January 15, 2025

Overview

East Japan Railway Company (JR East), a leading railway operator in Japan, has entered into two Power Purchase Agreements (PPAs) to enhance the sustainability of its operations.

The first PPA, signed with Tohoku EPCO, focuses on supplying renewable energy to specific Shinkansen lines in the Tohoku area. This agreement will supply approximately 35 GWh annually from 21 MW of solar power plants. The energy will cover 20% of the power consumption for sections of the Yamagata and Akita Shinkansen lines.

The second PPA, signed with JERA, targets JR East station buildings in the Tokyo area. This agreement involves energy supply from 42 solar power plants totaling 2 MW, aggregated by JERA Cross, to Atre Oimachi and Lumine Yokohama.

In addition, J Bio Food Recycle will supply biogas-generated power from food waste produced at JR East station buildings, contributing to the multi-technology energy mix.

Offtaker:

* Name: East Japan Railway Company (JR East)

* Website: https://www.jreast.co.jp/e/

* Profile: JR East is one of Japan's leading railway companies, operating an extensive network of train lines, including the Shinkansen (bullet train) services, primarily in the eastern regions of Japan.

* Location: Shibuya, Tokyo, Japan

* Industry: Transportation

* Sub-industry: Railway Operations

Producer 1:

* Name: Tohoku Electric Power Co., Inc.

* Website: https://www.tohoku-epco.co.jp/index-e.htm

* Profile: Tohoku Electric Power is a major electric utility company in Japan, providing electricity to the Tohoku region and parts of Niigata Prefecture.

* Location: Aoba-ku, Sendai, Miyagi, Japan

* Industry: Electric Utility

* Sub-industry: Power Generation and Distribution

Producer 2:

* Name: JERA Co., Inc.

* Website: https://www.jera.co.jp/en/

* Profile: JERA is Japan's largest power generation company, operating across the entire energy supply chain, from fuel procurement to power generation.

* Location: Chuo-ku, Tokyo, Japan

* Industry: Electric Utility

* Sub-industry: Power Generation and Energy Solutions

* Executives Involved: Not disclosed

Deal Details:

* Energy Source: Solar and Biogas

* Technology: Photovoltaic (PV) Solar Panels and Biogas Generation

* Plant Capacity (MW):

* Tohoku Electric Power: 21 MW

* JERA: 2 MW

* Energy Volume Sold (MWh): Approximately 35 GWh per year (Tohoku Electric Power)

* Power Plant(s) Location(s):

* Tohoku Electric Power: Undisclosed locations within the Tohoku region

* JERA: 42 solar power plants in the Tokyo area

* Power Plant(s) Description: The solar power plants involved in these agreements are owned by undisclosed generators and will supply renewable energy to JR East's operations.

* Offtake Location(s):

* Shinkansen Lines: Yamagata Shinkansen (Fukushima to Shinjo stations) and Akita Shinkansen (Morioka to Akita stations)

* Station Buildings: Atre Oimachi and Lumine Yokohama

* Contract Type: Off-site Power Purchase Agreement

* Currency: Japanese Yen (¥)

* Deal Date:

* Tohoku Electric Power: December 5, 2024

* JERA: January 14, 2025

* Projected Commissioning: Power supply is expected to begin in April 2025.

Market and Impact Analysis:

These PPAs represent JR East's commitment to incorporating renewable energy into its operations, contributing to Japan's broader goals of reducing carbon emissions and promoting sustainable energy practices.

The agreement with Tohoku Electric Power will supply approximately 20% of the energy consumption for specific sections of the Yamagata and Akita Shinkansen lines, accounting for about 2% of JR East's overall Shinkansen power consumption.

The collaboration with JERA will provide renewable energy to two major station buildings in the Tokyo area, further supporting JR East's sustainability initiatives.

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