Japan's growing use of wood pellets for biomass power is pushing deforestation in Indonesia, according to a new satellite analysis from environmental groups. The country imported a record 8.64 million tons of wood pellets in 2025, up 35% from the prior year, while Indonesian exports to Japan jumped more than 500% from 2023 to 2025. Researchers say at least 45 biomass concessions covering over 750,000 hectares of natural forest have been granted, threatening wildlife, Indigenous communities, and carbon-rich ecosystems. The article also highlights a key carbon accounting problem: burning wood from cleared forests can emit more carbon than coal, and cutting trees reduces the landscape's ability to absorb CO2. Japan has stopped subsidies for future large-scale biomass projects, but already certified projects can keep receiving support for up to 20 years. Weak due diligence rules may allow pellets linked to deforestation to keep entering the market, raising real questions about whether biomass is actually a clean energy source.
