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Green Hydrogen in Hokkaido: Joint Development Agreement Signed for Chitose Area

30 July, 2024

Green Hydrogen in Hokkaido: Joint Development Agreement Signed for Chitose Area

Mitsubishi Corporation (MC), Takasago Thermal Engineering Co., Ltd. (TTE), Hokkaido Electric Power Company (HEPCO), and Air Water Hokkaido Inc. (AWH) have signed a joint development agreement.

In a significant step towards realizing carbon neutrality, Mitsubishi Corporation (MC), Takasago Thermal Engineering Co., Ltd. (TTE), Hokkaido Electric Power Company (HEPCO), and Air Water Hokkaido Inc. (AWH) have signed a joint development agreement to explore the provision of green hydrogen in Hokkaido's Chitose area.

The Japanese government's Basic Hydrogen Strategy, updated in June 2023, emphasizes the importance of establishing a domestic hydrogen supply chain as part of the country's energy policy. Hydrogen, which does not emit CO2 when burned, is expected to play a crucial role in achieving carbon neutrality. Moreover, various industries have expressed high expectations for the use of hydrogen as a next-generation fuel and as a raw material in the production of chemicals such as ammonia and methane.

Chitose, home to Hokkaido's aviation gateway, New Chitose Airport, is surrounded by industrial zones occupied by diverse manufacturers. The area's selection as the site for a next-generation semiconductor plant is likely to drive the demand for green hydrogen as a means of decarbonization. In February 2022, Chitose City announced its "Zero Carbon City Chitose" agenda, which includes a local-production-for-local-consumption green hydrogen plan to help the city achieve carbon neutrality by 2050.

On May 31, 2024, the consortium's "Feasibility Study on the green hydrogen supply in Chitose City and the related infrastructure development in view of collaboration with other locations throughout Hokkaido" was deemed eligible for a subsidy from Japan's Agency for Natural Resources and Energy. This subsidy is designed to support cluster development. Building upon the joint development agreement and considering customer needs, MC, TTE, HEPCO, and AWH will investigate suitable sites for hydrogen supply and storage, and verify optimal transportation methods to realize green hydrogen local-production-for-local-consumption.

With support from Hokkaido Prefecture, Chitose City, and valued customers, the consortium aims to establish a hydrogen cluster by 2030 and materialize the green hydrogen supply chain in the wider Chitose area by collaborating with projects in other locations. This joint effort marks a significant milestone in pioneering green hydrogen solutions in Hokkaido and contributing to Japan's overall decarbonization goals.

Source
Mitsubishi Corporation [Press release]

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