Waste Disposal Tracking Management

    Ensure that waste generated at facilities is properly treated and traceable in compliance with procedures set forth by relevant laws and regulations.

  2. 2. Waste Recycling

    Determine the optimal recycling methods within legal boundaries based on the characteristics of waste generated during production.

    Increase recycling rates, enhance value addition, and develop methods to recycle waste that would otherwise be landfilled or incinerated, thereby minimizing its ratio.

6. Environmental Pollutants

TranIt minimizes the emission of air and water pollutants to reduce negative impacts on the natural environment while striving to protect the safety and health of customers and employees.

TranIt establishes and implements standards for managing the generation and emission of environmental pollutants based on the environmental laws and regulations of each country.

  1. 1) Air Pollutants

    Monitor emissions of air pollutants, such as total suspended particles (TSP), within facilities and invest in pollution reduction equipment and new technologies to maintain emissions below legal limits.

  2. 2) Water Pollutants in Public Water Areas

    Monitor emissions of water pollutants expected from facilities and install and operate necessary equipment to keep emissions within legal limits.

  3. 3) Soil Pollutants

    Monitor soil contamination caused by pollutants and implement necessary measures such as regular inspections, equipment upgrades, and process improvements to prevent contaminated soil.

  4. 4) Noise, Vibration, and Odor

    Conduct regular monitoring of noise at site boundaries, vibration from key equipment, and odor levels using odor measurement devices at emission stacks.

    Take necessary actions to ensure compliance with legal limits.

7. Chemicals

TranIt identifies the status of (hazardous) chemicals used in operations or contained in products, provides necessary information to stakeholders, and establishes and implements hazardous substance management policies that include reducing usage, managing risks, and preventing leakage and spread.

  1. 1) Usage

    Monitor the usage of hazardous chemicals and strive to reduce their usage and develop alternative materials.

  2. 2) Management

    Manage the receipt, storage, and use of chemicals in accordance with legal procedures and establish infrastructure to prevent leaks and the spread of hazardous chemical storage tanks.

    Provide regular training to stakeholders and prepare for environmental and safety incidents.

  3. 3) Emission

    Monitor chemical emissions and invest in reduction facilities and new technologies to maintain emissions below legal limits.

8. Local Community

TranIt recognizes that the company and its employees are members of the local community and considers the environmental impact of business operations on the community, establishing and implementing reasonable management measures.

TranIt discloses environmental information to the local community and establishes procedures to incorporate community feedback and maintain ongoing communication with stakeholders.

3. Implementation System
1. Governance
  1. 1) Role of Management

    TranIt ensures that senior management or key decision-makers participate in regular management committees to oversee environmental management risks and overall performance improvement activities.

    The key roles of the management committee include reviewing the establishment or revision of environmental management policies, examining environmental management risks, assessing the progress of environmental management initiatives, discussing risk mitigation strategies, and addressing other necessary matters for promoting and disseminating environmental management.

    In cases where reporting to or approval from the board of directors or subordinate committees is required for decisions on mid- to long-term environmental management strategies or major facility investment plans, TranIt follows the necessary procedures and implements specific plans accordingly.

  2. 2) Role of Dedicated Organizations

    TranIt assigns dedicated organizations to execute environmental management-related tasks.

    The main roles of these organizations include establishing and operating environmental management systems, protecting and restoring environmental resources, developing and implementing policies for managing pollutant emissions during operations, identifying and addressing environmental risks, promoting and disseminating environmental management practices, receiving and handling environmental complaints, and engaging in external cooperation activities.

    Additionally, the dedicated organizations collaborate with design, research and development, procurement, production, and sales teams to expand eco-friendly products and services.

2. Education and Dissemination
  1. 1) Environmental Education

    TranIt provides environmental management education to employees and other stakeholders to promote awareness of the necessity of environmental management.

    Additionally, through this education, employees are encouraged to adopt eco-friendly mindsets during their work processes.

  2. 2) External Collaboration

    TranIt establishes cooperative systems with external professional organizations to enhance the efficiency of environmental management implementation and improve the effectiveness of environmental management performance.

    These collaborations leverage the expertise and experience of external organizations in building environmental management systems to strengthen TranIt’s practices.

3. Communication
  1. 1) Government Agencies

    Identify government environmental policies and their directions to respond proactively.

    Additionally, properly understand and comply with the environmental laws and regulations of each country.

  2. 2) Shareholders and Investors

    Deliver environmental management performance that meets the expectations of shareholders and investors to build lasting trust while encouraging increased investment to enhance corporate value.

  3. 3) Supply Chain

    Share knowledge and experience related to environmental management with the supply chain and operate communication channels to continuously collaborate on creating environmental value across the value chain.

  4. 4) Customers

    Provide environmental information about products and services, and incorporate feedback collected through customer touchpoints into the development of eco-friendly products and services.

  5. 5) Local Community

    Gather feedback from local governments, public-private councils, and other entities to mitigate environmental impacts of business operations.

    Additionally, work to identify and address grievances raised by the local community.

  6. 6) Employees

    Share environmental management policies and enhance employees' awareness of environmental management through education.

    Include employee feedback on improving environmental performance in the execution of environmental management initiatives.

4. Performance Management
  1. 1) Setting Performance Goals

    TranIt establishes mid- to long-term performance goals for environmental factors that significantly impact business operations.

    These goals are set based on projected emission and usage data (Business As Usual) as well as external economic conditions, government policy directions, and internal business strategies.

    TranIt aims to achieve carbon neutrality by 2050 and establish a carbon-neutral premium product production system, based on two strategies and detailed plans designed to preserve ecosystem sustainability.

    1. 1 - Process Carbon Neutrality
    2. 2 - Product Decarbonization
  2. 2) Monitoring Implementation Status

    TranIt regularly monitors the implementation status of mid- to long-term performance improvement goals.

    This includes reviewing implementation rates, the effectiveness of activities carried out to achieve the goals, and any challenges encountered during implementation.

    If necessary, goals are adjusted based on the monitoring results.

  3. 3) Performance Evaluation of Management

    TranIt incorporates mid- to long-term environmental performance improvement goals and their implementation status into management performance indicators (KPIs).

    Management performance evaluations comprehensively consider environmental performance improvements, major domestic and international ESG evaluation results, and the progress of internal ESG improvement initiatives.

4. Supplementary Provisions

1. This Environmental Management Policy is established and implemented as of December 2023.