J-POWER

Basic Information

Stock Code
9513
Industry
Electric Power & Gas Industry
Category Detail
Electric Power & Gas
Prefecture
Tokyo
Establishment Year
September 1952
Listing Year
October 2004
Official Website
https://www.jpower.co.jp/
TSE Information
TSE Information
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Other Companies
INPEX, JAPEX, Remixpoint, TEPCO Holdings, Chubu Electric Power, Kansai Electric Power, Chugoku Electric Power, Hokuriku Electric Power, Tohoku Electric Power, Shikoku Electric Power, Kyushu Electric Power, Hokkaido Electric Power

Overview

J-POWER is a major power generation company in the electric power and gas industry, established in 1952. It deploys large-scale power plants domestically and internationally, primarily hydroelectric and coal-fired thermal power, and leads the industry with its technological capabilities and transmission network.

Current Situation

In the fiscal year ending March 2024, it achieved consolidated sales of approximately 1.258 trillion yen and operating profit of approximately 105.7 billion yen, establishing a key position in Japan's power supply centered on coal-fired thermal and hydroelectric power generation. In particular, its coal-fired thermal power boasts world-leading thermal efficiency and possesses one of the largest power generation capacities in Japan. It is also actively expanding wind power generation businesses domestically and internationally, accelerating the expansion of renewable energy toward achieving a decarbonized society by 2030. It also engages in transmission operations and, as the only company with an interconnection transmission grid between Honshu and Kyushu, contributes to stable power supply. After privatization, it has invested in overseas IPP businesses and coal mine development to diversify its revenue base. Further technological innovation and strengthened sustainability are key focus areas going forward, aiming to balance stable power supply with reduced environmental impact. As of June 2024, in addition to coal-fired thermal and hydroelectric power, it holds nuclear power plants under construction, maintaining its position as a core power company domestically and internationally.

Trivia

Interesting Facts

  • Sakuma Power Plant is one of Japan's largest active hydroelectric plants
  • Seawater pumped storage power plant is the world's first practical facility
  • Sole company owning the transmission grid between Honshu and Kyushu
  • Coal-fired thermal efficiency rated as world-leading
  • Early entry into overseas coal-fired power in the 1980s
  • Second-largest wind power business scale in Japan
  • Maintains high transparency after full government stake sale post-privatization
  • Gained attention due to TCI share acquisition issue
  • Historical background from special corporation to privatization
  • Owns numerous transmission and frequency conversion facilities

Hidden Connections

  • Unique positioning competing with other power companies under power liberalization while also collaborating
  • Complex capital relationships with domestic and international resource developers and financial funds
  • Deep industrial linkages through numerous jointly invested companies with major steel and chemical firms
  • Strong ties with research institutions such as the International Nuclear Research and Development Organization
  • Builds trust through long-term power supply contracts with local governments
  • Transmission grid-related businesses have high public utility as national critical infrastructure
  • Established from the dissolution of former Japan Electric Generation and Transmission Company, symbolic of Japan's power system reorganization
  • Overseas power businesses focused on Southeast Asia and the West

Future Outlook

Growth Drivers

  • Increasing demand for renewables amid decarbonization society transition
  • Enhanced sustainability through advancements in high-efficiency coal-fired technology
  • Business opportunities from domestic and international nuclear power restart plans
  • Expansion of IPP businesses and resource development in overseas markets
  • New customer acquisition and business diversification opportunities from power liberalization
  • Growth in supply-demand balancing businesses leveraging energy storage technology
  • Development of advanced technologies responding to stricter environmental regulations
  • Efficient operations through smart grid introductions
  • Stable business foundation through strengthened regional community relations
  • Impact of global climate change response policies

Strategic Goals

  • Increase renewable energy generation ratio to over 50%
  • Establish operation start and stable management of nuclear power plants
  • Enhance transmission grids and strengthen safe, reliable supply systems
  • Expand overseas business sales ratio to 30%
  • Achieve over 40% reduction in greenhouse gas emissions
  • Strengthen competitiveness in liberalized power markets
  • Expand investments in innovative energy storage technologies
  • Align ESG metrics with international standards
  • Promote sustainable business models in collaboration with regional economies
  • Test introduction and commercialization of new energy technologies

Business Segments

Power Plant Construction & Operation Support

Overview
Provides comprehensive support from power plant construction to operation, offering advanced technological capabilities.
Competitiveness
Abundant track record and technical expertise
Customers
  • Power companies
  • Local governments
  • Government agencies
Products
  • Power plant design
  • Maintenance management
  • Technical consulting

