In Japan, JERA Co., Inc. (JERA), JERA Cross Co., Inc. (JERA Cross), Sumitomo Mitsui Banking Corp. (SMBC), Sumitomo Mitsui Finance and Leasing Co., Ltd (SMFL), and Yanmar Holdings Co., Ltd (Yanmar) have signed a basic agreement to collaborate in working to achieve a regional industry revitalization model centered on the local production and consumption of clean energy, and have begun studying a regional vision that will shape the future of Japan’s agriculture, forestry and fisheries sectors.
In recent years, Japan’s Ministry of Agriculture, Forestry, and Fisheries has, through efforts such as the formulation of the Basic Plan for Food, Agriculture, and Rural Areas, accelerated green transformation (GX) initiatives to decarbonize the agriculture, forestry, and fisheries industries, improve productivity, and revitalize regional economies.
Public-private efforts are also underway to boost the value-added of agricultural, forestry, and fishery products and strengthen the profitability of the sector.
Through this collaboration, the partners will, starting in the Tohoku region, carry out initiatives aimed at revitalizing regional industry by creating a new, higher-value-added regional industry model that utilizes locally sourced clean energy and technology.
Going forward, the companies will leverage their respective strengths as they aim to build a new model for agriculture and aquaculture that both reduces environmental impact and stimulates regional economies.
Green transformation and virtual power plant
Specifically, the partners will, under the agreement, advance the green transformation (GX) across the agriculture, forestry, and fisheries sectors by adopting electric equipment for rice and sake production, by furthering decarbonization through the use of clean energy to power such electric equipment and land-based aquaculture systems, by promoting digital transformation (DX) through the adoption of technologies such as agricultural robots, and by developing virtual power plant (VPP) projects that combine offshore wind power and other clean energy with electric agricultural machinery.
A VPP is a system for the remote integration and control of distributed energy resources such as power generation facilities, storage batteries, and electric vehicles, with demand-side equipment so that they function like a single power plant.
The companies aim to co-create a framework that enables high-value-added regional products that leverage local natural capital to be sold at fair prices.
Through efforts to use clean energy to add further value to agricultural and marine products, the companies will contribute to the green transformation of regional industries and to their economic revitalization.
