Japanese Companies Lead with 76% On Track for 1.5°C Targets While World Struggles at 61%
76% of Japanese firms on track with emissions targets, outperforming global average. Kashiwazaki Kariwa nuclear plant awaits governor approval. Energy plan criticized for limiting renewables to 50%.
*Editor’s note: This article was originally published on 2/26/2025 on Linkedin.
Welcome! I'm Hiroyasu Ichikawa, ichi, and this is issue 142 of the "Japan Climate Curation" newsletter📬, which has been curating hand-picked Japan-related climate news content every week since spring 2022, with over 420 subscribers [ more than 2,720 on Linedin]. You can subscribe by clicking on the Linkedin page or the form below.
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*Disclaimer: Generative AI tools such as Claude Sonet 3.5 has been used for summary and translation assistance 🙂
【Digest of this week's topics】
76% of Japanese firms on track with emissions targets, outperforming global average of 61%; Kashiwazaki Kariwa nuclear plant technically ready but awaits governor approval; experts criticize energy plan limiting renewables to 50%; first CCS site designated in Hokkaido; warming oceans causing 70% decline in seaweed production; Toyota has completed the first phase of "Woven City," a futuristic 175-acre development in Shizuoka; biodiversity loss threatens sparrows; Super Hotel achieves net-zero emissions across all 173 locations.
[🇯🇵📰👀Japan Climate News Headlines]
【1】40% of Companies Behind Schedule on CO2 Reduction Plans - "1.5°C Target" Difficult to Achieve Due to Fossil Fuel Dependence - Nikkei Analysis Shows 76% of Japanese Companies on Track [2/24 Nikkei Newspaper]
According to a Nikkei survey, only 61% of global companies are on track to meet their CO2 reduction targets aligned with limiting global warming to 1.5°C, while Japanese companies show a higher achievement rate of 76%.
Among 436 companies surveyed worldwide, Asia (67%) and North America (64%) are outperforming Europe (57%). Factors hindering progress include inflation and delays in next-generation fuel development, with companies reducing only 25% of their direct emissions (Scope 1). International climate action is slowing with Trump's decision to withdraw from the Paris Agreement and declining EV sales in Europe.
Japanese companies like OKI and Daiwa House are advancing renewable energy adoption and switching to electric vehicles. Japan leads globally with about 1,500 companies having adopted Science Based Targets (SBT). The key challenge ahead is balancing corporate growth with emissions reduction, requiring better understanding of supply chain emissions.
【2】Revival of Japan’s Biggest Nuclear Plant Faces Last Hurdle [2/21 Bloomberg Green]
Japan's largest nuclear power plant, Kashiwazaki Kariwa, is technically ready to restart after a decade of inactivity but lacks final approval from the local governor.
Tokyo Electric Power Co. (Tepco) is struggling to rebuild trust after the 2011 Fukushima disaster, despite having secured regulatory and international approvals for the plant.
Japan's government has shifted its energy policy to maximize nuclear power, aiming to increase nuclear's share from 8.5% in 2023 to about 20% by 2040.
The Kashiwazaki Kariwa plant has seven reactors with 8.2 gigawatts of total capacity—enough to power over 13 million households—with Tepco currently focusing on restarting Units 6 and 7.
Local opposition remains, with concerns about earthquake safety and evacuation plans, while the IAEA Director General has endorsed Tepco's improved safety protocols.
【3】Japan at an Energy Crossroads: Choosing Competitiveness Through Renewables On the Cabinet Approval of the Japan's 7th Strategic Energy Plan [2/20 Renewable Energy Institute]
The Renewable Energy Institute(REI) criticizes Japan's 7th Strategic Energy Plan for limiting renewable energy to 40-50% by 2040, arguing that over 90% is achievable and would result in lower costs and higher energy self-sufficiency.
Renewable electricity is becoming the preferred global choice due to its decreasing costs (as shown in LCOE benchmarks) and ability to utilize domestic resources, while Japan's plan relies heavily on more expensive hydrogen, ammonia, and CCS technologies.
REI's scenario would achieve approximately 75% primary energy self-sufficiency compared to the government plan's 30-40%, significantly reducing Japan's exposure to geopolitical risks.
Contrary to concerns about high "integration costs" for renewable-heavy systems, research cited by REI indicates that when total system costs are considered holistically, renewable-centered power systems remain the least expensive option.
Agrivoltaics (solar panels on farmland) presents an opportunity to simultaneously increase both energy and food self-sufficiency while creating employment opportunities in rural areas.
