H o k k a i d o E l e c t r i c P o w e r C o . , I n c .
Introduction
Japan’ s electricity supply has been a concern for some time due to the
pro-longed suspension of most of its nuclear power plants following the March 2011
accident at Tokyo Electric Power Company’s Fukushima Daiichi Nuclear Power
Plant. All units at HEPCO’ s Tomari Nuclear Power Plant (previously one of the
company’ s main power sources) have been shut down since May 2012, making it
difficult to provide a stable supply of electricity. Against this backdrop, customers
were asked to reduce their electricity consumption by at least seven percent
during the summer and winter of 2012, which helped to overcome the power
supply issues. The company’ s appreciation goes to everybody for their efforts in
this regard.
In the meantime, the extended shutdown of the Tomari Nuclear Power Plant
has drastically increased expenses relating to fuel used in thermal power
genera-tion, causing the company to sustain its largest-ever ordinar y loss (118.6 billion
yen) in FY 2013. Despite group-wide efforts to improve management efficiency, it
became clear that maintaining electricity rates as they were would make it
diffi-cult to fund fuel procurement and equipment maintenance. As this may have
caused power supply disruption, there was no option but to submit a request to
the government in April 2013 for approval to increase electricity rates. The
com-pany is aware of the substantial burden this has placed on its customers.
HEPCO is committed to ensuring a stable supply of electricity based on efforts
to resume early operation of the Tomari Nuclear Power Plant in order to stabilize
July 2013
Hokkaido Electric Power Co., Inc.
the power supply and improve the company’s bottom line while taking all
pos-sible measures to deal with the tight supply conditions until the plant is once
more operational.
To ensure a stable supply of electricity into the future, plans are in place to
steadily proceed with the construction of the Kyogoku Power Plant (a pure
pumped-storage hydroelectric power facility) and the Ishikariwan Shinko
Power Plant (HEPCO’ s first liquefied natural gas (LNG)-fuelled thermal power
facility) based on thorough cost reduction. The company’s plan to expand
the capacity of the Hokkaido-Honshu HVDC Link (Kitahon HVDC Link) is also
moving forward.
HEPCO will work to expand the introduction of renewable energy sources
based on continued assessment of impacts on power systems and study of
neces-sar y technical measures. With an eye to the power supply system reforms
cur-rently under discussion, the company will also strive to provide customers with
an even greater range of options by expanding the scheduled introduction of
smart meters and offering a variety of electricity rate choices.
The HEPCO Group is committed to its ongoing efforts to meet the expectations
of customers and shareholders toward the goals of ensuring a stable power supply
and improving the company’s balance of payments and financial performance.
Contents
Introduction
Financial Highlights
Fields of Business
Securement of a Stable Power Supply
Safety Measures for the Tomari Nuclear Power Plant
Power Supply from Diversified Sources
Prevention of Power Outages
Improvement of Business Foundation
Establishment of a Power Supply Structure for the Future
Broader Introduction of Renewable Energy Sources
Promotion of Energy Conservation
Efforts for Improved Management Efficiency
Human Resource Development
Relations with Local Communities and Society
Environmental Impact Reduction
Coexistence with Local Communities
Corporate Profile 1
2
3 - 4
5 - 6
7 8 9 -10 11 12 13 14 15 16
17 - 18
Financial Highlights
Consolidated Basis
Hokkaido Electric Power Co., Inc. and Consolidated Subsidiaries Millions of yen
Note: The U.S. dollar amounts represented here are the results of converting yen values at a rate of ¥ 94 = US$1 (the prevailing rate on March 31, 2013), and are included solely for convenience.
FY 2013 FY 2012 FY 2013
Thousands of U.S. dollars (Note)
U.S. dollars (Note) Yen ¥ ¥ ¥ ¥ ¥ ¥ ¥
557,792
25,197
582,990
(132,819)
1,660,740
190,403
(646.08)
¥ ¥ ¥ ¥ ¥ ¥ ¥614,419
20,019
634,439
(72,066)
1,618,850
327,280
(350.55)
$ $ $ $ $ $ $5,933,957
268,053
6,202,021
(1,412,968)
17,667,446
2,025,563
(6.87)
Operating Revenues:
Electric utility operating revenue
Other business operating revenue
Net Income (loss)
Total Assets
Total Net Assets
Net Income (loss) (primary) per Share of Capital Stock
Non-Consolidated Basis
Hokkaido Electric Power Co., Inc. Millions of yen
Note: The U.S. dollar amounts represented here are the results of converting yen values at a rate of ¥ 94 = US$1 (the prevailing rate on March 31, 2013), and are included solely for convenience. FY 2013 ¥ ¥ ¥ ¥ ¥ ¥ ¥
257,115
294,026
64,614
615,756
(74,544)
(362.60)
50.00
FY 2013 FY 2012Thousands of U.S. dollars (Note)
U.S. dollars (Note) Yen ¥ ¥ ¥ ¥ ¥ ¥ ¥
253,967
286,553
18,828
559,349
(120,083)
(584.13)
-2,701,776
3,048,436
200,297
5,950,521
(1,277,478)
(6.21)
-Operating Revenues:
Residential (lighting)
Commercial and Industrial
Other
Profit and Dividends:
Net Income (loss)
Net Income (loss) (primary) per Share of Capital Stock
Cash Dividends per Share of Capital Stock
H E PCO
Hokkaido Electric Power Co., Inc.
1.Tohoku Electric Power Co., Inc. 2.Tokyo Electric Power Co., Inc. 3.Chubu Electric Power Co., Inc. 4.Hokuriku Electric Power Co., Inc. 5.Kansai Electric Power Co., Inc. 6.Chugoku Electric Power Co., Inc. 7.Shikoku Electric Power Co., Inc. 8.Kyushu Electric Power Co., Inc. 9.Okinawa Electric Power Co., Inc. Power Transmission/Distribution Facilities
(as of March 31, 2013)
8,317 km 46,526 22,175 MVA 68,060 km 1,471,517 Transmission line route length
Number of support structures Number of substations Distribution line route length
Number of support structures 371 1,239 MW 4,214 MW 3,900 MW 148 MW 166 MW 2,070 MW 25 MW 1 MW 7,549 MW 54 12 6 1 5 1 1 1 69
Power Generation Facilities
(as of June 30, 2013) Hydroelectric power plants Thermal power plants
Steam power Gas turbine Internal combustion
Nuclear power plant Geothermal power plant Photovoltaic power plant Total 1 2 3 4 5 6 7 8 9 Uryu Onbetsu Tomura Tokachi Tomatoh-Atsuma Tomakomai Mori Shiriuchi
Kitahon HVDC Link Date Sunagawa Nokanan Takisato Hoheikyo Naie Tomari
Kyogoku (under construction)
Okuniikappu Niikappu Takami Shizunai Area 22.1%
(as of October 1, 2012)
Population (as of March 31, 2013)
No. of households (as of March 31, 2013)
Hokkaido
Japan 83,457.06 km2
377,959.91 km2 Location
Longitude: 139° 20’ – 148° 53’ east Latitude: 41° 21’ – 45° 33’ north
Hokkaido Data
(Source: Hokkaido Government website)
4.3% Japan 126,393,679 5% Hokkaido Japan 2,692,051 54,594,744 Hokkaido 5,444,307
Fields of Business
Hydroelectric power plant
Another company’s hydroelectric power plant Thermal power plant
Another company’s thermal power plant Nuclear power plant
Geothermal power plant Photovoltaic power plant Substation Switching station
Another company’s conversion station Transmission line (275 kV) Transmission line (187 kV) Transmission line (100 kV – 110 kV) Another company’s transmission line
(Source: Ministry of Land, Infrastructure, Transport and Tourism’s Geospatial Information Authority of Japan website)
(Source: Ministry of Internal Affairs and Communications website)
The Niseko area, where people enjoy skiing in winter and outdoor sports in summer Shiretoko, a Hokkaido tourist resource inscribed on the World Natural Heritage List
◎
Hokkaido’s tourism, agriculture and fisheries enjoying symbiotic relationships with nature
Hokkaido is approximately 83,000 km
2in area, accounting for more than one
fifth of Japan’s total landmass. The prefecture is characterized by its splendid
natu-ral scenery – beautiful coastal areas with capes, oddly shaped rocks and sandy
beaches, primarily natural forests, magnificent and varied mountains, lakes with
beautiful landscapes, and vast wetlands. Many tourists, both from Japan and
over-seas, visit Hokkaido to experience this magnificent natural environment.
