The government of Japan aims to invest $1 trillion to promote economic growth and meet climate commitments. The information was provided by the chairman of the Japan Petrochemical Industry Association (JPCA) at the Asia Petrochemical Industry Conference (APIC) in Seoul, South Korea.
JPCA chairman Keiichi Iwata informed that the Japanese government has started the issuance of climate transition bonds totaling more than $100 billion to catalyze this massive investment. The bonds will finance the projects contributing to reducing carbon emissions and facilitating the transition to a low-carbon economy.
He also said that the Green Innovation Fund exceeding $10 billion has been established to support the development of groundbreaking green technologies in Japan.
“Implementing new solutions will require additional investments and lead to higher costs. But we should view it positively as an opportunity to add new value to our products through reducing emissions and utilizing bioresources and recycled materials,” Iwata said, adding, “As the petrochemical industry strives to forge a path toward a sustainable future, a two-step approach is crucial.”
The initial phase till 2050 focuses on maximizing the deployment of currently available technologies to accelerate emissions reduction. The second phase would be a long-term effort to systematically implement technologies across society, and ultimately achieve carbon neutrality.
