Nippon Gas invests in smart energy company COzero

Japan’s Nippon Gas has invested into Australian smart energy company COzero Holdings. COzero provides energy management solutions to help commercial businesses and industries save money on energy.

For 60 years, Nippon Gas focused on the delivery of LPG and LNG to over one million customers in the Greater Tokyo (Kanto) retail market. But due to the catastrophic earthquake and subsequent nuclear power station shutdowns in 2011, Japan has been suffering from electricity shortages and increased fossil fuel costs, resulting in substantially increased electricity and gas prices.

Nippon Gas anticipates full deregulation of the Japanese electricity sector by 2016, with the gas sector to follow simultaneously or shortly after. This situation, and the country’s need to mitigate energy usage, may provide many opportunities for Australian companies with innovative energy management products and services.

The president and CEO of Nippon Gas, Shinji Wada, said, “We believe that COzero’s smart energy management technologies will be successful in Australia and may directly translate to the Japanese market and other markets around the world.

“Deregulation in the Japanese energy market would allow Nippon Gas to offer a broader range of products and utilise COzero’s technologies in new and valuable ways.

“COzero has a strong track record, innovative offering and a professional management team which should set the business up strongly for future growth. We are looking forward to working closely with the group moving forward.”

COzero CEO and Founder Nicholas Armstrong expects the partnership “to help COzero successfully conclude the rollout of various new energy management technologies and systems - which we believe are world leading”.

He added, “This partnership will also give us access to Nippon’s expertise and Japanese technologies, which may have value in the Australian market.”

COzero was ranked BRW’s fastest growing company of 2011, achieving average annual revenue growth of 604% for the three years to June 2011. Nippon Gas invested an undisclosed sum for 16% of the company.