Cumulative power capacity linked to Corporate PPAs in Japan surpassed 3 GW in 2025, with median disclosed project size rising 82% YoY, reflecting the growing weight of large-scale corporate offtakers.

While the average size of PPAs shrank a little in the second half of 2025, likely due to political and regulatory uncertainties, the pace of the deal-making was unaffected. The number of deals made public in the last six months was a third higher than in the first half, according to data collected by Japan NRG.

The PPA market’s importance is only set to grow in Japan. With the feed-in tariff (FIT) to be phased out for utility-scale solar farms starting FY2027, developers are increasingly looking to secure anchor electricity buyers to underpin financing for new projects. Even as the number of renewable power sources available for PPA deals has grown in the past two years, solar accounted for nearly nine out of ten contracts in 2025, Japan NRG’s database shows.

What’s more, volatility in fossil fuel import prices since 2022 has narrowed the cost gap between grid electricity and renewable PPAs, making fixed-price contracts more attractive to industrial users seeking price stability. Solar-based corporate PPAs in 2025 were priced to be competitive with conventional tariffs, reinforcing their role not only as decarbonization tools but also as a means of securing hedged long-term energy supply.

Japan NRG began tracking publicly announced PPA deals in the calendar year 2023. Our database collects information on details published by companies, the media, or official sources. It contains parameters such as electricity volumes, forecasted CO2 savings, type of contract, and the sector background of buyers and sellers.

So, who were the biggest players in the market last year and what were the key trends?