【4】Japan’s Updated NDC Plans Fall Short of Expectations [2/20 Energy Tracker Asia]
Japan recently submitted its updated NDC with targets of 60% emissions reduction by 2035 and 73% by 2040, which experts criticize as insufficient for the Paris Agreement's 1.5°C goal.
Climate Action Tracker suggests Japan needs at least 81% reduction by 2035. The shortfall stems from Japan's policy structure where climate goals are subordinate to energy policy, which is heavily influenced by industrial interests.
Japan promotes questionable technologies through regional initiatives. Experts recommend creating an integrated Climate and Energy Ministry to reform this structure.
【5】Japan designates first area for CO2 capture, storage [2/21 NHK World]
Japan has designated its first official Carbon dioxide Capture and Storage (CCS) area off Tomakomai, Hokkaido, following a successful trial that stored 300,000 tons of CO2.
CCS technology captures carbon dioxide from industrial emissions and stores it deep underground, helping to reduce greenhouse gas releases into the atmosphere.
The industry ministry plans to select an operator and begin expanded drilling operations as early as autumn 2025 to confirm the site's geological suitability.
Industry Minister Yoji Muto identified CCS as critical for achieving Japan's 2050 carbon neutrality goal while acknowledging cost reduction as a major challenge.
The government aims to develop additional CCS locations throughout Japan with a target of storing up to 12 million tons of CO2 nationwide by fiscal 2030.
【6】Japan looks to save seafood and seaweed farming from warming oceans [2/23 The Japan Times]
Climate change significantly impacts marine species around Japan, with ocean temperatures rising four times faster than in the late 1980s, resulting in smaller fish and declining seaweed production.
The Thai Fish Project led by Japanese researchers is developing sustainable aquaculture for native Southeast Asian species (Asian seabass and banana shrimp) to replace invasive foreign species like tilapia and whiteleg shrimp.
Japanese seaweed production has declined by approximately 70% over three decades to about 60,000 tons in 2022, partially due to rising sea temperatures.
Researchers at KaisouLab in Tokushima Prefecture have developed an innovative land-based seaweed cultivation method combining green and red seaweed varieties that can be harvested year-round.
While aquaculture is essential for meeting global protein demands as populations grow, it still contributes to greenhouse gas emissions (0.49% globally) and poses environmental challenges that researchers are working to address.
【7】Japan's wind power push hits snags [2/19 NHK World]
Government targets call for up to half of energy to be renewable by fiscal 2040, focusing on wind power. An expert says soaring material costs make this unrealistic.
【8】Toyota completes phase 1 construction of futuristic city [2/25 NHK World]
Toyota has completed the first phase of "Woven City," a 175-acre futuristic urban development in Shizuoka Prefecture that will integrate advanced technologies into daily living.
The city features separate road networks for autonomous vehicles, conventional transport, and pedestrians, as well as underground infrastructure for deliveries and waste management.
Toyota will use the development as a testing ground for safety between different transportation modes, autonomous robots, and advanced digital technologies.
Approximately 360 people, including Toyota officials and their families, will begin moving into the city in the second half of 2025.
The development will eventually house about 2,000 residents and serve as a real-world laboratory for next-generation urban mobility solutions.
【9】Saving Japan's shrinking biodiversity [2/21 NHK World]
People in Japan are realizing the dangers posed by the loss of biodiversity and the importance of preserving all living creatures. But NHK World's John LaDue warns sparrows may join the endangered list if the current trend persists.
【10】Japan's Super Hotel touts net-zero emissions with eye on Gen Z Chain invests in 'energy-saving luxury' as draw for both guests and staff [2/21 Nikkei Asia]
Super Hotel has become the first major Japanese hotel chain to achieve net-zero carbon emissions across all 173 locations, including franchises.
The company achieves carbon neutrality through renewable energy use and carbon offsets from investments in renewable power in developing countries and reforestation projects.
Their environmental initiatives cost approximately 60 million yen ($400,000) annually, but the company views this as an investment rather than passing costs to customers through higher room rates.
These sustainability efforts are strategically positioned to attract environmentally conscious Gen Z customers and serve as a recruitment tool in an industry facing severe labor shortages.
While Japan aims for carbon neutrality by 2050, the hotel industry has lagged behind other sectors despite growing consumer interest, with 75% of global travelers (and 53% of Japanese travelers) desiring more sustainable travel options.
📬That's all for this week! Thank you for reading(or skimming) 🙇. I hope you will have a wonderful week ahead!
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