Japans Priorities for NRETs 20032004

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Japans Priorities for NRETs 2003-2004

• 21st Meeting of the
• Expert Group on
• New and Renewable Energy Technologies
• October 13-15, 2003
• Shanghai, PRC

Mr. Yoshihiro ITOH Chief Officer International
Projects Dept. New Energy and Industrial
Technology Development Organization (NEDO)
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Outline

• 1. Japans New and Renewable Energy Targets
• 2. Policies for Development and Introduction of
  NRETs
• 3. RPS-Background, Outline, Explanation
• 4. Biomass Nippon Strategy
• 5. NEDOs Role in Japans New Energy Scheme
• 6. Measures to Overcome Grid-Connection Obstacles

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1. Japans New and Renewable Energy Targets
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2. Policies for Development and Introduction of
NRETs
?
598
700
740
884
1,159
1,254
?US1 \125
?.Technological Development
?.Demonstrative Testing

• (Budget for FY2003
• about \43.4 billion ? US347 million)
• Fundamental investigation
• Development for practical application

• (Budget for FY2003
• about \18.8 billion ? US150 million)
• Field test
• Demonstrative research

?. Introduction Promotion (full utilization of
market mechanism)

• (Budget for FY2003 about \94.6 billion ? US757
  million)
• Creation of initial demand for inducing market
  independency
• Creation of environment suitable for introducing
  leading-edge new energy systems
• Financial support (Tax system, Fiscal investment
  and Loans)
• The Green Purchase Law
• Enlightenment and public information activities
• New market development mechanism RPS (Renewable
  Portfolio Standard) ?Additional Measure

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3-1. Background on the Introduction of RPS
Background

• Difficulty in achieving the new 2010 target with
  only current measures.
• To promote power generation by renewable energy,
  legislation in US, Europe, etc., had already been
  introduced/enacted for various systems.

Necessity of studying the introduction of a new
system adapted for Japan.
Conclusion
Japanese government decided to introduce a new
measure making use of the market mechanism
-Renewable Portfolio Standard (RPS)-.
Establishment of the Law Concerning the Use of
New Energy by Electric Utilities (June 2002)
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3-2. System Outline--Law Concerning the Use of
New Energy by Electric Utilities
National Government
Dec. 2002
Apr. 2003
Requiring use of a certain amount of electricity
by New Energy
Accreditation of facilities for New Energy power
generation
Electricity Retailer (A)
(certificate trading) Electricity Retailer
(B)
New Energy Generator
Electricity supply
by New Energy
Solar Wind Biomass Small/Medium Hydro (to 1
MW) Geothermal
Electricity supply
Consumers
The target for 2010 is 12.2 TWh, which would
comprise 1.35 of national electric supply.
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3-3. Basic Explanation of the RPS System
The national government obliges each electric
power company to use a certain amount of
electricity arising from New Energy, according to
its sales of electricity. An electric power
company can select the most advantageous way
among the following to carry out its obligation
a) generating by oneself b) purchasing from
others c) causing other electric company to
subrogate the obligation The national government
verifies electric power companies use of
electricity arising from New Energy each fiscal
year.
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4-1. Biomass Nippon Strategy
Background 1. Prevention of Global Warming

--carbon-neutral energy source mitigate CO2
emissions-- 2. Creation of a Recycling-Oriented
Society --more effective use of
finite resources-- 3. Fostering of New and
Competitive Strategic Industries
--trailblazing business model to revive
industrial competitiveness-- 4. Activation of
Agriculture, Forestry, Fishery Industries and the
Associated Rural Communities
--effective use of abundant biomass in farm
villages-- http//www.maff.go.jp/biomass/eng/biom
ass_honbun.htm
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4-2. Biomass Nippon Strategy
Global approach
National perception
Specific Targets
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4-3. Biomass Nippon Strategy
GOALS 1) Evolutionary Direction TodayWaste
Biomass ca. 2010Unused Biomass ca. 2020Energy
Crops ca. 2050New Crops 2) Developmental
Direction Construction of a Biomass
Refinery Cascaded Utilization of Biomass
Specific goals to be established, e.g. energy
conversion efficiency, cost target of process
equipment/systems, clear target level of biomass
utilization.
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4-4. Biomass Nippon Strategy

