Honda Greenhouse Gases GHG Calculation Common · PDF fileCalculation Common Standards (Product...

Honda Greenhouse Gases （GHG）

Calculation Common Standards

(Product Lifecycle Viewpoint Version)

Dec 27, 2013

Share： Asian Honda Motor Co., Ltd. Purchasing Division

Reference： Honda Motor Co., Ltd. Purchasing Division

1

Pur Global Operations Planning Office

Changes (old version vs new version)

Old version New version Changes

Contents P. Contents P. Y/N Points

Cover 1 Cover 1 Yes Issuing date to be changed

About this standard 2 About this standard 3 No

Viewpoints for Obtaining GHG Emissions Data 3 Viewpoints for Obtaining GHG Emissions Data 4 No

The definition of “Honda” and “For Honda” 4 The definition of “Honda” and “For Honda” 5 -

Note added

(Depending on region)

JP: Deleted Honda Soltec Co., Ltd.

Identifying and Calculating GHG Emissions 5 Procedures of GHG emission calculation 6 Yes Data allocation process clarified

Establishing the Scope of Data Acquisition (1/2) 6 - Yes Deleted (Unified to page 7)

Establishing the Scope of Data Acquisition (2/2) 7 Establishing the Scope of Data Acquisition 7 Yes Expression change of company’s own area

definition (Scope 1, 2, 3 added)

Identifying and Selecting the Data Acquisition Categories 8 - Yes Deleted (Unified to page 8, 9 and 10)

Acquisition of Activity Data 9 Acquisition of Activity Data 11 No

Activity Data （example） 10 Activity Data （example） <Scope 1,2> 13 Yes By scope (s)

Activity Data （example） <Scope 3> 14 Yes By scope (s)

Estimation 11 Estimation 15 Yes Scope added

Selection of Emissions Coefficients 12 Selection of Emissions Coefficients 17 Yes Latest emissions coefficient applied

GHG Calculation 13 GHG Calculation 18 No

GHG Equivalent Data : Logistics area 14 - Yes Deleted 1 method / 1 company requirement

Data Checking 15 Data Checking 19 Yes Plan/actual checking method added

Data Submission 16 Data Submission 20 - (Depending on regions)

Annex (cover) 17 - Yes Deleted ( Annex unified to main contents)

Targets for Data Acquisition: Company’s Own Area (Ex.) 18 Targets for Data Acquisition: Company’s Own Area (Ex.)

<Scope1, 2> 8 Yes

Scope added, Data allocation explanation

deleted

Targets for Data Acquisition: Supply Chain Area (Ex.) 19 Targets for Data Acquisition: Supply Chain Area (Ex.)

<Scope 3 Cat.1> 9 Yes

Scope added, Data allocation explanation

deleted, Scope of data for Honda identified

Targets for Data Acquisition: Logistics Area (Ex.) 20 Targets for Data Acquisition: Logistics Area (Ex.)

<Scope 3 Cat.9> 10 Yes Scope added

Activities Possibly Related to GHG Emissions (Ex.) 21 Activities Possibly Related to GHG Emissions (Ex.) 12 No

Emissions Coefficient (Supplementary Information) 22 - Yes Deleted (Unified to page 17)

Emissions Coefficient of JP (Supplementary Information) 23 - Yes Deleted (to be confirmed by suppliers)

Emissions Coefficient (Supplementary Information) GWP 24 - Yes Deleted (to be confirmed by suppliers)

- Changing points 2 Yes Added

- Data allocation for Honda 16 Yes Added

- Revision History 21 Yes Added

2


About this Standard

Honda corporate activities

Supplier corporate activities

Overall product life cycle Customer product use

Transportatio

n

Development

Sales

Recycling

Produc-

tion Adminisｔ-

ration

Purchas-

ing

Products

Products (parts and

materials)

Transportation

Development

Sales

Recycling

Production Administra-

tion

Purchasing

Customer’s joy

(Driving)

Greenhouse Gases Emission

Energy purchased,

Fuel consumed

Energy purchased,

Fuel consumed

Electricity, Gasoline

consumed

<Purpose of preparing and sharing this document> Goal is to share GHG emissions data in a transparent manner between suppliers and Honda, utilizing optimum man-hours to obtain the data. <Reference documents> WRI: GHG Product Life Cycle Accounting and Reporting Standard <Note> Use the contents of the Standard to convey and disclose information to Honda only.

