Panasonic Energy Enters into Off-site Corporate PPA for Geothermal Power Generation

Osaka, Japan – April 8, 2025 Panasonic Energy Co., Ltd. (“Panasonic Energy”) (https://www.panasonic.com/global/energy/), a Panasonic Group Company, commenced the use of renewable energy power from geothermal power generation on April 1, 2025, having concluded an off-site corporate PPA¹ with Kyuden Mirai Energy Co. Through retail electricity supplier Panasonic Operational Excellence Co., Ltd. Panasonic Energy expects to receive approximately 50 GWh of electricity per year, which will reduce CO₂ emissions by approximately 22,000 tons per year.

Since its establishment in 2022, Panasonic Energy has actively promoted its decarbonization efforts in line with its mission of “Achieving a society in which the pursuit of happiness and a sustainable environment are harmonized free of conflict.” Accordingly, by September 2024, all nine of its sites in Japan achieved zero-CO₂ factories² through efforts such as the use of non-fossil fuel energy certificates. At the same time, Panasonic Energy has also been striving to improve its Corporate Renewable Energy Self-sufficiency Rate,³ and in addition to solar power generation (including on-site PPAs) at its sites, it has introduced off-site corporate PPAs for solar power and onshore wind power. By introducing geothermal power generation, which allows for stable power generation unaffected by weather conditions, Panasonic Energy will be able to increase its renewable energy self-sufficiency rate for its electricity consumption in Japan from the current approximately 15% to approximately 30%,⁴ and the total CO₂ emission reduction effect will be approximately 50,000 tons per year. This is equivalent to the annual CO₂ absorption of approximately 56 square kilometers of forest. ⁵

Panasonic Energy has set the target of a 50% reduction in its carbon footprint⁶ by fiscal 2031⁷ compared to fiscal 2022 and is promoting the reduction of CO₂ emissions throughout its entire supply chain. In particular, it aims to achieve zero CO₂ emissions at all of its global factories by fiscal 2029 and will continue to accelerate decarbonization, including by expanding the introduction of renewable energy, in order to reduce its environmental impact and contribute to the realization of a sustainable society.

1: Off-site corporate PPA
A contract method in which a power generation company (or a developer, investor, or the like) who owns renewable energy sources and a power purchaser (e.g., consumer) enter into a purchase and sale contract for renewable energy power at a pre-agreed price and period, and renewable energy power generated by the renewable energy source installed off-site, not in the demand area, is supplied to the power purchaser via the general power grid. (Source: Ministry of the Environment/Mizuho Research & Technologies, About Off-site Corporate PPA)

2: Zero-CO₂ factory
Factories that have achieved virtually zero CO₂ emissions by conserving energy, introducing renewable energy, and using carbon credits, etc.

3: Corporate Renewable Energy Self-sufficiency Rate
An indicator showing the proportion of renewable energy supplied from a company's own dedicated power generation facilities. This rate does not take certificate-only procurement into account.

4: Basis of calculation
Calculations based on actual electricity consumption at all of the company's sites in Japan in 2024.

5: Basis of calculation
Well-maintained 36 to 40-year-old artificial cedar forests. (Data source: Forestry Agency of Japan's website)

6: Carbon footprint
The amount of greenhouse gas emissions in terms of CO₂ equivalent throughout the entire life cycle, from raw material procurement to disposal and recycling.

7: Fiscal XXXX
The fiscal year ending in that specific year. For example, fiscal 2031 refers to the fiscal year ending in March 2031.