Environmental Management

Aspects Determained as Materiality
  • Energy

    302-1

  • Emissions

    305-5

Principle and Outline

Contributing to regional and global environmental conservation is a pivotal mission of the Daigas Group, which conducts business mainly in the field of energy. The Basic Environmental Philosophy, formulated in 1992, and the Osaka Gas Group CSR Charter, formulated in 2006 (revised as the Daigas Group Charter of Business Conduct in April 2021), both include “Harmonizing with the environment and contributing to realizing a sustainable society” as a key issue.

Furthermore, to help put the philosophy and charter into concrete action, in 2006 we established the Osaka Gas Group Environmental Activities Policy (revised as the Daigas Group Environmental Activities Policy in January 2018), which comprises three standards. In April 2021, we abolished the Daigas Group Environmental Activities Policy and revised the environmental provisions in the Daigas Group Code of Business Conduct and the Daigas Group Environmental Policy to further increase our environmental commitment.

In 2010, we established the Biodiversity Policy to promote our efforts toward the conservation and sustainable use of biodiversity. We have also acquired EMS certification, including ISO 14001 certification, and been operating the EMS to accelerate our Group-wide environmental management efforts.

In line with its Charter of Business Conduct, Code of Business Conduct, and Environmental Policy, the Daigas Group promotes environmental conservation activities and strives to achieve the medium-term environmental targets it has set for the reduction of GHG emissions from its business activities, the “3R” (reduce, reuse, and recycle) initiative, etc. In March 2017, the Daigas Group unveiled the Long-term Management Vision 2030, which shows the Group’s vision for FY2031, and the Medium-Term Management Plan 2020: Going Forward Beyond Borders, which defines specific strategies for fulfilling the vision and relevant management indicators. Under these, we have devoted active efforts to helping increase the use of natural gas, developing and facilitating more widespread use of highly efficient equipment, including fuel cells, offering customers proposals for the use of energy-saving products and services, and introducing renewable energy. We announced the Daigas Group Carbon Neutral Vision in January 2021 and the Medium-Term Management Plan 2023: Creating Value for a Sustainable Future in March of the same year to further accelerate our efforts toward low-carbon or decarbonized business operations.

The Daigas Group will continue to promote the development and widespread use of environmental technologies to contribute to environmental improvement at regional, national, and global levels.

Daigas Group Biodiversity Policy

The Daigas Group established a policy on preserving biodiversity in April, 2010.

The Daigas Group recognizes its involvement in domestic and international biodiversity through its business activities and its capability to contribute to educational activities related to biodiversity for customers in various areas through our products and services. As such, we must act in accordance with the thinking that the various benefits of biodiversity are indispensable to humankind.
Companies are expected to play a part in decisions regarding private sector planning of biodiversity treaties including the Basic Act on Biodiversity and people expect us to address biodiversity, which is closely tied to global environmental issues.
We have established the Daigas Group Biodiversity Promotion Policy to conserve biodiversity and contribute to creating a society in harmony with nature that can pass on the gifts of nature to future generations, and to promote initiatives related to conserving biodiversity and using resources sustainably.

Formulated on April 26, 2010
Revised on January 31, 2018
Implemented on March 1, 2018
ESG Executive, Osaka Gas Co., Ltd.

Statement

We at the Daigas Group, will contribute to the realization of a sustainable society in harmony with nature by cooperating with various constituents, proactively undertaking initiatives for conserving biodiversity and using resources sustainably, and educating our customers through products and services that take biodiversity into consideration. To that end, we will carry out the two ongoing initiatives outlined below.

  • 1. We will endeavor to grasp the connections between business activities and biodiversity (the gifts of nature and impacts).
  • 2. By engaging in business activities that take biodiversity into consideration and other activities, we will reduce our impact on biodiversity and endeavor to use resources sustainably.

Specifically, we will engage in activities based on the following seven perspectives.

Ⅰ : Ongoing Initiatives
We will achieve improvements in awareness of biodiversity initiatives for each and every one of our employees and undertake ongoing initiatives from a medium- to long-term perspective.

Ⅱ : Regional Importance and Broad Global Awareness
We will carry out initiatives aimed at improving awareness of the formation of links to nature in regional areas and biodiversity as a group of companies with roots in regional areas. Furthermore, taking into account our dependence on resources from overseas, we will contribute to conserving biodiversity from a global perspective.

