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Basic Energy Plan (Draft) Summary

15 June, 2010
Ministry of Economy, Trade and Industry, Government of Japan

Ministry of Economy, Trade and Industry announced its publication of the draft Basic Energy Plan. The Basic Energy Plan is revised every three years according to the Basic Act on Energy Policy enforced in 2002. Based on the article of the law, the special government committee, “General Subcommittee for Advisory Committee for Natural Resources and Energy” established under METI continued discussion since February and formulated the draft plan. The content of the revision is as follows with the revised parts being red colored.

Note: Following the publication, government METI announced the cabinet approval of the draft on June 18.

Basic Point

• The basic of energy policy is to ensure energy security, enhanced global warming countermeasures, efficient supply of resources
• New perspectives added for the Plan were: Economic Growth in the field of environment and energy and Restructuring of energy industry
• Toward the year 2030, radical reform of energy supply and demand structure will be attained

2030 National Target

Double the self-sufficiency rate of energy and self-development rate of fossil energy Rate of self-sufficient resources: from 38% => 70%

• Raise the rate of zero emission power sources from 34%=>70%
• Half the CO2 in the Household Sector
• Maintain the world's highest energy efficiency in the industrial sector (and strengthen further)
• Gain the top class-share by Japanese companies in the international market of energy consuming products

Action for Target Attainment
Action to strengthen resource security and stable supply

• Stable energy supply
  - Cooperating between public and private, deepening strategic relationship with resource-rich countries
  - Strengthen risk money supply assistance
  - Achieving 50% or more of self-sufficiency rate of strategic rare metals, reflecting recycling and the development of alternative materials
• Maintaining the domestic petroleum product supply chain
• Enhanced emergency response

Achieve an environmentally friendly and self-reliant energy supply structure

• Promotion of Nuclear Power
  - By 2020, 9 will be newly constructed (approx 85% utilization rate)
  - By 2030, 14 or more will be constructed (approx 90% utilization rate)
  - Improve power source location grant system, establishment of nuclear fuel cycle
• Promotion of Renewable Energy
  - Expansion of fixed-pricing and sales system
  - Technology development, system stabilization measures, promotion of deregulation
• Advanced use of fossil fuels
  - Reduce CO2 from new construction of coal power generation as low as IGCC in principle.
  - For future planned new expansion of coal fired power generation, reduce as low as CCS Ready
  - Consider the CCS introduction to the coal fueled power generation by 2030, which is planned for future commercialization.
• Strengthening supply systems for electricity and gas supply
  - by early 2020, creating world-leading network system for future generation distribution networking system
  - Double the trading result in the wholesale electricity market in next three years.

Achieve Energy Demand Structure to enable the Low Carbon Development

• Industrial Sector
  - Maintain the world highest level of energy conservation (and further strengthen)
  - Promotion of natural gas use
• Household Sector/Commercial Sector
  - ZEB/ZEH (net zero buildings, houses) will be realized for new houses in average by 2030,
  - High efficiency lighting (LED, etc.) will be: Flow=>100% in 2020, Stock=>100% in 2030
• Transportation Sector
  - Rate of future generation vehicles in the new car sales will be the maximum 50% in 2020, the maximum 70% in 2030.
• Cross-sector
  - Optimizing the energy use in cities and towns

Realization of Renewed Energy Society

• Toward the realization of smart grid and smart community, promote the demonstration at home and abroad and the strategic standardization, study and consideration of a special zone (creation of “future environmental city”)
• By early 2020, smart meters-energy management system will be introduced in all consumers, in principle.
• Realization of hydrogen energy society

Innovation of technology development and expansion of dissemination

• Bringing forward the technology innovation, draft a new technology innovation roadmap

Overseas development in the field of energy and environment

• Development of support system for overseas development by private and public
• Construction of a new mechanism to properly evaluate the contribution to the global reduction of global warming gases




Source: METI http://www.meti.go.jp/committee/materials2/data/g100608aj.html(Japanese Only)