Honda suppliers will use this calculation standard to gather their greenhouse gas (GHG) emissions for their corporate activities and report to Honda Purchasing.

3


Viewpoints for Obtaining GHG Emissions Data

Customer product use

Customer

product use

Customer

product use

Customer

product use

Customer

product use

Customer

product use

Europe Asia &

Oceania China Japan North America South America

Honda corporate

activities

Honda corporate

activities

Honda corporate

activities

Honda corporate

activities

Honda corporate

activities

Honda corporate

activities

• Greenhouse gases (GHG) covered by this standard are the following 6 gases subject to the Kyoto Protocol. • For each regional market, the emissions data should be obtained (calculated) from the “product lifecycle viewpoint”.

For Honda* For Honda* For Honda* For Honda* For Honda*

CO2 (Carbon dioxide), CH4 (Methane), N2O (Nitrous oxide), HFC (Hydrofluorocarbon),

PFC (Perfluorocarbon), and SF6 (Sulfur hexafluoride)

Obtain data from the product life cycle viewpoint

(for each region)

For Honda* For other com-pa-nies

For other com-pa-nies




For other com-pa-nies Supplier

corporate activities






Global supply chain

* Refer to the next page for the definition of “Honda” and “For Honda.”

4


Honda Automobile Thailand Co., Ltd

Thai Honda Manufacturing Co., Ltd.

Honda Taiwan Motor Co., Ltd.

Honda Car Philippines Inc.

Honda Parts Manufacturing Corp.

Honda Philippines Inc.

Honda Vietnam Company .,Ltd

Honda Precision Parts Manufacturing Co., Ltd.

Honda Prospect Motor Co., id.

Astra Honda Motor Ltd.

Honda Malaysia Sdn. Bhd.

Boon Siew Honda Sdn. Bhd.

Honda Siel Power Products Ltd.

Honda Motorcycle & Scooter India Pvt. Ltd.

Honda Siel Cars India Ltd.

The definition of “Honda” and “For Honda”

In Asia & Oceania

- This standard applies to all suppliers that send product/ parts to the following

Honda facilities in Asia & Oceania

5

Automobile Manufacturing 9 bases, Motorcycle/Power Product 8 bases

Automobile Manufacturing in Asia & Oceania Organization Honda Manufacturing Base in Asia/Oceania

Honda Prospect Motor (HPM)

Thai Honda Manufacturing (TH)

Honda Taiwan (HTW)

Honda Cars Philippines (HCPI)

Honda Parts Manufacturing (HPMC)

Honda Philippines (HPI)

Honda Vietnam (HVN)

Honda Precision Parts Manufacturing (HPPM)

Boon Siew Honda (BSH)

Honda Malaysia (HMSB)

Honda Automobile Thailand (HATC)

Honda Motorcycle & Scooter India (HMSI)

Honda Siel Cars India (HSCI)

Honda Siel Power Products (HSPP)

Honda Atlas Cars Pakistan (HACPL)

Atlas Honda (AHL)

ASH PUR

Astra Honda Motor (AHM)


Su

mm

ary

P

ortio

n fo

r Ho

nd

a

Identifying and Selecting the Data Acquisition Categories

Establishing the Scope of Data Acquisition

※Refer to page16 : as necessary(depended on estimation method）

Procedures of GHG emission calculation

Acquisition of Activity Data in sources

Estimation

of

Unobtainable

Area

GHG Calculation

（Activity DataＸCoefficient＝GHG）

Summary of GHG Emission for Honda

Honda Portion of Each Energy Sources

Selection of Emissions Coefficients

Divided for Honda business

Gra

sp

Ho

nd

a F

orm

at

Su

pp

lier’s

Inte

rna

l Ma

na

ge

me

nt

Acquisition of Activity Data in sources

Estimation

of

Unobtainable

Area

GHG Calculation

（Activity DataＸCoefficient＝GHG）

Summary of GHG Emission for Honda

Selection of Emissions Coefficients

Honda Portion of GHG Emission Divided for

Honda business

Pattern 1 Pattern 2

6

※ ※

Identify and calculate GHG emissions referring to the following procedures

in coordination with related departments and suppliers.

