Respect for the Environment
Response to Climate Change
Action Policy for Climate Change
In order to mitigate the impact of climate change on the natural environment and human society, the Ryohin Keikaku Group recognizes the challenges related to climate change as a key issue and supports the Paris Agreement and its goal of limiting the average temperature increase to 1.5°C. To realize a society with virtually zero greenhouse gas emissions by 2050, the Group will set reduction targets and promote activities to achieve these targets through engagement with its supply chain and participating in international initiatives.
The Group has set a target of reducing its total greenhouse gas emissions (Scope 1 and 2) by 50% by FY2030 compared to FY2021. The Group will also aim to achieve 100% renewable energy for the electricity consumed by its business activities, with a goal of 100% renewable energy adoption in its stores and 100% installation of solar panels on store facilities by FY2030. Furthermore, the Group is committed to not funding climate change denial activities or lobbying against climate regulations, and will not invest in fossil-fuel expansion.
The Ryohin Keikaku Group also collaborates with its business partners to promote energy conservation, reduce greenhouse gas emissions, and improve energy efficiency throughout the entire life cycle of its stores, supply chains, products, services, and activities. In addition, the Group recognizes the importance of disclosing climate-related financial information and is committed to understanding the impact of climate-related risks and opportunities on its business, developing and implementing strategies accordingly, and expanding its information disclosure in line with the TCFD framework.
Information Disclosure Based on TCFD Recommendations[PDF:473KB]
Efforts to Address Climate Change
The Ryohin Keikaku Group is working to reduce greenhouse gas emissions not only on its own, but also in cooperation with its supply chain and production partners to promote energy conservation and to utilize renewable energy sources.
Ryohin Keikaku Initiatives
Head Office
In February 2024, the head office was relocated to a building that received Four stars in DBJ Green Building certification (as of December 2023).
Stores
In our stores, except for a few, we encourage store members to leave within 30 minutes after closing time to save energy. Additionally, we promote the use of LED lighting and make efforts to conserve energy by limiting the use of indirect lighting that does not have a direct impact on store operations. In addition, we have been installing solar power generation systems in some of our stores since FY2023.
Distribution Center
The Hatoyama Distribution Center has 1,400 kW solar panels on the roof. These solar panels can generate electricity equivalent to the annual power consumption of around 228 general households. We expect to reduce annual carbon dioxide emissions by around 494 tons, an effect equivalent to creating around 72 ha of a broadleaf forest.
Campsites
At Ryohin Keikaku's three campgrounds in Tsunan-cho, Niigata, Takayama-shi, Gifu, and Tsumagoi-mura, Gunma, we manage and conserve approximately 231.4 ha (700,000 tsubo) of forest around the campgrounds in a way that is close to natural, contributing to the absorption of CO2 through the carbon fixation of trees. We also organize outdoor classes for residents and summer camps for kids to deepen their understanding of nature.
Formulation of Adaptation Measures for the Risk of Natural Disasters
Our measures to ensure the safety of our employees in the event of natural disasters includes the introduction of a system (smartphone application) that enables employees to quickly report their safety conditions, and in order to improve effectiveness, we are regularly conducting safety confirmation drills and lectures on initial responses to disasters.
The headquarters office stockpiles of food on a rolling stock basis, and stores are equipped with flashlights and other emergency supplies.
In addition, based on the concept of "incorporating preparedness into everyday life" not only for employees but also for the community as a whole, we are working to raise awareness of disaster prevention together with local residents by developing products and holding events under the theme of "always ready for emergency."
Supply Chain Initiatives
Logistics
To reduce GHG emissions and environmental impact, Ryohin Keikaku is actively pursues initiatives such as reuse of logistics equipment and improved transportation efficiency.
1. Delivery and shipment from the warehouse without using slips
We carry out the delivery of almost all products and the shipment of products to directly managed stores from the warehouse without using slips.
2. Delivery by returnable containers
Returnable containers have been introduced for delivery to stores and are reused between stores and distribution centers.
3. Use of ships
We are working on reducing CO2 emissions by delivering products to stores in Hokkaido and Okinawa using ships.
4. Improvement of the loading rate for deliveries to stores and optimization of the number of deliveries
In addition to increasing the loading rate, we are working on optimizing the number of product supplies to all stores by establishing a standard for the quantity of products to be delivered and by reducing the number of delivery days for stores with a small amount of the total supply of products.
5. Shortening of travel distance by sending products directly from the manufacturing factories to customers
Polypropylene storage products and Beads Sofa, which are products that represent MUJI, can be delivered directly from manufacturing factories to customers, allowing shortening of the travel distance. This also reduces product damage during delivery.
6. Reuse of corrugated cardboard boxes used for supply to stores
We have introduced a system to collect some of the cardboard and used paper generated by our distribution centers and recycle it into cardboard for use in supplying our stores.
7. Reduction of transport distance by trucks from domestic distribution centers to stores
We have transferred our inventory base for clothing and miscellaneous goods from Niigata to Saitama in 2014 with the establishment of the Hatoyama Center, moving its logistics center closer to consumption areas and shortening the truck transport distance within the Kanto region, where the stores are concentrated.
8. Operation of global distribution/transit centers
In 2013, we set up a global distribution center in China, one of our production bases, and transferred our product inventory base from Niigata Prefecture to China. In 2014, we opened a global transit center in the ASEAN region, along with the transfer of the production bases to ASEAN. We are working on streamlining marine transport and domestic transport by consolidating products produced at multiple factories into the global distribution/transit centers to increase the loading rate of containers.
