JFE Unit’s Boiler Orders to Surge as Biomass Takes Hold in Japan

JFE Engineering Corp., a Japanese builder of power plants used to process biomass into fuel, said orders for its boilers will be twice as big as forecast in June as subsidies encourage companies to invest in clean energy.

For the 12 months ending March 31, the unit of JFE Holdings Inc. will receive 20 billion yen ($226 million) of orders for boilers using wood, sewage sludge and garbage to produce power, compared with a June forecast of 10 billion yen, Managing Director Masumi Sekiguchi said during an interview in Tokyo. The unit expects similar orders next year, he said.