Japan’s 24th solar auction (FY2025’s first) was oversubscribed, with 79MW awarded feed-in-premium (FIP) subsidies out of bids totaling 143.6MW. Results released by OCCTO on June 20, 2025, show that zero-yen bids accounted for one-third of the awarded capacity and two-thirds of the winning projects.
HEXA Renewables was awarded 24 high-voltage projects ranging from 300kWAC to 2MWAC and totaling 17.6MWAC, all at 0.00 yen per kWh. Other zero-yen winners included GPSS Agri B (one 2MWAC project), Mitsubachi 101 LLC (10 projects totaling 10MWAC), and Bison Energy (three projects totaling 2.2MWAC).
Developers likely submitted zero-yen bids to secure fixed balancing cost and generator-side wheeling charges subsidies, which are paid regardless of premium level, for their PPA projects.
Winning non-zero-yen bids ranged from 4.99 yen per kWh to 7.79 yen per kWh. Mirai Soden Gamo Hino was awarded the largest, 19.5MWAC project at 5.7 yen per kWh and Machi Okoshi the second largest, 10MWAC project at 7.77 yen per kWh. Kamisato Construction won the most non-zero-yen projects, having secured 4.99 to 5 yen per kWh FIP for five projects totaling 3.8MWAC.
Companies that were awarded projects in the auction will need to pay a deposit by July 4, 2025, and obtain FIP certification by January 20, 2026, to secure their contracts.
With the bids exceeding the first FY2025 auction’s target procurement capacity significantly, OCCTO will seek to award 114.54MWAC of FIP projects in the year’s second round, which began accepting business plans on June 23, 2025.
Correction (June 24, 2025): The previous version of this article incorrectly indicated that HEXA Renewables was awarded 16 high-voltage projects.
