Japan Ministry Eyes New Subsidy System for Decarbonization

Politics

Tokyo, Aug. 31 (Jiji Press)--Japan's Environment Ministry said Tuesday it will include 20 billion yen in its budget request for fiscal 2022 for the establishment of a new subsidy system to support municipalities' decarbonization efforts.

The system is aimed at assisting efforts to promote the use of renewable energy sources and other steps for a carbon-neutral society.

The ministry's overall budget request for the year from next April totaled 747.8 billion yen, up 11.7 pct from the previous year.

In June, the government adopted a plan to designate over 100 model areas across Japan to accelerate efforts to achieve carbon neutrality by fiscal 2030.

The new subsidy system is expected to cover 50 to 75 pct of the costs of related projects, such as developing power generation facilities that use renewable energy sources, equipping buildings with heat insulation and energy-saving features, and promoting the use of electric vehicles, in these model areas.

[Copyright The Jiji Press, Ltd.]

Jiji Press