
Twenty-three projects totaling 56.44MW were awarded a feed-in-premium (FIP) subsidy in Japan’s 22nd Solar Auction (this year’s third) which was seeking to award 93MW, OCCTO announced on November 26, 2024.
While all 23 submitted bids were awarded, four of the 28 business plans submitted for eligibility review were found ineligible and one eligible project did not submit a bid. With the 28 initial business plans submissions totaling just 58.64MW, the auction was considerably undersubscribed. Still, with 61% of the sought capacity awarded, the auction gathered higher interest than the 21st auction in which only 31% of the sought capacity was awarded.
Miyagi Motoyoshi Solar LLC, believed to be associated with EDP Renewables, was awarded the largest project in the auction, securing a 7.5 yen/kWh FIP for a 19.5MWAC project in the Tohoku TSO area. Oboro Solar Grazing, believed to be associated with SymEnergy, was awarded a 9.04 yen/kWh FIP for a 13.3MWAC project. It was awarded an 8.5 yen/kWh FIP for the same project in the previous auction, however, it did not proceed to certify it as it failed to secure an offtaker.
Yachiyo Green Energy was awarded the largest number of projects. Together with YTS-Solar LLC believed to be associated with the company, it was awarded six high-voltage projects totaling 2.5MWAC, all at a 7.97 yen/kWh FIP.
Worth noting is also Renewable Japan’s 1.99MWAC project being developed through RJ Fine LLC, which was awarded a 9 yen/kWh FIP, nearly double the 5.55 yen/kWh FIP it was awarded in the previous auction before it was withdrawn due to “business plan review.”
With the 22nd auction’s bid volume failing to reach 93MW, the target volume for the 23rd auction, which will be held next year, was set to 93MW.
Details about both the 22nd and 23rd auctions in Japan Energy Hub’s Renewable Energy Auctions module have now been updated.