Although wintertime conditions in Hokkaido are very harsh with heavy snowfall
and severe cold, it is the ideal location for winter sports.
The fertile ground has allowed agriculture and the livestock industry to prosper.
Hokkaido boasts the nation’s largest production volume of wheat, potatoes,
onions, fresh milk and many other agricultural and livestock products.*
The production volume from the marine fishery and aquaculture industry in
waters surrounding the prefecture is also the largest in Japan. Hokkaido prides
itself on a high food self-sufficiency rate thanks to these gifts from Mother Nature.
*As of March 31, 2013
(Source: Ministry of Agriculture, Forestry and Fisheries website)
◎
Continuing to ensure a stable supply of affordably priced electricity
Hokkaido has a population of approximately 5.5 million. Its population density
is about 65 people per km
2, which is approximately one fifth of the national
aver-age. The general impression of Hokkaido is one of vastness with an open-minded
atmosphere; this may be related to the character of the locality, which enables
people to lead relaxed lifestyles.
On the other hand, many difficulties must be overcome to deliver electricity
throughout this vast, sparsely populated land. To protect the natural
environ-ment, measures to tackle global warming are also necessary.
◎
Major initiatives toward compliance with the new safety standards
HEPCO implemented emergency measures for the Tomari Nuclear Power Plant
imme-diately after the March 2011 accident at Tokyo Electric Power Company’s Fukushima
Daiichi Nuclear Power Plant and confirmed that the plant’s nuclear reactors would be
safe in the event of a tsunami as large as the one that struck Fukushima. The safety
of the plant’s facilities has also been ascertained based on seismic evaluation.
HEPCO will continue to take all possible measures to ensure the safety of the Tomari
Nuclear Power Plant. These will include extensive efforts to ensure compliance with
the new safety standards enforced on July 8, 2013, and ongoing steps to further
enhance safety and reliability.
○HEPCO plans to install alternative emergency power generators (two each for Unit 1 and Unit 2, and one for Unit 3) in case all power* is lost at the Tomari Nuclear Power Plant. Eight alternative vehicle-mounted power generators will also be deployed.
Securement of power supply
■Measures to secure power and water supplies
○To diversify methods for cooling nuclear reactors, reactor containment vessels, spent-fuel pits and other facilities, HEPCO plans to deploy eight water injection pump vehicles and fifteen water supply pump vehicles in addition to its perma-nent pumps.
Securement of cooling functions
○HEPCO plans to install static catalytic hydrogen recombiners that will prevent hydro-gen explosions by reducing hydrohydro-gen concentration in reactor containment vessels in the event of a serious accident involving fuel damage even after the measures out-lined above have been taken. (Already installed at Unit 1 and Unit 2, and scheduled to be installed in September 2013 at Unit 3.)
*Including power from the emer-gency diesel generators installed when the plant began operation
Water supply pump vehicle
Securement of water supply
○HEPCO plans to install more storagebatteries (one set each for Unit 1, Unit 2 and Unit 3) to reinforce power supply capability to equipment requiring a DC power source in response to accidents.
○To ensure a constant supply of water to steam generators and other facilities even in the event of an accident, HEPCO has secured water sources including raw water tanks, filtered water tanks and seawater supply. Five alternative outdoor feedwater tanks have also been installed on high ground.
Scheduled completion of initiatives: Unit 3: October 2013; Unit 1 and Unit 2: March 2014
○HEPCO will construct an earthquake- and tsunami-resistant radiation-proof emer-gency response center for Unit 3 in the Unit 1 auxiliary building (scheduled comple-tion: October 2013), and also plans to build another emergency station to be shared for Unit 1, Unit 2 and Unit 3 on high ground (scheduled completion: March 2014).
■Measures to prevent reactor damage, reactor containment vessel
breakage and other issues
■Other measures
Safety Measures for the Tomari Nuclear Power Plant
Securement of a Stable Power Supply
Measures to prevent hydrogen explosions
Each tank with a capacity of approximately 80 m3
HEPCO plans to build a coastal levee reach-ing a height of 16.5 meters above sea level over a distance of 1.3 kilometers along the coastal area of the plant site.
(Scheduled completion: December 2014)
Coastal levee
HEPCO plans to install emergency power generators on high ground at the back of the power plant (one each for Unit 1, Unit 2 and Unit 3).
(Scheduled completion: FY 2016)
Emergency power generators
HEPCO plans to construct a seismically isolated administrative building on high ground. It will be fitted with emergency station functions and will have sufficient space for the smooth implementation of accident response measures and long-term worker accommodation (above-ground floors: 5; total floor area: approx. 8,000 m2).
(Scheduled completion: first half of FY 2016)
HEPCO plans to install a filtered contain-ment venting system designed to release gases into the air while removing radioac-tive materials and to prevent vessel damage caused by excessively high pressure.
(Scheduled completion: FY 2016)
HEPCO plans to install tanks to secure cooling water capacity for nuclear reactors, reactor containment vessels and other equipment. These units will be installed on high ground to allow gravity-based water supply without electricity.
(Fresh water volume: 5,000 m3; one tank each for Unit 1, Unit 2 and Unit 3)
(Scheduled completion: FY 2015)
Water tanks
Reactor containment vessel
Valve
Filter Into the air
Gas flow
◎
Efforts to further enhance safety and reliability
Conceptual drawing
Coastal levee height: 16.5 m
Height above sea level of the nuclear power plant site: 10 m
Over 31 m
16.5 m
10.0 m 6.5 m
海側 山側
Radiation shielding structure
Filter Fan
Seismic base-isolated structure PHS switching equipment Radiation
counter
Command post
Emergency power generator
Emergenc y materials and machinery
Seaside Mountainside
Conceptual drawing of the filtered containment venting system
Seismically isolated administrative building
Water tanks
Emergency power generator Unit 1
Unit 1
Unit 2
Unit 2
Unit 3
Unit 3
Coastal levee
Filtered venting system for
reactor containment vessel
Filtered containment venting system (Unit 1, Unit 2 and Unit 3)
HEPCO seeks to ensure a stable power supply based on a balanced combination
of power sources by leveraging the operational characteristics, fuel procurement
stability, economic efficiency, environmental performance and other
characteris-tics of individual resources.
