12 million kL of further reduction for energy conservation target
On May 21, the Agency for Natural Resources and Energy (ANRE) of the Ministry of Economy, Trade and Industry(METI) compiled the energy conservation measures toward 2030. As the amount of energy saving for the final energy demand in the same year compared with the one in 2013, further reduction of approx. 12 million kL will be added to the current target of 50.36 million kL(crude oil equivalent) ANRE and METI examined the energy conservation measures in the industry, transport and commercial sector from scratch. While the target after the review is approx. 62 million kL, the actual result in FY2019 was 16.55 million kL, which will require considerable efforts in the remaining nine years. This will be the foundation for the study on energy conservation policy which is consistent with the 46% reduction target of greenhouse gas.
An agreement was made at the Energy Conservation Subcommittee (Chairperson: Shinichi Tanabe, Professor at Waseda University) of the Advisory Committee on Energy and Natural Resources (Advisory body of METI) and it will be reported to The Strategic Policy Committee which promotes the study for the next energy basic plan and energy mix.
On April 8, METI estimated approx. 8 million kL of further energy saving for the reduction target of 50.36 million kL at the Energy Conservation Subcommittee. It reflects on the introduction of innovative manufacturing technologies promoted in the industry sector and high efficiency of truck transportation.
After the examination of energy saving in industry, commercial/residential and transport sector, further reduction of approx. 4 million kL was indicated as achievable. In the commercial/residential sector, further reduction of approx. 1.6 million by energy conservation in housing and building and approx. 0.28 million out of this is expected by introduction of high efficiency water heaters.
Furthermore, as a new measure, METI estimated the effects of information provision on energy conservation to general consumers based on the guidelines. ANRE is currently discussing the system to evaluate the efforts of energy retailers such as energy audit at the “Study Group for Establishment of Guidelines for Energy Conservation by Energy Retailers” As a result, energy saving in households is estimated to be 0.56kL.
In addition, at the Energy Conservation Subcommittee, in order to achieve carbon neutrality in 2050, METI reviewed the definition of “energy” in the current energy conservation act and solidified the direction for all energy including non-fossil to be the target for rationalization. For example, a stable energy supply and improvement of economic efficiency will be achieved by reducing the use of hydrogen and ammonia which are imported in large quantities from overseas.
At the same time, METI and ANRE will study on the system to optimize the demand in response to the change in the supply side such as a regulatory system to secure the expansion of the introduction of non-fossil energy and the so-called “Peak Shift” to shift demand to the times when surplus electricity from renewable energy is generated. It will be further discussed including the necessity of the revision of energy conservation act at the Energy Conservation Subcommittee.