HD Renewable Energy Co announced on 29 May its Japanese subsidiary’s successful acquisition of two bids for long duration decarbonised energy storage systems in the Japanese market. The two systems have a combined capacity of 73 MW and an energy storage capacity of 97.9 MWh. The projects, situated in Mie-ken, Kinki, and Fukuoka, Kyushu, are scheduled to commence operations by 2027. Although the Japanese market’s total estimated potential exceeds 5GW for such systems, the current bidding volume was only 1.09 GW. HDRE’s procurement of 73 MW in this round represents a strategic entry for the Taiwanese firm into Japan’s burgeoning energy storage sector.
Jason Chou, general manager of HDRE, outlined the company’s ambitious plan to build 1.5 GW of energy storage systems in Japan over the next three years, involving a capital investment of approximately NT$50 billion. Following the successful bid, HDRE will benefit from a 20-year subsidy.
In Japan, the energy storage market is divided into three segments: frequency regulation, spot, and capacity. After establishing the project, HDRE will use AI optimisation analysis models that will inform its forecasts and trading strategies across various regional markets and commodities. The approach aims to pinpoint the optimal times for energy storage and release its systems to maximise returns.
HDRE is aiming to establish itself as a forerunner in the field of intelligent power, and also to extend its activities to international power markets. Commencing its global expansion in power-liberalised markets such as Japan and Australia, HDRE plans to leverage its comprehensive competitive edge in green energy integration, and intends to capitalise on its aggregator status to bridge supply and demand gaps, forming a virtual power plant (VPP).
