G20 Scorecard of Fossil Fuel Funding OECD Member Country Evidence
Summary
This fact sheet by the International Institute for Sustainable Development evaluates Japan's funding of fossil fuels relative to other G20 OECD member countries, highlighting its role as a major public financier of overseas coal and liquefied natural gas projects despite some reductions in overall support.
Key insights
- Japan is the second-highest supplier of public finance for fossil fuel projects among G20 OECD member countries, providing an annual average of USD 8.3 billion between 2017 and 2018. This funding primarily supports coal and liquefied natural gas projects abroad via trade and development finance institutions, with significant investments in coal projects in Indonesia, Vietnam, and Bangladesh.
- While Japan's total support for fossil fuels decreased by 48%, it significantly increased public finance for coal production by 944% compared to the 2014–2016 average, reaching an annual average of USD 1.1 billion for the 2017–2018 period.
- Japan's total government support to fossil fuels from 2017 to 2019 averaged USD 10.4 billion, consisting of USD 2.1 billion in direct transfers and USD 8.3 billion in public finance. Specific support categories include USD 5.9 billion for oil and gas exploration, production, refining, and transportation; USD 3.3 billion for fossil fuel-based power; and USD 34 million for fossil fuel use.
- In July 2020, Japan introduced a policy to stop financing overseas coal plants in countries lacking a decarbonization policy, though the policy allows exceptions for projects already under consideration or those using "highly efficient" technology. Additionally, a 2020 policy aims to phase out a small number of domestic coal plants early.
- Transparency regarding fossil fuel funding is low; only the Japan International Cooperation Agency, one of five public finance institutions, provides a comprehensive list of supported projects. Japan has also not yet committed to a G20 peer review of its fossil fuel subsidies.
Cite the original document
- APA
- Tucker, B. (2020). G20 Scorecard of Fossil Fuel Funding OECD Member Country Evidence. International Institute for Sustainable Development. https://www.iisd.org/system/files/2020-11/g20-scorecard-japan.pdf
- Chicago
- Tucker, Bronwen. G20 Scorecard of Fossil Fuel Funding OECD Member Country Evidence. International Institute for Sustainable Development, 2020. https://www.iisd.org/system/files/2020-11/g20-scorecard-japan.pdf.
- Wikipedia
- {{cite report |last1=Tucker |first1=Bronwen |title=G20 Scorecard of Fossil Fuel Funding OECD Member Country Evidence |publisher=International Institute for Sustainable Development |date=2020 |url=https://www.iisd.org/system/files/2020-11/g20-scorecard-japan.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{tucker2020g20, author = {Tucker, Bronwen}, title = {{G20 Scorecard of Fossil Fuel Funding OECD Member Country Evidence}}, institution = {International Institute for Sustainable Development}, year = {2020}, url = {https://www.iisd.org/system/files/2020-11/g20-scorecard-japan.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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