CSR Charter ⅡHarmonizing with the Environment and Contributing to Realizing a Sustainable Society
- Principle and Outline
- Daigas Group Environmental Activities Policy
- Daigas Group Biodiversity Promotion Policy
- Osaka Gas Environmental Policy
- Osaka Gas's ISO Certification Acquisition Status
- Efforts for Environmental Awareness Raising
- Status of EMSs Implementation in Affiliated Companies
- Environmental Management Indicators
- Environmental Accounting
Principle and Outline
The Daigas Group sees the pursuit of environmental conservation on a local and global scale in the course of its business activities to be an important mission as a comprehensive energy provider. In 1992, we formulated our “Environmental Philosophy” and began implementing environmental conservation activities in accordance with our “Environmental Activities Policy, ” and we established a “Biodiversity Promotion Policy” in 2010 to help preserve biodiversity. We are also carrying out environmental management throughout the Group by acquiring and administering ISO 14001 certification and other environmental management systems (EMS). To continually and uniformly assess the status of environmental management, we have created “Environmental Management Efficiency” as a CSR indicator unique to Osaka Gas.
Daigas Group Environmental Activities Policy
The “Environmental Philosophy” the Daigas Group established in 1992 enshrines the idea that environmental preservation is of paramount importance for energy utility companies, and that the Daigas Group, being acutely aware of the impact of its business activities on the environment, seeks to harmonize its businesses with the environment. The Group also adopted the “Environmental Activities Policy” consisting of three parts to put the philosophy into practice, and has continued to promote environment-friendly activities in compliance with the policy. The “Environmental Philosophy” was integrated into the “Osaka Gas Group CSR Charter” in April 2006.
Ⅰ : Reducing Environmental Impacts of Our Business
We aim to reduce the environmental impacts of our business activities.
To this end, Daigas Group will strengthen its environmental management system and promote internal activities aimed at saving energy and natural resources.
Ⅱ : Reducing Environmental Impacts of Our Products and Services
By offering environmentally friendly natural gas, and our products and services which contribute to reducing environmental impact, we are making our efforts in partnership with our customers to achieve environmental impact reduction. To this end, we will strive to develop energy-saving systems which contribute to environmental conservation.
Ⅲ : Contributing to Environmental Conservation Locally, Nationally and Internationally
Daigas Group aims to take an active part in environmental conservation activities in areas wherever we conduct business, both in and outside Japan.
Formulated on January 22, 1992 (Osaka Gas Environmental Philosophy)
Formulated on December 25, 1992
Integrated Into the Osaka Gas Group Environmental
Activities Policy on April 1,2006
Revised on January 31,2018
CSR Executive, Osaka Gas Co., Ltd
We are stepping up environmental protection based on the “Daigas Group CSR Charter” and the “Daigas Group Environmental Activities Policy.” To that end, we have set medium-term targets for reducing greenhouse gas (GHG) emissions from business activities and implementing the 3Rs (reduce, reuse and recycle). In March 2017, we adopted the Long-Term Management Vision 2030 which envisages a set of goals to be achieved toward FY2013, released under the title of “Going Forward Beyond Borders, ” including the Medium-Term Management Plan 2020 which contains specific strategies and management indicators for implementing the Long-Term Management Vision 2030. The vision set the goal of reducing GHG emissions by the CO2 equivalent of 70 million tons between FY2018 and FY2031, including emissions on the side of customers and from overseas operations. We aim to achieve the vision by spreading the use of natural gas, developing and diffusing highly efficient appliances including fuel cells, proposing energy-saving solutions, and using more renewable energy sources. We are also striving to preserve biodiversity based on the “Daigas Group Biodiversity Promotion Policy. ”
Furthermore, the Daigas Group will continue to develop and spread the use of new technologies that contribute to establishing a better environmental society both locally and globally.
Daigas Group Biodiversity Promotion Policy
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
CSR Executive, Osaka Gas Co., Ltd.
