Mitsui Group Wins Wind Power Line Deal in Japan

A joint venture between Mitsui & Co., Marubeni Corp., and SoftBank Corp.'s renewable energy unit won a contract to build transmission lines in Hokkaido to increase wind power capacity in a government pilot project.

Eurus Energy Holdings Corp., a Tokyo-based clean energy developer, was chosen for a separate contract for the same project, the Economy, Trade and Industry Ministry said in a statement.

"The project is intended to service and identify technical issues in areas that are suitable for wind power generation with weak transmission networks," the ministry said.

The ministry will cover half of the total project costs, according to an application for the subsidy issued in September.

The ministry has allocated ¥25 billion for the project for the year ending March 31, according to its website.

Japan is seeking to diversify its energy mix after the 2011 crisis at the Fukushima No. 1 nuclear power.

The country began an incentive program for clean energy in July 2012, which boosted mostly solar energy among the five types of renewables covered by the program.

Solar plants typically require less time to build compared with wind and geothermal.

The joint venture comprising the two Japanese trading companies and SB Energy Corp., all based in Tokyo, will cover an area around Mashike, Hokkaido, where wind capacity is estimated to be between 300 megawatts and 600 megawatts, according to the statement.

source worldwire