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20 21 Tokyo Gas Group CSR Report 2017 Tokyo Gas Group CSR Report 2017 T-Power 中下流事業プロジェクト 上流事業プロジェクト EPEC ゴーゴンLNG イクシス LNG プルートLNG Diversification and Expansion of Overseas Business 7 カ国 17 海外事業展開 主要プロジェクト 1 パリ事務所 2 クアラルンプール事務所 3 ジャカルタ事務所 4 ハノイ事務所 5 バンコク事務所 1 6 東京ガスアジア 7 東京ガスオーストラリア(パース) 8 東京ガスオーストラリア( ブリスベン) 9 東京ガスアメリカ(ヒューストン) 10 ホーチミン事務所 主な海外事務所 4 5 2 10 6 9 3 7 8 LNG ベトナム ガスマレーシア ガスマレーシア・ エネルギーアドバンス クイーンズランド カーティス LNG ダーウィン LNG バーネットシェールガス エンパイア イーグルフォード シェールガス TGES アメリカ MTファルコン バヒオ コーブポイント LNG T-Power Overseas midstream and downstream projects Overseas upstream business projects EPEC Gorgon LNG Ichthys LNG Pluto LNG 7 countries 17 projects Overseas Business Expansion Main Projects 1 Paris Representative Office 2 Hanoi Representative Office 3 Ho Chi Minh City Representa- tive Office 4 Bangkok Representative Office 1 5 Kuala Lumpur Representative Office 6 Jakarta Representative Office 7 Tokyo Gas Asia Pte. Ltd. (Singapore) 8 Tokyo Gas Australia Pty. Ltd. (Perth) 9 Tokyo Gas Australia Pty. Ltd. (Brisbane) 10 Tokyo Gas America Ltd. (Houston) 2 4 5 3 7 10 6 8 9 LNG Vietnam Gas Malaysia Gas Malaysia Energy Advance Queensland Curtis LNG Darwin LNG Barnett shale gas Birdsboro (from FY2017) Eagle Ford shale gas TGES America MT Falcon Bajio Cove Point LNG Empire (As of end March 2017) (As of end March 2017) Main overseas offices L N G Enhancement of Energy Security Tokyo Gas Group is pursuing stable, low-cost procurement of LNG as part of its drive to deliver better services while ensuring customer safety. By accelerating its overseas expansion and developing its liquefied natural gas (LNG) value chain in Japan and abroad, it is contributing to regional development through the stable supply of energy, construction of energy infrastructure, and provision of energy solutions in Japan and other countries. Evolving as a Total Energy Business 14 .25million tons 728 thousand 48 LNG procurement volume Number of contracts for low-voltage electricity service Number of partner low-voltage suppliers (Figures for Tokyo Gas Group as of end March 2017) Memorandum of Understanding on Mutual Cooperation in Indonesia Signed In January 2017, Tokyo Gas Asia Pte. Ltd. (a wholly owned subsidiary of Tokyo Gas) and PT. Miura Indonesia (a wholly owned subsidiary of Miura Co., Ltd.) signed a memorandum of understanding on mutual cooperation in Indonesia. Drawing on Tokyo Gas and Miura’s long history of cooperation within Japan, the aim is to contribute to the further growth of the rapidly expanding Indonesian economy and reduce environment load through collaboration on steam services and other energy solutions. Participation in Natural Gas-Fired Power Generation Projects Overseas In October 2016, we ventured into the power business in Thailand for the first time by acquiring an interest in the operator of the 350 MW Bang Bo Power Plant. Later in the same month we acquired stakes in the 635 MW Empire generation facility in New York in the United States, followed by the 488 MW Birdsboro generation facility in Pennsylvania in April 2017. Leveraging our technologies and expertise in the total energy business, we will continue to pursue the development of energy infrastructure and delivery of energy solutions to customers in Southeast Asia and North America. Stable Supply Relation to SDGs https://tokyo-gas.disclosure.site/en/themes/160 For details, please see Akimi Hagiwara Deputy Chief Representative Kuala Lumpur Representative Office Global Business Planning Department Kuala Lumpur Representative Office’s day-to-day work revolves around three main roles: acting as Tokyo Gas’s local point of contact for LNG procurement, supporting existing mid and downstream projects such as supervising the affiliated local city gas supplier, and developing new business. With deregulation gaining pace in Malaysia, Tokyo Gas’s own future strategy in Japan is drawing attention as a pathfinder in deregulated energy markets. We hope to continue to contribute to Malaysia’s economic development and sustainable growth through our business. Masaru Kushita Tokyo Gas America Ltd. I am in charge of developing new projects related to energy such as the power generation business in the North American market, and management of the Empire and Birdsboro power generation businesses in which we participated. I am making efforts day after day to enhance energy supply stability through the ways such as developing energy infrastructures or providing energy solutions by utilizing know-how about domestic business and experience with other overseas businesses. Contributing to Malaysia’s development through our business Enhancing energy supply stability

