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Environment

Realization of a Water Recycling Society

リード文

Good quality water is essential for our business activities, especially for research and manufacturing activities. In addition, it is important to manage risks generated from our business that could have an adverse impact on the global environment. Therefore, we are engaging in achieving a sustainable and water recycling society.

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Analysis and Evaluation of Water-related Risks

As for water risks, the Environmental Management Committee and the Water Recycling subcommittee established under it, lead and conduct surveys on the risks, and identify, analyze, and evaluates the risks that are considered to have an impact on our business.
In addition, in FY2022, we considered how issues of water-related risks vary by the catchment area of each business site, re-considered our risks, and changed to a risk-based approach. Assessments have been updated in reference to the guidelines issued by the CEO Water Mandate, "Setting Site Water Targets Informed by Catchment Context: A Guide For Companies", and new medium- to long-term targets responding to risks are set.

Major risks and measures

1. Water scarcity risk
Risk assessment
Water scarcity risk evaluation is conducted for our research institutes and manufacturing plants that are utilizing at least 95% of our total water withdrawals by the WRI AQUEDUCT, a water-related risk assessment tool of the World Resource Institute. As of the end of FY2022, none of our research institutes and manufacturing plants are operating in areas categorized as being at "high risk" or “extremely high risk” for water stress. In addition, we conducted desk research and interviews with local municipalities concerning drought history in the areas where our business sites are located. As a result, we determined that the water scarcity risk at our research institutes and manufacturing plants is small.
Results of the risk assessment for water stress in our research institutes and manufacturing plants (WRI AQUEDUCT)
Water stress Sites
Low to medium risk Yamaguchi Plant, Joto Pharmaceutical Product Development Center, Minase Research Institute
Medium to high risk Fujiyama Plant, Tsukuba Research Institute
High or extremely high risk Not applicable
Measures
Although we determined that the water scarcity risk is small in areas where our sites are located, in order to appropriately manage water resources into the future, we will continue to promote the efficient use of water at our business sites and to manage appropriate water use. In addition, we will also promote measures that lead to the conservation of the local’s rich water resources.
2. Water pollution risk
Risk assessment
Raw materials, active pharmaceutical ingredients (APIs), and other chemical substances that are used in pharmaceutical research and manufacturing processes have the risk of causing an adverse impact on human health and ecosystems. If water pollution and resulting harm caused by our business activities, there may be a serious impact on stakeholders in the region and a great impact on our business (e.g., possibility of exclusion of our products from insurance coverage, bearing costs that exceed compensation amounts, assuming legal liabilities, etc.).
The substances used in our research institutes and manufacturing plants include substances for which the hazardousness is known and controlled under laws and regulations, as well as substances for which the hazardousness (in particular, hazardousness to the environment) is unknown, such as API, and therefore voluntary control is required. The risks must be managed based on the characteristics. For the substances controlled under laws and regulations, we monitor the concentration of them in drainage and then assess the presence or absence of pollution risks to the ecosystem based on the publicly available harmful information of these substances. On the other hand, for API, such as a development compounds, for which the hazardousness to the environment is unknown, we are currently developing the risk assessment system.
Measures
We continue to strive reducing the use of harmful substances and to maintain and strengthen drainage management at our research institutes and manufacturing plants with stricter control values than applicable laws and regulations for substances that are controlled by laws and regulations. In addition, for substances with the unknown environmental hazardousness such as development compounds, we plan to assess the impact to environment using the aquatic life as well as the computer simulation based on the quantitative structure-activity relationship (QSAR). 
3. Water-related risks at our business partners
Risk assessment
Sustainability risks in association with the business activities of our business partners are assessed and handled through supply chain management. For water-related risks assessment, we will also establish a comprehensive risk management system by FY2026.
Measures
Following the identification of water-related risks such as water stress, drought, flood, and water quality etc. by WRI AQUEDUCT, we will assess the water-related risks associated with business activities of important business partners using EcoVadis' sustainability assessment system. In the case that water-related risks are suspected in the activities of important business partners, we will collect the information through an on-site audit and propose corrective actions. 
4. Other risks

For the assessment and action status of flood risks due to typhoon, etc., see our website on Information Disclosure Based on the TCFD Recommendation. In addition, for the business continuity plan (BCP) when a natural disaster occurs, see here.
We have posted details such as the water-related risks and opportunities, water intake and wastewater volumes at CDP Water Security (Japanese only). They can be confirmed at the CDP website (A CDP ID is required).

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Targets

Towards “Realization of a water recycling society,” medium- to long-term targets that we have promoted since FY2019 were updated to new medium- to long-term targets in FY2022 in consideration of risk assessment results.

Water scarcity risk
  • Control the water consumption increase rate below the sales growth rate
    1. Sales growth rate ≥Water consumption increase rate
    2. Base year:FY2017, Target year:FY2030
    3. Coverage:ONO’s operation sites 
  • Promote measures that lead to the conservation of the local’s rich water resources
Water Pollution risk
  • Conduct aquatic life impact assessment for 100% of wastewater
    1. Target year:FY2025
    2. Coverage: ONO’s manufacturing plants/research institutes 
  • Disclose the result of aquatic life impact assessment for developing compounds
    1. Target year:FY2030
    2. Coverage:In-house drug candidate 
  • Control 100% of wastewater more strictly than applicable laws and regulations
    1. Maintain/improve current operations.
    2. Coverage: ONO’s manufacturing plants/research institutes
Supply chain risk
  • Conduct water-related risk assessment and comprehensive risk management for important business partners
    1. Target year:FY2026
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Progress

The water intake amount in FY2022 was 196.4 thousand m3, a 23.0 thousand m3 reduction (reduction rate: 10.5%) compared to FY2021. In addition, water intake amount was reduced by 128.7 thousand m3 (reduction rate: 39.6%) compared to the standard year, FY2017.

