Hydrogen supply chain

Traditionally, Japan is a net petroleum and natural gas importer. Thus, the government is searching for ways to reduce dependency on petroleum and increase energy security by diversifying energy sources.

Under the Strategic Roadmap for Hydrogen and Fuel Cell, the Ministry of Economy, Trade, and Industry set a target to create a comprehensive commercial hydrogen supply chain by 2030 to support reductions in the country’s carbon emissions.

Furthermore, the government aims to procure about 300,000 tonnes of hydrogen per year at the price of JPY 30/Nm3 (~USD 0.278/Nm3) in 2030 and 20 million tonnes at the price of less than JPY 30/Nm3 (~USD 0.278/Nm3) in 2050. The current price of hydrogen is approximately JPY 100/Nm3 (USD 0.926/Nm3).

Various pilot projects are being carried