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Page 1: Stable Supply - Amazon S3 · Eagle Ford shale gas TGES America MT Falcon Bajio Cove Point LNG Empire (As of end March 2017) (As of end March 2017) Main overseas offices L N G Enhancement

20 21Tokyo Gas Group CSR Report 2017 Tokyo Gas Group CSR Report 2017

T-Power

中下流事業プロジェクト上流事業プロジェクト

EPEC

ゴーゴンLNG

イクシスLNGプルートLNG

Diversification and Expansion of Overseas Business

7カ国 17件

海外事業展開 主要プロジェクト1 パリ事務所2 クアラルンプール事務所3 ジャカルタ事務所4 ハノイ事務所5 バンコク事務所

1

6 東京ガスアジア7 東京ガスオーストラリア(パース)8 東京ガスオーストラリア(ブリスベン )

9 東京ガスアメリカ(ヒューストン)10 ホーチミン事務所

● 主な海外事務所

4

5

210

6

9

3

7 8

LNGベトナム

ガスマレーシア

ガスマレーシア・エネルギーアドバンス

クイーンズランドカーティスLNG

ダーウィンLNG

バーネットシェールガス

エンパイア

 イーグルフォードシェールガス TGESアメリカ

MTファルコン

バヒオ

コーブポイントLNG

T-Power

Overseas midstream and downstream projects Overseas upstream business projects

EPEC

Gorgon LNG

Ichthys LNGPluto LNG

7countries 17projects

Overseas Business Expansion

Main Projects

1 Paris Representative Office

2 Hanoi Representative Office

3 Ho Chi Minh City Representa-tive Office

4 Bangkok Representative Office

1

5 Kuala Lumpur Representative Office

6 Jakarta Representative Office

7 Tokyo Gas Asia Pte. Ltd. (Singapore)

8 Tokyo Gas Australia Pty. Ltd. (Perth)

9 Tokyo Gas Australia Pty. Ltd. (Brisbane)

10 Tokyo Gas America Ltd. (Houston)

2

4

53

7

10

6

8 9

LNG Vietnam

Gas Malaysia

Gas Malaysia Energy Advance

Queensland Curtis LNG

Darwin LNG

Barnett shale gas Birdsboro (from FY2017)

Eagle Ford shale gas TGES America

MT Falcon

Bajio

Cove Point LNG

Empire

(As of end March 2017)

(As of end March 2017)

● Main overseas offices

L N G

Enhancement of Energy Security

Tokyo Gas Group is pursuing stable, low-cost procurement of LNG as part of its drive to deliver better services while ensuring customer safety. By accelerating its overseas expansion and developing its liquefied natural gas (LNG) value chain in Japan and abroad, it is contributing to regional development through the stable supply of energy, construction of energy infrastructure, and provision of energy solutions in Japan and other countries.

Evolving as a Total Energy Business

14.25million tons 728 thousand 48LNG procurement volume

Number of contracts for low-voltage electricity service

Number of partner low-voltagesuppliers

(Figures for Tokyo Gas Group as of end March 2017)

Memorandum of Understanding on Mutual Cooperation in Indonesia SignedIn January 2017, Tokyo Gas Asia Pte. Ltd. (a wholly owned subsidiary of Tokyo Gas) and PT. Miura Indonesia (a wholly owned subsidiary of Miura Co., Ltd.) signed a memorandum of understanding on mutual cooperation in Indonesia. Drawing on Tokyo Gas and Miura’s long history of cooperation within Japan, the aim is to contribute to the further growth of the rapidly expanding Indonesian economy and reduce environment load through collaboration on steam services and other energy solutions.

