Environment

Water and Effluents

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Policy

Policy (our fundamental view)

The NOF Group makes efforts for the consumption and management of water resources as well as the appropriate treatment and management of plant discharged water in accordance with the Management Policy Regarding Responsible Care. To this end, each plant and subsidiary is working on the following items.
 

  1. Operation and discharged water management of specified facilities based on the Water Pollution Prevention Law
  2. Thorough employee education on environment-related laws and regulations
  3. Assessment of environmental impact when new facilities are established
  4. Monitoring, confirmation, and enhancement of management status through internal audits
  5. Disclosure of information through regular community dialogue

 

In addition, at our business bases, we are working to reduce water consumption and improve efficiency in production. We achieve sustainable water resource management by promoting the effective use of water resources and reducing the burden on the environment.

Within the NOF Group, the RC Committee Chair, appointed by the President, is responsible for these initiatives. Through these efforts, we promote resource recycling and actively work to reduce environmental impact, thereby contributing to the realization of a sustainable society.

Consumption of water resources

NOF has been carrying out the efficient use of water resources by estimating the amount of the water consumption. In FY2025, volume of water newly withdrawn was 7.939 million ㎥, of which 1.380 million ㎥ was groundwater and 1.827 million ㎥ was city water. Water consumption per ¥1 million of net sales was 7,100 ㎥, approximately 10% lower than the 7,900 ㎥ recorded in FY2024, reducing our dependence on water consumption.

For FY2026, we have set a target of keeping water withdrawal at or below the previous fiscal year’s level and will continue our efforts to reduce water withdrawal. Through these efforts, we will review and improve the efficiency of water consumption at each business site while promoting effective use of water resource and reducing environmental impact through employee education and awareness activities, thereby striving to realize sustainable water resource management.

Volume of discharged water by destination

After appropriate treatment of discharged water generated at each production site, the NOF Group discharges approximately 59%, or 3.571 million ㎥, to the sea. In addition, approximately 31%, or 1.863 million ㎥, is discharged to surface water, including rivers, and the remaining approximately 11%, or 662,000 ㎥, to other systems.

Changes in Water Consumption [Covered organizations:NOF Group] (Thousand ㎥/year)

 

Category FY2021 FY2022 FY2023 FY2024 FY2025
Volume of
water withdrawal
Volume of water newly withdrawn*1 7,833 7,964 7,833 7,886 7,939
 City water 1,514 1,650 1,578 1,805 1,827
 Industrial water 5,022 4,912 4,923 4,673 4,732
 Groundwater 1,297 1,402 1,332 1,407 1,380

Internally
recycled water*2

ー ー ー 8,146 7,860
Total ー ー ー 16,032 15,799
Volume of
water
discharged
Surface water 1,777 1,843 1,863 1,904 1,863
Groundwater 0 0 0 0 0
Seawater 3,479 3,483 3,692 3,596 3,571
Discharge to other organizations 568 535 535 504 662
Total*1 5,824 5,861 6,090 6,004 6,096
Water consumption*1 2,009 2,103 1,743 1,881 1,843
Water consumption / net sales
(Thousand ㎥ / million yen)
10.4 9.7 7.8 7.9 7.1
Volume of recycled water*2 ー ー ー 8,146 7,860
Water recycling rate (%)*3 ー ー ー 51 50

  1. Water consumption = volume of water newly withdrawn − total volume of discharged water
  2. Volume of recycled water = internally circulated water
  3. Water recycling rate (%) = volume of recycled water / volume of water withdrawal

Initiatives to reduce water consumption

In order to promote reductions and efficient improvements in water consumption at our business sites, NOF is circulating cooling water and reviewing manufacturing processes to reduce
water withdrawal.

We are also working to suppress water withdrawal by reusing treated discharged water as cooling water.

Water stress (drought) assessment

We assessed water stress (drought)* at our domestic and overseas production sites using the Aqueduct 4.0 tool of the World Resources Institute (WRI). The assessment showed that some sites in Europe and Southeast Asia were located in regions under water stress in 2024 and are expected to remain in such regions in 2030. By 2050, it is expected that sites in South America will also face a higher risk of water stress. Going forward, we will continue working to reduce water consumption.

Results of Water Shortage Risk Assessment Using Aqueduct 4.0 (No. of production sites)
 

Water shortage risk level Water stress 2024 2030 2050
Large Over 40% 2 2 3
Medium 20~40% 14 15 14
Small Below 20% 7 6 6

Water Withdrawal at Sites with High Drought Risk (FY2025) [Covered organizations:NOF Group] (Thousand ㎥/year)
 

Volume of new water consumption Consumption amount
Sites under high water stress 416 144
Ratio to total of the NOF Group (%) 5.2 7.8

 

  Volume of
new water consumption
Consumption amount Volume of water discharged
High water stress NOF METAL COATINGS EUROPE N.V. 3 3 0
PT.NOF MAS CHEMICAL INDUSTRIES 414 142 272
Medium water
stress and lower
Other NOF Group sites (including overseas) 7,523 1,698 5,824
NOF Group total 7,939 1,843 6,096

Water stress is measured as the ratio of total water withdrawals to available, renewable surface and groundwater supplies. Water withdrawals include consumptive and non-consumptive uses for household, industrial, irrigation, and livestock purposes. Available, renewable water supplies include the impact that upstream consumptive water users and large dams have on downstream
water availability.

