Japan studying measures for more renewable energy areas

The Environment Ministry is studying measures to increase areas designated by municipalities where the introduction of power generation from renewable energy is promoted.
Such measures, including a possible addition of incentives to businesses starting related projects in the areas, will be included in a revision of the government’s plan for tackling global warming. The plan will be revised as early as this fiscal year, which ends in March.
Japan aims to achieve carbon neutrality by 2050.
To that end, the ministry encourages municipalities to establish renewable energy promotion areas under a system launched in fiscal 2022. As of May this year, however, only 36 municipalities had set up such areas.
Observers attribute the slow use of the system to the heavy administrative burdens for municipalities and a lack of incentives to companies willing to start renewable energy projects in such areas.
An experts’ review panel set up in June has pointed to a need to improve the system for determining renewable energy areas, prompting the ministry to examine concrete measures.
The ministry has identified cases in which local decarbonization efforts have not made progress in small municipalities that are eager to take action but lack staff. The ministry will consider measures also to address the problem for inclusion in the revised plan to combat global warming.