Participation in Natural Gas-Fired Power Generation Projects OverseasIn October 2016, we ventured into the power business in Thailand for the first time by acquiring an interest in the operator of the 350 MW Bang Bo Power Plant. Later in the same month we acquired stakes in the 635 MW Empire generation facility in New York in the United States,followed by the 488 MW Birdsboro generation facility in Pennsylvania in April 2017. Leveraging our technologies and expertise in the total energy business, we will continue to pursue the development of energy infrastructure and delivery of energy solutions to customers in Southeast Asia and North America.

Stable Supply

Relation to SDGs

https://tokyo-gas.disclosure.site/en/themes/160For details, please see

Akimi HagiwaraDeputy Chief RepresentativeKuala Lumpur Representative OfficeGlobal Business Planning Department

Kuala Lumpur Representative Office’s day-to-day work revolves around three main roles: acting as Tokyo Gas’s local point of contact for LNG procurement, supporting existing mid and downstream projects such as supervising the affiliated local city gas supplier, and developing new business. With deregulation gaining pace in Malaysia, Tokyo Gas’s own future strategy in Japan is drawing attention as a pathfinder in deregulated energy markets. We hope to continue to contribute to Malaysia’s economic development and sustainable growth through our business.

Masaru Kushita Tokyo Gas America Ltd.

I am in charge of developing new projects related to energy such as the power generation business in the North American market, and management of the Empire and Birdsboro power generation businesses in which we participated. I am making efforts day after day toenhance energy supply stability through the ways such as developing energy infrastructures or providing energy solutions by utilizing know-how about domestic business and experience with other overseas businesses.

Contributing to Malaysia’s development through our business

Enhancing energy supply stability

Page 2: Stable Supply - Amazon S3 · Eagle Ford shale gas TGES America MT Falcon Bajio Cove Point LNG Empire (As of end March 2017) (As of end March 2017) Main overseas offices L N G Enhancement

22 23Tokyo Gas Group CSR Report 2017 Tokyo Gas Group CSR Report 2017

Memorandum of Understanding on Mutual Cooperation Signed with U.K.’s Centrica LNGIn November 2016, Tokyo Gas signed a memorandum of understanding on mutual cooperation with Centrica LNG Co., Ltd., the trading arm of the U.K.’s Centrica plc, a leading European utility. As a first step under this MOU, the two companies have agreed to work toward establishing a framework to reduce LNG transportation costs by swapping LNG procured by Tokyo Gas from the U.S. and LNG procured by Centrica LNG in the Asia Pacific on a cargo unit basis. The conclusion of this MOU will lead to the development of an LNG value chain linking Asia, North America, and Europe. Moving forward, Tokyo Gas Group will further promote its efforts to lower LNG prices and diversify LNG portfolio.

First Delivery of LNG from the Gorgon LNG ProjectIn September 2016, we took delivery of our first shipment of liquefied natural gas (LNG) produced by the Gorgon LNG project in Western Australia. This brings the number of projects in which Tokyo Gas has participation rights and is receiving shipments to four, the others being the Darwin LNG project, the Pluto LNG project, and the Queensland Curtis LNG project. Tokyo Gas now procures LNG under long-term contracts from 12 projects in five countries.

Strategic Alliances with Power Companies on LNG Procurement We agreed with Kansai Electric Power Co., Inc. in April 2016 and Kyushu Electric Power Co., Inc. in April 2017 to explore strategic alliances that will leverage our respective strengths to further optimize LNG procurements. Looking ahead, we will maintain our close watch on developments in energy markets at home and abroad in order to stably source competitive LNG while responding flexibly to changes in supply and demand and market conditions.

Natural Gas Infrastructure ProjectsIn March 2016, the Hitachi LNG Terminal in the Hitachi district of Ibaraki Port (our first terminal outside of Tokyo Bay) and the high-pressure Ibaraki-Tochigi Line entered operation. The completion of this pipeline gives Tokyo Gas a 950 km high-pressure gas pipeline network centered on the Tokyo metropolitan area, and links the new terminal with our three existing ones* around Tokyo Bay. In fiscal 2017, steady progress is being made on the Koga-Moka Line, which will connect the Saito Line and the Ibaraki-Tochigi Line when completed. Construction of a new Ibaraki pipeline has also commenced. Targeted for completion by fiscal 2020, the Ibaraki line will add further looping to our high-pressure pipeline network, raising energy security and expanding gas transmission capacity.

