Itochu Inks Long-Term Renewable Energy Agreement with Google

Japan’s Itochu Corporation announced a long-term virtual Power Purchase Agreement (PPA) with Google for the provision of renewable energy in Japan through Clean Energy Connect Co., Ltd. (CEC), an Itochu portfolio company.

Itochu, headquartered in Tokyo, invested in CEC in November 2021 to meet the rising demand for renewable energy driven by generative AI and data centre operations.

CEC currently operates 1,200 non-FIT low-voltage solar power plants, generating over 100 MW of power. The new agreement, effective from 2024, includes approximately 72 MW from about 800 dedicated solar power plants for Google, to be developed by 2026.

Shinji Okuyama, Vice President of Google Japan, highlighted the significance of the agreement in achieving Google’s 2030 goal of operating on 24/7 carbon-free energy across all its grids. The initiative will support Google’s Inzai Data Center and its growth in Japan through an aggregated network of small-scale solar plants.

In addition to this agreement, Itochu and CEC aim to introduce approximately 5,000 solar power plants in Japan by FY2025, with a total output of 500 MW. This will be achieved through the development of new customers and the provision of power management services utilizing power trading functionalities.

This collaboration aligns with Google’s sustainability goals and also strengthens Itochu’s commitment to expanding renewable energy infrastructure and providing environmental value through innovative energy solutions.