OCCTO Awards 75.4 MW To 27 Solar Projects In Japan’s Undersubscribed FY2025 Auction

The Organization for Cross‑regional Coordination of Transmission Operators (OCCTO) in Japan has awarded a total of 75.4 MW across 27 solar projects in the third auction of fiscal year 2025. This third round—part of the country’s broader feed-in-premium (FIP) program—was notably under-subscribed, marking a departure from the stronger interest seen in earlier rounds.

The average FIP strike price for the awarded capacity settled at 7.13 yen per kilowatt hour (kWh), and several bids were accepted at the maximum allowed price of 8.75 yen. Among the winners, RD Solar Power LLC clinched the largest share with a 21.75 MW project at 6.00 yen/kWh, while Miyagi Motoyoshi Solar LLC — affiliated with EDP Renewables — secured 19.50 MW at 7.50 yen/kWh.

Smaller recipients included Solar Field 13 LLC, which won three projects, each around 1.99 MW, at varying prices between 6.50 and 7.50 yen/kWh. The projects awarded in this round are located in several prefectures, including Hokkaido, Nagano, and Okayama, with development by a special-purpose vehicle managed by Tekoma Energy.

Not all proposals succeeded: one 2 MW project was rejected after business-plan review, while another five projects (totaling 2.5 MW) submitted registration but did not place bids. Because this auction was undersubscribed, OCCTO has adjusted the upcoming round: the next auction target is set at 79 MW — matching the amount allocated in the first round of FY2025.

According to the schedule, OCCTO will begin accepting new project plans as early as January 5, 2026. This outcome illustrates a cautious stance by developers in Japan’s renewables sector, potentially driven by tighter pricing conditions or changing market dynamics. With several projects awarded at or near the ceiling price, the results may influence bidding strategies and interest levels in upcoming auctions under the FIP regime.