Ⅲ : Cooperating with and Taking into Consideration a Variety of Stakeholders
Through dialogue, we will take into consideration the opinions of and cooperate with a variety of stakeholders on biodiversity initiatives including researchers, and representatives from governments and non-profit organizations (NPOs).

Ⅳ : Philanthropy
As a local citizen, Osaka Gas will collaborate with governments and citizens to conserve and restore local biodiversity, and engage in activities to improve local citizens' awareness of these initiatives. Furthermore, as a good corporate citizen we will endorse and collaborate on international projects that contribute to biodiversity.

Ⅴ : Cooperating with and Taking into Consideration a Variety of Stakeholders
In addition to measures to prevent global warming at the Daigas Group, when implementing the greening of business locations, we will take into consideration biodiversity such as giving preference to native species.

Ⅵ : Consideration through Supply Chain
We will endeavor to procure resources taking biodiversity into account.

Ⅶ : Cooperating with and Taking into Consideration a Variety of Stakeholders
When planning large-scale projects that have the potential for major environmental impacts on ecosystems implemented by the Daigas Group, we will determine the impacts as necessary and endeavor to reduce and mitigate the impacts on biodiversity.

In addition to initiatives based on these seven perspectives, as a company group of which major business revolves in the Kansai Region, Daigas Group will promote activities for the conservation and planting of native plant species such as those mentioned in classic literature texts and contribute to the restoration of natural spaces in the region to their original form. Furthermore, in the area of urban development and reconstruction, we will contribute to conserving biodiversity and improving local citizens' awareness by acting on knowledge accumulated up to now at the Daigas Group.

Daigas Group Environmental Policy

“Daigas Group Environmental Policy” is the commitment by the CEO. Aiming for its achievement, Daigas Group established the Environmental Management System, and incorporated it in its business operation.

Daigas Group Environmental Policy

1. As an integrated energy business operator, we strive to contribute to the environmental conservation through our business activities, based on the item, “II. Contributing to the sustainability of the environment and society” set out in the Daigas Group Charter of Business Conduct.

Daigas Group Charter of Business Conduct II. Contributing to the sustainability of the environment and society

The Daigas Group addresses the environmental issues both at regional and global levels as a matter of paramount importance in its business centered on energy supply. In light of the impacts of its business activities on the environment, the Daigas Group strives to tackle climate change and other environmental issues, develop innovative technologies and promote their wider use, and support the advanced use of resources and materials.

2. We strive to achieve the continual improvement of our environmental management system and the enhancement of our environmental performance through the assessment of the environmental impact of our businesses and the efforts to achieve our environmental objectives set out in accordance with the requirements of the environmental management system of each company in the Daigas Group.

3. We pursue the reduction of environmental impacts, prevention of pollution, and conservation of biodiversity by focusing on the following scope.

ⅰ. Business activities
We aim to reduce the environmental impacts of our business activities by strengthening our environmental management system and promoting our internal activities for saving energy and natural resources.

ⅱ. Products and services
We offer natural gas, a low carbon fuel, as well as products and services that contribute to reducing environmental impacts. We strive to develop technologies and systems for environmental conservation, promote their wider use, and enhance the reuse of resources.

ⅲ. Geographical areas
In each country and region where we operate, we take an active part in environmental conservation efforts.

4. We comply with the legal requirements for the environmental protection and other requirements to which we subscribe.

This Environmental Policy is communicated to all persons involved in the operation of the Daigas Group Environmental Management System, and is available to the public.

April 1, 2021
ESG Executive,
Osaka Gas Co., Ltd.

System to Promote Environmental Management

Responsibilities

  • To carry out appropriate and robust activities toward sustainability under the leadership of the President, the Daigas Group has established the ESG Council, which comprises executives and deliberates sustainability action plans and reports, and the ESG Committee chaired by the Executive in Charge of ESG Promotion (Vice President), who supervises Group-wide sustainability activities. In addition, the Environment Subcommittee has been set up to work on agendas concerning Charter of Business Conduct II and advance environmental management in coordination with the ESG Committee. Furthermore, we operate a unified ISO 14001-registered environmental management system (EMS) under the supervision of the Executive in Charge of ESG Promotion. The EMS ensures that all employees help reduce the environmental impact of business activities and comply with environmental laws and regulations.
    Forty-nine domestic Daigas Group companies operate under different EMS standards, such as ISO 14001, Eco Action 21, and the Daigas Group Environmental Management System (OGEMS).

