Major Japanese firms turning to biomass for power

Government subsidy program responsible for growth.

The Japanese government in July introduced a program of incentives for firms selling power produced from renewable sources and is now seeing results from its incentives.

Major oil wholesaler Showa Shell Sekiyu is to spend US$164 million on a biomass power plant in Kawasaki near Tokyo. It will be Japan's largest biomass plant with a generating capacity of 49 MW.

Major paper mill Oji Holdings plans to launch large-scale biomass production at three locations. It will use materials obtained from thinning, or the selective removal of plants to aid the growth of forest.

Japanese government leaders are hoping new energy sources can compensate for the suspension of nuclear power production since the 2011 meltdown at Fukushima Daiichi plant.

Biomass uses organisms or plant-derived materials that absorb carbon dioxide.