Tokyogasgroup csr report

Enhancement of Energy Security

Development of the Electric Power Business

The Tokyo Gas Group is developing its electric power business in the belief that providing a stable source of energy at low cost is a vital public expectation as demand for natural gas is rising after the Great East Japan Earthquake and the domestic environment surrounding energy is undergoing major changes, such as full liberalization of the retail electricity and gas markets.

Expansion of Competitive Power Sources

Building an Optimal Portfolio of Power Sources

Tokyo Gas recognizes that it is more important now than ever before to provide a stable source of electricity, taking into account major changes in the energy-related environment, such as power and gas system reforms, and growth in our sales stock. The stable acquisition of power sources is thus absolutely necessary, and we are building an optimal power source portfolio centered on natural gas-fueled thermal power generation combined with other power sources such as electricity generation using alternate fuels and electricity supplied by other companies with a strategic alliance.

Securing Additional Power Sources

We have the largest power source capacity among new entrants into the retail electricity market. We will establish a system for stable electricity supply by expanding our own power source capacity from the current level of about 1.6 million kW to 3 million kW in 2020. To construct natural gas-fueled power stations, which we are promoting as the foundation for the electric power business, we are committed to ensuring stable supply in the following ways. First, we will construct power stations close to areas of demand. Second, we will use highly efficient combined cycle power equipment to reduce environmental impact. And third, we will locate power stations near our LNG terminals to benefit synergies and enable efficient and stable management.
With the commencement of the commercial operation of the Ohgishima Power Station’s Unit 3 in February 2016, the Tokyo Gas Group’s power sources comprise Tokyo Gas Baypower Co., Ltd., a wholly owned subsidiary with a total output of about 100,000 kW, Tokyo Gas Yokosuka Power Company, Ltd., a 75% owned unit with 240,000 kW, Kawasaki Natural Gas Power Generation Co., Ltd., a 49% owned unit with 840,000 kW, and Ohgishima Power Company, Ltd., a 75% owned unit with 1.22 million kW. In addition, we have decided to receive the entire output of about 1.24 million kW of the Moka Power Station, which Kobelco Power Moka Inc., a wholly owned subsidiary of Kobe Steel, Ltd., is building in Moka, Tochigi Prefecture, with supply by the first unit to start in the second half of 2019 and that by the second unit in the first half of 2020. In May 2015, we established Chiba-Sodegaura Energy Co., Ltd. with Idemitsu Kosan Co., Ltd. and Kyushu Electric Power Company Inc. to explore development of coal-fired power plants.

Tokyo Gas Group’s Electricity Supply Infrastructure (as of June 2018)
Tokyo Gas Group’s Electricity Supply Infrastructure (as of June 2018)

Stable Power Generation

The Group’s thermal power stations are fueled by natural gas produced at our LNG terminals. The stations maintain a stable supply of electricity through their operational and control activities as well as daily checks and periodic inspections. Capitalizing on expertise acquired in the gas service business, we will do our best to ensure safety and stable supply while addressing environmental concerns and also supply electricity at lower cost, in our efforts to meet social demand and expectations as a total energy business company.
DFF Inc., Corporate Social Responsibility Sect, General Administration Dept., Corporate Planning Dept., Resources & Global Business Division, Energy Solution Div, Power Buisiness Dept., Pipeline Network Division, IT Division, Residential Sales Div., Fundamental Technology Dept., Energy Solution Div, Environmental Affairs Dept., Purchasing Dept. , Health Insurance & Employees' Welfare Sect., Personnel Dept., Internal Audit Dept., Audit & Supervisory Board Member's Office, Compliance Dept., Regional Development Div., Finance Dept, TGES, TOKYO GAS COMMUNICATIONS, INC.