Mitsubishi pulls out of key wind power projects

TOKYO, Aug 27 (AFP): Japan's Mitsubishi is withdrawing from three wind power projects deemed no longer profitable, the company said on Wednesday, a setback for a renewable energy source the country considers its "trump card".
A consortium led by Mitsubishi Corporation was selected by the government in 2021 to develop the three offshore projects as part of Japan's decarbonisation drive.
However, "the business environment for offshore wind power has significantly changed worldwide due to factors such as tight supply chains, inflation, exchange rates, and rising interest rates", the firm said in a statement.
Mitsubishi Corporation CEO Katsuya Nakanishi said costs had "swelled far more than we anticipated" in the wake of factors such as the Covid-19 pandemic and the Ukraine crisis.
"We concluded that establishing a viable business plan is not feasible," he told a news conference on Wednesday, describing the decision as "gut-wrenching".