We at 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
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 of which major business revolves in the Kansai Region, Osaka Gas 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.
Osaka Gas Environmental Policy
“Osaka Gas Environmental Policy” is the commitment by the CEO. Aiming for its achievement, Osaka Gas established the Environmental Management System, and incorporated it in its business operation.
Osaka Gas Environmental Policy
- In order to fulfill its mission as a gas supplier, Osaka Gas makes efforts for environment preservation, energy conservation, and resource saving in its business activities in accordance with the Daigas Group CSR Charter.
- Complying with the requirements of ISO 14001, Osaka Gas sets the objectives and targets aiming for the continuous environmental practice, and makes efforts for the continuous improvement of its Environmental Management System. These are reviewed at planned intervals.
- Osaka Gas pursues further reduction of environmental load, prevention of pollution and preservation of biodiversity through implementation of proactive actions on following dimensions.
- Reducing Environmental Impacts of Our Business
We aim to reduce the environmental impacts of our business activities. To this end, Daigas Group will strengthen its environmental management system and promote internal activities aimed at saving energy and natural resources.
- Reducing Environmental Impacts of Our Products and Services
By offering environmentally-friendly natural gas, and our products and services which contribute to reduce environmental impact, we are making our efforts in partnership with our customers to achieve environmental impact reduction. To this end, we will strive to develop energy-saving systems which contribute to environmental conservation.
- Contributing to Environmental Conservation Locally, Nationally and Internationally
Daigas Group aims to take an active part in environmental conservation activities in areas wherever we conduct business, both in and outside Japan.
- Osaka Gas complies with the legal requirements and other requirements to which it subscribes.
Daigas Group CSR Charter Ⅱ . Harmonizing with the environment and contributing to realizing a sustainable society
Addressing the issues of the environment both at regional and global levels is of paramount importance for the Daigas Group which is engaged in wide-ranging energy services. The Group, being seriously aware of the impacts of its business activities on the environment, seeks to harmonize its businesses with the environment and to realize efficient utilization of energy resources, thereby contributing to achieving a sustainable society.
Daigas Group Environmental Activities Policy
This Environmental Policy is communicated to all persons involved with the operation of the Osaka Gas Environmental Management System, and is available to the public.
CSR Executive, Osaka Gas Co., Ltd
Osaka Gas's ISO Certification Acquisition Status
Osaka Gas continues certification for company-wide integrated ISO 14001
In FY1998, business units of Osaka Gas started efforts to acquire certification for ISO 14001, an international environmental management systems (EMS). As a result, the entire company was covered by seven EMSs by FY2006. From FY2007, we started integration of all the EMSs across the company to enhance company-wide environmental management. Osaka Gas won integrated ISO 14001 certification in December 2007. And since 2009, we have conducted ISO renewal audits every three years and continue to receive accreditation.
Based on this system, in FY2017 we undertook continual improvement efforts ( “Spiral Up” ) such as strengthening compliance with environmental laws and ordinances, defining beneficial environmental activity items, and improving efficiency in administering the system, conducted an integrated company-wide internal audit, and inspected/revamped our activities. In August 2015 we also underwent a periodic review by the Japan Gas Appliances Inspection Association that determined there were no incidents of non-compliance. In April 2017, our operations started under the revised ISO 14001.
|Business unit||Date of acquisition|
|LNG Terminal & Power Generation Business Unit||October 1997|
|Engineering Department (Construction sector)||March 2001|
|Head Office Building||September 2001|
|Energy Technology Laboratories||July 2002|
|Pipeline Business Unit||May 2005|
|Commercial & Industrial Energy Business Unit||February 2006|
|Residential Energy Business Unit||March 2006|
|Integrated certification accredited||December 2007|
|Integrated certification renewal audit||October 2009|
|Integrated certification renewal audit (Second)||October 2012|
|Integrated certification renewal audit (Third)||October 2015|
Efforts for Environmental Awareness Raising
Implementation of general training and 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 “Osaka Gas EMS (OGEMS), ” a voluntary EMS that functions similar to Eco Action 21.
