Contribution to the United Nations Sustainable Development Goals (SDGs)

Accelerating the Decarbonization of Society

7 AFFORDABLE AND CLEAN ENERGY<br>Ensure access to affordable, reliable, sustainable and modern energy 13 CLIMATE ACTION<br>Take urgent action to combat climate change its impacts

In 2018, the IPCC*1 released the Special Report on Global Warming of 1.5°C, which calls on limiting the rise in global average temperatures to 1.5°C of pre-industrial averages. Based on this report, global trends toward the decarbonization of society are accelerating. The Nidec Group, which has contributed to energy saving through the provision of highly efficient motors and related products, is also exploring ways to make a further contribution to the global environment, tackling another challenge to create energy.

Case 2 Battery Energy Storage Systems that Support the
Use of Renewable Energies

Power generation from renewable energies such as wind and solar energy are affected by weather conditions. Electricity supply cannot constantly meet demand and the supplied electricity does not conform to frequency standards (Hz). These power problems, including power failure and unstable power quality, occur frequently throughout the world and serve as barriers to the realization of a decarbonized society.
To resolve these problems, Nidec ASI S.p.A. has focused on microgrid technology, which ensures optimum power management on a regional basis through the integration of various power generators and storage batteries, taking advantage of its knowledge of industrial power systems and power quality. In particular, special attention is paid to BESSs*2, which can store surplus power to ensure stable power supply at the time of power shortage, as a core technology, and a project aimed at establishing large-scale BESSs in various parts of Europe has been underway. This activity, where the total operation capacity reached 730MW (enough to accommodate the electricity consumption of 146,000 households) by the end of FY2020, is gaining attention of Europe, which is ahead of the world with its actions to suppress the temperature increase to 1.5°C or less, as well as other parts of the world, including emerging economies that are advancing the development of electricity infrastructure for their economic growth.

*1: Intergovernmental Panel on Climate Change: A body set up by the United Nations Environment Programme (UNEP) and the World Meteorological Organization (WMO) in 1988 to conduct surveys and offer recommendations on climate change.
*2: Battery Energy Storage System

BESSs supplied to STEAG GmbH in Germany

BESSs supplied to STEAG GmbH in Germany

Achievements” that have an impact on society<br>552MWh

Our Story

Franck Girard
Franck Girard
Chairman & Managing Director,
Nidec ASI s.a France

Ensuring a Stable Energy Supply Worldwide

The BESSs, produced by Nidec ASI S.p.A., based in Milan, Italy, are growing into the main pillar of Nidec's renewable energy business. In 2016, Nidec ASI drew attention by supplying BESSs with a total capacity of 90 MW, which is the world's largest capacity to date, to STEAG GmbH, a leading power company in Germany. According to a survey conducted by Bloomberg New Energy Finance, the total global operating capacity of BESSs produced by Nidec ASI is more than 500 MW, which is ranked top in the world.
With this background, I attended the Innovation for Cool Earth Forum (ICEF), an international conference held in Japan in October 2018, on behalf of the Nidec Group. At the ICEF, approximately 1,000 people from academic, industrial, and governmental circles in about 80 countries and regions discussed the resolution of climate change issues. At the subcommittee “Renewable Energy Microgrid and Energy Access,” I gave a presentation on the microgrid solution business, including BESSs, citing our company's case. In the presentation, I introduced the value provided by BESSs and their future issues through a case example where the establishment of a demand-side area power system for renewable energy in a mountain village in Chile enabled local residents to receive a stable power supply 24 hours a day, 365 days a year. Due to the spread of the use of renewable energy on a global scale, the global BESS market is continuing its rapid growth by an annual average of 10% to 15%. I anticipate that this strong growth will continue for at least the next 10 years. I would like to continue to contribute to ensuring a stable power grid in the world and realizing a decarbonized society through the spread of high-quality and state-of-the-art BESSs as a market leader.

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