June 28, 2023

Diverse Resources saving/ Resources circulation

Idemitsu Begins Study on Establishing a Large-scale Organic Waste Composting Business -Collaboration with Canadian startup, aiming for initial plant construction in Japan in the late 2020s-

Idemitsu Kosan Co.,Ltd. (head office: Chiyoda-ku, Tokyo; Representative Director, President & CEO: Shunichi Kito; hereinafter, "Idemitsu"), one of Japan's leading producers and suppliers of energy, along with its wholly owned subsidiary Idemitsu Americas Holdings Corporation (hereinafter, "IAH"), based in San Jose, California, U.S., and in collaboration with Canadian start-up Anaconda Systems Limited (hereinafter "Anaconda"), began a study this month aimed at establishing a large-scale compost production business using organic waste as a raw material. The business will utilize technology to compost organic waste in a short period of within ten days, aiming for large volume, exceptionally cost competitive waste treatment and compost production.

A wide range of measures for resource recycling are being developed and explored in the food and agricultural fields to support the realization of a low-carbon society, such as the recovery and composting of fertilizer components from food residue and sludge, and carbon dioxide storage through production and dispersion of biochar.
One measure for decarbonization is the expansion of organic farming using organic fertilizer*1 instead of chemical fertilizers*2, which emit large volumes of greenhouse gases during manufacturing and transport. Especially in Japan, which relies on imports for much of the raw material used in chemical fertilizer production, rising costs for chemical fertilizer materials has a significant impact on food production. Increasing domestic production of organic fertilizer is necessary to both realize a low-carbon society and ensure the stability of food production.
The compost production business being considered by Idemitsu, IAH, and Anaconda will convert organic waste such as food scraps and other food waste, animal and plant residue, and animal manure into stable quality compost in a short period of time. Anaconda’s aerobic digestion*3 technology makes it possible to maintain an optimal environment for natural fermentation, and produce compost while minimizing energy consumption, such as electricity required for temperature control.
Going forward, Idemitsu and IAH will pursue the practical application of the composting business in cooperation with local governments, and partner companies that will handle facility operation and maintenance. The project plan calls for building an initial compost plant capable of processing around 200-300 tonnes of organic waste per day, by the latter half of the 2020s.

  • Organic fertilizer is made from vegetable or animal organic matter.

  • Chemical fertilizers are produced by chemical methods from minerals or other inorganic substances.

  • Aerobic digestion is the activation of microorganisms in organic waste by introducing oxygen into the waste and maintaining it at a certain temperature. It is a technique for producing compost through fermentation and decomposition to provide nutrients for soil.

Resource Circulation Image of Compost Production Business

Resource Circulation Image of Compost Production Business

Resource Circulation Image of Compost Production Business

Resource Circulation Image of Compost Production Business

Resource Circulation Image of Compost Production Business

Resource Circulation Image of Compost Production Business

[Features of the business under consideration]

  • 1.

    Highly efficient method that allows for large-scale, domestic production of compost
    Anaconda's aerobic digestion technology enhances the action of microorganisms present in waste, supporting a production method able to convert organic waste into stable compost in a short period of time (within 10 days). By applying this technology in Japan, Idemitsu aims to realize extremely high-efficiency plant operations and large-scale domestic production of compost.

  • 2.

    Energy efficiency realized through optimal waste treatment and resource recycling
    Currently, incineration at municipal facilities is the main method of waste disposal in Japan. However, because of the the high moisture content in organic waste such as food, sludge, and animal manure, a large amount of energy is required for incineration. By composting as an alternative to incineration, waste material is circulated as resources, while also improving the efficiency of energy use in waste treatment and reducing costs.

  • 3.

    Realization of a low-carbon society rooted in local communities
    By developing this business in areas throughout Japan, Idemitsu aims to establish a waste treatment and compost production model based on local production for local consumption, contributing to regional economies. The project also supports the policy of Japan's Ministry of Agriculture, Forestry and Fisheries calling for reduction in the use of chemical fertilizers and expansion of organic agriculture, and contributes to the realization of a low-carbon society.

<Comment from IAH President and CEO Motohiro Suzuki>

Through collaboration with Anaconda, we aim to contribute to decarbonization, stable food production, and regional revitalization in Japan. Over the longer term, we are looking to expand this business to the Asian region as a solution for the issues facing society.

<Comment from Anaconda CEO Russell Zishiri>

The Idemitsu and Anaconda partnership will sustain communities today and into the future. We expect our collaboration in Japan will continue to grow, into various Asian markets to realize the goal of low carbon society.
Anaconda has developed a proprietary technology for organic waste processing that is low footprint and high throughput. This infrastructure can be deployed in urban centers close to the source of generation of this waste. These fundamentals make perfect sense for the Japanese and other markets seeking to create a sustainable circular process for organic waste.

IAH President and CEO Motohiro Suzuki (left)
 with Anaconda CEO Russell Zishiri (right)

IAH President and CEO Motohiro Suzuki (left)
 with Anaconda CEO Russell Zishiri (right)

IAH President and CEO Motohiro Suzuki (left)
 with Anaconda CEO Russell Zishiri (right)

About Anaconda Systems Limited

Anaconda is a cleantech company founded in Vancouver, Canada in 2015. Using a proprietary aerobic digestion system, Anaconda is currently in commercial operation with its first plant in Vancouver, which produces compost from organic waste. Anaconda intends to construct and operate 50 plants in North America by 2035.

当社は2050年カーボンニュートラル社会の実現に向け、2030年ビジョン「責任ある変革者」、2050年ビジョン「変革をカタチに」を掲げています。昨年11月に発表した中期経営計画(対象年度:2023~2025年度) では、下記「3つの事業領域」の社会実装を通して「人々の暮らしを支える責任」と「未来の地球環境を守る責任」を果たします。

Three business domains driving the evolution of Idemitsu&#39;s business portfolio
Three business domains driving the evolution of Idemitsu&#39;s business portfolio

Three business domains driving the evolution of Idemitsu's business portfolio

The composting business under consideration is an initiative for the "Diverse resource conservation / circulation solutions" domain.

Regarding news release
 contact information

Idemitsu Kosan Co., Ltd. Public Relations Department, Public Relations Division

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