Kyushu Electric Power

Basic Information

Stock Code: 9508
Industry: Electric Power and Gas Industry
Category Detail: Electric Power & Gas
Prefecture: Fukuoka Prefecture
Establishment Year: May 1951
Listing Year: September 1951
Official Website: https://www.kyuden.co.jp/
TSE Information: TSE Information
Yahoo! Finance: Yahoo! Finance
Other Companies: Remixpoint, Tokyo Electric Power Company Holdings, Chubu Electric Power, Kansai Electric Power, Chugoku Electric Power, Hokuriku Electric Power, Tohoku Electric Power, Shikoku Electric Power, Hokkaido Electric Power, J-Power

Overview

Kyushu Electric Power, established in 1951, is a major player in the electric power industry with the Kyushu region as its primary service area, utilizing diverse power generation methods including nuclear power.

Current Situation

Kyushu Electric Power achieved consolidated sales of approximately ¥2.14 trillion and operating profit of approximately ¥255 billion in the fiscal year ending March 2024, maintaining a stable revenue base. Its core power generation business combines nuclear, hydroelectric, and thermal power to ensure high supply stability. The company is actively investing in renewable energy through its subsidiary Kyuden Mirai Energy, expanding operations in geothermal, wind, and solar power generation. It is advancing carbon neutrality initiatives with a decarbonization strategy toward 2030. It also focuses on domestic and international IPP businesses and LNG procurement to address the global energy market. Organizational optimization is underway, including the establishment of a transmission and distribution subsidiary due to business separation. The company emphasizes collaboration with local communities and environmental conservation activities to achieve sustainable growth.

Trivia

Interesting Facts

Supplies about 60% of Kyushu region's isolated island power generation, a key regional power provider.
First power company in Japan to implement pluthermal utilization.
High nuclear power ratio in Kyushu contributes to stable energy supply.
One of few power companies operating domestic largest-class geothermal power facilities.
Introduced Japan's first pressurized fluidized bed combined cycle (PFBC) technology.
Kyuden Group consists of many affiliates,展開 wide-ranging businesses.
Drew social attention due to fabricated email scandal but undertook system reconstruction.
Established Kyushu brand through community-focused CMs and sponsorship activities.
Concentrated renewable energy business into Kyuden Mirai Energy.
Actively expanding IPP power generation businesses overseas.
Built mega solar power plant on former port power plant site for reuse.
Advances human resource development and technology development in collaboration with prefectural universities.
Implements optimal operation of transmission and distribution networks for stable power supply.
Accepted business improvement order from Japan Fair Trade Commission related to Antimonopoly Act.
Latest capital: ¥237.34 billion, assets approx. ¥5.7 trillion.

Hidden Connections

Kyuden Group invests in wide-ranging industries in Kyushu, supporting social infrastructure.
Major shareholder involvement with local broadcasting stations and media companies.
Advances energy-related technological innovations through many affiliates.
Engages in regional revitalization and education support through cooperation with local public entities.
Exports domestic energy business know-how through overseas operations.
Holds partnerships with international renewable energy business partners.
Built regional cooperation relationships with numerous sports teams in Kyushu.
Strengthens industry-government-academia collaboration to ensure power infrastructure safety.

Future Outlook

Growth Drivers

Diversification of power generation mix through renewable energy dissemination
Safe operation and restart progress of nuclear power
Technological innovation toward decarbonized society realization
Advancement of smart and efficient transmission and distribution networks
Brand power enhancement through strengthened community collaboration
Expansion of overseas IPP businesses
Increasing demand for energy-saving and environmentally friendly services
Energy management innovation using ICT
New customer acquisition amid energy market liberalization
Sustainable business foundation building through regulatory compliance
Strategic strengthening to address power market price fluctuations
Active investment in human resource development and next-generation technologies

Strategic Goals

Achieve over 50% renewable energy ratio
Reduce CO2 emissions by 50% compared to 2010
Continue safe and stable nuclear power operations
Complete digitalization of transmission and distribution infrastructure
Build integrated energy strategy toward decarbonized society
Promote value creation through co-creation with local communities
Double the scale of overseas energy businesses
Strengthen service quality to improve customer satisfaction
Secure diverse energy procurement routes
Establish sustainable management system and governance

Business Segments

Electricity Supply for Industrial and Manufacturing

Overview

Delivers high-quality and stable power supply services to manufacturing and large-scale operators.

Competitiveness

Achieves high supply stability with diverse generation methods including nuclear power

Customers

Steel Industry
Chemical Industry
Food Processing Industry
Manufacturing
Shipbuilding Industry
Paper Industry
Machinery Industry
Logistics Companies
IT Companies
Municipalities

Products

Large-scale Power Supply
Peak Shift Power
Energy-saving Consulting
Demand Response Services
Renewable Energy Utilization Power
LNG Procurement Services
Energy Management Systems

Transmission and Distribution Services

Overview

Kyushu Electric Power Transmission and Distribution Company manages and operates regional transmission and distribution infrastructure.

