The energy storage platform jointly established by Stonepeak and CHC (the “Platform”) today announced that it has secured 20-year fixed revenue capacity market contracts for five battery energy storage system (“BESS”) projects totaling 348MW of gross capacity in the latest round of Japan’s Long-term Decarbonization Auction (the “Auction”).
The contracts represent the Platform’s second consecutive win in the government tender, following the inaugural Auction in 2024, in which the Platform was awarded contracts for four BESS projects totaling 131MW.
Pursuant to the terms of the Auction, the Platform will enter into capacity market contracts with the Organization for Cross-regional Coordination of Transmission Operators, Japan (“OCCTO”) for the five awarded BESS projects, thereby formalizing the 20-year government offtake agreement, and will continue progressing with late-stage development to prepare the BESS projects for construction and operations.
“We are delighted with the results of the latest Long-term Decarbonization Auction, which position the Platform well to continue supporting grid stability and reliability while facilitating Japan’s carbon neutrality objectives. We are grateful for the consideration of the Review Committee throughout this process,” said Ryan Chua, Senior Managing Director at Stonepeak. “We look forward to continuing to work with CHC to further the Platform’s strong position in Japan’s energy storage market.”
“CHC is pleased with the Platform’s success in the latest Auction round, which highlights the value we bring to Stonepeak as a trusted partner and reinforces CHC’s commitment to the ongoing development of battery energy storage projects in Japan,” said Ahmed Al-Awa, Director at CHC. “CHC looks forward to continuing to play a major role in the development of the Japanese BESS market and supporting Japan in meeting its energy transition goals.”
businesswire.com