• Promotion of Biomass Utilization
• Establishment of Biomass Information
  Headquarters (information clearinghouse) and
  Biomass Nippon Comprehensive Strategy Promotion
  Council
• Study of new legislation
• RD for designing a social system in which
  efficient utilization of biomass is encouraged
  demonstrative testing
• Comprehensive package of measures in model
  communities under a coordinated program headed by
  relevant government offices
• Evaluation of possible merits and demerits to
  establishing new competitive conditions for
  biodiesel fuels

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4-5. Biomass Nippon Strategy

• Production-Collection-Transport
• Formulation of an efficient collection/transportat
  ion system
• Exploration of possible means to expand the
  boundaries of the recycling qualification of
  waste biomass which shall meet certain
  requirements e.g. the biomass should not
  decompose so easily
• To produce biomass efficiently by utilizing
  special zones for structural reform

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4-6. Biomass Nippon Strategy

• Conversion
• Development/promotion of conversion technologies
• Support of the establishment of a model
  facility
• Exploration of means to simplify the approval
  procedure required for the installation of waste
  treatment facilities intended for handling
  biomass with similar properties

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4-7. Biomass Nippon Strategy

• Post-Conversion Utilization
• Investigation of a procedure to be applied to
  biomass-derived plastic materials as specific
  procurement items covered by the Green Purchasing
  Law
• Arrangements so that biomass power generation can
  be handled in the same manner as other kinds of
  new energy under the New Energy Law
• Promotion of agriculture which is oriented toward
  environmental conservation
• Facilitation of power supply by means of
  distributed power sources, including biomass
  power generation
• Quality evaluation of biomass-derived automotive
  fuels, assessment of their safety and
  environmental performance, and driving tests on
  those fuels as well as evaluation of the merits
  and demerits of their introduction into Japan

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5. NEDOs Role in Japans New Energy Scheme
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6-1. Measures to Overcome Grid-Connection
Obstacles

• Demonstrative Research on Combined Power
  Generation Systems (PV Biogas)
• Objectives
• Early commercial application of a system that
  maximizes the utilization of RE to promote mass
  introduction
• Establishment of an effective system on the
  demand side
• Resolution of instable PV power generation
• Demonstration of a combined system in which
  instable energy is transferred and utilized to
  produce stable, renewable energy, while stable PV
  energy is directly supplied to the grid

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6-2. Measures to Overcome Grid-Connection
Obstacles
Demonstrative Research on Combined Power
Generation Systems (PV Biogas)
Power Generation PV 50kW Biogas 60kW
Site Sihanoukville, Cambodia
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6-3. Measures to Overcome Grid-Connection
Obstacles
Demonstrative Research on High-Efficiency PV
Power Generation Systems
Medium-Voltage Power Line
110kV/10kV
Switch
System Design
Transformer
Bulk PV
Amorphous PV
Site Beijing City, PRC
Total Power Generation 180kW
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6-4. Measures to Overcome Grid-Connection
Obstacles
Demonstrative Research on Combined Power
Generation Systems (PV Wind Advanced Battery)
Turbine
PV
Adv. Batt.
System Design
Mini Grid
PV Power Generation 100kW Wind Power Generation
100kW
Site Gansu Prov., PRC
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6-5. Measures to Overcome Grid-Connection
Obstacles
Demonstrative Research on Combined Power
Generation Systems (Water-cooled PV DG
Advanced Battery)
Adv. Batt.
Water-cooled PV
DG
System Design
Mini Grid
Ballast Load
Site Xinjiang Prov., PRC
PV Power Generation 60kW DG Power Generation
100kW
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Thank You!!!