  •  Environmental Management Promotion Structure

How the Daigas Group’s Environmental Management System works

To reduce the environmental impact of its city gas business and other Group-wide business activities in line with the Daigas Group Environmental Policy, the Daigas Group has set medium-term environmental targets in its Long-Term Management Vision 2030 and other plans and manages progress in achieving the targets. The environmental targets include those for CO2 emissions reduction, more widespread use of renewable energy, waste reduction and recycling, and the reduction of excavated soil for final disposal. We also annually calculate GHG emissions (a chief cause of climate change) from the activities throughout our Group’s value chain and use that data to advance our efforts to reduce GHG emissions. These targets and the results of our efforts to achieve the targets are reported for follow-up to the Environmental Subcommittee, the ESG Committee, and the ESG Council (Executive Board) and managed by functioning the PDCA (plan-do-check-act) cycle.

How the Daigas Group’s Environmental Management System works

How the environmental management system works

An environmental management system (EMS) is a mechanism for achieving continual improvement by following the PDCA cycle of Plan, Do, Check, and Act based on requirements that include assessing the organization and its condition, addressing the needs and expectations of stakeholders, and identifying risks and opportunities.

How the Environmental Management System (EMS) works

Osaka Gas's ISO Certification Acquisition Status

Osaka Gas continues certification for company-wide integrated ISO 14001

External audit meeting for renewal of ISO 14001 certification

External audit meeting for renewal of ISO 14001 certification

Certificate of Registration for ISO14001

Certificate of Registration for ISO14001

In FY1998, Osaka Gas launched efforts to acquire certification of each business unit’s compliance with ISO 14001, a set of international standards for EMSs, resulting in seven business-unit-specific EMSs covering the entire Company by FY2006. In FY2007, the Company began to work to integrate all the different EMSs into a unified one and obtained certification of its Company-wide compliance with ISO 14001 in December 2007. Since 2009, the Company has undergone triennial reviews for the renewal of ISO 14001 certification and has remained certified, succeeding in matching the revision of the set of standards.
Furthermore, in the wake of the establishment of the Core Energy Business Companies in April 2020, Osaka Gas, in December of the same year, obtained ISO 14001 certification that integrates the three companies into Osaka Gas’s EMS coverage.

Business unit Date of acquisition
Manufacturing Business Unit *1 October 1997
Engineering Department (Construction sector) *1 March 2001
Head Office Building September 2001
Energy Technology Laboratories July 2002
Pipeline Business Unit *2 May 2005
Commercial & Industrial Energy Business Unit *3 February 2006
Residential Energy Business Unit *3 March 2006
Integrated certification accredited December 2007
Examination for the renewal of integrated certification: Examination for adding the three Core Energy Business Companies*4 to the coverage of Osaka Gas’s integrated certification December 2020
  • *1 Currently the LNG, Power and Engineering Business Unit
  • *2 Currently Osaka Gas Network Co., Ltd.
  • *3 Currently the Energy Solution Business Unit
  • *4 Three Core Energy Business Companies: Osaka Gas Marketing Co., Ltd., Daigas Energy Co., Ltd., and Daigas Gas and Power Solution Co., Ltd.

Efforts for Environmental Awareness Raising

Implementation of general training and e-learning

e-learning

e-learning

As part of the Daigas Group's ISO 14001 efforts, we have been conducting an “ISO Environmental Education Course” via e-learning and offering tier- and organization-specific group training. Employees are being instructed in the basic environmental knowledge that they should all possess, the Group's environmental policies and targets, the Group's specific approaches, and other topics via e-learning, while in group training they are being educated in activities designed to improve environmental awareness.

Status of EMSs Implementation in Affiliated Companies

All affiliates in Japan completed EMS building and certification

As a general, all affiliates in Japan have constructed and operate an EMS, and these efforts are based on the group common rules “Environmental Management Rules.”
The EMSs introduced by Osaka Gas affiliate companies include ISO 14001 and an EMS based on Japan’s Ministry of the Environment Eco Action 21 Guidelines, as well as on the “Daigas Group Environmental Management System (OGEMS),” a voluntary EMS that functions in a similar way to Eco Action 21.

