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Actions on Materiality

Supplier Assessment (FY2018 Report)

Materiality Indicators

Management Approach

Reasons of materiality in respect of our business

Widespread value chain of our business functions with imperative cooperation of various business partners. Fulfilling our social responsibilities together with our suppliers in the value chain leads to relationships of mutual trust with our stakeholders, resulting in the development of the entire value chain.

Boundary

Inside and Outside of the Group

Management systems and Its performance

Indicator (GRI Standards: 308-1, 414-1)

Percentage of new suppliers that have been selected using criteria regarding environment, social impact, human rights and labor practices

Commitment

Osaka Gas is committed to fulfilling CSR in close cooperation with business partners in line with the “Daigas Group Code of Conduct,” revised in accordance with the United Nations Global Compact.

In material-procurement activities, which often involve business transactions with new suppliers, Osaka Gas requires to such suppliers to observe procurement-related standards and guidelines set by the company, including “Purchasing Policy” and “CSR-based Purchasing Guidelines.”

(International and domestic standards)
  • U.N. Global Compact
(In-house policy and standards)
  • Code of Conduct in Purchasing Activities
  • CSR-Based Purchasing Guidelines
Responsibilities

Each organization in charge of procuring particular materials is to fulfill its responsibility in accordance with the procurement-related policies and guidelines set by Osaka Gas.

Performance

A total of 34 suppliers began new business transactions with Osaka Gas in FY2018. In the year, no business deals were barred from being started due to violations of standards set in the fields of environmental and social impacts, human rights and labor practices.

Specific actions taken regarding materiality

Measures in material procurement

Before starting business transactions, Osaka Gas communicates its “Purchasing Policy“ and ”CSR-based Purchasing Guidelines,“ and even confirms their efforts on CSR. In FY2018, a survey was conducted on 175 major suppliers to check their CSR efforts. Furthermore, when the suppliers conduct business transactions with Osaka Gas, they are asked to observe “Green Purchasing Guidelines” set by Osaka Gas, attached to the specifications for the business transactions.

Revision to the “Green Partner Initiative”

The “Green Partner Initiative” adopted by Osaka Gas is designed to promote environmental conservation by suppliers of gas pipeline materials. Under the system, suppliers that are recognized as being active in environmental conservation activities such as the building of an Environmental Management System (EMS) will be registered as Partners. Osaka Gas initially focused on suppliers of gas pipelines for its “Green Partner Initiative.” In FY2016, the Company revised the initiative to cover companies other than suppliers of gas pipeline materials as well. As of the end of FY2018, 108 suppliers were registered as Partners.

“CSR Survey” Conducted on LNG suppliers, gas appliance makers to promote information sharing on social and environmental issues to be tackled by companies

Osaka Gas conducted a CSR survey of 11 LNG suppliers with which the Company has concluded long-term contracts. Of the 11 suppliers, 10 replied to the survey, which included new questions reflecting changes in global social trends from FY2015 when the previous survey was conducted. The questions under the latest survey were also aimed at confirming specific response actions being taken by those polled regarding human rights, labor practices and anti-corruption.

In addition, Osaka Gas conducted a CSR survey of 30 gas appliance makers to enhance their awareness of the importance of ensuring the safe use of gas appliances by end customers as well as taking into account social and environmental aspects in doing business. The survey was designed to confirm the CSR efforts being made by those polled regarding 67 items covered by eight themes—compliance, human rights, labor, occupational health and safety, product safety and quality, environmental protection, ethics and anti-corruption, and implementation systems—in line with the “CSR Procurement Guidelines on Gas Appliances and Other Equipment.” Of the 30 companies, 27 replied. Osaka Gas also conducted a CSR survey of 241 companies, including service companies, and engineering firms, to which the Company has entrusted some business duties. Of the total, 158 gave answers.

We will continue to fulfill our social responsibility in partnership with our clients and aim to promote mutual development for the entire value chain.