※ ※

※

※


Scope 1 Scope 2 Scope 3 Reference：Relevance with WRI GHG protocol (Honda 1st tier supplier viewpoint)

Honda Supplier corporate activities

Overall product life cycle

Customer

Data

Submission

Data

Checking

GHG

Calculation

Selection of Emission

Coefficients Estimation Acquisition of

Activity Data

Identify the Data Acquisition category

Establishing The Scope

Establishing the Scope of Data Acquisition

Pro

du

ct life

cycle

vie

wp

oin

t

Energy

purchased

(Electricity etc.)

Outsourced parts,

components

Scrapping and recycling

Transportation

(Logistics for

Deliveries)

Raw materials

Equipment etc.

Transportation (Logistics for procurement)

Production

Purchasing Administration

Development Sales

Company cars

Business trips Commuting

Company’s own area (each company set target entities incl. group companies globally)

Supply chain area

Logistics area

Scope 3 Scope 2 Scope1 Scope 3

Honda Customer

Targeted Suppliers

<a part of cat.1>

<a part of cat. 9>

7

(It is for reference only, and does not guarantee the identity of the definition of the GHG Protocol)


Items covered Items not covered

•Regardless of ownership or lease (rental) contract, any company, operation base or facility, etc., managed by your company implies possible involvement by your company in increasing or decreasing their GHG emissions.

• Any facility owned by your company but not directly related to business activities (facility leased to another company, residential facility such as a dormitory for employees, temporary facility such as construction work office, etc.)

• Any operation base, R&D facility, sales office or office building, etc. owned, but not managed, by your company (leased to another party)

• Another company’s facility existing within your company’s plant

• Any gas byproduct due to a chemical reaction in manufacturing processes, etc.

• Energy purchased and fuel consumed for commuting

Targets for Data Acquisition: Company’s Own Area (Ex.) <Scope1, 2>

Data

Submission

Data

Checking

GHG

Calculation



Activity Data



Identify and select corporations, places of business, and an facilities from the data acquisition categories

Pro

du

ct life

cycle

vie

wp

oin

t

Energy

purchased

(Electricity etc.)

Outsourced parts,

components


Transportation

(Logistics for

Deliveries)

Raw materials

Equipment etc.


Production


Development Sales

Company cars

Business trips Commuting Supply chain area

Logistics area

Scope 3 Scope 2 Scope 1 Scope 3

Honda Customer


8


Targets for Data Acquisition: Supply Chain Area (Ex.) <Scope 3 Cat.1>


• Energy purchased and fuel consumed by any supplier of components for your company’s products for Honda, any supplier to which your company outsources manufacturing processes, or any supplier of each second-tier supplier

* The operation bases, facilities, activities and sources of emissions covered should be similar to those in your company’s own area. At each level of the supply chain, the purchasing or commissioning side should be responsible for requesting and collecting data.

• Any supplier of raw materials, indirect materials, equipment, dies or buildings, etc.

• Procurement and logistics operations of your company and of each second-tier supplier and beyond

Data

Submission

Data

Checking

GHG

Calculation



Activity Data




Pro

du

ct life

cycle

vie

wp

oin

t

Energy

purchased

(Electricity etc.)

Outsourced parts,

components


Transportation

(Logistics for

Deliveries)

Raw materials

Equipment etc.


Production


Development Sales

Company cars


Logistics area


Honda Customer


<a part of cat.1>

9



Energy purchased and fuel consumed in logistics processes starting

from the point of quality guarantee to Honda and extending to the

point of delivery specified by Honda

Logistics processes before the point of quality guarantee to Honda

The activities at and emissions from intermediate warehouses

Overseas plant of complete products

Overseas plant of complete products

Domestic plant

Domestic plant Intermediate warehouse

Point of quality guarantee

Domestic plant

Intermediate warehouse




Covered

Covered

Covered

Covered Covered

Not covered

Not covered

<Examples>

Targets for Data Acquisition: Logistics Area (Ex.) <Scope 3 Cat.9>

Pla

ce

of d

elive

ry s

pe

cifie

d

by H

on

da


Data

Submission

Data

Checking

GHG

Calculation



Activity Data



Pro

du

ct life

cycle

vie

wp

oin

t

Energy purchased

(Electricity etc.)

