Country for PR: Japan
Contributor: Kyodo News JBN
Thursday, June 30 2022 - 18:00
Aucnet Backs and Participates in TCFD Consortium, Launching Online TCFD Report
TOKYO, June 30, 2022 /Kyodo JBN-AsiaNet/ --

Aucnet Inc. (hereinafter "Aucnet"), an information distribution support 
services firm, announced its support for the recommendations issued by the Task 
Force on Climate-related Financial Disclosures (hereinafter "TCFD" (*1)), and 
joined the TCFD Consortium (*2), which is made up of supporting companies and 
financial institutions.


Aucnet also launched on June 30, 2022 a website on the TCFD recommendations as 
well as information based on the four thematic areas of the TCFD's recommended 
framework: governance, strategy, risk management, and metrics and targets.


Under its sustainability policy, "Circulating Valuable Goods on a Global Scale 
- Circulation Engine -," Aucnet has been contributing to building a sustainable 
global environment since its establishment. With the help of partners around 
the world, Aucnet has built a circular distribution system that offers valuable 
goods to clients in various markets. By participating in the Japan TCFD 
Consortium and launching the website, Aucnet is committed to publicly 
disclosing its impact on climate change and pertinent information based on the 
TCFD's recommendations.

Aucnet's Four Thematic Areas under TCFD Recommendations
1. Governance
The Sustainability Committee, chaired by the President & COO, Shinichiro 
Fujisaki, works with the Risk Management Subcommittee, which manages risks 
related to the company, and shares responsibility for managing climate 
change-related risks and opportunities, implementing measures, setting KPIs and 
reporting on the progress. The Board of Directors, which is the managerial 
decision-making body, receives and supervises a report on climate 
change-related initiatives from the Sustainability Committee once a year.

2. Strategy
Based on the TCFD recommendations, a predictive analysis was conducted to 
understand the business impact of climate-related risks and opportunities for 
Aucnet's consolidated subsidiaries. Based on the predictive analysis, the 
extreme weather conditions brought about by climate change and the introduction 
of policy regulations by governments were examined, and the risks and 
opportunities identified were reflected and addressed in Aucnet's strategies.

3. Risk Management
To establish a sustainability management system, a cross-sectional body called 
the Sustainability Committee has been formed to address all climate 
change-related matters and promote company-wide responses to the effects of 
climate change. In particular, climate change-related risks are identified by 
the Sustainability Committee in conjunction with the Risk Management 
Subcommittee. The identified risks are assessed by the Risk Management 
Subcommittee and then discussed and approved by the Board of Directors. Climate 
change risks are thus managed within the company-wide risk management process.

4. Metrics and Targets
On June 29, 2021, Aucnet established a sustainability policy and "Gross 
Circulation Value" (hereinafter: GCV) as an indicator to be used for specific 
future actions. Originally established as an indicator of the total circulated 
value of goods traded and circulated in the markets served by Aucnet, the 
definition was newly revised as an indicator to manage climate-related risks 
and opportunities. It is currently defined as an indicator that shows the 
impact of Aucnet's business activities on the economy and the environment in 
monetary terms. While the previous approach to the economic impact remains the 
same, the environmental impact is calculated by converting the "greenhouse gas 
emission reductions from used goods distribution and online trading" and the 
"greenhouse gas emissions emitted by Aucnet" into monetary terms.

As the scale of GCV expands, Aucnet is moving towards less goods being thrown 
away and not as many new goods being created. The number in 2020 for GCV was 
428.8 billion yen. GCV is one of the key management indicators in Aucnet's 
medium-term management plan, and Aucnet aims to achieve a GCV of 1 trillion yen 
by 2025.

(*1) An international initiative established by the Financial Stability Board 
(FSB) in 2015 in response to the G20 to encourage companies to disclose 
information related to "Governance," "Strategy," "Risk Management" and "Metrics 
and Targets" and the financial implications of the losses and benefits that 
climate change presents to their businesses.
TCFD Official Website:

(*2) A forum established in 2019 to discuss initiatives to help financial 
institutions and others make appropriate investment decisions. Initiatives are 
promoted by companies, financial institutions and other entities which 
cooperate with the TCFD recommendations.
Japan TCFD Consortium Website:

Aucnet Company Profile
Company name: Aucnet Inc.
Head office: Aoyama OM Square, Kita-Aoyama 2-chome 5-8, Minato-ku, Tokyo 
Representatives: Chairman & CEO; Kiyotaka Fujisaki, President & COO; Shinichiro 
Date of establishment: June 29, 1985
Capital: 1,806 million yen (as of December 31, 2021)
Consolidated net sales: 36,710 million yen (as of December 31, 2021)
Number of employees (consolidated): 858 (as of December 31, 2021)
Business description: Information distribution support services business, 
including the organization and operation of online auctions
Listing: TSE Prime (securities code: 3964)


Source: Aucnet Inc.