Japanese telecoms firm KDDI has inked a third Power Purchase Agreement (PPA) with energy company J-Power to offtake from a planned onshore wind farm in Yurihonjo City, Akita Prefecture, Japan.

The virtual PPA has a duration of 20 years from the start of operations and will support the construction of the 8.4MW Iwaki Futago Wind Power Plant. Works at the wind project are scheduled to commence in H1 of this year, with commercial operations slated for January 2029. The wind farm will comprise two 4.3MW turbines, with KDDI purchasing the non-fossil certificates associated with the project's output. The power generated by the project will be sold on the wholesale market.

The deal is the third between the two companies. The first vPPA was signed last January, and will see KDDI purchase the renewable credits generated by the 19.5MW Minami Osumi Wind Farm in Minami Osumi Town, Kagoshima Prefecture. That vPPA will support upgrades at the facility, which are expected to be completed in December 2027.

The second vPPA was signed in March of last year and is tied to a 51.5MW onshore wind farm in Kaminokuni-cho, Hokkaido, Japan. Alike the aforementioned deal, the vPPA is expected to support the construction of the wind farm, with the company aiming to achieve commercial operations in September 2028.

Established in 2000 through a merger of DDI, KDD, and IDO, KDDI is Japan's second-largest telco provider. In addition to its telco offerings, it is also the parent company of Telehouse, which operates data centers around the world, including across Asia.

PPAs are growing in popularity across Japan, with several major data center operators signing long-term PPAs in recent months. In January of last year, Amazon signed two PPAs with EDP Renewables APAC and X-Elio.