Pre-Consultation Opens for Large-Scale Grid and Power Financing
Overview
The Ministry of Economy, Trade and Industry will begin operating a financing program under the Electricity Business Act to support the development of large-scale transmission lines and power sources. It has begun accepting pre-consultations from businesses seeking to use the program and asks businesses seeking loan execution during fiscal 2026 to contact it by September 30, 2026. The eligible projects fall into three categories. After national review and certification, the Organization for Cross-regional Coordination of Transmission Operators, Japan conducts the financing review, decision, and execution.
Key points
- The government will begin operating a financing program to support the development of large-scale transmission lines and power sources.
- Pre-consultations will begin for businesses seeking to use the program.
- Businesses seeking loan execution during fiscal 2026 must make contact by September 30, 2026.
- The eligible projects fall into three categories: interregional interconnection lines, intra-regional power systems, and power sources.
Overview
The Ministry of Economy, Trade and Industry will begin operating a financing program under the Electricity Business Act to support the development of large-scale transmission lines and power sources. Under the program, the Organization for Cross-regional Coordination of Transmission Operators, Japan (OCCTO) uses fiscal investment and loan programs and other resources to lend the funds necessary for implementation to business plans certified by the Minister of Economy, Trade and Industry.
Impact
Businesses seeking to use this program can access pre-consultations. Consultations will also be accepted after September 30, 2026, for businesses seeking loan execution from fiscal 2027 onward.
Details
During pre-consultations, businesses can discuss business plans under consideration, whether this program can be used, future application procedures, and required documents.
The eligible projects fall into three categories: (1) development and related plans (interregional interconnection lines), (2) core transmission and substation facility development and related plans (intra-regional power systems), and (3) electrical work development and related plans for power generation and other uses (power sources).
After a business submits a plan, the national government reviews and certifies it, and the Organization for Cross-regional Coordination of Transmission Operators, Japan conducts the financing review and decides on and executes the loan. For specific pre-consultation procedures, refer to the related link, “Applications and Other Matters Concerning the Financing Program for Large-Scale Transmission Lines and Large-Scale Power Sources” (Agency for Natural Resources and Energy).