Canadian Solar Launches First FIP Projects in Japan, Signs 20-Year PPA with Toyota Tsusho

Canadian Solar Inc. announced that its first portfolio of feed-in premium (FIP) PV projects in Japan began commercial operation on June 1, 2024.

The newly operational projects include a 1.2 MWp installation in Tsukuba City, Ibaraki Prefecture, and a 1.9 MWp installation in Daisen Town, Tottori Prefecture. Both projects are equipped with CS7N-660W bifacial modules. Initially awarded a feed-in tariff (FIT) through 2020 auctions, the Company transitioned these projects to FIP to meet the growing demand for renewable energy. Projects under the FIP scheme will generate additional revenue through Non-Fossil Certificates (NFCs).

Under a 20-year PPA, Toyota Tsusho Corporation (“Toyota Tsusho”) will purchase 100% of the PV power and NFCs generated by the projects. Toyota Tsusho, part of the Toyota Group and an electricity retailer, will then supply this power and the associated NFCs to its corporate customers.

Ryota Yamada, General Manager of Canadian Solar’s Japan Energy Group, added, “Since launching our Japan PV development business in 2012, we have focused on FIT, as many of our investors preferred the stable cash flows backed by government programs. Today, enterprises are increasingly demanding clean energy to power their businesses. As of March 31, 2024, our project development business in Japan totaled 240 MWp and 1.675 GWh for solar and energy storage, respectively. We are honored to sign our first private PPA with Toyota Tsusho, a key member of the Toyota Group. This PPA marks the beginning of our commitment to support Japanese corporations in meeting their clean energy needs for operations both in Japan and globally.”