Total begins construction of third solar power plant in Japan

Total Solar International has begun construction of Miyagi Osato Solar Park, a large-scale solar plant in Japan.

Commenting, Tom Heggarty, Wood Mackenzie Senior Analyst, said: "With the launch of construction of its third solar PV plant in Japan, Total continues to progress with its expansion into large-scale renewable energy development.

"Total is now active across the solar PV value chain. Its SunPower subsidiary manufactures PV modules with a focus on the distributed generation market. Additionally, Total is developing large-scale installations organically through Total Solar and its minority stake in Total Eren. This is a continuation of a trend among the European oil and gas Majors, with Shell, BP, Equinor, ENI and Repsol all now active participants in the global solar PV market."

"Although a declining market for large-scale solar (>1 MW), Japan is expected to install close to 7 GW of large-scale solar capacity in the next five years. There remains a considerable pipeline with attractive FIT rates that were awarded several years ago. Projects are difficult to execute and costs are high compared to other markets. However, the legacy awarded FIT projects of >200 USD/MWh remain attractive for those that are able to take it to the finish line, especially with the backdrop of decreasing solar costs," added Rishab Shrestha, Wood Mackenzie Analyst.