Catharina Klein
Research expert covering Japan
Biofuels in Japan - statistics & facts
Japan's market size for biofuels is forecast to increase significantly in the next decades, as hydrogen and biofuels are expected to make up the highest volume of carbon-neutral fuels by 2030. By increasing its use of biofuels, Japan aims to increase energy security while improving air quality and protecting the environment. Biofuels are mainly used for transportation as well as heat and electricity production. The most common liquid biofuels include biodiesel and bioethanol, while solid biofuels are produced from biomass and include wood pellets. The emission of greenhouse gases varies considerably depending on the biofuel. Some have little to negative emissions, while others emit almost as much as burning fossil fuels.
Overall, the use of biofuels in Japan is forecast to increase, but the country is still mostly using fossil fuels for transportation and energy generation. The domestic production of both biodiesel and bioethanol ceased in recent years, making Japan once again rely on imports. To become more independent of imports and reduce greenhouse gas emissions further, Japan must focus on increasing its own production of biofuels.
What fuels does Japan use for transportation?
Regarding automobiles in Japan, the main fuel used by over 99 percent of light motor vehicles was gasoline. The government recently announced that all new passenger cars sold domestically should be electrified by 2035, expecting growth in the electric vehicle industry. Next to carbon-neutral hydrogen fuel and electricity, Japan is counting on biodiesel and bioethanol to decarbonize its transportation sector. Japan Railway, for example, plans to introduce biofuels such as biodiesel in all its diesel trains by 2030 to reduce carbon dioxide emissions. The production volume of biodiesel stagnated in recent years but Japan's new biofuels policy allows for increased imports.What fuels does Japan use for energy generation?
The majority of Japan's primary energy consumption continues to be covered by fossil fuels such as petroleum, coal, and natural gas. Since Japan lacks domestic reserves of fossil fuels, it is highly dependent on imports. To become more independent of energy imports and to reach its goal of carbon neutrality by 2050, the Japanese government plans to increase the use of renewable energy, nuclear energy, and introduce green hydrogen and ammonia which should be produced with renewable energy. Currently, solar power and hydropower make up the largest renewable energy sources in Japan, while the share of biomass in energy production remains below six percent. However, the electricity generation from solid biofuels increased continuously throughout the past decade and is forecast to grow further.Overall, the use of biofuels in Japan is forecast to increase, but the country is still mostly using fossil fuels for transportation and energy generation. The domestic production of both biodiesel and bioethanol ceased in recent years, making Japan once again rely on imports. To become more independent of imports and reduce greenhouse gas emissions further, Japan must focus on increasing its own production of biofuels.
