Risk of Nuclear Plant Shutdowns, Electricity Market Liberalization, and Project Cancellations or Postponements

「It has also been pointed out that electricity supply and demand could become tight if large-scale power sources were unexpectedly shut down or if exceptionally hot weather exceeding expectations occurred, and the situation remains uncertain. While the expansion of renewable energy adoption continues, issues have also emerged, including securing balancing capacity to address weather-related output fluctuations and frequent output curtailment. Stabilizing the electricity grid as a whole is recognized as an important challenge.」

「No new business or other risks arose during the current interim consolidated accounting period. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」

「Planned construction work may be extended due to changes in the environment surrounding the nuclear power business, natural disasters, the status of reviews by the Nuclear Regulation Authority, additional measures required under new regulatory standards, and other factors.」

「During the nine-month period ended the third quarter, there were no major risks that management recognized as potentially having a material impact on the Group’s financial position, business performance or cash flows among the matters concerning the business and accounting conditions described in this quarterly report. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「In the electricity industry, the Group’s core business, discussions progressed on the medium- to long-term use of nuclear power, making renewable energy a primary power source and maintaining and developing balancing power needed for its large-scale introduction, and technological development toward zero-emission thermal power generation, amid tight global supply and demand for fossil fuels.」

「Amid issues involving fuel procurement and tight electricity supply and demand, the electricity industry is working to achieve both a stable power supply and carbon neutrality.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents or disasters, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「In the electricity business, changes in the future energy mix, trends such as full retail liberalization and the legal separation of the transmission and distribution divisions, and changes in the circumstances of business partners involved in plant construction could affect construction execution plans and the collection of receivables.」

「During the nine-month period ended the third quarter, there were no major risks that management recognized as potentially having a material impact on the Group’s financial position, business performance or cash flows among the matters concerning the business and accounting conditions described in this quarterly report. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents or disasters, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「In the electricity business, changes in the future energy mix, trends such as full retail liberalization and the legal separation of the transmission and distribution divisions, and changes in the circumstances of business partners involved in plant construction could affect construction execution plans and the collection of receivables.」

「During the nine-month period ended the third quarter, there were no major risks that management recognized as potentially having a material impact on the Group’s financial position, business performance or cash flows among the matters concerning the business and accounting conditions described in this quarterly report. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「In the electricity business, changes in the future energy mix, trends such as full retail liberalization and the legal separation of the transmission and distribution divisions, and changes in the circumstances of business partners involved in plant construction could affect construction execution plans and the collection of receivables.」

「The Company is also working to rebuild the systems covering power generation, transmission and distribution in preparation for the planned legal separation of the power generation and transmission divisions in April 2020.」

「In the electricity industry, the Group’s core business, the Company is strengthening functions to maintain a stable power supply and quickly restore power infrastructure following large-scale outages caused by successive natural disasters. It is also working to rebuild the systems covering power generation, transmission and distribution in preparation for the planned legal separation of the power generation and transmission divisions in April 2020.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「The Group’s sales are highly dependent on the power generation equipment business and may be affected by trends in the electricity industry. In the power generation equipment business, if the construction or operation of a large number of power plants were cancelled or suspended due to serious accidents, sluggish growth in electricity demand, cost-cutting pressures on electric utilities resulting from electricity liberalization, or other factors, business performance could be adversely affected.」

「No new business or other risks arose during the cumulative third quarter under review. In addition, there have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「During the first six months of the current consolidated fiscal year, there were no newly arising business or other risks. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「The electricity industry, in which the Group’s core business operates, is entering a new era of competition across energy sectors following the full liberalization of gas retailing. It is also addressing major challenges, including the establishment of a baseload power market and efforts to restore confidence in nuclear power plants.」

「The electricity industry, in which the Group’s core business operates, faces many challenges in further advancing electricity system reform, including designing systems to ensure a balance between electricity supply and demand and maintain stable supply, and determining how decommissioning costs should be borne. In addition, as gas retailing will be fully liberalized this year, there are concerns that more businesses will enter the electricity and gas industries, further intensifying competition among them.」

「As gas retailing will also be liberalized next year, there are concerns that more businesses will enter the electricity and gas industries, further intensifying competition among them.」

「The electricity industry, in which the Group’s core business operates, is expected to remain challenging, following the full liberalization of electricity retailing, competition among electricity companies, including new power providers, for customers, the need for a stable power supply, and efforts to reduce greenhouse gas emissions.」

「In addition to the prolonged shutdown of nuclear power plants, rising fuel costs at replacement thermal power plants have put pressure on corporate earnings, prompting thorough management efficiency initiatives. The cancellation or postponement of construction projects could therefore have a material impact on the Group’s business activities.」