Japan Seeks Protection From Crude Oil Prices By Reducing Energy Consumption

James Brooker reports in the New York Times that surging oil prices and growing concern about meeting targets on cutting emissions produced by burning fossil fuels have revived efforts around the world to improve energy efficiency. But perhaps nowhere is the interest greater than in Japan.

Even though Japan is already among the most frugal countries in the world, the government recently started a national campaign urging people to replace their older appliances and buy hybrid vehicles as part of a patriotic effort to save energy and fight global warming. And big companies are jumping on the bandwagon, counting on the moves to increase sales of their latest models.

On the Matsushita appliance showroom floor these days, the numbers scream not the low, low prices but the low, low kilowatt-hours.

A vacuum-insulated refrigerator, which comes with a buzzer that will sound if the door stays open more than 30 seconds, boasts that it will consume just 160 kilowatt-hours a year, one-eighth of the power needed by standard models a decade ago.

"It's like squeezing a dry towel" for the last few drops, said Katsumi Tomita, an environmental planner for Matsushita Electric Industrial. "The honest feeling of Japanese people is, 'How can we do more?"'

A number of other affluent countries with few domestic energy resources of their own are responding in similar ways. In Germany, where heating accounts for the largest share of home energy use, a new energy-saving law has as its standard the "seven-liter house."

The goal is to use seven liters, or 1.8 gallons, of oil to heat one square meter for a year, about one-third the amount consumed by a house built in 1973, before the first oil price shock. Three-liter houses - even one-liter designs - are now being built.

In Singapore, where year-round air conditioning often accounts for 60 percent of a building's power bill, new codes are encouraging the use of things like heat-blocking window films and hookups to neighborhood cooling systems where water is chilled overnight.

Other countries, including the United States, the largest energy consumer by far, have lagged behind, but even American consumers are starting to turn their backs on big sport utility vehicles and looking at more fuel-efficient cars in response to higher gasoline prices.

But Japan is where energy consciousness probably reaches the highest levels. The second-largest economy produces virtually no fossil fuels, importing 96 percent of its energy needs - a dependence that has led to tremendous achievements in improved efficiency. France and Germany, where governments crusade against global warming, expend almost 50 percent more energy to produce the equivalent of $1 in economic activity. Britain's energy use, by the same measure, is nearly double; that of the United States, nearly triple; and China's almost eight times as high.

From 1973 to today, Japan's industrial sector nearly tripled its output but kept energy consumption roughly flat. To produce the same industrial output as Japan, China consumes 11.5 times as much energy.

At JFE Holdings, a leading steel company, plastic pellets made from recycled bottles now account for 10 percent of fuel in the main blast furnaces, reducing reliance on imported coal. Japanese paper mills are investing heavily in boilers that can be fueled by waste paper, wood and plastic. Within two years, half of the electricity used in the country's paper mills is to come from burning waste.

As host nation for the Kyoto Protocol, the pact for cutting the so-called greenhouse gases suspected of being behind global warming, Japan takes its commitment seriously. But it faces a big challenge. According to figures released last month, Japan's emissions were 8.3 percent above the 1990 level for the year that ended on March 31, 2004.

Original Newspaper Article on the International Herald Tribune Website

Wind Energy Japan: Vestas Eyes Offshore Future

While it sees the Japanese mainland as a challenge due to the country's dense population, Danish wind turbine maker Vestas Wind Systems A/S is hoping to put some puff into its sales with offshore installations, the company's president said.

Svend Sigaard, president and chief executive officer of the world's largest wind turbine manufacturer, spoke to The Daily Yomiuri at 2005 World Exposition Aichi, where the company is exhibiting at the Nordic Pavilion.

"Japan is a densely populated country, and that makes the Japanese market more difficult compared with other markets. If we utilize the possibilities of nearshore installations or even offshore installations in the future, that will give us the possibility of continued use of wind energy.

If we go offshore, it's more expensive because the construction of foundations is expensive. But often the wind is stronger offshore, and that can offset the higher costs.

We're getting more and more competitive with our equipment. The price--if you measure it per kilowatt-hour produced--is going lower, due to the fact that turbines are getting more efficient. So we're creating increased interest in wind energy.

If you compare it to other renewable energy sources, wind is by far the most competitive today. If we're able to utilize sites close to the sea or at sea with good wind machines, then the price per kilowatt-hour is competitive against other sources of energy. "

Alternate Energy Japan: Energy Plan to Decrease Dependence on Oil

Japanese Prime Minister Junichiro Koizumi on Friday instructed ministers in his Cabinet to work out a long-term energy plan featuring increased use of alternatives to oil, such as solar and wind power, a government official said.

At a meeting of ministers on the country's energy policy, Koizumi said Japan should draft an energy plan that goes beyond the one the government has compiled up to fiscal 2010 and that the new plan should put priority on departing from oil dependency and boosting alternative energy consumption, the official said.

"We need to decrease consumption of oil and bring in new alternative energy sources including solar and wind power as well as fuel cells," Koizumi was quoted as saying. "That is the way we should transform our country from a nation with almost no resources."

Recent surges in crude oil prices to record-high levels are behind the policy, the official said.

The premier said nuclear power is an important source of energy for Japan but it would be difficult to increase the number of nuclear power plants.

Some electric power companies have become reluctant to promote nuclear plant construction because of local opposition and the high cost of building and running the plants, analysts say.

Under the government's revised energy supply plan, which is expected to be formalized by May, Japan aims to lower dependence on petroleum in primary energy supply from 47 percent in fiscal 2000 to 41 percent in fiscal 2010.

Considering the technological lead Japanese automakers like Toyota and Honda have shown in hybrid technology, it is time for the Japanese government to show leadership in promoting plug-in hybrid technology and alternative energy. By doing so Japan can lock in long term electricity and transportation fuel prices and reduce its significant exposure to rises in fossil fuels prices. It also has an opportunity to set an example on an international level by leading the way to a post oil age.