The Ministry of Economy, Trade and Industry (METI) decided to take up to 370 billion yen from the 2 trillion yen fund to support decarbonization initiatives and allocate it to two hydrogen-related project areas. This is the first time that METI has announced specific allocations for the fund. By the end of May 2021, METI will start to solicit applications from companies.
The draft plan was submitted to and approved at the April 28 meeting of the Industrial Structure Council, an advisory body to the economy minister. Up to 300 billion yen will be allocated to projects to build supply chains to mass-transport hydrogen to Japan from overseas, and up to 70 billion yen to projects to increase the size of equipment used in Japan to produce hydrogen from water.
METI has already announced the 18 focal areas of the 2 trillion yen Green Innovation Fund. This latest announcement stated the allocations for two project areas related to hydrogen. The amount subsidized will depend on the companies’ project proposals. The funds will be disbursed at each stage of the project. (Abridged)