This fall marks three years since the current Sixth Strategic Energy Plan was first approved by the Cabinet in October 2021, and it is due for revision under law.
At the beginning of the meeting, SAITO Ken, head of the Ministry of Economy, Trade and Industry (METI), noted again the sense of crisis involved in energy security. “The world is facing energy risks,” he said, “both in volumes and in prices, due to increasing geopolitical turmoil, including the Russian invasion of Ukraine and strained relations in the Middle East.”
Regarding the domestic situation, he said that he was concerned that the cost of imported fossil fuels had reached JPY 34 trillion (approximately USD 218 billion at USD1=JPY 155.75) in 2022, completely offsetting Japan’s earnings from exports.
With the booming use of AI and the rapid growth of data centers, Minister Saito said that it was essential to supply enough electric power for each, while shifting to decarbonizing sources would be quite difficult. “Japan,” he said, “is facing its greatest postwar challenge.”
On May 13, prior to the latest meeting, the Japanese government’s Green Transformation (GX) Implementation Council presented its intention to issue a national strategy, known as the GX 2040 Vision, to include the nation’s industrial structure in 2040.
Intensive discussions are now expected to occur, including panel discussions among experts and specialists. METI Minister Saito, as the person responsible for GX implementation, asked the committee to “envision an ideal future energy policy” in anticipation of contributing to deliberations on the vision.
The Strategic Energy Vision will be revised together with other related policies, such as the plan for measures to combat climate change, by the end of the current fiscal year (i.e., by March 31, 2025), and is expected to be incorporated into the GX 2040 Vision.
Upon the resumption of discussions by the committee, the Agency for Natural Resources and Energy (ANRE) newly identified recent changes in the domestic and international situation that were affecting energy security, while also explaining the global trend toward decarbonization and Japan’s current status and issues, and asked the committee members for their views.
KUROSAKI Ken (professor at the Institute for Integrated Radiation and Nuclear Science, Kyoto University(KURNS))—who had succeeded YAMAGUCHI Akira (director of the Nuclear Safety Research Association (NSRA)) as chair of the Nuclear Energy Subcommittee under the Advisory Committee for Natural Resources and Energy—stressed the value of nuclear energy, saying “there is no reason not to use it” given that it can supply large quantities of high-quality decarbonized power, as is well recognized in much of the world.
He said that the need domestically is to build new and replacement reactors toward 2050 and beyond, together with promoting the prompt restart of nuclear power plants (NPPs) and increasing capacity factors. As future issues, he cited making long-term improvements to the business environment, fermenting public confidence, and securing technological foundations and human resources.
Committee members SAWADA Jun (chairman of Nippon Telegraph and Telephone Corporation) and HASHIMOTO Eiji (president and CEO of Nippon Steel Corporation)―both of whom are involved with nuclear fusion research and come from electricity-intensive industries―both noted that a policy on nuclear development had to be clarified, saying that decarbonization was a global necessity and that the opportunities were great for Japan’s economic recovery. They also emphasized the importance of diverse technological development and the demonstration of comprehensive functioning.
KOBORI Hideki (chairman of Asahi Kasei Corp.), new to the committee as of this meeting, asked about the extent of progress under the current plan, and advocated for the “diversification and dispersion of energy” from the viewpoints of regional revitalization and disaster measures. In each instance, he suggested that foreseeability be emphasized during policymaking.
Among the voices heard from consumer organizations was a call for the re-implementation of the discussion-oriented polling sessions that had been conducted when the energy policy was revised in the wake of the massive earthquake in northeastern Japan in March 2011, in light of anxieties about the effect on lives and lifestyles and about back-end measures. In the same regard, it was also suggested that input be sought from the younger generation.
ANRE established suggestion boxes for energy policy and invited opinions from the public, which should be useful for future discussion.
