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Japan Policy and Activity on Hydrogen Energy

Eiji Ohira

New Energy and Industrial Technology Development Organization (NEDO)

4 March, 2019

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Who we are…

Established in 1 October, 1980Number of Employees: 926 (as of 1 April, 2018)

including temporary assignment from Central / Local Government, Private Company, Research InstituteBudget in FY 2018: JPY 160 billion

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Background

Japan’s Responsibility for Energy Transition⇔ Energy trilemma

Energy securityEnvironment (Sustainability)Economic affordability (Cost)

Measures;Energy savingRenewable energyNuclear energyCCS + Thermal powerHydrogen

3”E” + Safety

Oil(40%)

Coal(27%)

Gas(27%)

Hydro

Nuclear

Renewables

Imported Fossil Fuel <90%

Japan’s Primary Energy (2016)

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Why Hydrogen/ Strategy

“Basic Hydrogen Strategy” (Prime Minister’s Initiative)

Contribute de-carbonization (Environment)Mitigate dependence on specific countries (Energy security)Enable to utilize low cost feedstock (Economic affordability)

+ Japan’s edge in technology since 1970s

Why Hydrogen?

World’s first national strategy2050 Vision: position H2 as a new energy option (following Renewables)Target: make H2 affordable($3/kg by 2030 ⇒ $2/kg by 2050)

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Scenario on Hydrogen Basic Strategy

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Hydrogen Energy Ministerial Meeting

【Purpose】Realize hydrogen as key technology and to be a new energy alternative for de-carbonization by connecting resources such as fossil fuel and Carbon Capture, Utilization and Storage(CCUS), or renewable energyHarmonize and cooperate for enhancing utilization of hydrogen at a global scale Verify and Discuss on

Innovative challenges and latest knowledgePossibility of international cooperationFuture direction

for formulating global initiative on hydrogen

●Date: 23rd October 2018●Venue: Dai-ichi Hotel Tokyo, Japan●Host: Ministry of Economy, Trade and Industry, Japan●Attendees : Ministers, Government officials, Private Sectors ●Invited Countries: Australia, Austria, Brazil, Brunei, Canada, China, Chile, Costa Rica, Denmark,

France, Germany, Iceland, India, Indonesia, Italy, Netherlands, New Zealand, Norway, Poland, Qatar, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Spain, Sweden, United Arab Emirates, United Kingdom, United States of America, EC, IEA (30 countries, 1 region, and 1 organization)

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Hydrogen Energy Ministerial Meeting

Point of Tokyo Statement (Chair’s Summary)

1. Collaboration on Technologies and Coordination onHarmonization of Regulation, Codes and Standards

2. Promotion of Information Sharing, International JointResearch and Development Emphasizing HydrogenSafety and Infrastructure Supply Chain

3. Study and Evaluation of Hydrogen’s Potential acrossSectors Including Its Potential for Reducing Both CO2Emissions and Other Pollutants

4. Communication, Education and Outreach

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Current status of Fuel Cell application

270,000 units

Residential Fuel Cell “Ene-Farm”

micro-CHP providing 0.7kW power + hot water / total efficiency : >90%

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Current status of Fuel Cell application

HRS: 100 in operation + 11 planned

FCV: 2,700 on road 150t-H2in 2017

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(4.2kW: Miura) Total efficiency: 90%

(3kW: Kyocera) Total efficiency: > 80%

(250kW: MHPS) Total efficiency: > 73% (hot water)

65% (Steam)

SOFC for commercial use Fuel Cell Mobility

TOYOTA FC-Bus “SORA”photo: Tokyo Metropolitan Government

TOYOTA FC-Trackphoto: Toyota Motor Corporation

TOYOTA FC-Forkliftphoto: Toyota Industries Corporation

New Fuel Cell Application in Japan

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Research, Development& Demonstration

Develop Market Environment

(Regulation, Code & Standard)

Financial Support(Subsidy, Tax Exemption)

Policy Measures to introduce New Technology

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METI’s budget for Hydrogen

Not including subsidy for FCV

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Outline of NEDO program in 2018 JPY

1. Fuel Cells:(1) PEFC: for mobility

- Target: 0.03-0.1 g-PGM/kW (depend on durability), 50,000 hrs. life time (commercial vehicle), Power Density:> 4kW/L (in 2030)

(2) SOFC: for stationary use- Complete co-generation model (> 50%) by 2017- New target: >60% efficiency (mono-generation)

2. Hydrogen Refueling Station:Reducing CAPEX / OPEX- To address regulatory reform on FCV/HRS in Japanex. Unmanned operation with remote monitoring, Risk assessment on HRS, etc.

- Developing low cost equipment (incl. polymer materials, Electro-chemical compressor, etc.)

For enhancing fuel cell application market

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Improving performance of PEFC for mobility / Technology Acceleration

Guideline for PEFC developing

To Accelerate OEM’s R&D activity

RD&D Activities: PEFC

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Outline of NEDO program in 2018 JPY

Utilizing Hydrogen in energy system1. Hydrogen Supply Chain / Gas Turbine:

- Developing combustor for Hydrogen Gas TurbineControl of combustion for low NOx, back fire, etc.

- Realizing large scale hydrogen supply chainHydrogen carriers for long distance transportation

2. Power to Gas:- Developing System Technology

Operation, Energy management, for demand response- Improving electrolysis technology

Analyzing reaction mechanism, develop lifetime evaluation, etc.(Alkaline, PEM, SOEC)

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Demonstration project / H2 gas turbine providing heat & power

Developing combustor for H2 gas turbine

RD&D Activities: Hydrogen Gas Turbine

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RD&D Activities: Hydrogen Supply Chain

AustraliaBrunei

2020～

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10MW electrolysis / provide H2 to Tokyo 2020- Producing “Green Hydrogen” plus Grid Stability

@ Water purification plantPV + 24kW electrolysis + Capacitor (without battery)- Enhancing PV capacity factor- Emergency power supply / Instead of a diesel power generator

RD&D Activities: Hydrogen Supply Chain

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Conclusion

Japanese Government strongly promoting - with Prime Minister’s leadership- importance of international collaboration

Just started market penetration- enhance hydrogen energy application- need to improve technology

Developing low-carbon energy system- develop large scale demand/supply chain- integrate w/ RE, CCUS

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Thank you!