20031031-IEA-Energy_Policies_of_IEA_Countries_Japan_2003_167页_1mb

Energy Policies of Japan (2003 IEA Review Summary)

Key Findings

• Energy Security: Japan diversifies energy sources away from oil, enhancing security through nuclear, gas, and renewables. Concerns remain over oil imports from the Middle East and supply disruptions.
• Environmental Protection: Achieved a 6% GHG emissions reduction target under the Kyoto Protocol (6,8% above base year levels). Policies include the Top-Runner Programme and renewables portfolio standards, but energy intensity remains high.
• Economic Efficiency: Market liberalization in electricity and gas markets is ongoing but competition remains limited. Energy prices are among the highest in IEA countries.
• Policy Measures:
  • Market Reform: Partial electricity and gas market liberalization; ongoing unbundling and TPA reforms.
  • Efficiency: Top-Runner Programme and energy conservation measures aim to reduce energy intensity but face challenges.
  • Nuclear: Central to energy mix; safety incidents threaten public confidence.
  • Renewables: Portfolio standard (1.35% renewable share) and R&D support growth.
• Global Context: Compared with IEA peers, Japan's policies excel in technological innovation but lag in cost-effective market mechanisms.

Recommendations

• Strengthen market competition and energy efficiency standards.
• Enhance international co-operation and technology sharing.
• Ensure cost-effective climate change mitigation through trading mechanisms.
• Promote energy conservation and renewable integration.