Contents
Introduction
CEO’s Message

How We Create ValueThe Value Creation Process
Promoting Sustainability andMateriality

Compass2030
Invisible Assets
Information Disclosure Basedon TCFD Recommendations
Corporate GovernanceBusiness Overview
Financial Data

How WeCreate ValueWeb Site

Investor Relations Website
Investors’ Guide (Financial
Data and Industry Data)
Financial Results
Presentation Materials
Financial Results Bulletin
Corporate Governance
ReportTokyo Gas Group Integrated Report 2022

13

Sustainability ReportContents

The Value Creation Process

Introduction
CEO’s Message

How We Create Value

Outcome

OutputManagementPhilosophy

Fiscal 2021 resultsP.450De

cisio

Con-making

mpassmCore m

E x ec uti onut

SolSutio nPr

enlySegment
profit¥102.6 billion

Segment
sales¥467.8 billion

Segment
profit¥11.1 billion

Segment
sales¥85.9 billion

Segment
profit¥28.2 billion

Energy-related
Segment
sales¥331.3 billion

Segment
profit¥12.8 billion

etnag

dgm

oduc

P.34

um-term Ma(Invisible Assets)

MediCore
competencepp¥1,444.0 billion

OverseasentioP ro c uns5P. 2e chain
Va l uSegment
salesElectricityAcnpa03

Strategy

7
P.1

mentP

lan
23
P.

M o nito rin g

Real estate
Segment
sales¥57.9 billion

Segment
profit¥13.4 billion
OtherP.15

KPI

P.23

P.2

Segment
sales
Segment
profitChanges inthe external
environment

Mid-Term Plan targets
for Fiscal 2022

The Value Creation Process

Compass2030

Promoting Sustainability andMateriality

Gastios2

S itu atio n al ju

Specifying Materialities (key sustainability issues)Standing by every person and dedicating ourselves to thesociety, we shall be the energy that weaves the future.

sGovernanceFiscal 2021 results¥107.5 billion¥2.0 billion

Compass2030
Invisible Assets

Creation of safe living of customers
Reduction in energy cost

Information Disclosure Basedon TCFD Recommendations

Contribution to the global environment

Corporate Governance

Creation of comfortable living ofcustomers

Business Overview
Financial Data

Contribution to CO2 emissions reduction

5.39

million tons

6.5

million tons

17.0

million tons*1

Renewable power source transaction volume

1.498

million kW

2.0

million kW

6.0

million kW*2

Number of customer accounts

12.48
million

14.80

20.0

millionmillionNatural gas transaction volume

19.18

million tons

17.0

million tons

20.0

million tons

Operating profit + Equity method income¥121.5billion¥140.0billion¥200.0Web Sitebillion

Investor Relations Website
Investors’ Guide (Financial
Data and Industry Data)*1: The Compass2030 initial target: 10 million tons (Japan only)*2: The Compass2030 initial target: 5 million kW
Decarbonization

Changes andincreased diversity
in customers’
valuesDigitalization

Financial Results
Presentation Materials

Deregulation inenergy market

Financial Results Bulletin
Corporate Governance
ReportTokyo Gas Group Integrated Report 2022

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Sustainability ReportContents

Promoting Sustainability and Materiality

Introduction
CEO’s Message

How We Create ValueThe Value Creation Process

Approach to promoting sustainability
Achievement of asustainable society

Contribution

Businessactivities

Social value

Financial value

Value creation

Profit making

HighProvisionof value

Expectations
and requests

Stakeholders

Materialissues

Leadership in theeffort to achieve
Net-Zero CO2

Climate change
Access to energy
Safety and disaster
preparedness
Creation of customer valueSound
relationships withsociety esource efficiency andR
recycling societyEstablishment of relationships
with communities
Diversity & inclusion
Satisfaction through workand labor productivity

Actions as a
responsible
company

Supply chain management
Information security
Governance and compliance

SuperviseSocial impact of organization andbusiness

ReportRepresentative Corporate Executive Officer, President and CEO
Corporate Executive Officers
Committee supporting rational decisionmaking by Corporate Executive Officers

Oversee

ReportSustainability Committee
Chair President

Departments
ManageReportSubsidiaries

Invisible Assets
Information Disclosure Basedon TCFD Recommendations
Corporate GovernanceBusiness Overview
Financial Data

Recognized issues
 reatment of emissions,Twater discharge, andtreatment of waste
Biodiversity

Board of Directors, Directors

Compass2030

FY2020-2022 Materiality

Enduring corporate management

Sustainability Promotion System
As an important management issue,
sustainability is being discussed in acommittee that supports rational
decision-making by Corporate
Executive Officers. In addition, theSustainability Committee, chaired by
the President, has been established toact as a leader in implementing andpromoting sustainability management
across the entire Group, and to reportimportant matters to the Board ofDirectors.

