The Nikko Electric Railway Co. opened an 8 km line electrified at 600 V DC to Iwanohana between 1907 and 1913, and extended it 2 km to Umakae (approximately 300 m higher than Nikko) in 1931 to connect to a 1.2 km funicular railway that climbed 428 m which opened in 1932. In 1944, electric locomotives began hauling copper ore on the line. Freight tonnage decreased 25% between 1964 and 1966, and passenger numbers decreased by 17% over the same period, resulting in the line closing in 1968. The funicular railway closed in 1970.