ENERES Co., Ltd

ENERES Co., Ltd. has entered into an offsite physical PPA [1] with Sumitomo Heavy Industries, Ltd. and Sumitomo Heavy Industries Modern, Ltd., and began supplying surplus electricity generated by solar power facilities on April 24, 2026.

As both an retail electricity provider and aggregator, ENERES has been supplying surplus renewable electricity generated by solar facilities installed at Sumitomo Heavy Industries Modern’s Futtsu No. 1 and No. 2 Plants to the company’s Yokohama headquarters since November 2025. However, as surplus electricity still remained, ENERES expanded the offsite PPA arrangement to include Sumitomo Heavy Industries’ Tanashi Works.

■Background

As Japan pursues a government-led transition toward renewable energy as a primary power source, an increasing number of companies are installing solar power generation systems to increase their use of renewable energy. However, with self-consumption solar power systems, it is not uncommon for a portion of the electricity generated to remain unused, resulting in surplus power that cannot be effectively utilized. Failure to fully utilize surplus electricity not only limits the decarbonization potential of renewable energy, but also delays the recovery of capital investment made by companies.

One way to make the most of surplus electricity is to supply it to other sites through an offsite PPA scheme. However, this requires not only accurate forecasting of weather-dependent solar generation, but also sophisticated demand forecasting to ensure supply and demand are matched in a timely manner. The technical complexity becomes even greater when electricity is shared across multiple sites.

■Initiatives

The Sumitomo Heavy Industries Group (“SHI Group”) is committed to reducing environmental impacts through both the reduction of environmental burdens arising from its business activities and the improvement of the environmental performance of its products. The SHI Group aims to achieve carbon neutrality by 2050 and has set a target of reducing Scope 1 and Scope 2 CO₂ emissions by 50% by 2030 compared with 2019 levels.

Building on the expertise gained through its core supply-demand management business, ENERES possesses forecasting technologies for electricity demand, power generation, and surplus electricity, as well as aggregation technologies that enable the efficient management and operation of energy based on those forecasts.

By applying these technologies, one of ENERES’ core strengths, surplus electricity can now be supplies within the SHI Group, enabling the maximum utilization of renewable energy without waste. The SHI Group and ENERES will continue working together to maximize the effective use of renewable energy and contribute to the realization of carbon neutrality in Japan.

■Overview of Offsite Physical PPA

Power Generation Site: Sumitomo Heavy Industries Modern Futtsu No. 1 and No. 2 Plant (Futtsu City, Chiba Prefecture)
Commencement of Offsite PPA Operations: April 2026
Power Generator: Sumitomo Heavy Industries Modern, Ltd.
Generation Capacity: Approximately 600 kW
Specified Wholesale Supplier
(Aggregator):

・Retail Electricity Provider ENERES Co., Ltd.
Consumer (Demand Site): Sumitomo Heavy Industries Tanashi Works (Yato-cho, Nishitokyo City, Tokyo)
Sumitomo Heavy Industries Modern Yokohama Headquarters and Plant (Kohoku-ku, Yokohama, Kanagawa Prefecture)
Estimated CO₂ Emissions Reduction: Approximately 132 tons per year
Company Profiles

[1] An offsite PPA (Power Purchase Agreement) is a long-term agreement under which an electricity user purchases renewable electricity and environmental attributes (physical PPA) or environmental attributes only (virtual PPA) from a power generator. An offsite arrangement refers to a structure in which renewable energy facilities are installed outside the user’s premises, enabling the use of renewable energy even when generation facilities cannot be installed on the user’s own site.