R.E. Corporation Selected for Tokyo's Global South GX Promotion Project

R.E. Corporation, headquartered in Toshima, Tokyo, is excited to announce its acceptance into Tokyo's "Global South GX Promotion Project". The company is collaborating with the National Association of Oil and Fat Industry to implement an international green transformation (GX) project. This initiative aims to collect and refine used cooking oil in Indonesia for export as premium biofuel to Japan.

The project focuses on utilizing Indonesia's abundant but overlooked resource: waste cooking oil, which will be transformed into biofuel while simultaneously contributing to greenhouse gas (GHG) reduction efforts in both Indonesia and Japan. This project aligns with the growing global commitment to balance climate change measures with economic growth through green transformation (GX).

Project Overview

The GX project, which targets the issue of food supply chain waste, will operate by harnessing the unutilized resource of waste cooking oil generated in Indonesia. With an estimated 4.8 million tons of waste cooking oil produced annually in Indonesia, only a small fraction - about 5% - is currently collected. The majority is either discarded or exported cheaply to Western companies. Despite being a leading producer of waste oil, Indonesia remains reliant on coal, with a high dependence of approximately 59% on coal power plants, indicating an urgent need for practical GHG reduction technologies.

In contrast, Japan experiences rapidly rising demand for biofuels. The need across various sectors such as aviation, shipping, construction, and railways has reached approximately 5.5 million tons per year, while the domestic supply sits at merely 500,000 tons. This gap highlights the crucial challenge of resource sustainability that Tokyo aims to tackle through the "2050 Zero Emission Tokyo Strategy," focusing on establishing sustainable energy models using overseas resources.

Through the collaborative efforts of R.E. Corporation and the National Association of Oil and Fat Industry, the project aims to create a streamlined model for efficiently collecting unused waste oil, refining it into biofuel, and exporting it to Japan. By utilizing this biofuel, businesses in Tokyo can simultaneously help mitigate Indonesia's GHG emissions and contribute to local decarbonization goals.

Project Features and Timeline

The project is set to run from 2025 for three years and will focus on constructing a model for an international circular economy by efficiently collecting and refining waste cooking oil in Indonesia. Key initiatives include the following:
1. Efficient Collection System: Collaborating with the Indonesian Waste Cooking Oil Export Association (AEMJI) to enhance collection operations, standardizing storage, collection, and traceability management.
2. High-Quality Biofuel Refinement: Implementing biofuel refining technology in line with the Japanese Agricultural Standards (JAS0028) to produce premium-grade fuel by removing moisture and impurities from waste oil.
3. Stable Supply System to Japan: Establishing a reliable supply chain for biofuel exports to Japan, where it will be utilized across various industries, including shipping, construction machinery, railways, and airports.
4. Decarbonization Support for Indonesia and Tokyo: Reducing GHG emissions locally while supporting the use of biofuel in businesses located in Tokyo.

The first year (2025) will involve a survey of current waste cooking oil collection practices and the development of efficient operational designs. Additionally, the project's team will conduct quality assessments to ensure compliance with JAS0028 biofuel standards. Testing of refined biofuel quality will begin in 2026, alongside trial sales in Japan to establish a complete supply chain from collection to export and sale. Full-scale production and exports are expected to commence in 2027, with a targeted increase in waste cooking oil recovery in Indonesia.

Executive Comment

Naoki Imai, CEO of R.E. Corporation, expressed his pride in being selected for the Global South GX Promotion Project:

"We are honored to be chosen for this project. At R.E. Corporation, we have been addressing the complex challenges of the food supply chain. By applying our insights into the energy sector, we aim to refine Indonesia's waste cooking oil into top-quality biofuel for stable supply in Japan. Using JAS0028 standards, our refined fuel will meet safety and quality expectations. We believe this initiative provides new options for municipalities and companies in Japan to utilize renewable energy in various sectors."

About R.E. Corporation

- Name: R.E. Corporation
- Representatives: Naoki Imai (CEO), Akito Ohji (Co-CEO)
- Establishment: April 2016
- Headquarters: 1-9-1 Sugamo, Toshima City, Tokyo
- Business Areas: Consulting, production, matching services, big data utilization, generative AI, support for small businesses, and creative projects.