A bank set up by three Japanese musicians to finance environmental-protection projects will start accepting applications for loans throughout May.

AP Bank was set up last year with funds put up by musician Ryuichi Sakamoto, 52; music producer Takeshi Kobayashi, 44; and Kazutoshi Sakurai, 34, a member of the pop band Mr. Children.

AP stands for both "alternative power" and "artist power."

"It is important to have the attitude of being willing to dip into your own pocket," Kobayashi said. "It will be interesting to see what kind of people will apply."

The bank will accept applications only through its Web site, at www.apbank.jp/.

The bank wants to provide loans totaling 100 million yen to nonprofit organizations, individuals or companies involved in projects related to environmental protection and environment-friendly energy resources.

It is hoping to issue the loans from around July, at a fixed interest rate of 1 percent per annum. The maximum lending period will be 10 years.

The bank was established after a group of musicians and people affiliated with NPOs held a series of study sessions on environment-friendly energy operations in Scandinavian countries, at the suggestion of Sakamoto.