JFE Kankyo Enters Food Recycling Business
– Start of First Cooperation with JR East Group –

7 March 2017
JFE Engineering Corporation
JFE Kankyo Corporation

JFE Engineering Corporation (President and CEO: Hisanori Kanou, Head Office: Chiyoda-ku, Tokyo) and a wholly-owned subsidiary, JFE Kankyo Corporation (President and Representative Director: Masaaki Sakurai, Head Office: Yokohama, Kanagawa Prefecture), in a joint project with East Japan Railway Company (President and CEO: Tetsuro Tomita, Head Office, Shibuya-ku, Tokyo; hereinafter, JR East) and its wholly-owned subsidiary, JR East Environment Access Co., Ltd. (President: Yoshiharu Akaishi, Head Office: Taito-ku, Tokyo), have decided to establish a new company called J Bio Food Recycle Co., Ltd. (President: Shigeru Wakita, Head Office: Yokohama, Kanagawa Prefecture) and begin a food recycling business by conversion to biogas beginning in August 2018. This cooperative project will contribute to improvement of the food recycling rate and construction of a low carbon society by creating renewable energy. It is also the first cooperative venture between the JFE Group and the JR East Group.

In this project, 80 ton/day of food waste will be treated by microbial fermentation, and electric power will be generated by using the methane gas generated in this process as fuel. The output of the biogas power generation facility, which is to be constructed in Yokohama City, will be 1,800 kW, and estimated annual power generation is approximately 11,000 MWh (equivalent to the consumption of about 3,000 general households). In addition to utilizing the generated power at the facility itself, the company will sell surplus power to Urban Energy Corporation (President: Yoshihisa Kogasaka, Head Office: Yokohama, Kanagawa Prefecture), a new electric power company which is also a wholly-owned subsidiary of JFE Engineering Corporation, under the FIT system (system which requires power companies to purchase electric power generated using renewable energy at a fixed price).
JFE Engineering will design and construct the facility, and JFE Kankyo will collect and transport food waste generated by food manufacturers and others. By participating in the project, JR East and JR East Environment Access can efficiently promote recycling of food waste generated by Station buildings and shopping areas in Stations operated by the JR East Group.

JFE Engineering has constructed more than 150 waste treatment facilities, the largest class raw kitchen waste biogas power generation facility ordered by municipal government is a typical example. JFE Kankyo has a track record of approximately 40 years in the waste treatment business as a leading company in total recycling. The JFE Engineering Group received a high evaluation for its waste recycling-related technologies and actual results in plant operation, leading to this cooperative project.

In the future, the JFE Engineering Group will also propose new business arrangements, not limited to EPC (Engineering, Procurement and Construction) and operation, in order to contribute to the formation of a low carbon/recycling society.

■ Corporate profile of J Bio Food Recycle Co., Ltd.

(1) Address : 3-1 Benten-cho, Tsurumi-ku, Yokohama
(2) Representative : Shigeru Wakita
(3) Line of business : Food recycling and biogas power generation
(4) Capitalization : ¥60 million
(5) Date established : August 1, 2016
(6) Equity investors : JFE Engineering Corporation (10%), JFE Kankyo Corporation (56%), East Japan Railway Company (17%), JR East Environment Access Co., Ltd. (17%)

■ CG image of completed facility

■ Planned location of construction

For inquiries regarding this press release, please contact JFE Engineering at the following:
Public Relations Section, General Administration Department, JFE Engineering Corporation
Tel: +81-45-505-8953