Tokyo Marriott Hotel
Most of the biomass power producers in Japan are selling their output via the government's feed-in tariff (FiT) program. It requires utilities to buy renewable energy at a fixed price. At the moment, large biomass plants, that use wood or agricultural waste feedstock, can sell at a fixed rate of 21 yen per kilowatt-hour. However, the program isn't cost competitive compared to coal energy.
eRex, Japan's power supplier, is planning to build the largest biomass power plant to date in Japan with the aim that the scale of the facility will provide healthy margins and allow to skip FiT program altogether.
Right now, eRex is conducting feasibility study, with the expected plant planned sometime in 2024 or 2025 in eastern Japan. To be built at a cost of approximately 90 billion yen ($812 million), the plant will have a capacity of 300 MW.
eRex plans to reap economies of scale in operation and fuel procurement at the proposed plant and aims to make it as economical as coal energy, which costs around 12 yen per kilowatt-hour.
Lean more about Japan's latest biomass energy markets at CMT's 10th Biomass Pellets Trade & Power on 13-16 May, 2019 in Tokyo, Japan.
Contact Ms. Huiyan Fu at firstname.lastname@example.org or +65 6346 9113 for more details.