INSTITUTION PROFILE / HYDROGEN ENERGY
Ministry of Economy, Trade and Industry (METI)
The policy ministry that owns Japan's hydrogen law, targets and support schemes
METI is the Japanese ministry responsible for industrial and energy policy. For hydrogen it is the competent minister under the Hydrogen Society Promotion Act. Through the Basic Hydrogen Strategy that sets adoption targets, the ministerial order that defines low-carbon hydrogen, the approval of plans for price-gap support and hub support, and special rules under the High Pressure Gas Safety Act, it shapes the framework of Japan's domestic hydrogen market. But METI does not pay out the money itself: NEDO allocates research, development and demonstration funds, and JOGMEC (Japan Organization for Metals and Energy Security) pays the grants, so METI is not the implementing arm that hands out funds. Its reach is mainly Japan: imported hydrogen can be covered, but METI has no power over other countries' rules or standards.
What this article covers
- METI in 30 seconds
- What kind of body it is: the four types of influence
- What it does for hydrogen energy
- How far its influence reaches (powers and geography)
- Connected organisations and the flow of money
- Outlook
- Glossary, references and claim-to-source audit
1. METI in 30 seconds
FULL NAMEMinistry of Economy, Trade and Industry (METI)Headed by the Minister of Economy, Trade and Industry
COUNTRYJapanBased in Kasumigaseki, Tokyo
TYPE OF BODYNational government ministryExternal agencies: the Agency for Natural Resources and Energy (ANRE), the Patent Office and the Small and Medium Enterprise Agency. Hydrogen sits with ANRE
ESTABLISHED6 January 2001The date the Act for the Establishment of METI came into force
SCALE (PEOPLE)About 7,700 full-time staffMain ministry plus ANRE, the Patent Office and the SME Agency combined, as of 1 July 2025
SCALE (HYDROGEN SUPPORT)About ¥3 trillion for price-gap supportThe size of the scheme according to METI's materials. The hydrogen part of the Green Innovation Fund is about ¥800 billion (Basic Hydrogen Strategy, June 2023)
ROLE IN HYDROGEN ENERGYStrategy, law, approval, safetyAdoption targets, the Hydrogen Society Promotion Act, approval of support plans, the High Pressure Gas Safety Act
REACHMainly inside JapanImported hydrogen can be covered. No power to set other countries' rules or standards
The one thing to grasp first
METI is the body that decides the framework and policy for hydrogen. Under the Hydrogen Society Promotion Act it is the competent minister: it writes the basic policy, approves business plans, and sets by ministerial order the line for low-carbon hydrogen (3.4 kg of CO2 or less per kg of hydrogen) Sourced. However, JOGMEC pays the grants and NEDO allocates research and demonstration funds, and the Basic Hydrogen Strategy itself is a document issued in the name of the Council of Ministers for Renewable Energy, Hydrogen and Related Issues, not by METI alone Sourced. And the "scheme of about ¥3 trillion" is the size of the support framework; the grant for each project is set only after its plan is approved.
2. What kind of body it is: the four types of influence
Unlike the companies in this series, none of the institutions that appear in hydrogen coverage produces hydrogen. What separates them is the route by which they influence the industry, and that gives four types.
3. What it does for hydrogen energy
| Area | What could be confirmed (official materials) |
|---|---|
| Basic Hydrogen Strategy | First adopted in December 2017 as the world's first national hydrogen strategy, and revised on 6 June 2023 as a document of the Council of Ministers for Renewable Energy, Hydrogen and Related Issues. Adoption targets: up to 3 million tonnes a year in 2030, about 12 million tonnes in 2040 (ammonia included) and about 20 million tonnes in 2050. It restates a 2030 supply-cost target (CIF cost) of ¥30 per Nm3 (about ¥334 per kg) |
| Hydrogen Society Promotion Act | Act No. 37 of 2024 (an unofficial English rendering of the title appears in the references; "Hydrogen Society Promotion Act" is the common short name in Japanese). Promulgated 24 May 2024, in force 23 October 2024. It provides a national basic policy, approval of plans covering both supply and demand, support and regulatory special rules for approved businesses, and criteria for hydrogen suppliers |
| Where the line for low-carbon hydrogen is drawn | Article 3 of the ministerial order (METI Order No. 69 of 2024) sets 3.4 kg of CO2 or less per kg of hydrogen, and 0.87 kg or less per kg of ammonia. Non-CO2 greenhouse gases are converted with global warming potentials. Emissions are calculated by a method set by the Minister |
