Itochu, partners to build 37-MW solar park

Dec 8, 2014 - Japan’s Itochu Corp (TYO:8001) said today it will take part in a consortium that will build a 37-MW solar park in the southern part of the Asian country.

Itochu’s partners in the project will be domestic firms Fuyo General Lease Co Ltd (TYO:8424) and Ene One Solar Co. The joint venture will be 50%-owned by Itochu, while its partners will own 25% each. The parties have already struck a loan agreement with a group of lenders led by Japan’s Mizuho Bank Ltd. Toshiba Corp (TYO:6502) will serve as engineering, procurement and construction (EPC) contractor.

The photovoltaic (PV) facility will be situated in Okayama prefecture, Honshu island, and is scheduled for commissioning in December 2016. When up and running, the plant is expected to produce about 43 million kWh of electricity per year, or enough to supply nearly 7,600 local homes. Its output will also help save about 26,000 tonnes of carbon dioxide (CO2) emissions annually, the developers calculate.

Chugoku Electric Power Co (TYO:9504) has agreed to buy the generated electricity under a 20-yer power purchase agreement.

The 37-MW scheme will help Itochu lift its installed renewable energy capacity to about 480 MW, it noted.

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