■ EMS Standards the 52 Subsidiaries Are Certified to Comply With

(as of April 1, 2021)

Standard Features Total
ISO14001 An international EMS standard set by the ISO (International Organization for Standardization). The aim of the standard is to continuously improve the level of environmental management through the PDCA cycle of Plan, Do, Check, and Act. 22
Eco Action 21 A standard for EMSs based on the Eco Action 21 Guidelines of Japan's Ministry of the Environment. An integration of EMSs, environmental performance evaluation, and environmental reporting, Eco Action 21 makes it possible for even SMEs to voluntarily carry out aggressive environmental efforts and to make and publicly release environmental activity reports on the results of these efforts. 1
Kyoto Environmental Management System Standard Standard aimed mainly at SMEs, established by the Kyoto Local Agenda 21 Forum, which is made up of the municipal government, businesses, and citizens. The content is expressed in simple language and achieving the standards is a straightforward, two-step process. 1
Daigas Group Environmental Management System (OGEMS) Based on Eco Action 21, this standard was established by Osaka Gas in 2005 for its affiliated companies. The secretariat is Osaka Gas’s General Affairs Department, which carries out all procedures, from consultation on system introduction to certification according to their actual conditions. 31
Total number acquired* 55
  • * Total number acquired
    Osaka Gas Liquid, Cryo-Air and Osaka Gas Chemicals have developed ISO 14001 and OGEMS.

■ Status of EMS Implementation (Osaka Gas, Affiliated Companies)

(As of April 1, 2020)

EMS Certification acquired Percentage by EMS standard type against Osaka Gas and 52 consolidated subsidiaries*1 (on a sales basis)*2
ISO 14001 (23 companies) Osaka Gas Co., Ltd.; Osaka Gas Marketing Co., Ltd.; Daigas Energy Co., Ltd.; Daigas Gas and Power Solution Co., Ltd.; Senboku Natural Gas Power Generation Co., Ltd.; Nakayama Joint Power Generation Co., Ltd.; Nakayama Nagoya Joint Power Generation Co., Ltd.; Hirogawa Myojin-yama Wind Power Co., Ltd.; Hayama Wind Power Generation Co., Ltd.; Yura Wind Development Co., Ltd.; Hizen Wind Power Generation Co., Ltd.; Hirao Wind Development Co., Ltd.; Inami Wind Power Station Co., Ltd.; Daigas Oita Mirai Solar Co., Ltd.; Osaka Gas Renotech Co., Ltd.; Enetec Kyoto Co., Ltd.; Enetec Osaka Co., Ltd.; Cold Air Products Co., Ltd.; Cryo-Air Co., Ltd.; Osaka Gas Chemicals Co., Ltd.; Minabe Chemical Industries Co., Ltd.; Mizusawa Industrial Chemicals, Ltd.; Osaka Gas Liquid Co., Ltd. 81%
Eco Action 21 (1 company) Osaka Gas Business Create Co., Ltd. 1%
KES (1 company) KRI 1%
Daigas Group Environmental Management System (31 companies) Osaka Gas Liquid Co., Ltd.; Cryo-Air Co., Ltd.; Kinpai Co., Ltd.; Living Maintenance Service Hokuto Co., Ltd.; Living Maintenance Service Osaka Co., Ltd.; Osaka Gas Cooking School Co., Ltd.; Create Kansai Co., Ltd.; Osaka Gas Customer Relations Co., Ltd.; Osaka Gas Housing & Equipment Co., Ltd.; Osaka Gas Security Service Co., Ltd.; Kansai Business Information Inc.; Ashiyahama Energy Service Co., Ltd.; Nabari Kintetsu Gas Co., Ltd.; Toyooka Energy Co., Ltd.; Shingu Gas Co., Ltd.; OG Sports Co., Ltd.; Osaka Gas Autoservice Co., Ltd.; Osaka Gas Finance Co., Ltd.; Active Life Inc.; Kinki Carbonic Co., Ltd.; Gasnet Co., Ltd.; Osaka Gas Urban Development Co., Ltd.; Osaka Gas Facilities Corporation; Kyoto Research Park Corporation; OGIS-RI Co., Ltd.; Sakura Information Systems Co., Ltd.; Ube Information Systems Inc.; System Answer Inc.; SIS Techno Service Co., Ltd.; JOE Corporation; Osaka Gas Chemicals Co., Ltd. 18%
  • *1 52 consolidated subsidiaries
    52 companies that have already acquired either external or original EMS certification
  • *2 Percentage by EMS standard type
    Calculated based on the actual sales in FY2021. Since some companies have certification by multiple types of EMS standards, the total percentage points exceed 100.