For example, the mainstay sources are nuclear power and thermal power
(produced using overseas coal) based on the stable availability of fuel for these
types, while hydroelectric power and oil-fired thermal power are used at peak
times to accommodate demand fluctuations.
◎
Power supply based on a balanced combination of sources
Since the shutdown of the Tomari Nuclear Power Plant, HEPCO has had to operate
oil-fired and other thermal power plants with high output levels, and has not been
able to implement equipment inspections as previously planned. Given this
background, the number of unplanned shutdowns and output restrictions for thermal
power plants increased by a factor of approximately 1.4 – 1.8 in FY 2013 as compared
to FY 2011 and FY 2012.
Although the challenging situation continues and thermal power plants continue
to operate at high output levels, HEPCO remains committed to taking all possible
measures to ensure a stable power supply.
■
Impacts of suspended operation at the Tomari Nuclear Power Plant
Emergency power supply system at the Tomakomai Power Plant site
HEPCO installed emergency power supply
systems in July and December of 2012.
▶Tomakomai Power Plant site… Approx. 74 MW
▶Minami Hayakita Substation site… Approx. 74 MW (Fuel: light oil)
1,000 2,000 3,000 4,000 5,000 6,000
Run-off river-type hydroelectric power 0
(MW) Pumped-storage hydroelectric power
New energy sources, etc. Water reservoir/
regulating reservoir hydroelectric power
Oil-fired thermal power Domestic coal-fired thermal power
Overseas coal-fired thermal power
Nuclear power
■Daily electricity consumption and power generation in winter (conceptual drawing)
(Time) 24 18
12 6
1
Higher electricity usage throughout the day in winter and particularly high consumption at night are characteristics of Hokkaido.
Power Supply from Diversified Sources
Securement of a Stable Power Supply
Introduction of emergency
power supply systems
Hokkaido is characterized by harsh natural conditions associated with its vast land
area and cold snowy winters. Despite this, the frequency of power outages has
been reduced through various initiatives such as appropriate equipment
mainte-nance and the development of unique technologies. HEPCO has also sought to
reduce the duration of any outages that do occur through measures such as
developing a system to quickly identify faults in transmission and distribution
lines toward prompt recovery.
◎
Prevention of power outages and support for prompt recovery
HEPCO works to maintain and improve its emergency response capability
through practical training for all possible scenarios, including tight
supply-demand situations caused by natural disasters and disconnection of large-scale
power sources (i.e., power plants) from power systems.
◎
Reinforcement of capacity for response to any situation
Duration Frequency
Duration (min./household) Frequency (no. of times/household)
■Duration and frequency of power outages per household per year
0 50 100 150 200 250
0.0 0.4 0.8 1.2 1.6 2.0
(FY) 2006
2001 1991
1981 2007 2008 2009 2010 2011 2012 2013
248
42
14
9 7 6 5 7 6
48
8
1.78
0.41
0.18 0.19
0.13 0.10 0.10 0.12 0.13 0.110.19
*The duration and frequency of power outages significantly increased in FY 2013 as compared to the previous fiscal year due to a blizzard in November.
Removal of a crow’s nest
Snow removal from distribution facilities
0.864
0.695
0.376 kg- CO2/kWh (at sending end)
Source: Central Research Institute of Electric Power Industry
■CO2 emissions per kWh of power generated
Combined c ycle
power generation
enables better
envi-ronmental
perfor-mance than other
thermal power
gen-eration types due to
its high
efficiency
and the use of
natu-ral gas, which
pro-duces the least CO
2of all fossil fuels.
■Advantages of LNG combined cycle power generation
The efficiency of the combined cycle method stems from power generation
based on fuel combustion in a gas turbine system and steam turbine powering
by heat recovered from the exhaust gases produced.
■Conceptual diagram of the Ishikariwan Shinko Power Plant
Improved overall efficiency
Environmental performance
Coal-fired
thermal power thermal powerOil-fired combined cycleLNG
Establishment of a Power Supply Structure for the Future
Improvement of Business Foundation
HEPCO plans to construct its first liquefied natural gas (LNG)-fuelled combined
cycle power plant as part of its efforts to address the aging of thermal power
plants and diversify fuel types in order to ensure a stable power supply into the
future. The group is proceeding with preparations to start the construction of
Unit 1 (500 MW class) in September 2015 (with the commencement of
opera-tion scheduled for February 2019).*
*The scheduled times of commencement for operation are December 2021 for Unit 2 and FY 2029 for Unit 3. (The combined output of the three units will be approximately 1,600 MW.)
◎Construction of the Ishikariwan Shinko Power Plant
To power transmis-sion line
Sea Sea Water inlet channel Sea Water discharge channel
Switching
station Transformer
Generator Natural gas
Steam
Steam turbine
Condenser
Air
Compressor
Combustor
Gas turbine Exhaust
gas
Heat recovery steam generator (HRSG)
Steam drum
Feed-water pump Seawater pump
LNG to be channeled via gas pipeline from the Ishikari LNG base
Nanae Ohno
Kamikita Converter Station
Hakodate Converter Station
Current Kitahon HVDC Link Voltage
Capacity increase
Scheduled commencement of work Scheduled commencement of operation
Outline of reinforcement work
Current Kitahon HVDC Link
Capacity
250 kV (DC) 300 MW April 2014 March 2019
After reinforcement
900 MW
Current600 MW
Upper reservoir
Lower reservoir
(Kyogoku Dam)■Conceptual overview of the Kyogoku Power Plant
Penstock Kutchan Town
Tailra ce tu
nne l
The under-construction Kyogoku Power Plant (200 MW × 3 units) will be a pure
pumped-storage hydroelectric power facility that supports
flexible response to
rapid changes in electricity demand. HEPCO will steadily proceed with construction
toward the scheduled commencement of operation for Unit 1 in October 2014.
*Operation is scheduled to commence in December 2015 for Unit 2 and in FY 2024 or later for Unit 3.
◎Construction of the Kyogoku Power Plant
The power grids of Hokkaido and the Japanese mainland of Honshu are
con-nected solely by the Hokkaido-Honshu (Kitahon) HVDC Link, but its capacity
(600 MW ) is only about a tenth of Hokkaido’s maximum power demand
(approx. 5,500 MW).
HEPCO will steadily proceed with its plan to reinforce the link from 600 MW to
900 MW so that utility companies in Honshu can transmit power even more
securely to Hokkaido in the event of an emergency.
◎Reinforcement of the Kitahon HVDC Link
Underground power plant
(equipped with a pump turbine)*Equipment owned by Electric Power Devel-opment Co., Ltd.
