{"id":805,"date":"2023-11-16T11:58:00","date_gmt":"2023-11-16T02:58:00","guid":{"rendered":"https:\/\/jet-e.jp\/en\/?p=805"},"modified":"2025-10-19T12:05:06","modified_gmt":"2025-10-19T03:05:06","slug":"news1-21","status":"publish","type":"post","link":"https:\/\/jet-e.jp\/en\/2023\/11\/16\/news1-21\/","title":{"rendered":"[Extension of Eligibility Period] Immediate Depreciation or Tax Credit for Capital Investment in ERS Systems: Strengthening Small and Medium-Sized Enterprises through Organic Waste Resource Recovery"},"content":{"rendered":"\n

\u2014 Rapid Fermentation and Drying of Livestock Manure, Food Residue, Plant Waste, and Sludge with \u201cERS\u201d \u2014<\/h2>\n\n\n\n

JET Corporation (Chiyoda-ku, Tokyo) has begun offering support for tax incentive procedures<\/strong> related to the introduction of its ERS (Rapid Fermentation and Deodorization Resource System)<\/strong>, following the extension of the “Tax System for Enhancing SME Management (Chusho Kigyo Keiei Kyoka Zeisei)”<\/strong>.<\/p>\n\n\n\n

Through this extension, companies are eligible\u2014until the end of FY2024 (March 31, 2025)<\/strong>\u2014to apply immediate depreciation<\/strong> or a 10% corporate tax credit<\/strong> on the acquisition cost of ERS equipment.
This incentive promotes capital investment that enhances business efficiency in industries such as livestock, food, forestry, and energy<\/strong>, helping companies solve waste-related issues and strengthen their management base.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n
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1. Promoting ERS Installation During the Preferential Tax Period<\/h2>\n\n\n\n

The \u201cTax System for Enhancing SME Management\u201d allows small and medium-sized enterprises to receive immediate depreciation<\/strong> or a tax credit of 10% of acquisition cost (7% for corporations with capital between 30 million and 100 million yen)<\/strong> when acquiring designated equipment under an approved Business Capability Enhancement Plan<\/strong>.<\/p>\n\n\n\n

In April 2023, the system\u2019s expiration was extended for two years\u2014from March 31, 2023, to March 31, 2025<\/strong>.
JET now provides application support for tax benefits related to the acquisition of ERS systems<\/strong> under this scheme.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n
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2. Strengthening Management While Solving Operational Challenges<\/h2>\n\n\n\n

The ERS (Rapid Fermentation and Drying Resource System)<\/strong> uses microorganisms to ferment and dry organic waste (aerobic fermentation), converting it into valuable resources such as fertilizer, compost, feed, fuel, and livestock bedding<\/strong>.<\/p>\n\n\n\n

Based on installations and trials, ERS has been successfully applied to a wide range of organic waste streams:<\/p>\n\n\n\n

Industry<\/th>Examples of Processed Materials<\/th><\/tr><\/thead>
Livestock<\/td>Animal and livestock manure<\/td><\/tr>
Food<\/td>Processed food residues, seafood waste<\/td><\/tr>
Forestry<\/td>Plant residues, felled wood materials<\/td><\/tr>
Energy<\/td>Digestate from biogas power generation<\/td><\/tr>
Municipal<\/td>General waste, municipal solid waste, landfill waste, wastewater and river sludge, wildlife carcass disposal (gibier)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Among these industries, odor pollution<\/strong> has been one of the most serious issues.
ERS eliminates odors within just a few hours of processing, while reducing waste volume and generating no wastewater<\/strong>.
This leads to a cleaner environment both at the site and in surrounding communities.<\/p>\n\n\n\n

Furthermore, the system contributes to shorter operation times, optimized labor allocation, expanded business opportunities, increased revenue, and stronger regional relationships<\/strong>\u2014ultimately reinforcing overall business resilience.<\/p>\n\n\n\n

