J&V Energy's strategic expansion in Southeast Asia and Japan's evolving energy scene

Annie Huang, Taipei; Vyra Wu, DIGITIMES Asia 0

Credit: J&V Energy Technology

J&V Energy Technology charts an ambitious course for 2024, extending its footprint in Taiwan's solar photovoltaic and energy storage landscape while setting sights on burgeoning solar and energy storage markets in Southeast Asia and Japan. The company anticipates growth in the green energy sector and water treatment projects throughout the year.

Amidst the recent ripples from Taiwan's presidential election impacting the energy sector, J&V Energy Technology underscores the pivotal role of central policy direction and local government influence in project development. The past year saw a myriad of variables in energy storage and solar energy projects, with a pre-election slowdown observed in numerous solar energy initiatives. The domestic solar and energy storage business outlook for 2024 appears cautious, with several industry players reconsidering their positions amidst electoral dynamics, local opposition, and economic considerations. Consequently, a surplus of legacy projects may become available for reacquisition in the market.

In anticipation of growth dynamics in the Taiwanese market for 2024, J&V Energy Technology foresees an upswing in energy storage projects. The current order book for green energy stands at approximately 1 billion kWh, boasting prominent clients such as Micron and Gogoro, securing its position as Taiwan's second-largest green energy trading platform.

Having evolved from its roots in the solar energy business, J&V Energy Technology has strategically expanded its portfolio in the renewable energy sector. Following mergers with 2-3 energy-related companies in 2023, encompassing domains like circular economy-focused plastic products, biomass energy, and electric bikes, the company now contemplates ventures into carbon credits, geothermal energy, and charging infrastructure to advance its commitment to sustainable economic development.

On the international front, J&V Energy Technology is adapting to the evolving supply chain landscape, relocating manufacturing facilities from China to Southeast Asia, in line with the trend set by Taiwanese businesses. With plans in motion for operations in Vietnam, Thailand, the Philippines, and Indonesia, the company aims to cater to the green energy demands of Taiwanese manufacturers while gaining insights into host nations' energy regulations and procedures.

Beyond Southeast Asia, J&V Energy Technology strategically eyes the Japanese market, designating 2024 as the seminal year for Japan's energy storage market. Prior collaborations with Synera Renewable Energy and Shizen Energy position the company to spearhead the development of Japan's offshore wind power market, projecting blossoming results in offshore and onshore wind power between 2025 and 2026.

While acknowledging that the overseas market impact in 2024 might be modest in the short term, J&V Energy Technology envisions a gradual revenue shift, surpassing that of Taiwan within the next 3-5 years.

Looking ahead, the fourth quarter of 2024 is poised to witness the commencement of approximately 60MW solar energy projects. With ongoing developments in related energy projects, 2024 is anticipated to mark record-breaking revenue and profits. Aiming for a listing on the main board by mid-March 2024, J&V Energy Technology aspires to be officially listed by August, continuing its robust growth.

In its 2023 financial performance report, J&V Energy Technology disclosed a consolidated revenue of NT$6.784 billion, marking a 7.66% year-on-year increase and achieving a historical pinnacle. Notably, solar energy and energy storage projects constituted 80% of the revenue share, while water treatment and energy storage accounted for approximately 15%, with power generation revenue making up the remaining 5%.