The Earthquake Resistance and Environmental Real Estate Formation Promotion Project is an example of a government-funded scheme aimed at improving the energy efficiency of existing buildings.

Under this program, the government supports financing for the renovation of existing buildings if the renovation is expected to (i) reduce the building’s overall energy consumption by 15% or more, or (ii) bring the building up to the A-rank standard of CASBEE.

The Ministry of the Environment also offers a number of subsidy programs for energy conservation retrofits, including support for renovation projects to reduce carbon dioxide emissions, support for renewable energy such as the development of small-scale hydroelectric power generation at water supply and sewage facilities and investment in low-carbon investment promotion projects.

These programs provide support according to the use and scale of the building.

For example, the “Energy Conservation Promotion Project for Existing Buildings” supports the renovation of existing office buildings by private companies.

Eligible projects are those that reduce the energy consumption of the entire building by 20% or more compared to the level before the renovation.

If these conditions are met, one-third of the renovation costs will be supported up to a maximum of JPY 50 million.