Risk of Prolonged Development or Project Abandonment in Solar Power Plant Development
First written in FY2018. 1 of 4 entries say "Worsened", first in FY2021. Latest entry: FY2023.
3 other companies' latest entry also says "Restated".
- FY2023RestatedAnnual report
「When acquiring candidate sites for solar power plant development, the Company’s group conducts thorough preliminary project investigations and due diligence, identifies development risks, and has a policy of developing only projects for which no material risks are expected.」
The risks of development delays or abandonment due to permitting, nearby residents and dealings with the authorities, as well as the policy of selecting projects through preliminary investigations and due diligence, continue to be disclosed. - FY2022MitigatedAnnual report
「When acquiring candidate sites for solar power plant development, the Company’s group conducts thorough preliminary project investigations and due diligence, identifies development risks, and has a policy of developing only projects for which no material risks are expected.」
In response to the risk of prolonged development or abandonment, the Company disclosed a policy of conducting preliminary investigations and due diligence before acquiring candidate sites and selecting projects accordingly. - FY2021WorsenedAnnual report
「Development may also have to be suspended if, for example, nearby residents oppose the project or the relevant authorities withhold their consent.」
In addition to the previously disclosed risks of delays or abandonment due to laws, regulations and permitting procedures, opposition from nearby residents and the withholding of consent by the relevant authorities are now expressly identified. - FY2018First statedAnnual report
「Depending on the scale of a solar power plant development project, it may be subject to restrictions under laws and ordinances, including the Forest Act and environmental laws, and the application procedures may be complex and extensive. The permitting process may also take longer than expected. Consequently, if the period from securing the site to constructing the plant is significantly extended or circumstances arise that make it necessary to abandon development of the project midway, this could affect the performance of the Company’s group.」
The disclosure describes the risk that regulations under the Forest Act, environmental laws and other legislation, as well as permitting procedures, could extend the period from securing a site to constructing a power plant or lead to abandonment of the project.