TEPCO Files for 29 Pct Electricity Rate Hike
Tokyo, Jan. 23 (Jiji Press)--Tokyo Electric Power Company Holdings Inc. <9501> on Monday applied for government approval of a plan to raise its regulated electricity rates for households by 29.31 pct on average.
The company submitted the application to the industry ministry, aiming to start the new rates in June to improve its business performance, hurt by soaring fuel prices worsened by Russia's invasion of Ukraine as well as the yen's weakening.
The monthly bill for a standard household using 260 kilowatt-hours is projected to increase by 2,611 yen from the current 9,126 yen to 11,737 yen. The margin of increase will be determined through the ministry's examination.
If the rate hike is implemented as requested, the increase would not be fully offset by a government subsidy program to cushion the impact of higher utility fees from this month. The program is estimated to lower the monthly bill for the standard household in the TEPCO service area by 1,820 yen.
The hike in the regulated rates would be the first for TEPCO since 2012, when it raised the rates in the aftermath of the March 2011 triple disaster of earthquake, tsunami and nuclear reactor meltdowns.
[Copyright The Jiji Press, Ltd.]