Japan 2026 green subsidy programmes

In late July 2026 Japan expanded its carbon‑reduction grant framework. On 21 July the Ministry of Land, Infrastructure, Transport and Tourism opened applications for two domestic schemes: the Reiwa 8 Building GX/DX Promotion Project, funding BIM data and life‑cycle CO₂ assessments for construction firms, and the Reiwa 8 Energy‑Efficient Sewage‑System Promotion Project, supporting upgrades to high‑efficiency blowers, low‑energy treatment systems or renewable‑energy‑based units at medium‑large sewage facilities.

On 25 July the government added two construction‑sector programmes. The revised Fiscal Year 2025 Commercial Vehicles Electrification Promotion Project (Construction Machinery) offers up to two‑thirds of the price difference or half the purchase price for GX‑certified electric machines and portable chargers, with a ¥1.43 billion budget and applications accepted via jGrants until 29 January 2027. The same ministry’s FY 2026 CO₂ unit development support funds the creation and third‑party verification of emission factors for building materials and equipment, providing up to ¥4 million per product (¥10 million per applicant) through 24 December 2026, with private firm Value Frontier assisting applicants.

A day later, on 26 July, the Environment Ministry launched the Resource Circulation Decarbonisation Promotion Project, awarding up to ¥44 million for overseas waste‑treatment feasibility studies, while the Economy, Trade and Industry Ministry funded a pilot digitising Vietnamese agriculture to generate carbon credits. Together these announcements show Japan’s 2026 subsidy agenda moving from domestic building and sewage upgrades to broader construction‑equipment electrification, international waste‑recycling, and agri‑tech initiatives.