Thenational government will cover roughly half of the expected construction costs,according to a statement from an entity operating under METI.

The ministry said lastmonth it had asked for 25bn yen ($253m) to finance the expansion of the northern grid, aspart of a 198.1bn yen budget request to support the development of renewableenergy next year.

As METIexpands the northern grid, it is also addressing problems posed by variable supplies from renewable resources.