EMS Standards under which Daigas Group Companies (69 companies) are Certified
(As of April 1, 2017)
|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.||10|
|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.||2|
|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.||2|
|Osaka Gas Environmental Management System (OGEMS (R) )||Based on Eco Action 21, this standard was established by Osaka Gas in 2005 for its affiliated companies. The secretariat is Osaka Gas's Environment Department, and it carries out all procedures from consultation on system introduction to certification.||57|
- * Total number acquired
- Liquid Gas and Osaka Gas Chemical have developed ISO 14001 and OGEMS.
(As of April 1, 2017)
Status of EMS Implementation (Osaka Gas, affiliated companies)
|ISO 14001 (11 companies)||Osaka Gas Co., Ltd., Senboku Natural Gas Power Generation, Osaka Gas Renotech Co., Ltd., OGCTS 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 Ltd., Mizusawa Industrial Chemicals, Ltd.||74%|
|Eco Action21 (2 companies)||Kansai Business Information Inc., Osaka Gas Business Create Co., Ltd.||1%|
|KES (2 companies)||KRI, Inc., Kyoto Research Park Corp.||1%|
|Daigas Group EMS
|Osaka Gas Summit Resources Co., Ltd., Osaka Gas International Transport Inc., Gas and Power Co., Ltd., Nakayama Joint Power Generation Co., Ltd., Nakayama Nagoya Joint Power Generation Co., Ltd., Hirogawa Myojinyama Wind Farm Co., Hayama Wind Farm, Yura Wind Farm, Hizen Wind Farm, Hirao Wind Farm, Inami Wind Farm, 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., West Japan House Evaluation Center, Osaka Gas Customer Relations Co., Ltd., Aqua Brain Co., Ltd., Osaka Gas Housing & Equipment Co., Ltd., Osaka Gas Security Service Co., OGCTS Co., Ltd., G & M Energy Service Co., Ltd., Respiratory & Allergic Diseases Center ESCO Co., Ltd., Rokko Island Energy Service Co., Ltd., Ashiyahama Energy Service Co., Ltd., Nabari Kintetsu Gas Co., Ltd., Toyooka Energy Co., Ltd., Shingu Gas Ltd., OG Sports Co., Ltd., Osaka Gas Autoservice Co., Ltd., Osaka Gas Finance Co., Ltd., Active Life Inc., Osaka Gas Engineering Co., Ltd., i support Co., Ltd., Osaka Gas Liquid Co., Kinki Carbonic Co., Ltd., Osaka Gas LPG Co., Ltd., Gas Net Co., Ltd., Nissho Petroleum Gas Corp., Nissho Propane Sekiyu Co., Ltd., Nissho Gas Supply Co., Ltd., Heart Net East Kanto Corp., Nagano Propane Gas Co., Ltd., Daiya Nensho Co., Ltd., Ehime Nissho Propane Co., Enes Carry Corp., Kochi Nissho Propane Corporation, Osaka Gas Urban Development Co., Ltd., Osaka Gas Facilities Corporation, OGIS-RI Co., Ltd., Sakura Information Systems Co., Ltd., SIS Techno-Service Co., Ltd., Ube Information Systems Inc., System Answer Inc., JOE Corp., Ltd., Osaka Gas Chemicals Co., Ltd.||26%|
Environmental Management Indicators
Monetary value of major environmental impacts
Osaka Gas sets and uses environmental management efficiency as an indicator to assess progress in environmental management in a continuous and integrated manner. This indicator is used to evaluate our company's environmental management situation regarding the gas business. Therefore, it does not represent our environmental management efficiency in other fields, including the electricity generation business.
This indicator, environmental management efficiency, is the monetary value of the amount of environmental impact per cubic meter of gas sold for the relevant fiscal year (yen/1,000 m³, calculated for each item): greenhouse gas emissions, NOx emissions, COD, final disposal of general and industrial waste, final disposal of excavated soil, emissions of chemical substances, and water consumption (general and industrial water). This allows us to quantitatively measure how much we are reducing our environmental impact.