Outsourced parts,

components


Transportation

(Logistics for

Deliveries)

Raw materials

Equipment etc.


Production


Development Sales

Company cars


Logistics area


Honda Customer


<a part of cat. 9>

10


GHG emissions ＝Ｘ Activity data

Scale of emitting activity

related to GHG emissions (Amount of purchased energy

used, etc.)

Emissions coefficient

<What is actual data?>

• Data that can be confirmed by measurements, billing records, etc. (electricity consumption, gas usage, etc.)

• Logistics operations:

Records of actual results such as data for the fuel efficiency method (transport distance ÷ fuel efficiency per truck type)

and ton-km (cargo weight × transport distance)

Supplementary notes:

• For fuel efficiency, use the standard values supplied by the respective country, industry body, or company.

• Regarding Japan, prioritize the application of the fuel efficiency rules stated in the “Calculation Method for CO2

Emissions in the Logistics Area” issued by the Ministry of Economy, Trade and Industry.

<What does the inability to acquire actual data for an item or area mean?>

• Actual data is not available for an item or area

Acquisition of Activity Data

Data

Submission

Data

Checking

GHG

Calculation


Coefficients Estimation

Acquisition of

Activity Data


Establishing

The Scope

<Principles>

• Actual data needs to be acquired in order to accurately calculate Greenhouse Gas emissions.

• For any item or area for which actual data cannot be acquired, estimates should be made.

Acquire activity data for the item or target area, according to the following definition and approach.

11


Activities Possibly Related to GHG Emissions (Examples)

CO2

CH4 N2O HFC PFC SF6 Area Type of activity

Energy source

Not an energy source

Energy use

Fuel combustion ● ● ●

Use of electricity purchased from power company, etc.

●

Use of heat purchased from energy provider (steam, cold water, etc.)

●

Industrial process

Use of dry ice ●

Three gasses including HFC

Casting of magnesium alloys ●

HFC charging and leakage upon recovery of refrigeration and air conditioning equipment

●

Use of HFC as foaming agent in plastics manufacturing

●

SF6 charging and leakage after recovery of transformer, etc.

●

Use for dry etching, etc. in the processing of semiconductor devices, etc.

● ● ●

Use for such applications as cleaning (solvent) ● ●

Data

Submission Data

Checking GHG

Calculation



Activity Data



12


Scopes Sources Units

Scope

1

City Gas （13A）

City Gas （12A）

City Gas （6C・6B・7C）

Natural Gas （except LNG）

LNG

Propane Gas (LPG)

Gasoline

Light Oil

Heating Oil

A Heavy Oil

B&C Heavy Oil

Jet Fuel

Coke

Solar Photovoltaics

Wind Electricity

Other Renewable Energy

CH4

N2O

HFC (grasp by each type)

PFC (grasp by each type)

SF6

1000m3/Year

1000m3/Year

1000m3/Year

1000m3/Year

KG/Year

KG/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KG/Year

MWH/Year

MWH/Year

GJ/Year

Ton/Year

Ton/Year

Ton/Year

Ton/Year

Ton/Year


Scope

2

Electricity （differ from one company/country to another）

Steam for Industry（from others）

Steam not for Industry（from others）

Heated Water （from others）

Cold Water （from others）

MWH/Year

GJ/Year

GJ/Year

GJ/Year

GJ/Year

Activity Data （example） <Scope1, 2>

Data

Submission

Data

Checking

GHG

Calculation



Acquisition of

Activity Data


Establishing

The Scope

<Scope 1> It is the direct GHG emission from using energy resources in your company to make energy.

<Scope 2> It is the indirect GHG emission by purchasing energy.

