What is the physical PPA that Tokyo Metro has entered into?

It is a system where the power and environmental value from a solar power plant built offsite (offsite) are purchased together and supplied through the existing power grid.

How much CO2 will be reduced through this initiative?

An annual reduction of approximately 798 tons is expected. This is equivalent to about 15% of the CO2 emissions from the 15 commercial facilities involved.

When will the power supply begin?

The supply is scheduled to start in April 2026.

First for Subways: Tokyo Metro and Kansai Electric Power Sign Physical PPA for Decarbonization

Published Mar 31, 2026 11:00 PM ・ Updated Jun 28, 2026 10:59 PM ・ 3 min read ・ Source: PR TIMES

Tokyo Metro and Kansai Electric Power have signed the first Physical Power Purchase Agreement (PPA) in the Japanese subway industry. Starting April 2026, renewable energy from a newly developed 990kW solar plant will be supplied to 15 commercial facilities, aiming to reduce CO2 emissions by approximately 798 tons per year.

Tokyo Underground Co., Ltd. (Tokyo Metro) and Kansai Electric Power Co., Inc. (KEPCO) have signed a Physical PPA, a first for a subway operator in Japan. Under this agreement, KDS Solar LLC will develop and operate a solar power generation facility with a capacity of approximately 990kW. Starting in April 2026, KEPCO will act as the retail electricity provider, supplying renewable energy and environmental value to 15 of Tokyo Metro's commercial facilities and other sites.

This agreement is expected to result in an annual CO2 reduction of approximately 798 tons at the targeted facilities, equivalent to about 15% of their total annual CO2 emissions. Tokyo Metro is committed to promoting the use of renewable energy through various means to achieve its long-term environmental goal, 'Metro CO2 Zero Challenge 2050,' contributing to a decarbonized and circular society. KEPCO aims to work toward a zero-carbon society by 2050 alongside its customers by developing and supplying renewable energy sources through corporate PPAs.

A physical PPA is a mechanism where a consumer purchases electricity and its environmental value as a set from solar power plants built off-site, with power delivered via the existing grid. KDS Solar LLC was established jointly by KEPCO, Daiwa Energy & Infrastructure Co., Ltd., and SMFL Mirai Partners Co., Ltd. The 990kW capacity refers to the maximum output of the power conditioners converting DC power from the solar panels into AC power for use in commercial facilities.

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Source: PR TIMES
Category: Partnership

First for Subways: Tokyo Metro and Kansai Electric Power Sign Physical PPA for Decarbonization

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