US Japan Energy Opportunities May 15, 2013 NEDO Silicon Valley - - PowerPoint PPT Presentation

us japan energy opportunities may 15 2013 nedo silicon
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US Japan Energy Opportunities May 15, 2013 NEDO Silicon Valley - - PowerPoint PPT Presentation

US Japan Energy Opportunities May 15, 2013 NEDO Silicon Valley Office Osamu Onodera Strategic Energy Plan of Japan (before Tohoku) Renewable and Nuclear were to be increased to reduce Co2 emissions but is under review. Aprrox. 40% Zero


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US ‐ Japan Energy Opportunities May 15, 2013 NEDO Silicon Valley Office Osamu Onodera

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Strategic Energy Plan of Japan (before Tohoku)

– Renewable and Nuclear were to be increased to reduce Co2 emissions but is under review.

  • Aprrox. 40%
  • Aprrox. 20%
  • Aprrox. 20%
  • Aprrox. 10%
  • Aprrox. 10%
  • Aprrox. 20%
  • Aprrox. 50%
  • Aprrox. 10%
  • Aprrox. 10%

Zero emission power source

  • approx. 70%

Zero emission power source 34%

[Source] METI [Source] METI

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1 2 3 4 5 6 7 1 2 1 2 1 3 1 2 3 1 2 3 4 4 1 2 1 2 3 4 1 1 3 2 3 4 5 1 2 3 4 5 6 1 3 2 1 2 3 1 2

Output

<0.5 million kW <1 million kW ≥1 million kW

NPS in operation NPS not in operation

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Tohoku EPCO Onagawa NPS TEPCO Fukushima Daiichi NPS TEPCO Fukushima Daini NPS JAPC Tokai No. 2 NPS Chubu EPCO Hamaoka NPS Shikoku EPCO Ikata Power Station Hokkaido EPCO Tomari NPS Tohoku EPCO Higashidori NPS TEPCO Kashiwazaki-Kariwa NPS Hokuriku EPCO Shiga NPS JAPC Tsuruga Power Station KEPCO Mihama Power Station KEPCO Ohi Power Station KEPCO Takahama Power Station Chugoku EPCO Shimane NPS Kyushu EPCO Genkai NPS Kyushu EPCO Sendai NPS

After 3.11: Nuclear Power Plants Suspended

  • Only two out of 50 commercial nuclear power plants are currently in operation
  • Lost approximately 26% out of 1000TWh and 15% out of 280GW

2

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Current Energy Mix in Japan Current Energy Mix in Japan

Energy conservation and LNG / oil mainly compensated for the decline of nuclear power.

Oil Renewable etc. LNG Coal Nuclear

1

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Japan’s “innovative energy and environmental strategy”

2010 Expected result of the innovative energy and environmental strategy in 2030 Current basic energy plan

When hydraulic power generation is excluded, the 2030 target is at least 8 times higher (25 billion kWh ‐> 190 billion kWh)

Total: 110

300 or more

Total: 226.3

Amount of power generation with renewable energy ( billion kWh )

Renewable energy deployment

■ In September 2012, the Japanese government drew up the “innovative energy and environmental strategy”, a long‐term energy strategy, with the aim of “devoting all political resources to ending the operation of nuclear plants in the 2030s. ” ■ The strategy aims to generate at least “300 billion kWh by 2030 compared to the 110 billion kWh for 2010 (3 times larger) and 190 billion kWh by 2030 compared to the 25 billion kWh for 2010 (8 times larger) of renewable energy for scenarios excluding hydraulic power”.

Renewable energy excluding hydraulic power Hydraulic power

[Source] METI [Source] METI

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Feed In Tariff System: Procurement cost and time

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Solar 10kW or more Less than 10kW Cost 42 JPY 42JPY (before tax) (*) Time 20 years 10 years Wind 20kW or more Less than 20kW Cost 23.1 JPY 57.75 JPY Time 20 years 20 years Hydraulic From 1,000kW to 30,000 kW From 200kW to 1,000 kW Less than 200kW Cost 25.2 JPY 30.45 JPY 35.7JPY Time 20 years 20 years 20 years Geothermal 15,000kw or more Less than 15,000 kW Cost 27.3 JPY 42 JPY Time 15 years 15 years Biomass Power generation with methane fermentation gas Power generation by burning unused timber Power generation by burning general timber Power generation by burning waste Power generation by burning recycled timber Cost 40.95 JPY 33.6 JPY 25.2 JPY 17.85 JPY 13.65 JPY Time 20 years 20 years 20 years 20 years 20 years

(*) Equivalent to 48 yen when subsidy is included

Procurement cost and time <Unless otherwise specified, cost includes consumption tax>

[Source] METI [Source] METI Revised to 36 yen/kwh for larger systems and 38 yen/kwh for smaller systems

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Status after the start of the Feed‐in Tariff

<Deployment of renewable energy for FY2012 (as of the end of December) >

Amount deployed as of FY2011 Capacity of facilities that started operation between

  • Apr. and Dec.

