Diversification in Action: Japan Wagers on Nuclear, LNG, and Next-Gen Tech
This week's cover image was created by NotebookLM🍌
*Editor’s note: This article was originally published on 11/26/2025 on Linkedin.
🎧🗣️Audio Versions of this newsletter are available thanks to NotebookLM
In English🇺🇲: Japan Climate Curation vol. 180 [5:23 min.]
In Japanese🇯🇵: Japan Climate Curation vol. 180 [4:42 min.]
🚀Now, the English audio digest of a sister publication, Climate Curation, which covers mainly non-Japanese global climate news topics, is available in English.
🇺🇲Climate Curation vol. 185 audio summary in English [5:37 min.]
🇯🇵Climate Curation vol. 185 音声概要 [4:49 min.]
Welcome! I'm Hiroyasu Ichikawa, ichi, and this is issue 180 of the "Japan Climate Curation" newsletter📬, which has been curating hand-picked Japan-related climate news content every week since spring 2022, with over 480 subscribers [ more than 3,040 on LinkedIn]. You can subscribe by clicking on the Linkedin page or the form below.
I hope you find the articles below beneficial for reading (or skimming)!
Found this week's news insights valuable? Please give it a quick "like" or "share" on your preferred network – you never know who else in your network might benefit from staying in the loop on Japan's climate scene🙂🙇
*note : "Climate Curation" a different climate newsletter in Japanese (every Saturday) is available on Linkedin / note / theLetter. It curates Japan and global climate-tech trends. I hope you like it.
【Digest of this week’s topics】
Nuclear Restart Momentum: Kashiwazaki-Kariwa (8,000MW) approved for two-reactor restart; Hokkaido’s Tomari nearing approval—Japan targets 20% nuclear by 2040. Energy Diversification: Venture Global’s 20-year Tokyo Gas LNG deal (1M tons annually) leverages US export flexibility to reduce Russian-Australian dependency. Blue Hydrogen & DAC: Inpex opened integrated blue hydrogen facility in Niigata; Kawasaki Heavy commercializing direct air capture for Southeast Asia. Renewable Cost Challenges: Perovskite solar economics gap widens; offshore wind expansion threatened by rising rates. Market-Driven Transition: Japanese firms sustain climate commitments independent of Trump policy pullback, driven by supply chain pressures and competitive necessity.
*Disclaimer: Generative AI tools such as Gemini3.0, ChatGPT, Claude and NotebookLM have been used for summary and translation assistance. 🙂
[🇯🇵📰👀Japan Climate News Headlines]
【1】Japan Approves Restart of World’s Biggest Nuclear Power Plant [11/21 Financial Times]
Niigata’s governor approved the restart of the Kashiwazaki-Kariwa nuclear plant, the world’s largest (8,000MW), over a decade after the Fukushima disaster. Rising energy costs from Ukraine’s invasion and decarbonization goals drive Japan’s nuclear shift. Currently, 14 of 54 shutdown reactors have restarted, with 4 awaiting local approval. Japan targets nuclear’s share to increase from 8.5% to 20% by 2040. Public opinion remains divided, but the government plans continued information provision to build support. This marks a historic reversal of post-Fukushima nuclear abandonment.
【2】Northern Japan Nuclear Power Plant Nears Approval for Restart [11/26 Nikkei Asia]
Hokkaido’s Tomari Nuclear Power Plant Unit 3 is nearing approval for restart. Governor Naomichi Suzuki is expected to announce his position Friday at the Hokkaido Legislative Assembly. The reactor has passed the Nuclear Regulation Authority’s safety inspection. Restart requires consent from the governor and four surrounding municipalities; Tomari’s mayor has approved, others are moving toward consent. Hokkaido Electric Power targets 2027 restart with 630 billion yen in safety investments.
【3】Venture Global Signs 20-Year LNG Supply Deal with Tokyo Gas [11/26 Nikkei Asia]
Venture Global, a major U.S. LNG exporter, has signed a 20-year deal with Tokyo Gas to supply 1 million tons annually starting 2030. This is the company’s fourth Japanese contract, with total long-term commitments reaching 7.75 million tons over six months. The agreement reflects Trump administration’s LNG export expansion policy, rising AI-driven energy demand, and Japan’s new national energy strategy. U.S. LNG’s lack of destination restrictions offers greater flexibility, supporting Japan’s diversification away from Australian and Russian supplies.
【4】TEPCO Eyes Capital Tie-ups in Electricity Retail, Power Grids [11/22 Nikkei Asia]
Tokyo Electric Power Co. is considering accepting outside investments in subsidiaries including electricity retail and power transmission/distribution businesses. The Niigata governor’s approval of the Kashiwazaki-Kariwa nuclear plant restart marks a significant milestone in the company’s restructuring plan. The company envisions capital partnerships with domestic and foreign investment funds and infrastructure companies to enhance operational efficiency and accelerate strategic growth investments. However, the additional 10 billion yen in annual profits from the nuclear restart is insufficient to offset the massive Fukushima-related liabilities, while the company continues to face severe financial challenges with seven consecutive years of negative free cash flow.
