French energy giant TotalEnergies has signed a joint venture agreement with ENEOS to develop on-site B2B decentralized solar generation across Asia.
The 50/50 joint venture between two major players in the field plans to develop 2 GW of decentralized solar capacity over the next five years.
TotalEnergies said the partnership would capitalize on the strengths of both companies. The French company will rely on its expertise in this market segment and its global presence and ENEOS will use its expertise in renewable energies and its strong brand mainly in Japan to reduce the costs of decentralized solutions offered to industrial and commercial customers.
According to the company, this would make the joint venture one of the most competitive service providers in the region.
“We are delighted to partner with ENEOS, one of Asia’s most dynamic and established renewable energy players. Through this joint venture, we will provide one of Asia’s most efficient solutions for helping our B2B customers achieve their sustainability goals while reducing costs.” said Vincent Stoquart, senior vice president of renewables for TotalEnergies.
“With this partnership, TotalEnergies once again demonstrates its commitment to Asia, a key continent to reach our target of 100 GW of renewable generation capacity by 2030,” he added.
“We strongly believe that TotalEnergies, one of the world’s leading energy companies, is the best partner for us as we both increasingly develop the renewable energy sector in the global energy transition,” said Katsuki Arisa, Senior Vice President, Chairman and CEO of Resources and Power Company for ENEOS Corporation. “In addition to the highly competitive business model that TotalEnergies has developed, we will use our strong brand and customer network in Japan and Asia for the business expansion of this joint venture. We are confident that this partnership will enable us to expand this business effectively and efficiently in Asia, including Japan.
TotalEnergies currently has a global portfolio of 2 GW of distributed solar generation in operation, under construction or in development. ENEOS, on the other hand, is developing the distributed generation business with one of the largest renewable energy generation capacities in Japan.
In the long-term vision of the ENEOS Group until 2040, ENEOS places next-generation energy supply and community services, including distributed energy sources, as one of its growth activities.
The closing of the transaction is expected in the second quarter of 2022 after competition clearance by the competent authorities.
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