Approach and Policies

Group Policy (Environment)

Under the Group Policy, the Group will promote the reduction of total CO2 emissions throughout the supply chain by promoting energy saving, low-carbon business, utilization of renewable energy in the buildings that we develop in order to resolve issues related to climate change.

Targets and Results

Targets, KPIs, and Results

Target Target Value Unit FY2019 FY2020 FY2021 FY2022
Long-term target: By 2050 Achieving carbon neutrality Scopes 1 and 2 and Scope 3*1 across the Group 0 Thousand t-CO2 3,518 1,588 2,297 2,173
Total CO2 emission reduction rate
Mid-term target: By 2030 Total reduction rate (compared to FY2019) (SBT certified in November 2020) KPIScopes 1 and 2 and Scope 3 (Categories 1 and 11)*2 across the Group 35 % Base year Scope1,2



Short-term target: By 2025 Total reduction rate (compared to FY2019) 15
Reduce energy use
Mid- to long-term target: By 2050 Power consumption in the Group will be 100% renewable electricity (joined RE100 in January 2022) Across the Group 100 %
Short-term target: By FY2023 renewable electricity will be used*3 All leasing properties in Japan owned by Nomura Real Estate Development
KPIEnergy-efficiency index for new buildings ZEH/ZEB oriented BEI value*4 Achieve the standard Achieved

Scope 1: Direct emissions from fuel combustion, etc., Scope 2: Indirect emissions associated with use of electricity and heat purchased by the Company, Scope 3: Indirect emissions other than those in Scopes 1 and 2

In Scope 3, Category 1 (emissions from construction of buildings, etc.) and Category 11 (emissions from use of sold products, etc.) are targeted, which cover approximately 88.45% of the Scope 3 emissions recorded in fiscal 2020.

Excludes leasing properties (including the portion used by tenants) for which Nomura Real Estate Development has concluded direct electricity supply contracts with power companies, properties that Nomura Real Estate Development owns units in or are jointly owned with other parties, and properties planned to be sold or demolished, as well as the common use areas of some rental housing.

In order to achieve ZEH/ZEB oriented level by 2030, BEI (Building Energy-efficiently Index) value to be achieved in each year is set. The degree of achievement of the BEI value is measured. The BEI is based on the energy-saving standards of the Act on the Improvement of Energy Consumption Performance of Buildings (Building Energy Efficiency Act) and indicates a building’s level of primary energy consumption.

Key performance indicators (KPIs) for priority issues (materiality) up to 2030

Other Results

Unit FY2019 FY2020 FY2021 FY2022
Scope 1 emissions Thousand t-CO2 23 20 21 23
Scope 2 emissions 126 112 107 74
Scope 1+2 emissions 150 132 129 98
Scope 1+2 intensity (CO2 emissions/Scopes 1 and 2 Gross Floor Area by Use) ㎏-CO2/
74.1 63.6 61.9 47.9
Scopes 1 and 2 Gross Floor Area by Use (Number of facilities) By use Offices m2
Fitness facilities 127,295
Commercial facilities 347,445
Hotels 64,469
Logistics facilities 49,547
Parking lots 17,141
Training centers 654
Heating and cooling center 3,758
Total 2,033,422
Scope 3 emissions Category 1 Products and services purchased kt-CO2 969 453 702 698
2 Capital goods 71 97 159 111
3 Fuel- and energy-related activities not included in Scopes 1 and 2 27 24 24 24
4 Transportation and delivery (upstream) 4 3 4 6
5 Waste generated by businesses 6 5 7 11
6 Business trips 1 0*1 0*1 1
7 Employee commuting 2 2 1 1
8 Lease assets (upstream)*2
9 Transportation and delivery (downstream)
10 Processing of products sold
11 Use of products sold 2,203 834 1,214 1,170
12 Disposal of products sold 62 19 38 38
13 Lease assets (downstream) 19 14 13 12
14 Franchise
15 Investments
Total 3,367 1,456 2,167 2,075
Energy consumption*3 MWh 422,490 381,817 379,428 382,231
Energy consumption intensity
(Energy consumption/Scopes 1 and 2 Gross Floor Area by Use)
0.208 0.184 0.182 0.186
Energy consumption by facility type Facility type Offices MWh 189,086 165,019
Fitness facilities 74,705 73,926
Commercial facilities 74,607 99,849
Hotels 9,904 17,257
Logistics facilities 2,360 2,420
Parking lots 198 194
Training centers 52 61
Heating and cooling center 28,516 23,503
Energy consumption by energy type Energy type Purchased electricity MWh 255,089 228,825 220,740 219,214
City gas 116,068 108,034 116,840 122,258
LPG 507 183 436 232
Class A heavy oil 2,546 1,401 1,303 718
Gasoline 2,156 0 0 1
Light oil 0 0 4 34
Kerosene 5,089 3,544 2,779 2,045
Steam 16,552 18,555 18,119 17,821
Cold water 24,482 21,275 19,208 19,908
Renewable energy (in-house power generation) 1,000 1,818 7,882 68,824
Renewable energy (in-house power generation) consumption by facility type Facility type Offices MWh 1,000 1,000 6,230 50,533
Fitness facilities 1,348
Commercial facilities 406 975 11,577
Hotels 413 677 5,223
Logistics facilities 143
Parking lots
Training centers
Heating and cooling center
Solar power generation Solar power generating facility installation rate at Landport logistics facilities % 94.7 90.0 76.0 67.8
Electric power generated at Landport logistics facilities MWh 15,194 21,926 22,801 22,356

