Decision to Create Separate Company Devoted to Renewable Energy Generation Business ~Becoming a Leading Company in the Field of Renewable Energy Generation~
Aug 7, 2019
Tokyo Electric Power Company Holdings, Inc.
Tokyo Electric Power Company Holdings, Inc. (TEPCO HD) hereby announces that its Board of Directors decided at today’s meeting to form a separate company to handle TEPCO HD’s renewable energy generation business.
TEPCO HD is promoting the use of renewable energy as primary energy sources as it aims to develop projects on a total scale of six to seven million kW both within and outside of Japan.
In order to achieve this goal, TEPCO HD has decided to form a separate company devoted to its renewable energy generation business by April 1, 2020. The aims of this company-split are to create a company that will specialize in renewable energy sources intended to increase the recognition of TEPCO Group’s renewable energy business and coordinate with both domestic and overseas partners, as well as clarify responsibility and authority needed to make quick decisions about large-scale investments, and flexibly procure capital required for these investments.
After the company-split, these objectives will be pursued while expanding the scale of the company’s business and increasing revenue with the goal of achieving 100 billion yen in profit in FY2030.
In regards to our schedule going forward, a 100% subsidiary of TEPCO HD (hereinafter referred to as, “New Company”) will be formed as a succeeding company in October 2019 after which TEPCO HD and the New Company will execute an absorption-type split agreement in November.
TEPCO HD, and the entire TEPCO Group will continue to fulfill its responsibilities for the Fukushima Nuclear Accident while establishing a foundation for continual revenue aimed at the recovery of Fukushima and seeking to improve the corporate value of the entire Group.
(Reference) Post Company-Split Organization Chart (planned for April 1, 2020)