The smaller the figure for environmental management efficiency, the greater the reduction in environmental impact per amount of gas sold.
The indices of “Environmental Management Efficiency” are calculated using the second version of the Life Cycle Impact Assessment Method Based on Endpoint Modeling compiled by the National Institute of Advanced Industrial Science and Technology.
[Legend] Environmental impacts
Environmental Management Efficiency（ yen/1000 m³ )
Environmental Management Efficiency
Environmental Management Efficiency Results
|Environmental impact||CO2 emissions (Tons)||134,986||130,161||133,963||134,003||130,006|
|CH4 emissions (Tons)||116||103||94||92||75|
|Final disposal of excavated soil (Tons)||6,572||10,253||12,155||10,494||9,699|
|Final disposal of general waste (Tons)||26||23||18||17||17|
|Final disposal of industrial waste (Tons)||368||457||395||331||237|
|NOx emissions (Tons)||4.65||4.11||4.16||3.42||8.08|
|COD emissions (Tons)||2.32||3.10||3.24||2.20||2.55|
|Toluene emissions (Tons)||0.03||0.14||0.21||0.67||0.03|
|Xylene emissions (Tons)||2.11||1.70||1.9||5.33||0.94|
|Water consumption (general and industrial water) (10,000 m³ )||126||136||147||110||117|
|Monetary value of environmental impact (Million yen)||504||463||495||474||455|
|Amount of gas sold (Million m³ )||8,503||8,524||8,259||8,021||8,662|
|Environmental Management Efficiency (yen/1,000 m³ )||59.3||54.3||60.0||59.1||52.5|
Decline in environmental investment and expenses
In FY2001, Osaka Gas introduced the environmental accounting method, which we see as an important means of quantitatively measuring environmental costs and economic benefits, and encouraging environmental activities in an efficient manner, and as a tool to continuously enhance environmental performance.
Environmental conservation costs—the aggregate of environmental investment and expenses—for FY2017 exceeded those of the previous fiscal year due to greater purchases of facilities and equipment used for environmental preservation actions, and the expansion of green suppliers. Internal economic benefits were also up year on year mainly thanks to reduced expenses at offices following the implementation of energy-saving measures.
We will continue to follow up environment-related efforts in monetary terms to ensure the funds allocated to these are utilized effectively.
(1) Environmental Conservation Costs
|In-house activities||Global environment||Investment, management and labor cost for the efforts for energy-saving, efficient energy saving and protection of ozone layer.||198||1,209||581||934|
|Pollution prevention||Investment, management and labor cost for the efforts for preventing air/water/noise pollution||30||48||60||67|
|Resource recycling||Investment, management and labor cost for the efforts for excavated soil reduction, recycling, waste management||8||10||98||73|
|Environmental management||Cost for green purchasing, environmental education, EMS development, environmental organizations||6||3||4,251||8,706|
|Other||Greening at plants, environmental preservation subsidies||0||5||17||115|
|Environmental impact reduction at customers||R&D||R&D of impact reduction technologies, environment-conscious products, etc.||371||121||661||341|
|Environmental impact reduction by recycling||Recycling used gas appliances||Cost for collection and recycling of gas appliances and packaging||0||0||68||23|
|Philanthropic activities||Cost for voluntary greening, environmental advertising, environmental information disclosure||35||33||159||152|
(2) Internal Economic Benefits
|Economic benefits (million yen)|
|Saving through reduction and recycling of excavated soil||3,209||3,057|
|Sales of valuable resources (LNG cryogenic energy)||188||184|
|Cost reduction through energy / resources saving||143||520|
(3) Environmental Conservation Results
|Impact per output||Total amount||Reduction|
|NOx (LNG terminal) :
NOx emissions in the city gas business
|COD (LNG terminal) :
COD at all LNG terminals
|g-CO2/m³||11.43||10.32||1,000 t-CO2||91.67||89.41||1,000 t-CO2||31||43|
|g-CO2/m³||5.27||4.69||1,000 t-CO2||42||40.60||1,000 t-CO2||31||41|
|Final disposal of excavated soil||t/km||19.11||18.76||1,000 t||10||9.70||1,000t||51||49|
|Final disposal of general waste||g/m³||0.00||0.00||t||13.3||11.69||t||1,186||1,283|