Wind power generation
・Installation capacity: 289 MW
・No. of wind turbines: 278
・No. of power plants: 53
Photovoltaic power generation (0.5 MW or more)
・Installation capacity: 26 MW
・No. of power plants: 18
(as of March 31, 2013)
Soya 104 MW Rumoi 67 MW Hidaka 1 MW Kushiro 2 MW Kushiro 5 MW Okhotsk 4 MW
Wakkanai Mega Solar Power Plant 5 MW
Tokachi 7 MW Ishikari
4 MW
Date Solar Power Plant 1 MW Nemuro 13 MW Ishikari 6 MW Shiribeshi 21 MW Iburi 14 MW Oshima 4 MW Hiyama 57 MW (MW) Wind power introduction Photovoltaic power introduction Wind power interconnection capacity
1999 2001 2003 2005 2007 2009 2011 2013 2017
(FY) 0 100 200 300 400 500 600 Verification testing
Broader Introduction of Renewable Energy Sources
Improvement of Business Foundation
Wind and photovoltaic power outputs
fluctuate significantly with weather
con-ditions. Hokkaido is susceptible to such fluctuations due to its low power
demand, which resulted in the installation of low-capacity equipment. Despite
the resultant limitations to the amount of electricity that can be supplied using
renewable energy sources, HEPCO is working to expand renewable energy
introduction toward the goal of a stable power supply.
◎Fact
s and figures on renewable energy sources introduced
To further promote the introduction of wind
power generation, HEPCO plans to conduct
verifi-cation tests using the Kitahon HVDC Link in
con-junction with Tokyo Electric Power Company
(TEPCO) and expand wind power interconnection
capacity to 560 MW.
In the field of photovoltaic power generation, HEPCO
also seeks to accumulate expertise toward broader
introduction through various efforts, including
par-ticipation in the Project for Verification of Storage
Batteries in Electrical Systems launched by the
Minis-try of Economy, Trade and IndusMinis-try in FY 2014.
◎
Toward broader introduction of
renewable energy sources
■Wind and photovoltaic power generation sources introduced by the Subprefectural Bureau
■Wind power and photovoltaic power introduction, and changes in wind power interconnection capacity
7 37
156 156 159 241
Promotion of Energy Conservation
HEPCO provides information on heat pump
sys-tems and other products that support efficient
power usage and energy conservation in houses
as a whole to help customers save energy.
◎
Promotion of energy-saving products
HEPCO offers an online service that enables
cus-tomers to check their monthly electricity bills and
amounts consumed. This helps to highlight the
effects of energy-saving efforts because electricity
usage over the last 24 months and a graph
show-ing changes can be viewed online.
◎
Online Bill Viewing Service
Energy conservation
Lower CO2
emissions
&
■Conceptual drawing of a heat pump system
Electrical energy
Electrical energy Heat pump
system usage Heat in the Results: air, ground,
etc.
Energy source for traditional heater-type electrical equipment
Energy source for electrical equipment
based on a heat pump system ■Conceptual representation of smart meter verification testing
Base station
Fiber-optic lines
Integration device
Integration device
Integration device Integration device HEPCO service office
One-to-many (1:N) wireless system (direct data transmission between a single base station and multiple smart meters)
Application in densely populated residential areas with different environmental factors, such as building shapes and smart-meter locations
Multihop wireless system
Data are transmitted via multiple meters in a mesh network.
As part of its energy conservation initiatives, HEPCO plans to introduce smart
meters to help customers visualize their levels of power consumption.
・
High-voltage users (i.e., those with contracts for 50 kW or more)
Complete introduction is scheduled for FY 2017.
・
General households
Verification tests based on various circumstances have been ongoing since
2011 toward full-scale introduction within a decade from FY 2016 onward.
◎
Smart meter introduction plan
Mobile telephone
network Integration
device
Verification of communication performance in areas of
intense cold Verification of communication
performance in a real environment
Verification of communication performance in areas where electric meter reading is difficult
・During equipment replacement, water-turbine runners used at hydroelectric power plants were changed to a type designed to more efficiently harness the energy of flowing water.
・The replacement has reduced losses and improved output without affecting hydraulic conditions (e.g., height differences, flow rate).
Conventional water-turbine runner
Example
Sounkyo Power Plant
Hoheikyo Power Plant
Makunbetsu Power Plant
Hirafu Power Plant
24 MW ⇒ 25 MW
50 MW ⇒ 52 MW
16 MW ⇒ 18 MW
11 MW ⇒ 12 MW
February 2011
June 2011
February 2012
July 2012 Facility name Before replacement Output⇒ After replacement Time of replacement
Actual results of output improvement
Efforts for Improved Management Efficiency
Improvement of Business Foundation
HEPCO is working to reduce fuel costs through a range of initiatives, including
the diversification of fuel purchasing methods to cut procurement costs and
the reduction of fuel expenses at thermal power plants by increasing the
output of existing hydroelectric power plants.
◎
Reduction of fuel costs
New water-turbine runner with optimal design for the b lad e a n g l e an d ot h e r co n s id e ratio ns to m ore efficiently harness the energy of flowing water
HEPCO seeks to reduce costs by developing/introducing new technologies and
construction methods as well as by carefully examining the period and details
of construction work.
In relation to planned projects involving significant capital investment (such as
the construction of the Ishikariwan Shinko Power Plant and the capacity
expan-sion of the Hokkaido-Honshu HVDC Link (a.k.a. the Kitahon HVDC Link)), the
company will redouble its efforts to reduce construction costs based on the
viewpoints of individuals outside HEPCO.
◎
Reduction of capital investment and repair costs
HEPCO strives to reduce procurement costs via efforts to expand competition
among vendors through the use of different ordering systems and the proactive
incorporation of information, expertise and other knowledge from individuals
outside HEPCO (e.g., consulting companies). The Procurement Study Committee
established in FY 2013 consists of representatives from relevant sections
(including those handling power generation, transmission/distribution,
procure-ment and manageprocure-ment), who work together to reduce procureprocure-ment costs from
the planning stage onward.
HEPCO will continue its cost reduction efforts by promoting different ordering
systems and enhancing vendor competition.
◎
Reduction of procurement costs
HEPCO also runs the Nuclear Power Education Center to allow operators,
main-tenance workers and related engineers at nuclear power plants to experience
the functions of the main equipment used at plants. The company also runs the
Takikawa Technical Center to produce technical specialists in fields including
power transmission, distribution and transformation, information and
commu-nications, and civil engineering.
Human Resource Development
■
Thermal Power Technology
Training Center
HEPCO opened the Thermal Power
Technology Training Center on April
1, 2013, to provide its employees with
o p p o r t u n i t i e s t o m a i n t a i n a n d
improve their skills in stable
opera-tion and maintenance of thermal
power plants. Attendees receive
prac-tical training using practice
appara-tus and real machines at the
adjoin-ing Tomatoh-Atsuma Power Plant.
Thermal Power Technology Training Center
Nuclear Power Education Center
Takikawa Technical Center
Over the next decade, nearly 40 percent of HEPCO employees will reach
retire-ment age. Against this background, the company m
akes efforts to steadily pass
on skills and techniques and facilitates the training of junior workers in a
sys-tematic manner. These activities are conducted through enhanced on-the-job
training programs and education tailored to individual sections.