Expansion of Generating Capacity and Electricity SalesTo ensure access to more stable, low-cost energy supplies amid reforms to Japan’s electricity and gas markets and other major changes in the energy environment, we aim to expand the generating capacity in which we have a stake to approximately 3,000 MW by 2020. In April 2016, we agreed on a technology alliance on LNG-fired power plant operation and maintenance with Kansai Electric Power Co., Inc. Under this alliance, we will be sharing the know-how that we have each developed to date regarding the training of personnel needed to operate and maintain LNG-fired power plants, and we will also engage in technological collaboration to resolve various operating challenges in order to further improve our respective safety and efficiency records.

Expansion of Liquid Gas BusinessIn April 2016, we established Tokyo Gas Liquid Holdings Co., Ltd. to oversee development of our liquid gas business.* The new company will assume integrated control over the development and implementation of strategy and risk control, strengthening these and other functions previously handled by individual subsidiaries with the aim of furthering our evolution as a total energy business. Memoranda of understanding to form comprehensive alliances in the LPG business were also signed with Astomos Energy Corporation in October 2016 and Saisan Co., Ltd. in February 2017. We will continue to explore initiatives to develop LPG services that better serve our customers’ preferences.

Transmission Service for New Entrants to the Liberalized Gas Retail MarketWe have responded to the new environment created by the complete liberalization of Japan’s gas retail market by establishing a new Transmission Service Center. The center’s role is to assist new entrants that seek to use our gas pipelines by taking applications for transmission service and billing users after the commencement of service. To ensure neutrality and fair treatment of all retail sup-pliers, the center’s offices are physically isolated, and use of information on retail suppliers for any purpose other than the provision of transmission service is strictly prohibited.

新潟県

長野県

静岡県

山梨県

東京湾

福島県

Tochigi Pref.

Gunma Pref.

Saitama Pref.

Chiba Pref.

Ibaraki Pref.

Tokyo

Kanagawa Pref.

Saitama Pref.

Ibaraki-Tochigi Line

Saito Line

Koga-Moka Line(FY2017) Ibaraki Line

SodegauraLNG Terminal

OhgishimaLNG Terminal

HitachiLNG Terminal

NegishiLNG Terminal

14,249

12,712 12,804

13,967 13,875

02012 2014 20152013 2016

12,000

15,000

(FY)

(thousand tons)

Stable Supply

*Negishi LNG Terminal (Yokohama City, Kanagawa Prefecture), Sodegaura LNG Terminal (Sodegaura City, Chiba Prefecture), Ohgishima LNG Terminal (Yokohama City, Kanagawa Prefecture).

The Energy Confidence at berth

Relation to SDGs

https://tokyo-gas.disclosure.site/en/themes/159For details, please see

Masayuki FujimotoGeneral ManagerIbaraki Branch Office

Yuki FujitaTransportation Service Section Strategy Planning Department

Developing and expanding natural gas infrastructure not only contributes to the continuity of city gas supplies, but also leads to the expansion of power generating capacity and, as a result, plays a major role in improv-ing national resilience. For example, we can now also supply city gas to Kobelco Power Moka, Japan’s first full-fledged inland thermal power plant, via the Ibaraki-Tochigi Line. Recog-nizing the importance of our mission and responsibilities, we will continue to work with our many partners and colleagues, both within and outside the company, to put our infrastructure plans into practice.

The Transmission Service Center’s mission is to smoothly process applications from customers and bill them correctly while ensuring neutrality, fairness, and transparency. We will continue to work to contribute to the liberalization of the gas retail market.

Ensuring neutrality, fairness, and transparency in the liberalizedgas retail market

Developing and expandinginfrastructure in the northern Kanto area

Jonathan WestbyCo-Managing DirectorEnergy Marketing and TradingCentrica plc

Tatsuya MiyoshiProcurement Section I Gas Resources Department

We are delighted to formalize our long-standing relationship with Tokyo Gas. By building alliances, such as this,we welcome the opportunity to expand our LNG activities which help towards lowering LNG procurement costs.

