TEPCO to Focus on Joint Ventures for Rehab (News)
Tokyo, March 22 (Jiji Press)—Tokyo Electric Power Company Holdings Inc. on Wednesday released an outline of its new rehabilitation plan focusing on joint ventures with other companies, to find a way out of the aftermath of the Fukushima nuclear crisis in March 2011.
But with other power companies cautious about industry realignment and business integration, TEPCO is expected to continue to face difficulties under the new plan.
TEPCO's current rehabilitation plan, adopted in January 2014, has reached a dead end, with no prospects for a restart of its Kashiwazaki-Kariwa nuclear power plant in Niigata Prefecture, which the company viewed as a key step for improving profitability.
TEPCO needs to secure as much as 21.5 trillion yen for its response to the triple meltdown at its Fukushima No. 1 nuclear power station, including compensation for affected people and businesses and work to decommission the disaster-stricken reactors at the plant.
In the circumstances, the government plans to keep the company effectively under state control for the time being. Its involvement with TEPCO will be reviewed in the fiscal year that begins in April 2019.
TEPCO Eyes Thermal Power Integration with Chūbu Electric
Tokyo, March 22 (Jiji Press)—Tokyo Electric Power Company Holdings Inc. said Wednesday it aims to reach a basic agreement with Chūbu Electric Power Co. this spring on the full integration of their thermal power operations into joint venture Jera Co.
The target was included in an outline of a new business reconstruction plan for TEPCO. Officials of government-backed Nuclear Damage Compensation and Decommissioning Facilitation Corp., which holds majority voting rights in TEPCO, explained the outline at a press briefing the same day.
TEPCO needs to secure as much as 21.5 trillion yen for its response to the March 2011 accident at its Fukushima No. 1 nuclear power station, including compensation for affected people and businesses and work to decommission the disaster-stricken reactors at the plant.
According to the outline, TEPCO will seek to combine nuclear plant and power grid operations with other companies, on top of the thermal power integration with Chūbu Electric, in order to improve its profitability. The company will also work on overseas business expansion.
Based on the outline, TEPCO will finalize a new business rehabilitation plan for approval by the government.[Copyright The Jiji Press, Ltd.]