◎
Systematic human resource development
Both management and regular employees of the HEPCO Group are
commit-ted to the pursuit of thorough compliance and the ful
fillment of their CSR
(Corporate Social Responsibility) duties in every aspect of business based on
the HEPCO Group CSR Behavior Charter (established in March 2006) and the
Compliance Action Guidelines (November 2003). Their aims are to live up to the
expectations of different sections of society, including customers, shareholders,
investors, local community members and business partners, and to prove the
company worthy of the trust shown by these parties.
Recycling of coal ash to produce soil improvement materials
The prolonged shutdown of the Tomari Nuclear Power Plant after the Great
East Japan Earthquake of March 2011 has caused a significant increase in CO
2emissions due to enhanced power generation at thermal power plants.
0 20 40 60 80 100
0 5 10 15 20 25
1,142 1,362 1,872
89.7 81.9
66.2
58.6
4.3 1,560
2,144
2013 2012 2011 2010 2009
Facility utilization factor (%) CO2 emissions (million t-CO2)
(FY) CO2 emissions Facility utilization factor
OFF
Environmental Impact Reduction
Relations with Local Communities and Society
HEPCO promotes a range of CO
2emission control initiatives, such as the
expan-sion of renewable energy introduction (e.g., hydroelectric, wind and
photovol-taic power), the enhancement of power generation/transmission/distribution
efficiency, and the promotion of energy conservation.
◎
Promotion of measures to fight global warming
HEPCO promotes the 3 Rs – reduction, reuse and recycling of waste – with the
target of recycling approximately 97% of all industrial waste produced (e.g.,
coal ash and rubble) by FY 2021.
◎
Promotion of a recycling-based society
HEPCO Group Green Suppor ters’
Activities represent the organization’s
efforts to support local forest
devel-opment activities. The company’s
business establishments across
Hok-kaido carry out tree planting activities
using Kaminekkon* seedling pots,
which make tree planting much
easier and facilitate seedling growth.
*Kaminekkon: seedling pots made from recycled cardboard
◎
Development of environmental relations activities
Enhanced power generation efficiency and reduction of transmission/distribution loss Expansion of renewable
energy introduction
Impacts of prolonged Tomari
Nuclear Power Plant shutdown
Promotion of energy conservation
S h u t d o w n o f Tomari Nuclear Power Plant Unit 3
Commencement of operations at Tomari Nuclear
Power Plant Unit 3 S h u t d o w n o f Tomari Nuclear Power Plant Unit 1 and Unit 2
Tomarin-kan Investors’ meeting
■
Tomarin-kan Nuclear Power PR Center
■
HOKUDEN Housing Energy Saving Information Museum MADRE
■
Tomatoh-Atsuma Thermal Power Plant Hokuden Karyoku Naruhodo Center
■
Science games at Omoshiro Laboratory
Coexistence with Local Communities
HEPCO promotes its business activities through displays and other media at its various facilities to raise related awareness
among the general public.
This facility showcases a life-size nuclear reactor model and other exhibits to help visitors understand how nuclear power generation works.
This facility gives visitors opportunities to learn about the mechanism behind thermal power generation and provides an overview of the Tomatoh-Atsuma Thermal Power Plant.
This facility hosts laboratory classes for elementary and junior high school students to enhance enjoyment of science and technology, which are closely related to electricity. This facility is designed to raise public awareness of energy conservation.
◎
Communication with customers through a range of PR facilities
HOKUDEN ASSOCIA is a member of the HEPCO Group
and a Special Subsidiary Company (a status provided
to businesses giving special consideration to people
with disabilities) engaging in printing, bookbinding,
closed caption production and other activities. The
company gives employees with disabilities
opportuni-ties to lead fulfilling lives while bringing out their full
potential.
In its role as a member of society, HEPCO will continue
to support the social independence and social
partici-pation of people with disabilities through employment.
◎
Support for the social independence and social participation
of people with disabilities
HEPCO undertakes IR
activi-ties to allow proper capital
market evaluation by
dis-closing information
proac-tively through briefings and
via our website. We also
strive to further improve our
corporate value by r
eflect-ing opinions and feedback
in management policies.
Corporate Data
(as of March 31, 2013)Organization Chart
(as of June 30, 2013)Residential
Commercial and industrial Eligible customers Total
Residential
Commercial and industrial Eligible customers Total
Board of Directors and Auditors
(as of June 26, 2013)Chairman and Director Yoshitaka Sato President and Director Katsuhiko Kawai Chairman President
Executive Vice Presidents Managing Directors
Planning Division
Internal Audit Sec. Secretary Office Corporate Planning Dept. Environmental Affairs Office
Information Systems & Telecommunications Dept.
Research & Development Dept.
Sales Dept. Distribution Dept.
Central Information and Telecommunications Office
Power Wheeling Center Central Load Dispatching Center
Trunk Network Work Center
Fuel Office Coal Ash Recycling Promotion Office
Nuclear Fuel Management Office
General Training Center
Business Ethics Office Litigation Office Power Plant Siting Office Customer Service
Division
Branch Offices
Sales Dept. (only in Sapporo) HEPCO Contract Center
Service Offices
Engineering Dept. Power Network Centers
Tomari Nuclear Power Plant Power Network Centers
Thermal Power Plants Geothermal Power Plant Internal-combustion Power Plants
Tomari Nuclear Power Office
Construction Office Tokyo Office Power Generation Division Power Network Division
Thermal Power Dept.
Nuclear Power Quality Assurance Office Nuclear Power Dept.
Hydropower Dept. Civil Engineering Dept.
Hydropower Centers
Business Support Division
Personnel & Labor Relations Dept.
Public Relations Dept. General Affairs Dept. Accounting & Finance Dept. Purchasing & Contracting Dept. Nuclear Power
Promotion Division
Secretariat
Corporate Auditors Corporate Auditors Office Established
Paid-in Capital (non-consolidated)
Number of Shareholders
Total Assets (non-consolidated)
No. of Contracts
Peak Demand (generating end, record renewed on January 12, 2011)
Electricity Sales (FY 2013)
Gross Income (ordinary revenue in FY 2013)
Number of Employees (non-consolidated)
Corporate Profile
May 1, 1951
¥114,291 million 93,284 ¥1,607,002 million 3,609,468 397,111 36,634 4,043,213 5,788 MW 11,817,914 MWh 2,695,569 MWh 16,670,422 MWh 31,183,905 MWh ¥579,114 million 5,674
Executive Vice President and Director
Executive Vice President and Director
Managing Director Managing Director Managing Director Managing Director Managing Director Managing Director Managing Director Director
Senior Corporate Auditor
Senior Corporate Auditor
HEPCO Group Companies
(as of March 31, 2013)Electrical and telecommunications works, civil engineering and construction, piping, air-conditioning and water supply / drainage facility works, disaster prevention / security equipment works
Maintenance, manufacture and sales of electricity meters, agency business of inspection, tests and installation of electric meters, machinery and equipment
General management of buildings, civil engineering and construction, environmental conservation (e.g., greenery mainte-nance and management), sales of fuel, equipment, materials, etc.