13



Sco

pe

3, Ca

teg

ory

1

Electricity （differ from one company/country to another）

City Gas （13A）

City Gas （12A）

City Gas （6C・6B・7C）

Natural Gas （except LNG）

LNG

Propane Gas (LPG)

Gasoline

Light Oil

Heating Oil

A Heavy Oil

B&C Heavy Oil

Jet Fuel

Coke

Solar Photovoltaics

Wind Electricity

Other Renewable Energy

Steam for Industry（from others）

Steam not for Industry（from others）

Heated Water （from others）

Cold Water （from others）

CH4

N2O

HFC (grasp by each type)

PFC (grasp by each type)

SF6

MWH/Year

1000m3/Year

1000m3/Year

1000m3/Year

1000m3/Year

KG/Year

KG/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KG/Year

MWH/Year

MWH/Year

GJ/Year

GJ/Year

GJ/Year

GJ/Year

GJ/Year

Ton/Year

Ton/Year

Ton/Year

Ton/Year

Ton/Year


Sco

pe

3, Ca

teg

ory

9

Gasoline（Distance ÷ Fuel Efficiency）

Light Oil （Distance ÷ Fuel Efficiency）

A Heavy Oil （Distance ÷ Fuel Efficiency）

B&C Heavy Oil （Distance ÷ Fuel

Efficiency）

Jet Fuel （Distance ÷ Fuel Efficiency）

Alcohol E3 （Distance ÷ Fuel Efficiency）



TKM （Truck）

TKM （Train）

TKM （Ship）

TKM （Air）

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

KL/Year

Ton-KMeter/Year

Ton-KMeter/Year

Ton-KMeter/Year

Ton-KMeter/Year

Activity Data （example） <Scope 3>

Data

Submission

Data

Checking

GHG

Calculation



Acquisition of

Activity Data


Establishing

The Scope

14


Acquisition of actual data Acquisition of actual data

<Scope1・2 (Company’s own area): Estimate Example>

In-house production R&D Admin. In-house production R&D Admin.

Example: Estimation based on a comparison of amount purchased

Data That Cannot be Acquired Estimation

Sales Sales

Acquisition of actual data Cannot be acquired

<Scope3 (Supply chain area): Estimate Example>

Parts manufacturer A Parts manufacturer

B

Acquisition of actual data Estimation

Parts manufacturer A Parts manufacturer

B

Example: Estimation based on

comparison of office floor areas

Example: Estimation based on a comparison between in-house and outsourced production output

Acquisition of actual data Cannot be acquired

In-house Outsourced

Acquisition of actual data Estimation

In-house Outsourced

Small sales offices, etc. (5% or less, based on emissions)

Estimation Data

Submission Data

Checking GHG

Calculation



Activity Data



<Approach> • For any item or area for which actual data cannot be obtained, use of estimates for the following items and areas are allowed. - Areas accounting for 5% or less (based on GHG emissions) within each Scope1・2 (your own company.) - Scope3 (Supply chain area / Logistics area) may have estimation greater than 5%. • Calculate each estimated value by using the ratios for the volume of business and amount of work done (such as monetary

amount, weight, no. of shots, no. of articles, floor area, no. of workers, etc.), which are values considered to be proportional to total activity. (While continuing the calculations with estimate values, apply the same calculation method.)

15


×

16

Pattern 1

Pattern 2

40% 40% 40%

○× electricity LPG SF6

Consumed energy in your company

Sales ratio to Honda

× ×

Activity data for Honda

＝

＝

＝

to company A

to company B

To Honda

Sales ratio of your company

30%

30%

40%

Ex） Divided by sales ratio

Data Allocation for Honda

＜Approach＞・Divide Honda portion from total GHG emission amount based on sales ratio to Honda of your total sales amount and amount of work done (such as monetary amount, weight, no. of shots, no. of articles, floor area, no. of workers, etc.). ・Apply to this method to calculate GHG emission from your supply chain as same as above. (Apply the same method continuously.)

＜Honda Portion of GHG Emission＞

＜Honda Portion of Each Energy Sources＞

How to divide Honda portion from total GHG

emission?

How to divide Honda portion from each energy

sources?

divided consumed energy sources easily based on sales ration to each customer.

to company A

to company B

To Honda

Sales ratio of your company

30%

30%

40%

to company A

to company B

To Honda

GHG emission amt. of your company

30%

30%

40%


Select an emissions coefficient according to the following definitions and approaches.

GHG emissions ＝Ｘ Activity data

Emission per activity unit (Select the CO2 emissions

coefficient suitable for each

activity.)