Production Partners
Ryohin Keikaku has been a member of CDP Supply Chain Program since FY2023 in order to reduce GHG emissions in our supply chain. We request information on climate change from our major production partners, provide feedback based on our own assessment of the survey results. We will continue to engage with our production partners to monitor and reduce GHG emissions throughout our supply chain.
GHG Emissions
Targets：Reduce absolute global Scope 1&2 GHG emissions 50% by FY2030 from FY2021 baseline.
| Scope | Item | FY 2021 | FY 2022 | FY 2023 | ||
|---|---|---|---|---|---|---|
| Scope 1 | Scope 1 emissions | 1,082 | 1,278 | 1,355 | ||
| HFCs emissions | 15 | 64 | 63 | |||
| Scope 2 | Market-based | 59,096 | 64,557 | 75,658 | ||
| Location-based | 62,344 | 66,250 | 78,025 | |||
| Scope1+Scope2（Market-based） | 60,177 | 65,835 | 77,013 | |||
| % change from base year | Base year | 109.4% | 128.0% | |||
| Carbon intensity: t-CO2e / Operating revenue (millions of yen) | 0.133 | 0.133 | 0.132 | |||
※FY2021, FY2022 and FY2023 values were revised in August 2024 due to a review of activity data and emission factors in some countries and regions including Japan.
※Scope 1 and 2 coverage：Ryohin Keikaku Group directly managed stores (MUJI, Café&Meal MUJI, Café MUJI, IDÉE), offices, logistics centers, MUJI campsites and other facilities.
※Energy consumption：In case data is not provided from the property management company, etc., estimates are made based on energy consumption per unit area.
※Scope 1 emission factors：The calculation methods and emission factors under the Ministry of the Environment, Government of Japan's accounting and reporting system is used for both Japan and other countries.
※Scope 2 market-based：In case the information of the power supplier is not provided from the property management company, etc., location-based emission factors are used.
※Scope 2 location-based：Adjusted emission factors under the GHG emissions reporting system are used for Japan, and the latest annual version of the IEA Emission Factors are used for other countries.
| Scope | Category | FY2021 | FY2022 | FY2023 | ||
|---|---|---|---|---|---|---|
| Scope 3 | 1. Purchased goods and services | 897,685 | 998,450 | 1,244,281 | ||
| 2. Capital goods | 52,127 | 78,125 | 77,451 | |||
| 3. Fuel- and energy-related activities not included in Scope 1 or 2 | 10,670 | 12,305 | 14,173 | |||
| 4. Upstream transportation and distribution | 77,680 | 80,063 | 78,697 | |||
| 5. Waste generated in operations | 2,458 | 2,486 | 2,821 | |||
| 6. Business travel | 3,106 | 4,964 | 7,230 | |||
| 7. Employee commuting | 6,557 | 6,138 | 6,783 | |||
| 8. Upstream leased assets (included in Scope 1 and 2) | - | - | - | |||
| 9. Downstream transportation and distribution (included in Category 4) | - | - | - | |||
| 10. Processing of sold products (Not relevant) | - | - | - | |||
| 11. Use of sold products | 127,041 | 98,215 | 119,001 | |||
| 12. End-of-life treatment of sold products | 93,237 | 111,430 | 112,686 | |||
| 13. Downstream leased assets (Not relevant) | - | - | - | |||
| 14. Franchises | 4,890 | 5,855 | 6,311 | |||
| 15. Investments (Not relevant) | - | - | - | |||
| Scope 3 Total | 1,275,453 | 1,398,031 | 1,669,433 | |||
For more information on GHG emissions by segment and details on calculations, please refer to the ESG databook.
Third-Party Verification
Ryohin Keikaku undergoes third-party verification by the Japan Management Association GHG Certification Center for the appropriateness of its greenhouse gas calculation method and scope of calculation to ensure the reliability of disclosed data.
FY2023: We have received third-party verification for Scope 1, 2 and Scope 3 Category 1.
Verification Report FY2023 (Scope1, 2 & Scope3 Category1)[PDF:1.71MB]
FY2021: We have received third-party verification for Scope 1, 2 and Scope 3 Category 1.
Verification Report FY2021 (Scope1, 2 & Scope3 Category1)[PDF:1.79MB]
Energy Usage
*horizontal scroll to view full table| Boundary | Energy usage | FY 2021 | FY 2022 | FY 2023 | ||
|---|---|---|---|---|---|---|
| Ryohin Keikaku Group | Natural Gas | 5,892 | 5,939 | 6,244 | ||
| LP Gas | 296 | 213 | 333 | |||
| Kerosene | 253 | 331 | 332 | |||
| Diesel Oil | 21 | 18 | 17 | |||
| Gasoline | 53 | 52 | 36 | |||
| Heat/Steam/Cooling | 16,092 | 25,656 | 23,064 | |||
| Electricity | 118,885 | 132,474 | 155,453 | |||
| Electricity generated from renewable energy | 2,099 | 3,054 | 3,636 | |||
| Percentage of electricity generated from renewable energy | 1.8％ | 2.3％ | 2.3％ | |||
| Total | 141,491 | 164,683 | 185,479 | |||