Reorganization Necessary for Post-Split Business Structure (Effective April 01, 2020)
October 01, 2019
Chubu Electric Power Co.,Inc.
Chubu Electric Power will implement a reorganization on April 01, 2020 that will allow Chubu Electric Power, Chubu Electric Power Grid and Chubu Electric Power Miraiz to cooperate and optimize overall operations after the split, thereby maximizing the Chubu Electric Power Group's value.
As the operating environment surrounding the energy business has undergone significant changes, Chubu Electric Power integrated our thermal power generation business into JERA in April 2019 and our power transmission and distribution business as well as the sales division will be spun off in April 2020. These moves will enable us to transition to a "model that separates power generation from sales" in which each division deals with a different market and operates its business independently.
With this new organizational structure, Chubu Electric Power will focus on increasing earnings in the energy sector, growing into a stronger corporate group, and coordinating our respective business areas so as to deliver a stable supply of electric power.
We will continue to aim to become a total energy service corporate group that is one step ahead delivering services to our customers, which exceed their expectations, ahead of anyone else.
1 Management Strategy and Enhancement of Management Functions
- To coordinate and provide overall optimization of operations among companies, the organizations responsible for management strategy and management within the Chubu Electric Power Group will be reorganized into the Corporate Planning & Strategy Division and Corporate Management Division.
- Functions and operations relating to general affairs, public relations, environmental affairs, regional relations and other areas will be integrated into the Corporate Communication Division in order to strengthen our relationship with our stakeholders.
- To reduce costs of common services as well as promote quality assurance and improvement, our administrative affairs, property administration, personnel, accounting, equipment and material contracting, IT systems, and other functions will be integrated into the Business Service Division.
- The Safety & Health Promotion Office will be established to foster a safety culture as well as promote health management throughout the entire Chubu Electric Power Group.
2 Succession of Regional Activities and Functions
- Among the roles that the current regional offices fulfill, liaisons with local governments and other such institutions relating to stable supply will be taken over by the regional offices (in Nagoya, Shizuoka, Mie, Gifu, Nagano and Okazaki) that Chubu Electric Power Grid will set up.
- Furthermore, communication with local communities about businesses throughout the Chubu Electric Power Group will continue to be carried out in coordination with companies by Chubu Electric Power directors in charge of these communities, so the current regional offices (in Nagoya, Mie, Gifu, Nagano and Okazaki) will be discontinued. However, the Shizuoka Regional Office will be maintained and continue to attentively communicate to community residents initiatives and other efforts being made to further enhance safety of Hamaoka Nuclear Power Station.
- Chubu Electric Power Miraiz's Customer Service & Sales Divisions (in Nagoya, Shizuoka, Mie, Gifu, Nagano and Okazaki) will continue to serve as regional bases for business activities.