• Energy demand for hot-water supply dominates approximately 30% of total energy consumption in a household.
• A subsidy system has been introduced to promote the proliferation of energy efficient hot-water systems.

Reinforced measures for residences
Compulsory submission of notification of energy-saving measures to the competent authorities for residences of a certain size (a total floor area of 2,000 m² or more) as in the case of non-residential buildings. (The current law only requires the concerned parties to make efforts to do so.)

(Contents of modification)

• Competent authorities: Prefectural authorities, with district construction surveyors, governing construction authorization procedures
• Energy-saving measures: Insulation of exterior walls, windows, etc. and effective use of air conditioning systems or the like
• Extensive repair: Extensive repair or rearrangement of exterior walls, windows, etc, and new installation or extensive repair of air conditioning systems or the like

• Use IT technology to promote and facilitate a system that supports energy demand management for commercial buildings (e.g., a system that ensures recognizing real-time room conditions in buildings by temperature sensors and/or the optimal operation of lighting and air-conditioning responding to conditions in the room).

• A business that offers comprehensive services on energy conservation to clients, who in return will offer part of their energy saving gains (saving on utility bills, etc.)
• The business has two forms: “Guaranteed savings agreement”, where customers cover business costs, and “Shared savings agreement” where the ESCO business covers business costs. These options enable service provision according to customer needs.
  * ESCO stands for Energy Service Company