April 21, 2016

TOKAI Holdings Corporation
Katsuhiko Tokita, President & CEO(Code No. 3167 Tokyo Stock Exchange First Section)
To whom it may concern

Agreement with TEPCO Power Grid,
Incorporated regarding Joint Verification Testing
Using smart-meter system to improve security operations

TOKAI Holdings (Headquarters: Shizuoka City, Shizuoka; President & CEO: KatsuhikoTokita) on April 21 reached an agreement with TEPCO Power Grid, Incorporated (Headquarters:Chiyoda-ku, Tokyo; President & CEO: Toshiro Takebe) regarding joint verification testing as set outin the attached document.
TOKAI Corporation, a 100% subsidiary of TOKAI Holdings, is Japan's number 3 retailer of LPgas, with 570 thousand customers, primarily in Shizuoka prefecture, and Tokyo and the seven
prefectures of the Kanto region.* These efforts are aimed at further enhancing security operations
and increasing efficiency.
* Source: “LP-Gas Annual Report Facts & Figures 2016 Edition,” SEKIYU KAGAKUSHINBUN SHA.

Contact: Yoshihiro Taniguchi
Public Relations and Investor Relations Office
TEL: +81-(0)54-669-7676
Email: overseas_IR@tokaigroup.co.jp

Appril 21, 2016
6TOKAI Holdings CorporationCnTEEPCO Pow
wer Grid, In
ncorporateddCommeencemen
nt of Jointt Verificaation Tessting Using Smarrt-Meter Systemfor Rem
mote Monitoring of LP Ga
as Securiity Informmationand Auttomationn of Meteer-Readinng WorkTOKA
AI Holdings (Headquartters: Shizuooka City, Sh
hizuoka; Pre
esident & C
CEO: Katsuh
hiko Tokita;;“TOKAI”) aand TEPCOO Power Griid, Incorporrated (Headdquarters: Chiyoda-ku,CTokyo; Pre
esident &CEO: Toshhiro Takebe;; “TEPCO PowerPGrid” ) reached an agreemen
nt today reggarding joinntverificationn testing of the use of TEPCO
TPow
wer Grid’s smart-metersr system forr remote moonitoring off
LP gas security inform
mation and automationn of meter-rreading work (“Testing””).
fically, the coompanies planpto devellop gateway
ys and otherr equipmen
nt that makee it possiblee
Specifito connect to smart-m
meter system
ms owned byy TEPCO Power Grid, and by Marrch 2017 to conduct
ation testin
ng of the transmission oof security anda test information frrom TOKAI’s LP gas
communica
meters at ttesting facillities.
AI is currenttly working on remote monitoringg of LP gas security
sinfoormation anndTOKA
automationn of meter-rreading worrk using botth telephone lines and wireless coommunicatio
ons, but
keeping up
p with the changes in thet commun
nications en
nvironment going forwaard is an immportant
issue. TEP
PCO Power Grid, meannwhile, is in stalling a smart-meterr system, annd is looking
g topromote usse of this syystem. The companies
cp
plan to jointtly test the operation
ooff developedd equipmentt,and extracct the techniical issues faced
fwhen implementting a smartt-meter systtem for LP Gas
security annd meter-reading workk.
ning knowleedge throughh the testinng, TOKAI hhopes to enhhance
By ressolving issuees and gain
security annd increase efficiency ofo its LP gass business, anda TEPCOO Power Griid is consideringdeveloping
g new businesses using
g smart-metters. In doinng so, both companieschhope to mak
ke major
contributioons to societty.

1Ou
utline of the Joint Veriffication Testting
1. Purposeenduct techniical verification of the ppossibility ofo using TEPCO Powerr Grid’s sma
art-meter
To consystem
m for remotee monitorin
ng of LP gass security innformation anda automaation of metter-readingwork.
2. Timing oof Testing
To be ccommenced
d by March 2017
2(testinng period: about three months)m
Diagram of the Joint Verification
Vn TestingT
Testing Equipmen
nt

Smart--Meter System
LP gas meteer

way
Gatew

Smart-Metter

Mobilenetwork
Smart-Metter
LP gas metter

Concentrator

way
Gatew

2

Centraal systemforf smart-meterss

LP gass
centrral system

<Reference>
Summary of TOKAI Holdings Corporation
Name:

TOKAI Holdings CorporationEstablished:

April 1, 2011

Location

2-6-8, Tokiwa-cho, Aoi-ku, Shizuoka City, Shizuoka Prefecture 420-0034

Capital14.0 billion yenBusinesses:

Management and administration of subsidiaries, etc. involved in businesses
such as energy, and information and communications, and other incidental
and related businesses.
（１） Energy（２） Information and communications（３） CATV（４） Building and real estate（５） Aqua (bottled water delivery)（６） Others

Summary of TEPCO Power Grid, Incorporated
Name:

TEPCO Power Grid, Incorporated (TEPCO Power Grid)

Established:

April 1, 2015

Location1-1-3 Uchisaiwaicho, Chiyoda-ku, Tokyo 100-8560

Capital80.0 billion yen

Businesses:

General electricity transmissions, real estate leasing, and power generation
on remote islands3