Sustainability of
the Daigas Group
President's Commitment
Values and Sustainability Promotion of the Daigas Group
Daigas Group's Values Daigas Group Charter of Business Conduct and Management Policy Daigas Group Code of Business Conduct Sustainability Promotion System and Management Stakeholder Engagement Initiatives the Daigas Group Participates In Commendation from the Outside
Sustainability Management and Value Creation Process
Value Creation Process of the Daigas Group Long-Term Management Vision 2030 Medium-Term Management Plan 2023 Daigas Group Carbon Neutral Vision
Actions on Materiality
Materiality of the Daigas Group Materiality Review Cycle Customer Health and Safety
(FY2021 Report)
Energy / Emissions
(FY2021 Report)
Local Communities
(FY2021 Report)
Customer Privacy
(FY2021 Report)
Supplier Assessment
(FY2021 Report)
Training and Education
(FY2021 Report)
Diversity and Equal Opportunity
(FY2021 Report)
Economic Performance
(FY2021 Report)
Creating Value for Customers
(Charter I)
Contributing to the Sustainability of the Environment and Society
(Charter Ⅱ)
Engaging with and Contributing to Society (Charter Ⅲ) Respecting Human Rights
(Charter IV)
Complying with Laws and Regulations (Charter V) Providing Work Environment That Supports Employees’ Personal Growth (Charter VI)
Corporate Governance
Corporate Governance Risk Management Compliance Messages from Outside Directors
Value Chain and Sustainability
Consideration for the Value Chain and Stakeholders Social Impact of Business Activities in Our Energy Value Chain and Our Efforts toward Sustainability
Daigas Group's Efforts for SDGs
Special Features: Co-create Value for a Sustainable Future - Daigas Group×Stakeholders Achieving a Low Carbon / Carbon Neutral Society Establishing Lifestyles and Businesses Adjusted to the New Normal Enhancing Resilience of Customers and Society Back Numbers of Special Features
FY2021 Activities Report
Creating Value for Customers (Charter I)
Charter I Index Management for Creating Value for Customers Safety and Security 1:
Procurement Stage
Safety and Security 2:
Processing Stage
Safety and Security 3:
Distribution Stage
Safety and Security 4:
Consumption Stage
Incorporating Customer Opinions Proposing New Value
Contributing to the Sustainability of the Environment and Society (Charter Ⅱ)
Charter Ⅱ Index Management toward Contributing to the Sustainability of the Environment and Society Environmental Management Environmental Management: Indicators, Targets and Results Actions for Climate Change: Recognition of and Action on Risks and Opportunities Actions for Climate Change: Method to Evaluate Effects of CO2 Emissions Reduction Actions for Climate Change: Working to Reduce CO2 Emissions in Business Activities Actions for Climate Change: Working to Reduce CO2 Emissions at Customer Sites Efforts in Resource Recycling Conserving Biodiversity Developing Environmental Technologies Addressing Environmental Risk Promotion of Green Purchasing Environmental Communication
Engaging with and Contributing to Society (Charter Ⅲ)
Charter Ⅲ Index Management of Engagement with and Contribution to Society Social Contribution Activities Corporate Volunteering Activities under the Small Light Campaign Activities for Promoting Communication with Society Activities at Osaka Gas' Foundations
Respecting Human Rights (Charter IV)
Charter IV Index Status of Management regarding Respect for Human Rights Human Rights Due Diligence Action on Human Rights
Complying with Laws and Regulations (Charter V)
Charter V Index Management for Complying with Laws and Regulations Compliance Promotion Efforts Efforts for Protection of Personal Information Information Security Consultations and Reports from Partner Companies
Providing Work Environment That Supports Employees’ Personal Growth (Charter VI)
Charter VI Index Status of Management to Support Employees' Personal Growth Employment Acceptance of Diversity Balancing Work and Family Human Resource Development and Rewards Communication Between Employees and Company Improving Occupational Health and Safety
Reporting Guidance and Guidelines and ESG Data
Reporting Guidelines
ESG Data
Environmental Performance Data Social Data Governance Data
Reports
Policy on Reporting Sustainability Activities Third-Party Review /
Third-Party Verification
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