Koyo Electric Co Ltd (Higashinada-ku, Kobe City) announced Sept 7, 2016, that it has had a ground-breaking ceremony for a mega (large-scale) solar power plant in Takizawa City, Iwate Prefecture, Japan.
Three companies including Koyo Electric invested in the plant. Though "limitless/uncompensated" output restriction is required by Tohoku-Electric Power Co Inc for grid connection, a project finance loan was structured for the project.
The output of the plant is 8.82MW. For the plant, JFE Plant Engineering Co Ltd (Taito-ku, Tokyo) provides EPC (engineering, procurement and construction) services. And 28,000 solar panels manufactured by LG Electronics Inc will be installed on about 150,000m2 of land.
The plant is expected to generatea about 9,500,000kWh of electricity, which is equivalent to the amout consumed by 2,900 households, per year. It is scheduled to start operations Dec 26, 2017. All the electricity generated at the plant will be sold to Tohoku-Electric Power. Koyo Electric will be responsible for O&M (operation and maintenance).
The grid connection application for the plant was submitted after the connectable amount (the total output of solar power plants over which output control for more than 30 days, etc is required) of Tohoku-Electric Power was reached. Project finance loans usually cannot be structured for solar projects under such conditions because it is difficult to foresee future output restrictions and there is a high business risk.