Eku Energy launches its first energy storage project in Japan
Eku Energy has announced the launch of the Hirohara Battery Energy Storage System (BESS) in Miyazaki, marking its first project in Japan in collaboration with Tokyo Gas.
| Sectors | Energy Storage, Batteries |
|---|---|
| Themes | Investments & Transactions, Project Development, Financing |
| Companies | MUFG Bank, Tokyo Gas |
| Countries | Australia, United Kingdom, Italy, Japan |
Located in Oaza Hirohara, in the city of Miyazaki, the Hirohara BESS project marks Eku Energy’s entry into the Japanese market with a 30MW/120MWh facility. The system is the result of a 20-year energy sales agreement with Tokyo Gas.
Production schedule and capacity
Construction is scheduled to start in the second half of 2024, with commissioning expected in July 2026. Once up and running, the system will be able to power around 63,000 homes for four hours.
Financing and operating procedures
The project financing was orchestrated by MUFG Bank, marking their first involvement in financing battery storage projects in Japan. Under the agreement, Eku Energy will own the BESS, while Tokyo Gas will hold the operating rights for 20 years, with Eku Energy providing ongoing maintenance.
Contributing to the energy transition
This project comes at a time when Japan is accelerating its transition to net zero, supported by the Green Transformation (GX) policy, which aims for economic growth while reducing emissions. Energy storage plays an essential role in stabilizing electricity supply and demand.
With operations in the UK, Australia, Italy, and now Japan, Eku Energy aims to expand its battery storage portfolio, using its global expertise and commercial knowledge to support Japan’s GX objectives. Daniel Burrows, Head of Eku Energy APAC, expressed his enthusiasm for this project, which is the first in Japan to reach financial close, and Kentaro Ono, Managing Director of Eku Energy Japan, emphasized the importance of innovative agreements with Tokyo Gas to achieve these goals.