| Price-gap support | Approved suppliers receive the difference between the price of low-carbon hydrogen (the base price) and the price of the conventional fuel or feedstock (the reference price). Grants are paid by JOGMEC (Article 10, item 1(a)). METI's materials show a 15-year support period starting from the start of supply, 10 years of continued supply after support ends, and a scheme of about ¥3 trillion. Applications were accepted from 22 November 2024 to 31 March 2025 |
| Hub support | Grants toward transport and storage facilities that several users share (Article 10, item 1(b)). Applications were accepted from 5 March to 30 June 2025. For fiscal 2025 the page says only front-end engineering design (FEED) support was planned |
| Special rules | For equipment under an approved plan, and with the Minister's approval, the Minister takes over from the prefectural governor, for three years from the start of high-pressure gas production, the inspections and safety oversight that the High Pressure Gas Safety Act otherwise assigns to governors. There are also deemed-permission rules under the Port and Harbour Act and a special rule for pipeline road occupancy |
| Criteria for hydrogen suppliers | A notice (METI Notice No. 174 of 2024) asks suppliers to set and publish targets, use renewable energy or carbon capture, label low-carbon hydrogen and seek certification by a competent external body. It says emissions are to be calculated by the method defined in ISO standards, and that suppliers should take care that quality conforms to ISO standards or equivalents. For large suppliers whose efforts are markedly insufficient, the Minister can issue recommendations and orders (according to the outline) |
| Research and development (Green Innovation Fund) | According to the Basic Hydrogen Strategy, about ¥800 billion of the ¥2 trillion Green Innovation Fund goes to hydrogen technologies. Examples with their caps: large-scale hydrogen supply chains (¥300 billion), hydrogen from water electrolysis (¥70 billion), hydrogen in steelmaking (¥193.5 billion), fuel ammonia (¥59.8 billion). METI's materials say it works with NEDO on these projects |
| International | Hosted the first Hydrogen Energy Ministerial Meeting in Japan in 2018; the 8th was held on 10 September 2026 at Makuhari Messe (organised by METI and NEDO; the afternoon meeting was closed). On 21 May 2025 it revised a memorandum of cooperation on hydrogen with the Netherlands |
The stages of the Hydrogen Society Promotion Act
Policies and subsidies need to be read stage by stage: proposal, enactment, entry into force, approval. A law's entry into force (when it starts to apply) is a separate stage from the approval of an individual plan.
| Stage | Date | What happened | Category |
|---|---|---|---|
| Enacted and promulgated | 24 May 2024 | Passed at the 213th Diet session and promulgated as Act No. 37 of 2024 | Sourced |
| Entry into force | 23 October 2024 | The Act and its enforcement regulation took effect, and the criteria notice was issued, on the same day | Sourced |
| Price-gap support applications | 22 Nov 2024 to 31 Mar 2025 | Closed. 27 plan applications were received (METI materials) | Sourced |
| Hub support applications | 5 Mar to 30 Jun 2025 | Closed | Sourced |
| Plan approvals | 30 Sep 2025 to 30 Jun 2026 | Nine in total (table below). Approval is a separate stage from fixing a grant amount | Sourced |
| Basic policy amended | 1 July 2026 | Partially amended by METI Notice No. 81 and in force the same day | Sourced |
| Review of the Act | About five years after entry into force | Supplementary Provision Article 2 requires the Government to review how the Act is working and take measures if necessary. The content is not decided | Not yet confirmed |
| Date approved | Approval number | Approved businesses (names romanised from METI's Japanese list) |
|---|---|---|
| 30 Sep 2025 | 2025 Low-carbon hydrogen No. 1 | Toyota Tsusho, Eurus Energy Holdings, Iwatani, Aichi Steel |
| 30 Sep 2025 | No. 2 | Resonac, Nippon Shokubai |
| 19 Dec 2025 | No. 3 | JERA, Toyota Industries, AGC, NGK Insulators, Aisin Fukui, Chubu Electric Power Miraiz |
| 19 Dec 2025 | No. 4 | Mitsui & Co., Hokkaido Electric Power, UBE Mitsubishi Cement, Tosoh |
| 27 Mar 2026 | Nos. 5 to 8 | Yamanashi Hydrogen Company (with Suntory Holdings, Himeji Rika and others, two plans); Hokkaido Electric Power, Mitsui & Co., IHI and Tomakomai Futo; JERA, AGC and six other companies (No. 8) |
| 30 Jun 2026 | 2026 Low-carbon hydrogen No. 1 | IHI, Mitsubishi Gas Chemical, Hokkaido Electric Power, Nippon Beet Sugar, Kobelco Power Kobe, Sumitomo Chemical, UBE |
* The grant amounts and hydrogen volumes of each plan appear in METI's "outline of the approved plan" documents; this article does not quote those figures. Company names are romanised from the Japanese list and official English names were not checked.