Less than 1

Calculation for Category 8 is included in Scopes 1 and 2. Categories with no figures indicate emission sources do not exist.

Figures are based on those stated in Scopes 1 and 2 Gross Floor Area by Use (Number of Facilities).

ESG Data (Environment)


Joining RE100

Nomura Real Estate Holdings, Inc. joined RE100, a global initiative leading the transition to 100% renewable electricity in January 2022.

Approved by Science Based Targets initiative (SBTi)

Nomura Real Estate Holdings, Inc.’s CO₂ emissions reduction targets were approved by the SBTi on November 24, 2020.

Agreed to Recommendations Made by the Task Force on Climate related Financial Disclosures (TCFD)

Nomura Real Estate Holdings, Inc. and Nomura Real Estate Asset Management Co., Ltd. are fully aware that the substantial impact of climate change on their business continuity is a major management issue, and they therefore agreed to recommendations made by the Task Force on Climate-related Financial Disclosures (TCFD) in order to further promote their initiatives.

Special Feature: TCFD

Business Strategies for Decarbonization

To achieve its Scope 1, 2, and 3 reduction targets, the Group is promoting energy-saving, low-carbon business, and conversion to renewable energy.

Group’s Initiatives to Reduce CO2 Emissions

Emissions in own business operations (Scope 1, 2) Use of electricity with non-fossil certificates, use of renewable energy in owned assets, initiate/consider renewable energy projects such as in-house renewable power generation
Emissions in the construction stage (Scope 3, category 1) Use of timber, which is regarded as low-carbon building material
Emissions from customers (Scope 3, category 11) Establishment of energy conservation performance standards for new buildings completed before FY2029 (based on energy conservation performance (BEI) indicators)

Net Zero Energy House Initiatives

The Group is developing net zero energy house (ZEH)* in condominiums from the perspective of comprehensive environment impact reduction. In fiscal 2021, PROUD Musashi-Shinjo Station Marks was selected as a Super High-Rise ZEH-M Demonstration Project of the Ministry of the Environment, Trade and Industry. Also, in fiscal 2022, the Aobadai 2-Chome Project (tentative name) was selected as a Ministry of the Environment High-Rise ZEH-M Support Project. Looking ahead, we plan to adopt ZEH- and ZEB-oriented standards for all new buildings by 2030. We will also launch initiatives for adopting the same standards to detached housing from fiscal 2022.

Net Zero Energy House: Dissemination Result and Future Target

Result for FY2020/FY2021 Result for FY2022 Target for FY2025
0% 25% 50% or more in all detached houses

Housing designed to achieve a net zero annual primary energy consumption by greatly improving the insulation performance of the building envelope by installing highly efficient facilities and equipment to maintain the quality of the indoor environment while substantially reducing energy consumption and then introducing renewable energy.

