Alternative diesel mandates

Although Japan’s government has set a national mandate on ethanol, it does not have a biodiesel-specific mandate.

In addition, liquefied petroleum gas (LPG) is also used in the transportation sector, mainly by taxis. The use of auto-LPG, also known as autogas in Japan, started in the 1960s, primarily because it was (and still is) perceived as cleaner than gasoline and diesel.

The government promotes the use of auto-LPG by providing grants/subsidies and applying preferential tax rates that make the price of auto-LPG lower than the price of gasoline and diesel.