Environmental management

In order to contribute to the development of a sustainable society in which the economy and the environment are in harmony, the Idemitsu Group has established a policy that makes environmental conservation an important and prioritized value judgment standard in all of its business activities and conducts its business activities accordingly.
Specific activities include reducing the environmental impact through the efficient use of energy and other initiatives, proactively promoting advanced efforts to solve environmental problems such as climate change, and raising environmental awareness through appropriate education and awareness-raising activities for all employees.

The Group has traditionally positioned "safety, health, and the environment" as the foundation of its management, and has established Safety & Environmental Protection Headquarters to promote efforts to ensure and protect these. Safety & Environmental Protection Headquarters The "Safety & Environmental Protection Headquarters" consists of the director of , deputy director, presidents of related General Managers and major affiliated companies, and other persons appointed by the director of Safety & Environmental Protection Headquarters, as well as the secretariat.
The officer in charge of safety and environment (Director) is delegated by the President and Representative Director to oversee the division as the chief executive officer in charge of safety, health, and environment, and the Safety, Environment, and Quality Assurance Department serves as the secretariat.
Safety & Environmental Protection Headquarters The General Manager of the Safety, Health & Environment Division (hereinafter referred to as "the General Manager") determines Medium-term Management Plan and annual basic policies and priority issues related to safety, health, and the environment, and then monitors and evaluates performance through safety and environmental audits, and maintains, reviews, and checks the status of improvement of the safety, health, and environment management system. As a corrective action and review, the general manager conducts a management review at the Safety & Environmental Protection Headquarters meeting and reflects it in the next year's basic policy, etc.

● Positioning of the Safety & Environmental Protection Headquarters within the corporate governance system and safety and environmental management system

In our group, when deciding on mid-term plans and annual basic policies and priority issues related to safety, health and the environment, the secretariat prepares a draft based on a review of the previous year and consideration of social conditions, which is then discussed at the Safety and Environment Officers Meeting and finally approved at the Safety & Environmental Protection Headquarters Meeting. The results are reported to Management Committee.
The Board of Board of Directors receives reports from the business execution side and oversees environmental issues, including climate change issues.

As shown in the diagram below, our group's environmental management system operates by combining the PDCA cycle for the entire group, centered on Safety & Environmental Protection Headquarters, with the PDCA cycle of each business division. Safety & Environmental Protection Headquarters Secretariat evaluates and reviews the operation of the environmental management system for the entire group by conducting safety and environment audits, etc., and shares any necessary improvements with business division reviews at safety and environment manager meetings and headquarters meetings, thereby ensuring continuous improvement. Furthermore, a total of 27 business divisions and affiliated companies within our group (both domestic and overseas) have obtained ISO 14001 certification (as of the end of June 2025).

●Environmental management PDCA cycle

In order to check and promote the activities of each department and major affiliated company, the secretariat conducts safety and environment audits at our Refineries/Complexes once a year ^*. For other bases, the frequency of safety and environment audits is determined taking into consideration the safety and environment risks and safety and environment management status of Complex. If an audit reveals any areas for improvement in terms of safety and environment, the secretariat follows up on each case from deciding on a response plan to its completion. In addition, Safety & Environmental Protection Headquarters visit the site every year to provide safety and environment guidance and conduct safety and environment patrols.

In 2024, there will be four environmental abnormalities at our Group Complex ^* Furthermore, we are also investigating the causes of minor incidents that are not classified as environmental abnormalities, and are working to prevent recurrence in an effort to ensure even more reliable environmental conservation.
・Oil spills into the sea from drainage outlets
・Catalyst scattering during catalyst transfer when preparing to shut down or open the equipment
・Exceeding fluoride regulation limits discovered in drain water quality tests
・Received a notice of instruction for violating the Fluorocarbons Emissions Control Law

Safety & Environmental Protection Headquarters also provides environmental education to the entire Group.

●Main environmental education and awareness activities