{"id":13787,"date":"2025-02-27T09:00:06","date_gmt":"2025-02-27T00:00:06","guid":{"rendered":"https:\/\/rts-pv-wp.grgr.link\/en\/?post_type=blogs&p=13787"},"modified":"2025-02-26T11:07:30","modified_gmt":"2025-02-26T02:07:30","slug":"rising-balancing-costs-after-october-2025","status":"publish","type":"blogs","link":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/","title":{"rendered":"Rising Balancing Costs after October 2025"},"content":{"rendered":"
\n
\n
\n
Japan Solar Update: No.137 (Feb 24 ~ 28, 2025)\u00a0<\/h6>\n<\/div>\n
\"Balancing<\/h6>\n<\/div>\n<\/div>\n

The Agency for Natural Resources and Energy (ANRE) under METI held the 101st Procurement Price Calculation Committee meeting, where it announced an increase in the balancing cost under the Feed-in Premium (FIP) program. For FY 2025, the balancing cost will rise by 1.00 yen\/kWh (0.646 cents\/kWh) across all FIP power sources, regardless of their operational start year. The adjustment for FY 2026 and beyond will be determined in future fiscal years.<\/p>\n

 <\/p>\n

\n

<Key points><\/span><\/span><\/span><\/strong><\/p>\n

    \n
  • The Feed-in Premium (FIP) program will be promoted by increasing the amounts of balancing costs to be provided from FY 2025 onward. PV and wind power will be covered, regardless of the fiscal year they begin operation as FIP power sources<\/li>\n
  • The measure will be implemented until the fiscal year in which the FIP ratio reaches 25%<\/li>\n
  • The increase for FY 2025 will be +1.00 yen\/kWh (0.646 cents\/kWh), resulting in a total balancing cost of 2.00 yen\/kWh (1.29 cents\/kWh) provided for power sources starting operation as FIP power sources in FY 2025 and so on<\/li>\n
  • For PV systems which are only eligible for the FIP program, the eligibility threshold will be expanded from 250 kW or more to 50 kW or more in FY 2026<\/li>\n
  • An initial investment support scheme for promoting rooftop PV systems will be applied from October 2025<\/li>\n<\/ul>\n<\/div>\n

     <\/p>\n

    \n
    \n

    Balancing costs to be provided from FY 2025 onwards<\/span><\/strong><\/p>\n<\/div>\n

    \n

    Promoting the FIP program by temporarily increasing the amount of balancing costs<\/span><\/span><\/p>\n<\/div>\n<\/div>\n

     <\/p>\n

     <\/p>\n

    \n
    \n

     <\/p>\n

    Target<\/span><\/strong><\/p>\n<\/div>\n

    \n
    \n
      \n
    • \u00a0Natural variable power sources (PV and wind)<\/span><\/li>\n
    • To ensure fairness with projects that have already received FIP approval in advance, the measure will apply regardless of the fiscal year they begin operation as FIP power sources \u00a0<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n

       <\/p>\n

      \n

      \n
      \n

      Period of the measure<\/strong><\/p>\n<\/div>\n

      \n

      Until the fiscal year when the FIP ratio reaches 25%<\/p>\n<\/div>\n<\/div>\n

       <\/p>\n

      \n
      \n

      Amounts to be provided<\/span><\/strong><\/p>\n<\/div>\n

      \n
        \n
      • Amounts to be provided decreases as the fiscal years progress<\/li>\n
      • Amounts are set within the scope*1 of the effect of reducing the burden on the public resulting from changes in the output curtailment order<\/li>\n
      • The increase in FY 2025 balancing cost is +1.00 yen\/kWh (+0.646 cents\/kWh)<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n<\/div>\n

         <\/p>\n

        \n

         <\/p>\n

        Amounts of balancing cost to be provided after the review<\/p>\n\n\n\n\n\n\n\n\n
        \n

         <\/p>\n<\/td>\n

        		 <\/span>Fiscal Year (FY) of starting operation as FIP power sources<\/span><\/td>\n<\/tr>\n
        FY 2023 and before<\/span><\/td>\nFY 2024<\/span><\/td>\nFY 2025<\/span><\/td>\nFY 2026<\/span><\/td>\n<\/tr>\n
        \n

