energy policy toward a sustainable society · april 2016 - market liberalization for electricity...
TRANSCRIPT
Energy Policy toward a Sustainable Society
Oct. 2017
Sayaka ShishidoANRE, METI
Contents
1.Trends in Japan
①.Paris Agreement
②.Energy Market Reform
③.Deployment of RE and Amendment of FIT
④.Nega-watt Trading and VPP
2.Further Steps
①.Enhancement of Energy Efficiency
②.Acceleration of RE
③.Distributed Energy System
④.Hydrogen Society
⑤.Fukushima Revitalization
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1. Trends in Japan
Japan committed to a 26% reduction of CO2 in 2013. To achieve the Paris agreement, it is important that the energy mixture consists
of energy saving and widespread use of renewable energy.
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1. Trends in Japan ① Paris Agreement
2030
(After energy
conservation measures)
2013
(Actual result)
Energy demand
Final energy consumption
Heat,
gasoline,
town gas, etc.
75%
Electric
power 25%
361 million kl
Electric
power
28%
Heat,
gasoline,
town gas, etc.
72%
Economic growth
1.7%/year
326 million kl
Thorough energy efficiency
50.3 million kL(13% lower)
(Power transmission
/distribution loss, etc.)
2030(approximately)
Base load ratio:56%
Hydro 8.8~9.2%
Wind 1.7%
geothermal1.0~1.1%
Solar7.0%
Biomass3.7~4.6%
Total: 1,065TWh(power demand+Transmission loss etc…)
2010
Thermal :65%
LNG 29%petroleum 10%
coal 26%
Nuclear 25%
RE 10%
2013
Thermal :87%
LNG 40%petroleum 16%
coal 31%
RE 12%
Nuclear 1%
Nuclear 22~20%
Thermal:56%
LNG 27%petroleum 3%
Coal 26%
RE22~24%
Power source composition
1. Trends in Japan ② Energy Market Reform
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April 2016 - market liberalization for electricity retailApril 2017 - market liberalization for gas retail
Next step should be unbundling between generators and DSO/TSOs. Policies will be discussed, such as activation of the wholesale electricity business
market, capacity market, zero-emission value market and so on.
Schedule for market liberalization
Phase1:Organization for Cross-regional Coordination of Transmission Operators
Electricity
Gas
Market monitoring Committee
April2015
Phase2:Market
liberalization for electricity retail
Phase3:Unbundling for
DSO/TSO
Unbundling pipe line business
Market liberalization for gas retail
Establishment of Committee for
electricity market monitoring
Start of monitoring for
gas market
(Sep.2015)
Soft landing termAfter April 2020, we can lift the
restriction of fees for each company depending on business situation
After April 2017, we can lift the restriction of fees for each company depending on business
situation
April2016
April2017
April2020
April2022
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Amendment of Feed in Tarif(FIT)
Rapid spread of RE under FIT scheme raises some challenges such as cost effectiveness. Amendment of FIT in place from April 2017 will balance between spread of RE and cost allocation.
1.Trends in Japan ③ Deployment of RE and Amendment of FIT
FIT (only for Surplus
residential PV)FIT
RPS
GW
Annual average ratio
+5%
Annual average ratio
+9%
Capacity of Renewable Energy
Annual average
ratio+29%
※ without large hydro pump
July, 2012 FIT starts(RE capacity increased to 2.5 times in 3.5 years)
Spreading RE and cost allocation should be balancedEnergy mixture target:RE 22-24% on 2030
Partial to PV PV occupied 90% of RE capacity 310 thousand PV cases are
authorized, but not operated
Cost Effectiveness Total tariff of 2300 Bill. yen
in 2016. In 2030, tariff should be
3700-4000 Bill. yen
1)Additional Conditions Focused on O&M
3) Wind Farm, Geothermal Power etc…
The price along several years provided previously.
4)Measures for Industrial sector
5) TSO/DSO Purchase Flexible wide area power pool
increase RE.
2) Cost Effectiveness Mega-solar auction Mid-term target of purchase price
New FIT scheme starts in Apr. 2017
Market mechanism
Mechanism changing such as liberalization and unbundling
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Challenges
Activities for Nega-watt trading
June,2015 Nega-watt trading positioned clearly in Electricity Business Act
Sep., 2016 “the Guide Line for Nega-watt Trading” revised
Oct., 2016 As providing power for general TSO/DSO, open call starts
Apr., 2017 Trading starts.
1.Trends in Japan④ Nega-watt Trading and VPP
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Regulations for Nega-watt trading are now ready, starts Apr. 2017.
7 VPP demonstration projects (Virtual Power Plant) will start including technologies integrating supplying, storing and efficient use of energy resources.
Example of Project
Capacity for control on 2016Fy:9,800kW(8 large battery system and 500 home-use
batteries)
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2. Further Steps
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Japan has achieved world top-class energy efficiency.
In each sector such as industrial, commercial, residential and transportation, Japan is pushing forward for greater energy efficiency. The political target is set to decrease to 50.3 million kL crude oil equivalent (=35% energy efficiency ratio by 2013) by 2030.
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2.Further Steps① Enhancement of Energy Efficiency
Industrial Sector <approx. -10.42 million kL>
Commercial Sector <approx. -12.26 million kL>
Residential Sector <approx. -11.60 million kL>
Transportation Sector <approx. -16.07 million kL>
Energy efficiency target is set in each industry. SABC
evaluation scheme is running
Multiple players cooperate in energy efficiency action
such as common use of facilities.
