Orix, KEPCO team up for 48-MW battery storage project in Japan
Concept image of the energy storage plant. Image by Orix (www.orix.co.jp)
Japanese financial services group Orix Corp (TYO:8591) and local utility Kansai Electric Power Company Inc (TYO:9503), or KEPCO, will form a 50/50 joint venture (JV) to develop a 48-MW/113-MWh energy storage plant.
The news regarding the new entity, named Kinokawa Energy Storage LLC, was announced last week by Orix. The parties are looking to break ground on the energy storage plant next month. Orix said it aims to start operations in 2024.
The large-scale grid storage battery project will be located on the premises of Kansai Transmission and Distribution Inc's Kinokawa Substation in Wakayama prefecture.
Since power generation from solar and wind parks is prone to fluctuations, the new energy storage plant should contribute toward solving the issue. At the same time, it will attempt to strengthen the power system resilience, Orix explained.
KEPCO will primarily be responsible for the operation, while Orix will be in charge of maintenance and asset management.