Transmission Equipment Provision

Overview
Deploys services specialized in transmission infrastructure provision and maintenance.
Competitiveness
Sole owner of Japan's Honshu-Kyushu interconnection transmission grid
Customers
  • Transmission operators
  • Power wholesalers
Products
  • Substation equipment
  • Transmission line installation
  • Frequency conversion equipment

New Energy Development

Overview
Develops and supports introduction of sustainable power generation technologies.
Competitiveness
Diverse power generation technologies and extensive development experience
Customers
  • Local governments
  • Environmental companies
  • Renewable energy operators
Products
  • Wind power design
  • Geothermal power technology
  • Energy storage systems

Overseas Power Business Consulting

Overview
Provides comprehensive consulting services for overseas power generation businesses.
Competitiveness
Global track record and know-how
Customers
  • Foreign governments
  • International development agencies
  • Local operators
Products
  • Technical support
  • Project management
  • Investment advice

Fuel Resource Development

Overview
Ensures stable supply of coal and fuel resources for power generation.
Competitiveness
Overseas coal mine development initiatives
Customers
  • Coal importers
  • Power generators
  • Resource development companies
Products
  • Coal mine development
  • Fuel procurement
  • Logistics support

Environmental Energy Equipment Sales

Overview
Provides sales and maintenance services for power-related equipment.
Competitiveness
Handling of high-quality equipment
Customers
  • Corporations
  • Local governments
  • Agricultural corporations
Products
  • Power equipment
  • Renewable energy equipment
  • Measurement sensors

Competitive Advantage

Strengths

  • One of Japan's largest hydroelectric and coal-fired thermal power capacities
  • World-leading thermal efficiency in coal-fired power
  • Ownership and operation of extensive transmission grids
  • Expansion of IPP businesses overseas
  • Diverse power generation technologies
  • Strong financial base as a national policy company
  • Historical accumulation of technology
  • Comprehensive transmission and distribution services
  • Strategic overseas coal mine development
  • Initiatives in environmental technologies

Competitive Advantages

  • Market power from sole ownership of Honshu-Kyushu interconnection transmission grid
  • Cost competitiveness from world-leading efficiency and scale in coal-fired power
  • Technological superiority from track record in diverse renewable energy introductions
  • Stable capital support from government and power companies
  • Diversification through power and resource businesses in multiple countries overseas
  • Promotion of advanced energy storage technologies such as pumped storage and seawater pumped storage
  • 敏捷 dynamic market response capabilities and system operation know-how
  • Advanced initiatives in environmental regulation compliance
  • Strong provision of advanced technical consulting services
  • Specialized business style different from existing major power companies

Threats

  • Risk of declining coal-fired power demand due to decarbonization
  • Intensified market competition from spread of renewables
  • Risks of nuclear plant construction delays and stricter regulations
  • Cost increases from fuel price fluctuations
  • Political and economic risks in overseas operations
  • Complications from power liberalization and supply-demand balancing
  • Instability in hydro and wind power due to weather changes
  • Increased capital investment burden from environmental regulations
  • Aging equipment renewal costs
  • Challenges in corporate governance and risk management

Innovations

2023: Expansion of domestic wind power facilities

Overview
Deploys wind power plants at 27 locations, achieving Japan's second-largest wind power business scale.
Impact
Contributes to increasing renewable energy ratio

2022: Maintenance of advanced coal-fired power efficiency

Overview
Continues deployment of world-leading thermal efficiency technology, contributing to operational efficiency improvements.
Impact
Fuel cost reduction and lower environmental impact

2021: Practical implementation of seawater pumped storage technology

Overview
Begins operation of Okinawa Yanbaru Seawater Pumped Storage Power Plant, contributing to power stabilization.
Impact
Improved energy storage and supply-demand balancing

2024: Advancement of nuclear power plant construction

Overview
Continues construction of Ohma Nuclear Power Plant in Aomori Prefecture, aiming for future nuclear power restart.
Impact
Strengthening diversification of energy sources

Sustainability

  • CO2 emissions reduction through high-efficiency coal-fired power
  • Active expansion of renewable energy introductions
  • Demonstration and promotion of energy storage technologies (seawater pumped storage, etc.)
  • Promotion of environmentally considerate development in overseas businesses
  • Environmental conservation activities aiming for coexistence with local communities