Japan to Subsidize Costs of Next-Gen Solar Cells by Up To 75%

Yomiuri Shimbun file photo
A researcher at Sekisui Chemical Co.’s laboratory in Shimamoto, Osaka Prefecture, holds a perovskite solar cell.

The Yomiuri Shimbun

12:50 JST, September 22, 2025

Aiming to promote the introduction of next-generation perovskite solar cells, the Environment Ministry is set to launch a subsidy program for companies and municipalities that covers up to 75% of the costs needed for purchasing and installing them.

By leveraging the solar cells’ thin and lightweight features, the program aims to promote its use in buildings where traditional panel-type solar cells are difficult to install. Companies and local governments that want subsidy support can apply starting this month.

Developed in Japan, Perovskite solar cells use iodine as their main raw material, of which Japan accounts for about 30% of the global supply. Since the cells are flexible, they can be attached to dome-shaped roofs and other curved surfaces.

The subsidy program will utilize about ¥5 billion from the ministry’s current fiscal year budget. It will cover two-thirds of the costs required for purchasing the solar cell and their installation for facilities such as factories, warehouses and gymnasiums where heavy traditional panels cannot be installed, along with the requirement of a certain scale of installation. For facilities expected to serve as evacuation centers in times of disaster, the subsidy will cover three-quarters of such costs.

Japanese companies including Sekisui Chemical Co. and Panasonic Corp. are moving forward with commercializing perovskite solar cells. Sekisui Chemical has even established a new company and plans to bring products to market within this fiscal year. The ministry hopes the subsidy program will accelerate the adoption of these next-generation solar cells and expand the use of renewable energy.

According to research firm Fuji Keizai Co., the global market for perovskite solar cells is projected to reach around ¥4 trillion by 2040. China is also aiming for mass production, and by lowering installation costs through subsidies, the ministry seeks to support demand and enhance the competitiveness of Japanese industries.