Policy & Basic Approach

● Sustainability Policy

Sustainability Policy

The ITOCHU ENEX Group has a mission of delivering energy and services as a "The Best Partner for Life and Society"" and will aim to improve our corporate value while contributing to the development of a rich life for people and a sustainable society.

Contributing to a carbon neutral society through our business
Contributing to rich communities through a stable energy supply
Establishing a governance system stakeholders can rely on

Established in November 2021

● Sustainability Key issues (Materiality)

Based on the Sustainability Policy, we have identified sustainability key issues (Materiality). Through the activities for addressing those issues, we will contribute to development of a sustainable society and work for further improvement of our corporate value. In addition, for our activities related to the important issues, the Sustainability Committee will manage their progresses.

(1) Address climate change
~ Contributing to the realization of a carbon neutral society ~

(2) Access to energy
~ Delivering the gift of energy to everyone ~

(3) Utilize human resources
~ Human resources strategies for creating diverse value ~

(4) Corporate Governance
~ Making transparent, viable, and fair decisions ~

● Process for Determining Key Issues (Materiality)

● Action Plan for Key Issues (Initiatives)

After extracting risks and opportunities for the identified sustainability issues, we set specific action plans and goals for each business activity.
Lateron, we will accelerate the promotion of sustainability throughout the Group over the medium to long term in accordance with the PDCA cycle.
* The action plan for key issues was revised in fiscal 2023.

1．Correspondance to climate change

Risks	Weakening of the existing energy businesses Reduction of demand for fossil fuels due to the regulation of businesses' greenhouse gas emissions, etc.
Opportunities	Expansion of the alternative fuel market and increase of sales opportunities accompanying the rising demand for alternative fuels Creation of opportunities to construct infrastructure for hydrogen and other new energies Rising demand for renewable energy and creation of new business opportunities Expansion of the market that expects that social issues will be solved through business processes

SDGs Target

* The action plan items for key issues were revised in fiscal 2024.

