Japan ups climate finance support but sticks with coal

  • Market: Coal
  • 02/11/21

Japan's prime minister Fumio Kishida today promised to raise climate funds for developing countries to tackle the global climate crisis, but the country will stick with using coal as an energy source.

Speaking at the UN Cop 26 climate conference, Kishida pledged $10bn in climate finance for developing countries over the next five years, in addition to the already-pledged $60bn. The Paris Agreement holds that developed countries commit $100bn each year to assist developing countries adapt to climate change, which so far has not been achieved.

Kishida also committed to providing around $240mn to global forestry conservation efforts, and said Japan will raise its renewable energy capacity, with a special focus on the expansion of solar energy, as it seeks to cut greenhouse gas emissions (GHG) by 46pc by 2030 from 2013 levels.

Japan's pledge on emissions, which it aims to get to net zero by 2050, will be achieved through the use of hydrogen, ammonia and carbon capture and storage (CCUS), foreign press secretary Yoshida Tomoyuki said today. But while Tokyo has agreed to end new financial support for new coal-fired power plants by the end of 2021, it will stick to using the fuel for power generation until it can be replaced with ammonia or hydrogen, Tomoyuki said.

Japan has already pledged to phase out older coal plants in an effort to reach GHG reduction targets, and aims to cut the share of coal in the generation mix to 19pc by 2030. It is the only G7 member not to have agreed on a coal-phase out before 2050.

Japan "cannot depend on one energy source" for power generation, Tomoyuki said.

By the April 2030-March 2031 fiscal year Tokyo plans to generate 20-22pc of its electricity output from nuclear energy, 36-38pc from renewables, 41pc from thermal power and 1pc from hydrogen and ammonia. The IEA has forecast that by 2050 renewables will account for around 50-60pc of power demand in Japan, with the remainder supplied by nuclear and thermal generating plants with CCUS at around 30-40pc, and around 10pc from hydrogen.


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