Japan's government approved on Tuesday new targets to cut the country's greenhouse gas emissions through 2040, alongside a revised energy plan and an updated industrial policy for the same period.
The measures, which seek to bolster long-term policy stability for businesses, focus on promoting decarbonization, ensuring a stable energy supply and strengthening industrial capacity to drive economic growth.
Under the new climate policy, Japan aims to reduce greenhouse gas emissions by 60% from 2013 levels by 2035 and by 73% by 2040, extending its 2030 goal of a 46% cut.
The emissions-cutting target sparked calls for deeper reductions from experts and ruling coalition members when it was first proposed, as the world's fifth-biggest carbon emitter struggles to reduce its dependence on fossil fuels.
Despite more than 80% of 3,000 public comments supporting a more ambitious target, the environment and industry ministries finalized the goal without changes, citing prior deliberations by climate experts.
As part of global efforts to combat climate change, Japan plans to submit its new target, known as a Nationally Determined Contribution under the Paris Agreement, to the United Nations this month.
The revised energy policy aims for renewables to account for up to 50% of Japan's electricity mix by fiscal year 2040, with nuclear power contributing another 20% as the country pushes for clean energy while meeting rising power demand.
Japanese utilities have struggled to restart nuclear reactors since the 2011 Fukushima disaster, limiting nuclear power to just 8.5% of Japan's electricity supply in 2023.
The new energy plan removes the previous goal of minimizing reliance on nuclear and calls for building next-generation reactors.
A new national strategy integrating decarbonization and industrial policy through 2040, aligned with the emission target and energy plan, was also approved by the cabinet.
It aims to develop industrial clusters in areas rich in renewable energy, nuclear power, and other low-carbon power sources.
However, uncertainties are emerging around Japan's policies, as the domestic offshore wind market, a key driver of renewable energy growth, faces headwinds from inflation and high costs, recently prompting Mitsubishi Corp to review three domestic projects.
