Risk of declining gas demand due to intensified competition
First written in FY2019. 8 of 9 entries say "Materialised", first in FY2020-Q2. Latest entry: FY2022.
Tokyo Gas moved to the "Worse" side of this theme in 2019, 1 year after the typical company in this theme (2018).
The whole theme swung hardest in 2024: 8 of 21 companies on the "Worse" side.
3 other companies' latest entry also says "Materialised".
- FY2022MaterialisedAnnual report
「Retail customers Thousands 8,688 8,863 △175 △2.0」
Against a backdrop of competition and customer switching, the number of retail customers declined by 175 thousand, or 2.0%, from the previous year. Residential gas sales volume also decreased 4.0% year on year. - FY2021MaterialisedAnnual report
「City-gas sales volume decreased 8.8% from the previous consolidated fiscal year to 13,855 million m³. Residential demand decreased 3.6% from the previous consolidated fiscal year to 3,124 million m³, mainly because the number of customers declined.」
Competition and customer switching following liberalisation have appeared in the full-year decline in residential demand and city-gas sales volume. - FY2021-Q3MaterialisedAnnual report
「For sales volume in the city-gas business, the main business in the gas segment, the number of residential customers declined as customers switched to other suppliers. However, due to increased demand resulting from people refraining from going out to help prevent the spread of COVID-19, residential sales volume increased 1.3% year on year to 1,962 million m³.」
Notes that the number of customers continues to decline as customers switch to other suppliers. However, residential sales volume increased 1.3% year on year due to stay-at-home demand. - FY2021-Q2MaterialisedAnnual report
「For sales volume in the city-gas business, the main business in the gas segment, the number of residential customers declined as customers switched to other suppliers. However, due to increased demand resulting from people refraining from going out to help prevent the spread of COVID-19, residential sales volume increased 0.3% from the same period of the previous year to 1,242 million m³.」
Notes that the number of customers continues to decline as customers switch to other suppliers. - FY2021-Q1MaterialisedAnnual report
「Although residential demand increased as people refrained from going out to help prevent the spread of COVID-19, the decline in commercial demand from hotels, restaurants and other businesses due to the impact of COVID-19, together with lower industrial demand resulting from lower demand for power generation, among other factors, caused city-gas sales volume to decrease 21.2% year on year to 2,656 million m³.」
Describes how, in addition to competition following liberalisation, the decline in customer numbers due to switching to other suppliers has affected residential sales volume. During the quarter, this was compounded by lower commercial and industrial demand due to the impact of COVID-19 and other factors. - FY2020MaterialisedAnnual report
「City-gas sales volume decreased 8.8% from the previous consolidated fiscal year to 13,855 million m³. Residential demand decreased 3.6% from the previous consolidated fiscal year to 3,124 million m³, mainly because the number of customers declined.」
The risks of competition and customer attrition following liberalisation have appeared in the decline in customer numbers and the 8.8% full-year decrease in city-gas sales volume. - FY2020-Q3MaterialisedAnnual report
「For city-gas sales, demand increased due to temperature effects as temperatures remained lower than in the previous year, which was exceptionally hot. However, city-gas sales volume decreased 6.7% year on year to 9,923 million m³, due to lower demand from customers using gas exclusively for power generation and a decline in the number of residential and commercial customers as customers switched to other suppliers, among other factors.」
The decline in the number of residential and commercial customers due to switching to other suppliers has been reflected in a 6.7% year-on-year decline in city-gas sales volume. - FY2020-Q2MaterialisedAnnual report
「For city-gas sales, demand increased due to temperature effects as temperatures remained lower than in the previous year, which was exceptionally hot. However, because the number of residential and commercial customers declined as customers switched to other suppliers, among other factors, city-gas sales volume decreased 1.7% year on year to 6,707 million m³.」
The decline in the number of residential and commercial customers due to switching to other suppliers has been reflected in a 1.7% year-on-year decline in city-gas sales volume. - FY2019First statedAnnual report
「Following the full liberalisation of gas retailing, competition with other companies could intensify, or LNG itself could lose its competitiveness against other energy sources due to fluctuations in crude-oil prices and other factors. This could reduce demand and affect earnings.」
Identifies declining demand due to intensifying competition following the full liberalisation of gas retailing and declining LNG competitiveness as risks, with the installation of gas facilities and strengthening of the sales structure as countermeasures.