ITOCHU Announces Signing of Long-Term Power Purchase Agreement with Amazon

ITOCHU Will Provide Corporate PPA Services

February 15, 2023

ITOCHU Corporation (headquartered in Minato-ku, Tokyo; Keita Ishii, President & COO; hereinafter “ITOCHU”) announced that it will commence the provision of off-site corporate PPA (hereinafter “PPA”) for the long-term provision of electric power generated from renewable energy with additionality in Japan to, Inc. (hereinafter “Amazon”) through Clean Energy Connect Co., Ltd. (headquartered in Chiyoda-ku, Tokyo; Teppei Uchida, Representative Director; hereinafter, “CEC”), an ITOCHU portfolio company.

As countries all over the world tackles decarbonization, there is an increasingly widespread movement in Japan toward the early introduction of renewable energy with additionality*. CEC develops and owns multiple small and medium-sized solar power plants for specific customers through its off-site corporate PPA service, and supplies electricity with long-term environmental value in response to such customer needs.

CEC signed a PPA agreement with Amazon to develop non-FIT low-pressure solar power plants (700 sites) dedicated to supply 70 MW DC and 38 MW AC power to Amazon in Japan by 2024. Amazon is shifting the sources of all of the energy used in its business operations to renewable energy by 2025, and is attempt to procure renewable energy worldwide.

Since November 2021 when ITOCHU began capital investment in CEC, ITOCHU has been supporting the development and financing of solar power plants to achieve installation of approximately 5,000 solar power plants with additionality in Japan by FY2025, a cumulative total output of 500MW; and has been working to swiftly implement and expand CEC’s business model that directly supplies power generated using renewable energy sources to corporate customers.
ITOCHU will propose and expand “decarbonization solutions” to match customer needs from market-oriented perspective, such as using power storage systems to supply renewable energy in response to customers’ actual electricity usage.

  • *Additionality: Introducing power supply from renewable energy sources without relying on the FIT program, such as by newly building a power plant exclusively for use by a company

Company Overview

Corporate name Clean Energy Connect Co., Ltd.
Date of incorporation April 2020
Headquarters 2-7-1 Otemachi, Chiyoda-ku, Tokyo
Representative Teppei Uchida, Representative Director
Business activities Non-FIT renewable energy power generation business for corporate customers, green power solution business
Website (Japanese)