Wedoany.com Report-Dec.26, Tosoh Corporation, Mitsui & Co., Hokkaido Electric Power Co., Inc., and Mitsubishi UBE Cement Co., Ltd. have received certification from Japan's Ministry of Economy, Trade and Industry (METI) and Ministry of Land, Infrastructure, Transport and Tourism (MLIT) for their low-carbon ammonia business plan. The approval was granted under the Support for the Price Gap system, established by the Hydrogen Society Promotion Act.

This system, administered by METI's Agency for Natural Resources and Energy, aims to accelerate the supply and utilization of low-carbon hydrogen and its derivatives. It provides financial support over a 15-year period to bridge the price difference between conventional fossil fuels or raw materials and low-carbon alternatives.

The certified plan involves collaboration among the four companies to establish a low-carbon ammonia supply chain in Japan by fiscal year 2030. Low-carbon ammonia, produced with significantly lower CO₂ emissions than conventional methods, is expected to support decarbonization in traditional applications such as fertilizers and chemical products. It also offers potential as a clean fuel that emits no CO₂ during combustion. The Hydrogen Society Promotion Act recognizes low-carbon ammonia as a form of low-carbon hydrogen suitable for energy and chemical uses.

Under the plan, Mitsui & Co. will purchase a portion of the low-carbon ammonia produced at CF Industries' Blue Point Complex in Louisiana, USA, through a joint venture in which Mitsui is an investor. Mitsui will receive support under the Price Gap mechanism. The company will then supply a total of 280,000 tons of this low-carbon ammonia annually to Tosoh Corporation, Hokkaido Electric Power Co., Inc., Mitsubishi UBE Cement Co., Ltd., and other users.

Each recipient plans to use the low-carbon ammonia as either fuel or raw material, aiming to reduce environmental impact compared to conventional approaches.

This initiative represents Japan's first large-scale commercial import of low-carbon ammonia. It combines Mitsui's extensive experience in producing, transporting, and importing ammonia and energy products with end-user expertise across power generation, ceramics, and chemicals sectors. Together, the partners seek to achieve rapid market implementation and establish a stable value chain.

The certification marks a significant step in advancing low-carbon energy solutions in Japan. By leveraging government support, the project facilitates the transition to cleaner alternatives in industrial and power applications while promoting international cooperation in sustainable ammonia production and supply. The collaboration highlights the potential for low-carbon ammonia to contribute to broader energy transition objectives.