A major new joint venture is set to accelerate Virginia’s clean energy transition, as Sumitomo Corporation, through its subsidiary Perennial Power Holdings, has partnered with Richmond-based developer CEP Solar. The collaboration aims to commercialize an extensive portfolio of over 1.5 gigawatts (GW) of solar power and battery storage projects across the Commonwealth, with construction scheduled to commence in late 2025.
This strategic alliance is poised to meet the surging energy demands of Virginia, a state that not only hosts the world’s largest data center market but is also legislatively committed to a carbon-free grid. The Virginia Clean Economy Act of 2020 (VCEA) mandates a transition to 100% clean energy by 2050, creating a significant need for new renewable energy generation. The new projects are specifically targeted to help power the state’s critical IT infrastructure, which handles as much as 70% of the world’s daily internet traffic.
The partnership combines CEP Solar’s local development expertise and deep community relationships with Sumitomo’s robust project financing capabilities. This synergy will enable the simultaneous development of multiple utility-scale projects, providing a significant boost to the regional energy supply.
“CEP’s goal is to support Virginia’s successful transition to a clean economy by developing the highest-quality solar and storage projects through lasting relationships,” said Tyson Utt, Co-Founder of CEP. “This partnership with Perennial aligns with our core values and accelerates our ability to deliver a diverse portfolio of both solar and battery storage projects. These efforts will provide long-term economic and environmental benefits for our partner communities, landowners, and customers across the Commonwealth.”
For Sumitomo, this investment represents a key expansion of its U.S. renewable energy presence, building on previous initiatives in the Midwest and Northeast. Takuya Yoshizawa, President of Perennial Power Holdings, noted the strategic value of the venture. “Our partnership with CEP gives Perennial greater geographic diversity and access to highly attractive end markets, further accelerating our efforts to expand our renewable energy presence in the United States,” he stated.
The move aligns with Sumitomo Corporation’s global objective to achieve carbon neutrality in its operations by 2050. Through its subsidiary Perennial, the group currently manages five clean power projects in the U.S. with a total capacity of approximately 640 MW. This new Virginia portfolio is a significant step toward its goal of increasing its net owned generation capacity to 1 GW by 2030.
Sources for Sumitomo, CEP Solar Partner for 1.5 GW Solar Projects in US
- Sumitomo Corporation Group Establishes Joint Venture to Develop …
- Sumitomo and CEP Solar Launch 1.5 GW Renewable Energy …
- Sumitomo Creates A Joint Venture To Develop 1.5 GW Of … – cCarbon
- Sumitomo, CEP Solar Form JV for Renewable Energy in Virginia
- Sumitomo, CEP Solar JV to develop 1.5GW US renewable projects
- Sumitomo Corporation Group Establishes Joint Venture to Develop …
- Coming soon: 1.5 GW of new solar and batteries to support Virginia …
- Sumitomo Corporation Group Establishes Joint Venture to Develop …