Mubadala Investment Company, a sovereign investment fund based in Abu Dhabi, is investing in Japan's renewable energy sector through its renewable energy arm, PAG REN I. This investment aims to provide solar power solutions to businesses across Japan.
UAE and Japan Partnership
"At Mubadala, we are pleased to expand our footprint in Japan and the wider Asia-Pacific region through our partnership with PAG. Our inaugural investment in Japan's rapidly growing renewable energy sector marks an exciting milestone," said Hammad Rahman, Head of the Conventional Industries Department in the Asia Pacific Region at Mubadala.
Having extensive experience in the Japanese real estate market, PAG established PAG REN I, a renewable energy platform focused on developed economies in the Asia-Pacific region, particularly Japan. With Japan aiming to add 108 GW of solar energy by 2030, PAG REN I is well-positioned to capitalize on this growing market.
PAG REN I will support Japan's major organizations in their transition to green energy by providing reliable solar power solutions. This platform aligns with Japan's "Framework Agreement for Energy Purchase," which empowers companies and institutions to directly procure renewable electricity from producers over extended periods.
Hammad Rahman, Chief of the Infrastructure Division at Mubadala Investment Company, expressed enthusiasm for the potential investment. He highlighted its role in reducing reliance on imported fuels and curbing carbon dioxide emissions, aligning with both Japan's domestic and international climate goals.
Image: Mubadala Investment Company
"Offering renewable energy solutions to the corporate and industrial sectors is a key focus of our infrastructure plan. We are delighted to implement this strategy in Japan, one of the world's largest and most developed economies," he said.
Following the global RE100 initiative, Japan ranks second only to the United States in terms of the number of companies and organizations committed to transitioning to 100% renewable energy sources.
Following the global RE100 initiative, Japan ranks second only to the United States in terms of the number of companies and organizations committed to transitioning to 100% renewable energy sources. JP Tobin, Co-Founder and CEO of PAG, views the significant investment in renewable energy infrastructure as positive news for the sector.
Tobin added, "Our partnership with Mubadala underscores Japan's strong commitment to expanding its solar power capacity. We are excited to contribute to Japan's ambitious renewable energy goals and support the broader transition from fossil fuels to sustainable energy sources within the Asia-Pacific region."
Mubadala’s Investments in Renewable Energy
Beyond reducing carbon emissions, PAG REN I will also contribute to Japan's energy security by decreasing reliance on imported fossil fuels and transitioning to cheaper, more reliable domestic renewable energy sources.
This investment highlights Mubadala's expanding portfolio of renewable and clean energy technologies across Asia, Europe, and North America. Earlier this year, Mubadala acquired shares in Tata Power Company Limited's renewable energy platform, supporting the company's goal of contributing 30 GW (or 6%) to India's overall installed renewable energy capacity by 2030.
In the same year, Mubadala acquired shares in Skyborne Renewable Energy, the world's largest private developer of offshore wind power.
Mubadala Investment Company, a sovereign investment firm based in Abu Dhabi, is actively involved in the renewable energy sector. The company supports the global RE100 initiative, which aims to accelerate the transition to 100% renewable energy. By leveraging renewable energy sources, Mubadala contributes to a global shift towards carbon-neutral grids.