(SeeNews) - Dec 26, 2014 - Japanese firm JFE Engineering said yesterday it has won a contact, as part of a consortium, to build a JPY-14.8-billion (USD 123m/EUR 101m) biomass plant in central Japan.
The company, part of JFE Holdings Inc (TYO:5411), local builder Kajima Corp (TYO:1812) and two other partners secured the order from the city of Toyohashi in Aichi prefecture. Under its terms, they will form a new company that will construct and operate the biomass station. JFE will hold 60% in the joint entity.
Financial details on the engineering, procurement and construction (EPC) deal were not disclosed.
The biomass plant will use sewage and food waste to produce electricity. Its output will be sold under Japan’s renewable power feed-in tariffs (FiTs).
The Asian country launched its FiT scheme in the summer of 2012, in a bid to boost the use of renewables and reduce its dependence on nuclear energy. Between July 2012 and end-April 2014, Japan has added 90 MW of biomass power capacity, according to statistics by the Agency for Natural Resources and Energy (ANRE) from August.
In September, JFE unveiled an order to build a 50-MW biomass power plant in Oita prefecture for Japanese power supplier Erex Co.
(JPY 100 = USD 0.831/EUR 0.681)