Japanese Power Firms to Seek Approval to Raise Household Rates

Economy

Tokyo, Nov. 22 (Jiji Press)--Six major Japanese power suppliers plan to apply for government approval this month to raise their regulated electricity rates for households, sources familiar with the matter said Monday.

If the companies win approval from the industry ministry, they are expected to raise the rates as early as April next year, the sources said.

The six companies are Tokyo Electric Power Company Holdings Inc. <9501>, Tohoku Electric Power Co. <9506>, Hokuriku Electric Power Co. <9505>, Chugoku Electric Power Co. <9504>, Shikoku Electric Power Co. <9507> and Okinawa Electric Power Co. <9511>.

In Japan, there are two types of household electricity rates--regulated rates and discretionary rates, which power companies can revise freely.

Power suppliers are allowed to reflect higher fuel costs in regulated electricity rates. But the rates have reached the limit as fuel costs have surged due to Russia's invasion of Ukraine, prompting power companies to consider raising the rates.

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Jiji Press