Investment in a biomass power plant in Yamagata
Capacity: Approx. 6.3MW
Investment Date: December 24, 2015
Commercial Operation Start: January 2018
The Yonezawa Minami biomass power plant is our first investment in biomass power. The plant primarily uses unutilized general wood materials for fuel, sourced mainly from Yamagata, Fukushima and Miyagi Prefectures. This power plant has been developed in partnership with Green Thermal co.ltd. ("GT").
Investment Highlights
In addition to this project, GT is developing multiple similarly sized biomass power plants. Our second joint project, located in Wakayama Prefecture, began operations in June 2020. GT is working on these projects to support Japan's forestry industry, leveraging its expertise in plant operation and maintenance.
Drawing on its background in the forestry business, GT has established fuel supply relationships with local forestry families and has managed projects across multiple locations. GT handles the entire process for this power plant, including development, fuel supply, operation and maintenance. We believe that using local timber as fuel and employing local workers positively impact the local economy. Project finance is organized by local financial institutions: THE TOHO BANK, LTD. and The Yamagata Bank, Ltd.
Future Actions
The Yamagata Minami biomass power plant has been operating safely since January 2018. We will continue to monitor its operations closely. Meanwhile, we will actively explore investment opportunities in the development of medium-sized biomass power plants in collaboration with GT.
Posted on December 24, 2015