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3. Example: Tax Incentive Utilization with ERS Installation<\/h2>\n\n\n\n
\"\"<\/figure>\n\n\n\n
Item<\/th>Details<\/th><\/tr><\/thead>
Region<\/td>Hokkaido<\/td><\/tr>
Industry<\/td>Livestock farming<\/td><\/tr>
Scale<\/td>13,000 beef and dairy cattle<\/td><\/tr>
Processed Material<\/td>Livestock manure<\/td><\/tr>
Outputs<\/td>Compost and bedding<\/td><\/tr>
Processing Capacity<\/td>75 tons\/day<\/td><\/tr>
Equipment<\/td>Three units of ERS Type-5<\/td><\/tr>
Installation Date<\/td>March 2022<\/td><\/tr>
Subsidy<\/td>Livestock Cluster Subsidy Project (FY2020 Supplementary Budget \u2013 Comprehensive Livestock Environmental Support Project, Compost Production and Distribution Support Subprogram)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

In this example, a livestock farm in Hokkaido uses ERS to sterilize, ferment, and dry cattle manure<\/strong>.
While conventional composting typically takes 3\u20136 months<\/strong>, ERS completes fermentation in just a few hours<\/strong>,
dramatically reducing both processing time and greenhouse gas emissions.<\/p>\n\n\n\n

ERS eliminates harmful bacteria such as E. coli<\/em> and plant seeds, and produces high-quality compost (approx. 35% moisture)<\/strong> in one day\u2014without generating wastewater or odor.
The compost is also reused as bedding material<\/strong>, reducing bedding costs significantly.<\/p>\n\n\n\n

By continuing to use existing composting facilities in combination with ERS,
the farm blends ERS-treated compost with conventional compost (approx. 60% moisture)
to achieve stable moisture levels and ensure consistent quality.
This has enabled expansion of compost sales outside the region<\/strong>, increasing profitability.<\/p>\n\n\n\n

Because of these operational improvements, the project qualified for both the Livestock Cluster Subsidy<\/strong> (covering ~50% of equipment costs)
and the SME Management Enhancement Tax System<\/strong>,
allowing immediate depreciation or a 10% tax credit<\/strong> on the equipment purchase.<\/p>\n\n\n\n

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4. Future Outlook<\/h2>\n\n\n\n

\u25b6 Promoting ERS Adoption in the Dairy Industry<\/strong><\/p>\n\n\n\n

    \n
  • Produces odorless, wastewater-free aerobic fermented liquid fertilizer<\/strong> from high-moisture dairy manure.<\/li>\n\n\n\n
  • Meets strong demand from crop farmers for soil-friendly fertilizers, boosting local sales.<\/li>\n\n\n\n
  • Reduces manure processing time to just a few hours, reallocating labor toward herd expansion.<\/li>\n\n\n\n
  • Blending the liquid fertilizer with unfinished compost yields odorless, mature compost<\/strong> for stable supply.<\/li>\n<\/ul>\n\n\n\n

    \u25b6 Developing a Compact ERS Model for Liquid Fertilizer Production<\/strong><\/p>\n\n\n\n

      \n
    • Lowers initial investment through downsized equipment.<\/li>\n\n\n\n
    • Enables mass production of aerobic fermented liquid fertilizer within local regions.<\/li>\n\n\n\n
    • Helps eliminate odors affecting communities and tourism areas.<\/li>\n<\/ul>\n\n\n\n

      \u25b6 Verifying ERS as a Disinfection System During Disease Outbreaks<\/strong><\/p>\n\n\n\n

        \n
      • Aims to support rapid infection control and minimize economic losses for affected farms.<\/li>\n<\/ul>\n\n\n\n
        \n\n\n\n

        <\/p>\n","protected":false},"excerpt":{"rendered":"

        \u2014 Rapid Fermentation and Drying of Livestock Manure, Food Residue, Plant Waste, and Sludge with \u201cERS\u201d \u2014 JET Co […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[],"class_list":["post-805","post","type-post","status-publish","format-standard","hentry","category-press-release"],"acf":[],"_links":{"self":[{"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/posts\/805","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/comments?post=805"}],"version-history":[{"count":1,"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/posts\/805\/revisions"}],"predecessor-version":[{"id":809,"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/posts\/805\/revisions\/809"}],"wp:attachment":[{"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/media?parent=805"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/categories?post=805"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jet-e.jp\/en\/wp-json\/wp\/v2\/tags?post=805"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}