November 2016 Regular Press Conference : President Katsuno's Message

• I first would like to talk about the construction work of Nishi-Nagoya Thermal Power Station Group No. 7 and progress on Taketoyo Thermal Power Station Unit 5.

(Construction work of Nishi-Nagoya Thermal Power Station Group No. 7)

• I first would like to talk about the construction work of Nishi-Nagoya Thermal Power Station Group No. 7.
• Nishi-Nagoya Thermal Power Station’s Units 1 to 6 successively started operations in the first half of the 1970s. It was a means for Chubu Electric Power to respond to the power demand surging along with Japan’s rapid economic progress.
• The oil-fired Nishi-Nagoya Station was a critical middle-base power source that played a considerable part in providing stable electricity supplies to Nagoya City and its neighboring areas.
• The station has in recent years been serving as peak-load power, but we at Chubu Electric Power decided to both decommission Units 5 and 6 in the early 2000s along with Units 1 to 4 in 2013, and newly construct a state-of-the-art LNG thermal power system: Group No. 7.

(Combined-cycle power generation method)

• Group No. 7 is to adopt a combined-cycle power generation method made up two blocs, i.e. Units 7-1 and 7-2. The Group’s total output will stand at 2.376 million kW.
• This power generation method pairs together gas and steam turbine generators. It can offer high thermal efficiency by having the steam turbine effectively use the gas turbine’s high-temperature waste heat.
• By adopting this method and enhancing the heatproof temperature of the parts employed in the gas turbine, Chubu Electric Power set the goal for Group No. 7’s thermal efficiency at around 62％; the world's highest level.
• Let’s compare operating Group No. 7 and Chubu Electric Power’s LNG thermal power at an average thermal efficiency of 49%. Supposing that the annual capacity factor is 80％, Group No. 7 can cut LNG consumption by an annual 500 thousand tons and reduce carbon dioxide emissions by 1.4 million tons every year.

(Ongoing primary construction work )

• Construction work is going satisfactorily, as Chubu Electric Power looks to start commercial operations of Units 7-1 and 7-2 in September 2017 and March 2018, respectively. As of November 20, 59.7% of the work has been completed.
• With regard to the progress of primary construction projects, the work on the discharge tunnel and chimney has been completed. Now the installations of gas and steam turbine generators are underway.
• Work also completed on the gas pipeline through the undersea tunnel, connecting Nishi-Nagoya and Chita-Daini Thermal Power Stations. At the moment, Chubu Electric Power is injecting fillers between the tunnel and the pipeline so that the gas pipe would not corrode.
• The process to accept natural gas is scheduled to begin next February.

(Progress on Taketoyo Thermal Power Station Unit 5)

• I next would like to talk about the progress of Taketoyo Thermal Power Station Unit 5’s replacement plan.
• Taketoyo Thermal Power Station Units 1 to 4, like Nishi-Nagoya Thermal Power Station, went into service at around 1970 and supported the middle-base power source.
• After the Great East Japan Earthquake, Chubu Electric Power has been using the four Taketoyo units as peak-load power sources when power supplies were limited. The thermal plants, however, have aged, and we at Chubu Electric Power decided in 2015 to decommission the units.
• Taketoyo Thermal Power Station Unit 5 is a coal-fired thermal power station with an output of 1.07 million kW, scheduled to be built on the site where Units 1 to 4 used to stand.

(Environmental measures)

• Coal-fired thermal power is a cost-effective, stably supplied source; this is because, for instance, coal is produced in many different countries, and there also is an abundance of recoverable reserves.
• On the other hand, this mineral causes more carbon dioxide, sulfur oxide, and nitrogen oxide emissions compared with LNG thermal power. In regards to Taketoyo Unit 5, Chubu Electric Power will thus take full measures to protect the environment.
• The measures will include efforts to reduce carbon dioxide emissions as much as possible by adopting the best power generation technology available for coal-fired thermal power, and rendering Taketoyo Unit 5 the highest-standard power generator in Japan with a 46% thermal efficiency.
• Moreover, to deal with sulfur oxide, nitrogen oxide, and dust, Chubu Electric Power will install such state-of-the-art equipment and facilities to Unit 5 as highly efficient emission systems, thereby cutting significantly more environmental load than the previous four units.
• Ahead of starting construction work in 2018, we at Chubu Electric Power are now removing the existing stations and preparing a draft environmental impact statement.

