Japanese renewable power producer Renova has signed a JPY 3 billion (US$18.7 million/€16.3 million) seven-year syndicated loan agreement with participating banks of the TSUBASA Alliance, marking a strategic step to broaden its financing approach beyond project-level funding. The Tokyo-listed company, which develops and operates solar, biomass, onshore wind, geothermal, and hydro power assets across Japan, said the deal supports its plans to further grow its renewable energy operations.

Renewables Now reported that The Chiba Bank acted as arranger for the transaction, with Daishi Hokuetsu Bank, The Iyo Bank, The Toho Bank, North Pacific Bank, and The Musashino Bank participating as fellow members of the TSUBASA Alliance.

Renova said it has secured more than JPY 500 billion (approximately US$3.3 billion) in project financing to date to steadily expand its renewable energy power generation businesses, and that the new corporate-level facility is intended to complement that project finance base as the company scales its operations going forward.

The TSUBASA Alliance is a regional bank network in Japan focused on strengthening cooperative relationships between member institutions across financial services, including lending, settlement, and consulting. Corporate syndicated lending through such alliances has become an increasingly important tool for Japanese clean energy developers seeking more flexible capital structures alongside traditional project finance.

Japan has set a target of 36 to 38 per cent renewable energy in its power mix by 2030 under its Sixth Strategic Energy Plan, with the government seeking to accelerate deployment across solar, wind, and other clean energy technologies to reduce dependence on fossil fuels and advance its net zero by 2050 commitment.

View the full report on Renova's syndicated loan agreement.