LNG shipments are now beingreceived from the Gorgon LNG project, the outcome of long and tenacious discussions and negotiations with sellers. We will continue to further improve the continuity of our gas supplies by reducing LNG prices and diversifying our sources.

Building alliances towards lowering LNG procurement costs

Delivering stable gas supplies by reducing LNG prices and diversifying sources

LNG procurement volume

Tokyo Gas high-pressure pipelines (under construction)

Tokyo Gas high-pressure pipelines (construction planned)

Tokyo Gas high-pressure pipelines (existing)

L N G

L N G

Cove Point

● Cameron● Qatar

● Sakhalin

● Darwin● Ichthys

● Queensland Curtis● NWS

● Tokyo

Gorgon

Pluto

Malaysia

Brunei

● LNG procurement to ensure stable and affordable supply

*Liquid gas business:Liquefied gas operations including the sale of liquefied petroleum gas (LPG) and production and sale of industrial gas, and refrigerated warehouse operations utilizing the cold energy of LNG.

Page 3: Stable Supply - Amazon S3 · Eagle Ford shale gas TGES America MT Falcon Bajio Cove Point LNG Empire (As of end March 2017) (As of end March 2017) Main overseas offices L N G Enhancement

L N G LNG

24 25Tokyo Gas Group CSR Report 2017 Tokyo Gas Group CSR Report 2017

Gaslight 24 round-the-clock emergency dispatch systemSome 650 experts are on call at 49 loca-tions throughout our service area (divided into 5 blocks), ready to respond, 24 hours a day and 365 days a year, the moment a gas leak from a pipeline or customer equipment is reported.

Safety measures for gas appliances/equipmentTokyo Gas is developing gas appliances and equipment with advanced safety features. In order to quickly discover the causes of failures and incidents involving gas appliances anywhere in the country and formulate countermeasures, we have also established a depart-ment to work on raising product quality to further ensure customer safety and eliminate concerns.

Comprehensive disaster prevention trainingWe have conducted comprehensive disaster prevention trainings since 1983 to improve our own employees’ and organizations’ disaster resilience. In fiscal 2017, approximately 21,000 Group employees (including employees of Tokyo Gas, subsidiaries, and partner companies) took part, in the first comprehensive disaster prevention training since the full liberalization of the gas retail market. The aim was to confirm roles and coordination with new gas retailers, and to ensure that our disaster response remains as solid as ever.

Preventive measures

Emergency measures

The tanks used for storing im-ported LNG are designed to be fully capable of withstand-ing a major earthquake. They are structurally extremely safe, even in the event of a major earthquake or similar disaster.

District pressure regulators reduce gas pressure from medium to low before it is sent out to cus-tomers. There are approximately 4,000 district pressure regulators across the Tokyo Gas service area, and all are equipped with earthquake sensors and emer-gency shutoff devices. When a large earthquake is detected, the gas supply is shut off.

Designed to connect terminals with district pressure regulators, high/medium-pressure pipe-lines use welded joint steel pipes, which have excellent strength and flexibility and can withstand large ground movements.

The pipeline networks are divided into 25 medium-pres-sure blocks and 261 low-pres-sure blocks*. Emergency measures (i.e., decisions on whether to stop or continue supply) are taken at the indi-vidual block level according to the degree of damage.

Gasholders store smaller amounts of gas to send out according to demand. They are constructed of multiple steel plates joined together to form a robust structure.

The Supply Control Center comprehensively monitors gas production and supply and precisely controls them around the clock, 365 days a year. In the event of an earthquake, the Center gathers informa-tion through the earthquake disaster prevention system and remotely stops gas supply.

Low-pressure pipelines, accounting for about 90% of the total length of our gas pipelines, consist of polyethylene pipes which flex and are thus less likely to rupture.

Upon detecting either an abnormal gas flow or an earthquake measuring 5 or greater on the Japanese seismic scale, intelligent gas meters automatically shut off the gas supply to homes and individu-al buildings.

