KEPCO, Mitsubishi joint venture focused on biomass power in Japan
Mitsubishi Corp. Power Systems Inc., a wholly owned subsidiary of Mitsubishi Corp. and Kansai Electric Power Co. Inc. (KEPCO) have established a new joint venture. The JV, Aioi Bioenergy Corp., is being set up to promote and develop biomass power generation business in Japan. The new venture will have an initial capital of 450 million yen ($4 million), with 40 percent being invested by MCP.
The project is aiming to facilitate the conversion of fuel used at the second unit of KEPCO's 375-MW Aioi Power Station in Hyogo Prefecture from its current heavy oil or crude oil sources to woody biomass. The project will also contribute to controlling overall carbon dioxide emissions, due to its use of naturally derived pellet fuel.
MCP already operates some 73 MW of power generated from solar projects, and is developing and constructing wind and geothermal power generation projects across Japan. The new project expands on these existing renewable energy initiatives.
MC and its subsidiaries intend to continue working with local and international partners to develop power generation projects that use renewable energy, thereby contributing to increased energy self-sufficiency and the growth of new industries in Japan, while at the same time helping combat greenhouse gas emissions.