Power transmission firm set up in 3-way joint venture in Fukushima

A company specializing in the transmission network of electric power was inaugurated in a tripartite joint venture on March 15 as part of the national government’s “Fukushima New Energy-Oriented Society Scheme” designed to turn Fukushima Prefecture into a supplier of renewable energy. The new company, Fukushima Soden Godo Kaisha (Fukushima power transmission LLC), is owned by Fukushima Electric Power, Tokyo Electric Power Co. Holdings Inc. (TEPCO) and Toho Bank. It will start building power transmission networks as soon as fiscal 2017 beginning April 1 with a view to launching partial power supply in 2020 when the Tokyo Olympics and Paralympics are to be held. The new firm is capitalized at 13 million yen, of which 5.1 million yen (39.2%) was contributed by Fukushima Electric Power, set up by the prefectural government, municipalities, financial institutions and other parties; 4.9 million yen (37.7%) by TEPCO; and 3.0 million yen (23.1%) by Toho Bank. Fukushima Soden will design, build and operate power lines and substations. It will supply electricity to TEPCO’s transmission/distribution arm, TEPCO Power Grid Inc. Companies generating electricity from solar power and other renewable energy sources will finance transmission line installation by Fukushima Soden and additional equipment such as substations required by TEPCO Power Grid. These renewable energy companies will conclude power supply contracts with the TEPCO subsidiary under the central government’s Feed-in Tariff Scheme for Renewable Energy. (Translated by Kyodo News)