(Mega Solar)

• The 7,500 kW-output Mega Solar Taketoyo previously stood within the sites of Taketoyo Thermal Power Station, but efforts are currently underway to relocate the solar system’s power generator to the grounds of Kawagoe Thermal Power Station.
• After moving the generator, the solar system will resume power generation as Mega Solar Kawagoe, offering the same 7,500 kW output as Mega Solar Taketoyo. Commissioning is scheduled to begin in mid-December 2016, using the already relocated equipment that provides an output of around 3,000 kW.
• Chubu Electric Power will increase the new Mega Solar system’s output levels in a stepwise manner, in line with the relocation of the power generator. Our goal is to start commercial operations in May 2017 with a 7,500 kW output.

(Summary)

• With the understanding and cooperation of local authorities, residents, and relevant parties, we at Chubu Electric Power will steadfastly promote plans regarding the construction of Nishi-Nagoya Thermal Power Station Group No. 7 and Taketoyo Thermal Power Station Unit 5.

• I now turn to inspection results concerning the underground transmission cable.
• On October 12, a fire broke out in the underground transmission cable that supplies power to central Tokyo, consequently triggering a power outage. The inspection on the cable was an emergency effort Chubu Electric Power conducted under instructions the Ministry of Economy, Trade and Industry (METI) issued in view of the power outage. Results of the checkup were reported to METI on November 11.
• The underground transmission equipment focused in the inspection was an approximately 30 km-long, 275,000 V oil-filled cable and a roughly 7 km-long pipe-type oil-filled cable. Chubu Electric Power completed both analysis inspections of insulating oil and visual inspections. Both cable types had been confirmed to be free of anomalies.
• TEPCO Power Grid, Incorporated is now investigating into what caused the cable to catch fire.
• Chubu Electric Power will swiftly take actions if a new measure becomes necessary for the underground cables after TEPCO Power Grid identifies the accident’s source.
• We at Chubu Electric Power will also humbly accept the instructions given by METI Minister Hiroshige Seko on November 16, and respond to it in a swift and appropriate manner.
• Chubu Electric Power will renew awareness on our responsibility towards electric power, a crucial lifeline for the lives of Japanese citizens. We will continue to reliably inspect and maintain transmission equipment and other particulars, in turn working to stably supply power to customers.

• Before I end today’s conference, I would like to talk about the Aichi Josei Kagayaki Company (Aichi's Company with Active Participation of Women) program, under which Chubu Electric Power has been certified as leading company by Aichi Prefecture on November 21.
• This certification program, established by Aichi Prefecture in 2015, recognizes firms in the prefecture that actively work toward promoting female personnel participation in the workplace. So far 133 companies have been certified.
• This year, Aichi Prefecture set up a new program to award “leading companies”: exemplary firms that are notable amongst certified companies. Chubu Electric Power was one of the four selected firms.
• From fiscal 2007, it has been Chubu Electric Power’s management issue to promote women’s participation in the workplace, and we have since been rolling out a wide range of initiatives. Examples include efforts to enhance training programs, along with systems geared toward developing women’s careers and supporting female personnel balance their jobs and household matters.
• It is a great honor to have won this award. We at Chubu Electric Power believe this feat is a result of achieving concrete outcomes, such as the steady increase in the number of women being appointed to leadership positions and a taking on a wider range of responsibilities.
• Chubu Electric Power will further hone the company’s competitive edge by not only supporting careers of female personnel, but various human resources including those with disabilities and the elderly.