- METI has awarded 128.94 MW new solar capacity for FIP projects, under the country’s 12th solar auction
- Pacifico Energy has secured the lion’s share with 76.8 MW AC for a single project, while X-Elio and Kokusai Energy are the other winners in this category
- For FIT category, winning projects will bring online 24.76 MW capacity as projects with 250 kW and less than 1 MW sizes
- Government has also launched the 13th solar auction offering 225 MW capacity for both FIT and FIP projects
The Ministry of Economy, Trade and Industry (METI) in Japan has awarded 153.7 MW new solar PV capacity in its 12th solar auction. This comprises 128.94 MW under the feed-in-premium (FIP) program and 24.76 MW under the feed-in-tariff (FIT) model. METI has also announced the 13th solar auction.
In response to the call that originally offered 175 MW capacity for projects of more than 1 MW under FIP regime, METI shortlisted 5 offers out of 13 business proposals submitted.
The weighted average winning bid was JPY 9.87 ($0.073) per kWh. While the tariffs were capped at JPY 10.00 per kWh, the lowest and highest winning bids ranged between JPY 9.85 per kWh to JPY 9.90 per kWh respectively, making it the 2nd consecutive auction round when winning tariffs dropped below JPY 10.00 per kWh.
However, the lowest winning tariff has once again gone up in this round, after it came down below JPY 10.00 per kWh in 11th auction round for the 1st time since the beginning of solar auctions in the country (see Record Low Tariffs In 11th Japanese PV Auction).
In a separate statement, Pacifico said it won 76.8 MW AC total capacity in the auction for JPY 9.86 per kWh for a single project. It will be located in Yamaguchi Prefecture on previously what was a golf course. The company plans for the project to start commercial operations in 2027.
“This is the first time that our company’s bid price has fallen below JPY 10.00 per kWh, and the price has finally reached a level where a renewable energy levy is no longer required,” stated Pacifico Energy’s President and CEO Hiroki Matsuo.
Other winners of the FIP auction are X-Elio and Kokusai Energy, apart from Pacifico Energy.
For the FIT category, METI had offered 50 MW capacity for projects in the range of 250 kW and less than 1 MW and tariffs capped at JPY 10.00 per kWh. It received 55 proposals out of which it selected 39 and awarded a total of 24.76 MW.
Lowest and highest winning bids were between JPY 9.80 per kWh and JPY 10.00 per kWh respectively, while weighted average winning tariff was determined as JPY 9.93 per kWh.
13th solar auction
METI has also launched Japan’s 13th solar auction offering 225 MW total capacity out of which 175 MW will be available in the feed-in-premium (FIP) category and 50 MW in the feed-in-tariff (FIT) category.