        Balancing Cost<\/p>\n

        Subsidy Amount (JPY\/kWh)<\/p>\n<\/td>\n

        		FY 2025<\/td>\n1.80<\/span><\/td>\n1.86<\/span><\/td>\n2.00<\/span><\/td>\n–<\/td>\n<\/tr>\n
        FY 2026<\/td>\n0.70+\u03b1<\/td>\n0.73+\u03b1<\/td>\n0.83+\u03b1<\/td>\n1.00+\u03b1<\/td>\n<\/tr>\n
        FY 2027<\/td>\n0.60+\u03b1<\/td>\n0.60+\u03b1<\/td>\n0.66+\u03b1<\/td>\n0.80+\u03b1<\/td>\n<\/tr>\n
        FY 2028<\/td>\n0.50+\u03b1<\/td>\n0.50+\u03b1<\/td>\n0.50+\u03b1<\/td>\n0.60+\u03b1<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n

         <\/p>\n

        Note 1: The +\u03b1 portion from FY 2026 onwards will be calculated in FY 2025 onward. Note that if the FIP ratio reaches 25% by the previous fiscal year, the \u03b1 will be zero<\/p>\n

         <\/p>\n

        Note 2: Under certain assumptions, in case output curtailment is conducted in sequence to FIT and then to FIP power sources, multiplying the cost required to purchase 1 kWh of FIT electricity by the amount of FIT electricity subject to additional output curtailment would amount to approximately 1.9 billion yen ($ 12.3 million). Dividing this by the current amount of FIP electricity (approx. 1.5 TWh), the result is about 1.3 yen\/kWh (0.84 cents\/kWh). <\/span><\/p>\n

        Note 3: 1 yen = $ 0.00646 (as of February 1, 2025) <\/span><\/p>\n

         <\/p>\n

         <\/p>\n

        \n
        \n

        PV system capacity eligible only for the FIP program<\/span><\/strong><\/p>\n<\/div>\n

        \n

        250 kW or more in FY 2025, which will be expanded to 50 kW or more in FY 2026<\/span><\/p>\n<\/div>\n<\/div>\n

         <\/p>\n

         <\/p>\n

        \n
        \n

        Start of the initial investment support scheme <\/span><\/strong><\/p>\n<\/div>\n

        \n

        Effective in October 2025<\/span>, designed to promote rooftop PV systems<\/span><\/p>\n<\/div>\n<\/div>\n

         <\/p>\n

         <\/p>\n

        From April to September 2025, the already established FY 2025 prices will be maintained as a transitional measure.<\/p>\n

