Japan signs 70 MOUs on energy transition 

Japan signed 70 memoranda of understanding (MOUs) on energy transition with various partners on Wednesday during the Asia Zero Emission Community (AZEC) ministerial meeting in Indonesian capital of Jakarta.

The AZEC, proposed by Japanese Prime Minister Fumio Kishida in 2022 and launched by 11 countries including Indonesia, Australia, Vietnam, and Thailand in 2023, aims to promote decarbonisation and energy transition in Asia. The AZEC initiative seeks to develop sustainable fuel markets and advance energy transition efforts in the region.

Japanese Minister of Economy, Trade, and Investment Ken Saito announced that 14 of the projects will receive up to $1 billion in financial support through a global South support scheme.

Among the MOUs signed was a notable agreement with Toyota Tshuso and Indonesia’s state energy firm Pertamina to develop biofuels and green hydrogen. The full list of MOUs has not yet been released.

For his part, Indonesia’s Coordinating Minister of the Economy, Airlangga Hartarto, emphasised the need for enhanced regional power grids, investment in new energy sources like hydrogen and ammonia, and the promotion of next-generation vehicles and sustainable fuels.