Erex Co Ltd and TEPCO Energy Partner Inc announced March 18, 2019, that they will establish a joint venture (JV) for a retail electricity business targeted at corporate customers having extra-high-voltage and high-voltage power plants across Japan.
Erex is a company that deals with biomass power generation, etc.
The new company, Evergreen Marketing Co Ltd, will provide (1) high-value-added services for saving energy and cost and (2) services having renewable energy-based environmental values to companies who are members of the "RE100" initiative, which has a goal for the use of renewable energy, in addition to general electricity services.
Erex will provide environmental added values by, for example, supplying renewable energy-derived electricity procured from its biomass power plants and contracted power plants to companies that have participated in the RE100. Also, the company has a strong sales power because of its network of distributors located across Japan.
TEPCO Energy Partner has its strength in (1) the knowledge of the development and supply of products and services that the company has built up through its retail electricity business and (2) the ability to make proposals for saving energy and cost in accordance with the needs of each customer.
This time, Erex and TEPCO Energy Partner will establish the JV, considering that it becomes possible to realize a new retail electricity business for the next generation and provide more added values by utilizing the two companies' management resources and functions in a comprehensive way.
The capital of the JV is ¥15.2 million (approx US$138,295). The investment ratios of Erex and TEPCO Energy Partner are 66% and 34%, respectively. Toshimichi Tanaka, executive officer of Erex, will become the representative of the JV (as an additional post). The establishment date is March 29, 2019, and the company will start operation in April 2019.