Japan-headed developer and operator of renewable power plants RENOVA, Inc, has announced that it has reached financial close and made a final investment decision (FID) regarding a 49.9 MW biomass power generation project in Karatsu, Saga Prefecture, being developed by RENOVA through the Karatsu Biomass Energy G.K.
An error occurred
On your profile you can see what subscriptions you have access to and more information.
Is some of the information wrong – please contact our customer service.
Please reload the page
Do you want to read the whole article?
- Six editions per year
- Full access to all digital content
- The E-magazine Bioenergy international
- And more ...
RENOVA reached a financial close on August 31, 2021, by signing a financing agreement with financial institutions The Bank of Saga Ltd, The Bank of Yokohama, Ltd, The Fukui Bank, Ltd, The Higo Bank, Ltd, The Juhachi-Shinwa Bank, Ltd, Kansai Mirai Bank, Ltd, The Nanto Bank, Ltd, The San-in Godo Bank, Ltd, The Tottori Bank, Ltd, Karatsu Shinkin Bank, JAPAN POST INSURANCE Co., Ltd, SMFL MIRAI Partners Co., Ltd, and led by Sumitomo Mitsui Banking Corporation, and The Bank of Fukuoka, Ltd.
RENOVA has been accumulating expertise through the operation and construction of six biomass-fueled power plants in Japan and has forged ahead with the development of the Karatsu Biomass Project by taking advantage of this expertise.
Construction is scheduled to begin in August 2021 with operations expected to begin in December 2024. The plant will use wood pellets and palm kernel shells (PKS) as the primary fuel and qualifies for the JPY24 per kWh Feed-in Tariff (FIT) for general wood biomass
RENOVA (35%) will continue to work on the development together with co-sponsors Toho Gas Co., Ltd (34%), JA Mitsui Leasing, Ltd (16%), and Innocent Co., Ltd (15%) to increase the corporate value of the Karatsu Biomass Project.
As part of the Memorandum of Understanding (MoU) on the Transfer of Equity Interests in Karatsu Biomass Energy G.K., RENOVA has agreed with JA Mitsui Leasing to acquire its 16% equity interest on or after the completion date of the Karatsu Biomass Power plant.
If exercised, RENOVA’s ownership interest in Karatsu Biomass Energy would thus become 51.0%.
