In the TEPCO Group, business risks and opportunities are assessed/analyzed by committees headed by the President on the executive side. The results of these discussions/assessments by each committee are leveraged when making decisions about key business issues, etc., and discussed/reported to the Board of Directors.

Committee Configuration

Risk Management Committee

Chair President
Vice chair Vice President (CFO), Vice President (Personnel)
Members Vice President (Business Planning), CIO, Disaster Prevention and Safety Managing Executive Officer, Accounting Managing Executive Officer, ESG Managing Executive Officer, CDO, Fukushima Revitalization Headquarters Representative, Niigata Headquarters Representative, Nuclear Power and Plant Siting Division General Manager, core company presidents

Future Management Committee

Chair President
Members Chairman, Vice President (CFO), Nuclear Power and Plant Siting Division General Manager, Business Planning Executive Officer/Director, Auditors, core company presidents
Secretariat Vice President (Business Planning)

ESG Committee

Chair President
Vice chair Vice President (CFO), ESG Managing Executive Officer
Members Vice President (Business Planning), Vice President(Personnel), CIO, Disaster Prevention and Safety Managing Executive Officer, Accounting Managing Executive Officer, Business Planning Executive Officer, core company presidents

Risk Management Committee

The Risk Management Committee was established for the purpose of centralizing management of the TEPCO Group’s risks, and formulating measures to address each risk scenario analysis. In consideration of the status of countermeasure implementation and changes to our business environment, the Committee revises risks scenarios, etc., as suitable and when needed. In the TEPCO Group, each entity identifies risks and a total of 3,000 risks have been identified. Of these, approximately 50 risks have been identified as having the potential to greatly impact the Group, and the Committee is in the process of assessing and analyzing these risks. The results of these assessments and analyses not only help to avoid risks, but also mitigate damage through initial responses when the risks manifest, and serve as important handling policies when the Group goes into crisis management mode. Furthermore, six subcommittees have been established within this Committee to concentrate on specific issues under the supervision of a managing executive officer who has been appointed chair and is responsible for the subcommittee.

During FY2020, measures to address tight supply and demand were implemented as measures to address supply stability issues.

Six Subcommittees

 Disaster Prevention, Nuclear Disaster Prevention, Decommissioning Disaster Prevention, Supply and Demand, Data System Security, Utility Equipment

Example of FY2020 Achievements

Key Risks Response
Large-Scale Blackouts
(for addressing tight supply and demand)
Measures to address tight supply and demand caused by low LNG reserves in January 2021 were implemented. Although there was the potential for the need to implement rolling blackouts if supply capability countermeasures were not implemented, appropriate measures were implemented based upon supply and demand emergency countermeasures thereby preventing hindrances to the power supply, such as rolling blackouts and large-scale power outages.

Future Management Committee

As the environment surrounding the energy industry experiences long-term changes, the Future Management Committee points the direction of the Group’s businesses and issues that need to be addressed by the entire Group in order to identify not only risks, but also opportunities that will enable our business to grow into the future.

During FY2020 the Committee met a total of five times to discuss future energy ventures that shall improve revenue and also the state of the foundation of the Group’s business that supports these ventures.

Example of FY2020 Achievements

Objectives To develop a business portfolio that maintains competitive superiority through the expansion of new businesses and the selections/strengthening of existing businesses, in order to create an earnings foundation capable of producing ¥450 billion in consolidated profits in the long-term.
Achievements Renewable energies, mobility electrification, data/communications, and overseas [projects] were identified as key new business areas, and a debate over how to further secure profits ensued.
Going forward The Carbon Neutral Challenge Task Force established within the Future Management Committee shall discuss the transition to a business model that provides new value based on carbon neutrality and measures for reincarnation into a “company that creates value for the customer.”

Example of Discussion Topics (overseas projects)

Topic The current status of overseas projects and Group policies for promoting overseas projects
Discussion Summary
  • The TEPCO Group is leveraging the technical prowess and know-how it has cultivated through the domestic power industry to promote projects overseas.
  • Discussions were held on company structures for engaging in overseas projects, project management, and the further development of functions for supporting the promotion of projects.

ESG Committee

The ESG Committee was established in January 2019 for the purpose of identifying and discussing issues related to ESG and sustainability that management should address, and promoting management decisions about these issues.

In FY2019, ESG business strategies were compiled and reported to the Board of Directors. This strategy is comprised of Defensive ESG that aims to improve ESG management assessments through better coordination with ESG rating agencies, evolution of the integrated report and engagement with financial stakeholders, and Offensive ESG that aims to solve social issues while simultaneously promoting the development of a business model that will lead to improved earnings. During FY2020, discussions focused primarily on initiatives aims to achieve mid/long-term CO2 reduction targets.

Examples of FY2020 Achievements to Date

Topic Discussion Summary
Defensive ESG
(business assessment improvements)
  • TEPCO ESG issues were identified and organized through coordination with each ESG rating agency, and it was decided that initiatives to respect human rights based on international norms should be strengthened.
Offensive ESG
(ESG business model)
  • TEPCO Holdings, Inc. should play the role of supervising and coordinating core companies and group companies as they develop ESG-related businesses while assessing the needs of customers/society.
CO2 Reduction Targets
  • Discussions were held about the TEPCO Group’s FY2030 target (50% reduction in FY2013 CO2 emissions originating from the sale of power (Part of Scope 3 Emissions)) and setting targets for 2050.
  • As the world dramatically changes it is important to have 2050 carbon neutrality targets, but it is also important to lay out how the TEPCO Group will contribute to achieving a carbon neutral society.
  • When examine carbon neutrality scenarios for 2030 and 2050, we need to discuss the measures and conditions on which success will depend. Technical development and market forecasts should be detailed as much as possible.

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