Japan Sets New Emission Targets And Energy Plan For 2040 Amid Challenges

Japan has introduced new targets to reduce greenhouse gas emissions by 2040, along with a revised energy policy and an updated industrial strategy. These measures are designed to ensure long-term stability for businesses while focusing on decarbonization, energy security, and industrial growth. The country now aims to cut emissions by 60% from 2013 levels by 2035 and achieve a 73% reduction by 2040. These targets extend the existing goal of a 46% reduction by 2030.

The proposed emission cuts had faced demands for stronger action from experts and members of the ruling coalition. Public comments also reflected this sentiment, with over 80% of 3,000 responses favoring a more ambitious target. However, the environment and industry ministries maintained the proposed figures, citing discussions with climate experts. Japan is set to submit this target as its Nationally Determined Contribution under the Paris Agreement to the United Nations this month.

In the revised energy policy, the government plans for renewable energy to contribute up to 50% of the country’s electricity mix by the fiscal year 2040. Nuclear power is also expected to play a larger role, with a target of 20%. This represents a shift from the previous goal of minimizing nuclear reliance. Following the Fukushima disaster in 2011, restarting reactors has been a challenge, keeping nuclear’s share at only 8.5% of total electricity generation in 2023. The updated plan removes earlier restrictions and supports the construction of next-generation reactors.

The industrial strategy, aligned with these energy and climate policies, focuses on developing low-carbon industrial hubs in regions with abundant renewable or nuclear energy sources. However, challenges remain in Japan’s renewable energy expansion, particularly in offshore wind projects, where high costs and inflation have created difficulties. This has led companies like Mitsubishi Corp to reconsider some of their planned domestic wind projects.

Japan’s policies also face uncertainty due to changing global dynamics. The stance of former U.S. President Donald Trump on climate agreements has raised concerns over international cooperation, adding further complexity to the country’s long-term decarbonization goals.