As of July 2025
Sector	Commodity/business	Initiative	Target	Target Year	FY2024 Progress and Review
Sector	Commodity/business	Initiative	Target	Target Year	FY2024 Progress and Review	Alternative fuel	Renewable diesel	Accelerating advanced use and increased use of next-generation fuel (renewable diesel (RD) and gas-to-liquids (GTL) fuel)	Promote RD sales FY2023 Target：1,000 KL、Results：400KL、Achievement rate：40％ FY2024 Target：1,000 KL、Results：700KL、Achievement rate：70％ FY2030 Target：100,000KL Promotion of GTL sales FY2023 Target：17,000KL、Results：7,000KL、Achievement rate：41％ FY2024 Target：16,000KL、Results：5,000KL、Achievement rate：31％ FY2030 Target：100,000KL	Short term, 2030	RD: Although demand was increasing, results did not reach the target due to exclusion from mitigation measures. The establishment of a new hub at Osaka Nanko expands our supply base to the Tokyo-Nagoya-Osaka corridor. Promote new applications such as long-term operational testing for revenue trains. Commencing production and supply of “RD40,” a blend of up to 40% RD in diesel fuel. GTL: Targets remain unmet due to exclusion from mitigation measures.
GTL										Short term, 2030
Hydrogen	Building a hydrogen value chain	Feb. 2021: ITOCHU ENEX, Air Liquide Japan and ITOCHU Corporation sign a memorandum of understanding on strategic collaboration for construction of a hydrogen value chain. After Fiscal 2024: Maintaining operations of hydrogen stations for commercial vehicles and trucks. Fiscal 2030: Enter the hydrogen energy market and the EV market after closing watching these market trends.	2030, 2050	A hydrogen station opened and started operations in May 2024. Enexfleet Co., Ltd. is responsible for operations and accumulating expertise in next-generation energy. Quantitatively, a cumulative total of 3,661 units (15,723 kg) have been filled by May 2025.
LNG	Creating a business to supply liquified natural gas (LNG) for vessels	ITOCHU, KYUSHU ELECTRIC POWER CO., INC., NYK Line, and SAIBUGAS CO., LTD. will establish a joint venture to build and own an LNG distribution vessel and carry out a business selling LNG for vessels in the Kyushu and Setouchi areas.	Start of supply Apr. 2024	The LNG bunkering vessel "KEYS Azalea" was delivered and began operations in March 2024. Beginning in April 2024, we commenced the supply and sale of LNG for ships.
Renewable energy	Renewable Energy Business	Promoting solar power generation businesses	Expand the number of renewable energy power generation facilities operated by the Group.	2030	Renewable energy generation capacity as of March, 2025: 274.1 MW
	Biomass power generation business	Commencement of the biomass power generation business	Development, start and operating of operation of a biomass power plant .	Short term	Oji Green Energy Tokushima (Anan City, Tokushima Prefecture) is operating.
	Self-consumption solar power generation business and solar power-based agricultural business (solar power sharing)	Developing a self-consumption solar power generation business and a solar power-based agricultural business (solar power sharing)	[Private consumption type] Promote the popularization of solar power generation by installing solar power generation systems in factories, stores and houses and proactively developing a business of leasing these systems. [Agricultural] Began the verification of a solar power-based agricultural business (solar power sharing) to promote the popularization of renewable energy and the efficient use of unused arable land (fiscal 2021), and are now implementing business operations and expansion.	Short term, 2030	Self-consumption solar power: 19 sites / 8.3 MW Agricultural solar power: 12 sites / 2.1 MW　(As of the end of March 2025)
	Energy Storage Business	Develop a storage battery business	Respond to demand and develop a storage battery business for businesses and homes.	2030	Storage battery for the grid and a business of storage batteries for businesses and for households remain under consideration.
	Overseas development of other businesses related to renewable energy	Overseas development of other businesses related to renewable energy	Expand a Thai subsidiary's business leasing solar power generation equipment.	2030	As of the end of March. 2025, 14 contracts had been signed in Thailand.
Electric vehicles	Sales	Sales of Nissan electric vehicles that are environmentally friendly zero emissions cars	Promote sales of electric vehicles.	Every year	Nissan Osaka Sales Co., Ltd has sold a cumulative total of 14,263 electric vehicles (including 1,596 units in fiscal year 2024). After application of life cycle assessment (LCA), CO2 emissions from EVs are around 32% lower with regard to the LEAF brand, around 18% lower with respect to the ARIYA brand, and around 17% lower for the SAKURA brand, when compared with those of Japan-made gasoline vehicles in their respective comparable grades. (according to a comparison when driving 10 km with vehicles made in Japan)
	Infrastructure development	Increased convenience for electric vehicle users	Increase the stores equipped with electric vehicle chargers and improve services.	Every year	Number of chargers installed at directly operated CSs and dealers as of March. 30, 2025: 88 units (Nissan Osaka Sales Co., Ltd：82 units. Enexfleet Co., Ltd.：6 units)
	Electric vehicle sharing service	Developing an electric vehicle sharing service	Launched the TERASEL Car Share community electric-vehicle-based car sharing service in fiscal 2021. Contribute to the decarbonization of communities through a combination of EVs and renewable energy.	2030	Introduced at 2 locations.
Energy solutions for storage batteries / household products	Smart devices	Promote sales of household storage batteries and power generation systems	Promote proposals for the introduction of two electricity generating systems: solar power generation systems and ENE-FARM, which are high-performance products. Promote sales of a home-use lithium ion power storage system that enables to use electric appliances using batteries even in the event of a blackout due to a disaster.	Every year	Sales of smart devices results 64 Enefarm units (as of the end of Mar. 2025) 50 storage battery units (as of the end of Mar. 2025)
Energy solutions for storage batteries / household products	LPG (for household and business use) and high-efficiency equipment	Reduction of CO2 emissions through sales of LPG (for household and business use) and high-efficiency equipment	Promote the popularization of ENE-FARM, ECO-JOZU, GHP, and glass-topped induction stoves. Promote self-consumption through the popularization of solar power generation plus lithium ion batteries. Develop a surplus electricity purchasing service for customers who no longer benefit from FIT.	Every year	LPG high-efficiency equipment sales results Glass-top stoves: 8,338 units (as of the end of Mar. 2025) Eco Joes: 16,362 units (as of the end of Mar. 2025) GHPs: 6 units (as of the end of Mar. 2025)
Other environmental businesses	Provision of heat	Contributing to energy conservation by expanding the regional heat supply business	Contribute to the efficient use of energy and town development from the initial development stages to subsequent management in cooperation with customers and communities to contribute to the realization of a decarbonized society.	Every year	Tokyo Toshi Service continues offering regional heat supply and energy management services.
