On-site demonstration begins at a large-scale sewage treatment facility in Japan, converting sewage sludge into electricity and high-purity CO2 without combustionKYOTO, Japan — Rhinoflux Inc., a Kyoto University-born deep tech startup developing combustion-free biomass power technology, has been selected for the Resource & Energy Resilience Program under SusHi Tech Global (https://sushitech-global.metro.tokyo.lg.jp/en), a Tokyo Metropolitan Government initiative supporting startups that address urban sustainability challenges.From November 2026 to April 2028, Rhinoflux will run an 18-month on-site demonstration at a large-scale sewage treatment facility in Japan, using a pilot system based on its Hydro Chemical Looping technology. The demonstration is conducted jointly with the municipality operating the facility and a Japanese water treatment plant manufacturer.Japan’s Sewage Sludge: Widely Recycled, Rarely for EnergyJapan generates approximately 2.34 million dry-solid tons (DS-t) of sewage sludge each year, according to the Ministry of Land, Infrastructure, Transport and Tourism (MLIT). The national recycling rate reaches about 76%, but roughly half of all sludge goes into construction materials. Energy recovery accounts for only about 10%, and some 23% still goes to landfill. With landfill capacity increasingly constrained, volume reduction has become a shared challenge for treatment plants nationwide.The sewage sector emits approximately 3.38 million tons of CO2 equivalent annually (FY2022), the largest single source of greenhouse gas emissions from municipal operations in Japan.The underlying constraint is moisture. Conventional energy recovery relies on incineration or anaerobic digestion, both of which require drying or pre-treatment that consumes energy and erodes project economics. This is not a uniquely Japanese problem: wet biomass is difficult to monetize in any market.The Technology and What the Demonstration Will VerifyRhinohouse, the plant Rhinoflux has developed around its Hydro Chemical Looping technology, generates electricity from biomass in its wet state, without combustion, while simultaneously capturing high-purity CO2. It applies to a wide range of high-moisture feedstocks that have historically been costly to dry — food and beverage processing residues, industrial wastewater sludge, agricultural residues, forest thinnings, and energy crops. This demonstration focuses on sewage sludge.Demonstration System (Overview Diagram)The technology offers three distinguishing characteristics:High-efficiency power generation. Because no combustion is involved, the process can achieve roughly 2–4 times the generation efficiency of conventional biomass power systems.High-purity CO2 recovery. CO2 at 99.9%+ purity is separated during the reaction itself, with no additional purification equipment required. It can be liquefied for industrial gas use, or — where geological or permanent storage is involved — monetized as BECCS carbon credits.Compact footprint. Because no drying area is needed for wet feedstock, the system can be built at a substantially smaller scale than conventional installations.A modular configuration allows capacity to be matched to feedstock volume, from small to large treatment plants, and the system connects to existing treatment processes.The demonstration will run a cumulative 2,400 hours of continuous operation on sludge from an operating treatment facility. It will verify applicability across sludge types with differing properties — primary, digested, and dewatered sludge — and establish, with field data, power output, CO2 recovery, sludge volume reduction, long-term operating stability, impurity management, interface conditions with existing processes, and safety and maintenance requirements. The municipality provides the site, the sludge, and operational validation; the water treatment plant manufacturer contributes engineering expertise on interface design and maintenance. Together, these will define the conditions municipalities need to make commercial procurement decisions.Turning a Power Consumer into a Power ProducerSewage treatment facilities are among the largest electricity consumers in municipal operations, yet the sludge they produce holds significant energy potential. Converting that sludge into electricity without combustion can turn a facility that consumes power into one that generates it.Sludge is produced continuously, unaffected by weather or season, at plants already located inside cities. Unlike solar or wind, no new siting is required. Distributed generation across treatment facilities supports continuity of sewage services during disasters and contributes to energy security in a country that imports most of its primary energy.Beyond Sewage, Beyond JapanThe wet-biomass constraint is not confined to municipal sewage. The same economics apply to night soil treatment facilities, industrial wastewater, and food processing plants. Rhinoflux is extending the technology across public and private sectors, and intends to enter international markets where sludge management faces comparable cost pressures and tightening landfill regulation.Commercialization Roadmap & Capital PlanRhinoflux operates on a five-stage roadmap, from Lab to Prototype to Pilot to Commercial to Large-Scale Project. The Tokyo-supported demonstration marks the company’s entry into field validation at a public infrastructure site.Through 2028: On-site demonstration at a large-scale sewage treatment facility2028 onward: First commercial systems for municipal and industrial customers2032+: Large-scale projects for data centers, steel, chemical, and utility customersRhinoflux is finalizing a Series A round to fund commercial engineering, deployment, and team scale-up. Details will be announced separately upon closing.Statement from Alex Mazawa, CEOFrom Waste Stream to Domestic EnergySewage treatment facilities are critical public infrastructure, and they are also where an enormous biomass resource is produced every single day. It is one of the few energy resources available domestically at stable volumes, unaffected by weather or geopolitics.As decarbonization and energy security become simultaneous imperatives, redefining sewage sludge — from something to be processed and disposed of, to a domestic energy and carbon resource — holds real significance for Japan’s energy independence.Our Hydro Chemical Looping technology converts this resource into electricity without combustion, while capturing high-purity CO₂ at the same time. We have worked with water treatment plant manufacturers and other biomass producers to run continuous operations on multiple feedstocks at laboratory scale. But for a technology to be used in public infrastructure, performance alone is not enough: interface with existing equipment, safety, and long-term operation and maintenance must be proven in the field.With the support of the Tokyo Metropolitan Government, we will now carry out that verification at an operating treatment facility, together with the municipality and the manufacturer. What we learn there will be built as a reference for the many facilities facing the same challenge.About Rhinoflux Inc.Founded in April 2024 as a spinout from Kyoto University, Rhinoflux develops Hydro Chemical Looping technology — a combustion-free process that converts wet biomass into electricity and high-purity CO2. The company is headquartered in Kyoto, Japan.