GE Energy Financial Services Invests in Japan’s Renewable Energy Power Market

June 9, 2014 by  
Filed under Green Energy News

OKAYAMA, Japan, Jun 09, 2014 (BUSINESS WIRE) –
Expanding its international and renewable energy footprints, GE unit

/quotes/zigman/227468/delayed/quotes/nls/ge GE

GE Energy Financial Services has invested in a 32-megawatt
solar photovoltaic power project in Japan. This transaction, with
project developer Pacifico Energy, contributes to GE Energy Financial
Services’ plan
to invest over USD $1 billion annually

in renewable energy projects
worldwide. Financing for the solar project, known as Kumenan, was done
on a non-recourse project finance basis and was supported by a JPY ¥11
billion loan from The Bank of Tokyo-Mitsubishi UFJ and The Chugoku Bank
Ltd. Additional financial details were not disclosed.

Located in the prefecture of Okayama, Kumenan has started construction
and is expected to reach commercial operations in the first quarter of
2016. With approval by Japan’s Ministry of Economy, Trade and Industry,
it will sell power to a regional utility through a 20-year power
purchase agreement at a fixed tariff rate. Pacifico Energy — a
utility-scale solar project developer based in Tokyo, and a subsidiary
of Virginia Solar Group — is managing construction and operations. Toyo
Engineering Corporation is the construction company on the project, and
photovoltaic modules are supplied by Yingli Green Energy.

With Japan looking to diversify its power generation mix, it has set a
goal of producing about 20 percent of its power from renewable sources
by 2030 and implemented a feed-in tariff which attracts investments.
David Nason, president and chief executive officer of GE Energy
Financial Services, noted that Kumenan helps Japan meet its renewable
energy targets and sets the stage for future investments by the GE unit.

“Our investment in Kumenan advances our global growth into new markets
with a strong risk-return profile,” said Nason.

GE Energy Financial Services has made project investment commitments of
USD $1.8 billion in equity and debt in more than one gigawatt of solar
power projects worldwide. The business unit also intends to finance
Japan’s largest solar project, in Setouchi, expanding its foothold in
the region.

The president of Pacifico Energy, Kazuomi Kaneto, noted that the company
seeks financial partners to support its project operations and
management capabilities. “To maximize our project development expertise
and free up capital,” he said, “we partner with experienced investors
like GE Energy Financial Services, which can offer flexible financial
structures, strong bank relationships and technical know-how to help
enable certainty of execution.”

Pacifico Energy intends to start construction on 200 megawatts of solar
power projects this year across four advanced projects.

Note to Editors:

View a 3D
rendering of the Kumenan solar project

, located in the prefecture of
Okayama, Japan.

About Pacifico Energy K.K.

Founded in 2012 to help meet Japan’s domestic energy needs, Pacifico
Energy is a Japanese power plant development company focused on solar
photovoltaic projects. Pacifico Energy covers all aspects of solar power
plant development, including permitting, design, financing,
construction, and asset management. Based in Tokyo, Pacifico Energy’s
strength is in its team and investment partners consisting of
professionals with deep solar industry and energy experience. The
company is backed by the Jamieson Group, a California based oil
gas/real estate enterprise with annual revenues of over USD $800
million. Pacifico Energy plans to start construction on 200MWdc of solar
in 2014 comprised of 4 advance stage projects. For more information
please see:

About GE Energy Financial Services

GE Energy Financial Services—GE’s energy investing business—works as a
builder, not just a banker, to help meet the world’s power and fuel
needs. We offer more than money—expertise—for essential, long-lived and
capital-intensive power, oil and gas infrastructure—GE’s core business.
Drawing on GE’s energy technical know-how, financial strength and risk
management, we see value where others don’t and take on our customers’
toughest challenges with flexible equity and debt transaction
structures. Based in Stamford, Connecticut, GE Energy Financial Services
holds approximately USD $16 billion in assets. More information:
Follow GE Energy Financial Services on Twitter: @GEEnergyFinServ

About GE


/quotes/zigman/227468/delayed/quotes/nls/ge GE

works on things that matter. The best people and the best
technologies taking on the toughest challenges. Finding solutions in
energy, health and home, transportation and finance. Building, powering,
moving and curing the world. Not just imagining. Doing. GE works. For
more information, visit the company’s website at

SOURCE: GE Energy Financial Services

Japan Inquiries:

Pacifico Energy
Hio Cho, +81 3 4540

Sumito Koike, +81 3 5544 3847


GE Energy Financial Services
Jaclyn Cole,

Copyright Business Wire 2014


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