Climate Lobbying Overview

Daiwa House Industry’s top-line positions appear to be broadly positive, but the company does not appear to be strategically engaged on specific climate change policies. It has advocated for higher renewable energy targets in Japan and global COP26 ambitions as part of business coalitions.

Top-line Messaging on Climate Policy:

Daiwa House Industry appear to be generally supportive of action on climate change in its top-line messaging. In its long-term environmental vision updated in 2021, Daiwa House Industry appears to support Japan’s commitment to 2050 carbon neutrality and the green growth strategy formulated by METI. In the same statement, Daiwa House Industry also recognizes that the “Paris pledge to limit global warming to 1.5° above pre-industrial levels, is becoming the mainstream goal worldwide,” citing the US return to the Paris Agreement and China’s 2060 decarbonization target.

The company also recognizes the science of climate change in its 2021 Integrated Report along with the 2021 Sustainability Report. Ahead of the COP26 in September 2021, Daiwa House signed the We Mean Business Coalition letter to the G20, calling for the removal of fossil fuel subsidies by 2025 and putting a meaningful price on carbon to keep 1.5°C within reach.

Engagement with Climate-Related Regulations:

Daiwa House Industry appears to have limited engagement with specific climate-related regulation in recent years. 

It recognizes carbon tax and emissions trading in its 2021 Sustainability report, yet remains silent on their own position towards the policies. 

Daiwa House Industry disclosed in the CDP response that it participated in the revision of energy efficiency standards under the Building Energy Efficiency Act, supported raising the energy conservation standards and making them obligatory, but also requested to ease the obligatory detailed calculations that might burden builders. 

Positioning on Energy Transition:

In 2021 March, Daiwa House Industry sent a letter to the Japanese government through the Japan Climate Leaders’ Partnership (JCLP) along with 53 of RE100 Japanese companies. The letter called on the government to set a 50% renewable target for 2030, greater leadership and action to reduce reliance on fossil fuels and to make renewable energy more accessible to companies.

Daiwa House co-signed a letter to Japanese policymakerswith other RE100 companies in June 2019, advocating for a 50% renewable energy ratio in 2030 energy mix and called for procurement methods such as direct power purchase agreements (PPAs) between consumers and power generation companies.

Industry Association Governance:

In its 2020 CDP response, Daiwa House Industry disclosed its membership with the Japan Prefabricated Construction Suppliers and Manufactures Association, without referencing specific policy items or describing engagement activities undertaken by the organization. Daiwa House Industry also appears to have disclosed its membership to the Japan Construction Material and Housing Equipment Industries Federation (J-CHIF). Daiwa House Industry did not include any other trade associations to which it belongs, nor did it disclose its trade associations on its website. Daiwa House is an executive member of the Japan Climate Leaders’ Partnership (JCLP) that has positively engaged on a number of Japanese climate change and energy regulations and policies. The company is also a member of Keidanren, which is negative on most strands of climate policy in Japan.