	AdBlue	Manufacture and sale of AdBlue, a water and urea solution	Improve the procurement portfolio and expand distribution centers (SP) to establish a stable supply system capable of handling increased volume. Diversify products and develop new sales methods aligned with customer needs.	Short term, 2030	Expanded three SP locations. Streamlined operations through logistics optimization and advanced sales enhancement. Established supply systems for denitrification urea solution and marine urea solution. Continued further improvements to supply systems to address increased small-volume demand. Focused on sales utilizing the EC site.
	Support decarbonization management	Stepping up customer support in decarbonization management	Supporting customers' energy conservation through fuel conversion and energy services tailored to their needs.	Short term	Secured an energy service contract for a consumer factory and is expanding the service nationwide.
Reduction of environmental impact within the organization	Energy conservation, transition to green energy at offices and green office activities	Accelerating the transition to green energy and reducing the consumption of electric power, fuels, photocopy paper and water and the amount of waste	[Energy conservation in offices and business facilities] Reduce general electricity consumption, offices' fuel consumption (LPG and fuel oil), and vehicles' fuel usage (reduce the use of gasoline, light fuel oil, autogas, switch to GTL, HVO, electricity and e-fuel). Reduce copier paper, water consumption, and waste output (99％ of the previous year's results respectively). [Transition to green energy at offices] Reduce power consumption by installing solar panels at retail stores. Install solar panels at 32 Car-Life Stations run by Enex Fleet and 10 run by Kyushu Energy (by 2030).	Every year, 2030	[FY2024 results for energy savings] Gneral electricity consumption: 99% (Achieved compared to the target and the previous year. Reduction by power saving and use of LED lighting in offices) Fuel for offices: 95% (target and previous year's levels achieved), fuel for vehicles: 107% (target and previous year's levels achieved) Copy paper: 95% (target and previous year's levels achieved) [FY2024 results for green energy conversion] Green electricity with a non-fossil certificate was introduced to the Head Office in Kasumigaseki in fiscal 2020 (and it has since been used there). All lighting at the Head Office in Kasumigaseki was replaced with LED lighting (by the manager of the building). Solar power generation systems were installed at plants, warehouses and other facilities to provide services that help customers cut their CO2 emissions and energy costs. Solar power generation systems for self-consumption were installed at 6 CS.(Enexfleet Co., Ltd.：2 CS. KYUSHU ENERGY CO., Ltd.：４ CS)
	Preventing environmental pollution	Preventing soil/environmental pollution	Prevent soil/environmental pollution. Reduce impact. Reduce drainage discharge and the use of harmful substances and appropriately dispose of harmful substances.	Every year	We comply with environmental laws and regulations regarding the prevention and proper treatment of soil and environmental pollution, while also implementing voluntary initiatives based on internal company regulations.
	Increasing the efficiency of systems and logistics	Reducing CO2 emissions and improving efficiency in the transport process through DX	Give eco-driving training that raises energy-saving awareness and helps fulfill the obligations of specified consignors under the Act on Rationalizing Energy Use and reduce CO2 to supply chains (delivery personnel of commissioned truck operators and group companies) once a year, implement automatic meter reading with the use of the low-power wide-area (LPWA) system and streamline deliveries for CO2 reduction. Promote customers' introduction of LPWA for direct sales. Conduct inspections using iPads to enable paperless operations and improve efficiency.	Every year	[State of introduction of LPWA terminals (at eight sales companies in the Home-Life business)] A total of 537,067 terminals installed to cover 95% of the customers (on the basis of valves opened)(as of Mar. 2025) Security inspection survey mobile was utilized at HOME-LIFE HOKKAIDO, TOHOKU, NISHI-NIHON, SHIKOKU, EA Kanto, and EA Chubu to make inspection forms for LPG and other gas retail and bulk sales paperless.　Besides, we will promote the adoption of mobile versions of pressure measurement equipment used in safety inspection surveys to further advance paperless operations.
	Coal-fired power plant	Reducing the environmental impact of coal-fired power plants	Utilize non-fossil fuels (mixed fuel firing demonstration experiment under consideration). Change and appropriately operate equipment and other initiatives.	2030	2030年度の削減目標に向け、オペレーションの最適化、燃料転換、既存設備の更新や休止といった取り組みを検討、実施。
Environmental Management	ISO activities	ISO14001 (environmental management)	Maintain certification. Promote environmental protection and improvement activities. Continue to implement the PDCA cycle at all group companies appropriately using their functional environmental management systems Ensure safe operations through thorough compliance at all offices.	Every year	In July 2025, ITOCHU ENEX underwent a Surveillance audit performed by the Japan Audit and Certification Organization for Environment and Quality (JACO) to maintain certification. We will continue to work on efficient energy consumption and legal compliance based on our environmental management system.
	Environmental conservation activities	Forest and marine environment, biodiversity conservation activities	Promoting environmental conservation and biodiversity preservation activities.	2030, Every year	ITOCHU ENEX donated 100 yen per case of electronic exercise of shareholders' voting rights to the building of a community in the Hokkaido town of Naganuma-cho where the red-crowned crane (Grus japonensis) can live. (Fiscal 2024：614,100yen) As part of activities within the Minato Ward Biodiversity Network, we implemented group-wide awareness-building initiatives, including employee participation in local biodiversity conservation activities and outreach efforts. Furthermore, since fiscal year 2021, we have continuously exhibited at the Minato Biodiversity Panel Exhibition to promote awareness of biodiversity conservation within the community.
	Conservation of regional environments through compliance with security regulations	Reinforcing a security system, strengthening security checks, and improving security knowledge	Fully prevent accidents by standardizing and improving security management systems in accordance with non-statutory security standards in addition to legally mandated inspections. Carry out training activities and improve awareness. Promote the ubiquitization of computerized documents for security inspections and audits.	Every year	Each segment is on target Follow-up to promote qualification acquisition（Conducted e-learning training to prepare for the C-Type Chief Gas Engineer examination. ） Implemented smart safety initiatives to improve operational efficiency (shifted to mobile device solutions for statutory inspections and considered introduction of DX) Continue utilizing the HL Safety Audit System (ESAS), which handles audit execution, audit report creation, audit report distribution, and result aggregation entirely within the system.

