Further Initiatives for a Stable Electricity Supply2022/05/12

JERA Co., Inc. (“JERA”) has compiled basic measures to ensure a stable supply of electricity in Japan going forward.

Due to factors such as Russia’s invasion of Ukraine and the rapid pace of decarbonization, the environment surrounding the energy business is changing dramatically with sharply rising resource prices and energy security growing in importance.

In addition, the impact of the 16 March 2022 earthquake centered off the coast of Fukushima caused extended shutdowns at thermal power plants in some areas that mean the outlook for domestic electricity supply-demand remains tight.

As Japan’s largest power producer, JERA will take the following initiatives—in addition to stable operation of its operating thermal power plants—to ensure the stable supply of electricity in Japan.

1. Resuming operations at thermal power plants under long-term planned shutdown

As an electricity supply-demand countermeasure for the winter of FY 2021, JERA contributed to the stable supply of electricity by resuming operations at Anegasaki Thermal Power Station Unit 5, which had been under a long-term planned shutdown. In preparation for the summer of FY 2022, Sodegaura Thermal Power Station Unit 1 was readied for operation on 17 April in response to requests to avoid tight supply-demand.

Considering the electricity supply-demand situation going forward, JERA will continue to prepare to respond to requests from stakeholders by closely examining the details and duration of work required to resume operations at Anegasaki Thermal Power Station Unit 5 and other thermal power plants under long-term planned shutdown.

2. Replacement work at thermal power plants

JERA is currently moving forward with replacement work at four sites. State-of-the-art thermal power plants with a total capacity of approximately 6.66 GW are scheduled to begin operations in stages from FY 2022 to 2024. JERA will steadily move forward with this work, contributing to the stable supply of electricity while also utilizing electricity generated through trial operation at the power plants under construction.

3. Fuel security

The volume of LNG JERA handles is among the largest in the world. In FY 2021, JERA procured approximately 30 million tons of LNG for domestic use, equivalent to 40% of the total for Japan, and worked to ensure the stable procurement of fuel. In response to sudden increases in demand during the high-demand summer and winter periods, JERA contributed to fuel supply stability by procuring a record volume of approximately 4.5 million tons of LNG through JERA Global Markets Pte. Ltd.

From this fiscal year onwards, JERA will continue to cooperate with stakeholders to secure fuel in a timely manner in line with the domestic electricity supply-demand situation, and will strive for flexible procurement to contribute to fuel supply stability.