Together with Zeroboard, we have concluded decarbonization agreements with one-third of the local governments in Iwate Prefecture. What are the decarbonization efforts we are promoting with local governments while aiming to utilize and recycle local resources?
Together with Zeroboard, we have concluded decarbonization agreements with one-third of the local governments in Iwate Prefecture. What are the decarbonization efforts we are promoting with local governments while aiming to utilize and recycle local resources?
Person in charge (department and title at the time of interview)
Community Contribution Department Green Sales Promotion Team
Senior Officer Kazuyuki Okaichi
Officer Yuki Ohara
Officer Kenichiro Yoshida
Mr. Hideto Shuto
Community Contribution Department Business Understanding Promotion Team
Senior Officer Tsubasa Funayama
The environmental field is a growth field. In order to increase the sustainability of local companies, it is necessary to face social Issue and solve them through the utilization and circulation of local resources and business activity.
--First of all, could you tell us about Iwate Prefecture's Industry structure?
Ohara: Iwate Prefecture is the largest prefecture in Honshu, and I think it's unique to Iwate that each region has its own distinctive Industry , with its northern, central, and southern regions. For example, the northern area is dominated by primary Industry and is rich in local resources. Meanwhile, the central area has medical-related and Industry . In the southern areas of the prefecture, Kitakami City and Hanamaki City are home to a concentration of manufacturing Industry, with many automobile Manufacturing and semiconductor-related companies. The coastal areas are rich in marine resources, and fishing and aquaculture are thriving.
-Why do you think decarbonization efforts are necessary for The Bank of Iwate, Ltd.?
Okaichi: For The Bank of Iwate, Ltd., we see the environmental field, including decarbonization, as a growth area for the future. In order to increase the sustainability of local businesses, we believe it is necessary to face social Issue and resolve them through the utilization and circulation of local resources and business activity. We believe that providing solutions to such issues will demonstrate or even enhance The Bank of Iwate, Ltd.'s presence.
--If we miss out on this decarbonization initiative, what impact do you think it will have on the region?
Okaichi: Ultimately, there is a concern that businesses will be cut off from the supply chain and unable to continue operations. It may be misleading to say that we won't allow local companies to do this, but we want to move forward in a way that doesn't leave them behind, and we think that this could lead to business opportunities for local companies. Although it's not a very large percentage, there are some companies that are already working on this, but the reality is that many companies consider decarbonization efforts to be costly and time-consuming.
The Bank of Iwate, Ltd. Head Office
Together with Zeroboard, we have concluded agreements with one-third of the local governments in Iwate Prefecture to achieve a carbon-free society. This sends a message that we are serious about decarbonization.
--Many companies consider decarbonization efforts to be a cost, so please tell us if you have any initiatives to raise awareness.
Okaichi: We hold educational seminars for decarbonization efforts and, as part of our collaborative relationship with Zeroboard, we support the introduction of "Zeroboard." As an initiative from a local perspective, we have been working to conclude a tripartite agreement between The Bank of Iwate, Ltd., Zeroboard, and local governments to achieve a decarbonized society, and this initiative has now expanded to 11 of the 33 local governments in the prefecture. We are helping to visualize emission amount and proposing the introduction of Service to recognize and solve Issue . We also act as a sales intermediary for credits created by local governments and support the creation of credits.
Ohara: I think we were able to achieve this with the cooperation of Zeroboard, but I think it sends a strong message to the local community that we are working together in a collaborative manner that includes the local government. We placed great importance on collaboration with the local government, as it shows that the entire community is serious about the project.
--Please tell us about any new initiatives you have in mind.
Ohara: This year, we are launching a new initiative called the Carbon Neutral Challenge (*1) with Takizawa City. The initiative involves Takizawa City purchasing Zeroboard accounts and distributing them to businesses within the area. For a limited time, companies can use the service free of charge. Some municipalities start by making their own efforts more visible, while others start with businesses within the area.
-What is The Bank of Iwate, Ltd.'s role?
