Full liberalization of the electricity market

In the past, the electricity used in homes and businesses was sold only by the monopolistic power company in each region (Tokyo Electric Power Company, Kansai Electric Power Company, etc.), and families and businesses were not able to choose which company to buy their electricity from.

Beginning from April 1, 2016, full liberalization of new entries into the retail electricity business will allow families, shops, and all consumers to choose freely from a variety of power companies and price menus.
This means that you will be able to freely choose the electricity retailer and services that are best for your lifestyle and values.

History behind liberalization of the electricity market

Liberalization of the electricity market has already been carried out for factories and other large-scale consumers.
The first market liberalization began from March 2000. As the first step, large-scale factories, department stores, and office buildings in the "extra-high voltage" category became able to choose their power company without restrictions, and it also became possible to buy electricity from new Power Producer & Supplier companies that entered the market.
Then in April 2004 and April 2005, the market liberalization system was gradually expanded to small and medium-sized factories and buildings in the "high voltage" category.
Finally on April 1, 2016, homes and shops in the "low voltage" category will also be able to choose their power company.

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Process of full electricity market liberalization

Advance applications related to "full liberalization of the electricity market" for homes and shops are being accepted beginning from January 2016, and the system will take effect beginning from April 2016.
* Customers who do not take any particular action by April 2016 will continue to receive power supplied from the contracted regional power company in the same way as before.

Advance applications for switching your power company or price menu are being accepted beginning from January in the new year.

* New pricing plans and service contents will be announced by the new power company or regional power company as they become available.

* The time when advance change applications are first accepted varies depending on the company.

Full liberalization of the electricity market

* From this time, it is possible to change to the new pricing plans or services of the new power companies or regional power companies.

* For consumer protection, the current ordinary price menu (price menu subject to government restrictions) will continue to be offered by the local power companies until competition has been sufficiently developed (at least until March 2020).