2．Access to Energy

Risks	Loss of customer base due to worsened relationships with the local community Instability of business due to insufficient energy procurement and other issues
Opportunities	Expansion of business supported by the trust of the local community and the entire supply chain Creation of an environment that enables customers to choose from a diverse range of energy options, including alternative energy Entry into regions where access to energy is yet to be established Retainment and acquisition of customers by strengthening a disaster-resilient supply structure, and other initiatives Earning the trust of customers and the creation of new business through the stable supply of environmentally friendly resources and materials, and other initiatives

Risks

Loss of customer base due to worsened relationships with the local community Instability of business due to insufficient energy procurement and other issues

Opportunities

Expansion of business supported by the trust of the local community and the entire supply chain Creation of an environment that enables customers to choose from a diverse range of energy options, including alternative energy Entry into regions where access to energy is yet to be established Retainment and acquisition of customers by strengthening a disaster-resilient supply structure, and other initiatives Earning the trust of customers and the creation of new business through the stable supply of environmentally friendly resources and materials, and other initiatives

SDGs Target

* The action plan items for key issues were revised in fiscal 2024.

As of July 2025
Sector	Commodity/business	Initiative	Target	Target Year	FY2024 Progress and Review
Sector	Commodity/business	Initiative	Target	Target Year	FY2024 Progress and Review	Relationships with local communities	Disaster prevention efforts and BCP measures	Maintaining infrastructure at times of disasters and enhancing the Group's BCP system	[Maintaining infrastructure in times of disaster] Maintain oil supply functions at times of disasters (to make it possible to preferentially refuel emergency vehicles at times of power failure) Operate disaster response stations and disaster-resilient core filling stations (equipped with non-utility electrical power facilities, fuel filling equipment for automobiles, and satellite phones) as facilities for stably supplying LP gas The Kizuna Net Center is ready to ship fuels 24 hours a day using emergency small-lot vehicles. Secure regional energy lifelines during disasters by operating a disaster-resilient LPG bulk energy system that permits collective power generation, hot water supply, and the provision of hot meals.　 Make sure that water storage tanks for the heat supply business can be used to supply domestic water and firefighting water in emergencies. [Enhancing the Group's BCP] Develop a business continuity plan (BCP) for large-scale disasters Prepare for initial responses to disaster. Arrange a system for appropriate cooperation with an affected area. Review BCP regularly. Train to maintain and strengthen backup systems for headquarters functions during a disaster. Renew resilience certifications. Ensure the company can be constantly managed through appropriate evaluations by external organizations.	Every year	[Maintaining infrastructure in times of disaster] Maintaining disaster-response infrastructure including disaster response stations, core filling stations for disaster response, Kizuna Network Centers, regional energy lifelines via LPG bulk systems, and storage tanks for domestic water and firefighting water. Maintain the functions and services of core filling stations (equipped with self-generating power facilities, automotive fuel filling equipment, and satellite phones on standby) that provide stable LP gas supply even during disasters. ●As of the end of March 2025: Resident Base CS: 895 CS（ Affiliated dealerships：745CS, Enexfleet Co., Ltd.：100 CS, KYUSHU ENERGY CO., LLTD.：50CS） [Enhancing the Group's BCP] Subdivision of the Kasumigaseki Building's in-house fire brigade district teams (Floors 27, 28, 29) (April 2024) Confirmation of initial response procedures for earthquakes of intensity 5+ or higher (April 2024, December 2024) Implementation of safety confirmation drills (12 times) Implementation of payment proxy drills (monthly) Conducted Basic Life Support Training (12 sessions). Cumulatively issued 600 Life Support Certification Cards in FY2024. Implemented system management for disaster stockpiles (FY2024). Confirmed evacuation routes during large-scale disasters (April and December 2024). Confirmed measures to suppress mass commuting and assist stranded employees (March 2025). Additionally, at Itochu Enex Home Life Co., Ltd., established in October 2024, the following actions were implemented: ・Formulated the Business Continuity Plan (4th Edition - October 2024). ・Conducted BCP briefings under the new organizational structure. (4 branch offices / December 2024) ・Held a BCP briefing for all employees. EHL Chugoku Branch (February 2025) ・Conducted safety confirmation drills at branch offices (Hokkaido, Tohoku, Chugoku, Shikoku / monthly) ・Conducted BCP verification drills (EHL Tohoku: February 2025, EHL Shikoku: September 2024) ・Formed workplace self-defense fire brigades. Due to the relocation of the head office to Ningyocho (December 2024) ・Developed disaster prevention specialists (141 individuals / by end of March 2025)
Natural disaster preparedness measures in collaboration with other companies	Collaboration for the construction of disaster-resilient communications networks	Construct a system that continuously supplies LPG to cellular base stations to be prepared for power outages in collaboration with SoftBank Corp. Supply gas to more facilities through this network in the future.	Every year	Fixed emergency power generators had been installed at 154 base stations (as of Mar. 2025). For fiscal year 2025, discussions are underway to realize supply for 8 ongoing projects Plans to establish an LP gas supply system for non-fixed portable emergency generators during the first half of the fiscal year Plans to deploy one LP gas supply facility per regional area (Hokkaido, Tohoku, Kanto, Hokuriku, Tokai, Kansai, Chugoku, Shikoku, Kyushu, Okinawa)
Comprehensive partnerships with communities	Comprehensive partnerships with diverse forms that contribute to community development	Strengthen comprehensive partnerships contributing to community development and disaster prevention through the energy, services, and products provided by the group.	Every year	In September 2024, awarded a letter of appreciation from the Ministry of Economy, Trade and Industry for cooperation in the recovery efforts following the Noto Peninsula Earthquake. In fiscal year 2024, Enexfleet Co., Ltd. concluded an agreement with the Eastern Army Headquarters of the Japan Ground Self-Defense Force regarding fuel supply at core emergency fueling stations and other facilities.
Access to energy	Stable supply of energy and services	Stable supply of petroleum products, LPG, electricity and related services	Contribute to people's rich lives by maintaining stable supply in times of disaster and normal times.	Every year	The target was met.
	Car life station	Supporting the opening and operation of car life stations in sparsely populated areas	Help correct gaps convenience among regions by supporting the opening and operation of car life stations in sparsely populated areas.	As appropriate	Support was continued for a service station run by a store launched in a sparsely populated region in the village of Kawakami-mura in Nara Prefecture. We plan to discuss risk management in the event of a disaster with them.
		Enriching car life services and spreading multi-fuel stations	[Enhancing car life services] Conduct a demonstration experiment for the introduction of new services at car life stations in collaboration with Rakuten Group, Inc. Pursue convenience, specifically, safe and secure shopping that ensures social distancing, paperless operations to reduce environmental impact, and reservation and payment using mobile devices. [Spreading multi-fuel stations] 2050: Enable more CSs to be multi-fuel stations. Convert commodities from GA to electricity for EVs and hydrogen-powered vehicles gradually. 2050: Gradually add infrastructure for EVs, hydrogen stations, and other infrastructure equipment.	Short term,2030,2050	[Enriching car life services] Starting in 2021, we began piloting new services and initiatives at Yugawara Community Service Center. We continue to operate the center with the goal of making it a hub where customers can access new services aimed at enhancing convenience. Smartphone fueling introduced to 150Car-Life Stations (as of the end of Mar. 2024). PayPay, dBarai, au Pay, Mercari Pay, and Rakuten Pay electronic payment methods were introduced. Most major QR code payment services are now supported. Sales promotion activities for customers using smartphones to refuel have also been made paperless by linking with the LINE app. [Spreading multi-fuel stations] ITOCHU ENEX takes part in the strategic collaboration in construction of Japan's first hydrogen value chain for fuel cell trucks in the city of Motomiya in Fukushima Prefecture. A hydrogen station opened and started operations in May 2024, and Enex Fleet is operating 24/7,365 days a year. (Sales results: cumulative total of 3,661 units (15,723 kg) By May 2025)

