Vena Energy has announced that its NRE Nakagawa 2 Battery Storage Project, with an awarded capacity of 46.828 MW, has been selected under Japan’s FY2025 Long-Term Decarbonised Power Source Auction (LTDA) conducted by the Organisation for Cross-regional Coordination of Transmission Operators (OCCTO).

The battery storage project is currently under development in Japan and is designed as a grid-connected battery energy storage system (BESS) near Matsumoto City in Nagano Prefecture.

The LTDA scheme was introduced in fiscal year 2023 to support Japan’s target of achieving carbon neutrality by 2050. The programme provides long-term revenue certainty for selected decarbonised power projects, supporting investment and helping developers recover development and capital costs.

The selection of the NRE Nakagawa 2 project expands Vena Energy’s battery storage portfolio in Japan. It follows the commencement of commercial operations at the company’s Hikone Battery Storage Project in 2025.

According to Vena Energy, battery storage deployment is expected to play a role in managing the intermittency of renewable generation and improving the efficient utilisation of electricity as Japan increases its reliance on decarbonised power sources.

Raul Rienda, Head of Japan at Vena Energy, said the selection of the project under the FY2025 LTDA would support efforts to strengthen the reliability and resilience of Japan’s power system.

Vena Energy said it will continue to engage with local communities and consider environmental factors as it advances the NRE Nakagawa 2 project.

The company is developing the project as part of its broader focus on battery storage and renewable energy infrastructure in Japan, supporting the country’s long-term decarbonisation objectives.