|Final disposal of industrial waste
(including used gas appliances)
(4) Social Benefits of Environmental Conservation Efforts (Monetary Value)
|FY2016 Monetary Value
|FY2017 Monetary Value
|NOx (LNG terminal) : NOx emissions in the city gas business||12||12|
|COD (LNG terminal) : COD at all LNG terminals||13||13|
|CO2 (LNG terminal)||108||151|
|CO2 (other sites)||110||143|
|Final disposal of excavated soil||1,121||1,093|
|Final disposal of general waste||4||4|
|Final disposal of industrial waste (including used gas appliances)||157||173|
Estimation Method of Environmental Accounting
- The standards incorporated
Osaka Gas's environmental accounting method, which calculates costs and benefits, is based on the 2000 version of The Environmental Accounting Guidelines For Gas Utilities released by the Japan Gas Association. The guidelines are based on the Ministry of the Environment's Creating an Environmental Accounting System guidelines and reflect the distinctive characteristics of city gas companies.
Osaka Gas Co., Ltd.
April 1, 2016 - March 31, 2017
In order to improve the accuracy of environmental accounting as well as reduce the workload, Osaka Gas developed and operates a system tied to the in-house financial accounting system since FY 2001.
Calculation of Environmental Costs and Benefits
(1) Environmental conservation costs
The aggregate figures for each item are compiled as far as possible using only costs incurred for environmental purposes (differential aggregation). R & D and personnel costs from which it is difficult to extract only those costs incurred for environmental purposes are calculated on a pro rata basis using an “environmental ratio” determined in accordance with their degree of connection to the environment.
Investment: aggregate of the fixed assets acquired in the fiscal year in question that contribute to environmental improvements
Costs: aggregate of depreciation costs, labor costs and expenditures for environmental efforts
Depreciation of fixed assets acquired since 1997 (including terminals and other large-scale facilities acquired prior to that) is calculated via the declining balance method over the useful life of the equipment. Labor costs are calculated using standard unit costs.
(2) Internal economic benefits
The benefits accrued from cutting expenses that can be clearly reduced based on the company's operational performance were aggregated.
(3) Economic conservation effects (material effects)
The environmental impact level, the total environmental impact, and the environmental impact mitigation level are calculated.
- Environmental impact level
NOx, COD, CO2, general waste, and industrial waste figures are calculated per cubic meter of gas sold. Final disposal volumes for surplus soil are calculated per km of gas pipes installed.
- Total environmental impact
- Environmental impact reduction
For NOx and COD, the difference from the stipulated value for each facility is posted. For CO2, general waste and industrial waste, figures are calculated by multiplying the differences in output units (amounts per cubic meter of gas sold) from the benchmark FY1998 levels by the volume sold that fiscal year. For final disposal of excavated soil, the reduction in offshore landfill disposal was calculated based on the amount of reduction in excavated soil and the amount of soil recycled.
(4) Social benefits of environmental conservation (monetary value)
The monetary values of social benefits derived from reducing environmental impact were calculated. For final disposal of excavated soil, the monetary values of social benefits stemming from environmental conservation are calculated by multiplying the base unit price determined through the contingent valuation method (CVM; a method in which residents are surveyed on the amounts they are willing to pay for environmental conservation and then the monetary value of this conservation is calculated) by the reduction in environment impact.
Base units were also selected for other environmental impacts corresponding to the amount of environmental value on the basis of research on environmental damage costs, etc., both inside and outside Japan, and then the environmental conservation benefits were calculated by multiplying these base units by the respective amounts of harmful impacts curbed.