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OMRON Declares Its Commitment to Doubling Energy Productivity by 2040 to Achieve Carbon Neutrality, Becoming Japan’s First Manufacturing Company to Join EP100

KYOTO, Japan

OMRON Corporation headquartered in Shimogyo-ku, Kyoto, became a member of The Climate Group’s “EP100” (*1) initiatives. OMRON is the first Japanese company in the manufacturing industry and the fourth Japanese company in general to join the EP100 initiative, which brings together over 120 energy smart businesses committed to measuring and reporting on energy efficiency improvements.

OMRON’s logo:

EP100’s logo:

With its Industrial Automation and Healthcare businesses joining the Initiative, OMRON commits to doubling its energy productivity. The goal is to double the amount of sales per gigawatt hour (Gwh) compared to 2016 levels by 2040. “Energy productivity” (*2) refers to the absolute amount of energy consumption in the denominator and the amount of sales and value added in the numerator for Scope 1 and Scope 2. It is an indicator that aims to achieve reduction in energy consumption and simultaneously boost economic growth.

Improvement of energy productivity:

Carbon Zero in 2050
In its long-term vision “Shaping the Future 2030,” launched in April 2022, OMRON expressed its commitment to solving social issues through its business. By transforming its organization in the years to come, the company aims to contribute to social needs such as achieving carbon neutrality. It is committed to reducing greenhouse gas emissions, and bringing about a decarbonized society through energy conservation and cleaner power consumption.

To achieve “Carbon Zero in 2050,” as committed to in 2018, OMRON set a target of reducing greenhouse gas emissions (Scope 1 and 2) from its own operations by 53% in fiscal year 2024 and 65% in fiscal year 2030, compared to fiscal year 2016. To achieve these targets, OMRON is expanding its energy conservation and creation efforts while working to achieve zero carbon emissions at 76 sites in Japan by fiscal year 2024, as outlined by its mid-term management plan “Shaping the Future Phase 1.”

Unique energy productivity initiatives
To achieve both zero carbon and business growth, OMRON is developing unique initiatives to reduce absolute energy consumption and improve productivity — with the end goal of realizing double energy productivity. For more than a decade, its Industrial Automation Business has been working to balance quality and productivity improvements with global environmental conservation at its Ayabe Plant (Ayabe City, Kyoto Prefecture) and other in-house factories. Providing the technologies and know-how cultivated through these efforts allows the company to lead the manufacturing industry in energy productivity improvement. These products and services are not only used at its own production sites but also the manufacturing sites of its customers.

Starting now, the Industrial Automation Business will visualize production volume, quality, and energy consumption as well as evaluating the potential for energy reduction at the respective production bases of its Healthcare Business. Through the Industrial Automation Business’ energy control technology, OMRON will build a system in which improving productivity will directly lead to energy reduction. In addition, the Industrial Automation Business will proactively deploy the technologies and know-how acquired through these initiatives to its customers and partners to help manufacturers around the world not only reduce greenhouse gas emissions but also realize resilient manufacturing.

Mr. Toby Morgan, Senior Manager of Built Environment at Climate Group, gave this welcome to the affiliation.
“We are delighted that OMRON has signed up to EP100, joining over 120 other members who are committed to doing more with less. By committing to improving their energy efficiency, OMRON is showing ambition and leadership in Japan, demonstrating how other corporates in this region can lower emissions, reduce costs and accelerate the transition to a climate-resilient economy.”

Yoshihito Yamada, President and CEO, OMRON Corporation, also commented on joining the EP100.
“In OMRON’s long-term vision for the next 10 years, ‘Shaping the Future 2030,’ we identified ‘Contributing to Achievement of Carbon Neutrality’ as one of the social issues to be addressed through our business activities. OMRON is serious about its commitment to the social issue of climate change, and joining the EP100 is another important step to realize our ambition of carbon neutrality. We want to promote carbon neutrality throughout our entire value chain by empowering our customers to curb their emissions using our initiatives and solutions. Climate consciousness is not only a part of our responsibility to our planet, but also a key differentiator to ensure we run a future proof business. OMRON is committed to fulfill its corporate social responsibility to the earth and society, while transforming carbon neutrality into a competitive advantage for the company and further increasing the added value of its value chain to enhance its corporate value.”

Innovation for a sustainable future
In light of the urgency for agreement at the United Nations Framework Convention on Climate Change Conference of the Parties (COP27), OMRON is determined to provide the industry leadership needed to accelerate climate action and work to create more resilient and sustainable automation together with its customers and partners across the value chain.

(*1) An international corporate initiative in which companies participate with the goal of doubling the energy productivity of their operations (e.g., improving energy efficiency by 50%). Abbreviation of “100% Energy Productivity,” meaning doubling the energy efficiency (Energy Productivity) of a business.

(*2) Ratio of economic productivity to energy consumption. It is an indicator for Scope 1 and 2 of the company’s business locations, with absolute energy consumption in the denominator and sales and value-added in the numerator, aiming to achieve both energy consumption reduction and economic growth.

About Omron Corporation:

– Long-term vision “Shaping the Future 2030”

– Sustainability Initiatives

About EP100:

About Climate Group:

Source: OMRON Corporation

Source: OMRON Corporation