- Press Releases
September 8 (Renewables Now) - Japanese trading house Mitsubishi Corp (TYO:8058) confirmed on Wednesday that it has signed a 10-year corporate power purchase agreement (PPA) in Japan with Amazon Web Services Inc (AWS), a unit of US online retailer Amazon.com Inc (NASDAQ:AMZN).
The signing was initially reported by The Nikkei.
The contract, facilitated by MC Retail Energy Co Ltd, will see West Holdings Corp (TYO:1407) install a total of 22 MW of solar power generating capacity divided between 450 solar arrays. The output of these systems will be used by AWS to power its data centres.
Amazon said separately that the solar installations will take place in the Greater Tokyo and Tohoku areas and upon completion will generate 23,000 MWh of renewable electricity each year. The e-commerce giant pointed out that this is the first aggregated solar project of this scale to be backed by a corporate PPA in Japan.
“This is our first renewable energy project in Japan that will help Amazon meet our commitment to power our worldwide operations with 100% renewable energy by 2030, a target we are on a path to meet five years early thanks to projects like this,” said Nat Sahlstrom, director of Amazon Energy.
The commercial operation of the solar parks is slated to commence in April 2023.
The Japanese trader noted that its unit Mitsubishi Corporation Energy Solutions Ltd will manage construction of the solar plants and provide tech support, while another subsidiary, ElectroRoute, will forecast the facilities' outputs and hedge power generation imbalances.
Overall, this is the second renewable energy PPA signed between Mitsubishi and Amazon around the world as in February the Japanese trading house’ Dutch unit Eneco agreed to sell power from a 130-MW portion of the Hollandse Kust Noord offshore wind farm.