Tree Energy Solutions (TES), a global producer of electric natural gas from green hydrogen (e-NG), and Saibu Gas, a major Japanese gas utility, have signed a Memorandum of Understanding (MOU) to promote e-NG as a key clean energy source. This partnership supports Japan’s goal to use e-NG for 90% of its City Gas consumption by 2050.
The agreement will help Saibu Gas achieve carbon neutrality in its city gas supply chain. The parties will explore opportunities including a long-term e-NG offtake contract by Saibu Gas from TES production projects, where captured carbon dioxide (CO2) is combined with green hydrogen to create e-NG that can be used as a drop in fuel at consumer’s facilities. This collaboration with Saibu Gas will enable TES to establish an overseas supply chain for e-NG into Asia and promote the introduction of e-NG into the Japanese market. TES and Saibu Gas aim create a sustainable value chain, enabling Japan to meet its carbon neutrality goals by 2050 while ensuring a stable supply of clean energy. “We acknowledge the profound significance of the Japanese LNG market and its influence both locally and globally,” said Marco Alverá, chief executive officer and Co-Founder of TES. “Together with Saibu Gas, we have the opportunity to drive meaningful progress in the transition towards greener alternatives for Japan’s energy sector.”
