Japanese household solar container battery

Why is battery storage important in Japan?

They store solar power for use at night and ensure a steady green energy supply, crucial for Japan’s sustainability goals and the Green Transformation (GX) initiative. In short, battery storage is now crucial due to the boom in solar power and the increasing demand for green energy from emerging industries.

How big is Japan's battery storage capacity?

Rystad forecasts Japan's battery storage capacity could reach about 4 GW based on projects under construction, planned and awarded, which would require $6 billion in investment.

Why are Japanese companies investing in battery energy storage systems?

That is creating surging interest in battery energy storage systems (BESS) to smooth mismatches in supply and demand. Since December 2023, companies have announced investments of at least $2.6 billion in Japanese battery storage projects, according to calculations by Reuters.

Does Tokyo Gas have a battery energy storage system?

Tokyo Gas is also participating in the Japanese utility-scale battery energy storage system (BESS) market, signing a 20-year tolling offtake deal with Australian developer Eku Energy for a forthcoming 30MW/120MWh project.

What is Japan's storage battery industry strategy?

The “Storage Battery Industry Strategy” document from METI sets out three key targets: Boost Domestic Manufacturing: Japan aims to ramp up its domestic production of automotive storage batteries to 100 GWh by 2030, with a long-term goal of reaching 150 GWh annually. This move highlights the potential for foreign companies to invest in Japan.

What is Japan's energy storage policy?

As policy, technology, and decarbonization goals converge, Japan is positioning energy storage as a critical link between its climate targets and energy reliability. Japan’s energy storage policy is anchored by the Ministry of Economy, Trade and Industry (METI), which outlined its ambitions in the 6th Strategic Energy Plan, adopted in 2021.