A caution on reading the numbers
"About ¥3 trillion" is the size of the price-gap framework, not the sum of grants actually awarded. METI's materials say that simply adding up the expected support in the 27 applications comes to well over ¥3 trillion, and nine plans have been approved against 27 applications Sourced. Which applications are approved, and for how much, is settled in individual reviews. Please do not read an unapproved plan as a project that has been decided.
4. How far its influence reaches (powers and geography)
| Aspect | What METI has | What it does not have |
|---|---|---|
| Powers | As competent minister under the Hydrogen Society Promotion Act: drawing up the basic policy, issuing orders and notices, approving plans, guidance, advice, recommendations and orders based on the criteria, and operating the special rules under the High Pressure Gas Safety Act | The power to pass the law itself (the Diet). The Basic Hydrogen Strategy is issued in the name of the Council of Ministers. Payment of grants (JOGMEC) and allocation of R&D funds (NEDO) |
| Shared jurisdiction | For port facilities and pipelines, the Minister of Land, Infrastructure, Transport and Tourism (MLIT) shares the role of competent minister. The basic policy is drawn up after consulting the Minister of the Environment and others | Procedures that need the consent of port or road administrators (consent of the port authority, road-occupancy standards) |
| Geography | Japan. The Act covers businesses that "produce domestically or import, and supply", so imported-hydrogen supply can be included in approved plans | The power to set other countries' rules and standards. International arrangements, such as the Hydrogen Energy Ministerial and bilateral memoranda, remain frameworks for cooperation |
| Scale | About 7,700 full-time staff. A price-gap framework of about ¥3 trillion; about ¥800 billion for hydrogen in the Green Innovation Fund | A total annual budget for hydrogen alone (not found in official materials by this article) |
| Position | The same ministry promotes industry and operates safety regulation such as that for high-pressure gas | The role of an independent statistician or auditor |
5. Connected organisations and the flow of money
| Organisation | Relationship with METI (as described in official materials) |
|---|---|
| JOGMEC (Japan Organization for Metals and Energy Security) | Pays the grants for approved plans (price-gap and hub support) (Article 10). When the Minister approves a plan that seeks grants, the Minister notifies JOGMEC (Article 7) |
| NEDO | The Basic Hydrogen Strategy describes hydrogen development and demonstration under the Green Innovation Fund, and METI's materials say METI works with NEDO on it. METI and NEDO co-host the Hydrogen Energy Ministerial (10 September 2026). NEDO's hydrogen projects are covered in our separate NEDO profile |
| Ministry of Land, Infrastructure, Transport and Tourism (MLIT) | Shares the role of competent minister for plans that put supply facilities in ports or install pipelines (Article 42) |
| Minister of Finance, Minister of the Environment | Approval of a plan that seeks grants requires consultation with the Minister of Finance (Article 7). Policies touching environmental protection are carried out in cooperation with the Minister of the Environment (Article 43) |
| AGC | Named among the approved businesses in plan No. 3 (19 December 2025) and No. 8 (27 March 2026). Among the companies profiled in this series, AGC is the only one confirmed on the official list |
6. Outlook
| What can be read from the sources | Primary evidence | Category |
|---|---|---|
| A review of the Hydrogen Society Promotion Act is due around October 2029, five years after entry into force | Supplementary Provision Article 2 says "about five years after entry into force". The entry-into-force date is 23 October 2024. The content of the review and any measures are not stated | Not yet confirmed |
| The basic policy and its evaluation criteria will keep being revised as experience accumulates | The basic policy was partially amended on 1 July 2026, with evaluation items added and changed | Inference |
| More plans will be approved | Approvals were made on four occasions between September 2025 and June 2026, and the plan approved on 30 June 2026 carries a 2026 number. The number of the 27 applications still under review could not be confirmed | Inference |
| Whether the discussions at the Hydrogen Energy Ministerial are reflected in Japanese policy depends on its outcome | The afternoon session on 10 September 2026 was closed, and this article has not confirmed the outcome | Not yet confirmed |
7. Glossary
- Competent minister
- The minister mainly in charge of operating a law. Under the Hydrogen Society Promotion Act it is the Minister of Economy, Trade and Industry, sharing with the MLIT Minister on ports and pipelines.
- Low-carbon hydrogen, etc.
- Hydrogen and hydrogen compounds whose production emits no more CO2 than the value in the ministerial order. For hydrogen, 3.4 kg or less per kg.
