KDDI Signs Third Virtual PPA with J-Power for 8.4MW Onshore Wind Farm in Japan
April 23, 2026
Japanese telecommunications giant KDDI has deepened its commitment to renewable energy by signing its third virtual power purchase agreement (vPPA) with energy company J-Power, this time to support a new onshore wind project in northern Japan. The deal underscores the growing trend among major data center operators and telecom firms in the Asia-Pacific region to secure long-term, low-carbon electricity supplies through corporate PPAs.
Under the 20-year agreement, KDDI will offtake the non-fossil certificates generated by the planned 8.4MW Iwaki Futago Wind Power Plant in Yurihonjo City, Akita Prefecture. Construction of the wind farm is scheduled to begin in the first half of this year, with commercial operations expected to start in January 2029. The facility will feature two 4.3MW turbines, and the electricity generated will be sold on the wholesale market, while KDDI claims the environmental attributes.
This latest deal builds on an expanding partnership between the two companies. The first vPPA, signed in January 2025, involves the 19.5MW Minami Osumi Wind Farm in Kagoshima Prefecture, where KDDI will purchase renewable credits following facility upgrades expected to be completed by December 2027. A second agreement followed in March 2025, tied to a 51.5MW onshore wind farm in Kaminokuni-cho, Hokkaido, which is targeting commercial operations in September 2028.
KDDI, formed in 2000 through the merger of DDI, KDD, and IDO, is Japan’s second-largest telecom provider. Beyond its core telecommunications business, the company is the parent of Telehouse, a global data center operator with a strong presence across Asia. The company’s increasing use of vPPAs reflects a broader industry shift: corporate renewable energy procurement is accelerating in Japan, where data center operators are under growing pressure to meet sustainability targets and secure stable power for expanding digital infrastructure.
The trend is not limited to KDDI. In January 2025, Amazon signed two PPAs with EDP Renewables APAC and X-Elio, signaling that large-scale technology firms are actively locking in renewable energy capacity in the Japanese market. As Japan continues to reform its energy market and expand renewable generation, structured instruments like vPPAs are becoming a critical tool for corporate buyers to manage price risk and meet net-zero commitments.
Source: datacenterdynamics