Emissions coefficient

<Principles>

• Apply a CO2 emissions coefficient.

• Apply a coefficient suitable for the place where energy and fuel were consumed.

• For energy in the same country and region, and from the same power company and energy source:

The companies, operation bases and facilities, etc., using this energy should apply the same coefficient value.

<Latest coefficient> Apply the latest emissions coefficient at the time of data collection. (Updated each year) • To obtain the latest coefficient: - Inquire with the power company, gas company, or company from which fuel is purchased. Otherwise, use the coefficient

provided by administrative organizations as stated in national or regional regulations. - For the CO2 emissions coefficient for electric power, choose the coefficient that does not take into account any transmission

losses. - The data source for the coefficient should be clearly stated and shared with the Honda purchasing department in each region. <CH4, N2O, HFC, PFC and SF6> • Use GWP (Global Warming Potential, see the 1995 IPCC Second Assessment Report), and convert to CO2-equivalent values. <Supplementary information: Coefficients in logistics area> • If calculating emissions for logistics operations according to a method specified by a national government or industry body, etc.,

use the appropriate coefficient for that method. (e.g., the revised ton-km calculation legally required in Japan)

Selection of Emissions Coefficients Data

Submission

Data

Checking

GHG

Calculation



Activity Data



17


GHG Emissions ＝Ｘ

Activity Data Emissions Coefficient

Convert activity data into GHG using an emissions coefficient.

Actual activity Data (e.g.）

In-h

ou

se

Electricity 100,000 MWH/Year

Propane Gas

10,000 KG/Year

Heating Oil

10 KL/Year

SF6 1 Ton/Year

Lo

gis

tics

Distance÷ Fuel efficiency

1,000 KL/Year （Light Oil）

GHG emissions

converted into CO2 （CH4、N2O、HFC、PFC、

SF6 etc.）

The amount of activities

related to GHG emissions （The energy purchased etc.）

＜Sample Calculation＞

Emission coefficient （e.g.）

0.378 Ton(CO2)/ MWH

0.003 Ton(CO2)/ KG

2.489 Ton(CO2)/ KL

23,900 Ton(CO2)/ Ton

(SF6)

2.619 Ton(CO2)/ KL

GHG emission （e.g.）

37,800 Ton(CO2)

30 Ton(CO2)

25 Ton(CO2)

23,900 Ton(CO2)

2,619 Ton(CO2)

Total 64,374 Ton(CO2)

＝Ｘ

＝Ｘ

＝Ｘ

＝Ｘ

＝Ｘ

GHG Calculation

Emission per activity unit (Select the CO2 emissions

coefficient suitable for each

activity.)

Data

Submission

Data

Checking GHG

Calculation



Activity Data



18


<Check of scope and target for data acquisition>

• Re-check the scope and target for data acquisition.

<Comparison with other disclosed data>

• Compare disclosed values such as those in the Environmental Annual Report and the values in the company’s own area as calculated

according to this standard.

• Compare the data with data disclosed by other companies in the industry.

<Comparison with previous data>

• Check recent changes in total GHG emissions and GHG emissions per sales.

• Check the correlation between changes in sales and changes in GHG emissions.

<Comparison with plan and actual data>

・Check the reason of the gap

<Principles>

• The following checks should be conducted without fail to ensure accuracy and removal of any abnormal values.

• In the overall calculation flow, establish multiple checkpoints such as for the whole operation base or for the whole supplier, etc., to

ensure thorough checking processes.

• Obtain approval from the executive responsible for environmental measures.

Data Checking Data

Submission Data

Checking GHG

Calculation



Activity Data



19


<Principles> • Data should be submitted in the specified format and method to the contact person of Honda purchasing department that

requested the data. • Data should be compiled every quarter at a minimum. The required frequency and timing of data submission will be

conveyed by the Honda purchasing department in each region to each individual supplier. • For other details, information will be provided by the Honda purchasing department in each region.

Data Submission

Data Submission

Data Checking

GHG Calculation



Activity Data



20


Revision History 21

Date

January 13, 2011 First Edition

December 20, 2013 Revision 1

End

Date post:	07-Feb-2018
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