Tokyo Metro Becomes First Railway Operator to Introduce a Virtual Onshore Wind PPA Set to Partially Transition Electricity Used by Ginza Line to Virtually 100% Renewable Energy
October 15, 2024
Cosmo Energy Holdings Co., Ltd.
Cosmo Eco Power Co., Ltd.
Tokyo Metro Co., Ltd.
TEPCO Energy Partner, Inc.
Cosmo Energy Group company, Cosmo Eco Power Co., Ltd. (hereafter, “Cosmo Eco Power”), Tokyo Metro Co., Ltd. (hereafter, “Tokyo Metro”), and TEPCO Energy Partner Co., Ltd. (hereafter, “TEPCO EP”) have entered into a virtual power purchase agreement (PPA) utilizing onshore wind power, effective September 27, 2024. This agreement, referred to as “this PPA,” relates to the provision of environmental value associated with power generated at a non-FIT power generation facility1.
A corporate PPA is a contract in which a consumer directly purchases renewable energy from a power producer. A virtual PPA2, meanwhile, is a type of agreement where the consumer procures only the environmental value of renewable energy generated at a dedicated power plant located on a site other than their own. This agreement represents the first instance of a virtual PPA utilizing onshore wind power in Japan's railway industry3.
Through the conclusion of this PPA, Tokyo Metro will receive the environmental value equivalent to approximately 21 million kWh of generated power annually from Himekami Wind Park, operated by Cosmo Eco Power, in the form of non-fossil certificates for about 15 years. This will enable Tokyo Metro to partially transition electricity used by the Ginza Line to virtually 100% renewable energy and is expected to reduce CO₂ emissions by approximately 8,190 tons per year.
Going forward, the companies remain committed to proactively promoting the use of renewable energy in an effort to drive initiatives aimed at realizing carbon neutrality and a sustainable society.
1. Power generation facilities not covered by the FIT (Feed-in Tariff) scheme
2. For virtual PPAs involving the environmental value of renewable energy that started being generated before March 2022, it is mandatory for power to be supplied to consumers through an electricity retailer responsible for electric power supply
3. Based on publicly available information, this is the first instance of introduction by a domestic railway operator
Overview of Virtual Power Purchase Agreement (PPA) Utilizing Onshore Wind Power
１．Introduction of virtual power purchase agreement (PPA) utilizing onshore wind power
- Cosmo Eco Power will provide TEPCO EP with non-fossil certificates equivalent to approximately 21 million kWh of generated power annually from its Himekami Wind Park for about 15 years. In addition, the generated electric power will be sold to the Japan Electric Power Exchange (JEPX).
- TEPCO EP will provide Himekami Wind Park-derived non-fossil certificates together with electric power procured from other power producers.
- By utilizing this scheme, Tokyo Metro will partially transition electricity used by the Ginza Line to virtually 100% renewable energy.
◆Overview of Himekami Wind Park
| Location | Southern foothills of Mount Himekami, Morioka City, Iwate Prefecture |
|---|---|
| Operation start month | April 2019 |
| Facility capacity | 18,000kW（2,000kW × 9 wind turbines） |
2．Corporate profiles
| Company name | Cosmo Eco Power Co., Ltd. |
|---|---|
| Representative | Masayoshi Noji, President & Representative Director |
| Location | 1-6-1 Osaki, Shinagawa-ku, Tokyo |
| Date of establishment | July 1, 1997 |
| Main businesses | Sales of wind power-derived electricity, etc. |
| Capital | ¥7,164 million |
| Efforts toward carbon neutrality | As a member of the Cosmo Energy Group, Cosmo Eco Power is striving to achieve carbon net zero by 2050. With the country transitioning from the FIT scheme to the FIP scheme for renewable energy, the expertise gained from this agreement is expected to be applied to the development and operation of future offshore and onshore wind power plants in which we hope to be involved, contributing to the establishment of renewable energy as a main power source in Japan. |
| Company name | Tokyo Metro Co., Ltd. |
|---|---|
| Representative | Akiyoshi Yamamura, President & Representative Director |
| Location | 3-19-6 Higashi-Ueno, Taito-ku, Tokyo |
| Date of establishment | April 1, 2004 |
| Main businesses | Operating and managing passenger railway business, operating and managing urban design and lifestyle creation businesses |
| Capital | ¥58.1 billion |
| Efforts toward carbon neutrality | In March 2021, we set our long-term environmental goal, “Tokyo Metro Zero CO2 Challenge 2050,” aiming to reduce CO2 emissions from all Tokyo Metro Group operations by 50% by FY2030 (vs. FY2013) and achieve net-zero emissions by FY2050. We have already introduced energy-efficient trains and environmentally friendly equipment, etc. Moving forward, we will continue to further promote the use of renewable energy through various means, including virtual PPAs, to achieve our goals and contribute to creating a sustainable society that offers peace of mind. |
| Company name | TEPCO Energy Partner, Inc. |
|---|---|
| Representative | Momoko Nagasaki, President & Representative Director |
| Location | Ginza Mitsui Bldg., Ginza 8-13-1, Chuo-ku, Tokyo |
| Date of establishment | April 1, 2015 |
| Main businesses | Retail electricity business, gas business |
| Capital | ¥260 billion |
| Efforts toward carbon neutrality | By offering a variety of options, including this PPA, we aim to address the various challenges that our customers face in utilizing renewable energy, such as compliance with different systems and securing stable power sources, and to work with them to contribute to the realization of a carbon-neutral society. |
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(The official language for Cosmo Energy Group's filings with the Tokyo Stock Exchange and Japanese authorities, and for communications with our shareholders, is Japanese. We have posted English versions of some of this information on this website. While these English versions have been prepared in good faith, Cosmo Energy Group does not accept responsibility for the accuracy of the translations, and reference should be made to the original Japanese language materials.)