3．Utilization of human resources

Risks	Lower labor productivity, human capital flight, loss of business opportunities, higher wellness costs, impaired corporate image, and other risks resulting from a failure to appropriately respond
Opportunities	Increased labor productivity, better health, higher motivation, bettered communications, retention of talent, creation of a platform for corporate growth and innovation due to to the increase ability to respond to change and business opportunities and other factors resulting from the establishment of working environments where workers can have job satisfaction

SDGs Target

* The action plan items for key issues were revised in fiscal 2024.

As of July 2025
Sector	Classification	Initiative	Target	Target Year	FY2024 Progress and Review
Sector	Classification	Initiative	Target	Target Year	FY2024 Progress and Review	Diversity and inclusion	Diversity in the workforce	Active roles for diverse human resources	Appoint excellent human resources to managerial jobs regardless of age or gender. Support the successful careers of mid-career professionals who have experience in many different things Ensuring diversity by employing newly graduated students Increase the ratio of female managers and supervisors FY2024 Results：3.0％ FY2030 Target：10% FY2035 Target：30%	Every year	A broad range of personnel, ranging from young staff to senior workers, were appointed as managers and supervisors to encourage diverse human resources to play active roles. Ratio of mid-career employees hired: 21% (as of Jun. 2025) Some personnel are appointed as managers and supervisors in consideration of their duties and skills, irrespective of whether they were hired as new graduates or in the middle of their careers to ensure diversity. Ratio of women newly employed (at ITOCHU ENEX): 29% in Apr. 2025

