External Economic Benefit Evaluation (EEBE)(R)
The DOWA group’s environmental business unit contributes to environmental conservation by recycling resources, processing wastes in a proper manner, rendering them harmless and stabilizing them. The business unit also destroys and processes CFC and HCFC that contribute to destruction of the ozone layer and global warming by utilizing heat generated from burning wastes.
We evaluated the effects of these activities over society and the environment by using the concept of External Economical Benefit Evaluation (EEBE(R)) ※1
Total 66.8 billion yen
■ EEBE through Wastes Processing: 22.7 billion yen
We evaluated the EEBE(R) of the effects of volume reduction through incineration of wastes (volume loss effect), life prolongation of landfill disposal sites, rendering hazardous materials harmless and stabilizing them.
| Effect | Accepted volume of industrial wastes | Final landfill disposed volume | Social cost unit | EEBE(R) |
|---|---|---|---|---|
| Volume reduction | Industrial wastes not requiring special control 556,000t/year |
Burnt ashes 210,000 t/year |
Unit price of controlled final disposal site 15,000 yen/t |
(Industrial wastes not requiring special control - Burnt ashes)×Unit price of controlled final disposal site 5,190 million yen/year |
| Rendering harmless | Industrial wastes requiring special control 123,000 t/year |
Ash dust 35,500 t/year |
Unit price of isolated final disposal site 200,000 yen/t |
(Industrial wastes requiring special control - Ash dust)×Unit price of isolated type final disposal site 17,495 million yen/year |
| Grand total | 22,685 million yen/year |
■ EEBE(R) through Metal Recycling: 43.7 billion
In evaluation of the economic effects of our metal recycling from wastes , we included both the metal value of recovered metals (calculated using LME (London Metal Exchange) price as international quoted market price) and the effect of expanding the life of landfill disposal site through reducing the volume of waste that contain metals.
| Effect | Total accepted volume of recycled materials | Final landfill disposed volume | Social cost unit | EEBE(R) |
|---|---|---|---|---|
| Volume reduction |
189,000 t/year |
2,600 t/year |
Unit price of controlled final disposal site 15,000 yen/t |
(Total accepted volume of recycled raw materials - final landfill volume)×Unit price of controlled final disposal site 2,793 million yen/year |
| Effect | Recovered volume | LME price (as of March 31, 2009) Note: as of March 27, 2009 for indium |
EEBE(R) |
|---|---|---|---|
| Recovery of gold | 4,875kg/year | 2,913,000yen/kg | 14,201million yen/year |
| Recovery of silver | 376t /year | 42,440yen/kg | 15,939million yen/year |
| Recovery of copper | 10,024t/year | 430,000yen/t | 4,310million yen/year |
| Recovery of lead | 1,858t/year | 185,000yen/t | 344million yen/year |
| Recovery of zinc | 206t/year | 165,000yen/t | 34million yen/year |
| Recovery of palladium | 903kg/year | 681,000yen/kg | 615million yen/year |
| Recovery of indium | 152t/year | 36,000yen/kg | 5,465million yen/year |
| Sub total | 12,621t/year | 40,908million yen/year |
■ EEBE(R) through destroying CFC and CFC substitutes
By destroying CFC and CFC substitutes, we can expect to achieve an effect of preventing destruction of the Ozone layer and global warming. We have adopted the LIME (Life-cycle Impact assessment Method based on Endpoint modeling)※2 to convert these effects into EEBE(R).
| Effect by destroying CFC and CFC substitutes | EEBE(R) |
|---|---|
| Impact on global warming | 206 million yen/year |
| Impact on destruction of the Ozone layer | 176million yen/year |
| Grand total | 382million yen/year |
※1 EEBE(R) refers to a quantitative index that evaluates business activities, by converting the effects that a company strives and achieves to reduce environmental load, into a specific monetary value. The intermediate corporation Club ECOFACTURE consisting of the four largest auditing firms, large enterprises and university professors are studying this index. （http://www.ecofacture.com/eebe/）
※2 LIME refers to Life-cycle Impact assessment Method based on Endpoint modeling that was developed by the Research Center for Life Cycle Assessment in partnership with LCA Project Impact Assessment Study Group (Outsourced from NEDO). It is an index that evaluates impacts of substances on the environment, considering their life-cycle, into which various impacts on human health or social capital, etc are integrated and calculated as a lost amount of money per unit volume. At present over 1,000 environmental harmful substances are put into the database.
Note As for the EEBER on destroying CFC and CFC substitutes, we used LIME coefficient as a test case to calculate the effect of preventing global warming and destruction of the Ozone layer. Some CFC for which LIME is not used are excluded, even if the effect of preventing global warming and destruction of the ozone layer is expected, in order to be conservative.
The Third Party’s Opinion
Club ECOFACTURE(R) MIC Takeda Engineering Office, Akio Takeda
The metal resource recovery business contributes to prevent detriment of society such as wasting precious resources and destruction of ecosystem and biodiversity caused by excavating resources. This business also contributes to preventing detriment of society by accepting the risk of improper management of wastes and CFC by customers. The EEBER stated above shows the approximate monetary value of prevention of detriment of society and destruction of the ecosystem, in order to present the social importance of the businesses of the DOWA group.
The EEBER method is not a completed method, but is still developing to perfection. The figures reported in EEBE form shows the unique corporate value of the DOWA group that does not appear in the financial statements.