Sustainability in Our Organization
Approach to Sustainability Issues and Sustainability Governance Structure
ORIX has diverse businesses, and each business has a wide range of sustainability issues that either affect society or are affected by society. For this reason, we divide our sustainability efforts into two categories: the corporate (Group-wide) level and the business unit level.
Among discussions of sustainability, Group-wide themes are mainly compiled by the Investor Relations and Sustainability Department and reported to top management and the Sustainability Committee. At the same time, at Business Unit Strategy Meetings attended by internal directors and heads of business units, including top management, discussions are held as appropriate regarding the promotion of sustainability in each business unit, and these are also reported to the Sustainability Committee on a regular basis. Matters reported to the Sustainability Committee are also reported to the Board of Directors.
| Corporate Level | Business Unit Level | |
|---|---|---|
| Applicability | Group-wide | Specific to each business unit |
| Governance | Sustainability Committee | Sustainability Committee and respective business unit heads |
| Administration | Investor Relations and Sustainability Department | Investor Relations and Sustainability Department Sustainability contact at respective business unit |
| Key Terms | Unifying culture Minimum standards Zero tolerance Transparency |
Tailored approach and ownership |
Sustainability Governance Structure
Sustainability Committee
Purpose and position of the Sustainability Committee
The Sustainability Committee implements ESG-related material issues and key goals Group-wide. It formulates strategic approaches, KPIs, and action protocols, and the results of its deliberations will then be reported to and approved by the Board of Directors. The Board of Directors supervises and guides the promotion of sustainability.
Composition of the Sustainability Committee
Committee members include Group CEO (chair), Group COO, Deputy President Executive Officer, Executive Officer Responsible for Corporate Strategy and Management Unit, and other Executive Officers designated by the Group CEO. Also attended by other participants depending on the agenda.
Role of the Sustainability Committee
- Discussion of specific measures to achieve ESG-related key goals
- Discussion of any conflicts arising between short-term earnings and long-term growth
- Discussion of measures to reduce climate change risk following TCFD (Task Force on Climate-related Financial Disclosures) framework
- Sharing of information on corporate sustainability developments both in Japan and overseas
- Discussion of matters to report to the Board of Directors
Sustainability Promotion Status
Group-wide Themes
(1) Performance for the fiscal year ended March 2025
- Strengthening supply chain management system: Initiatives implemented in ORIX Auto, ORIX Rentec, and the Real Estate segment, along with the resulting improvements in third-party evaluations.
- Preparing to comply with disclosure regulations: Accelerating GHG emissions calculation processes incorporating them into disclosure control processes.
(2) Focus themes for the fiscal year ending March 2026
- Updating ESG-related key goals and material issues: Progress toward 2030 goals remains steady. We will update goals and issues in light of ORIX’s long-term vision and the forthcoming SSBJ standards.
- Reducing Scope 2 emissions: We have formulated reduction plans for each major emission site and will implement reductions in phases.
- Maintaining and improving ESG ratings: Based on peer comparisons, we will continue working to maintain and improve five ESG ratings.
Business Unit Level Approach
(1) Major initiatives for the fiscal year ended March 2025
- Auto: In the leasing business, increased the proportion of next-generation vehicles.*1 Advanced the use of green electricity for our own operations, and formulated a Supplier Code of Conduct
[239KB] (in Japanese). - Rentec: Conducted a second round of supplier questionnaire surveys. Developed CSR Procurement Guidelines[427KB] (in Japanese) and an explanatory handbook, and communicated them to key suppliers.
- Real Estate: Accelerated the renewal of energy-saving equipment at owned properties, expanded the use of renewable electricity. Continued to promote food waste recycling.
- Environment and Energy: Conducted quantitative verification toward the conversion of coal–biomass co-fired power plants to biomass-only operations.
- Banking: Executed sustainable finance.
- Ship Business: Placed newbuilding orders for next-generation fuel vessels.*2
(2) Approach of each business unit from the fiscal year ending March 2026 onward
Please refer to Material Issues for Specific Business Areas.
- Hybrid vehicles (HV), plug-in hybrid vehicles (PHV), electric vehicles (EV), and fuel cell vehicles (FCV).
- Dual-fuel vessels powered by methanol and heavy oil.