RENOVA finalized FID for three BESS projects (215MW total) in February 2025, selected in the April 2024 Long-Term Decarbonization Power Source Auction, and expects to finalize a 20-year offtake agreement with Tokyo Gas Co., Ltd for another 30MW BESS project shortly.
02
RENOVA's biomass power plants operating over one year (Akita, Kanda, Sendai Gamo, Ishinomaki Hibarino) achieved high capacity factors ranging from 87% to 93%, significantly exceeding the Japanese average of 63.1% to 72.9% for similar facilities.
03
RENOVA plans to double its EBITDA by FY2027 and triple it by FY2030, with operating profit targeted to increase by JPY 100 million in 2027 and JPY 200 million by 2030.
04
The net present value of RENOVA’s projects in operation and under construction is projected to increase from approximately JPY 160 billion in FY2024 to JPY 280 billion by FY2030.
05
RENOVA plans additional investments of JPY 340 billion by FY2030, funded through highly leveraged project finance, operating cash flow, and corporate debt, aiming to minimize the need for equity capital from the parent entity.
06
RENOVA acquired shares in two US projects totaling 500MW (200MW BESS in Texas, 150MW PV + 150MW BESS hybrid in Texas), with construction starting in 2026 and 2027 respectively.
07
Japan's 7th Basic Energy Plan (FY2040) targets renewable energy to comprise 40-50% of total power generation, requiring an additional 214.7-434.7 billion kWh (estimated 143-275 GW) of renewable capacity to be introduced.
Insights
01
RENOVA finalized FID for three BESS projects (215MW total) in February 2025, selected in the April 2024 Long-Term Decarbonization Power Source Auction, and expects to finalize a 20-year offtake agreement with Tokyo Gas Co., Ltd for another 30MW BESS project shortly.
02
RENOVA's biomass power plants operating over one year (Akita, Kanda, Sendai Gamo, Ishinomaki Hibarino) achieved high capacity factors ranging from 87% to 93%, significantly exceeding the Japanese average of 63.1% to 72.9% for similar facilities.
03
RENOVA plans to double its EBITDA by FY2027 and triple it by FY2030, with operating profit targeted to increase by JPY 100 million in 2027 and JPY 200 million by 2030.
04
The net present value of RENOVA’s projects in operation and under construction is projected to increase from approximately JPY 160 billion in FY2024 to JPY 280 billion by FY2030.
05
RENOVA plans additional investments of JPY 340 billion by FY2030, funded through highly leveraged project finance, operating cash flow, and corporate debt, aiming to minimize the need for equity capital from the parent entity.
06
RENOVA acquired shares in two US projects totaling 500MW (200MW BESS in Texas, 150MW PV + 150MW BESS hybrid in Texas), with construction starting in 2026 and 2027 respectively.
07
Japan's 7th Basic Energy Plan (FY2040) targets renewable energy to comprise 40-50% of total power generation, requiring an additional 214.7-434.7 billion kWh (estimated 143-275 GW) of renewable capacity to be introduced.