Monthly Report

FIT and FIP temporarily suspended for over 300 agrisolar power plants due to regulation violations

August 7, 2024
Agrisolar
With less and less space available for solar power plant development, is an increasingly popular option in Japan.

The Agency for Natural Resources and Energy in cooperation with the Ministry of Agriculture, Forestry and Fisheries temporarily suspended FIT and FIP subsidies for 342 agrisolar power plants owned by 20 businesses from August 5, 2024, the Ministry of Economy, Trade and Industry announced.

While the agency did not disclose the affected power plants and businesses, the statement said in 15 of the 342 cases operated by six of the targeted businesses, the agricultural land conversion permit holder found that the land under the solar panels was not being utilized appropriately or equipment has not been removed even after the land’s temporary conversion period expired.

The remaining 327 power plants operated by 14 businesses failed to obtain permission to convert agricultural land to other uses within three years of FIT certification and thus did not meet FIT certification requirements.

These measures were put in place based on Japan’s revised Renewable Energy Special Measures Act, which allows the government to temporarily suspend FIT and FIP subsidies for businesses that violated laws and regulations. This is the second case where the subsidies have been suspended following a suspension for nine power plants on April 2, 2024, due to Forestry Act violations.

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