Promotion of next-generation cars
Traffic flow control, modal shift
Target for each division
⇒ by 2018, 70% of commercial sector will covered.
Energy efficiency by top-runner scheme
⇒ 31 items such as lighting, air conditioners, cars etc.,
are now in scope
Energy efficiency of houses and buildings
⇒zero-emission house/ building, renovation for EE,
Mandating EE standards for newly constructed
houses
Energy efficiency by top-runner scheme
Energy efficiency by each country (2013)
Reference:IEA/Energy Balances of OECD Countries 2014 Edition, Energy Balances of Non-OECD Countries 2014 Edition, IEEJ/energy economics statistics(※)Primary energy supply (Toe)/real GDP, and calculated as Japan=1
※
UK
Japan
Germ
any
Fra
nce
EU
28
OECD
Austra
lia
USA
Canada
Kore
a
Mid
dle
East
Indonesia
Non-O
ECD
Thaila
nd
India
Chin
a
Russia
World
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2. Further Steps ② Acceleration of Renewable Energy
Tasks Status Next challenge (as example)
CostCost goes down globally, but in Japan, cost remains high.
・New FIT scheme will reduce cost・Effective use of low-cost resources-Battery storage and self-use-Utilization for post-FIT power
resources (roof top PV etc.)
Grid limitationMany cases in which cannot connect to grid smoothly.
・Overcome grid limitation-Regulation for grid connection-Retro-fit for exiting grid-Cost allocation
Regulation and location limitation
Regulation and location limitations delay the introduction of power plants. A long lead time is needed.
・Additional promotion for RE-Regulation and coordination for
public acceptance, environmentalassessment
①Shimabara city in Nagasaki pref. ②Hita city in Oita pref.
PJ components
①cost and potential
estimation of leftover
wood
②feasibility study for
chipping remaining wood
③considering whether to
introduce boiler
④total evaluation of PJ
Forestry
machinery
Private road for
forestry
company
Fast growing
trees
Leftover
wood
Feasibility study
Biomass
generator
Biomass
boiler
Tip combustion test
(shape, % of water, cost test
calculation)
Cost estimation
and road
maintenance
planning
Chipping
rotary press
vehicle Feasibility
Study for
instant chipping
Waste heat from an liquor factory is used in the hot water supply system of a spa town.
Feasibility study for wood biomass fuel from leftover forest wood
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2. Further Steps ③ Distributed Energy System
Using local energy resources such as Demand Response, waste heat and so on.
Promote regional activation by combining energy services and local services such as mobility services and medical care.
Cost estimation
Private Public
Providing heat
Liquorfactory
Shimabara city
Hot water supplier
O&M
Providing hot water
feeHotelsandusers
liquorfactory
Hot water supplier
Cooperation
• Target of 1.4mil. by 2020 and 5.3mil. by 2030
• Target price of 800,000 yen/ unit by 2020
⇒ no subsidy after 2020
FC co-generation system
Fuel Cell Vehicle(FCV)
• 18 items for regulation review
Short range activities:expansion of hydrogenMid-term activities:supply chain, hydrogen
gas turbine/ hydrogen from RE
Total 92(opened 80)※by Dec 2016
Kyushu:15
Tokyo:41
Nagoya:22
Kansai:15
4big cities
Hydrogen station
Production/procurement
Storage/ transport
use
R&D for H2 gas turbine
manufacturing simulation
Liquid H2/Organic hydride
lignitebyproductgas
Hydrogen resources
• Utilizing unused overseas energy such as lignite
• Establishment commercial supply chain by 2030,
Variable Renewable Energy (VRE)
Global supply chain of Hydrogen,Hydrogen gas turbines
Power-to-gas
hydrolysis
Power grid
FCV, gas turbine etc…
VRE
Base-load
• H2 made by VRE will be stored, transported and used.
2.Next Challenge④ Hydrogen Society
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Hydrogen is eco-friendly because it doesn’t produce CO2 while running. Hydrogen can strengthen energy security because it can be made from several energy resources including un-utilized energy overseas.
For this target, METI established a roadmap in June 2014 and was revised in March 2016.
2020 2025 2030
No. of FCV 40,000 200,000 800,000
No. of stations
160 320 -
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■Battery storage reduces grid instability caused by RE.
Battery storage demonstration for substations
■The world’s first commercial scale floating wind farm is under construction.
東京電力福島第一原子力発電所
20Km
Floating wind farmR&D center for RE
■FREA/AIST is the first R&D center focused on RE in Japan.
■Energy supply and demand in the local area are balanced by using battery storage and hydrogen.
■Enhancement and revision for substations are needed for introducing RE.
Enhancement and revision for substations
Smart community
To accelerate the energy-related policy measures of the Innovation Coast Initiative and to create a future model for a “New Energy Society”, the Fukushima Plan for a New Energy Society is developed.
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2. Next Challenge ⑤ Fukushima Revitalization
■Hydrogen produced by VRE will be used in Olympic/ Paralympic Games in Tokyo 2020.
Hydrogen producedby RE
■Large wind farm including transmission lines in mountain and coastal areas
Wind farm