Customer Health and Safety (FY2021 Report)
Materiality Indicators
Management Approach
Why the topic is material
The Daigas Group puts the highest priority on securing safety of gas supply and facilities as an energy business operator which supplies city gas to 5.031 million customers. Therefore, we consider it important that we make efforts to enhance the safety level and formulate a structure to respond possible accidents and disasters.
Boundary
Within the Group
Management systems and performance
Indicator (GRI Standards: 416-1)
Percentage of city gas supplied by Osaka Gas that undergoes health and safety assessment
Commitment
Osaka Gas is committed to ensuring the safety of city gas, our primary product, its secure supply, and the safety of our gas facilities—all by adhering to our “Security Rules” according to the terms of the Gas Business Law.
(International and domestic standards)
- ・Gas Business Law
(In-house policy and standards)
- ・Daigas Group Code of Business Conduct
- ・Security Rules
Responsibilities
The Daigas Group has established a system to ensure the safety of the city gas supply and gas appliances encompassing all facets of the Group’s city gas value chain — processing, supply, sales, and consumption. The Head of Safety and the individuals heading the safety operations of each business unit and Osaka Gas Network Co., Ltd. supervise safety and security matters concerning their respective business.
In addition, the Executive Safety Council, comprising the Head of Safety; the individuals heading the safety operations of each business unit and Osaka Gas Network Co., Ltd.; and the chiefs of the relevant departments, convene safety and security meetings five times annually to plan safety initiatives and assess the achievements made in the relevant term. In line with the annual plan, each business unit and Osaka Gas Network Co., Ltd. systematically promotes initiatives to ensure security and improve safety.
- * In April 2022, Osaka Gas Network Co., Ltd. took over the city gas pipeline business of Osaka Gas Co., Ltd.
■ Security and Safety Promotion Structure

- *Effective April 2022, Osaka Gas Network Co., Ltd. was incorporated as a result of the legal separation of Network Company, the former pipeline business unit of Osaka Gas.
Performance
In FY2021, all procedures were conducted based on guidelines in accordance with laws and regulations as well as in-house rules for processes such as quality control of gas in LNG terminals, safety inspection of gas pipelines and supply facilities, and safety inspection of gas appliances with customer consent.
Specific actions taken regarding materiality
To ensure our customers receive our energy services without worry, we are focused on maintaining the high quality of the city gas we supply while ensuring the stability of our gas supply and the safety of gas-processing and supply facilities.
■ Process of the Gas Business

- * In April 2022, Osaka Gas Network Co., Ltd. took over the city gas pipeline business of Osaka Gas Co., Ltd.
Ensuring the quality and safety of city gas
Every day, the city gas plant monitors the quality of the city gas to ensure conformity with the standards set by Osaka Gas according to legal and regulatory requirements. The capacity of the gas holders and gas supply pressure are monitored and well managed in real time.
Inspection of gas pipelines
Gas supply facilities including gas pipes and pressure regulators are inspected to ensure their safety. The frequency and content of such inspections are set under in-house Security Rules.
Securing safety at customers' sites
Facilitate systems to response to reports and prepare resources for dispatching in case of accidents and disasters 24 hours a day, 365 days a year.
In accordance with laws, inspection of gas appliances for gas leaks, gas water heaters for air supply and exhaust function at customers' sites at least once every four years (at least once a year for some customers) were conducted. The visits to the customers were exploited as the opportunity for recommending installation of alarms for gas leaks for residential use and ventilation for commercial use, of which penetration rate were 50.1% and 98.5%, respectively. We are conducting replacement of old gas pipes with new ones that are resistant to earthquakes and corrosion. We are actively proposing the renewal of corrosion-prone old gas pipes by contacting affected customers. In FY2016, we implemented measures to deal with old gas pipes made of gray cast far ahead of the initial schedule of FY2021. We are continuing to take measures against old gas pipes made of gray cast iron (gas pipes requiring maintenance and management) and corrosion-prone gas pipes.
Disaster preparedness
After our experience with the Great Hanshin-Awaji Earthquake in 1995, we have implemented a variety of earthquake countermeasures, also adding new measures devised based on our experience with the 2018 Northern Osaka Prefecture Earthquake. Those efforts include the enhancement of safety measures in city gas manufacturing facilities, the replacement of old gas pipes with polyethylene (PE) pipes (approx. 17,200 km installed) that offer excellent durability and seismic resistance, and the installation of intelligent meters that detect earthquake vibrations and shut off the gas supply (approximately 99.9% of all meters and 100% of residential meters).
As an emergency measure, we are constructing a system for shutting off the gas supply to prevent secondary disasters. Automatic seismic detection/remote shutoff devices are being installed (now in approx. 3,000 and 3,600 locations, respectively) that automatically shut off the low-pressure gas supply in the supply area when a large earthquake is detected.
Since the March 2011 earthquake and tsunami that struck northeastern Japan, we have been redoubling our tsunami countermeasures. Standby generators installed at LNG terminals have been reinforced, the watertightness* of the structures housing equipment at the terminals has been improved, and some of the equipment has been moved to higher locations to avoid a tsunami. To prevent secondary damage and facilitate the early recovery of gas supply, one system being introduced is a damage-reduction block system that controls the gas supply of medium- and low-pressure gas pipes installed in coastal areas. In addition to these physical measures in the event of a tsunami, other steps are being taken, such as holding Company-wide Comprehensive Disaster Response Drills and providing emergency training. We expect these disaster-prevention efforts to establish a robust and resilient value chain in city gas service.
(Figures current as of March 31, 2021.)
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* Watertightness
Resistance to flooding from a tsunami
■ Security Measures Prepared for a Major Earthquake
Security Measures Prepared for a Major Earthquake | Status of implementation (as of the end of March 2021)* | |
---|---|---|
(1) Reinforcement of an information collection function | Installation of seismograph | Installed in all areas (3,300 locations) |
Introduction of an earthquake damage prediction system | Introduced to the Central Control Room (Head Office / Sub-center) and all five districts | |
(2) Building of a supply shutoff system | Subdivision of supply blocks | Divided into medium-sized blocks (86) and small blocks (660) |
Introduction of supply shutoff devices | Remote shutoff devices: approx. 3,600 locations Automatic seismic shutdown systems: approx. 3,000 locations |
|
(3) Others | Efforts to diffuse polyethylene (PE) pipes | Polyethylene (PE) pipes to be used for all new low-pressure pipelines, in principle Total extended length of PE pipes: about 17,200 km |
Diffusion of an intelligent meter that detects earthquake vibrations | Completed installation for home use, with an overall penetration rate of 99.9% including business customers. | |
Backup of critical online systems | Establishment of a backup center |
- * Subdivision of supply block as of April 1, 2021
- Sustainability of
the Daigas Group -
President's Commitment
Transition Finance
- 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
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
- FY2022 Activities Report
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- Creating Value for Customers (Charter I)
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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 Activities for Promoting Communication with Society Corporate Volunteering Activities under the Small Light Campaign Social Contribution Activities 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