Kobe power station

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Kobe power station (神戸発電所) is an operating power station of at least 2700-megawatts (MW) in Kobe Wire Rod & Bar Plant, Kobe, Hyogo, Kansai, Japan. It is also known as Kobo Works, Shinko Kobe power station.

Location

Table 1: Project-level location details

Plant name Location Coordinates (WGS 84)
Kobe power station Kobe Wire Rod & Bar Plant, Kobe, Hyogo, Kansai, Japan 34.703167, 135.239426 (exact)

The map below shows the exact location of the power station.

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Unit-level coordinates (WGS 84):

  • Unit 1, Unit 2, Unit 3, Unit 4: 34.703167, 135.239426

Project Details

Table 2: Unit-level details

Unit name Status Fuel(s) Capacity (MW) Technology Start year
Unit 1 operating coal: unknown 700 supercritical 2002
Unit 2 operating coal: unknown 700 supercritical 2004
Unit 3 operating coal: unknown 650 ultra-supercritical 2022
Unit 4 operating coal: unknown 650 ultra-supercritical 2023

Table 3: Unit-level ownership and operator details

Unit name Owner Parent
Unit 1 Kobelco Power Kobe Inc [100%] Kobe Steel Ltd
Unit 2 Kobelco Power Kobe Inc [100%] Kobe Steel Ltd
Unit 3 Kobelco Power Kobe 2 Inc [100%] Kobe Steel Ltd
Unit 4 Kobelco Power Kobe 2 Inc [100%] Kobe Steel Ltd

Project-level captive use details

  • Captive industry use (heat or power): power
  • Captive industry: Iron & Steel


Financing

  • Source of financing: 2018 - US$2,155.49 million in debt from Mizuho Financial Group, Development Bank of Japan, Mitsubishi UFJ Financial Group, and Sumitomo Mitsui Banking Corporation[1]

Background

Kobe power station was originally just a 2 x 700 MW supercritical coal plant in Kobe. It is owned by Kobe Steel, which established Shinko Kobe Power in August 2001 as an initiative of its electric power supply business. Unit 1 began operation in April 2002, followed by Unit 2 in April 2004. In April 2016, Kobe Steel changed the name of Shinko Kobe Power to Kobelco Power Kobe. All generated power is supplied to Kansai Electric Power Co.[2]

Expansion

In 2014, Kobe Steel proposed a coal-fired power station of up to 1,400 MW to power its steelworks factory in the city of Kobe. The company said construction was planned to begin in 2017 and operation in 2021-22.[3][4]

In December 2014, the Japan trade ministry listed the units as 650 MW each, or 1,300 MW total, with a planned operation between 2021-2023.[5]

In February 2015, Kobe Steel announced that it was the winning bidder for the tender to supply electricity to Kansai Electric Power. The 1,300 MW power station would be constructed within Kobe Works, on land made available after its No. 3 Blast Furnace was shut down in November 2017.[6]

In October 2017, the Hyogo government suspended the environmental impact assessment (EIA) for the plant in the wake of Kobe Steel admitting it had falsified certifications on the strength and durability of its metals for at least a decade. No date has been set to resume the EIA process. The Hyogo prefecture does not have the power to stop the project, but its environmental assessment could weigh on an approval from central government.[7]

In March 2018, Japan's environment minister said construction of the plant should not be approved without substantive plans to lessen its greenhouse gas emissions. The environment ministry was expected to convey the opinion to the industry ministry, which would make the final decision on whether to permit construction of the plant.[8]

The EIA was resubmitted in May 2018, and the plant was under construction that year.[9] Kobe Steel created a new company to build and operate the plant, Kobelco Power Kobe No. 2, Inc.[10]

In May 2021, Unit 3 finished its construction and progressed further with the firing of its boiler. The original plans were to fire the boiler in mid-April 2021, but Kobe Steel had made no official announcement regarding this change in schedule. It was aiming to begin commercial operation after the trial operation, by January or February 2022.[11] The unit was commissioned by February 1, 2022.[12]

According to Beyond Coal Japan, initial firing of Unit 4 started in April 2022. Trial operation was slated for July 2022.[13] The unit went online in February 2023.[14]

Expansion Financing

In August 2018, the project reached financial closure after it secured US$2,155.49 million in loans from Mizuho Financial Group, Development Bank of Japan, Mitsubishi UFJ Financial Group, and Sumitomo Mitsui Banking Corporation.[1]

Opposition

Lawsuit to shut down Units 1 and 2, and block Units 3 and 4

On September 14, 2018, 31 families living mainly in Kobe City took legal action against Kobe Steel, seeking a court injunction to stop operation of Units and 1 and 2 and construction of Units 3 and 4. The plaintiffs described themselves as “three generations of citizens” and described the lawsuit as “next-generation litigation” to pass on a planet to future generations free of the ravages of climate change.[15][16]

The specific rationales given for the injunction by the Citizens’ Committee on the Kobe Coal-Fired Power Plant are as follows:[16]

  • Construction and operation of the coal-fired power plant would illegally violate the moral rights of plaintiffs, specifically the right to clean air and a healthy and clean environment
  • Operating the plant is inconsistent with Japan’s climate targets for 2030 and 2050
  • The plant is near residential areas where regulated air pollution and air quality standards are already being violated.
  • Construction of the new units is unnecessary, as the electrical system already has enough capacity to supply electricity in the Kansai region.
  • No consideration was given to alternatives with lower environmental impacts, and the plan includes no carbon capture and storage (CCS) technology.