- Price-gap support
- A scheme that gives approved businesses the difference between the price of low-carbon hydrogen (base price) and that of the fuel or feedstock it replaces (reference price).
- Hub support
- A scheme that gives grants toward hydrogen transport and storage facilities that several users share.
- JOGMEC
- Japan Organization for Metals and Energy Security. It pays the grants under the Hydrogen Society Promotion Act.
- Law, cabinet order, ministerial order, notice
- The Diet enacts laws. The Cabinet issues cabinet orders; a minister issues ministerial orders and notices. The 3.4 kg line sits in a ministerial order.
8. References
- e-Gov Law Search Act for the Establishment of the Ministry of Economy, Trade and Industry (Act No. 99 of 1999; in force 6 January 2001; Articles 16 to 19 on the Agency for Natural Resources and Energy and its advisory committee) (in Japanese). https://laws.e-gov.go.jp/law/411AC0000000099
- e-Gov Law Search Act on the Promotion of Supply and Use of Low-Carbon Hydrogen, etc. for the Smooth Transition to a Decarbonized Growth-Oriented Economic Structure (Act No. 37 of 2024; promulgated 24 May 2024, in force 23 October 2024; unofficial English title) (in Japanese). https://laws.e-gov.go.jp/law/506AC0000000037
- Agency for Natural Resources and Energy (ANRE) Page on the Hydrogen Society Promotion Act (news items, application periods, list of approved plans, related laws, contacts; shows an update of 1 July 2026) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/
- Ministry of Economy, Trade and Industry (METI) Enforcement Regulation of the Act (METI Order No. 69 of 2024; Article 3 on the low-carbon hydrogen requirement, Article 4 on supply periods) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/03_sekoukisoku.pdf
- Ministry of Economy, Trade and Industry (METI) Notice on matters serving as criteria for hydrogen suppliers (METI Notice No. 174 of 2024) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/07_hanndannkijunn.pdf
- METI and the Ministry of Land, Infrastructure, Transport and Tourism Notice on the basic policy for the supply and use of low-carbon hydrogen (METI/MLIT Notice No. 5 of 2024) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/06_kihonhoushin.pdf
- Ministry of Economy, Trade and Industry (METI) Notice partially amending the basic policy (METI Notice No. 81 of 2026; in force 1 July 2026) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/kihonhoushin260701.pdf
- Agency for Natural Resources and Energy (ANRE) Outline of the Hydrogen Society Promotion Act (overview chart) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/hydrogen.pdf
- Agency for Natural Resources and Energy (ANRE) Efforts toward realising a hydrogen society (list of policies including the Basic Hydrogen Strategy of December 2017 and June 2023) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/
- Council of Ministers for Renewable Energy, Hydrogen and Related Issues Basic Hydrogen Strategy (revised 6 June 2023; adoption targets, hydrogen-related Green Innovation Fund projects) (in Japanese). https://www.meti.go.jp/shingikai/enecho/shoene_shinene/suiso_seisaku/pdf/20230606_2.pdf
- Agency for Natural Resources and Energy (ANRE) Hydrogen policy and developments at home and abroad (briefing of 7 July 2025; scheme of about 3 trillion yen, 27 applications, 15-year support period) (in Japanese). https://www.meti.go.jp/shingikai/sankoshin/green_innovation/energy_structure/pdf/029_06_00.pdf
- Ministry of Economy, Trade and Industry (METI) News release: Hydrogen Energy Ministerial Meeting (8th) and the international public-private symposium on hydrogen and ammonia (13 August 2026) (in Japanese). https://www.meti.go.jp/press/2026/08/20260813001.html
- Agency for Natural Resources and Energy (ANRE) Revision of the memorandum of cooperation on hydrogen with the Dutch Ministry of Climate Policy and Green Growth (21 May 2025) (in Japanese). https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/250521japan_netherlands_mocrevision/
- Cabinet Secretariat, Cabinet Bureau of Personnel Affairs Statistics on regular-service national public employees (as of 1 July 2025), summary (full-time staff by ministry) (in Japanese). https://www.cas.go.jp/jp/gaiyou/jimu/jinjikyoku/files/ippanshoku_toukei_gaiyou.pdf
9. Claim-to-source audit
| Claim in the article | Category | Source |
|---|---|---|
| Establishment of METI (in force 6 January 2001), its external agencies (ANRE, Patent Office, Small and Medium Enterprise Agency), ANRE's mission and the duties of its advisory committee | Sourced | Reference 1 https://laws.e-gov.go.jp/law/411AC0000000099 |