【5】Inpex Opens Plant for Test Production of ‘Blue Hydrogen’ [11/25 NHK WORLD]
Japan’s Inpex has opened a test facility in Niigata Prefecture to produce hydrogen from natural gas while storing CO2 underground. This “blue hydrogen” generates no CO2 emissions when burned, positioning it as a cleaner energy source. The company plans to use the hydrogen for onsite electricity generation and ammonia production, representing Japan’s first fully integrated blue hydrogen value chain from production to utilization. This marks a significant milestone in Japan’s energy transition strategy.
【6】Japan Needs a More Nuanced Perovskite Strategy [11/25 Institute for Energy Economics and Financial Analysis]
In October 2025, the Japanese government designated perovskite solar cells as central to its energy strategy, targeting 20GW deployment by 2040. However, the technology remains in early development stages. Government price targets of JPY10-14/kWh by 2040 contrast sharply with manufacturers’ projections of JPY15.3/kWh, far higher than conventional silicon-based solar (JPY6.6-10.4/kWh). Durability is also limited to 20 years versus 25 years for conventional panels. A more realistic strategy would position perovskites as a niche technology for locations where conventional solar cannot be installed and prioritize tandem-type cells enhancing existing solar efficiency.
【7】Japan Plans to Boost Support for Offshore Wind as Costs Swell [11/20 Bloomberg Green]
Japan’s government has proposed expanding public support for offshore wind projects as rising costs threaten renewable energy targets. The global offshore wind sector faces headwinds from elevated interest rates and expensive raw materials. The government plans to include offshore wind projects in the decarbonization power auction system, enabling access to long-term financing mechanisms covering construction and maintenance expenses. Jera Co. and Mitsui & Co., which won prior bids, would be eligible for expanded support. Mitsubishi Corp. recently withdrew from multiple projects citing escalating costs, underscoring industry-wide pressure. By integrating offshore wind into the broader framework, Japan aims to stabilize project economics and meet renewable energy commitments.
【8】TEPCO Reactor Restart a First Step in Slow Post-Fukushima Turnaround [11/22 Nikkei Asia]
Tokyo Electric Power (TEPCO) received approval to restart Reactor No. 6 at Kashiwazaki-Kariwa nuclear plant, marking its first reactor restart since the 2011 Fukushima disaster. Commercial operation is targeted before March 2025, expected to improve earnings by 100 billion yen annually. However, TEPCO carries 17 trillion yen in outstanding debt and faces deep-rooted distrust from local communities and the public. Multiple reactor restarts are essential for full turnaround plans, but the company faces mounting safety investment requirements and labor shortages. Decommissioning costs are expected to exceed the initial 8 trillion yen estimate, signaling a long path to recovery.
【9】Kawasaki Heavy Targets Southeast Asia with Direct Air Carbon Capture [11/13 Nikkei Asia]
Japan’s Kawasaki Heavy Industries is stepping up efforts to commercialize cutting-edge technology to directly capture carbon dioxide in the air, targeting Southeast Asian nations that rely heavily on fossil-fuel energy. The 13-metre-tall facility can capture 100 to 200 tonnes of CO₂ a year using a proprietary sorbent that separates the gas at about 60°C, compared with the 100–120°C typically required by liquid absorption systems. The lower temperature allows the process to run on factory waste heat, reducing energy use and environmental impact. The company drew on CO₂ removal technologies originally developed for submarines and space stations.
【10】Business of the Environment Goes On Despite Trump Pullback [11/19 NHK WORLD]
COP 30 was held in Brazil, but the Trump administration declined to send high-ranking officials. The Net Zero Banking Alliance dissolved as major institutions withdrew. However, the private sector, including Japanese firms, continues advancing climate solutions. Corporate mindset has shifted from environmental ethics to economic necessity. Regulatory pressures—EU Carbon Border Adjustment Mechanism, supply chain requirements from Apple, and declining renewable energy costs—drive decarbonization as competitive imperative. Companies maintain climate commitments despite political withdrawals, recognizing that failure to transition undermines global competitiveness.
📬That's all for this week! Thank you for reading(or skimming) 🙇. I hope you will have a wonderful week ahead!
Did you found this week's news insights valuable? Please give it a quick "like" or "share" on LinkedIn – you never know who else in your network might benefit from staying in the loop on Japan's climate scene🙂🙇
The "Climate Curation" newsletter in 🇯🇵Japanese (every Saturday) is available on Linkedin and theLetter.
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ichi (Hiroyasu Ichikawa)