Establishment of systems and internal environments	Establish systems and internal environments	Incorporate work styles according to specific life plans, and develop personnel systems and the internal environment	Every year	Employees with children up to the fourth grade are eligible for reduced hours or staggered work schedules for childcare reasons. Upon returning from extended childcare leave, a pre-return interview is conducted with the employee, their supervisor, and HR. This provides an opportunity to share work style preferences and childcare-related circumstances, ensuring mutual understanding for a smooth transition back to work. A survey is administered to employees who have taken childcare leave. This serves as an opportunity for them to reflect on their experience, and their testimonials are incorporated into the Work-Life Balance Support Handbook as “Dad” and “Mom” accounts. Direct email addresses have been created for personnel handling childcare and eldercare matters.
	Utilizing the work-family life balance support system	Promoting Diverse Working Styles Promote the utilization of the staggered/shortened work hours systems by people raising children, caring for family members and facing other issues	Every year	[Diverse working styles (actual at ITOCHU ENEX for fiscal 2023)] Percentage of employees taking childcare leave: 75％ among males and 100% among females Average length of leave taken per person: 49 days by males and 338 days by females In fiscal year 2025, we obtained our seventh “Kurumin” certification (Certified Childcare Support Company). [Support for childcare and nursing care (as of Jul. 2024)] Number of employees with shorter working hours for childcare: 24 Number of employees with staggered working hours for childcare: 7 Number of employees who took family care leave: 0
	Utilizing the re-employment system	Re-employ employees who have left the company due to relocation due to their spouse's employment. Support people returning to work at events.	Every year	Total number of employees rehired after their retirement due to transfer of their spouses: 3 (as of Jul. 2024)
Health and safety	Workstyle reforms	Promoting ENEX EARLY BIRD (workstyle reform)	Make Itochu Enex a better company and a rewarding place to work for each employee, and a company that they are able to boast about to their families and society. Change from work styles focused on working overtime at night to working overtime in the morning. Set an end time of 10:00 p.m. for dining/drinking parties with customers/other employees. Ensure that at least 80% of employees have a BMI lower than 25. Ensure that at least 80% of employees don't smoke. Ensure that at least 80% of employees have a paid vacation. Improve the quality of communications by two grades. Improve the quality of meetings and conferences by two grades. Improve the quality of materials and documents by two grades. Ensure that management and guidance is in place for appropriate overtime hours.	Every year	[Fiscal 2023 results] Percentage of employees with a BMI of under 25: 70.7％ Percentage of non-smoking employees:74.1％　 Percentage of paid leave taken: 88.7%
	Health and productivity management	Promoting Health Management	Ensure that 100％ of employees have regular health check-ups. Ensure that 100％ of applicable employees undergo detailed examinations. Ensure that 90% or more of employees have a systolic blood pressure less than 130 mmHg, and a diastolic blood pressure less than 85 mmHg. Ensure that 80% or more of employees have a triglyceride level lower than 150 mg/dL, and an HDL cholesterol level of 40 mg/dl or more. Ensure that 80% or more of employees achieve GOT and GPT levels that are 40 or lower and γ-GPT of 80 (men) or 70 (women) or lower.	Every year	Ratio of employees who receive regular health checkups: 100% Ratio of employees who receive thorough checkups: 54.2% Ratio of employees with a systolic blood pressure under 130 and a diastolic blood pressure under 85: 80.3% Ratio of employees with a level of neutral fat under 150 and that of HDL cholesterol at 40 or higher: 79.8% Ratio of employees with GOT and GPT levels at 40 or lower and those with γ-GPT at 80 or lower (men) and 70 or lower (women): 80.5%(Fiscal 2023 Results)
	Occupational safety and health	Harassment Prevention	All employees across the group will acquire accurate knowledge about harassment. Under a corporate culture that encourages open communication, we will prevent harassment before it occurs and respond promptly when it arises.	Every year	In July 2024, revised the harassment guidelines to reflect current practices and issued an internal notice via the company portal. Conducted power harassment and gray zone training for all ITOCHU ENEX employees to deepen understanding of harassment and deter its occurrence (October 2024, 528 participants). Additionally, training on etiquette at drinking occasions was conducted to prevent harassment occurring during alcohol consumption (December 2024, 707 participants). To facilitate early detection of harassment, a chat app was introduced as a new reporting channel for the internal whistleblowing hotline, creating an environment that makes reporting and consultation easier.
