Kansai Electric Power Group Overview

Value Creation Story

Medium-term Management PlanBusiness Overview

Foundation to Support Value Creation

Financial and Corporate Information

BX

Promoting Innovation

We will create new value and provide a broad range of solutions to meet developing social issues in the energy and non-energy fields by further
accelerating innovation, while leveraging advantages from the comprehensive strength of the Group. Our Group defines innovation as being
excellent in both the ability to create new businesses and services and the ability to reform operations of existing businesses, with an establishedsystem that nurtures autonomous and sustainable innovation. We are strengthening our structures and building systems capable of promoting
these goals.

■

Cooperation with outside organizations andstructural enhancements to promote
innovation

In 2019, we set up an Innovation Lab in the Office of Corporate
Planning as a hub to further accelerate innovation whileleveraging the Group’s comprehensive strength.
In addition to promoting, coordinating, and steering
innovation across the Group, the Innovation Lab has beenworking to create new businesses and services not only in theenergy field but also in non-energy fields in collaboration withexternal venture companies. In the energy field, we aremoving ahead on the core business and looking into
launching new businesses in peripheral areas such as solar
and other renewable energy: hydrogen, storage batteries,
data center, and CCCS.
In fields other than energy, we are engaged in businessdevelopment activities aiming to contribute to solving social
issues mainly in agriculture/food areas, drawing on thestrengths of our core businesses.
Furthermore, we have recently integrated the Innovation
Lab and the Office of Research and Development to form theInnovation Development Division, aiming to explore businessand technological trends from a medium- to long-term
perspective and adapt to changes ahead of others with afocus on commercialization. Through these efforts, we will
accelerate innovation and create new value.

Kansai Electric Power Group Integrated Report 2023

Venture investment
Investment
policyconsolidation

Investment
theme
selection

Hands-onIntrapreneur
Research

Indirect
investment

Approachmethodselection

Idea
contestBusinessplanning

Entrepreneurshipchallenge

Businessdevelopment

Directinvestment

VenturecapitalfundsInternal venture

External venture
Synergistic effect▶︎ See Special Feature “Establishment of Innovation Development Division” on page 35.

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Kansai Electric Power Group Overview

Value Creation Story

Medium-term Management PlanBusiness Overview

Foundation to Support Value Creation

Financial and Corporate Information

BX

Promoting Innovation

Investment track record[Indirect investment]

K4 Ventures GK
In order to strengthen our collaborative efforts with venturecompanies that possess innovative technologies and businessmodels, K4 Ventures GK, the investment entity of the Group(hereinafter, K4V), makes direct investments in specific venturecompanies and indirect investment in venture capital funds.
With its investment limit raised to approx. 11 billion yen todate, K4V will continue to support the growth of promisingventure companies through investment, promoting
collaboration with our Company and our group companies.

Date ofannouncement

Investment location

Investment targets and investment sectors
Investment targets
· Start-ups in existing business areas of integrated
energy/power transmission and distribution, informationand telecommunications, and life/business solutions thatenable both start-ups and our Group to expect growth inbusinesses through collaboration
· Start-ups with innovative technologies, business models,etc. in new business fields for the Group
Investment sectors
Batteries, mobility, robotics, AI, IoT, big data, agriculture andfood, etc.

Target stage
Fundamentallyall stages aretargets

SeedEarly

Kansai Electric Power Group Integrated Report 2023

MiddleLater

EV Motors Japan Co., Ltd.

2023. 1.31

folofly, Inc.

EEI 4 Innovation & Impact Investment Business2023. 2.15

Zeroboard Inc.

2018. 9.19

Scrum Ventures 3 Fund2023. 5.17

Kyoto Fusioneering Ltd.

2019. 9.10

Global Catalyst Partners Japan 2 Fund2020. 2.28

Future Food Fund 1

2022. 1.26

ANRI GREEN 1 Fund2022. 6.30

ICJ 2 Fund2022. 9.27

EEI 5 Innovation & Impact

2023. 3.23

Future Food Fund 2

Date ofannouncement

Challenging the unknown; entering into new fields
together with venture companies

Clean Energy Connect, Inc.

2022. 8.31

2018. 6.20

[Direct investment]

Management philosophy

2022. 8.	 1

Investment location

2018. 5.	 7Ubie, Inc.

2018.11.	1

VPP JAPAN Co., Ltd.

2018.12.28

SIRC Co., Ltd.

2019. 3.	 1

EditForce, Inc.

2019. 4.12

CONNEXX SYSTEMS Corporation

2019. 4.15

NExT-e Solutions Inc.

2019. 5.23

Pixie Dust Technologies, Inc.

2019. 6.	 5

Space Power Technologies Inc.

2019. 7.12

GIRASOL ENERGY Inc.

2019.10.31

Exergy Power Systems Inc.

2020. 6.29

Informetis Co., Ltd.

2020. 9.30

Next Energy & Resources Co., Ltd.

2021. 3. 2Okage K.K.

2021. 3.	 8

TERRACE MILE, Inc.

2021. 9.30

ALGO ARTIS CORPORATION

2021.11.30

WILLPORT Co., Ltd.

2022. 5.31

MEIJO NANO CARBON Co., Ltd.

2022. 5.31

PowerX, Inc.

2022. 6.30

SPACE ONE Co., Ltd.

2022. 6.30

SUCRECUBE Japon Inc.

Intrapreneur (internal entrepreneur) Promotion System
The Kanden Entrepreneurship Challenge System has been inoperation since 1998, allowing employees in our Group topropose new business projects and going on to commercialize
those projects that pass screening. From 2018 onward, theIDEA CREATION CHALLENGE, a contest to share new businessideas, and the Acceleration Program, which raises those ideas
to the level of business plans, have been added, thus
strengthening and promoting these systems that support
internal entrepreneurship across those three steps. As of theend of July 2023, ten projects have been commercialized
under the Kanden Entrepreneurship Challenge System. Of
these, four companies are operating business as part of ourGroup.
<Companies with ongoing business>
Yaala Inc. established in October 2021
TRAPOL Godo Kaisha established in October 2019
Meteorological Engineering Center, Inc. established inSeptember 2004
Kanden-EL-Farm, Inc. established in January 2000●●●

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