Korea Electric Power Corporation (KEPCO) launched on June 15, 2017 initial pressurization and trial operation of a 28MW solar photovoltaic power plant in Chitose, Hokkaido, Japan. This is KEPCO’s first solar photovoltaic power plant combined with energy storage system (ESS) built overseas, generating 28MW of solar photovoltaic power combined with 13.7MWh ESS facilities.
Having installed 123,480 solar modules and ESS facilities in an area of about 1.09 million square meters near the New International Airport of Chitose, KEPCO will start commercial operation of the solar photovoltaic power plant on July 5, 2017 after conducting trial operation for 20 days.
“As the first overseas solar photovoltaic power generation project, this plant will serve as a touchstone for identifying our competitiveness in advanced markets including Japan,” said Cho Hwan-eik, President of KEPCO, when he visited the plant on June 14. “Based on knowhow obtained from this project, KEPCO should become an organization that incessantly pursues new values such as overseas markets of new energies jointly with other companies in Korea.”
Investing a total of about 11.3 billion yen (approx. $99.4 million) where it holds 80% in the stake, KEPCO broke ground for construction of the plant on April 20, 2016 under engineering, procurement and construction along with operation and maintenance (EPC-O&M) contract jointly with Energy Product, a Japan-based renewable energy company.
After receiving completion approval from the Japanese government, KEPCO will sell electric power to Hokkaido Electric Power Company for 25 years thereafter for about 31.7 billion yen (approx: $279 million). It is expected to gain KRW12.7 billion (approx. $11.17 million) in annual revenue and KRW2.56 billion (approx. $2.25 million) in annual dividend income during this period. Official completion of the plant is expected to be concluded when comprehensive efficiency test of its system for 3 months is finished after launch of its commercial operation and obtainment of government’s approval. This project is a positive demonstration of Korea’s excellent renewable energy combination technology in the international community.
LS Industrial System joined the project as an EPC and O&M company for 25 years. And KEPCO used equipments and materials from 13 Korean companies. Through the project, KEPCO and other Korean companies including LS Industrial System obtained knowhow and track records of developing and operating solar photovoltaic power plant overseas, while exporting equipments and materials, such as photovoltaic modules, batteries and transmission and distribution installations.