Hida Agricultural Cooperative (JA) based at Hida-shi, Gifu prefecture, plans to operate a micro hydroelectric power station, so-called micro hydro, jointly with a company named “Sugo-Mirai (future) Development” which was set up by all the residents of 61 families living at a rural community of “Sugo” in Hida city.
JA Hida and people of the “Sugo” community have agreed to cooperate in revitalizing the aging society by reclaiming abandoned farmlands as well as maintaining waterways in the village with incomes from selling electricity generated by hydro power.
All the members of the “Sugo” community invested 3 million yen in total to establish the “Future Development” company in 2015 and signed a contract of hydro power business operation with JA Hida. The power station is to begin its operation in autumn 2017.
Its capacity for power generation is 50 kilowatt per hour. Construction of the hydro power station is expected to cost 154 million yen in total. The JA Hida pays 45 percent of the cost, while 55 percent has been subsidized by the Gifu prefectural government.
The power station is to be managed by the “Future Development” company. It expects to earn revenue of 10 million yen per year by selling electricity, out of which 4.9 million yen is to be allocated to the company for its management cost as well as savings for future businesses. The rest of the income is to meet the depreciation cost of the JA Hida.