Newly developed biotechnology has been introduced in various fields such as chemical industry, food industry, agriculture and medical field, and expected to contribute to economic growth. This technology is also expected to solve environmental problems through environmental applications such as remediation of soil and lake, and water treatment. At the same time there are social and technological obstacles against the utilization of new technologies especially when the technologies fall on a category of biotechnology. Then safety issues relating to a use of the technologies expressly in the open air are being controversial both socially and technologically in Japan as well as the rest of the world. In the presentation, Japan’s policies for overcoming the difficulties now facing under the above mentioned circumstances and promoting biotechnology in various fields including an environmental use are discussed.