Chugoku Electric, JFE Cancel Coal-Fired Power Plant Construction
Hiroshima, Dec. 27 (Jiji Press)--Chugoku Electric Power Co. <9504> and JFE Steel Corp. said Thursday that they have canceled the planned construction of a coal-fired thermal power plant in the eastern Japan city of Chiba.
The decision comes as the plant is unlikely to make profits due to a rise in construction costs, the companies said.
They are considering whether to construct a natural gas-powered thermal power plant instead.
Under the initial plan, a 1.07-million-kilowatt thermal power plant was to start operations in 2024.
Chugoku Electric and JFE Steel, a unit of JFE Holdings Inc. <5411>, said there will be no major impact on their earnings from the construction cancellation.
[Copyright The Jiji Press, Ltd.]