Capacity of facilities that were approved by the end

  • f Dec. for the fixed price

purchase system Solar power (residential)

  • Approx. 4,000MW

911MW 847MW Solar power (non‐residential)

  • Approx. 800MW

208MW 3857MW Wind

  • Approx. 2,500MW

34MW 456MW Mid‐ to small‐sized hydraulic (1000kW or more)

  • Approx. 9,350MW

1MW Less than 10MW Mid‐ to small‐sized hydraulic (Less than 1000kW)

  • Approx. 200MW

2MW 3MW Biomass

  • Approx. 2,100MW

22MW 72MW Geothermal

  • Approx. 500MW

Less than 10MW Less than 10MW Total

  • Approx. 19,450MW

1178MW 5,280MW *Capacity figures include facilities that started operation between April to the end of September and therefore include facilities that started

  • peration under the old system from April to the end of June. As a result, some capacity values may be bigger than the values approved by the

end of September based on the fixed price purchase system enacted in July

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■Between April and December 2012, about 1.2 GW of renewable energy was installed , of which solar energy accounts for more than 90%. Since several mega solar power plants will start operation in the latter half of FY2012, the share of solar power for the non‐residential housing sector is expected to increase. ■New facilities approval by METI after the Feed‐in Tariff started has let to approved output of 5.3 GW as of end of December 2012. Many large capacity facilities require longer construction times are not expected to start operation until after FY2012 and therefore some newly approved facilities may not be included in this year’s results. ■The FIT has led to an RE surcharge of average 120 yen per household (300kwh X 0,35yen/kwh plus 300kwh X 0.02‐0.09yen/kwh)

[Source] METI [Source] METI

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Peak Demand and Tie Line capacity in Japan

Hokkaido [2010] 5.79 GW [2011] 5.68 GW Tohoku [2010] 15.57 GW [2011] 13.62 GW Kansai [2010] 30.95 GW [2011] 27.84 GW Hokuriku [2010] 5.73 GW [2011] 5.33 GW Kyushu [2010] 17.50 GW [2011] 15.44GW Chugoku [2010] 12.01 GW [2011] 10.83 GW Shikoku [2010] 5.97 GW [2011] 5.44 GW

50Hz 60Hz 5.57GW 16.66GW 5.57GW 2.4GW 5.57GW 0.3GW 0.6GW 6.31GW 1.035GW Kitahon DC Tie line BTB DC Tie line

Chubu [2010] 27.09 GW [2011] 25.20 GW Tokyo [2010] 59.99 GW [2011] 49.22 GW

FC 1.4GW

EPC Maximum NPP Site Total Capacity Site Name Hokkaido Total 2.07 GW Tomari NPP, 3 units Tohoku Total 2.174 GW Onagawa NPP, 3 units Tokyo Total 8.212 GW Kashiwazaki‐Kariwa NPP, 7 units Chubu Total 3.504 GW Hamaoka NPP, 5 units Hokuriku Total 1.898 GW Shika NPP, 2 units Kansai Total 4.71 GW Ohi NPP, 4 units Chugoku Total 1.28 GW Shimane NPP, 2 units Shikoku Total 2.022 GW Ikata NPP, 3 units Kyushu Total 3.478 GW Genkai NPP, 4 units

7 [Source] METI [Source] METI

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METI’s planned actions on Electricity System Reform

  • Nation wide transmission operation
  • Full retail competition
  • More active wholesale market competition
  • Unbundling of transmission/distribution sector

(ISO style or TSO style)

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  • As of March 2013, there are now over 1650 fast chargers in Japan,

and 4800 normal chargers available to the public

  • A FY 2012 supplementary budget of approx 1 billion USD was

passed to support installation of additional charging infrastructure (1/2 -2/3 subsidy of equipment and installation cost) Fast charger growth

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(Location)

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Various configurations of cooperation

Examples GE – Fuji Electric Smart meters Panasonic – Itron Smart meters Panasonic – Power‐One Energy storage and PV Toshiba – Landis & Gyr Smart Grid Toshiba – Sunpower PV Hitachi – Silver Spring Networks Smart meters Eaton – Takaoka DC Quick Charger Daikin – Goodman Air Conditioning Tesla – Toyota Electric Vehicles Ford – Toyota Hybrid Systems for Trucks NRG Group – Eurus Energy 45 MW PV plant

  • Large / Large Company – Large / Small Company
  • Strategic Collaboration, IP Collaboration, JV, Buy‐out
  • Technology / Finance
  • Targeting US / JP / Global Market