NSK Ltd.
ENEOS Renewable Energy Corporation
NSK and ENEOS Renewable Energy Enter into Virtual PPA
—Utilizing a Solar Power Plant Equipped with Large-scale Storage Batteries in the Kyushu Area—
NSK Ltd. (headquarters: Shinagawa-ku, Tokyo; President and CEO: Akitoshi Ichii; hereinafter “NSK”) and ENEOS Renewable Energy Corporation (headquarters: Minato-ku, Tokyo; President and CEO: Yasushi Onoda; hereinafter “ERE”) entered into a virtual Power Purchase Agreement*1 (hereinafter “the PPA”) leveraging a solar power plant equipped with large-scale storage batteries in the Kyushu area.
Under the PPA, NSK, the power offtaker, will purchase environmental value (Non-FIT, Non-Fossil Certificates) directly from ERE, the power generator. ERE will install storage batteries with a capacity of approximately 130,000 kWh at a solar power plant with a capacity of approximately 54,000 kW that ERE owns in the Kyushu area, supplying NSK with environmental value equivalent to the amount of power generated (approximately 65,000,000 kWh per annum) for approximately 15 years. This is expected to reduce NSK’s CO₂ emissions by approximately 27,000 t-CO₂ per annum.
NSK has set the goal of achieving carbon neutrality for Scope 1 and 2 by FY2035, positioning climate change measures as a critical management issue. It is working to reduce CO₂ emissions from business activities by promoting thorough energy conservation measures, technological innovation, and renewable energy use. NSK also aims to reduce emissions across its entire value chain, suppliers included. In terms of renewable energy use, in addition to onsite solar power generation at its factories and other sites, securing long-term environmental value from renewable energy through the introduction of a virtual PPA will enable NSK to reduce CO₂ emissions while achieving stable procurement of environmental value.
Based on its mission of "Changing the World with Renewable Energy," ERE develops and operates solar, wind, and biomass renewable energy power plants. Through its renewable energy power generation business and by providing PPAs and battery storage utilization solutions,*2 ERE will continue to support the spread of renewable energy, help companies address the challenge of reducing CO₂ emissions, and contribute to the realization of a decarbonized society and the development of local communities.
*1： A Virtual Power Purchase Agreement (Virtual PPA) is a contract in which a company and a power producer transact only the environmental value of renewable energy, such as non-fossil fuel certificates, without physically transferring the electricity.
*2：Includes the use of an operation plan development system for storage batteries developed jointly with Mitsubishi Research Institute, Inc. (a system that uses optimization algorithms based on forecasts and other information to create optimal operation plans for storage battery charging and discharging, and optimum bidding plans for the wholesale electric power market). See the press release dated June 17, 2024, “ENEOS Renewable Energy and Mitsubishi Research Institute Jointly Develop Operation Plan Development System for Storage Batteries”. (https://www.eneos-re.com/news/pdf/news_20240712_E.pdf)
■ Overview of Power Plant
| Name of power plant | JRE Satsuma Solar Power Plant |
|---|---|
| Location | Satsuma Town, Kagoshima |
| Commercial operation date | January 2023 |
| Capacity | 54,000kW |
| Storage battery capacity | Approx. 130,000kWh |
| Planned annual power generation | Approx. 65,000,000kWh |
■ Scheme Diagram
■ NSK
| Company Name | NSK Ltd. |
|---|---|
| Representative | President and CEO, Akitoshi Ichii |
| Location | Nissei Bldg., 1-6-3 Ohsaki, Shinagawa-Ku, Tokyo |
| Founded | November 8, 1916 |
| Capital | 67.2 billion yen |
| Business activities | Industrial: Bearings, ball screws, precision machinery and parts Automotive: Bearings, steering systems, automatic transmission products |
■ ERE
| Company Name | ENEOS Renewable Energy Corporation |
|---|---|
| Representative | President and CEO, Yasushi Onoda |
| Location | Azabudai Hills Mori JP Tower 45F, 1-3-1 Azabudai, Minato-ku, Tokyo |
| Founded | August 20, 2012 |
| Capital | 28.7 billion yen |
| Business activities | Preliminary surveys, planning, design, materials procurement and sales, civil engineering, electrical service, construction, operation, maintenance and inspection work, and electric power sales pertaining to power generation plants (wind, solar, biomass, and other natural energy-based power generation) |
Inquiries:
ENEOS Renewable Energy Corporation
General Administration & Public Relations Group
General Administration & Legal Dept E-mail：PE_PR@eneos.com