Overview of the Chugoku Electric Power Group Corporate Vision 2040

We have established our desired outcomes for FY 3/2041, and have set management targets and materiality (priority initiative themes) to bring these outcomes to fruition.

Overview of the Chugoku Electric Power Group Corporate Vision 2040

Our Desired Outcomes

We have set our desired outcomes for FY 3/2041.
Founded in the trust of our stakeholders, the Chugoku Electric Power Group will meet their expectations and maximize our corporate value by continuously building greater economic and social value through our business activities.

Content of Our Desired Outcomes

Management Targets (Financial Targets)

We have set our financial targets toward FY 3/2041 with the aim of achieving sustainable growth with high capital profitability and a stable financial base.
Through FY 3/2031, we will steadily increase profits while controlling asset and liability growth even as we invest in Shimane Unit 3^*1 and the new Yanai Power Station Unit 2^*2 for future growth, transforming to a sound financial structure.

*1 Shimane Nuclear Power Station Unit 3  *2 Replacement of Unit 2 at Yanai Power Station

Content of Management Targets (Financial Targets)

• Note 1: All financial targets are on a consolidated basis.
• Note 2: WACC for FY 3/2026 is expected to be approximately 1.6%. WACC for FY 3/2031 is assumed to be just under 3%.

Management Targets (Sustainability Targets)

To achieve sustainability for the Chugoku Electric Power Group, we have set sustainability targets from an ESG perspective.
Each Group company will set targets in the Group Medium-term Management Plan and work toward achieving the Group's goals.

Content of Management Targets (Sustainability Targets)

Materiality

We have set 4 materialities as priority initiative themes to realize our desired outcomes. We will address the major issues corresponding to these materialities in the Group Medium-term Management Plan.

Content of Materiality and Major issue

The World We Seek in the Chugoku Electric Power Group Corporate Vision 2040

The Chugoku Electric Power Group has technology, experience, and expertise cultivated over many years with the support of customers and local residents. We see the current trend of increasing demand for electricity and growing needs for decarbonization as an opportunity for the Chugoku Electric Power Group to grow. Therefore, we will support energy in the Chugoku region and further strengthen our business foundation by shifting our business model while staying close to the issues faced by our customers and those in the community, and by creating new services through the ingenuity of our employees. Furthermore, we will leverage our strengths to grow outside the Chugoku region and overseas.
Through co-creation with Group companies and external partners, including local governments, we will develop businesses to solve regional and social issues such as regional GX, resilience improvement, and digital evolution. The Chugoku Electric Power Group is committed to maximizing corporate value by improving the social and economic value of the Group through contributing to the revitalization and sustainable development of local communities and society.

Concept illustration of The World We Seek in the Chugoku Electric Power Group