
Japan has achieved a notable milestone in its energy sector, with fossil fuels accounting for less than 60% of the country’s electricity generation for the first time ever in the first half of 2025. This shift reflects the ongoing transition in the resource-poor G-7 economy, which continues to grapple with a heavy reliance on oil, gas, and coal imports, comprising over 80% of total energy consumption.
The turning point for Japan’s energy landscape occurred after the catastrophic **Fukushima disaster** in **2011**, which led to the closure of all nuclear reactors for extensive safety checks. Prior to this, nuclear power contributed about 30% to the country’s electricity output. The subsequent shutdown resulted in a dramatic increase in fossil fuel imports, including liquefied natural gas (LNG), oil, and coal, as well as a rise in carbon emissions.
In recent years, particularly following the energy crisis of **2022-2023**, Japan has gradually reopened some of its nuclear reactors. This strategy has been essential in reducing fossil fuel reliance, complemented by a significant increase in solar energy installations. The Japanese government has set an ambitious target to achieve net-zero emissions by **2050**, recognizing that a greater reliance on nuclear power will be crucial to reducing greenhouse gas emissions.
Nuclear and Solar Power: Key to Japan’s Energy Strategy
According to data from the clean energy think tank **Ember**, Japan’s fossil fuel share in electricity generation dropped to **59%** between January and June **2025**, a historical low. The country aims to more than double the proportion of nuclear energy in total electricity output to **20%** by **2040**, up from less than **10%** currently.
Despite the progress, Japan’s dependence on fossil fuels remains significant, with oil, gas, and coal imports declining to **87%** of total energy consumption, down from a high of **96%** in **2012**, following the shutdown of nuclear reactors. This figure, while improved, still exceeds the **81%** share noted before the Fukushima incident.
While nuclear power alone cannot propel Japan toward its net-zero goal, increased investment in solar and wind energy generation is essential. Solar energy has emerged as Japan’s largest source of low-carbon electricity, accounting for **10%** of the country’s electricity generation. The capacity for solar energy has expanded fivefold from **2014 to 2024**, according to Ember. In contrast, wind energy has lagged, contributing only **1%** to electricity generation in **2024**, falling short of the G7 average of **11%**.
Challenges in Offshore Wind Development
Japan has ambitious plans for developing its offshore wind potential, targeting a total capacity of **10 GW** by **2030** and **30 GW-45 GW** by **2040**. However, the offshore wind sector faces significant challenges globally, which have hindered progress in Japan. The country has conducted three auctions to award capacity, but major developers are reconsidering their options amidst rising costs and supply chain disruptions.
A recent setback occurred when **Mitsubishi Corporation** announced it would abandon plans to develop three offshore wind projects, citing unforeseen challenges in the market. The corporation stated, “After discussions among the partners, we have determined that establishing a viable business plan is not feasible given the current conditions.” This decision reflects the mounting difficulties the offshore wind industry is experiencing worldwide.
The world’s largest offshore wind project developer, **Ørsted**, expressed concerns in May regarding the increasingly challenging environment for the industry, emphasizing the ongoing near-term headwinds that could impact future developments.
Japan’s energy strategy is evolving in response to both domestic and international pressures. As the nation works toward its net-zero emissions goal, the interplay between nuclear, solar, and wind power will define its energy landscape in the coming decades. The shift away from fossil fuels marks a critical step in this journey, even as challenges remain.