	Occupational safety and health	Pursue continual improvement in occupational safety and health	Lost time injury frequency rate: 0	Every year	Frequency of occupational accidents: 0 (actual at ITOCHU ENEX for fiscal 2024) Severity of occupational accidents: 0 (actual at ITOCHU ENEX for fiscal 2024)
Organizational culture	Enable the organizational culture to take root in the company	Providing cross-functional training	A cross-functional team comprises members in different positions from different companies and departments and with different experience and skills. Its missions are to discuss cross-departmental issues and to propose solutions.Hold training that encourages employees at large to learn about businesses and people and think about the future of the company.	Every year	A total of 6 cross-functional training (CFT) sessions took place in fiscal 2024 with the total participation of 11 Company, 72 trainees. To enhance on-site capabilities, we shared best practices from Eneks Group members who achieved outstanding results within the group. Additionally, participants toured Eneks Group facilities in each region engaged in environmental initiatives and new business ventures, exploring ways to apply these approaches within their own companies. Finally, through group work in logical thinking training, they learned problem-solving methodologies.
Organizational culture		Implementation of employee satisfaction surveys	Enabling an organizational culture to take root and improving overall satisfaction	Once every couple years	A Fiscal 2024 Work Engagement Survey was conducted (standard deviation: 53.3) *Wholesale, trading company, retail: average 50.3
Human resources development	Establishment of systems and internal environments	Fostering multi-human resources who are active in Japan and overseas, fostering diverse values, and developing and expanding in-house training systems	Cultivate multi-talented human resources who will flourish in Japan and overseas (overseas on-the-job training). Foster diverse value (innovate through cross-functional training).	Short term	Karuizawa LABO was operated, with the aim of improving the employee education system, expanding and enhancing training, and fostering a sense of unity among Group employees. It operates as a training facility for Group companies and as a company-owned recreation center for employees. Career design training is conducted with the aim of contributing to long-term career planning for mid-career to veteran employees, including their personal lives. Overseas training program: Three employees were receiving training in Thailand, the Philippines and Singapore (2024 Actual Results).
	Support for self-development and employee education	Offering opportunities for training and enriching support for self-development	Support employees' personal growth and development of skills and abilities Increase employee awareness of personal growth and the development of skills and abilities	Every year	[Support for self-development and skill development] Number of employees using the graduate school admission program for working professionals: 3 (studying at graduate school in fiscal 2024) Number of employees using the English learning support program: 22 (actual for fiscal 2024) Number of employees using the program of financial support for correspondence education course fees: 92 (actual for fiscal 2024) [Raising awareness of self-development and skill development](Results for fiscal year 2024) Rank-based training: 7 sessions Training sessions for newly appointed managers: 2 sessions Veteran Employee Training Session Held Introduced an online learning tool to support independent learning among employees on a trial basis (90 employees in total).
	Social Contribution Activities	Planning and engaging in social contribution activities	Continue to implement an array of social contribution activities to hand a sustainable society to future generations, themed on the environment, human resources and community development for the future.	Every year	●Headquarters Blood Donation Drive: June 2024: 13 participants; December 2024: 13 participants ●Support for Persons with Disabilities: ①Volunteer participation in organizing the NPO Yumeken Swimming Competition ②Donation of 100,000 yen to Artability ③Featuring Artability artists in the Eneks original calendar ④Holding a bread sale event at Swan Bakery) ●Corporate Hometown Tax Donation Results: ①Saga City, Saga Prefecture: 2,000,000 yen ②Rumoi City, Hokkaido: 1,000,000 yen ③ Aira City, Kagoshima Prefecture: 1,000,000 yen ● Participation in Walk the World: May–June 2024 implementation: 86 participants (group employees, family, friends) ● Donation via electronic resolution to the “Creating a Town Where Red-crowned Cranes Can Live” project (Naganuma Town, Hokkaido): FY2024: 715,500 yen