         <\/p>\n

        Figure 1 Balancing costs, etc. for FY 2025 onwards <\/span><\/p>\n

        Source: Materials of the 101st meeting of the Procurement Price Calculation Committee (January 17, 2025), compiled by RTS Corporation<\/span><\/p>\n","protected":false},"featured_media":13818,"template":"","blogs_category":[44],"class_list":["post-13787","blogs","type-blogs","status-publish","has-post-thumbnail","hentry","blogs_category-regulations-government-initiatives"],"acf":[],"yoast_head":"\nRising Balancing Costs after October 2025 | RTS Corporation<\/title>\n<meta name=\"description\" content=\"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in RTS Corporation is a leading PV industry \/ market consultingcompany and has been supporting the growth of the PV industry for nearly 40 years.We provide an optimal consulting service for each client interested in the PV business.\u3000Weekly PV news is available at RTS PV Blog.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Rising Balancing Costs after October 2025 | RTS Corporation\" \/>\n<meta property=\"og:description\" content=\"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in RTS Corporation is a leading PV industry \/ market consultingcompany and has been supporting the growth of the PV industry for nearly 40 years.We provide an optimal consulting service for each client interested in the PV business.\u3000Weekly PV news is available at RTS PV Blog.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/\" \/>\n<meta property=\"og:site_name\" content=\"RTS Corporation\" \/>\n<meta property=\"article:modified_time\" content=\"2025-02-26T02:07:30+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"119\" \/>\n\t<meta property=\"og:image:height\" content=\"47\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/\",\"url\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/\",\"name\":\"Rising Balancing Costs after October 2025 | RTS Corporation\",\"isPartOf\":{\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg\",\"datePublished\":\"2025-02-27T00:00:06+00:00\",\"dateModified\":\"2025-02-26T02:07:30+00:00\",\"description\":\"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in RTS Corporation is a leading PV industry \/ market consultingcompany and has been supporting the growth of the PV industry for nearly 40 years.We provide an optimal consulting service for each client interested in the PV business.\u3000Weekly PV news is available at RTS PV Blog.\",\"breadcrumb\":{\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#primaryimage\",\"url\":\"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg\",\"contentUrl\":\"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg\",\"width\":119,\"height\":47,\"caption\":\"Balancing Cost\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"HOME\",\"item\":\"https:\/\/rts-pv-wp.grgr.link\/en\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"PV Blog\",\"item\":\"https:\/\/rts-pv-wp.grgr.link\/en\/blog\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Rising Balancing Costs after October 2025\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/#website\",\"url\":\"https:\/\/rts-pv-wp.grgr.link\/en\/\",\"name\":\"RTS Corporation\",\"description\":\"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in\",\"publisher\":{\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/rts-pv-wp.grgr.link\/en\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/#organization\",\"name\":\"RTS Corporation\",\"url\":\"https:\/\/rts-pv-wp.grgr.link\/en\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2020\/02\/logo-1.png\",\"contentUrl\":\"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2020\/02\/logo-1.png\",\"width\":610,\"height\":88,\"caption\":\"RTS Corporation\"},\"image\":{\"@id\":\"https:\/\/rts-pv-wp.grgr.link\/en\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.linkedin.com\/company\/rts-corporation\/\"]}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Rising Balancing Costs after October 2025 | RTS Corporation","description":"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in RTS Corporation is a leading PV industry \/ market consultingcompany and has been supporting the growth of the PV industry for nearly 40 years.We provide an optimal consulting service for each client interested in the PV business.\u3000Weekly PV news is available at RTS PV Blog.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/","og_locale":"en_US","og_type":"article","og_title":"Rising Balancing Costs after October 2025 | RTS Corporation","og_description":"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in RTS Corporation is a leading PV industry \/ market consultingcompany and has been supporting the growth of the PV industry for nearly 40 years.We provide an optimal consulting service for each client interested in the PV business.\u3000Weekly PV news is available at RTS PV Blog.","og_url":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/","og_site_name":"RTS Corporation","article_modified_time":"2025-02-26T02:07:30+00:00","og_image":[{"width":119,"height":47,"url":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg","type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_misc":{"Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/","url":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/","name":"Rising Balancing Costs after October 2025 | RTS Corporation","isPartOf":{"@id":"https:\/\/rts-pv-wp.grgr.link\/en\/#website"},"primaryImageOfPage":{"@id":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#primaryimage"},"image":{"@id":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#primaryimage"},"thumbnailUrl":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg","datePublished":"2025-02-27T00:00:06+00:00","dateModified":"2025-02-26T02:07:30+00:00","description":"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in RTS Corporation is a leading PV industry \/ market consultingcompany and has been supporting the growth of the PV industry for nearly 40 years.We provide an optimal consulting service for each client interested in the PV business.\u3000Weekly PV news is available at RTS PV Blog.","breadcrumb":{"@id":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#primaryimage","url":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg","contentUrl":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2025\/02\/Balancibng.jpg","width":119,"height":47,"caption":"Balancing Cost"},{"@type":"BreadcrumbList","@id":"https:\/\/rts-pv-wp.grgr.link\/en\/blogs\/13787\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"HOME","item":"https:\/\/rts-pv-wp.grgr.link\/en\/"},{"@type":"ListItem","position":2,"name":"PV Blog","item":"https:\/\/rts-pv-wp.grgr.link\/en\/blog\/"},{"@type":"ListItem","position":3,"name":"Rising Balancing Costs after October 2025"}]},{"@type":"WebSite","@id":"https:\/\/rts-pv-wp.grgr.link\/en\/#website","url":"https:\/\/rts-pv-wp.grgr.link\/en\/","name":"RTS Corporation","description":"Based upon over 40 years of our experiences and accumulated knowledge in PV,RTS Corporation has been providing in","publisher":{"@id":"https:\/\/rts-pv-wp.grgr.link\/en\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/rts-pv-wp.grgr.link\/en\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/rts-pv-wp.grgr.link\/en\/#organization","name":"RTS Corporation","url":"https:\/\/rts-pv-wp.grgr.link\/en\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/rts-pv-wp.grgr.link\/en\/#\/schema\/logo\/image\/","url":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2020\/02\/logo-1.png","contentUrl":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-content\/uploads\/sites\/3\/2020\/02\/logo-1.png","width":610,"height":88,"caption":"RTS Corporation"},"image":{"@id":"https:\/\/rts-pv-wp.grgr.link\/en\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.linkedin.com\/company\/rts-corporation\/"]}]}},"_links":{"self":[{"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/blogs\/13787","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/blogs"}],"about":[{"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/types\/blogs"}],"version-history":[{"count":40,"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/blogs\/13787\/revisions"}],"predecessor-version":[{"id":13852,"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/blogs\/13787\/revisions\/13852"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/media\/13818"}],"wp:attachment":[{"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/media?parent=13787"}],"wp:term":[{"taxonomy":"blogs_category","embeddable":true,"href":"https:\/\/rts-pv-wp.grgr.link\/en\/wp-json\/wp\/v2\/blogs_category?post=13787"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}