Energy Vault Holdings, Inc. has announced its formal entry into the Japanese energy sector through a binding agreement to acquire an 850 MW Battery Energy Storage System (BESS) project pipeline. The deal includes the acquisition of a high-quality development portfolio and the onboarding of a local expert team to navigate Japan’s complex land rights and permitting landscape.
The portfolio is divided into 350 MW of advanced-stage projects, with construction expected to begin in the second half of 2027, and a further 500 MW of early-stage projects. This expansion positions Energy Vault to support Japan’s 2050 carbon-neutral goals while capitalising on a market projected to see a 50% compound annual growth rate in storage capacity.
Robert Piconi, Chairman and CEO of Energy Vault, said, “Entering the Japanese market is a key component of our expansion strategy and represents one of the most compelling storage growth opportunities globally. By combining our VaultOS™ software and global supply chain with a proven local team, we are uniquely positioned to accelerate the deployment of flexible capacity that the Japanese grid urgently requires. Furthermore, we expect to leverage our new solutions in high-growth AI Compute segments to further compound growth and enhance delivery of long-term revenue streams.”
To address Japan’s specific grid requirements and shift toward “revenue stacking” across wholesale and capacity markets, Energy Vault intends to deploy its B-VAULT™ AC Technology Platform. The company also plans to integrate alternative chemistries, including sodium-ion battery technology, to provide the high energy density and safety profiles demanded by the Japanese market.
Discussing the market dynamics, Piconi added, “Despite being a highly developed economy, Japan’s energy storage market remains significantly underpenetrated and is now entering a period of accelerated growth driven by renewable expansion and structural grid constraints. Importantly, storage demand in Japan is not tied to load growth, but to the increasing need for flexibility, resilience, and system stability—creating a powerful, long-duration growth tailwind for our broad portfolio of solutions.”
With this acquisition, Energy Vault’s global portfolio of owned assets in operation or under construction now exceeds 1 GW. The company expects its current asset base to generate over $180 million in annual recurring EBITDA once fully operational, surpassing previous growth guidance.
