Shizuoka Gas

Basic Information

Stock Code
9543
Industry
Electricity and Gas Business
Category Detail
Electric Power & Gas
Prefecture
Shizuoka Prefecture
Establishment Year
April 1910
Listing Year
December 2001
Official Website
https://www.shizuokagas.co.jp/
TSE Information
TSE Information
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Other Companies
TOKAI Holdings, Fulsato Maruka HD, Nichigas, Tokyo Gas, Osaka Gas, Toho Gas, Hokugas, Hiroshima Gas, Saibu Gas HD, Hokuriku Gas, Keiyo Gas

Overview

Shizuoka Gas is a mid-sized urban gas company founded in 1910, boasting the nation's 4th largest sales volume with its supply network centered in central and eastern Shizuoka Prefecture and diverse energy services as a regionally rooted enterprise.

Current Situation

Shizuoka Gas recorded consolidated sales of approximately 141.5 billion yen and net assets of about 86.4 billion yen in 2019, maintaining a stable financial base. Its main business is urban gas supply in central and eastern Shizuoka Prefecture, along with supply to surrounding prefectures and natural gas sales. In technology, it focuses on expanding renewable energy through shale gas equity acquisitions and solar power partnerships. It actively pursues environmental initiatives such as starting supply of decarbonized city gas and participating in biogas power generation. By introducing the regionally focused sales channel 'Eneria,' it strengthens customer touchpoints. In the medium to long term, it emphasizes collaboration with local communities through SDGs town development agreements, aiming to become a sustainable energy supplier. Its growth strategy centers on expanding renewable and energy-saving businesses and investing in new technologies in the 2020s. Amid intensifying competition in the gas industry, it maintains superiority through regional closeness and diversification strategies.

Trivia

Interesting Facts

  • Shizuoka Gas ranks 4th nationwide in urban gas sales volume.
  • Formerly known as Shizuoka Gas Co., Ltd. until 2015.
  • Its softball team has won the Emperor's Cup 3 times and the Koryu Flag 11 times in industrial league baseball.
  • Eneria brand was introduced in 2007 as a sales outlet name.
  • It provided the land for NHK Shizuoka Broadcasting Station's new building.
  • Its head office building was destroyed in the 1940 Shizuoka Great Fire.
  • Active in biogas power generation participation and renewables.
  • Collaborates with local commercial facilities for district heating and cooling.
  • Multiple related companies enable diversified group business.
  • Long track record in stable gas supply and safety management.
  • Also conducts wholesale business to competitors in the industry.
  • Expanding the regionally focused sales channel 'Eneria' nationwide.
  • Long-established company with head office in Hachiman 1-chome, Suruga-ku, Shizuoka City.
  • Has signed an SDGs-based town development agreement with Shimada City.
  • Constructing the 3rd storage tank for liquefied natural gas (LNG) at the Sode-shi base.

Hidden Connections

  • The land for Shizuoka Gas head office was provided for NHK Shizuoka Broadcasting Station's new building site.
  • Has capital and business ties in the region with peers like Saibu Gas Holdings.
  • Eneria brand is a coined word from energy x area, symbolizing regional strategy.
  • Biogas power generation business symbolizes environmental coexistence with the local community.
  • The company's softball team is known outside the industry as a powerhouse in industrial leagues.
  • Shale gas development entry was an early investment compared to domestic majors.
  • With the completion of the new head office annex, the old north building was transferred to NHK, contributing to regional exchange.
  • Related companies include diversified firms in LP gas, insurance, system solutions, etc.

Future Outlook

Growth Drivers

  • Business growth from expanding demand for renewables.
  • Spread of clean energy plans toward decarbonized society.
  • Strengthening of diverse regionally focused energy services.
  • Efficient energy management using IT and IoT.
  • Corporate image improvement and customer base expansion through SDGs collaboration.
  • Progress in developing new markets (biogas, fuel cells, etc.).
  • Expansion of new services for SMEs and industries.
  • Equipment investment linked to advanced regional infrastructure plans.
  • Flexible response to diversifying customer needs.
  • Competitive enhancement through building sustainable gas supply networks.
  • Expansion of collaboration businesses with local governments.
  • Stable utilization and revenue growth from overseas shale gas equities.

Strategic Goals

  • Achieve CO2 reduction targets and over 70% penetration of decarbonized gas.
  • Achieve 50% supply ratio of renewable energy.
  • Nationwide rollout of SDGs town development in collaboration with local communities.
  • Advanced energy-saving services through IT and IoT introduction.
  • Strengthen nationwide expansion of Eneria business brand.
  • Double new business sales from current levels.
  • Improve profitability by maximizing synergies among related companies.
  • Promote advanced safety measures for pipeline infrastructure.
  • Expand services in gas appliances and residential equipment fields and strengthen EV対応.
  • Systematize regional social contribution activities and expand achievements.

Business Segments

Industrial Gas Supply

Overview
Provides stable gas supply tailored to various industrial uses along with ancillary services.
Competitiveness
Diverse energy proposals suited to regional characteristics and rapid response.
Customers
  • Manufacturing plants
  • Restaurants
  • Commercial facilities
  • Public facilities
  • Agricultural corporations
  • Medical institutions
  • Hotels and inns
  • Building management companies
Products
  • Industrial gas
  • City gas
  • LP gas
  • Energy management systems
  • Safety and management services
  • Energy-saving proposals
  • Customized plans
  • Equipment maintenance

Energy Development and Renewables

Overview
Contributes to reducing environmental impact through development and promotion of renewable energy.
Competitiveness
Integrated energy proposals and fusion of environmental technologies.
Customers
  • Local governments
  • Renewable energy operators
  • Electric power companies
  • Environmental companies
Products
  • Solar power equipment
  • Biogas power generation
  • Shale gas equities
  • Decarbonized gas
  • Energy consulting

