Chubu Electric, INPEX eyes expanding their customer base

They will supply wholesale power to regional city gas firms.

The Japanese energy companies Chubu Electric and INPEX have begun to supply wholesale power to the regional city gas companies Ueda Gas (Ueda, Nagano Prefecture), Nagano Toshi Gas and Honjo Gas (Honjo, Saitama Prefecture) in Japan, according to Enerdata. 

These operations are part based on a Heads of Agreement (HoA) signed by Chubu Electric and INPEX in July 2015 which intends to roll out a joint plan on the supply of electricity to city gas companies that supply natural gas procured from INPEX.

The three aforementioned city gas companies will now begin retailing electricity in their respective gas supply areas under the agreement.

"The HoA sets the framework for the supply of wholesale power through Diamond Power Corporation (DPC, a Chubu Electric subsidiary) for city gas companies that already supply natural gas procured from INPEX. In January 2016, Chubu Electric and INPEX started to implement the HoA and signed agreements with nine city gas companies in the Tokyo metropolitan area under this frame," Enerdata said.

This story was originally published by Enerdata.