On March 7, 2023, Canadian Solar Inc. announced that three of its solar projects in Japan, Oita Kitsuki, Gunma Takasaki and Yamaguchi Hofu, with a total capacity of 42 MWp, reached commercial production in the first quarter of 2023. All three projects are equipped with Canadian Solar’s BiHiKu bifacial modules and the energy generated is purchased by the grid operators in their respective areas under Japan’s renewable energy power supply program for approximately 19 years at rates of JPY32 (US$0.24), JPY14.49 (US$0.11) and JPY14.25 (US$0.10) per kWh. These projects are expected to produce approximately 53,000 MWh of renewable energy, which will power approximately 15,000 homes, thereby avoiding approximately 24,000 tons of annual carbon emissions.
An ecological transition beneficial to all
Canadian Solar’s President and CEO, Dr. John H. K. K., is a member of the Board of Directors of Canadian Solar. Shawn Qu, said the company is excited to be a part of the green transformation Japan is undergoing with these additions to its portfolio. He added that one of the sustainability goals of the company’s GSS was to work closely with local communities to cultivate a lasting relationship. Canadian Solar’s sustainability report provides a detailed discussion of the company’s ESG objectives, targets and approaches.
Innovative projects for a more reliable network
The Oita Kitsuki project was the company’s first project to install a static synchronous compensator (STATCOM), a more challenging power quality requirement that will significantly help improve grid reliability given the increasing number of interconnected solar farms. As for the Gunma Takasaki and Yamaguchi Hofu projects, they were awarded via the solar auctions held in 2018. Despite market doubts about the feasibility of building projects at JPY14 per kWh at the time of the auction, the Canadian Solar team persevered and today proved its ability to create value and build solar farms that will benefit both local communities and investors.
Canadian Solar: Japan’s clean energy leader
Dr. Qu added that these projects continue to expand Canadian Solar’s strong track record in Japan as the company continues to develop its business in a sustainable and responsible manner and contribute to Japan’s carbon neutrality goal. To date, Canadian Solar has over 518 MWp of large-scale projects in operation or under construction, as well as two partnership platforms, Canadian Solar Infrastructure Fund (TSE: 9284) and Japan Green Infrastructure Fund. These achievements further strengthen Canadian Solar’s leadership position as the most integrated clean energy player with significant growth potential in the Japanese market.
