Japan’s largest power generation company, JERA, has ventured into the U.S. solar market through its subsidiary, JERA Nex. The company announced it has acquired two solar projects totaling 395MW from Lightsource bp. This move signifies JERA Nex’s first acquisition since its establishment in April, marking a milestone in its renewable energy agenda.
JERA Nex has now expanded its portfolio with the Oxbow solar farm in Louisiana, which is the largest in the state, and the Happy solar farm in Arkansas. Alongside this acquisition, JERA Nex aims to contribute significantly to its parent company’s goal of developing 20GW of renewable capacity by 2035. While Lightsource bp retains responsibility for asset management and maintenance, JERA Nex’s entry signifies a larger ambition to scale its operations both in the U.S. and globally.
Strategic Expansion in Renewable Energy
The Oxbow solar farm, boasting a 300MW capacity, has secured long-term power purchase agreements (PPAs) with corporate clients like eBay, while the 95MW Happy solar farm in Arkansas has a PPA with Conway Corp, the local utility provider in Conway. This strategic acquisition not only aids JERA Nex in broadening its renewable energy footprint but also supports local communities with sustainable energy solutions. JERA Nex’s Vice President, Richard Scott, expressed enthusiasm about this first step into the U.S. solar market, highlighting the company’s ambitious plans for future expansions.
“We are delighted to take our first step into the US solar market with the acquisition of these projects. This first transaction since our recent launch is an indication of our ambitious plans to scale onshore and offshore renewables for a sustainable future; we hope to build a broader onshore renewables portfolio in the US and globally.”
Partnerships and Local Impact
Lightsource bp, which developed the solar farms, will continue to provide essential asset management and operations services. Emilie Wangerman, the Chief Operating Officer of Lightsource bp U.S., underscored the importance of finding a reliable partner in JERA Nex for the projects. This partnership is expected to ensure the continued success and operational efficiency of the solar farms, benefitting the local communities while advancing global renewable energy initiatives.
“It was very important to Lightsource bp to find a reliable and like-minded partner for projects that are integral to the local community. We are proud of the successful development of these solar farms and confident that they will continue to thrive under the stewardship of JERA Nex.”
JERA Nex’s acquisition of these solar projects aligns with its broader strategy to scale renewable energy operations globally. Lightsource bp’s continued involvement highlights a collaborative effort to ensure the sustainable operation of these projects. This move also underscores the increasing trend of partnerships between established energy companies to drive forward global renewable energy goals. The Oxbow and Happy solar projects are crucial steps in realizing JERA Nex’s vision of a sustainable and renewable energy-driven future, aligning with broader industry trends of increasing investments in clean energy.
JERA Nex’s foray into the U.S. solar market signals a robust commitment to expanding its renewable energy footprint. The acquisition of substantial solar assets from Lightsource bp demonstrates a strategic move towards achieving significant capacity in renewable energy. This partnership is poised to drive sustainable energy solutions, benefiting local communities and contributing to global efforts in mitigating climate change. The ongoing support from Lightsource bp ensures that these projects will maintain their operational success, fostering a reliable and sustainable energy future.
