NSG Group has announced entering into a long-term power purchase agreement (PPA) for renewable electricity generated from solar panels installed on the premises of the plant in Maizuru, Kyoto Prefecture, Japan, as the first on-site solar project of the Group in Japan, and that the installation work has just started.
According to the project, a total of 3,064 solar panels with the capacity of 1.15 MWp, manufactured by First Solar, a leading global manufacturer of thin-film solar panels that has a long-standing partnership with NSG Group, will be installed on unused land in the Maizuru plant. The solar modules contain TCO (transparent conductive oxide) glass made by NSG Group using its proprietary on-line coating technology.
The facility will be installed and operated by BayWa r.e. Japan, a renewable energy provider. The construction has begun on March 1, and the facility will be operational in October 2024. 90 percent of the electricity generated will be purchased by NSG Group over a period of 25 years at a contracted fix price. The facility is expected to supply 1,411MW of renewable energy annually with carbon reduction effect of about 541 tonnes of CO2 per year.
The introduction of this renewable energy will lead to a reduction in carbon emissions for NSG Group and contribute to the promotion of sustainability in the manufacturing process.
While the demand for renewable electricity in the market is increasing in the background of global carbon reduction, there is a risk of soaring electricity prices. The introduction of on-site PPAs utilizing idle land like this project in Maizuru will help stabilize the procurement of renewable energy for medium to long term.
NSG Group has set a target of reducing Scope 1, 2 and 3 greenhouse gas emissions by 30 percent by 2030 compared to 2018 levels through an approved Science Based Target. At the same time, the Group aims to achieve carbon neutrality by 2050. This project is part of the Group’s efforts to shift to renewable energy.
Through these initiatives, NSG Group will accelerate the activities toward the decarbonization of the business and strive to realize a sustainable society.