Proposal for the Establishment of a Fusion Energy Promotion Program Toward Private-Led Demonstration of Fusion Power Generation in the 2030s

2025.10.28

The Fusion Energy Industry Council (J-Fusion), a general incorporated association, hereby presents the following industry perspective on government support measures and calls for the prompt establishment of a Fusion Energy Promotion Program. This proposal is made in alignment with the national strategy for demonstrating fusion power generation in the 2030s, with a focus on supporting private-led reactor development.

Background of the Proposal
On May 7, 2025, the Fusion Energy Project Team (PT) of the Liberal Democratic Party’s Council for Science, Technology and Innovation Strategy adopted the “Proposal for the Rapid Establishment of the World’s Leading Fusion Industry Ecosystem” (hereinafter referred to as the “PT Proposal”). Subsequently, on June 4, 2025, the Integrated Innovation Strategy Promotion Council revised the “Fusion Energy Innovation Strategy” (hereinafter referred to as the “Fusion Energy Strategy”).
Both the PT Proposal and the Fusion Energy Strategy clearly emphasize that fusion energy is critically important for achieving a decarbonized society, ensuring energy security, and maintaining and strengthening Japan’s industrial competitiveness. Furthermore, there is a shared sense of urgency regarding Japan’s potential lag in the global race, as large-scale public-private support initiatives are rapidly advancing in countries such as the United States, China, Germany, and the United Kingdom.
Notably, both documents stress the importance of promoting research and development of diverse reactor types—including tokamak, helical, reversed field configuration, mirror, and laser-based designs—through public-private collaboration. They repeatedly highlight the vital role of private companies, including startups, in this endeavor. J-Fusion strongly supports these policy directions.
While leveraging the technologies and expertise accumulated through the ITER project and national research institutes, it is now imperative to avoid the scenario described in the PT Proposal: “winning in technology but losing in business.” To prevent this, the demonstration of fusion technologies and power generation in the 2030s must be led by the private sector and rapidly developed into a viable industry.
In light of this situation, and in alignment with the PT Proposal’s call for securing a fund of hundreds of billions of yen comparable to other leading nations, as well as the Fusion Energy Strategy’s commitment to supporting private-sector R&D in the fusion industry, we hereby propose the following:

Proposal: Fusion Energy Promotion Program

1. Scale
   Establish a multi-year promotion program totaling several hundred billion yen over five years to support and accelerate the demonstration of diverse reactor development by private entities, including startups, and the establishment of associated supply chains. Support should extend through the pre-power generation phase (and may include power generation itself).
2. Framework
   Introduce a milestone-based funding mechanism, whereby additional funding is provided to entities that achieve designated milestones in reactor development and demonstration. This approach enables the government and industry to jointly identify promising technologies and strategically concentrate resources.
3. Goal Setting and Program Management
   Realization targets, evaluation criteria, and KPIs should be set and managed collaboratively by the government, industry, and experts, with the Cabinet Office’s planned “Task Force for Social Implementation” serving as the central coordinating body.