Trust Recovery Growth Vitalization - Marubeni

Strategy by Business Segment
Plant, Power & Infrastructure Projects
Division
✔
Aiming for further growth as a comprehensive project
solution provider
In the fiscal year ended March 31, 2005, Marubeni enhanced its leadership as a
comprehensive solution provider for public utilities and infrastructure projects,
which include one of the world’s largest independent water and power project
in Abu Dhabi, UAE. We have integrated our strengths in the infrastructure and
power plant fields and we are driving for further growth as a comprehensive
project solution provider. At the same time, we are building on our strategic
initiative in market development and our broad range of services and expertise
in marketing, financing and risk management.
Division Strategies and Strengths
In overseas power plant projects, the division has accumulated
expertise in Engineering, Procurement and Construction (EPC)
projects with an aggregate capacity of about 69,000MW since
1960, and proudly maintains a competitive advantage within the
industry. Moreover, in Independent Power Producer (IPP) operations,
the division has developed and acquired power plant assets
with a gross capacity of 6,400MW. In 2005, the division is set to
transfer to and unify most of its power plant assets under the
management of a holding company. At the same time, the division
is driving forward its growth strategy by acquiring, investing in and
developing outstanding IPPs.
In domestic power-related business concerns, the division
took advantage of industry deregulation to sell electricity as a
Power Producer and Supplier (PPS). Today, the division supplies
electricity to 45 users with an aggregate capacity of about
100,000kW. The division plans to expand the scale of its retail
power business as deregulation is extended to all high-voltage
power consumers in 2005. Moreover, the division is developing
wind power projects as renewable portfolio standards (RPS) and
now holds an aggregate capacity of 70,000kW. Meanwhile, sales
of molten carbonate fuel cells produced by U.S.-based FuelCell
Energy, Inc. are on track for further growth. In August, 2004,
Fuel Cell Japan, Co., Ltd. was established to increase after-sales
services targeting customers.
Mamoru Sekiyama
Corporate Senior Vice President, COO
In railway and transport projects, the division’s competitive
advantages include the ability to construct railway systems on a full
turnkey basis. In addition, the division focuses on the offshore
trading of transportation-related EPC projects such as airports,
ports and harbors, bridges, and roads. Besides governmentally
funded projects, the division is undertaking the operation of infrastructure
under Public Private Partnership (PPP) schemes and the
operation and maintenance services for railway systems.
In the area of environment infrastructure, wide-ranging activities
targeting total delegated water management service contracts in the
public-sector water/wastewater market have been promoted nationwide
in Japan by Jenets Co., Ltd., providing water bill collection and
meter inspection services. In the overseas market, the division has
had substantial successes in water and wastewater on a Build-Own-
Transfer (BOT) basis; among them a water treatment plant in China
and an industrial wastewater treatment project in Mexico. These
exemplify the kinds of projects through which the division hopes to
actively enlarge its activities in the future.
In the plant business covering oil and gas, other natural
resources, steel and cement, the division not only has relationships
with a high degree of trust with first-class partners, but also has a
high level of expertise in fields such as structured finance and risk
management. Enhancing its broad range of functions and expertise,
the division creates a value chain that is horizontally integrated
among different divisions in Marubeni and provides customers with
more value-added services.