Gas Appliances and Residential Equipment Sales

Overview
Provides high-quality sales and maintenance of gas appliances for homes.
Competitiveness
Fine-tuned after-sales service with regional closeness.
Customers
  • General housing
  • Real estate companies
  • Construction companies
  • Renovation-related companies
Products
  • Gas water heaters
  • Gas stoves
  • Fuel cell systems
  • Residential solar equipment
  • Renovation services

Pipeline and Infrastructure Management

Overview
Services supporting safe operation of gas supply pipelines and equipment.
Competitiveness
Extensive operational track record and safety management expertise.
Customers
  • Local public bodies
  • Gas companies
  • Equipment construction companies
Products
  • Pipeline inspections
  • Maintenance services
  • Facility safety management
  • Construction management support

Energy-Related IT Solutions

Overview
Provides support for energy efficiency using IT technologies.
Competitiveness
Industry-specialized technology and system development capabilities.
Customers
  • Energy companies
  • Corporate customers
  • Residential management companies
Products
  • Energy management systems
  • Customer support systems
  • Data analysis and optimization

Financial and Insurance Services

Overview
Develops financial services related to energy usage.
Competitiveness
Customer trust and collaboration unique to regional companies.
Customers
  • Gas users
  • Homeowners
  • Construction companies
Products
  • Gas credit loans
  • Property insurance products
  • Life insurance agency business

District Heating and Cooling and Energy-Saving Business

Overview
Provides solutions promoting efficient energy use.
Competitiveness
Flexible service provision with local closeness.
Customers
  • Apartment complexes
  • Commercial facilities
  • Public facilities
Products
  • District heat supply services
  • Energy-saving diagnostics and improvement proposals
  • Heat pump equipment

Environmental Business Support

Overview
Develops support businesses toward realizing a sustainable society.
Competitiveness
Collaboration and trust with local communities.
Customers
  • Local governments
  • Environmental NPOs
  • Corporations
Products
  • SDGs collaboration projects
  • Decarbonization planning
  • Environmental education support

Competitive Advantage

Strengths

  • Strong regionally rooted customer base
  • Ability to deploy diverse energy services
  • Active investment in renewable energy business
  • Stable financial base and long history
  • High technological capability in safety management
  • Well-established diverse sales channels
  • Excellent customer service and support
  • Strong ties with local communities
  • Nationwide 4th place market position in city gas sales volume
  • Comprehensive energy management capabilities
  • Track record in sustainability and ESG initiatives
  • Promotion of efficiency using information and communication technology
  • Existence of broad group of related companies
  • Flexible business portfolio
  • Stable pipeline infrastructure

Competitive Advantages

  • Regionally exclusive supply network specialized in central and eastern Shizuoka Prefecture
  • High consumer recognition of the Eneria brand
  • Advanced utilization of decarbonized city gas and biogas power generation
  • Combined provision of renewables and conventional gas
  • Proposing power for diverse energy solutions
  • Hybrid sales system of regional stores and direct sales
  • Extensive deployment of pipeline transport network
  • Realization of customer services and efficiency through IT
  • Customer retention power from historical reliability and stability
  • Enhanced resource procurement through collaboration with national majors
  • Improved favorability through regional social contribution activities
  • Business synergies from diverse related companies
  • High social credibility through ties with public institutions
  • Scale advantages from 4th place sales volume in the industry
  • Differentiation through early introduction of innovative environmental technologies

Threats

  • Intensifying competition due to deregulation in the gas industry
  • Risk of demand decline from spread of renewables
  • Fuel price fluctuations and rising procurement costs
  • Supply infrastructure damage from earthquakes and natural disasters
  • Delay in technological shift accompanying decarbonized society
  • Concerns over shrinking customer base due to population decline
  • Profit pressure from price competition with other companies
  • Burden of revising business model due to regulatory changes
  • Risk of new business entry by competing majors
  • Suppressed equipment investment due to deteriorating economic environment
  • Fragmentation of energy market due to electricity liberalization
  • Additional costs from strengthened environmental regulations

Innovations

2023: Shale Gas Development Rights Acquisition Completed

Overview
Acquired equity in shale gas development centered in North America to build a stable resource procurement base.
Impact
Stabilization of gas procurement costs and improved supply security

2023: Solar Power Plant Development Partnership

Overview
Collaborating with local governments and companies to advance participation in multiple solar power projects.
Impact
Improvement in renewable energy supply ratio

2023: Participation in Biogas Power Generation

Overview
Participating in local biomass utilization power generation business to strengthen decarbonized gas supply system.
Impact
Greenhouse gas emission reductions and new revenue source development

2022: Introduction of Low-Cost Nighttime Electricity Plan

Overview
Offers new plan promoting nighttime electricity use to enhance customer benefits.
Impact
Contributes to maintenance and expansion of household customer base

2021: Start of Decarbonized City Gas Supply

Overview
Starting with supply to Shimada City Hall, promoting expansion of clean energy.
Impact
Environmental impact reduction and improved corporate image

Sustainability

  • Promotion of CO2 reduction through expansion of decarbonized energy supply
  • Social collaboration via SDGs town development agreements
  • Promotion of biogas utilization business for environmental impact reduction
  • Expansion of energy-saving support services
  • Active participation in renewable energy power generation business
  • Equipment reinforcement for safe and secure gas supply
  • Promotion of regional environmental education through Eneria brand
  • Strengthening of waste reduction and recycling promotion activities
  • Active provision of environmentally considerate plans to customers
  • Enhanced in-house education to raise employees' environmental awareness
  • Efficient energy management using IT
  • Active collaboration in regional community activities