| The Act's promulgation and entry into force, purpose, definition of low-carbon hydrogen, basic policy, plan approval, JOGMEC grants (Article 10), special rules under the High Pressure Gas Safety Act, Port and Harbour Act and road occupancy, criteria notice, guidance, recommendations and orders, competent ministers (Article 42), review about five years after entry into force (Supplementary Provision Article 2) | Sourced | Reference 2 https://laws.e-gov.go.jp/law/506AC0000000037 |
| Application periods for price-gap support (22 November 2024 to 31 March 2025) and hub support (5 March to 30 June 2025), the list of nine approved plans with dates, division names, the basic-policy amendment (1 July 2026) | Sourced | Reference 3 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/ |
| The low-carbon requirement (3.4 kg-CO2 per kg of hydrogen, 0.87 for ammonia), calculation by a method set by the Minister, supply periods (10 years after the end of support, and so on) | Sourced | Reference 4 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/03_sekoukisoku.pdf |
| The criteria notice (calculation method defined by ISO standards, quality to conform to ISO standards or equivalents, labelling and external certification) | Sourced | Reference 5 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/07_hanndannkijunn.pdf |
| The basic policy (METI/MLIT Notice No. 5 of 2024), its quotation of the Sixth Strategic Energy Plan targets, and the carbon-intensity approach | Sourced | Reference 6 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/06_kihonhoushin.pdf |
| The partial amendment of the basic policy (in force 1 July 2026) | Sourced | Reference 7 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/kihonhoushin260701.pdf |
| The scheme outline (approval criteria, price-gap and hub support, special rules for safety, ports and roads, criteria) | Sourced | Reference 8 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/carbon_neutral/hydrogen.pdf |
| The Basic Hydrogen Strategy (December 2017 and June 2023) and related policy list | Sourced | Reference 9 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/ |
| Targets in the Basic Hydrogen Strategy (up to 3 Mt a year in 2030, about 12 Mt in 2040, about 20 Mt in 2050), the roughly ¥800 billion for hydrogen in the Green Innovation Fund, and project caps | Sourced | Reference 10 https://www.meti.go.jp/shingikai/enecho/shoene_shinene/suiso_seisaku/pdf/20230606_2.pdf |
| The scheme of about ¥3 trillion, 27 applications, a 15-year support period and 10-year supply continuation, the Seventh Strategic Energy Plan (Cabinet decision, February 2025) | Sourced | Reference 11 https://www.meti.go.jp/shingikai/sankoshin/green_innovation/energy_structure/pdf/029_06_00.pdf |
| The 8th Hydrogen Energy Ministerial Meeting: date, venue, organisers, and first held in Japan in 2018 | Sourced | Reference 12 https://www.meti.go.jp/press/2026/08/20260813001.html |
| The revision of the Japan-Netherlands memorandum on hydrogen (21 May 2025) | Sourced | Reference 13 https://www.enecho.meti.go.jp/category/saving_and_new/advanced_systems/hydrogen_society/250521japan_netherlands_mocrevision/ |
| METI full-time staff (main ministry 4,416; ANRE 409; Patent Office 2,677; SME Agency 192; as of 1 July 2025) | Sourced | Reference 14 https://www.cas.go.jp/jp/gaiyou/jimu/jinjikyoku/files/ippanshoku_toukei_gaiyou.pdf |
| The combined figure of about 7,700 full-time staff (7,694) | Our calculation | Our sum of the four figures in reference 14 |
| The four types of institution | Our calculation | Our own classification |
| The reading that METI is the body that decides while NEDO and JOGMEC carry out | Our calculation | Our reading of the descriptions of each scheme in references 2, 3, 10 |
| That the five-year review would fall around October 2029 | Our calculation | Our calculation from Supplementary Provision Article 2 of reference 2 (entry into force 23 October 2024) |
| Grant amounts for each of the nine approved plans, and the total expected versus approved support | Not yet confirmed | Not stated in references 3, 11. This article does not estimate it |
| How many of the 27 applications are still under review | Not yet confirmed | Reference 3 gives only the number of applications and the list of approvals. This article has not confirmed the number under review |
| The outcome of the September 2026 Hydrogen Energy Ministerial | Not yet confirmed | Reference 12 is an announcement, and the meeting was closed. This article has not confirmed the outcome |
| The three outlook points in section 6 | Inference | This article's reading of references 2, 3, 7, 12 |
Last updated 6 October 2026 / Troy Technical
Figures come from the texts of laws, notices and orders, official pages and materials of ANRE and METI, the Basic Hydrogen Strategy and Cabinet Bureau of Personnel Affairs statistics. Items marked "Inference" are this article's reading of the primary information.