Panasonic Energy Taps into Geothermal Power to Double Renewable Energy Use and Cut CO₂ Emissions in Japan"

In an inspiring move that underscores its commitment to a carbon-neutral future, Panasonic Energy Co., Ltd. has announced the introduction of geothermal energy through an off-site corporate Power Purchase Agreement (PPA) in Japan. 

By: Robert Buluma

This strategic step, launched on April 1, 2025, is expected to deliver approximately 50 GWh of geothermal electricity annually, reducing CO₂ emissions by an estimated 22,000 tons per year.

This groundbreaking agreement was made possible through Panasonic Operational Excellence Co., Ltd. and executed in partnership with Kyuden Mirai Energy Co., Inc., a leading provider of renewable energy solutions in Japan.

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Unlocking the Power Beneath: Why Geothermal?

Unlike solar or wind, geothermal energy offers stable, weather-independent output. That makes it a crucial piece of the puzzle in achieving round-the-clock clean energy supply. Panasonic’s choice to tap into geothermal reflects a deeper strategy to diversify its renewable energy sources and ensure consistency in sustainability practices.

With this latest geothermal initiative, Panasonic Energy is set to double its renewable energy self-sufficiency rate in Japan from 15% to an impressive 30%, showcasing how industries can embrace innovative solutions to tackle climate change.

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Panasonic’s Broader Vision: Zero CO₂ Factories and Beyond

Since its founding in 2022, Panasonic Energy has boldly pursued a mission to create a world where human happiness and environmental sustainability harmoniously coexist. This mission has driven real progress—by September 2024, all of the company’s nine domestic manufacturing sites in Japan had already achieved CO₂-free factory status, thanks to a combination of renewable energy adoption and smart use of carbon credits.

And the company isn’t stopping there. With its 2030 goal of halving its carbon footprint (compared to 2021 levels), Panasonic Energy is expanding its focus to global operations. The goal: ensure that every Panasonic Energy plant worldwide becomes a CO₂-free factory by FY2028.

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The Bigger Picture: What 50,000 Tons of CO₂ Looks Like

When Panasonic Energy’s total renewable energy strategy—including geothermal—is fully deployed, annual carbon emissions could drop by 50,000 tons. That’s equivalent to the carbon absorption of over 56 square kilometers of forest, or about 4,300 Koshien Stadiums covered in trees. In other words, it's not just an energy shift—it's a climate impact of forest-like proportions.

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A Model for Industry-Wide Change

Panasonic’s move toward off-site corporate PPAs for geothermal energy is a powerful example of how corporations can lead the way in decarbonization. By securing clean energy through long-term contracts and investing in diverse renewable sources, companies not only stabilize their own power costs but also contribute to national and global climate goals.

As more corporations follow suit, the renewable energy landscape in Japan 0and beyond could see a transformative shift.

Panasonic Energy’s bold leap into geothermal energy marks more than just an energy milestone; it represents a vision for sustainable industry leadership. With climate change accelerating, this is the kind of action the world needs: ambitious, strategic, and measurable.

Will others rise to the challenge? The geothermal revolution has only just begun.

Related: Appi Geothermal Power Plant in Japan

Source :Panasonic

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