Comprehensive construction consulting services in the fields of civil engineering, construction, electricity, environment and energy
Thermal power generation business, commissioned operation of thermal power plants, construction, maintenance, re-pair and operation of power generation facilities and various types of plants, consulting services
Sales of electric power generated using hydroelectric, photovoltaic and other renewable energy sources, commissioned operation and maintenance of power generation facilities, consulting services
Design, printing and bookbinding, production of closed captions, sales of corporate merchandise and gift products, sales of everyday sundries, food, etc.
Document management improvement business, confidential-document destruction and recycling services
Consulting, development, operation and management, and education regarding information processing systems, sales of infor-mation processing equipment and software, Internet data center services, other inforinfor-mation processing-related services
Management of soccer clubs, soccer field rental, planning, hosting and operation of consigned seminars and events
Business related to electricity meter inspection and electricity billing, design, investigation and maintenance of power distribution equipment, consultation services concerning issues with housing electrification equipment, proposals for energy conservation Unloading, storage, and delivery of overseas coal, marine transport agency business, customs clearance
Company name (millions of yen)Paid-in capital No. of employees Principal business
1,297
185
324
155
1,174
39
108
2,058
230
398
6
34
24 1,730
30
95
30
1,660
5,000
1,860
50
5,900
200
10
300
10 Hokkai Electrical Construction
Hokkaido Electric Meter Industry
HOKUDEN KOGYO
Hokuden General Engineering Design & Consulting
Hokkaido Power Engineering
The Tomatoh Coal Center
HOKUDEN ECO-ENERGY
Hokuden Service
Hokkaido Telecommunication Network
Hokuden Information Technology
Hokuden Sports Fields
HOKUDEN ASSOCIA
Hokkaido Records Management
Head Office
2, Higashi 1-chome, Odori, Chuo-ku, Sapporo, Hokkaido 060-8677, Japan Tel: (81) 11-251-1111 URL: www.hepco.co.jp
Tokyo Office
Marunouchi Kitaguchi Building, 6-5, Marunouchi 1-chome, Chiyoda-ku, Tokyo 100-0005, Japan Tel: (81) 3-3217-0861
Enemo, the corporate mascot
Year Ended March 31, 2013
0
1 Five-Year Summary (Consolidated Basis)
0
3 Financial Review (Consolidated Basis)
5 Business Risk
0
7 Consolidated Balance Sheets
0
9 Consolidated Statements of Operations
0 10
Consolidated Statements of Changes in Net Assets
0 11
Consolidated Statements of Cash Flows
0 12
Notes to Consolidated Financial Statements
13
Independent Auditor’s Report
27
Contents
Financial Section 2013
Millions of yen
2013 2012 2011 2010 2009
Statements of operations:
Operating revenue... Operating income (loss)...
Net income (loss) ...
Cash flows:
Number of employees*3... Cash flows from operating activities ... Cash flows from investing activities ... Cash flows from financing activities ... Cash and cash equivalents at end of period ...
*1
Diluted net income per share is not provided for 2010 and 2011 as there are no dilutive securities.
Diluted net income per share is not provided for 2009, 2012 and 2013 as there are no dilutive securities and the Companies recorded a net loss. *2
Price earnings ratio is not provided for 2009, 2012 and 2013 as the Companies recorded a net loss. *3
From the fiscal year under review, Hokkaido Electric Meter Industry, Hokuden Service and Hokuden Information Technology, for which accounting was previously conducted under the equity method, are now treated as consolidated subsidiaries for accounting in view of their importance in relation to consolidated financial statements.
Five-Year Summary (Consolidated Basis)
Hokkaido Electric Power Co., Inc. and Consolidated Subsidiaries Fiscal years ended March 31, 2013, 2012, 2011, 2010 and 2009Assets and capital:
Total assets ... Net assets ...
Per share of capital stock (yen):*1
Net income (loss) (primary) ...
Cash dividends ... Net assets ...
Financial indications (%):
Return on shareholders’ equity ... Shareholders’ equity ratio ...
594,559 (17,155) (24,106) 24,783 (100,167) 98,170 40,421 ¥1,635,023 419,983
¥ (114.44)
60.00 1,947.01 (5.59) 25.08 ¥ ¥ 634,439 2,482 (72,066) 106,941 (107,282) 32,977 53,593 ¥1,618,850 327,280 (350.55) 50.00 1,538.44 (20.12) 19.54 ¥ ¥ ¥ 566,272 43,198 11,982 126,535 (125,348) (19,231) 20,956 ¥1,641,561 410,741 58.10 50.00 1,945.50 2.96 24.37 ¥ ¥ ¥ 549,305 31,694 7,658
Comprehensive income ... (73,036) 11,619 — —
120,314 (143,423) 21,688 39,001 ¥1,607,027 418,943 36.37 50.00 1,939.92 1.87 25.42 ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ 582,990 (115,493)
Ordinary income (loss)... (128,184) (9,669) 29,287 17,788 (31,482)
(132,819) (41,215) (113,125) 176,809 77,357 7,740 8,252 8,130 7,802
10,938 ¥1,660,740 190,403 (646.08) — 871.17 (53.62) 10.78
Price earnings ratio*2 ... — — 27.76 49.33 —
¥ ¥ ¥ (131,591) ¥ ¥ ¥ ¥ ¥ ¥ ¥
Operating revenues (left) Operating income (loss) (right) Operating revenues/Operating income(loss)
(billions of yen)
700 500 300 100 0 (100) (0) (300) 0 10 20 30 0 100 200 300 400 500
2009 2010 2011 2012 2013
2009 2010 2011 2012 2013
Net assets/Shareholders’ equity ratio
Net assets Shareholders’ equity ratio
(billons of yen) (%)
GWh
2013 2012 2011 2010 2009
Other data (Non-consolidated):
Electricity sales:
Non-eligible customers
Eligible customers ... Residential ...
Electric power supply:
Generated by ...
Purchased power (net) ... Hydroelectric ... Fossil fuel ... Commercial and industrial ...
11,639 2,258 17,942 12,078 2,651 17,416 12,124 2,507 17,671 11,875 2,368 17,208 11,818 2,696 21,176 20,564 12,681 14,986
24,349
6,777 10,663 16,258 12,381
784
– 83 101 115
130
5,100 4,865 3,797 4,461
6,283
(3) (3,429) (258) (108)
(8)
(71) (46) (172) (144)
(22) 16,670
31,839 32,145 32,302 31,451
31,184
2,811 3,773 3,858 3,757
3,422
30,764 35,083 32,898 31,239
28,685
(3,951) (4,328) (3,963) (3,997)
(3,754)
31,839 32,145 32,302 31,451
31,184
Nuclear ... Renewable ...
Interchange power (net) ... Power used for pumped storage ... Transmission loss and other ...
