Tokyo to Save 190 Million Yen Annually by Switching to New Electricity Producers, Suppliers

Roka High School, one of TMG facilities using power from new PPSs
Image by Nemo's great uncle. Some Rights Reserved.

The Tokyo Metropolitan Government (TMG) announced on August 16, 2013, that it was choosing new power producers and suppliers (PPSs) for its supply of 54,976 kilowatts of electricity it uses each year at 271 TMG facilities, which are under the jurisdiction of the Bureau of Construction, the Bureau of Industrial and Labor Affairs, the Bureau of Waterworks, and the TMG Education Bureau. With the switch, the number of TMG facilities using power from new PPSs increased to 304 on October 1, 2013, up from only 30 in April.

The TMG expects that it will be able to reduce its electricity bill by 190 million yen (about U.S.$18.62 billion) a year, compared with the estimated cost of electricity it would pay under its previous power purchase agreement with Tokyo Electric Power Co.

The TMG is promoting electricity purchase from new PPSs, including signing multiple power purchase agreements, to not only save money but also to encourage revitalization of the electricity market.