Japan was committed to provide $10 billion financial aid for decarburization projects in Asia, such as renewable energy, energy-saving and conversion to gas-fired power generation from coal-fired power to help the energy transition, Reuters reported.
In a virtual meeting with ASEAN energy ministers, Hiroshi Kajiyama, Japan's Minister of Economy, Trade and Industry put forward various measures, including helping each country set a realistic path toward carbon neutrality and a roadmap to achieve it, according to Reuters.
"We propose the Asian Energy Transition Initiative as a package of Japanese support for realistic transitions in Asia towards carbon neutrality," Kajiyama told the meeting, in which 10 ASEAN countries participated.
The financial support including lending and investments from Japanese public and private sectors aim to help cut carbon emissions and contribute to each country's carbon neutral target, Reuters reported citing Takeshi Soda, director for International affairs at the industry ministry.
These projects includes building gas-fired power stations and liquefied natural gas receiving terminals for natural gas was regarded as an alternative to coal and a key transition fuel, he said.
"There has been a rapid progress in divestment in fossil fuel projects in the international finance industry," Soda said. "But to achieve carbon neutrality in ASEAN, it is important to create a mechanism to attract investment and financing for a variety of projects and technologies that contribute to an energy transition," he said.
(Writing by Lilya Li Editing by Emma Yang)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.