CSR Survey Conducted in FY2018

Companies covered
by the survey
Number of companies
surveyed
Number of companies
which replied
Other efforts
Main suppliers 175 companies 168 companies “Green Partner Initiative”
LNG suppliers (conducted in February 2018) 11 companies 10 companies
Gas appliance makers (conducted in April 2017) 30 companies 27 companies
Service companies, engineering firms (conducted in July 2017) 241 companies 158 companies Holding of CSR study sessions

CSR of Daigas Group

President's Commitment
Management and CSR of the Daigas Group
Policies on CSR
Special Feature
Contribution to the Sustainable
Development Goals (SDGs)
Corporate Governance
Stakeholder Engagement
Value Chain of the Daigas Group
Actions on Materiality
CSR Charter Ⅰ
Creating Value for Customers
CSR Charter Ⅱ
Harmonizing with the Environment and Contributing to Realizing a Sustainable Society
CSR Charter Ⅲ
Being a Good Corporate Citizen Contributing to Society
CSR Charter Ⅳ
Complying with Laws and Regulations and Respect for Human Rights
CSR Charter Ⅴ
Management Policy for Human Growth
ESG Data
Reporting

President's Commitment
Management and CSR of the Daigas Group
Corporate Principles and CSR Charter
Daigas Group Code of Conduct
Global Compact and ISO 26000
Long-Term Management Vision 2030
Medium-Term Management Plan 2020
Policies on CSR
Special Feature
Contribution to the Sustainable Development Goals (SDGs)
Addressing Social Issues through Energy Services
Promote Efforts for Recognition, Understanding and Penetration of SDGs
Corporate Governance
Corporate Governance
Risk Management
CSR Management
Stakeholder Engagement
Dialogue and Cooperation with Stakeholders
Response to Stakeholders' Voices
Value Chain of the Daigas Group
Enhancement of CSR in Our Value Chain
Social Impact of Business Activities in Our Energy Value Chain and Efforts to Reduce Such Impact
CSR Efforts Throughout Supply Chain
Electricity and Gas Industry Reform
Actions on Materiality
Materiality
Customer Health and Safety
Product and Service Labeling
Energy / Emissions
Effluents and Waste
Local Communities
Customer Privacy
Grievance Mechanisms
Supplier Assessment
CSR Charter Ⅰ
Creating Value for Customers
Index
CSR Indicator
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
CSR Charter Ⅱ
Harmonizing with the Environment and Contributing to Realizing a Sustainable Society
Index
CSR Indicator
Environmental Management
Environmental Action Targets
Environmental Impact throughout the Daigas Group Value Chain
Risks and Opportunities Related to Climate Change
Method to Evaluate Effects of CO2 Emissions Reduction and Results
Efforts Contributing to Realizing a Low-Carbon Society
Helping Customers' Efforts for Realizing a Low-Carbon Society
Efforts in Resource Recycling
Conserving Biodiversity
Developing Environmental Technologies
Addressing Environmental Risk
Green Purchasing and Green Distribution
Environmental Communication
CSR Charter Ⅲ
Being a Good Corporate Citizen Contributing to Society
Index
CSR Indicator
Social Contribution Activities
Corporate Volunteering Activities under the “Small Light Campaign”
Activities for Promoting Communication with Society
Activities at Osaka Gas' Foundations
CSR Charter Ⅳ
Complying with Laws and Regulations and Respect for Human Rights
Index
CSR Indicator
Compliance Promotion Efforts
Action on Human Rights
Efforts for Protection of Personal Information
Information Security
Consultations and Reports from Partner Companies
CSR Charter Ⅴ
Management Policy for Human Growth
Index
CSR Indicator
Employment
Acceptance of Diversity
Balancing Work and Family
Human Resource Development and Rewards
Communication Between Employees and Company
Improving Occupational Health and Safety
ESG Data
Environmental Performance Data
Social Data
Governance Data
Reporting
CSR Report Policy
Commendation from the Outside
Third-Party Review / Third-Party Verification
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Course Taken Since the Company's Foundation
Reporting Guidelines
CSR Report 2018 Terminology
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