ZEH Condominium Initiatives (Japanese only)

“Yukai-full” Enables Condominiums to Reduce CO2 Emissions

Nomura Real Estate Development developed an air-conditioning system, “Yukai-full”, that makes it possible to reduce CO2 emissions and realize a healthy and comfortable life, and has installed it in more than 1,000 units.
Yukai full was selected as one of the best 100 products in the 2020 Good Design Awards in recognition of its simple air conditioning system and technology that combines temperature control with standardized comfort.

News Release (Japanese only)

Environmental Performance Assessments During Product Planning and Design

The Group provides products and services that address climate change in accordance with the Design and Construction Standards and the Quality Manual. Thermal insulation performance rating of level 5*, double-glazed windows, LED lighting fixtures, and other features are set as standard specifications for PROUD condominiums, and Environmental and Product Planning Sheets are used to improve the environmental performance.

Thermal insulation performance rating: A housing performance evaluation system pursuant to the Housing Quality Assurance Act. Levels indicate performance in the thermal environment.

Assessment of Environmental Performance in Condominiums

Helping Customers to Save Energy

The Group not only strives to reduce CO₂ emissions from buildings, but also helps condominium residents and tenant companies to save energy.
Specifically, the Group provides a system that calculates total energy consumption and a system that makes it possible to visualize the amount of energy used, realizes energy savings using the enecoQ system, and provides eco-information via a member newsletter.

Reduction of Chlorofluorocarbons

To reduce the usage of ozone layer depleting chlorofluorocarbons, the Group established a quality manual that requires the use of chlorofluorocarbon-free insulation and air conditioner refrigerants. Construction partners are also required to submit a Quality Control Check Sheet during construction to confirm that only chlorofluorocarbon-free materials are used.

Use of Renewable Energy in Logistics Facilities

The Group is promoting renewable energy utilization through the solar power generation business. As of March 2023, solar panels were installed on a total of 19 buildings at Landport logistics facilities, with annual output of 22,356 MWh per year for the entire portfolio.
In addition, each hotel of the Nomura Real Estate Group (Nohga Hotel Ueno Tokyo, Nohga Hotel Akihabara Tokyo, and Hotel Niwa Tokyo) has acquired the Eco Mark certification from the Eco Mark Office and is promoting the use of green power by procuring all of its electricity from renewable energy sources.

Global Environmental Initiatives of NOHGA HOTEL UENO TOKYO

Landport Kashiwa Shonan

Solar Power Generation in Detached Housing in the Tokyo Metropolitan Area

Nomura Real Estate Development, in collaboration with TEPCO Energy Partner, launched a Virtual Mega Solar project in May 2022 to install solar power generation capability at the same scale as mega solar power generation (total output 1,000 kW) in the PROUD SEASON (detached housing). This is the first initiative in Japan to introduce solar power generation with a total output of 1 MWh to detached houses for sale in the Tokyo metropolitan area (300 houses per year on the roof of PROUD SEASON houses), and the two companies will promote this as an initiative for localized generation and consumption of electric power, to conserve and generate energy in the Tokyo metropolitan area, where there are few areas of fallow land to be utilized.

Conceptual image of Virtual Mega Solar

Participation in Initiatives Related to Climate Change

The Group has taken part in international initiatives related to climate change and frameworks of industry associations, and is actively working to address climate change.

The UN Global Compact

The Group signed the UN Global Compact in May 2019. Based on the principles of the UN Global Compact initiative, we will support a precautionary approach, such as climate change mitigation, to environmental problems, and proactively fulfill our responsibility to address environmental problems.

Endorsement of the Voluntary Action Plan on the Environment for the Real Estate Industry, formulated by the Real Estate Companies Association of Japan

In accordance with the voluntary action plan on the environment established by the Real Estate Companies Association of Japan, the Group endorsed the environmental targets in the real estate industry, and it promotes measures to respond to climate change by working to achieve CO₂ emissions reductions that exceed the statutory required standards.

Independent Third-Party Assurance Report

We have asked Lloyd's Register Quality Assurance Ltd. (hereinafter LRQA) to provide assurance on the environmental data.
Please refer to the following Independent Assurance Statement for detail.

LRQA Independent Assurance State