Competitiveness

Safe and stable transmission and distribution services tailored to regional characteristics

Customers

Local Residents
Retail Electricity Providers
Industrial Parks
Public Facilities
Renewable Energy Operators
Power Grid Operators
Municipalities
Commercial Facilities
Hospitals
Educational Institutions

Products

Transmission Network Maintenance
Distribution Services
Power Quality Management
Grid Connection Services
Demand Adjustment Services
Smart Grid Development Support

Renewable Energy Business Support

Overview

Supports the introduction and operation of renewable energy through Kyuden Mirai Energy.

Competitiveness

Kyushu's largest-scale renewable energy business expertise

Customers

Local Governments
Renewable Energy Developers
Corporations
Investors
Environmental Groups
Grid Operators
Financial Institutions
Local Residents
Research Institutions
Educational Institutions

Products

Geothermal Power Equipment
Solar Power Project Development
Wind Power Systems
Tidal Power Demonstration
Renewable Energy Power Sales
Environmental Consulting

Energy Solution Provision

Overview

Provides power-related solutions aimed at customer energy savings and environmental load reduction.

Competitiveness

Support for introducing multifaceted energy-saving and environmental technologies

Customers

Home Builders
Building Management Companies
Public Facilities
Commercial Facilities
Factories
Government Agencies
Smart Town Projects
Regional Power Companies
Small and Medium Enterprises
Energy-saving Promotion Companies

Products

All-Electric Systems
Smart Meters
Energy Management Systems
Energy-saving Diagnostics
Power Monitoring Solutions
Battery Storage Systems
EV Charging Facilities

International Energy Business

Overview

Develops power generation businesses overseas in Mexico, Vietnam, Philippines, and more.

Competitiveness

Extensive international network and rich technology support experience

Customers

Overseas IPP Operators
Multinational Corporations
Energy Investors
Government Agencies
International Energy Cooperation Organizations
Foreign Companies
Renewable Energy Projects
Local Companies
Infrastructure Developers
International Financial Institutions

Products

Overseas IPP Power Plant Investments
International Energy Technology Cooperation
LNG Import Procurement
Overseas Renewable Energy Development
Transmission Infrastructure Technology Support

Community and Infrastructure Services

Overview

Provides various services aimed at ensuring regional safety and security and social contributions.

Competitiveness

Long-term trust-based relationships with the community

Customers

Local Governments
Resident Organizations
Commercial Facilities
Public Facilities
Educational Institutions
Medical Institutions
Welfare Facilities
Cultural Groups
Environmental Conservation Groups
Disaster Response Organizations

Products

Regional Energy Management
Emergency Power Supply Support
Environmental Conservation Support
Community Support Projects
Education and Training Programs

Power Procurement and Sales Services

Overview

Handles power procurement and sales based on contracts with wholesale suppliers.

Competitiveness

Extensive experience and reliability in bidding systems

Customers

Independent Power Producers
Retail Electricity Providers
Major Corporations
Local Businesses
Local Governments
New Power Market Entrants
Renewable Energy Operators
Trading Companies
Wholesale Power Market Participants
Energy Consultants

Products

Wholesale Power Contracts
Power Procurement Bidding Operations
Supply-Demand Adjustment Support
Sales Support for New Power Providers
Contract Management Systems

Environmental Engineering Business

Overview

Provides technologies and services contributing to environmental load reduction and regulatory compliance support.

Competitiveness

Specialized services leveraging power industry technological strengths

Customers

Power Plant Operators
Industrial Facilities
Municipalities
Heavy Industry
Environmental Regulation Compliance Companies
Research Institutions
International Environmental Projects
Environmental NGOs
Construction Industry
Market Surveillance Agencies

Products

Flue Gas Treatment Equipment
Energy Efficiency Technologies
Environmental Assessment Analysis
Waste Management Solutions
CO2 Emission Reduction Support

Equipment Maintenance and Inspection

Overview

Supports stable operations with maintenance services backed by long years of power equipment operation expertise.

Competitiveness

Integrated system supported by Kyuden Group's technological capabilities

Customers

Power Plants
Transmission and Distribution Facilities
Factories
Public Infrastructure
Building Management Companies
Local Governments
Industrial Plants
Residential Equipment Providers
Construction Companies
Medical Facilities

Products

Power Generation Equipment Maintenance
Transmission and Distribution Equipment Inspections
Periodic Maintenance
Equipment Upgrade Proposals
Fault Response Services

ICT Solution Business

Overview

Deploys IT services utilizing Kyushu Electric Power Group's ICT infrastructure and advanced technologies.

Competitiveness

Highly reliable IT solutions specialized for the energy industry

Customers

Group Companies
Local Governments
Industrial Sector
Retail Industry
Transportation Industry
Schools
Research Institutions
Medical Institutions
Government Ministries
Public Organizations

Products

Smart Grid IT Management
IoT-based Energy Data Analysis
GIS System Provision
Communication Network Operations
Digital Transformation

Housing and Construction-related Business

Overview

Provides electrical equipment-related businesses and management for housing and buildings.