Specific initiatives to reduce water consumption include the following: visualization of water consumption amount by installing ultrasonic flowmeters, installation of highly airtight doors and stopping the use of running water traps as insect repellent, reduction of cooling water by adjusting the preset temperature of the heat drain tank, optimizing the sterilization of pharmaceutical water tank in the manufacturing plant, updating boilers, stopping the spraying of water or changing the preset temperature of the spraying water on air-cooling chillers and total heat exchangers, reduction of coolant water by collecting heat from hot drainage, and regular water leakage checks in the research institutes. We also installed water-saving sanitary equipment when a site is expanded, reconstructed, or renewed.

Water intake (water resource consumption) 

graph

Wastewater

graph
  • Sites where data on water consumption and wastewater volume were collected: Fujiyama Plant, Joto Pharmaceutical Product Development Center, Yamaguchi Plant (added from FY2018), Minase Research Institute, Fukui Research Institute, Tsukuba Research Institute, Head Office, sales offices and other offices, etc.
Water intake and wastewater volume by site (unit: thousand m3)
Site
name
River
in
the
area
Wastewater
drainage
destination*1
FY2017 FY2018 FY2019 FY2020 FY2021 FY2022
Water
intake
volume
Waste-
water
volume
Water
intake
volume
Waste-
water
volume
Water
intake
volume
Waste-
water
volume
Water
intake
volume
Waste-
water
volume
Water
intake
volume
Waste-
water
volume
Water
intake
volume
Waste-
water
volume
Fujiyama Plant*2 Fuji River River 205.6 148.6 240.2 178.4 185.0 145.1 157.8 125.0 138.7 110.2 122.9 100.1
Yamaguch Plant Fushino River River - - 8.2 8.2 18.1 18.1 18.6 17.7 21.6 20.0 22.8 20.9
Joto Pharmaceutical Deveopment Center Todo River Sewer 5.5 5.5 6.0 6.0 5.1 5.1 4.6 4.6 3.9 3.9 3.4 3.4
Minase Research Institute Yodo River Sewer 51.3 51.3 41.2 41.2 39.1 39.1 33.7 33.7 31.5 31.5 32.2 32.2
Fukui Research Institute*3 Kuzuryu River Sewer 38.7 5.2 31.3 5.0 27.3 5.7 13.7 2.6 6.6 1.9 0.8 0.2
Tsukuba Research Institute Lake Kasumigaura Sewer 8.1 8.1 6.0 6.0 7.1 7.1 7.2 7.2 7.0 7.0 4.7 4.7
Head Office and other sites in Japan (including tenant locations) Rivers/lake in the areas where major business sites are located*4 Sewer 15.9 15.9 15.1 15.1 15.0 15.0 10.0 10.0 10.0 10.0 9.5 9.5
total 325.1 234.6 348.0 259.9 296.7 235.2 245.6 200.8 219.4 184.5 196.4 171.2
  • Draining destination: The draining destination is to a river (surface water of fresh water) or sewer (effluent by a third party) only and not the surface water of brackish water/seawater and underground water.
  • Water source: Water intake amount at Fujiyama Plant includes underground water (FY2017: 34.6 km3, FY2018: 26.2 km3, FY2019: 21.0 km3, FY2020: 22.0 km3, FY2021: 19.6 km3, and FY2022: 15.3 km3).
    Intake water from a third party's water source are used in other facilities.
    Please note that no facilities intake water from the surface water of fresh water, surface water of brackish water/seawater, underground water (non-renewable), or produced water/mixed water.
  • The Fukui Research Institute was closed at the end of March 2022 due to the reorganization of research bases.
  • Toyohira River, Okura River, Arakawa River, Sakawa River, Kiso River, Lake Biwa, Yodo River, Ota River, Yoshino River, Naka River
Activities for water quality pollution risk management

At the 4th meeting of the International Conference for Chemicals Management (ICCM), pharmaceuticals in the environment are listed as an "Emerging Issue," and EFPIA, which is a pharmaceutical industry group in Europe, published the Eco-Pharmaco Stewardship program, and other actions were implemented.
We introduced whole effluent toxicity testing (WET testing) at Fujiyama Plant, which is our major production center, as part of activities for water pollution risks.
In addition, we assessed the impact of active pharmaceutical ingredients (APIs) under development on aquatic life using Quantitative Structure-Activity Relationship (QSAR) and promoted listing information in the safety data sheet (SDS).

Number of violations related to water quality and water quantity
Item Scope Unit FY2018 FY2019 FY2020 FY2021 FY2022
Number of breaches of legal obligation/regulatory violations All operation sites Cases 0 0 0 0 0
Amount of breach-/violation-related fines All operation sites Million yen 0 0 0 0 0
Environmental liabilities as of fiscal year-end All operation sites Million yen 0 0 0 0 0
External evaluation

In the Water Security survey conducted by CDP, a U.K.-based nonprofit organization, we received “B” in FY2018, “A-” in FY2019 and FY2020, and “A”, the highest rating, in FY2021 and FY2022.

ONO PHARMACEUTICAL CO.,LTD., ONO PHARMACEUTICAL CO.,LTD., system