HomeIndustry SectorsGenerationTokyo Electric pushes for new power generation unit

Tokyo Electric pushes for new power generation unit

Tokyo Gas’
Ohgishima combined
gas-thermal plant
Tokyo, Japan — ESI-AFRICA.COM — 28 April 2011  – Quake-hit Tokyo Electric Power Company has asked Tokyo Gas Company to consider bringing forward its plans for building a third generating unit at its Ohgishima combined gas-thermal plant, Japan’s biggest city gas supplier has revealed.

Reuters reports that Tokyo Electric is looking to make up for expected power supply shortages in Tokyo and northern Japan in the summer, following the March 11 earthquake and tsunami that crippled its Fukushima Daiichi plant and triggered the world’s worst nuclear crisis since Chernobyl.

“If and when conditions are ready, we’re willing to build a third unit,” Tokyo Gas President Tsuyoshi Okamoto said at a news conference here, adding that negotiations on the details of the No.3 unit’s construction plan had not started.

The Tokyo Gas power-generating joint venture with Showa Shell Sekiyu KK in Ohgishima, Yokohama, operates two units with 400MW each of capacity. Tokyo Gas, which holds a 75% stake in the joint venture, currently sells power from the plant in the electricity market.

“It is Tokyo Electric that is concerned about when the new unit will come online. We mustn’t hurry,” Okamoto cautioned.

Tokyo Gas also said it expected domestic gas sales to fall 0.5% to 13.371 billion cubic metres in the financial year that began this month. But it expected its gas-procurement costs to rise by 34% to 195.9 billion yen in 2011/12 due to higher oil prices.

The estimates, however, do not reflect the impact of the quake and tsunami.