Effective Use of Renewable Energy

Hulic promotes the use of renewable energy power generation equipment through development and ownership, as an alternative main power source for reducing greenhouse gas emissions.

Additionally, we are installing various renewable energy systems at our properties, and have set a KPI (non-financial target) for the number of capital investments in development and reconstruction projects on renewable energy related-systems more than three investments per year. Results in FY2024 were 5.

• Link: Long-term Vision for the Environment
• Link: Greenhouse Gas Emissions Targets

Converting to 100% Renewable Energy Sourced Electricity for Electricity Consumption at All Company-owned Buildings

In accordance with Hulic's Long-term Vision for the Environment, we established the climate change goals of achieving RE100^*1 by 2024 and converting to 100% renewable energy (following: this initiative) for electricity consumption at all Company-owned buildings^*2 by 2030. We have achieved RE100 in 2023. In addition, we have moved forward one year to 2029 to convert to 100% renewable energy for electricity consumption at all Company-owned buildings.
To achieve these goals, we plan to invest approximately JPY66 billion and develop new renewable energy power plants including solar power plants and so on. Furthermore, we will invest approximately 100 billion yen in grid-scale storage battery business until 2034, aiming for a stable supply of renewable energy.

• *1An abbreviation of “Renewable Electricity 100%”, or sourcing 100% of electricity needed for business activities from renewable energy sources
• *2Excludes properties for which we do not have energy management authority including master lease properties, residential properties and non-managerial coownership properties, and real estate for sale, etc.
• *3The ratio of renewable energy to electricity consumption for the targeted properties of FY2024.

Fully Internal Group Corporate PPA Model

Hulic Property Solutions, a Group company, acts as a retail electricity supplier (PPS), purchasing electricity derived from Company-owned renewable energy sources and selling it to Company-owned properties. This will ensure stable sourcing of renewable energy-derived electricity over the long-term.

Small Hydroelectric Plants

As solar power does not generate electricity at night and the amount of power generated fluctuates depending on the weather, we are developing and operating our own small hydroelectric plants^*1 that can generate electricity both day and night regardless of the weather from long-term perspective with the goal of developing energy resilience (a stable power supply from varied power sources).

Mechanism Facilitating Stable Energy Supplies Utilizing Multiple Power Sources (image)

In May 2021, Hulic’s first small hydroelectric was completed and began operations in Kawabamura, Tone-gun, Gunma Prefecture. Mindful of the location and conditions, a range of autonomous, electrification, and remote technologies were introduced. These initiatives have resulted in a state-of-the-art power plant expected to operate at higher operating rates than conventional small hydroelectric power plants.
And its second small hydroelectric began operations in Takashima-city, Shiga Prefecture in May 2023.

From the perspective of the energy mix, Hulic plans to continue developing and using small hydroelectric power generators.

• *1Small-scale hydroelectric power generation with an output of 1,000 kW or less. As it generates electricity stably day and night, it is considered to be a stable power supply with relatively high operating rates among renewable energy facilities.

Kamogawa small hydroelectric plant overview

• Water source: Kamogawa, Shiga Prefecture
• Overall length: 1.4 km
• Height difference: Approximately 91 m
• Power generation scale: 199 kW
• Estimated annual power generation: Approximately 1.1 GWh
• Hulic plans to supply electricity to its owned properties after the FIT period has ended (20years hence)

Small Hydroelectric Plant Construction (Image)

Investment in Grid-scale Storage Battery

As the expansion of renewable energy continues, it is necessary to ensure "adjustment capability" to cope with the fluctuating power supply and demand of renewable energy sourced solar power generation, which is an unstable power source. By introducing grid-scale storage battery, it is possible to balance supply and demand and provide stable electricity by adjusting the surplus power from renewable energy sources as well as discharging during periods of supply constraint.

Installing Solar Photovoltaic Panels on the Rooftop for Onsite Consumption

We have been making effort to reduce greenhouse gas emissions by installing photovoltaic cell modules on the rooftop of buildings and use solar power as a supplemental energy source. Many of the properties at the logistics facilities "Hulic Logistics Series" have large-scale solar photovoltaic panels and obtained ZEB certification.

Installation of Solar Heat Panels

Hulic's hotels, multi-unit apartments and buildings that require large amounts of hot water adopt a solar water heating system, which uses solar panels to collect the sun's heat. Hot water created using this system is supplied to residential units, dormitories and kitchens, among other facilities inside a building.
At HULIC SQUARE TOKYO, the solar heat collection panels are located on the rooftop as a supplemental heating source for hot water system of THE GATE HOTEL TOKYO by HULIC and has been contributing in decreasing GHG emissions.

Installation of Photovoltaic Panels on an Exterior Wall

HULIC SQUARE SAPPORO (I) installs solar panels on vertical surfaces that was less affected by snow and produce energy from low altitude sunlight and snow glare. We expect to generate approximately 5,400 kWh per year with the 12.6 kW system.