TOTO’s Global Sustainability Initiatives

TOTO is recognized as a global leader in sustainable business management. But what does this mean exactly? How can you trust that we are? 

Today, the world is rife with “greenwashing” and “rainbow washing” (the tendency to splash the colorful UN Sustainable Development Goal logos everywhere). Therefore, it is essential to know which environmental metrics matter and to confirm that corporations are using a science-based approach to setting global and local targets for carbon emissions reduction and renewable energy use.

First, what are the TOTO Global Group’s primary targets to address global warming, climate change, and water conservation?

TOTO’s Global Targets:

Carbon emissions/GHG reductions: TOTO aims to become carbon neutral by 2050. To reduce CO2 emissions at our global business sites, we will improve energy savings, upgrade large manufacturing equipment, and expand our renewable energy initiatives. For the use phase or our products’ life cycle, TOTO will continue to enhance our sustainable product lines and improve our products' environmental performance.

Renewable energy: TOTO’s Goal: 100% renewable energy by 2040. We joined the Global RE100 Initiative in April 2021. The TOTO Group’s goal is to make 100% of the power consumed by our companies across the world renewable energy by 2040.

Water conservation: TOTO’s Goal: 1.7 billion cubic meters (450 billion gallons) of water consumption reduction during product use by 2030 (compared to FY 2005)

Life Cycle Assessment (LCA): The TOTO Group evaluates the environmental performance of our products by setting evaluation standards according to LCA guidelines and case studies. As a result of our LCA assessments, the TOTO Group found that our CO2 emissions and water consumption were highesr during our products’ use phase. We consider the reduction of CO2 emissions and energy- and water-saving as key environmental performance indicators, and we are working to reduce our products’ environmental burden.

Here are some significant ways that we report on and measure our progress – and successes – in terms of sustainability:

Global Reporting Initiative (GRI)



TOTO has been using the Global Reporting Initiative framework for over ten years. 

The Global Reporting Initiative is an international, multi-stakeholder, independent non-profit organization that promotes economic, environmental, and social sustainability. The GRI was the first global reporting framework for sustainability reporting. 

Dow Jones Sustainability Indices (World and the Asia Pacific)


TOTO has been listed in the Dow Jones Sustainability World and Asia Pacific Indices for 13 consecutive years. The Dow Jones Sustainability World Index (DJSI World) tracks the 2,500 largest sustainability-driven companies in the S&P Global Broad Market Index. TOTO has been included on this distinguished list ten times, most recently in 2021.

The Dow Jones Sustainability Indices (DJSI) are a family of best-in-class benchmarks for investors who recognize that sustainable business practices are critical to generating long-term shareholder value. DJSI was created jointly by S&P Dow Jones Indices and SAM, combining the experience of an established index provider and the expertise of a specialist in Sustainable Investing. 

TOTO undergoes a rigorous S&P Global Corporate Sustainability Assessment, a transparent, rules-based component selection process based on our total sustainability scores. Sixty-one industries are included, and only the top-ranked companies within each are selected for inclusion in the DJSI family.

UN Sustainable Development Goals (SDG)


As part of TOTO’s global environmental vision, we work to advance the UN Sustainable Development Goals. TOTO embraces the commitments of the UN Global Compact. We have been a registered participant since November 2011. More than 9,500 companies and 3,000 non-business organizations participate in this Compact. 

As part of the New Shared Value Creation Strategy TOTO WILL2030, TOTO will work to provide environmental, social, and economic value to the world. This strategy has established key material issues of cleanliness and comfort, the environment, and relationships. TOTO recognizes that integrating corporate social responsibility and management is necessary to achieve these UN SDGs.

Wall Street Journal’s Top 100 Most Sustainably Managed Corporations

In 2020, the Wall Street Journal ranked TOTO as one of the top 100 most sustainably managed corporations

WSJ reviewed more than 5,500 publicly traded companies around the world. To be considered for review, the companies had to meet disclosure standards for key sustainability areas, including environment, human capital, social capital, and business model and innovation. Each company was scored and then ranked based on artificial intelligence and human validation by the Wall Street Journal’s ESG research team. 

Carbon Emissions Reductions and Renewable Energy Targets

Looking forward, the TOTO Global Group is working to reduce our carbon emissions to become decarbonized by 2050 and to achieve 100% renewable energy for electricity by 2040. 

How we will achieve this:

The TOTO Group commits to reducing absolute Scope 1 and 2 GHG emissions by 30% by 2030 from a 2018 base year. TOTO also commits to reducing absolute Scope 3 GHG emissions from the use of sold products by 15% by 2030 from a 2018 base year. In addition, TOTO commits to reducing absolute Scope 3 GHG emissions from indirect use phase emissions by 15% over the same timeframe.

Science-Based Targets (SBT) Initiative

The TOTO Group’s greenhouse gas emission reduction target was certified by the Science Based Targets initiative (SBT) in 2021 and is consistent with the Paris Agreement adopted at the 21st Conference of the Parties to the UN Convention on Climate Change. 

In June 2021, the TOTO Group acquired the SBT (Science Based Targets) Initiative certification. As a result, our greenhouse gas reduction target for 2030 has been recognized as the level to help hold the increase in global temperature to well below 2 degrees C as compared to pre-Industrial Revolution.

The Science Based Targets Initiative is an international environmental initiative jointly established in 2015 by four groups, CDP, the United Nations Global Compact, the World Resources Institute (WRI), and the World Wide Fund for Nature (WWF).

Conclusion

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Being part of a global corporation that prides itself on being one of the most sustainably-managed corporations in the world means that TOTO uses science-based, globally-recognized metrics to measure our progress. Many companies grapple with the challenge of communicating their sustainability initiatives. However, because we rely on global reporting frameworks and third-party certifications to build and achieve our sustainability goals, our customers, partners, and fans can rest assured that our commitment to sustainability and sustainable business practices is unwavering, holistic, and data-driven.

While TOTO continually works to improve its corporate transparency, manufacturing, packaging, transportation, and other operations processes, it has been determined that more than 90% of the CO2 we emit comes from our products’ use phase. Therefore, we will continue to evolve our products' environmental performance and promote our sustainable products like TOTO’s EcoPower sensor faucets and flush valves, 1 gallon per flush toilets (for both commercial and residential use), and other water saving and chemical reducing technologies across the globe. 

At TOTO, the motto “Earth Day Every Day” is taken seriously. An important part of our company’s core mission is to provide a cleaner and more comfortable world for everyone, now and in the future. 

 

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