Environmentally Conscious Products

Since 2014 the Kawasaki Group has implemented its Kawasaki Ecological Frontiers system (formerly Kawasaki-brand Green Products system), an internal system for certifying environmentally conscious products, as a means of reducing the environmental impact of the Group's products and services throughout their life cycles.
　Under the system, superior products—in terms of whether the products themselves evidence improved environmental performance and whether the associated manufacturing processes demonstrate a reduced environmental impact—are certified and registered. In product development, we contribute in various ways to promoting a reduction of the environmental impact, including the improvement of energy efficiency through the fuel and power efficiency of products and so on; a reduction in environmental-load emissions, such as greenhouse gases and harmful chemical substances, in production processes; and resource saving in products themselves.
　In light of an increase in recent years in the registration of epoch-making decarbonization solutions, such as hydrogen equipment, in February 2024 we established three new categories (the Decarbonization Category, Transition Category, and Electric and Energy Saving Category) to clearly evaluate the diversifying products and conduct appropriate certification and registration. From the three perspectives of innovative initiatives to realize a decarbonized society, continuous activities to reduce the environmental impact as a transition to a decarbonized society, and further energy-saving activities in electric products, solutions, and so on that contribute to decarbonization, we will aim to realize a carbon-neutral society (CO₂ FREE), a recycling-oriented society (Waste FREE), and a society coexisting with nature (Harm FREE).
　We heighten the desire of employees to create valuable products by paying an incentive (monetary compensation) to employees involved in the development of newly registered products in accordance with the product's certification class.

The Group evaluates its products and their manufacturing processes for conformity with its own internal standards and disseminates the results of its evaluations outside the company in accordance with international standard ISO14021. Specifically, our standards are geared to improving the environmental performance of our products and reducing the environmental impact of our manufacturing processes from three emissions-reduction standpoints: CO₂ FREE (reduction of CO₂ emissions), Waste FREE (reduction of industrial waste), and Harm FREE (reduction in the release of harmful chemical substances).
　We have established three new categories (the Decarbonization Category, Transition Category, and Electric and Energy Saving Category) and, as explained below, register products as S Class or A class depending on the extent to which they meet evaluation standards.

S Class:

Product evaluated as corresponding to the highest level in the industry in terms of environmental consciousness

A Class:

Product evaluated as exceeding the standard industrial level or the level of our previous model in terms of environmental consciousness

　In addition, in this system we constantly maintain up-to-date registration by reevaluating registered products every three years.
　As of the end of August 2023, the Group had registered 68 products in total, including 19 new registrations during the three years prior (9 in 2021, 5 in 2022, and 5 in 2023) and 49 renewed registrations of products originally certified in 2014–2020.

Year first registered	2014～2020	2021	2022	2023	Total
S Class	34	8	5	4	51
A Class	15	1	0	1	17
Total	49	9	5	5	68

The CO₂ emissions reduction effects^*1 of the Group's environmentally conscious products, including those registered under the Kawasaki Ecological Frontiers system, were 16,300 kt-CO₂^*2 in fiscal 2023. The certified and registered products are contributing in many ways to reducing annual CO₂ emissions and other environmental impact. Examples include gas-turbine and gas-engine electric power generation equipment that has achieved world-class efficiency, motorcycles manufactured with more than 90 percent recycled materials, and energy-saving rolling stock made possible by weight reduction.

^*1 Reduction in CO₂ emissions compared to earlier products (refer to the calculation rules below.)

^*2 To put this figure into perspective, a passenger car with a gas mileage of 15 km/l that is driven 10,000 km per year emits about 1.5 t-CO₂. Thus, in terms of passenger cars with a gas mileage of 15 km/l that are driven 10,000 km per year, our reduction contribution is equivalent to the CO₂ emissions of approximately 16.25 million cars.

　Additionally, the sales ratio for environmentally conscious products, including Kawasaki Ecological Frontiers products, in fiscal 2023 was 18%(the ratio to total net sales of Kawasaki Heavy Industries, Kawasaki Railcar Manufacturing, and Kawasaki Motors).

In 2021, the system name was changed from Kawasaki-brand Green Products to Kawasaki Ecological Frontiers. In addition to the preexisting idea of Kawasaki-brand Green Products, the new name includes the sense that, for the “frontier”—i.e., the social issues of a new age—we will offer answers from a unique perspective and create a hopeful future not only with products but also by providing new solutions and creating systems. Throughout the entire life cycle of our products and the supply chain, we are working to realize a carbon-neutral society (CO₂ FREE), a recycling-oriented society (Waste FREE), and a society coexisting with nature (Harm FREE).

For details, please refer to CO2 FREE (Realization of a Carbon-neutral Society).

The program logo embodies the Group's commitment to environmental sustainability through products and manufacturing. The Kawasaki Group's primary business areas—land, sea, and air transport systems, energy and environmental engineering, and industrial equipment—each with innovative and advanced technological capabilities, form three solid pillars that together support the global environment.

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The Kawasaki Ecology Prize 2023

Among products registered under the Kawasaki Ecological Frontiers system, the Kawasaki Group especially awards the Kawasaki Ecology Prize to products that receive positive external environment-related assessment and that have contributed substantially to the Group's business operations in the evaluation period.

The following product was chosen this time:
Product name: GREEN Gas Engine KG-18-T

The GREEN Gas Engine KG-18-T was selected for the Kawasaki Ecology Prize 2023 because, in addition to its technological excellence, achieving a high level of electrical efficiency and enabling rapid startup, it was recognized as having acquired an extremely large share of the domestic market for 8MW-class gas engines; orders from overseas have been increasing too.
This product has received the following external awards:

External Awards

• FY 2020 Chairman's Award in the Technology Development Category from the Advanced Cogeneration and Energy Utilization Center
• FY 2022 Commissioner of the Agency for Natural Resources and Energy Award from the Japan Machinery Federation
• FY 2022 Technology Award from the Combustion Society of Japan

Kawasaki GREEN Gas Engine KG-18-T

* Registered products are reevaluated every three years. In the case of products registered before fiscal 2020, their initial registration year is shown under the product name on the product label.