session 8 takejiro sueyoshi
TRANSCRIPT
GREEN FUND
JAPAN`S EXPERIENCES
Green Finance Organisation JAPAN CEO Takejiro Sueyoshi
13TH OCTOBER 2016
Green Bank Congress 2016
<A collaborative platform to share best practices in green financing> 2013: Edinburg (UK Green Investment Bank) 2014: New York (New York Green Bank) 2015: Kuala Lumpur (Green Tech Malaysia) 2016: Tokyo (Green finance Organization) <recent trends> ・renewable energy projects ・energy-saving of commercial buildings /residential houses ・recycling of natural resources ・mobilization of green capital from commercial banks, pension funds, insurance companies ・energy policy to social policy ・emerging new green banks
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Green Bank Congress 2016
< participants> + UK Green Investment Bank plc (UK) + Clean Energy Finance Corporation (Australia) + Connecticut Green Bank (USA) + Malaysian Green Technology Corporation (Malaysia) + Green Finance Organisation (Japan) + Energy Action Network, Vermont (USA) + Organisation for Economic Co-operation and Development(OECD) + The Coalition for Green Capital (USA) + The Natural Resources Defense Council (USA) + Korea Environmental Industry & Technology Institute (Korea) + Green Climate Fund + Bank of Japan (Japan) + Government Pension Investment Fund (Japan) + Climate Action Network International + Climate Works
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• Launched : May 2013 ・ Mission: To accelerate green finance towards a low carbon society in Japan by supporting renewable energy projects • Funding source: Climate Chang Mitigation Tax
• Fund Scale : 15.3b JPY (approx. 153 mil USD)
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Green Fund of Japan
Support projects which reduce CO2 emissions and revitalize local communities Create a new stream of private green capitals
create "success models"
Spread the models nationally
Equity Investment + with a part of ownership, we support projects as a whole
a low carbon society in Japan
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We aim to…..
Loan Debt
<Financial Structure>
Invest
Financial institutions
etc
Sponsor
Invest
Climate Change
Mitigation Tax
Green Fund
Equity
A funding structure
Equity
Low Carbon Project
* Our investment is limited to 1/2 of the total equity amount.
*
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( Distributed Solar Project for snow region)
• Investment from the Green Fund to the Aidu area in Fukushima is going to support not only the promotion of renewable energy but also restoration from the disaster of the Great East Japan Earthquake in 2011.This project is a model of widely distributed smaller solar power generations designed for snow and ice regions.
Fukushima Solar Power Project
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Equity (About $0.5 millions)
Regional banks
Green Fund
Aidu Electric Power co.
Aidu Solar Citizen Fund Ai Power Asset Co.(SPC)
Project cost:About $4.2million Output: 1,450kW
Electric power company
Electric power
Loan
Equity
Equity
Electric works
PV panels and equipment
Landlords (llocal residents)
Land lease Power Generation sites ■Iwatsuki site(300kw) ■ 50kw(20sites:total1,150kw)
Regional electric works company
Regional construction company
Construction
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United Renewable Energy
Company (SPC)
Power Output:20,000kW
Project Cost:About 12.5 Bil JPY
PPS and Tohoku Electric Power
Company
Regional forestry
Sales of electricity
Sumitomo Heavy Industries
Biomass Boiler and power generation
Fuel trading company
※1 Preferred stocks ※2 Common stocks
Financial institutions
Green Fund
Subsidy loan
United Corporation
Other investors
7,500 Mil JPY
3,100 Mil JPY
700 Mil JPY
500 Mil JPY
800 Mil JPY
Regional unused wood
Sub-fuel (PKS)
Debt
Equ i T y
※2
※1
Wood biomass power generation project in Akita
(100 JPY/US$)
Hokkaido Wind Power Generation
Atsuta Civil Wind Power Generation
(SPC)
Power Output:4,000kW Project cost: about 1,500 Mil JPY
Ishikari city
Hokkaido Electric Power Company
Sales of electricity
Donation
Debt 1,290
Mil JPY
Equity 210
Mil JPY
Hokuto Bank Hokkaido Bank
Civil Fund
Green Fund
Venti Japan
Civil Wind Power Company (main
sponsor)
Seikatsu Club (Co-op)
EPC
Contract for project development, maintenance Construction
Civil Wind Power Company (main sponsor)
Seikatsu Club (Co-op)
Atsuta regional areas
Donation
(100 JPY/US$) 11
Regional contributions
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Creation of New employment
Activating Forestry
Procurement Maintenance
Power plant Construction
Transportation
Wood Chip Factory
Creation of new demand
New factory, new employment Working opportunity for up to 300 and more workers
Utilization of regional companies
Utilization of unused woods left in the mountains
Different from other types of renewable energy projects, new employment is created (for wood chip factory and Transportation)
Wood biomass power generation project in Akita
Transactions
Total(amount of investment)
($1,000)
amout ofinvestment
numberof cases
amout ofinvestment
numberof cases
amout ofinvestment
numberof cases
amout ofinvestment
numberof cases
Solar 500 1 4,400 3 6,700 2 11,600 6Wind 6,000 2 0 0 13,900 2 19,900 4Hydro 0 0 6,350 2 0 0 6,350 2Biomass 2,000 2 15,000 3 0 0 17,000 5Binary 3,000 1 0 0 0 0 3,000 1Mixture 0 0 5,000 1 7,000 1 12,000 2Total 11,500 6 30,750 9 35,600 8 77,850 23
FY2013 FY2014 FY2015 Total
17%
29%
9%
24%
4% 17%
Solar Wind Hydro
Biomass Binary Mixture
30%
20%
10%
25%
5%10%
Solar Wind Hydro
Biomass Binary Mixture
Total(number of cases) (100 JPY/US$)
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Our Challenges • Introduction of new technologies not well experienced in Japan ➢ Small scale biomass power generation by wood gasification process ➢ Biomass power generation by methane gas process (wastes from home, food plants and agriculture) ➢ Off shore wind power generation ➢ Hydrothermal (including hot spring) power generation ➢ Small-medium scale hydropower generation
• Other Challenges ➢ Nationwide recognition of Green Fund ➢ Human resources development within Green fund ➢ Capacity building of regional banks 13