Canadian Solar's Recurrent Energy Executes Sale of 100 MWp Solar Power Plant in Japan

Canadian Solar Inc. announces that it has completed the sale of its Japan flagship mega-project, the 100 MWp Azuma Kofuji solar project located in Fukushima prefecture to Japanese investors arranged by Mizuho Securities Co., Ltd (Mizuho Fund).

Canadian Solar expects to recognize the revenue from the transaction in the second quarter of 2023. Recurrent Energy's local subsidiary will continue to provide long term operations and maintenance services for the plant after the transaction.

The Azuma Kofuji solar project started commercial operation in Q3 2022. The project is Canadian Solar's largest project in Japan and Fukushima prefecture's largest operational solar project to date.

The project is powered with Canadian Solar high efficiency HiKu modules and the clean energy generated is being purchased by the Tohoku Electric Power Company at JPY36 (US$0.26) per kWh under Japan's feed-in-tariff program for the remaining tenor of 18 years.

Dr. Shawn Qu, Chairman and CEO of Canadian Solar commented, "We are excited to announce the completion of the sale of our Azuma Kofuji project. This transaction allows us to monetize the project while capturing the stable, long-term revenue streams for our O&M services. We expect to grow this business as we work to enhance and retain a greater share of the value-creation throughout the life cycle of solar and battery energy storage power plants."