Why Japan is Mixing Ammonia with Coal to Burn

Four massive dome-shaped tanks are rising from the ground at Japan's largest coal-fired power plant. But these aren't storing more fossil fuels—they're housing ammonia, a chemical that burns without producing carbon dioxide.

JERA, the joint venture between Tokyo Electric and Chubu Electric, is betting $200 million on this unusual approach to cutting emissions. The plan: mix 20% ammonia with coal in existing boilers at the Hekinan plant in Aichi prefecture.

The Coal Conundrum

Japan faces an energy trilemma. The country pledged carbon neutrality by 2050, yet still relies on coal for 32% of its electricity. Nuclear restarts remain politically fraught after Fukushima, and renewables can't yet guarantee stable baseload power.

Enter ammonia co-firing—a compromise that lets Japan keep its coal plants running while claiming emissions progress. Since ammonia (NH₃) contains no carbon, burning it produces only nitrogen and water vapor.

But here's the catch: at 20% co-firing, you're still burning 80% coal. Environmental groups call it "greenwashing with extra steps."

The Economics Don't Add Up (Yet)

The real challenge isn't technical—it's financial. "Green ammonia" made from renewable energy costs 3-5 times more than conventional ammonia produced from natural gas or coal. That conventional ammonia? It still generates carbon emissions during production, just elsewhere in the supply chain.

Marubeni and other Japanese trading houses are scrambling to secure ammonia supplies from Australia and the Middle East. But even optimistic projections show green ammonia won't reach cost parity until the mid-2030s.

Meanwhile, the International Energy Agency warns that ammonia co-firing could extend coal plant lifespans by decades—exactly the opposite of what climate science demands.

A Global Test Case

Japan isn't alone in exploring this path. South Korea's Korea Southeast Power plans ammonia trials at its Yeongheung plant. India and Indonesia are watching closely, as both countries face similar coal dependency challenges.

But critics argue this misses the point entirely. "You wouldn't put a band-aid on a broken leg," says one energy analyst. "Japan has the technology and capital for renewables—this feels like institutional momentum trumping climate urgency."

The counter-argument? Perfect shouldn't be the enemy of progress. Japan needs to cut emissions 46% by 2030—and waiting for ideal solutions might mean missing crucial deadlines.