Hitachi Industrial Equipment Systems launches service to convert CO₂ reductions into credits

Hitachi Industrial Equipment Systems (HIES; Chiyoda-ku, Tokyo; President & CEO: John Randall) will launch a new service in fiscal 2026 that converts CO₂ emission reductions from compressor upgrades into tradable carbon credits, returning the sale proceeds to customers. Users who subscribe to the company’s FitLive operational monitoring service and upgrade to the latest equipment will automatically qualify for the program. 

Leveraging Japan’s J-Credit scheme 

From left: Yoshito Endo, Engineer of the Connected Service Group; Shota Kondo Shota Kondo, Chief of the LCM Sales Promotion Group; and Yusuke Nakagawa Group Leader and Deputy General Manager of the Connected Service Group

The service utilizes Japan’s government-backed “J-Credit” scheme, which certifies CO₂ emission reductions as tradable credits that companies can purchase to meet environmental targets. 

HIES has equipped its compressors with IoT-based FitLive as standard since 2017. The system automatically collects and analyzes operational data from upgraded compressors, enabling precise calculation of CO₂ reductions compared to older models. HIES will handle all credit certification applications and sales, distributing proceeds back to users. 

“Users simply subscribe to FitLive and operate the latest equipment—nothing more is required. Even small and medium-sized enterprises can easily participate,” said Shota Kondo, Chief of the LCM Sales Promotion Group, Customer Success Strategy Department, Customer Success Division. 

The service will run as a trial during fiscal 2025 before full deployment in fiscal 2026, aligning with J-Credit’s annual accounting cycle. 

Driving equipment renewal with environmental incentives 

HIES recommends major compressor overhauls every eight years. Traditionally, users faced a choice between performing these overhauls or upgrading equipment. With growing environmental awareness and persistently high electricity costs, interest in energy-efficient upgrades has increased. 

The new service aims to accelerate this trend. For example, upgrading a standard 37 kW air compressor to the latest model operating 4,000 hours annually can reduce CO₂ emissions by approximately 9 tons per year. 

Strengthening customer relationships through integrated services 

HIES’s compressor business has increasingly focused on service enhancement. FitLive provides remote operational monitoring, predictive diagnostics, and maintenance support. 

“At installation, 70–80% of users opt for FitLive connection. Compressed air is essential factory infrastructure, so demand for continuous monitoring is high,” said Yoshito Endo, Engineer of the Connected Service Group, Customer Success Division. 

The credit scheme creates additional incentives for optimal equipment operation. As the company notes, increased CO₂ reductions result in greater credit returns, encouraging users to adopt better maintenance practices—even simple measures like preventing filter clogging can deliver significant benefits. 

Yusuke Nakagawa, Group Leader and Deputy General Manager of the Connected Service Group, Customer Success Division, emphasized the dual focus: “FitLive users gain enhanced services plus revenue from credit sales. This initiative strengthens customer relationships while advancing environmental goals.” 

Image: Example of the FitLive monitoring interface (courtesy of Hitachi Industrial Equipment Systems)