On April 10, 2025, LS ELECTRIC announced that it had signed a contract worth 3.7 billion Japanese yen (approximately 36 billion KRW) to construct a large-scale Energy Storage System (ESS) plant in Watari, Miyagi Prefecture, Japan. The project includes a 20MW Power Conversion System (PCS) and a 90MWh Battery Energy Storage System (BESS), with completion scheduled for April 2027.
This is the largest grid-connected ESS project in Japan to be undertaken by a LS ELECTRIC. The company will collaborate with local construction firms to handle the full scope of Engineering, Procurement, and Construction (EPC), as well as Operation and Maintenance (O&M).
🌐 Overview of Japan’s ESS Market
Japan is one of the fastest-growing renewable energy markets, especially after the Fukushima nuclear disaster in 2011, which led the country to increase investments in renewable energy to reduce its reliance on nuclear power. According to its national energy plan, Japan aims to raise the share of renewables in its total power generation from 19.8% in 2020 to 36–38% by 2030.
To achieve this goal, the Japanese government has implemented subsidy programs that cover up to 50% of installation costs for ESS systems and up to 75% for power reception equipment.
Currently, Japan is actively developing and deploying large-scale ESS projects to support the integration of renewable energy into the national grid. Projects like the Minami-Soma Substation BESS and Nishi-Sendai Substation BESS, each with a 40MW capacity, have been launched to help stabilize grid frequency and support energy management. These systems, supplied by Toshiba, mark a significant milestone in Japan’s adoption of energy storage technologies.
🔧 Technological Capabilities and International Experience of LS ELECTRIC
LS ELECTRIC is a leading South Korean provider of smart energy solutions with extensive experience in large-scale ESS deployments. The company has successfully executed numerous ESS projects in South Korea and abroad, including Japan’s first solar-linked ESS plants in Hokkaido and Kyushu, which were completed in 2022.
To enter the highly regulated Japanese market, LS ELECTRIC obtained JET (Japan Electrical Safety & Environment Technology Laboratories) certification—a mandatory requirement for solar energy products in Japan. This certification demonstrates the high quality and reliability of LS ELECTRIC’s products and allowed the company to overcome technical and regulatory barriers.
📈 Market Expansion Strategy and Future Vision
With the successful acquisition of this large-scale ESS contract, LS ELECTRIC is actively expanding its footprint in Japan’s energy market. The company plans to continue developing renewable energy projects—including solar and wind power—while offering integrated smart energy solutions to facilitate Japan’s energy transition.
LS ELECTRIC expects its growing presence in Japan to significantly boost its revenue while strengthening its position as a leading provider of smart energy solutions in Asia and globally.
The ESS project in Watari, Miyagi Prefecture, represents a significant strategic milestone in LS ELECTRIC’s broader efforts to expand its international footprint and establish a robust presence in key global energy markets. This large-scale initiative not only underscores the company’s technical capabilities in delivering complex, grid-connected energy storage solutions but also highlights its agility in adapting to regional market dynamics, regulatory frameworks, and partnership models.
By leveraging cutting-edge technology, proven engineering expertise, and a comprehensive portfolio of smart energy solutions, LS ELECTRIC continues to demonstrate its leadership in the renewable energy sector. The collaboration with local Japanese contractors further reflects its commitment to building sustainable, locally integrated energy infrastructure that meets the growing demand for clean and reliable power.
In addition to strengthening its position in Japan—a country with one of the most demanding energy standards and regulatory environments—this project enables LS ELECTRIC to enhance its brand credibility, unlock new commercial opportunities, and establish long-term partnerships in the Asia-Pacific region and beyond. As global energy systems evolve toward decarbonization and digitalization, LS ELECTRIC is poised to play a pivotal role in accelerating the transition to a smarter, greener, and more resilient energy future.
With this milestone project, LS ELECTRIC is not just expanding its market reach—it is redefining its role as a trusted global partner in renewable energy development, energy storage innovation, and sustainable power management. Through continuous investment in R&D, international collaboration, and scalable deployment strategies, the company is well-positioned to drive forward the next generation of energy transformation on a global scale.