4．Corporate Governance

Risks	Risk of business discontinuity accompanied by the dysfunction of corporate governance and internal control, unexpected losses/costs, and other risks
Opportunities	Increased decision-making transparency through the establishment of a robust governance system, increased corporate value due to appropriate responses to change and the establishment of a foundation for stable growth, and other opportunities

SDGs Target

* The action plan items for key issues were revised in fiscal 2024.

As of July 2025
Sector	Commodity/business	Initiative	Target	Target Year	FY2024 Progress and Review
Sector	Commodity/business	Initiative	Target	Target Year	FY2024 Progress and Review	Corporate Governance	—	Strengthening the functionality of Board of Directors	Increase disclosure of the board's supervisory/monitoring functions. Enhance open-minded strategic discussions. Evaluate the effectiveness of the Board of Directors, analyze results, and make improvements. Governance Committee: For the purpose of deliberation and examination of the nomination and remuneration of Directors and Executive Officers, material transactions or actions with a related party (excluding a controlling shareholder) and other matters relating to corporate governance Special Committee: For the purpose of deliberation and examination of material transactions or actions involving conflicts of interest with a controlling shareholder or a minority shareholder(Newly launched in Oct. 2021) Evaluation of the effectiveness of the Board of Directors: Their purpose is to assess if the board of directors of the company effectively performs its roles and duties.	Every year	Members of the Governance Committee:Five members, consisting of three independent officers and one inside directors(In fiscal 2024, 11 meetings were held with the participation of all members.) Members of the Special Committee:Six independent officers(In fiscal 2024, 4 meetings were held with the participation of all members.) On-site inspections (2 in fiscal 2024) and pre-briefing sessions (11 in fiscal 2023) were conducted to deepen the level of understanding of outside officers with regard to the business. Issues in assessing the effectiveness of the board of directors and the results of analysis Stimulating discussion <Measures> Consider establishing a forum for internal and external directors to discuss matters outside of board meetings.
Increasing stakeholder engagement	Improve transparency and increase stakeholder engagement by reinforcing and enhancing many types of disclosure.	Every year	Integrated report: Relationships with individual shareholders were clarified, constructive communication was enabled and the methods of enabling such communication were stated. Website: Content was enhanced. Different research and assessment bodies: Accurate and considerate response and actions for improvement were taken as needed on the basis of assessment results and information acquired.
Operating committees appropriately	Ensure the appropriate operation and effective functioning of committees.	Every year	Audit & Supervisory Board Members attend meetings of each committee to ensure that they are operating appropriately. Separate committees strictly implemented the practice of distributing materials in advance. The dates of meetings were quickly determined and communicated and minutes of meetings were swiftly produced.Meetings held in fiscal 2024 Meetings of the Governance Committee and the Special Committee were as mentioned above. The Sustainability Committee had three meetings, the Risk Management Committee five and the Internal Control Committee five. The Disclosure Committee had six meetings (and 15 meetings in writing).
Strengthen compliance	Establish a culture where all employees understand the importance of compliance and can proactively identify and resolve issues within the organization.	Every year	Conducted a compliance survey (awareness survey) for group company employees, tracking progress on addressing issues identified in the previous survey and identifying new issues to develop countermeasures. (December 2024, 5,558 respondents) Conducted an effectiveness check of whistleblower protection systems at group companies. Additionally, introduced a chat app as a new reporting channel for the internal whistleblowing hotline to facilitate early detection of harassment, creating an environment that encourages reporting and consultation. ENEX Group employees participated in compliance training on fraudulent accounting and embezzlement hosted by ITOCHU Corporation (January 2025, 2,283 participants). The Compliance Office also conducted compliance training for group companies (5 companies, 128 participants).
Strengthening information security	Analyze the current status of information risks within the group companies and implement reliable measures.	Every year	●Learning/Awareness 　①Holding Group IT Information Liaison Meetings (2 sessions) and Group IT Personnel Meetings (3 sessions) 　　Aimed at enhancing the Group's risk management capabilities, covering information security measures, next-generation core system development status and regulatory compliance efforts, cybersecurity responses, etc. 　　Approximately 80-90 participants from individual departments and 19 Group companies 　② Implementation of e-learning (2 sessions) and targeted attack email training (2 sessions) 　　To raise cybersecurity awareness, participants learned attack methods through specific case studies in light of increasing and sophisticated cyberattacks. Practical targeted attack email training was also conducted to promote security awareness. 　　・First e-learning completion rate: 98.1% Participants: 4,147 / Targeted: 4,226 (Eneks standalone, 19 group companies) ・Second e-learning completion rate: 100% Participants: 4,057 / Targeted: 4,057 (Eneks standalone, 16 group companies) 　　　※Second e-learning session hosted by ITOCHU Corporation (held every 3 years); EHL counted as one company ・Targeted attack email training (2 sessions): Targeted: 4,183 individuals (Eneks alone, 16 group companies) ※EHL counted as one company ●Information Asset Inventory / Rule Establishment 　① Collected and listed management systems and server information (1,015 systems across 32 departments/operating companies) 　② Checked IT vendors and cloud services in use, focusing on business continuity and security (233 IT vendors and 184 cloud services across 31 departments/operating companies) 　③ Scrutinized information security-related regulations at group companies (68 regulations across 18 group companies)
Enhanced Group Governance	Continue to enhance group governance through reviews of the system.	Every year	Conducted training for newly appointed directors of group companies regarding their duties and responsibilities as directors (Offered via e-Learning from August 5 to August 30, 2024 (Friday). Participants: 9 individuals) Held a meeting of group company presidents (December 2024) Added a function within the Audit Department to check the internal control systems of small-scale group companies starting in fiscal year 2023 (Aiming for sound operations and risk management) Held a Group Audit Committee meeting to share information on expectations for Group auditors and specific audit items. Strengthened collaboration through meetings with internal control practitioners (to ensure each department within group companies understands internal controls) Established a new “Business Division” within Corporate Department 2 in FY2024 to oversee the management of operating companies.
Enhancing risk management	Reduce risk by strengthening the risk management structure and steadily implementing risk management processes and controlling risk.	Every year	To address the various risks surrounding our group, we manage risks both holistically and individually through the establishment of management systems and methodologies. We have established a Risk Management Committee as an advisory body to management. By implementing risk management—including identifying, analyzing, and countering risks that could significantly impact management, as well as preventing and raising awareness of their occurrence or manifestation—and continuously strengthening management, we strive to mitigate risks. For fiscal year 2024, we have identified nine risks () as key risks. Disclosed in the “Business Risks” section of the Securities Report for the fiscal year ending March 2024. Record of Risk Management Committee meetings: FY2024 / 4 meetings held.
Enabling the group's values to take root within the group	Share the Corporate Philosophy, the group's action declaration, code of conduct, sustainability policy and other policies. Develop employee awareness of them and ensure they are implemented.	Every year	Signing of the Corporate Philosophy, the Declaration of the Group Code of Conduct and the Code of Conduct. This was carried out for all officers and employees in the Group in the form of e-learning. The achievement rate in fiscal 2024 was 96.9%.