Agreement to Form Limited Liability Company to Provide Membership-based Quick-charging Service- Start of Initiatives to Expand Electric Vehicle Quick-charge Infrastructure -

Nine companies (ULVAC, Inc., Kanematsu Corporation, Kandenko Co., Ltd., Suzuyo Shoji Co., Ltd., Chubu Electric Power Co., Inc., Toyota Motor Corporation, Development Bank of Japan Inc., Honda Motor Co., Ltd. and Mitsubishi Motors Corporation) have agreed to form Charging Network Development Organization, LLC,*1 which will offer a membership-based electric vehicle (EV) quick-charging service for members and thereby seek to promote EVs.

EV quick-chargers have an important role to play in the promotion of EVs. As of October this year, about 800 quick-chargers have been installed, but this is not yet enough to make charging convenient for EV users. Individual businesses and groups have installed quick-chargers at their own expense up to now for their own use or as part of a government service, but the lack of effective means to recover that expense has been an issue.

Charging Network Development Organization intends to ask quick-charger owners to register them so they can be networked. EV users who take out memberships will then be able to use the networked quick-chargers. Part of the fees paid by members will be passed back to quick-charger owners to lower their cost burdens, which will encourage expansion of a quick-charging infrastructure. Charging Network Development Organization plans to launch this membership-based quick-charging service*2 in FY2012.

The membership-based quick-charging service was studied by a working group convened by the CHAdeMO Association.*3 The association recruited working group participants from among its entire membership in July 2010. In March of this year, the CHAdeMO Association announced its support for turning the service into a business.

Hereafter, a wide range of local governments and businesses will be recruited to cooperate with the membership-based quick-charging service. Each party involved will take initiatives to help expand the quick-charger infrastructure.

*1 Charging Network Development Organization, LLC

*2 Membership-based quick-charging service

By becoming members of the service, EV users can use quick-chargers in Charging Network Development Organization's network, which will reduce user anxiety over battery life. Additionally, a portion of the fees that the Charging Network Development Organization collects from EV users will be passed on to quick-charger owners, which will lower the cost burden of installing and maintaining the devices.

The formation of this kind of mechanism is expected to encourage quick-charger owners to install more of them. The objective is to promote a quick-charger infrastructure and thereby enhance convenience for EV users and promote the widespread use of EVs.

*3 CHAdeMO Association

A core organization to promote the quick-charging infrastructure that is critical to the promotion of wider use of EVs. Its membership consists of 412 groups (as of November 01, 2011) from Japan and abroad, including automobile manufacturers, charger manufacturers, supporting businesses, government agencies and more.

• Reference URL:http://www.chademo.com/