Human Rights Due Diligence

In accordance with the United Nations Guiding Principles on Business and Human Rights, the Daigas Group is committed to establishing systems in order to respect the human rights of all people affected by the group’s business activities, and proactively disclose its initiatives in this area. The group conducts human rights due diligence as part of its efforts to respect human rights and realize business sustainability.

Under the system shown below, the Compliance Office in the General Affairs Department, the Human Rights Center in the Human Resources Department, and the ESG Office in the Corporate Strategy Department work together in a cycle of activity that includes defining and assessing the human rights risks that may arise in the course of business activities, and taking corrective, remedial or preventative actions in response.

The Daigas Group is involved in urban development, materials solutions, information solutions, and other lines of business in addition to our energy business. We conduct surveys and assessment of potential human rights risks that people may be exposed to through these business activities.

Taking into account survey results and cases handled by consultation desks, we identify the priority human rights themes that the Daigas Group needs to consider in the course of its business activities and establish a priority order for addressing them, by reference to the dual axes of the seriousness of each potential human rights infringement and the likelihood of it occurring. This process is conducted on an annual basis, with the priority human rights themes that the Group needs to consider being revised periodically with input from external experts. The themes identified through this process are confirmed by the Compliance/Risk Management Subcommittee, then reported to the ESG Committee.

Recognizing that human rights issues in the supply chain are one of the most important human rights issues, we strive to capture the real situation and respond to risks when they are identified. Our such attention is paid to our business activities such as raw materials procurement and business consignment. These efforts eye toward the procurement of raw materials for our group's biomass power generation and activated carbon businesses, as well as employment of foreign nationals and acceptance of technical interns in the construction and civil engineering industries in Japan, where labor shortages are an issue. At the review of the risks of human rights issues in the supply chain, no themes requiring immediate action in terms of the seriousness of the potential infringement or the likelihood of it occurring were revealed.

If it becomes clear that the Daigas Group’s business activities are causing or contributing to negative impacts on human rights, we will work to correct and remedy the situation. In some cases, details are also shared in the Compliance/Risk Management Subcommittee and ESG Committee and measures taken to prevent recurrence.
The Daigas Group accepts consultations regarding human rights from not only employees, but also customers, the local community, business partners, and all other stakeholders. Information on consultation desks is provided to employees through channels such as the intranet and posters and to external stakeholders via our website.

As a risk prevention measure, we are working to raise awareness of human rights based on the identified priority human rights themes.

Information on human rights risk surveys and assess and actions taken to address risks are shared with all related organizations and reported to the ESG Committee. We also endeavor to report to stakeholders through the Sustainability section of our website.