2 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 Electricity Sales
Residential Commercial and industrial Eligible customers
(GWh) 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000
Electric Power Supply (Generated by)
Hydroelectric Fossil fuel Nuclear Renewable
(GWh)
2009 2010 2011 2012 2013 2009 2010 2011 2012 2013
30,764 31,239 32,898
35,083
Financial Review (Consolidated Basis)
Operating Performance
In the fiscal year ended March 31, 2013, operating revenue of Hokkaido Electric Power Co., Inc. Group (hereafter “the HEPCO
Group”) decreased by ¥51,449 million (−8.1%) from the previous year to ¥582,990 million on a consolidated basis. Meanwhile, operating expenses increased by ¥66,527 million (+10.5%) from the previous year to ¥698,483 million.
As a result, the HEPCO Group recorded operating loss of ¥115,493 million and net loss of ¥132,819 million.
Electric Power Segment
Electric power sales during the current fiscal year decreased by 3.0% from the previous year to 31.2 billion kWh on a consolidated
basis.
Electricity sales to residential and commercial/industrial customers decreased by 1.5% to 14.5 billion kWh, primarily due to efforts by such consumers to reduce power consumption.
Electricity sales to eligible customers decreased by 4.3% to 16.7 billion kWh, mainly due to efforts to reduce power consumption and lower demand caused by increased in-house power generation in paper/pulp and steel industries.
Operating revenue in the electric power segment decreased by ¥56,627 million (−9.2%) year on year to ¥557,792 million, primarily due to lower electric power sales and reduction of transmitted power to the main island of Honshu. Operating expenses
increased by ¥62,158 million (+10.1%) to ¥676,667 million, despite the efforts to enhance the efficiency of overall operating activities, such as raising the utilization of coal-fired thermal power plant and reducing maintenance and other expenses. This is mainly due to
an increase in thermal fuel expenses as a result of long-term shutdown of Tomari Nuclear Power Plant. Consequently, the HEPCO Group recorded operating loss of ¥118,875 million.
Other
Operating revenue from other business increased by ¥5,177 million (+25.9%) year on year to ¥25,197 million, chiefly due to
increased sales in the construction segment. Operating expenses rose by ¥4,368 million (+25.0%) from the previous year to ¥21,815 million, mainly due to increase in cost of sales in the construction segment.
As a result, operating income for other business increased by ¥808 million (+31.5%) year on year to ¥3,381 million.
Financial Position
(Assets)
As of March 31, 2013, total assets stood at ¥1,660,740 million, up ¥41,889 million (+2.6%) from the previous year. Although the
property, plant and equipment for electric utility decreased by depreciation, total assets increased mainly due to increase in construction in progress such as the Kyogoku Power Plant, and an increase in cash and deposits.
(Liabilities)
Total liabilities were ¥1,470,337 million, up ¥178,766 million (+13.8%) from the previous year, mainly due to an increase in interest-bearing debt.
(Net assets)
Net assets totaled ¥190,403 million, down ¥136,877 million (−41.8%) from the previous year, primarily due to a decrease in retained
earnings as a result of a net loss recorded.
As a result, the shareholder equity ratio decreased by 8.7 points from 19.5% of the previous year to 10.8% at the end of current
fiscal year.
Cash Flows
Cash and cash equivalents at year-end stood at ¥77,357 million, up ¥22,467 million from the previous year, including ¥1,295 million in cash and cash equivalents from newly consolidated subsidiaries.
(Cash Flows from Operating Activities)
Net cash provided by operating activities decreased by ¥148,157 million from the previous year (a net inflow of ¥106,941 million) to a net outflow of ¥41,215 million, chiefly due to the increased loss before income taxes.
(Cash Flows from Investing Activities)
Net cash used in investing activities increased by ¥5,843 million (+5.4%) from the previous year to a net outflow of ¥113,125 million, chiefly due to acquisition of property, plant and equipment.
(Cash Flows from Financing Activities)
Net cash provided by financing activities increased by ¥143,831 million (+436.2%) from the previous year to a net inflow of ¥176,809
million, chiefly due to an increase in interest-bearing debt.
Business Risk
Major risks that could affect the HEPCO Group’s financial performance are outlined below. The forward-looking statements provided here speculate on possible scenarios as of June 27, 2013. The HEPCO Group recognizes these risks and seeks to avoid them or
deal with them if they occur.
(1) Nuclear power generation
In light of the accident at Tokyo Electric Power Company’s Fukushima Daiichi Nuclear Power Plant, the HEPCO Group is committed
to enhancing safety at the Tomari Nuclear Power Plant based on voluntary measures in addition to emergency safety efforts and operation to prevent severe accidents. Voluntary measures include building a coastal levee and installing a seismically isolated
administrative command station for use in the event of an accident. The government’s review of regulations and policies regarding nuclear power generation, including the establishment of new nuclear safety standards by the Nuclear Regulation Authority, could prolong the suspension of the Tomari Nuclear Power Plant’s operations. This is expected to have various implications, including
ongoing higher fuel expenses, and to affect the HEPCO Group’s financial performance.
(2) Facility faults
The HEPCO Group works to maintain the reliability of power-generation/distribution facilities through steady implementation of
inspections/maintenance and other considerations. However, the group may incur costs in relation to the restoration of such facilities in the event of faults caused by natural disasters, mechanical failure or other influences.
(3) Institutional changes surrounding electricity business and other considerations
Future developments in power supply system reform (such as retail electricity liberalization and the separation of power generation
and transmission) and discussions on the new Basic Energy Plan at the government’s Advisory Committee for Natural Resources and Energy could affect the HEPCO Group’s financial performance.
Other factors that could influence financial performance include future developments in the area of environmental regulations concerning global warming as well as institutional reviews and cost fluctuations relating to the backend costs associated with nuclear
power generation and nuclear fuel cycle policy.
(4) Economic conditions
Prolonged economic stagnation could affect the HEPCO Group’s financial performance, as electric power sales depend on
economic and production activities.
(5) Weather conditions
The financial performance of electric utility companies is affected by temperature and other weather variables because electric power sales depend on such conditions.
Annual precipitation and snowfall could also affect the HEPCO Group’s financial performance because an excess or shortage of water could reduce or increase fuel costs. However, any related impacts on the HEPCO Group’s financial performance are expected
to be mitigated thanks to coordination efforts under reserve for fluctuation in water levels.
(6) Fuel cost fluctuations
Fuel expenses are influenced by fuel-price and exchange-rate fluctuations. Accordingly, the HEPCO Group seeks to achieve a balanced mix of power sources and diversify price fluctuation risk by using different contracting methods for fuel purchases. The
group also operates a rate adjustment system by which fuel cost fluctuations are automatically reflected in electricity rates. However, significant fuel cost fluctuations and other factors could affect the group’s financial performance.
(7) Interest-rate fluctuations
The HEPCO Group had an interest-bearing debt of ¥1,134.7 billion at the end of fiscal 2013. This could influence the group’s
financial performance depending on changes in market interest rates.
However, such influence is expected to be limited because most of the HEPCO Group’s interest-bearing debt has fixed interest
rates.
(8) Business other than electricity
The HEPCO Group engages in business activities outside the field of electric power based on prior evaluation and appropriate
management. Any deterioration of business environments and other factors could make it difficult for the group to engage in commerce as expected.
(9) Personal information management
The HEPCO Group seeks to ensure appropriate management of personal information relating to its customers and other
stakeholders based on the “Act on the Protection of Personal Information” by improving internal rules and providing employee training. However, unforeseen problems involving personal information leakage could affect the group’s financial performance.
