Mitsubishi HC Advances 5MW Non-FIT Solar Project in Japan

en.Wedoany.com Reported - On July 17, Mitsubishi HC Capital Energy partnered with Japan's Nikko Construction to advance the development of a 5MW non-FIT solar power plant. This non-FIT solar project does not rely on Japan's feed-in tariff mechanism but instead achieves power consumption through corporate electricity use, aggregation trading, or other market-based approaches, reflecting the shift of Japanese solar projects toward a more market-driven development model.

Under the cooperation arrangement, Mitsubishi HC Capital Energy will handle business model design and asset investment, including feasibility studies, selection of power purchasers, and choice of aggregators. Nikko Construction will be responsible for project development execution, including site selection, land negotiations, grid capacity acquisition, and construction. The specific project location and investment amount have not yet been disclosed by the parties.

Non-FIT solar projects require higher standards for electricity demand matching, power sales pathways, and long-term revenue arrangements. Compared to early FIT projects, non-FIT solar relies more heavily on corporate power purchase agreements, aggregation trading, and electricity market mechanisms. Earlier this month, Mitsubishi HC Capital Energy also partnered with RS Asset Advisors to develop a 6MW/24MWh high-voltage energy storage station. Following this 5MW non-FIT solar cooperation, the company will continue to explore the application potential of solar and energy storage assets in Japan's market-based electricity trading.