Concentration of the Power Generation Business on Wood Biomass

「Total electricity transmission from the group's power plants reached a record high, including shutdown periods, as each plant maintained high utilization together with EF-ON Shingu, which began operations in the previous fiscal year.」

「EF-ON Shingu Power Plant had been inspecting and adjusting its equipment through test operations since the beginning of the period, and completed those adjustments in August before moving into full-scale operations.」

「Although consolidated revenue increased as a result of operations at the EF-ON Mibu Power Plant, earnings fell below the same period of the previous year because the premium pricing at existing power plants ended.」

「Compared with the same period of the previous year, operations at the EF-ON Mibu Power Plant made a significant contribution to improved performance, despite a considerable decline in the electricity selling prices at existing power plants.」

「Although the Mibu Power Plant, which began operations in the second half of the previous fiscal year, experienced an unscheduled outage lasting just under 1 week in September, its summer operations and fuel consumption progressed smoothly and made a significant contribution to improving group performance. Construction of the power plant in Shingu, Wakayama Prefecture, is also progressing as planned, with no impact from the spread of COVID-19.」

「Revenue and profit increased substantially as the newly built EF-ON Mibu Power Plant operated at full capacity for almost 3 months. Construction of the power plant planned for Shingu, Wakayama Prefecture, is also progressing as planned, with no impact from the spread of COVID-19 at this point.」

「EF-ON Mibu began trial operations during the period and contributed to improved results. For the power plant construction plan in Shingu, Wakayama Prefecture, civil engineering work has begun and is progressing as planned.」

「Development of the new biomass power plant in Mibu, Tochigi Prefecture, is proceeding with installation of most equipment substantially complete, and trial operations are scheduled to begin in the second quarter. For the power plant construction plan in Shingu, Wakayama Prefecture, a groundbreaking ceremony was held and construction has begun; both plants are progressing as planned.」

「At the new biomass power plant in Mibu, Tochigi Prefecture, construction of the turbine building and foundations for various equipment has been completed, while equipment installation, external works and various infrastructure works are under way. The project is progressing smoothly toward the target of commencing operations at the end of 2019.」

「In constructing wood-biomass power plants, we completed construction and commenced operations at the eF-On Mibu Power Plant in Mibu, Tochigi Prefecture, the group's 4th unit, by Heisei 32, and will promote development of the eF-On Shingu Power Plant in Shingu, Wakayama Prefecture, the group's 5th unit.」

「In the same month, consolidated subsidiary Soleil Hita transferred its solar power generation facilities, and we decided to focus the power generation business more closely on wood biomass generation going forward.」