Chugoku Electric Power Company (Chugoku EPCo), headquartered in Hiroshima Prefecture, announced on August 28, 2019, that it will revise the electricity rates for seven of its electricity plans, starting from April 1, 2020. Revisions are planned for the “Time-of-Use Plan,” “Family Time Plan,” “Peak Shift Plan” and “Midnight Power Plan,” among others.
Since 1966, Chugoku EPCo has set its nighttime electricity rates at affordable prices to encourage nighttime electricity consumption. However, in recent years, Chugoku EPCo has seen a change in customers’ electricity usage patterns, leading to increasing nighttime electricity demands along with reduced daytime demand. The change reflects the expansion of solar power generation and the progress of energy efficiency. As a result, it has become more costly to generate electricity for nighttime use. In response, Chugoku EPCo will raise the nighttime electricity rate by 2.99 yen per 1kWh, while lowering the daytime rate[1].