Ohara: We are promoting and raising awareness of decarbonization among local governments and introducing "Zeroboard." There are three steps to decarbonization: "know," "measure," and "reduce." For "know," we hold seminars together, and for "measure," we visualize using "Zeroboard." We began offering centralized management solutions to local governments to work together on "reduce." Switching to LED lighting is actually highly effective in reducing GHG emission amount and saving energy. Therefore, we are encouraging them to promote LED lighting while also improving visibility in public facilities. We believe it is important to make them aware of the significance and importance of this initiative. By working together from the "measure" stage, we believe that our banking business will be able to smoothly incorporate proposals for solutions to Issue once they are identified.
--What about municipalities other than Takizawa City?
Okaichi: Other municipalities are also holding seminars, creating subsidies for the introduction of "Zeroboard," and some municipalities are providing support to local businesses. Little by little, a flow is beginning to emerge from The Bank of Iwate, Ltd. to municipalities, and from municipalities to businesses.
Online interview scene. From left: Mr. Funayama and Mr. Okaichi
The reasons for not being able to do something and the Issue are becoming more detailed, such as "I can't do it because I don't know how to do it" and "I can't do it because I don't have the people."
--What kind of incentives are there for small and medium-sized enterprises to decarbonize? Or what do you think motivates them to work on decarbonization?
Ohara: That's something we've really been thinking about. While it's true that being aware of the supply chain is motivating, I believe that if everyone had that mindset, we'd make even more progress. While it may be difficult to create an incentive that justifies the costs, I think there are economic benefits, such as expanding business in the supply chain and accessing subsidies and loan programs. We also believe that it will have a positive impact on improving corporate image, media exposure, and new graduate recruitment, and we believe that seeing these effects will lead to increased motivation. When we first started collaborating with Zeroboard, when we introduced it to companies, they would respond with a "What's this?" attitude. However, recently, more and more companies are beginning to recognize that "this kind of initiative is important." While some companies have considered adopting it but decided not to, I feel that the reasons for not implementing it and the Issue they face are becoming more granular, such as "We don't do it because we don't know about it" rather than "We don't do it because we don't have the staff."
Okaichi: When we talk to customers, we hear that there are cases where they are asked to respond to questionnaires within the supply chain, so that may be one of the reasons behind this.
--You also act as an intermediary for J Credits for prefectures and municipalities.
Ohara: I believe credits are one way to effectively circulate local resources. Purchasing forest-derived credits is not only an environmentally friendly initiative, but also leads to the conservation of forests, which are local resources, and Industry promotion. We explain to those considering purchasing that creating a circulation of local resources contributes to the local community. Although forest-related credits are expensive, they sell out quickly, and J Credits in the region often run out of stock. They are purchased not only for offset purposes, but also by companies that share the significance of contributing to the community and local production and consumption. We host seminars in the region as offset seminars. Since this is a trial run, we are limited to the extent that we can measure it, but we are measuring emission amount, purchasing local credits, and even Invalid them.
--That's very thorough. Let's go back to the topic a little. While many companies consider decarbonization to be a cost, what kind of companies are taking the lead in this effort?
Okaichi: Companies with management teams that are highly environmentally conscious are able to implement the system smoothly, even if they are aware of the costs involved, as they approach it strategically.
Ohara: Also, companies that have synergy with Manufacturing products, such as solar power equipment, are often involved. Other companies that are often involved are ISO certified companies and construction companies that receive extra points when bidding for public works.
--Have you heard any stories from companies that have adopted it and seen actual results?
Ohara: We've actually heard that when we wrote the keywords SDGs and decarbonization on job postings at Hello Work, we saw an increase in job seekers in their 20s to 40s. We've also seen our efforts being introduced as case studies, more opportunities to speak, and more requests to exchange information. We're still feeling our way around, so we'll keep working hard.
--It would be great if a system could be established in the future where local businesses are properly evaluated and this leads to increased business. Our company would like to cooperate with this.
Thank you for today. I look forward to your continued support.
From left: Hideto Shuto, Kazuyuki Okaichi, Yuki Ohara, Kenichiro Yoshida
- The Bank of Iwate, Ltd. has been recognized by the Cabinet Secretariat's Digital Garden City-State Initiative Realization Council Secretariat for its efforts toward realizing a carbon-free society.
The Bank of Iwate, Ltd. Head Office
Online interview scene. From left: Mr. Funayama and Mr. Okaichi
From left: Hideto Shuto, Kazuyuki Okaichi, Yuki Ohara, Kenichiro Yoshida
