
On October 24, 2024, Yokohama Akarenga Co., Ltd., the operator of the historic Yokohama Red Brick Warehouse, and ENEOS Power, a wholly-owned subsidiary of ENEOS Holdings, signed an off-site PPA.
As part of the PPA, from November 2024, ENEOS Power will supply approximately 960MWh per year to Yokohama Red Brick Warehouse No. 1 and No. 2. The PPA is expected to account for approximately 20% of the buildings’ consumption.
ENEOS Power will procure and aggregate the power from residential power plants with expired feed-in-tariff (FIT) contracts in Yokohama City, Kanagawa Prefecture. The procured and consumed power will be matched in 30-minute blocks, allowing locally-produced renewable power to be consumed in real time.
Unlike larger-scale solar power plants that are eligible to receive FIT for 20 years, the contract duration for sub-10kW solar power plants is 10 years. With the subsidy scheme having been introduced in FY2012, early residential FIT contracts have expired with more about to follow. This trend has prompted companies like ENEOS Power to develop services for purchasing excess power generated by these “post-FIT” power plants.
The PPA has now been added to the Japan Energy Hub PPA database.