7
Hokkaido Electric Power Co., Inc. and Consolidated Subsidiaries as of March 31, 2013 and 2012
Millions of yen
ASSETS 2013 2012 2013
Noncurrent assets ... ¥1,480,925 ¥1,483,229 $15,754,521
Electric utility plant and equipment (Notes 5 and 6) ... 1,040,508 1,057,514 11,069,234
Hydroelectric power production facilities ... 109,283 109,918 1,162,585
Thermal power production facilities ... 92,712 95,876 986,297
Nuclear power production facilities... 257,075 280,826 2,734,840
Transmission facilities ... 178,361 179,846 1,897,457
Transformation facilities... 80,506 80,796 856,446
Distribution facilities... 271,852 269,319 2,892,042
General facilities ... 42,259 37,148 449,563
Other electric utility plant and equipment ... 8,456 3,780 89,957
Other noncurrent assets (Notes 5, 6 and 7) ... 53,522 46,539 569,382
Construction in progress... 153,255 143,692 1,630,372
Construction in progress... 153,073 143,540 1,628,436
Retirement in progress ... 181 151 1,925
Nuclear fuel ... 111,625 95,517 1,187,500
Loaded nuclear fuel ... 7,891 18,648 83,946
Nuclear fuel in processing ... 103,733 76,869 1,103,542
Investments and other assets... 122,014 139,966 1,298,021
Long-term investments ... 47,264 50,784 502,808
Deferred tax assets（Note18）... 7,408 6,636 78,808
Other... 67,443 82,656 717,478
Allowance for doubtful accounts... (102) (111) (1,085)
Current assets... 179,814 135,621 1,912,914
Cash and deposits（Note12）... 77,357 53,593 822,946
Notes and accounts receivable-trade ... 43,378 37,821 461,468
Inventories ... 45,063 36,013 479,393
Deferred tax assets (Note 18) ... 1,739 1,165 18,500
Other... 12,850 7,714 136,702
Allowance for doubtful accounts... (574) (686) (6,106)
Total Assets... ¥1,660,740 ¥1,618,850 $17,667,446
See notes to consolidated financial statements.
Consolidated Balance Sheets
8 Millions of yen
LIABILITIES AND NET ASSETS 2013 2012
Thousands of U.S. dollars (Note 1)
2013
See notes to consolidated financial statements.
Noncurrent liabilities... ¥1,184,361 ¥1,043,372 $12,599,585
Bonds payable (Notes 7 and 14)... 524,127 529,124 5,575,819
Long-term loans payable (Notes 7 and 14)... 448,673 299,621 4,773,117
Provision for retirement benefits (Note 17)... 46,706 50,660 496,872
Provision for reprocessing of irradiated nuclear fuel ... 65,874 70,875 700,787
Provision for reprocessing of irradiated nuclear fuel without specific plans ... 8,183 7,827 87,053
Asset retirement obligations (Note 19)... 82,407 79,439 876,670
Deferred tax liabilities (Note 18) ... 897 547 9,542
Other ... 7,490 5,274 79,680
Current liabilities... 269,204 232,840 2,863,872
Current portion of long-term debt (Notes 7 and 14)... 109,292 74,293 1,162,680
Short-term loans payable (Note 14)... 53,020 48,700 564,042
Notes and accounts payable-trade... 44,496 39,260 473,361
Accrued taxes... 8,466 10,543 90,063
Provision for loss on liquidation of subsidiaries and affiliates... − 1,863 −
Deferred tax liabilities (Note 18) ... 69 23 734
Other ... 53,859 58,155 572,968
Reserves under the special laws... 16,771 15,357 178,414
Reserve for fluctuation in water levels... 16,771 15,357 178,414
Total liabilities... 1,470,337 1,291,570 15,641,882
Net assets (Note 1)：
Shareholders’ equity... 176,967 314,932 1,882,627
Common stock ... 114,291 114,291 1,215,861
Capital surplus... 21,174 21,174 225,255
Retained earnings ... 59,645 197,609 634,521
Treasury stock... (18,144) (18,142) (193,021)
Accumulated other comprehensive income... 2,122 1,342 22,574
Net unrealized gains on available-for-sale securities ... 2,122 1,342 22,574
Minority interests... 11,312 11,005 120,340
Total net assets... 190,403 327,280 2,025,563
9
Consolidated Statements of Operations
Thousands of Millions of yen U.S. dollars (Note 1)
2013 2012 2013
See notes to consolidated financial statements.
Hokkaido Electric Power Co., Inc. and Consolidated Subsidiaries Fiscal years ended March 31, 2013 and 2012
Operating revenues... ¥582,990 ¥634,439 $6,202,021
Electric utility operating revenue ... 557,792 614,419 5,933,957
Other business operating revenue ... 25,197 20,019 268,053
Operating expenses (Note 9)... 698,483 631,956 7,430,670
Electric utility operating expenses ... 676,667 614,509 7,198,585
Other business operating expenses... 21,815 17,446 232,074
Operating income (loss)... (115,493) 2,482 (1,228,648)
Non-operating income... 5,814 4,213 61,851
Dividends Income... 505 456 5,372
Interest income... 1,090 1,079 11,595
Equity in earnings affiliates... 372 890 3,957
Other ... 3,846 1,787 40,914
Non-operating expenses... 18,505 16,365 196,861
Interest expenses ... 15,080 14,068 160,425
Other ... 3,425 2,297 36,436
Ordinary revenue... 588,804 638,653 6,263,872
Ordinary expenses... 716,989 648,322 7,627,542
Ordinary income (loss)... (128,184) (9,669) (1,363,659)
Provision or reversal of reserve for fluctuation in water levels... 1,413 4,895 15,031
Provision of reserve for fluctuation in water levels ... 1,413 4,895 15,031
Income (loss) before income taxes ... (129,598) (14,565) (1,378,702)
Income taxes-current... 2,296 1,768 24,425
Income taxes-deferred ... 477 55,382 5,074
Total income taxes (Note 18)... 2,774 57,150 29,510
Income (loss) before minority interests... (132,373) (71,716) (1,408,223)
Minority interests in income... 446 350 4,744
Consolidated Statements of Comprehensive Income
Thousands of Millions of yen U.S. dollars (Note 1)
2013 2012 2013
Hokkaido Electric Power Co., Inc. and Consolidated Subsidiaries Fiscal years ended March 31, 2013 and 2012
10 Income (loss) before minority interests... ¥(132,373) ¥(71,716) $(1,408,223)
Other comprehensive income...
Net unrealized holding gain (loss) on available-for-sale securities ... 781 (1,319) 8,308
Share of other comprehensive income of associates accounted
for using equity method ... − (0) −
Total other comprehensive income (Note 10) ... 781 (1,319) 8,308
Comprehensive income... (131,591) (73,036) (1,399,904)
Comprehensive income attributable to:
Comprehensive income attributable to owners of the parent ... (132,038) (73,408) (1,404,659)
Comprehensive income attributable to minority interests ... 447 372 4,755
See notes to consolidated financial statements.
