ITOCHU Corporation (headquartered in Minato-ku, Tokyo; Keita Ishii, President & COO; hereinafter “ITOCHU”), Mitsubishi Estate Co., Ltd. (headquartered in Chiyoda-ku, Tokyo; Atsushi Nakajima, Representative Corporate Executive Officer, President & Chief Executive Officer; hereinafter “Mitsubishi Estate”) and Tokyo Century Corporation (headquartered in Chiyoda-ku, Tokyo; Koji Fujiwara, President & CEO, Representative Director; hereinafter “Tokyo Century”) have commenced construction of a utility-scale battery energy storage facility in Chikuzen-machi, Asakura-gun, Fukuoka Prefecture, Japan (rated output: 67 MW; rated capacity: 230.1 MWh; hereinafter the “Project”). The Project is scheduled to commence commercial operation in FY2027, and it is expected to contribute to the realization of carbon neutrality in Japan.

Renewable energy, particularly solar power, has been rapidly deployed in the Kyushu region of Japan. As a result, power output fluctuations depending on weather conditions and time of day have become a growing challenge for power grid stability. With a storage capacity equivalent to the daily electricity consumption of approximately 20,000 households, the Project will contribute to stabilizing the regional power grid while supporting further expansion of renewable energy.

The Project will participate in multiple electricity markets, including the Capacity Market, Wholesale Electricity Market, and Balancing Market, and it will achieve stable returns while contributing to grid stability through advanced operations using artificial intelligence. As Japan moves toward its 2050 carbon neutrality goal under the Seventh Strategic Energy Plan formulated by the Ministry of Economy, Trade and Industry, the development of solar and other renewable energy sources is accelerating, and the battery storage market is expected to expand significantly.

ITOCHU was an early entrant into Japan’s utility-scale battery storage business, and it has been advancing AI-based battery operation systems. In this Project, ITOCHU’s energy storage system and AI-based optimal operation technology* will be deployed.

With Japan’s first utility-scale battery storage fund established in 2024 as a foundation, Mitsubishi Estate and Tokyo Century, as participating institutional investors in the fund, will also act as joint project sponsors in the Project, forming a collaborative framework among the three companies.

Mitsubishi Estate will be responsible for project management during the development period and securing business rights. Tokyo Century will be responsible for SPC and asset management. ITOCHU will undertake the system sales, operation, and maintenance of the battery storage system, as well as its AI-optimized operation, leveraging its integrated capabilities across the value chain.

Under its management policy, “The Brand-new Deal: Profit opportunities are shifting downstream,” ITOCHU is committed to contributing to the achievement of the SDGs and the realization of a decarbonized society. Through the Project, ITOCHU will continue to support the transition to a decarbonized society while enhancing regional resilience.

The Project has been selected for the Ministry of Economy, Trade and Industry’s FY2025 Subsidy Program for the Promotion of Renewable Energy Development and Utility-Scale Battery Energy Storage Systems.