GE Energy Financial Services completes financing transaction for 42MW solar project in Japan

10 December 2014 (Last Updated December 10th, 2014 18:30)

GE Energy Financial Services has provided financing for the construction of 42MW Mimasaka Musashi solar photovoltaic (PV) plant in Japan.

GE Energy Financial Services has provided funding for the construction of the 42MW Mimasaka Musashi solar photovoltaic (PV) plant in Japan.

The plant is being constructed by Pacifico Energy, a Tokyo-based subsidiary of Virginia Solar.

Mimasaka Musashi has also received a JPY13bn ($109m) credit facility from the Bank of Tokyo-Mitsubishi UFJ and Chugoku Bank.

The plant is likely to start commercial operations in the third quarter of 2016 and will sell its generated electricity at a fixed tariff rate to Chugoku Electric under a 20-year power purchase agreement (PPA).

"GE Energy Financial Services is committed to building a long-term relationship with Pacifico Energy and helping Japan meet its renewable energy targets."

Yingli Green Energy and TMEIC, a Toshiba and Mitsubishi joint venture, will be supplying the photovoltaic panels and inverters for the facility.

Toyo Engineering is responsible for the construction of the project.

GE Energy Financial Services managing director and Japan business leader Sushil Verma said: "We are committed to building a long-term relationship with Pacifico Energy and helping Japan meet its renewable energy targets."

Virginia Solar partner Nate Franklin said: "We are excited about partnering again with GE on a second project.

"This investment helps Mimasaka achieve its goal of transforming itself into a zero emission city."

So far, GE Energy Financial Services has provided a sum of more than $1.8bn for approximately 1GW of solar power projects across the world. It intends to invest around $1bn annually on renewable energy, reports Bloomberg.

Energy