Tamagawa Holdings Co Ltd announced May 15, 2014, that it has signed a lease contract with Ricoh Leasing Co Ltd (Koto Ward, Tokyo) for a set of power generation facilities at a mega (large-scale) solar power plant with an output capacity of about 2MW.
The plant, "Chiba Prefecture Tateyama City Mega Solar Power Plant," will be built by a subsidiary of Tamagawa Holdings in Tateyama City, Chiba Prefecture, Japan. The construction of the plant will begin by mid-June 2014, and it will start operations at the end of February 2015.
The lease will begin in mid-February 2015, and the set of solar power generation facilities will be a leased asset. Tamagawa Holdings will pay a total of ¥900,900,000 (approx US$8.86 million) to Ricoh Leasing.
The mega solar plant was certified with a tariff of ¥42 (including tax) per 1kWh and is expected to generate accumulated sales of about ¥1.86 billion in 20 years. The accumulative operating profit, which is calculated by deducting the lease expense, etc, is expected to be ¥950 million in 20 years. By employing a leasing scheme, it becomes possible to efficiently invest capital, Tamagawa Holdings said.
Fuji Furukawa Engineering & Construction Co Ltd will provide EPC (engineering, procurement and construction) services. The solar panel and PV inverter employed for the plant are products of SunPower Corp and Toshiba Mitsubishi-Electric Industrial Systems Corp (TMEIC), respectively.
The Tamagawa Holdings group has been running a mega solar business since the implementation of the FIT policy. Currently, Tamagawa Holdings is steadily selling electricity generated at "Shimonoseki City Mega Solar Power Plant." And, commenting on Chiba Prefecture Tateyama City Mega Solar Power Plant, the company said, "It will be built on a favorable site and is expected to contribute to increasing profits."