In March 2021, the Osaka District Court dismissed the lawsuit, allowing construction to proceed. The plaintiffs had argued that Kobe Steel should have studied the impact of pollution particles smaller than 2.5 micrometers in diameter that will be emitted by the new units. The court ruled that Kobe Steel opting out of such a study was "not unreasonable" on the grounds that the effects of such particles have not been established. Plaintiff also argued that Kobe Steel should have considered other fuels besides coal but the court found they were not obliged to do so.[17]

In July 2021, Japan Beyond Coal reported that the power station was moving forward despite ongoing court cases:[11]

"The construction of Kobe Coal-fired Power Plant Units 3-4, is currently being disputed in two trials: a civil lawsuit seeking an injunction of these plants is still ongoing in the Kobe District Court, and an administrative lawsuit urging a cancellation of the final notice the government approved for the environmental impact assessment (EIA) that has moved to an appeals court. Although Kobe Steel has committed to the challenge of carbon neutrality in its mid-term management plan, it is still currently preparing for the operation of Units 3 and 4 (scheduled to begin commercial operation in FY2022), and is planning to maintain the operation of its coal-fired power plants even in 2030."

In March 2023, Japan Beyond Coal reported that two court cases related to the units concluded, and provided more details about the case. Neither decision granted the plaintiffs’ injunction request against the operation of the new coal-fired power units. Regarding the civil lawsuit, the plaintiffs were planning to appeal, and the case was expected to move from the Kobe District Court to the Osaka High Court.[18]

Citizen statement

In 2021, local citizen group No Coal Kobe, which has been working to stop the power plant, sent a statement of protest to the presidents of operators Kobe Steel and Kobelco Power Kobe No. 2.[11][19]

Articles and Resources

References

  1. 1.0 1.1 "Preview of Kobe Coal-Fired Power Plant (1300MW) | Transaction | IJGlobal". ijglobal.com. Retrieved September 21, 2020.
  2. "Power Plant Overview," Kobelco, accessed November 2017
  3. "神戸製鉄所での石炭火力発電所の増設について," 株式会社神戸製鋼所, 2014/4/25
  4. “Operation and Construction Plans of Coal-Fired Thermal Plants in Japan,” Kiko Network, October 17, 2014
  5. "Construction plans for Japan's coal power stations," Reuters, December 11, 2014
  6. "Acceptance of Kobe Steel’s bid for thermal power supply tender," KOBELCO, February 16, 2015
  7. Yuka Obayashi, "Citing data scandal, local government delays Kobe Steel coal plant assessment," Reuters, October 17, 2017
  8. "Minister: Coal-fired thermal plant not acceptable," NHK World, March 22, 2018
  9. "Kobe Power Plant No.3," Kiko Net, accessed November 2018
  10. "Financing of electric power supply business in Kobe, Hyogo Prefecture," Kobelco, August 31, 2018
  11. 11.0 11.1 11.2 "Despite ongoing court cases, Kobe Steel’s Coal-fired Power Plant Unit 3 fires up boiler," Japan Beyond Coal, July 28, 2021
  12. "株式会社コベルコパワー神戸第二 神戸発電所3号機の営業運転開始について," Kobelco, February 1, 2022
  13. "[Database Update Latest status of coal-fired power plants (June 1, 2022),"] Beyond Coal, June 1, 2022
  14. "Kobelco Power Kobe No. 2 Inc. begins commercial operation of No. 4 unit at Kobe Power Plant," Kobe Steel, Ltd., February 1, 2023
  15. "Lawsuit filed against Kobe Steel and a Group company," Kobelco, Oct. 3, 2018
  16. 16.0 16.1 "Kobe coal lawsuit," Citizens’ Committee on the Kobe Coal-Fired Power Plant, accessed February 2020
  17. "Residents near coal-fired plant lose lawsuit over plan to add units," The Asahi Shimbun, March 16, 2021
  18. "Judicial decision on Kobe coal-fired power stations: Japan lacks urgency on the climate crisis," Japan Beyond Coal, April 24, 2023
  19. "神戸発電所3号機の試運転開始への抗議文を送付," kobesekitan, May 8, 2021

Additional data

To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.