BUSINESS FIELD

The world is now facing numerous problems such as global warming, the depletion of fossil fuels, and nuclear power generation. With the rise in environmental awareness, a review of energy composition is being vigorously discussed across the globe, and renewable energy that utilizes the natural power of the nature has been a growing demand as an environmentally friendly energy.
Through our renewable energy, we promote our business while contributing to the environment.

Arrangement

RS Asset Management Co., Ltd. mainly engages in fund arrangement in the field of renewable energy, with the younger generation of asset managers playing the central role.
Our goal is to build a scheme in line with our corporate philosophy, which is “contribution to safe and stable power supply”.
We do not conduct any business which falls under financial instruments business or money lending business and none of the businesses above falls under financial instruments business or money lending business.

Fund Structure Development

In renewable energy generation investment, investment with an emphasis on stable earnings can be achieved by making use of the feed-in-tariff (FIT) with the electric utilities, without considering eviction of tenants and liquidity risk as in real estate investment. It is also possible to keep down the initial costs to procure efficient power generation equipment and to reduce the continuous asset management costs by having the special purpose company (SPC) outsource to a company with extensive experience on the selection of potential locations to install power generation equipment, equipment installation and maintenance over certain period. Furthermore, the investment returns from the business of special purpose company (SPC) may be enhanced by investing only in matters for which procurement of non-recourse loans from financial institutions is possible and by applying leverage.

We will build a structure that can maximize the investment returns to investors based on the basic policy mentioned above, but since our corporate philosophy is contribution to safe and stable power supply, we will also build an optimal structure which does not become too aggressive based on the advices from our outside legal counsel, accountant and other professional advisors and ample discussions with investors based on investment simulation, etc.


Business Structure (draft)
Each renewable energy business is basically structured on project finance, and we promote optimization for each project.

Operation Management

We will provide highly transparent reports in order to timely provide the information such as the information on fund management status of special purpose company (SPC) and equipment maintenance status. Through this reporting, we will make sure that the investors will be able to get a sense that their investments are properly contributing to safe and stable power supply and are leading to a future full of hope.


Business Process
With a high level of expertise, wealth of experience, we will work to secure, operationalize and operate and manage projects in a consistent manner.

Investment

We will make tokumei kumiai investment (TK investment) to special purpose company (SPC), which owns renewable energy generation equipment, and will aim to secure stable earnings through sale of electricity.
Since our investment is TK investment, the investment risk is limited to investor’s equity interest.
We do not conduct any business which falls under financial instruments business or money lending business and none of the businesses above falls under financial instruments business or money lending business.

Business Area

Solar Power Generation

Solar power can be classed as the most relatively easy system to introduce because it basically has no regional limitations, less moving machine parts, and it generates power automatically.
We will provide total support from site negotiation to planning and operation.
We will have major EPC contractors perform the construction and maintenance of solar power systems optimal for each target area, not only contributing to the environment, but also pursuing and developing the business and economic efficiency of our customers.

▶List of Power Plants

Wind Power Generation

Wind power generation is a method of power generation using the wind. The generated power can be converted to electrical energy with high efficiency, and power can be generated at night if there is wind. Wind power generation is advantageous in terms of its relatively low cost and the short amount of time it takes to build.
In order to generate more power, it is necessary to build a windmill at a windy location, so precise analyses such as wind condition surveys and simulations are required.
Nonetheless, the market for wind power generation, which generates power using the never-depleting natural resource of the wind, is expected to expand rapidly in the future due to the improvement of power generation systems and deregulation.
We are developing our wind power generation business including small-sized wind power and offshore wind power systems.

▶List of Power Plants

Biomass Power Generation

Biomass power generation generates electricity by burning the waste such as wood chips to turn a turbine.
There are high expectations and a great deal of attention on biomass power generation as a form of power generation with low environmental impact and based on the “carbon neutral*” concept. By utilizing livestock excretion and garbage in rural areas in Japan and overseas as resources, it is possible to maintain and promote the natural circulation functions of the environment and to contribute to improving the environment, and it is possible to have a society that efficiently uses limited resources and that recycles resources in a sustainable manner.
In order to secure stable biomass fuels, we established a joint venture Mine Biomass Synergies Pte. Ltd. in March 2017, and are expanding our business with partners in Malaysia, Singapore, and other Southeast Asian countries.

* “Carbon neutral” is the concept of achieving net zero carbon dioxide emissions of biomass on a long-term basis by balancing carbon dioxide emissions and absorption as they grow during the process until they are used as resources.

▶List of Power Plants

Other Renewable Energy (Geothermal Power Generation・Hydroelectric Power Generation)

Geothermal Power Generation
Geothermal power generation is a power generation method that uses geothermal energy and enables stable power generation for a long period of time, day or night.
In Japan, a country rich in geothermal resources, geothermal power generation has been expanded in areas such as Tohoku and Kyushu as a stable, domestically-produced energy supply, however because it is a large-scale project, there are many obstacles to overcome.
Our development will therefore focus on binary power, which does not have the problem of running out of energy sources and which can be generated in a short development period with low risk and cost.

Hydroelectric Power Generation
Like solar power, hydroelectric power is a renewable clean energy that does not emit carbon dioxide as it generates power, and has been used in Japan as an energy supply resource for a long time.
The use of rivers and agricultural waterways for small and medium-sized hydropower generation(1,000kW or less)is particularly attracting attention. The use of unused water resources will lead to the improvement of river environments as well as environmental conservation. Although hydroelectric power may require more approvals and licenses compared to solar power, it has a high capacity factor and can supply high-quality power with little output fluctuation.
We are currently selecting potential locations.

Market Research and Consulting

We will build a business in the new environment sector based on our high-level expertise and extensive experience by making full use of our know-how and information.
We will provide one-stop support which meets a wide range of customer needs and which is necessary for the start of new environmental business.

Overseas Environmental Business

There are demands for measures to tackle the energy and environmental problems from all over the world, especially Asian countries which have remarkable economic growth.
In order to tackle this issue, we will develop our environmental business mainly in renewable energy sector, which addresses the issues and meets the needs of each country, by making use of our know-hows which we accumulated over the years and by working together with our business partners (e.g., trading houses, etc.).