Prevention of water pollution

Discharged water generated by production activities at plant is properly treated through treatment facilities before being discharged outside the plants. We monitor biochemical oxygen demand (BOD), chemical oxygen demand (COD), suspended solids,* and the like in discharged water. Along with ongoing equipment upgrades, we are improving our water quality management system and operating in compliance with prescribed limits. In addition, there have been no cases of violations of laws and regulations related to water quality.

Number of Accidents (Number) [Covered organizations:NOF Group]
 

FY2023 FY2024 FY2025
Number of accidents 0 0 0

Changes in Discharged Water Monitoring Items (Tons/year)
 

Category 2022 2023 2024 2025
NOF BOD 37 33 24 24
COD 44 52 55 54
Suspended solids 22 36 26 25
Domestic Group BOD 39 36 25 27
COD 44 52 55 54
Suspended solids 25 42 31 47
NOF Group BOD 67 74 58 55
COD 148 171 153 153
Suspended solids 44 58 43 58
Violations of laws and regulations (no.) 0 0 0 0
Particulate substances of 2 mm or less in diameter floating or suspended in water; one of the indicators of water quality.

Risks and opportunities

While implementing measures such as those illustrated below to conserve water resources, we also identify and strengthen the management of associated potential risks. Promoting water reuse can conserve water resources, but deterioration in water quality through repeated use can increase the risk of equipment failure, such as filter clogging. Reducing the frequency of water cleaning for manufacturing facilities and introducing steam cleaning can conserve water resources, but more sophisticated cleaning procedures increase the workload.

Risks and Opportunities for Water and Effluents
 

Category Major risks and
opportunities
Overview Countermeasures
Transition
risks
Tighter domestic and
international regulations
  • The introduction of new regulations makes it necessary to enhance facilities and strengthen management systems to comply with the new regulations, which increases the associated costs
  • New discharged water regulations make it impossible to continue manufacturing existing products, resulting in lost opportunities and reduced sales
  • Increased capacity of discharged water processing facilities
  • Development and provision of products with low environmental impact
Market
  • At production sites in regions with high water risk, procurement costs rise due to higher water prices caused by water shortages
  • At production sites in regions with high water risk, sales decrease due to lost opportunities when operations are interrupted at production plants due to frequent water outages caused by water shortages
  • Aging water infrastructure causes unstable water supply and frequent water outages, interrupting operations at production plants and resulting in sales decrease due to
    lost opportunities
  • Study of efficient use of water
Deterioration of
evaluation/reputation
  • Delays in complying with regulations and in developing eco-friendly products damage the company’s evaluation from investors and its reputation among customers and
    local residents
  • Enhancement of information disclosure on content of initiatives
Physical
risks
Natural disasters
  • Due to prolonged heavy rainfall causing discharged water processing facilities to exceed their capacity, or damage to facilities caused by typhoons and other natural disasters, it becomes difficult to manage discharges, which in turn causes production to stop, resulting in lost opportunities and lost sales
  • Water cutoffs and droughts due to natural disasters associated with climate change disrupt operations at production plants, resulting in reduced sales due to
    lost opportunities
  • Increased flooding due to climate change damages production plants at risk of flooding, resulting in asset losses and reduced sales
  • Due to the increase in flooding accompanying climate change, the outflow of pollutants causes negative impacts on the environment, and in addition to fines imposed for
    violations of environmental regulations, the company’s reputation is damaged, which leads to customer loss and decreased sales
  • Increased capacity of discharged water processing facilities
  • Study of efficient use of water
Chronic risks
  • Excessive groundwater withdrawal causes land subsidence in areas surrounding plants using groundwater, resulting in large compensation for damages and decreased sales due to prolonged shutdowns (Aichi Works)
  • Study of efficient use of water
Opportu- nities Growing needs for products
that contribute to
water pollution solutions

[Mitigation of water pollution]

  • Anti-sticking agents for asphalt mixtures, eco-friendly stern tube bearing oil, biodegradable lubricants, antifreezing agents, lead-free products
  • Development and provision of
    eco-friendly products
Improvement of evaluation and reputation
  • Proactive emission control measures and the development and provision of products that make positive contributions improve the company’s evaluation from investors and its reputation among customers and local residents
  • Enhancement of information disclosure on content of initiatives