Competitiveness

Community proximity and high construction quality

Customers

Home Construction Companies
Remodeling Contractors
Real Estate Developers
Architectural Design Firms
Public Construction Operators
Commercial Facility Operators
Energy-saving Construction Companies
Building Materials Manufacturers
Local Communities
Home Buyers

Products

Electrified Housing Systems
Energy-saving Architectural Design
Electrical Building Management
Construction Services
Real Estate Management

Human Resource Development and Education Support Business

Overview

Promotes advanced engineer training and regional industry-academia collaboration in partnership with Kyushu University and others.

Competitiveness

Strong pipeline between industry and academia

Customers

Universities
Vocational Schools
In-house Training Organizations
Engineer Associations
Municipalities
Power-related Companies
Research Institutions
Industrial Sector
School Corporations
General Public

Products

Endowed Lectures
Technical Training Programs
Industry-Academia Collaboration Symposia
Human Resource Development Support
Power Technology Dissemination Activities

Competitive Advantage

Strengths

Supply stability from diverse power generation facilities
High nuclear power generation ratio
Community-focused customer service system
Strong regional brand power
Comprehensive renewable energy business
Stable financial base
Extensive wholesale power contract network
Technological strength through group collaboration
Abundant transmission and distribution infrastructure
Long-standing trust with local communities
Multifaceted energy solution provision
Strengthened overseas business expansion
Proactive response to sustainability
Securing highly skilled engineers
Consistent energy management

Competitive Advantages

Holds strong track record in nuclear power operations in Japan
Key regional player handling about 60% of isolated island power supply
Pioneering in renewable energy facility development and operation
Diversification through abundant hydroelectric and geothermal power utilization
Active participation in IPP and overseas businesses
Possesses advanced grid connection technology in transmission and distribution
Established superior customer base and diverse sales channels
Strength in environmentally considerate energy solutions
Business advancement backed by trust through community collaboration
Advances human resource development and technological innovation via local university partnerships
Maintains strong investment capability and stable earnings
Diverse fuel procurement routes and adjustment capabilities
Implements efficient energy management using ICT
Flexible and proactive response to changing environmental regulations
Governance emphasizing social responsibility

Threats

Risk of nuclear power plant shutdowns and strengthened regulations
Profit pressure from international fuel price fluctuations
Grid instability due to renewable energy expansion
Price competition from difficulty in differentiation from competitors
Increased infrastructure damage from natural disasters
Customer outflow risk from power liberalization
Business cost increases from strengthened environmental regulations
Competitiveness decline from delayed technological innovation
Challenges in talent acquisition and technology succession
Risk of loss of social trust (scandals, etc.)
Strengthened legal regulations by Japan Fair Trade Commission
Revenue instability from power supply-demand fluctuations in the market

Innovations

2023: Start of Demonstration Operation for Tidal Power Generation

Overview: Began demonstration experiments for power generation technology utilizing tidal energy in the Kyushu region.
Impact: Contributes to improving renewable energy ratio

2023: LNG Purchase Contract Signed with U.S. Company

Overview: Secured stable procurement contract for liquefied natural gas (LNG) from a U.S. company, strengthening fuel stability.
Impact: Contributes to fuel supply diversification and cost stabilization

2024: Consolidation of Renewable Energy Business into Subsidiary

Overview: Transferred geothermal power plants, etc., to Kyuden Mirai Energy to promote efficient renewable energy operations.
Impact: Achieves business efficiency improvement and accelerates growth strategy

2022: Transfer of Retail Power Division Begins

Overview: Began organizational restructuring by transferring part of the sales division to Kyuden Next to improve sales efficiency.
Impact: Optimizes sales channels and strengthens customer response

2021: Strengthening of Renewable Energy Power Generation Facilities

Overview: Advanced expansion plans for solar, wind, and geothermal power plants to progress decarbonization efforts.
Impact: Promotes environmental load reduction and energy diversification

2023: Advancement of Smart Grid Technology Introduction

Overview: Accelerated smart grid rollout using ICT for supply-demand adjustment and power quality improvement.
Impact: Contributes to stable power supply and improved customer satisfaction

2020: Promotion of Pressurized Fluidized Bed Combined Cycle Power Generation Technology

Overview: Advanced technology development and commercialization of PFBC method thermal power generation for efficiency improvement.
Impact: Contributes to improved generation efficiency and reduced environmental impact

2024: Enhancement of Environmental Information Dissemination Platform

Overview: Established dissemination system for environmental and energy information using websites and SNS.
Impact: Activates communication with local residents

Sustainability

Expansion of renewable energy power generation facilities
Promotion of energy-saving solution dissemination
Environmental conservation collaboration with local communities
Management strategy toward realizing a decarbonized society
Ensuring transparency in environmental information
Sustainable resource procurement and supply
Promotion of smart grid technology introduction
Workstyle reform and diversity promotion
Strengthening of regional disaster support systems
Environmental education and human resource development support
Implementation of CO2 emission reduction plans
Balancing stable power supply with environmental considerations