SUPREME is our earthquake disaster prevention system using a highly concentrated network of earthquake sensors (approximately one sensor per square kilometer). SUPREME quickly collects data from observation points, remotely suspends and restarts gas supplies at district pressure regu-lators, and measures damage to pipelines.

In July 2014 we launched a system for remotely restarting district pressure regulators without having to send special-ized personnel to do it on the spot.

Arrangements are in place to enable more than 200 city gas companies across Japan to assist one another via the Japan Gas Association with restoring supplies following a major disaster.

Customers are informed via TV, the Internet, and other channels when gas service is interrupted or restored, and told how to reset gas meters after an emergency. Reset instructions are also attached to each meter.

LNG tanks

LNG tanks

District pressure regulators

District pressureregulators

High/medium-pressure pipelines

High/medium-pressure pipelines

Disaster prevention blocks

Gasholders

Supply Control Center

Low-pressurepipelines

Integrated fire and gas alarmTriggers a buzzer and blinking light when it detects a fire, imper-fect combustion, or a gas leak.

Gas cooking stoveEvery burner on gas stoves marketed since 2008 is equipped with a safety sensor to prevent overheat-ing of cooking oil, a safety device to detect flame failure, and a self-extinguishing function. Some 1,670,000 units had been sold by the end of March 2017.

Fan heaterEquipped with a safety device to prevent imperfect combustion and detect flame failure.

Gas valve with safety deviceAutomatically turns off gas when the soft gas tube ruptures or comes loose.

Intelligent gas meters ● Earthquake disaster prevention system

● Recovery systems

● Mutual support structure

● Notification of stop/recovery status

1

1

2

Gasholders3

Low-pressure pipelines4

5

Intelligentgas meters8

Supply Control Center7

5

2

6

3

7

4

8

Critical facilities are designed to be more resistant to earthquakes and tsunami in order to mini-mize potential damage.

Highly earthquake resistant gas delivery facilities

Recovery measures

We make maximum use of IT systems in order to work more efficiently and reduce the time it takes to resume gas supply to areas where service has been suspended.

Safe and swift resumption of gas supply

Tokyo Gas has rolled out a system for shutting off the supply of gas both to individual homes and buildings and entire regions by remote control. The pipeline network has also been sub-divided into smaller blocks to minimize disruption in the event that gas supplies have to be shut off in an emergency.

Gas imported Gas produced Gas delivered

Disasterprevention blocks6

To customers

We strive to prevent human error and enhance safety by ensuring that staff always follow “point and check” procedures when performing periodic safety inspections, starting gas service to customers, maintaining gas appliances, and other tasks.

We have put in place a system for comprehensively monitoring in real time the state of disaster recovery activities using data garnered by SUPREME, Tokyo Gas’s proprietary earthquake disaster prevention sys-tem. The system allows all employees to share accurate information, there-by enabling swift and appropriate action to be taken. Our earthquake information is also used by local governments and other governmental agencies.

If defects or other problems with gas appliances or equipment are detected that could present a risk to users, we immediately make a public announcement, notify the customers affected, and endeavor to prevent any recurrence by conducting inspec-tions, replacing parts, and taking all other necessary steps. In fiscal 2016, two announcements were made regarding defective gas appliances and equipment, and appropriate countermeasures taken.

“Pointing and checking” for worksite safety

“Disaster Information Station” on the Tokyo Gas intranet

Responding to gas appliance and equipment defects

Relation to SDGs

https://tokyo-gas.disclosure.site/en/themes/164For details, please see

The three pillars of earthquake preparednessTo ensure that customers can be confident of gas safety even after the full liberalization of Japan’s gas retail market, Tokyo Gas Group continues to strengthen its disaster resilience and ability to deliver gas safely by preparing for earthquakes through a combination of three types of measures: preventive measures, emergency measures, and recovery measures.

Periodic safety inspectionsWe are required to conduct various inspections under the Gas Business Act and other regulations to ensure cus-tomers’ safe use of gas. As a general gas pipeline operator, we check for gas leaks on customers’ premises; and as a gas retailer, we inspect cus-tomers’ gas appliances and air supply and exhaust systems.