Promoting Sustainability andMaterialityWith reference to the guidelines,issues to be considered are assessedby indicators on two axes:“Stakeholder expectations” and“Social impact of organization andbusiness,” and then are specified asmateriality.

Stakeholder expectations

The Tokyo Gas Group’s approach topromoting sustainability is tocontribute to the achievement of asustainable society by creating socialand financial value from the solutionof social issues through our businessactivities, and by engaging in enduringcorporate management. Taking thisapproach, we are working on materiality(key sustainability issues) through ourbusiness activities, in conjunction with
our aim of carrying out ESG-focusedmanagement and broadly contributing
to the realization of the SDGs.

Specifying materialities

HighResponse to water risks
 ccupational health andO
safetyDevelopment of good labormanagement relations

 ppropriate information
A
disclosure roper management ofP
intellectual property rights
Appropriate involvementin public policies
Economic performance

Process for specifying materialities
STEP

Comprehensively extract issues to be addressed,

1Sort social issues referring to international guidelines.

STEPPrioritize

Assess and prioritize issues graphically depicted on two axes to identify
important issues.

Confirm Validityand decide

Have experts assess the validity of the identified important issues, andspecify these as materialities.Decide these with the confirmation in internal
meetings.

Review

Conduct activity assessments on the materialities and disclose. Review it
considering the opinions of stakeholders.

2Themes discussed at the Sustainability
Committee in FY2021

STEP

 hanging trend concerning climate change
CChanging trend concerning biodiversity
Anticipated social trend up to 2050
Values of future generations and their market characteristics
Strengthening of non-financial information disclosure

STEP34Web Site

Investor Relations Website
Investors’ Guide (FinancialData and Industry Data)
Financial Results
Presentation Materials
Financial Results Bulletin
Corporate Governance
ReportTokyo Gas Group Integrated Report 2022

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Sustainability ReportContents

Relationship between materiality and the SDGs
Materiality

Climate change

Access to energy

Leadership in theeffort to achieve
Net-Zero CO2

Safety anddisaster
preparedness

Relevant SDGs

Introduction

Case

Resource
efficiency andrecycling societySoundrelationships withsocietyEstablishment ofrelationships withcommunities

2CEO’s Message

How We Create ValueThe Value Creation Process
Promoting Sustainability andMateriality

Compass2030
Invisible Assets
Information Disclosure Basedon TCFD Recommendations
Corporate Governance

Promoting resource efficiency and fostering a
recycling society

Business Overview
Financial Data

In order to foster a recycling society, we are engaged in resource recycling at each stage of ourbusiness activities, including the recycling of gas meters and used gas pipes, and the collection
and recycling of disused gas appliances.
Reuse and recycling of gas meters

Collection and recycling of gas appliances

Gas meters are used for three cycles(two instances of replacement and reexamination of wear parts) for a usefullife of up to 30 years, and then are
recycled as metal materials.

We are working to collect and recycle used
gas appliances and waste materials generated
through customer-induced replacement, gasconstruction and renovation work.

About

400,000
Diversity &inclusion

Preparing for climate change (adaptation)

As part of adaptation to climate change, we are taking
measures against water-related disasters such as torrential
rains and high tides. At LNG terminals, facilities are being
raised and water-tight doors are being installed to protect
electric facilities. Meanwhile, Tokyo Gas Network is dividing
its pipeline network into smaller blocks to minimize gas supply
suspension areas which may get liquefied. In addition, abusiness continuity plan (BCP) on the assumption of wind or
water damage has been prepared to ensure gas supply andsafety.

Case
Creation ofcustomer value

1Tokyo Gas Network

Collect waste while delivering

Recycling
rate

94.3%

metersRecycling
rate

100%

Satisfaction
through work andlabor productivityProcurement Manufacturing

Equivalent to approx.
43,000 units
of ENE-FARM

SupplyFinaldisposal

Energy solutions

Supply chain
management

Actions as aresponsible
company

Recycling of gas pipes (polyethylene pipes)
Information
security
Governance andcompliance

Recovered disusedpolyethylene pipes are
reduced to pellets andrecycled as plastic materials,
and then reused for gas
meter instruction cards, etc.

Web SiteTokyo Gas Network
Equivalent toapprox.

390 kmof 50mm pipes

Investor Relations Website
Recyclingrate

Investors’ Guide (FinancialData and Industry Data)

100%

Financial ResultsPresentation Materials
Financial Results Bulletin* Preliminary data for FY2021

Corporate Governance
ReportTokyo Gas Group Integrated Report 2022

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Sustainability Report