<Key points>

• • The Seventh Strategic Energy Plan was approved by the Cabinet, and the energy supply and demand outlook for 2040 was released
  • A package of measures concerning MW-scale PV projects was compiled at a meeting of relevant ministers, including strengthening of legal regulations against inappropriate projects and prioritizing support for the development of projects in harmony with local communities
  • The “Technology Development Project for the Expansion of PV Introduction” by the New Energy and Industrial Technology Development Organization (NEDO) was launched in FY 2025
  • The introduction of PV systems utilizing PPAs continued to expand steadily, following the previous year
  • While new market entrants into the grid-scale battery storage business increased rapidly, confusion arose in the business environment, leading to a review of the scheme

In the 2040 energy mix, the ratio of renewable energy is targeted at approx. 40% to 50%, among other policy directions was established

Next-generation solar cell

R&D targets for tandem-type PV technologies have been set at conversion efficiency exceeding 30%, durability of 20 years, and power generation cost of 12 yen/kWh (7.66 cents/kWh) or less, and a mass-production technology demonstration project has been launched toward early commercialization and so on

Development of an environment in which the value of renewable energy is appropriately evaluated

A policy to reconsider the price levels of FIT certificates, including raising the minimum price (0.4 yen/kWh or 0.255 cents/kWh) and reviewing whether the ceiling price (4.0 yen/kWh or 2.552 cents/kWh) remains appropriate, among other measures and so on

Grid-scale battery storage

• As applications for connection assessment and contracts have surged, rules governing grid access procedures will be strengthened
• Directions of reducing solicited capacity in the supply-demand adjustment market and lowering the ceiling price have been presented, among other measures and so on

Ensuring harmony with local communities

In response to the issue of a MW-scale PV project in the Kushiro Wetland area in Hokkaido Prefecture, relevant ministries and agencies will work together to examine countermeasures

Package of measures regarding MW-scale PV projects

1) Strengthening legal regulations against inappropriate projects, etc.

2) Enhancing coordination with local initiatives

3) Prioritizing support for the development of projects in harmony with local communities