
Polarstar Energy secured a capacity contract in the FY2025 long-term decarbonization auction (LTDA) for a 40MW/240MWh non-lithium-ion grid-scale battery storage project in Kagoshima Prefecture, the company announced on June 9, 2026.
According to the statement, the asset is being developed through the special purpose company (SPC) Chikudensho No. 1 LLC. The company did not disclose a specific technology it plans to use. “We are working with technology suppliers and integrators to make sure we can select the most cost-effective and bankable solution,” said Chief Executive Officer Cameron Gilhome in an email to Japan Energy Hub.
Gilhome added that the project is expected to begin commercial operations before 2031.
The Kagoshima project follows two planned assets under capacity contracts Polarstar Energy said it secured in the FY2024 LTDA, and brings the company’s total development pipeline to 124MW/392MWh. Gilhome said the previous projects include 46MW in Tohoku and 38MW in Hokuriku, both targeted for a Q1 2030 COD.
Entities known to be affiliated with Polarstar Energy did not appear among FY2024 LTDA awardees disclosed by OCCTO. Information provided on the company website suggest it has taken ownership of projects in Niigata and Fukui prefectures awarded to Bison Energy.
Polarstar Energy joins a growing list of companies developing six-hour-or-longer projects, some using non-lithium-ion batteries, following LTDA rule changes that excluded shorter-duration storage assets and established separate battery storage categories by technology.