The Pursuit of Safety

● Earthquake Disaster Prevention Measures

● Safety Measures at Customer Sites

Post-earthquake TV broadcast

*As of June 1, 2017

Gas supplies shut off swiftly to prevent secondary disasters

Page 4: Stable Supply - Amazon S3 · Eagle Ford shale gas TGES America MT Falcon Bajio Cove Point LNG Empire (As of end March 2017) (As of end March 2017) Main overseas offices L N G Enhancement

26 27Tokyo Gas Group CSR Report 2017 Tokyo Gas Group CSR Report 2017

1.

2.

●“Please make an app for using myTOKYOGAS, as at the moment you have to open the browser on your smartphone every time you want to access it.”

●“I want to be able to access handy functions like Cookpad straight from the top of the myTOKYO-GAS site.”

●“I want details on what kind of rubber tubing to use and the outlet so I can connect my gas appliance.”

We developed a smartphone app for accessing Tokyo Gas’s myTOKYOGAS online members’ program.〈App’s main functions〉Using the app, you can check charges and your gas usage and “Paccho” points balance, use Cook-pad,* and find information on local shopping deals and discounts. The myTOKYOGAS app is free for download from the App Store and Google Play.

To prevent accidents caused by improperly connected appliances, we revamped the “Connecting Gas Appliances to the Gas Outlet” page on our website to include explana-tions and illustrations showing what type of rubber tube to use and other relevant information.

● Survey details

Services surveyed

Periodic safety inspections of gas equipment, commencement ofgas service, paid-for TES inspections,explanation of TES use, and appliance repairs

Surveymethod

Mail questionnaires

Surveycontent

Quality of work performed and satisfaction with service personnel

Customer feedback

Customer feedback

Improvements made

Improvements made

Development of smartphone app for the myTOKYOGAS online members’ program

Revamp of the “Connecting Gas Appliances to the Gas Outlet” page

(FY2016)

How We Use Customer Feedback in ManagementFor Tokyo Gas, delivering customer satisfaction is far more important than simply delivering a prod-uct or service. We understand the importance of improving the quality of management by incorpo-rating customer feedback into our products and services, and for this reason opinions and requests expressed by customers via calls to our Customer Center, gathered through direct contact with our customers, and collected by our service quality surveys are shared within the company, all the way up to top management. This feedback is actively utilized in our daily improvement activities and to enhance quality. In fiscal 2016, we received 20,250 customer comments and requests. Of these, 1,781 (8.8%) were expressions of thanks, 1,772 (8.8%) were complaints, and 16,697 (82.4%) were opinions regarding systems (“system requests”). Customer feedback of this kind is utilized by individual departments in their various improvement activities, and some of the resulting improvements are reported back to customers directly via our website.

Proper Information Provision in Accordance with Laws, Ordinances, and Voluntary StandardsAlthough Tokyo Gas Group endeavors to provide customers with the accurate informa-tion they need to make informed purchasing decisions, in July 2017 an administrative order was issued against us by the Secretary General of the Consumer Affairs Agency regarding the content of one of our event leaflets. We have taken this order very seriously, and the Group will be making a concerted effort to reinforce compliance with the Act against Unjustifiable Premiums and Misleading Representation and ensure proper advertising and representation. We will continue to make every effort to provide consumers with accurate information by working closely with our legal affairs personnel when producing leaflets, catalogs, and pamphlets. We will also continue to provide appropriate information and representation in accordance with Japan Industrial Standards (JIS) and Japan Gas Appliances Inspection Association (JIA) guidelines, our own internal regulations, and other relevant standards to ensure safe use of the Group’s products and services by our customers. The Group will adhere to the sales rules published by the Ministry of Economy, Trade and Industry to guide the sales practices of new entrants following the full liberalization of Japan’s electricity and gas retail markets, and we will make sure that accurate information is provided and sales activities are conducted properly without using any language that might mislead the customer.

Information Provision via the Tokyo Gas WebsiteWe use our website to take applications for gas and electricity services and to provide useful information to customers, including lifestyle news and announcements on services in the event of emergencies such as earthquakes and gas leaks. We also publish business data and information for corporate customers as well as individuals via our website.

