Japan's Old School Utilities Face Nuke Threat From Their Own
- Kansai Elec. offering cheaper rates thanks to nuclear plants
- Seven-Eleven Japan switch contracts to Kansai on lower costs
Photographer: Buddhika Weerasinghe/Getty Images
Japan’s traditional regional utilities, already defending their territory against nimbler new entrants, face a fresh threat: one of their own is now stealing customers thanks to cheaper nuclear-powered electricity rates.
Kansai Electric Power Co. is one of a few utilities to restart atomic power plants, which will allow it to offer cheaper rates as it continues its expansion outside of its traditional region, General Manager Michiya Sakata said Friday after releasing earnings. Seven-Eleven Japan said on Thursday that over 3,000 of its stores will switch contracts to Kansai Electric from utilities including Tokyo Electric Power Co. and Shikoku Electric Power Co. due in part to cheaper rates and a cleaner mix.