Since Japan formally implemented new Feed-in-Tariffs for the photovoltaic (PV) industry in July 2012, it has seen an overwhelming response and injection in the market. It is expected that with electricity prices of 42 Japanese Yen (approx. 3.36 Chinese Yuan) /kWh, internal rates of return of around 20% can be given to investors. This level of IRR has attracted and tempted many companies to invest in the PV industry either through development or through mergers and acquisition.
As a professional global PV developer, investor and IPP, Sky Solar finds itself in a strong position as the Japanese market strives forward due to years of hard work, commitment and preparation. Sky Solar is now in a position to seize this opportunity and has announced the successful development of several large solar power plants through its Japanese subsidiary, Sky Solar Japan.
Read the rest of the story: Sky Solar Japan to Begin Construction on PV Power Stations.
The feed-in tariff system for renewable energies entered into force Sunday to help promote their use and cut Japan’s dependency on nuclear power.
The system requires utilities to purchase all electricity generated through solar, wind, water and geothermal power, among other eco-friendly sources, at fixed rates for up to 20 years. The costs will be passed onto consumers.
The government’s generous tariff rates have created considerable interest in the sector, with companies rushing to build massive solar and other power plants based on renewable energies.
Read the rest of the story: Feed-in tariff era gets under way.
The largest mega-solar project in Kyoto Prefecture was inaugurated Sunday, the same day a feed-in tariff for renewable energies took effect and just hours before the Oi nuclear plant was set to resume operations.
The first of the project’s two solar power facilities, built in a joint venture between SoftBank group’s SB Energy Corp. and the Kyocera group, began operations later in the day. The second facility is scheduled to go online in September, and each is expected to generate 2.1 megawatts. When both are up and running, their combined capacity will be enough to power around 1,000 households, SB Energy said.
The ceremony took place in a downpour, prompting SoftBank Corp. President and CEO Masayoshi Son to note that the weather proves Japan needs a mix of renewable energy sources.
Read the rest of the story: SoftBank-Kyocera solar plant gets off to soggy start amid downpour in Kyoto.
Japan is beginning a shift to solar energy that lacks one ingredient: bank financing.
For lenders like Sumitomo Mitsui Financial Group Inc. (8316), a commitment to offer loans to solar ventures depends on a law to be passed today that will subsidize renewable energy, part of Prime Minister Naoto Kan’s initiative to cut Japan’s reliance on atomic energy after the Fukushima nuclear crisis.
Trading houses Mitsui & Co. and Mitsubishi Corp., insurers Munich Re and Tokio Marine Holdings Inc. (8766), and billionaire Masayoshi Son are among those ready to invest in solar power. For their businesses to become viable, they need utilities to buy electricity generated by the sun, wind and geothermal heat at above-market prices, known as feed-in tariffs.
Read the rest of the story: Japan’s Shift to Solar Power Hinges on Banks Ending Loan Drought.
Billionaire Masayoshi Son has a track record in taking on monopolies after building a business that opened up the nation’s telecommunications industry. Now he aims to shake up Japan’s power utilities after the worst nuclear crisis in 25 years.
Son, the 53-year-old chief executive officer of Softbank Corp., plans to build solar farms to generate electricity with support from at least 33 of Japan’s 47 prefectures. In return, he’s asking for access to transmission networks owned by the 10 regional utilities and an agreement they buy his electricity.
Radiation continues to spew across at least 600 square kilometers (230 square miles) in northeastern Japan after the March 11 earthquake and tsunami damaged the Fukushima nuclear plant.
Read the rest of the story: Japan’s Richest Man Takes on Atomic Future With Solar Plans.