News Release

March 2, 2016

Itochu Enex Co., Ltd.
Kanden Energy Solution Co., Inc.

Itochu Enex Announces Start of Construction on Coal-fired
Thermal Power Plant at the Sendai PortSendai Power Station Co., Ltd. (headquartered in Minato-ku, Tokyo; Mikio Matsumura, President;“Sendai PS” hereafter), a joint venture corporation involving JEN Holdings Co., Ltd., a 100%
subsidiary of Itochu Enex Co., Ltd., and Kanden Energy Solution Co., Inc., a 100% subsidiary of
The Kansai Electric Power Co., Inc., has begun construction on a coal-fired thermal power plant
located at the Sendai Port in Sendai City, Miyagi.
The project goal is to establish a low-cost stable power supply by building a 112,000 kW coal-fired
thermal power plant on the vacant site of a factory that collapsed in the Great East Japan Earthquake.
The facility is slated to become operational in October 2017.
In advance of the plant’s opening, Sendai PS has signed a pollution control agreement*2 with theSeven Sen-en Area Local Authorities Pollution Control Committee,*1 a body comprised of related
local authorities.
Moving forward, Sendai PS will continue to work to win the understanding and support of all
stakeholders and to contribute to both local development and stable power supply.
*1 Composed of Miyagi Prefecture, Sendai City, Shiogama City, Natori City, Tagajo City,
Shichigahama-machi, and Rifu-cho, the committee concludes pollution control agreements withbusinesses located in the Sendai Port Pollution Control Area, around the Sendai Port.
*2 The agreement finalizes measures to be taken by businesses to preserve the living environment basedon the Miyagi Prefectural Ordinance on the Prevention of Pollution (Miyagi Prefectural Ordinance
No. 12 of 1971).

(Reference material)
Itochu Enex Co., Ltd.

Itochu Enex Group Initiatives to Reduce Environmental Burdens
Imposed by Power Generation and Supply
In its role as a power generation corporate entity, the group has set the following goals as criticalsocietal imperatives: 1) providing stable power; 2) concern for the environment; and 3) harmonious
coexistence with the local community.
1. Proactive Renewable Energy Initiatives
Renewable energy sources such as wind and hydroelectric comprise approximately 29%, i.e., 52
MW of the group’s total self-generated power of 182 MW.
We will continue to strive to achieve a balanced power generation profile that accounts for economic
efficiency and environmental and local issues.

Power generation chart of the group(as of February 2016)
Solar power

approx.

1%

Wind

Renewable energy
accounts for

23%

30%

PowerCapacity

Hydroelectric5%

Coal-fired
thermalpower

182 MW 44%

Natural gas

11%

Residual
fuel oil andnatural gas

17%

2. Reducing CO2 Emissions Through Power and Steam Cogeneration
The group seeks to generate thermal electric power through highly efficient cogeneration system
operation, making use of both electricity and steam arising from the power generation process. This
increases overall heat efficiency and reduces the amount of excess CO2, thereby reducing
environmental impact. The Ministry of Economy, Trade and Industry has established a Thermal
Power Generation Review Working Group*1 that considers how to make thermal power generation
more efficient. This group is currently discussing benchmark values*2 for thermal power generation
efficiency. The group is committed to continuing to work to save energy to meet these targets.

3. Reducing CO2 Through Local Heat Supply
Tokyo Toshi Service Co., Ltd.,*3 a group company of Itochu Enex, is currently engaged in local heat
supply business projects that supply cool and warm water as a package for air conditioning purposes
to multiple buildings, mainly in the Greater Tokyo area (18 locations in Greater Tokyo, including
Ginza, Harumi, and Makuhari). These projects use untapped heat energy from rivers, treated waste
water, underground water, and substation waste heat via highly efficient heat pumping systems,
resulting in an average of approximately 35%*5 energy savings (CO2 reductions) compared to heatsource systems for individual buildings.*4 The projects have won high praise among a wide spectrumof observers for the environmental awareness they demonstrate.
(Recent Awards)
Award NameAwarding Agency

Date of Award

2014 Director-General’s Excellent Energy
Management Business Award

Kanto Regional Bureau ofEconomy, Trade andIndustry, METI

February 26, 2015

Grand Prize of 2nd Carbon-Neutral Awards

Japan Association of
Building Mechanical andElectrical Engineers

June 13, 2014

16th Environmental Burden Alleviation
Device/System Award(METI Agency for Natural Resources and Energy
Director-General Award)

Agency for NaturalResources and Energy,METI

June 5, 2014

In conclusion, the group will continue to strive to achieve project management that leads to thestable provision of energy and reduces environmental impact while working to achieve harmonious
coexistence with local communities.
*1 In July 2015, the government set a target of reducing greenhouse gas emissions by 26% of 2013 levels by 2030. The working
group was established to review standards set forth in the Energy Saving Act and to promote more efficient thermal power
generation by power producers to meet this target.
*2 To promote more efficient power generation of existing thermal power plants, these benchmarks refer to the degrees ofattainment of target values for power generation efficiency by fuel type.
*3 66.6% financed by Itochu Enex. Operates 18 local heat supply bases in the Kanto area.
*4 Data source of individual heat source systems: 2011 Basic Survey on the Introduction and Progression of New Energy, etc.;
Research Project on the Promotion of Effective Heat Energy Utilization by Mitsubishi Research Institute, Inc.
*5 2014 results for Tokyo Toshi Service Co., Ltd.

Contact details for inquiries:
Masahiko Aoyagi
IR & Public Relations Section, Investigation & Public Relations Department, Itochu Enex Co., Ltd.
Tel: +81-03-6327-8003