Organization of Services to Deliver Everyday Comfort● Tokyo Gas LIFEVAL Tokyo Gas LIFEVAL network was set up by Tokyo Gas to deliver individualized service and develop

close ties with customers in order to better meet their specific needs. It functions as a one-stop shop for products and services that will improve quality of life. As of April 1, 2017, the network consisted of 32 corporations in 62 blocks. The Tokyo Gas LIFEVAL companies that sit at the core of this network are responsible for a range of services. These include not only the performance of periodic safety inspections and meter readings, commencement and termination of gas service, sale, repair, and installation of gas appliances, and handling of applications for gas and electricity services, but also the integrated provision of information on all things gas-related, such as informa-tion on kitchen and bathroom improvements, energy, and lifestyles. As the face of Tokyo Gas Group at the local level, their mission is, in short, to provide communities with safe, environmentally friendly services and solutions that contribute to comfort in everyday life.

● Always Reliable Services menu In April 2017, we added three new services (Gas Fixture Troubleshooting Support, Emergency

Home Assist Services, and Residential Monitoring Services) to our Total Energy Service Plan. This total energy plan packages a range of gas, electricity, and other energy services that deliver value for money, peace of mind, and simplicity and convenience for the customer.

● Business alliances As of April 2017, we had formed alliances with 48 gas suppliers and LPG distributors to sell

low-voltage electricity, thus helping to ensure power supply continuity, bring down electricity charges, and expand customer choice.

Service Quality SurveysTo help us meet diversifying customer needs, we monitor satisfaction by conducting service quali-ty surveys of key services that bring us into contact with our customers.

Provision of Better Products and Services

Training session for legal affairs personnel

Relation to SDGs

In July 2017, an administrative order was issued against us regarding a leaflet used at an event held in the previous fiscal year because it contained misleading content likely to make the general consumer think that a good or service is significantly better than it actually is (in contravention of the Act against Unjustifiable Premiums and Misleading Representations). We implemented the measures reported to the Secretary General of the Consumer Affairs Agency to prevent a recurrence, and in future we will endeavor to provide appropriate information and make strengthening our ability to comply with the above act a group priority in order toensure that business is conducted properly.

We listen to customer feedback to make various improvements in all of our business departments. Some of these improvements are reported back to our customers via the Tokyo Gas website.

The myTOKYOGAS residential members’ site for gas and electricity customers can be used not only to check monthly gas and electricity usage and charges, but also to exchange points earned by using our services for gifts or making donations to the Japanese Para-Sports Association and environmental causes. Commercial and industrial customers, on the other hand, can use the myTOKYOGAS Business site to see at a glance their monthly gas and electricity usage and charges.Tokyo Gas also has an official Facebook page. This provides customers with a convenient source of information on a range of topics, including news on Tokyo Gas, recipes and other ideas, entertainingcontent such as Paccho’s Diary, and information on how to use gas safely and prevent accidents.

Chihiro HatadaEnergy Service Department Tokyo Gas LIFEVAL Nishi Koto Tokyo Gas LIFEVAL E-Do Co., Ltd.

Periodic safety inspections are a valuable opportunity for talking to customers. I tryto keep myself informed not only about gas appliances but about other subjects as well that allow me to give customers useful advice on safety and comfort in the home.

Response to administrative order regarding leaflet content

Making improvements by listening to customer feedback

myTOKYOGAS members’ site and official Facebook page

Learning about products to give better advice to customers

Examples of improvements

*Available only to gas and electricity package plan customers.

Page excerptChoosing a

socket

https://tokyo-gas.disclosure.site/en/themes/100For details, please see

● Customer feedback system

Information sharing

Customers

Enhancement of quality

Products and services

EmployeesTop

managementPartner

companies

Opinions and requests

Complaints

1,772 (8.8%)

Opinions regardingsystems

16,697 (82.4%)

Expressions of thanks

1,781 (8.8%)

Points noticed by our employees

● Chair of Customer Satisfaction Promotion Committee (President)

● CS meetings in each department

● CS meetings with business partners

Improvement activities● Customer Center● Contact with our customers● Service quality surveys

● Breakdown of customer feedback (FY2016)

Customer feedback collection

● Results of service quality surveys

Percentage responding “satisfied” or “somewhat satisfied” (5-step scale)

Periodic safety inspections ofgas equipment 93.8%

Commencement of gas service 92.4%

Paid-for TES inspections 94.0%

Explanation of TES use 92.2%

Appliance repairs 95.7%