The FINANCIAL -- Hitachi Capital (Thailand) Co., Ltd. (President: Tomoki Ariizumi , "HCT"), a subsidiary of Hitachi Capital Corporation (TSE:8586, President & CEO: Seiji Kawabe, "Hitachi Capital"), Hitachi Asia (Thailand) Co., Ltd. (Managing Director: Yoshihiro Sugeta, "Hitachi Asia (Thailand)"), a subsidiary of Hitachi, Ltd. (TSE:6501, President & CEO: Toshiaki Higashihara), and SANTEC POWER SOLUTIONS CO.,LTD.(Director: Masamichi Imoto, "SANTEC") entered into Memorandum of Understanding ("MOU").
Three companies will encourage installation of the commercial solar self-consumption equipment within Hitachi Group in Kingdom of Thailand ("Thailand"), based on MOU. As the first move of three companies' collaboration, it is planned to install the solar self-consumption equipment on Gateway factory roof (Chachoengsao, Thailand) of Hitachi Automotive Systems Asia, Ltd., and will start its power generation from the end of March 2021. Furthermore, it will expand its business to Japanese and local companies in Thailand in the medium to long term.
In recent years, in light of the growing global climate change problem, there is a growing movement toward virtually zero greenhouse-gas emissions in order to realize a decarbonization society. In Thailand, the power development plan aims 33% of renewables share in the total power generation capacity in 2037. On the other hand, the needs of reducing carbon dioxide (CO2) emissions in business activities by self-consuming renewable energy such as solar power generation are increasing.
With this collaboration, HCT, Hitachi Asia (Thailand) and SANTEC will pursue installation of solar self-consumption equipment within Hitachi Group in Thailand. The customer is able to install renewable energy without its initial investment and will make payment according to the solar power generation amount. Those three companies aim to achieve 10MW of power generation capacity by 2023.
HCT, as a power producer, will enter into Power Purchase Agreement ("PPA") with a customer, and install solar self-consumption equipment including panels on the roof of commercial office or factory, as well as sell all electric powers generated.
Hitachi Asia (Thailand), as a project leader, will take the lead in project management and supply the Advance Solar String Inverter and Energy Management System, so as to attain the objective of a smart, sustainable society powered by green energy.
SANTEC offers one stop services - design, procurement, construction and maintenance, as a construction and maintenance contractor. SANTEC is a subsidiary of SANKO Group which has a large track record of solar power and industrial plant business internationally. SANTEC will provide trouble-free and high quality construction and maintenance by making use of its group's knowledge and experience.
Hitachi Capital Group has been developing and operating its solar and wind powers, as well as, installing the solar self-consumption equipment at a company aiming to decarbonize with PPA, in Japan. This is the first time for Hitachi Capital Group to enter the solar self-consumption solutions in overseas. Taking this opportunity in Thailand, Hitachi Capital Group will accelerate its solar self-consumption solutions globally and contribute to building decarbonization society.
Hitachi Asia (Thailand)'s role is to develop and expand Hitachi group's business in Thailand. Solar Power Generation will be a part of its solutions to extend our social innovation business.
SANTEC has been offering its solar power solutions since 2018, and, will contribute to the society as a member of this collaboration in Thailand where is expected to be increasingly developed renewable energy business moving forward.
HCT, Hitachi Asia (Thailand) and SANTEC will contribute to solving customers' issue through pursuing the solar self-consumption solutions and realizing the decarbonization society in Thailand by expanding this business to all over the country.