Review of mandatory solar panel recycling / Cost burden remains a challenge for METI and MOE

Review of mandatory solar panel recycling / Cost burden remains a challenge for METI and MOE


The Ministry of the Environment and the Ministry of Economy, Trade and Industry are reviewing their policy to mandate solar panel recycling by manufacturers and others. They had postponed submitting a bill to the 2025 regular Diet session and continued negotiations with the Cabinet Legislation Bureau, but could not reach an agreement due to issues surrounding cost burden. Regarding an alternative system, they stated, “We cannot indicate a specific direction at this point.”

The Cabinet Legislation Bureau raised concerns about the cost allocation for panel recycling. The MEI and METI proposal, based on extended producer responsibility, aimed to require panel manufacturers or importers to cover recycling costs. However, the Bureau questioned this approach, noting that for products like appliances and automobiles, the cost is borne by the product owner, and the proposed system would be inconsistent with other laws.

Given the significant cost difference between landfill disposal and recycling, the Bureau deemed it “difficult to provide a reasonable explanation at this stage” for requiring only manufacturers and importers of solar panels to bear the costs for resource recovery. Concerns were also raised that since most solar panels used in Japan are imported, primarily from China, this could result in an excessive burden on domestic importers.

Environment Minister Keiichiro Asao stated at a press conference following the Cabinet meeting on August 29th, “We will proceed with discussions with a view to revising the proposed system.” Economy, Trade and Industry Minister Yoji Muto also stated at a press conference, “We will proceed in cooperation with the Ministry of the Environment.” A joint expert meeting between the two ministries will be held to consider alternative proposals. Regarding the timing for submitting a new bill, Environment Minister Asao stated, “It is not at a stage where we can indicate that at this point.”