(Bloomberg) -- Japan plans to use its new type of sovereign debt to fund a wide range of projects designed to reduce emissions, possibly including nuclear power. 

Prime Minister Fumio Kishida last week proposed a “green economy transformation bond” to raise as much as 20 trillion yen ($157 billion) to help meet climate goals. The government decided not to issue green bonds because the more standard instruments also constrain the use of proceeds, according to people familiar with the matter. 

The government will begin considering a specific framework for the bond this summer, according to an official at the Ministry of Economy, Trade and Industry, which has been tasked with designing a strategy for Japan to achieve its emissions goals. 

Resource-scant Japan has said nuclear power may be necessary in its transition away from fossil fuels amid a global discussion about whether the technology can be considered sustainable. Surging fossil fuel and power prices are rekindling interest in atomic energy in Japan, a huge turnaround for a nation that suffered a meltdown a decade ago that temporarily shuttered its fleet of reactors.

A European Union resolution to include nuclear and natural gas in the bloc’s landmark green rulebook has been criticized by lawmakers and investors concerned that it risks confusing financial market participants over what constitutes a green asset. 

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Japan has yet to spell out its plans to cut emissions by 46% from 2013 levels by 2030 and get to carbon neutrality by 2050. A new form of government bond may be a way to invest in innovative technologies that would help the nation achieve the goals, Environment minister Tsuyoshi Yamaguchi said in January.

Kishida’s office took the lead in deciding the name of the new sovereign debt, and the framework for the bond has been in the works since last year, according to the people. 

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While concrete details on how to finance the decarbonization efforts have yet to be decided, the government would like to reach a conclusion before the end of the year, Finance Minister Shunichi Suzuki said last week.

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