Basic Principles of Procurement and Request to Suppliers

Basic Principles of Procurement

Shikoku Electric Power Company (YONDEN) procures materials and equipment ("Materials") based on the following eight principles.

1.Openness

YONDEN does business with reliable suppliers of high-quality Materials and services in Japan and other countries.

2.Equity and Fairness

YONDEN impartially selects new suppliers in view of Materials quality and performance, price, delivery date, term of construction, operating conditions of the company, availability of after-sales services, consideration for the environment, and safety.

3.Observance of Laws and Social Ethics

YONDEN respects human rights and protects personal information and secret matters. In addition, YONDEN observes all relevant laws, spirits, and social ethics in Japan and other countries.

4.Priority of Safety

YONDEN makes a point of safety as its first priority. YONDEN prevents industrial and workforce accidents and endeavors to secure public safety and hygiene.

5.Consideration for the Environment

YONDEN promotes to procure Materials with less environmental loads (YONDEN Green Procurement System), and endeavors to create a society based on resource-recycling in collaboration with valued suppliers.

6.Observance of the Contract

YONDEN observes the contract with suppliers and executes it sincerely.

7. Establishment of Mutual Trust

YONDEN builds partnerships with its suppliers through equal and fairy business. In addition, YONDEN aims at the mutual development.

8. Contribution to the Community

YONDEN contributes to the development of the local community through procurement of Materials under the following basic corporate philosophy:"Living together with the local community, advancing with the local community, and prospering with the local community."

Request to Suppliers

YONDEN has established "Basic Principles of Procurement" and developed procurement activities that pay attention to openness, fairness, compliance with the relevant laws and regulations, ensuring safety, consideration for the environment, furthermore we think that it is important to activate with all our suppliers as a partner based on mutual trust in order to carry out social responsibilities demanded for us. So we would like to ask you to practice the following items once more.

1.Compliance with the laws, regulations and social ethics

  • Compliance with all relevant laws and regulations*and its spirit.

The relevant laws and regulations include not only the Civil law, the Commercial law, the Antitrust law, the relevant laws on Intellectual Property Rights, the law relating to the Protection of Computer Processed Personal Data, the Waste Disposal law and the Construction Recycling law of any countries and regions where suppliers operate, but also the laws and regulations and social ethics relating to labor and human rights to be obeyed to fulfill social responsibilities.

2.Ensuring safety

  • Ensuring safety and healthy working environment by the awareness of top priority on safety.
  • Compliance with the laws and regulations and social ethics relevant to safety and health.
  • Preventing work-related injuries and ensuring public safety and health.

3.Consideration for environment

  • Compliance with the relevant laws and regulations such as the Waste Disposal law and the Construction Recycling law.
  • Promotion of the purchase of environmentally friendly materials and equipment (Green Procurement).
  • Establishing environmental management system in accordance with ISO14001.

4.Ensuring appropriate price and quality

  • Seeking cost reduction on condition of ensuring quality, performance, safety, etc.
  • Establishing quality management system in accordance with ISO9001.
  • Fulfilling delivery system.

5.Implementation of contracts

  • Execution and implementation of contracts with sincerity, for example, providing materials and equipment, construction work and labor service complying with specifications that we need, and punctuality in delivery and the term of work.

6.Providing good after-sales service

  • Cooperation in maintenance.
  • Prompt and sincere responses to any accident and malfunction.

7.Mutual trust and communication

  • Please let us know your frank opinions, requests, proposals, etc.