The Japanese government has announced a plan to invest JPY15tr (USD107bn) in the supply of hydrogen over the next 15 years to promote hydrogen utilization and accelerate decarbonization, as reported by Nikkei Asia on June 6. The government will provide between JPY6tr to 8tr, while the remaining amount will come from the private sector. The revised Basic Hydrogen Strategy, approved on June 6, outline Japan’s goal of increasing hydrogen supply to 12 million tons by 2040, compared to the current level of 2 million tons. The strategy aligns with Japan’s hydrogen development targets of supplying 3 million tons by 2030 and 20 million tons by 2050.
The Japanese government introduced the strategy to promote greater participation of companies in hydrogen initiatives and plans to commercialize hydrogen power generation by 2030. Yasutoshi Nishimura, the Minister of Economy, Trade and Industry, expressed Japan’s intention to establish a hydrogen supply chain in Asia and the Indo-Pacific region by further expanding hydrogen technologies. The strategy sets new targets for Japanese-affiliated companies, both domestically and abroad. It expects these companies to build water electrolysis facilities with a total capacity of around 15 gigawatts (GW) globally by 2030, up from less than 1GW now, to account for roughly 10% of the projected international capacity at that time.