A Solar Power Generation System Service for Sharing Output

Will This Become the New Standard for Residential Solar Panels?

A Solar Power System Service That "Shares" Electricity Generation Has Launched!

With the "Feed-in Tariff Scheme for Renewable Energy" set to be implemented in July 2012, attention is increasingly focused on residential solar panels. Amidst this trend, DMM.com, a company involved in digital content distribution and rental services, began accepting applications on February 15th for "DMM Solar," a new solar power system service designed to significantly reduce the initial cost of installing solar panels.

Text by TANAKA Junko (OPENERS)

Share Electricity Generated by Solar Panels for 10 Years

Since launching the "Feed-in Tariff Scheme for Surplus Electricity from Solar Power Generation" in 2009, the government has actively promoted policies to support the adoption of solar cells. This initiative is based on the national policy of promoting clean natural energy sources, including solar power, to realize a "low-carbon society," guided by the principle of "generating electricity used in Japan within Japan." In particular, solar panels (panels connecting multiple solar cells) that enable self-generation even in ordinary households are gaining importance from the perspective of creating an energy system resilient to disasters, especially now after the Great East Japan Earthquake.Great East Japan Earthquaketheir importance is growing.

According to data released by the International Energy Agency (IEA), electricity generated using solar cells in 2010 amounted to approximately 3.6 gigawatts. Of this, residential solar panels accounted for 81.4%. While this figure is steadily increasing, solar cells currently represent only 1.5% of the nation's total electricity generation. One of the reasons cited for this is the high installation cost, which can range from one to two million yen.

"DMM Solar" is a new business model for solar power generation conceived to significantly reduce these installation costs by partnering with solar panel manufacturers and installers to achieve bulk purchasing. Under this service, customers who sign a contract with the company can install solar panels for an initial fee of just 80,000 yen. The contract period is 10 years, during which the generated electricity from these solar panels is shared between the customer and DMM.com at a "2:8" ratio. For example, if 1000 kWh is generated annually, the customer is allocated 200 kWh, and DMM.com receives the remaining 800 kWh. After this contract period, all electricity generated by the solar panels belongs to the customer.

©DMM.com

During sunny daytime hours, when solar panels generate electricity, the amount generated often exceeds household consumption. The surplus electricity can be sold to the power company through a process called "báiden" (selling electricity). This is where the "Feed-in Tariff Scheme for Renewable Energy" comes into play, which mandates power companies to purchase electricity generated from renewable sources like solar, wind, and hydro power at a fixed price for a specified period. While the amount of electricity generated varies depending on installation conditions such as the customer's location and roof size, an average annual generation of approximately 4,000 to 4,800 kWh can be expected. However, since electricity generated during the day cannot be stored, during times with weak sunlight in the morning or at night after sunset, customers will continue to purchase electricity from the power company as before.

DMM.com handles all transactions with the power company for selling electricity and remits the customer's share based on the "2:8" distribution ratio every six months. If the generated electricity exceeds consumption, customers may receive unexpected additional income. This represents a new business model in the solar power industry that shares profits with minimal risk. Approximately 1,000 applications have already been received within two weeks of opening applications. We will be watching closely to see if this becomes the new standard for residential solar panels.

DMM.com
Ebisu Garden Place Tower 14F, 4-20-3 Ebisu, Shibuya-ku, Tokyo
0120-211-899 (Toll-free)
Reception Hours: 10:00 - 20:00
http://www.dmm.com/solar/personal/