Corporate Information

Press Release (Aug 20,2007)
Execution of the Heads of Agreement to develop Paiton III coal-fired power plant expansion project
The Tokyo Electric Power Company, Inc. ("TEPCO") hereby announces
that PT Paiton Energy ("PE"), a project company of the Paiton I
coal-fired power plant project, jointly owned by IPM Eagle LLP
(a partnership of International Power plc and Mitsui & Co., Ltd
("Mitsui")), Mitsui, PT BHP and TEPCO, was awarded the exclusive
right to negotiate the Power Purchase Agreement (the "PPA")
regarding the Paiton III coal-fired power plant expansion project
(the "Project") and signed the Heads of Agreement (the "HOA")
between PE and Indonesia's state-owned power company, PLN, today.

In order to meet an increasing demand for electricity in Indonesia,
PLN announced the limited tender to develop the Project in February
2007. After the bid submission, PLN granted PE the exclusive right
to negotiate.

The Project is to build, own and operate an approximately 800MW
new coal-fired power plant at the Paiton Complex located about
150 km southeast of Surabaya. The electricity generated will be
sold to PLN under a 30-year PPA, which will commence after
the commercial operation date.

TEPCO started the IPP business in Indonesia as the first Japanese
electric power company in June 2005 and considers that the Project
will enhance stable return on the investment through the long-term
PPA. TEPCO also considers that TEPCO's participation in the Project
will improve an implementability of the Project through utilizing
its technical expertise and know-how accumulated in its power business
and will contribute further to the development of Indonesia's
power sector.

Along with the activities in Indonesia, TEPCO will seek further
growth and expansion through its international activities.

Appendix:Outline of the " Paiton III Expansion Project "(PDF 101KB)
Reference:Indonesia Electric Overview(PDF 55.0KB)

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