Safe Operations and Stable Supply

The Cosmo Energy Group states in chapter 1 of its Code of Conduct, “We are determined to be a safe, accident-free corporate group.” It is our mission to ensure safety and confidence in all business activities. Based on the Group Management Vision and the Code of Conduct, we established the Safety Policy to guide our basic approach to safety.

The Cosmo Energy Group has designated “safe operations and stable supply” as one of its most important material issues with an impact on enterprise value over the medium to long term. We have purposefully incorporated “safe operations and stable supply” and “quality assurance” into our governance categories as the foundation for enhancing enterprise value from a perspective that differs from the traditional corporate governance perspective, and we are strengthening safety management systems by establishing targets and KPIs for these categories.

Cosmo Energy Group’s Safety Management System


The Cosmo Energy Group promotes safety management efforts in Group-wide business activities based on a strong sense of its mission to realize a stable energy supply. We have been working to realize safe operations and stable supply with the aim of eliminating accidents and work-related injuries at our business sites and departments.

Under the Consolidated Medium-Term Sustainability Plan (FY2018 – 2022), we have focused on “ensuring thorough safety measures” as a priority. In fiscal 2021, the Safety and Risk Management Committee was integrated into the Sustainability Strategy Committee, which was newly established to strengthen the governance structure and promotes safety measures with “safe operations and stable supply” and “quality assurance” as its priority issues.

Results of Consolidated Medium-Term Sustainability Plan Initiatives

The Cosmo Energy Group promoted initiatives on safety management and risk management activities via the Sustainability Strategy Committee with the aim of ensuring safety and reducing future risk in Group-wide business activities, seeking in all of these efforts to earn greater social trust and confidence.

Priority issues Theme Main activity measures / targets FY2022 results Score1
Ensure thorough safety management measures Safe operations and stable supply

Prevent occupational accidents

Prevent serious operational accidents

Serious occupational accidents

(Target: 0; Results: 1)

C

Serious operational accidents

(Target: 0; Results: 0)

A
Reference: Process Safety Management Indicators at Cosmo Oil, and Cosmo Matsuyama  

・Lost-time injury frequency rate

(Target: 0.24 or lower; Results: 0.44)

C

・Unplanned shutdown rate

(Target: 0.5% or lower; Results: 4.45%)

C
Quality assurance Prevent serious product (quality) accidents

Serious product (quality) accidents

(Target: 0; Results: 0)

A

1. A: Achieved; B: Partially achieved: C: Not achieved

Initiatives on Safety Measures


The Cosmo Energy Group is committed to safety measures, stating in chapter 1 of its Code of Conduct, “We are determined to be a safe, accident-free corporate group.”

At the Group’s business sites, including refineries and plants, we have set the safety goal of zero serious accidents (fires, explosions, external leaks, large-scale leaks, and serious work-related injuries). We implement safety management by establishing management targets as indicators, such as lost-time injury frequency rate, unplanned shutdown rate, and number of days suspension of incoming and outgoing shipments. We also foster a culture of safety by improving workplaces and the working environment and applying our Operational Management System (OMS).

In fiscal 2022, the Cosmo Energy Group did not record any serious operational accidents, but there was one serious occupational accident. The number of operational accidents increased from the previous fiscal year, so we are providing employees with rigorous reminders about basic actions and rules and steadily implementing measures to prevent recurrence.

Each of Cosmo Oil’s refineries have established a Safety and Environment Committee, which is a cross-functional body for safety and environmental management, and they have set safety goals of zero serious occupational accidents and zero serious operational accidents. They have also established lost-time injury frequency rate as a KPI with a commitment to upgrading industrial safety.

For data on occupational accidents at the Cosmo Energy Group, please see ESG Data.

 

ESG Data: Occupational accidents

Initiatives to Prevent Accidents Being Forgotten and to Reduce Unsafe Conditions


Cosmo Oil has designated March 11, the date when an LPG fire and explosion occurred during the Great East Japan Earthquake, as Cosmo Oil Safety Day. Group employees watch a video compiling the story of the accident, its cause, and steps taken to prevent a recurrence. We continue to work never to forget the incident by implementing initiatives such as safety seminars in various regions. In fiscal 2022, we held a seminar with an instructor from the Maritime Disaster Prevention Center (MDPC). The seminar discussed past responses to major disasters, providing a valuable opportunity to look back on various events and raise awareness of safety.

More than ten years since the accident, we are ensuring that information about the accident is passed on to a new generation of employees who did not experience it. We are also grateful once more for the cooperation and support of local residents, neighboring companies and relevant government authorities, which has enabled us to continue our operations, and we will continue to keep safety as our top priority.

Safety commemorative event

Safety Day seminar