Osaka Gas Co., Ltd. and Daiwa Energy & Infrastructure Co., Ltd. have formalised a cooperation agreement in the renewable energy sector by signing a memorandum of understanding aimed at developing and acquiring low-carbon assets. Their first joint transaction involves the purchase of a solar power plant located in Kyoto, with a capacity of 23MW alternating current (AC) and 25MW direct current (DC), certified under Japan’s feed-in tariff (FIT) scheme.
The plant, commissioned in September 2017, was acquired through DD Solar LLC, a company equally owned by both partners. The site was previously held by Kyocera TCL Solar LLC, a joint venture between Kyocera Corporation and Tokyo Century Corporation. The project was certified during the 2013 fiscal year, at a time when solar facilities of more than 10kW were eligible for a fixed tariff of JPY36 (around $0.24) per kilowatt-hour for a 20-year contract period.
Towards a joint renewable growth strategy
Both companies stated that this acquisition marks the beginning of a series of joint projects. They plan to increase the value of their assets by integrating battery energy storage systems and carrying out repowering operations on existing installations. Construction of the Kyoto solar power plant had been carried out by Sumitomo Mitsui Construction Co., Ltd.
Osaka Gas is pursuing a growth strategy for its renewable energy portfolio in both Japan and overseas, targeting 5GW of installed capacity by fiscal year 2030. With the addition of this plant, its gross renewable capacity now totals 3.79GW, unadjusted for ownership share. Additionally, the company holds 40% stakes in several projects led by independent power producer Sonnedix.
Growing financial commitment from Daiwa in renewables
Daiwa Energy & Infrastructure has invested approximately JPY161bn ($1.06bn) in solar, wind, storage and other energy assets as of the end of June 2025. These investments span both the Japanese market and international markets. The company stated that the partnership with Osaka Gas aims to strengthen its presence in the renewable sector through strategic acquisitions and targeted development.
No timeline has yet been released for the duo’s upcoming acquisitions, but both entities confirmed their intent to actively identify new opportunities in solar power generation and associated technologies.
