Agrisolar and floating solar subsidies funded by MoE’s FY2024 supplementary budget open for applications

April 16, 2025
Merck Electronics Chubu Electric Power Miraiz PPA
Separately from the agrisolar and floating project subsidies, subsidies for solar carports and wall and window-integrated generation equipment will open for applications later in the year. (Image: Merck Electronics)

Environmental Technology Association began accepting applications on April 8, 2025, for agrisolar and floating solar project subsidies funded by the Ministry of the Environment’s FY2024 supplementary budget. Applications will initially be accepted until May 8, followed by a second round from June 10 to July 8.

Eligible projects include agrisolar installations that maintain agricultural production and floating systems developed on reservoirs, dam lakes, and other water surfaces. Projects operated under the feed-in-tariff (FIT) or feed-in-premium (FIP) schemes are ineligible.

There are also restrictions about the destination of the generated power. On-site projects or those supplying power through a private line can apply. Off-site projects that will supply power through the grid to facilities managed by farmers, foresters, or fishermen, local government-owned facilities, or facilities listed in the local disaster prevention plan in the same prefecture as the subsidized asset are also eligible.

Both programs cover up to 50% of equipment and construction costs for solar power generation-related equipment, co-located battery storage systems, power lines, EMS, and other related equipment. There are caps on equipment unit costs and a limit of 150 million yen disbursed per project.

All projects need to be completed by January 31, 2026, with the exception of 1MWAC or larger floating solar projects, which need to be completed by January 31, 2027.

Past recipients include, among others, Taiyo Green Energy, which used it to build floating solar power plants in Izumisano for a PPA with the city, and Shimin Energy Chiba, which was awarded subsidies for a pair of agrisolar projects.

Separately from the agrisolar and floating project subsidies, the association also plans to open a subsidy for solar carports later this month and for solar power generation equipment integrated into windows and walls later in the year. All four programs aim to increase solar capacity installed in already used spaces amid decreasing availability of unutilized land suitable for solar development.

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