March 22, 2017 / 1:11 AM / 8 months ago

Japan's Tepco set to announce revised business plan: media

TOKYO (Reuters) - Tokyo Electric Power Co (Tepco) (9501.T) will announce the main points of a revised business restructuring plan on Wednesday, Japanese media reported, as it looks to speed reforms and boost earnings to meet the costs of the Fukushima nuclear disaster.

File photo: The logo of Tokyo Electric Power Co (TEPCO) is pictured at the Energy Market Liberalisation Expo in Tokyo, Japan, March 2, 2016. REUTERS/Toru Hanai

The plan would likely involve an expansion of Tepco’s business overseas to help it earn 500 billion yen ($4.5 billion) in annual profits in coming decades to pay for decommissioning and compensation related to the 2011 disaster, the Nikkei business daily said.

A Tepco spokesman said the company has not yet set a schedule for announcement.

The plan would also aim to combine the domestic fossil fuel plants of Tepco and Chubu Electric Power Co (9502.T) under their joint fuel venture JERA Co, the Sankei newspaper said, in line with recommendations by the trade ministry’s committee on Tepco reform.

Tepco and Chubu Electric have said they plan to make a final decision on whether to merge their fossil fuel plants by around May 2017.

Japan’s government in December nearly doubled its projections for costs related to the Fukushima disaster to 21.5 trillion yen ($192 billion), increasing pressure on Tepco to step up reform and improve its performance.

Reporting by Osamu Tsukimori; Editing by Richard Pullin

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