Japan’s Policy Measures for phasing down HFCs

10 July 2024
YAMADA Tadashi
Fluoride Gases Management Office
Ministry of Economy, Trade and Industry0Contents
 Japan’s legal system to reduce HFCs along the Kigali amendment.
 Ozone layer protection Act
 Fluorocarbon Emissions Control Act○Top-runner program○Remote monitoring systems
 Research and Development program supported by Japanese
government

Two Regulatory Measures for Reducing HFCs Emission
 Ozone Layer Protection Act：To comply with the Montreal Protocol, this Act aims
to control consumption and production of controlled substances by regulating
their productions and imports.
 Fluorocarbon Emissions Control Act：This Act aims to control emissions over thelifecycle of Fluorocarbons from up-stream to down-stream.
Ozone Layer Protection Act

 Control over manufacturers and importersof Fluorocarbons (CFCs, HCFCs and HFCs)
Fluorocarbons
Manufacturers

Fluorocarbon Emissions Control Act
Product Manufacturers
Using Fluorocarbons

・Reduction of environmental impactof Fluorocarbons used indesignated products

RecycleRefrigerator and Air
Conditioner Users

Destruction/
RecyclingOperators

 Comprehensive approaches
throughout the lifecycle ofFluorocarbons

Filling/RecoveryOperators

Recovery of
Fluorocarbons from
Disposed Equipment

・Periodical inspection of equipment
and report of leakage amount・Recovery of refrigerant
Fluorocarbons at equipment
disposal・Appropriate destruction or recycle
Periodical of refrigerant Fluorocarbons
Inspection recovered from equipment
Report Leakage
Amountand Others

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Kigali Amendment to Ozone Layer Protection Act
 Kigali Amendment of the Montreal Protocol was adopted in October 2016.
–The amendment obliges Parties to reduce (phase-down) production and consumption of HFCs.

 Japan amended the Ozone Layer Protection Act in June 2018 for reflecting theKigali Amendment.
–Introduced regulatory measures such as controlling manufactures and imports of HFCs.

–The amended Act was enacted in December 2018 and came into force on 1 January 2019.

 Japan accepted the Kigali Amendment in December 2018.

Details of Introduced Policy Measures○ The Ministry of Economy, Trade and Industry (METI) along with the Ministry of theEnvironment (MOE) determines and publishes the limit of production as well asconsumption of HFCs which Japan should comply with in accordance with the Protocol.
○ Manufacturers and importers of HFCs obliged to request METI’s permission as a quota
for manufacture/import of HFCs.
• Import is subject to the provisions and procedure of the Foreign Exchange and Foreign
Trade Act.
○ Manufacture and import of HFCs as feedstock in the manufacture of other chemicals are
exempted from the quota after the check and confirmation conducted by METI.
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Results from 2019 to 2023（consumption）
2023 quota on consumption was allocated to 36.28 million tones of CO2 equivalent forbasic and special uses. This value is far below the target consumption by 44%. The actual
consumption is also under the quota in 2023. We have achieved the target affordably.
-basic quota: 35.32 million tons of CO2 equivalent(producers 8 businesses 24 importers)-special quota:0.96 million tons of CO2 equivalent(producers 3 businesses 10 businesses)※Special quota are allocated for fire extinguishing agents, inhalers and use in test and research

Upper limit, allocated value and actual value of consumption in Japan(million t-CO2)

▲10％
64.36

71.52
【baseline(100%)】

52.90
49.97
44.21
39.85

47.54
40.37

2019

36.28 28.40

31.26

34.30
2017

▲40％
42.91

Outlook for fluorinated gases’ use
based onFluorocarbon Emissions Control Act

▲70％
2,145
14.50

▲80％
1,430

▲85％
1,073

28.89

2022

2024

2025

2029 2030※ Baseline is calculated based on the average of actual value 2011-2013

2034

2036

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Results from 2019 to 2023（production）
 2023 quota on production was allocated way below the national cap of Kigaliamendment. 36.95 million CO2 equivalent tones were allocated to basic use and special
use in total. This value is 18% lower than that of the reduction target 45.04 million CO2equivalent.
Basic allocation ：36.63 million CO2 equivalent tons (8 producers ）Special allocation: 0.32 million CO2 equivalent tons (3 producers 10 importers)

Upper limit, allocated value and actual value in Japan(mil.t-CO2)
▲10％
50.04
【Baseline(100%)】
45.04
37.64 39.29
37.93
▲40％
37.23
36.95 30.02
33.16
３4.94
28.50

2017

2019

▲70％
15.01

30.57
24.64

2023 2024

2029※ Baseline is calculated based on the average of actual value 2011-2013

▲80％
10.01
2034

▲85％
7.51
2036

5Up stream:Promoting Low-GWP Top-runner Products Fluorocarbon Emissions Control Act designates product categories, for which lower-GWP
refrigerants are available in the market.
 Based on the best available product (called “top-runner”), the target value (GWP) isdetermined in that product category with the target year for achieving that target value.
 Manufacturers and importers are required to meet the target GWP value for theirproducts by the target year.
DesignatedProductsHigh GWP

Index Related to Environmental Impacts

 A target value is determined based on thelowest GWP refrigerant available in the market.

TYPEa・Fluorocarbon Refrigerants
GWP = A(Large Size)

TYPEb

 Safety, cost, energy-saving capacity and otheraspects are taken into account.

(Medium andSmall Size)

Target GWPTYP
ECompanies are expected
to shift their products tothose with lower GWP
refrigerants.

・Fluorocarbon Refrigerants
GWP = Ba・Lower-GWP Refrigerants
GWP = C < A

TYPEb・Lower-GWP Refrigerants
GWP = D < B

Low GWPAt the Time of Target Setting

Targeted Fiscal Year6

Promoting Low-GWP Top-runner Products（as of this July) Target GWP values and target year have been determined for each product category.
 Taking into account the technological progress and safety assessment, product categories will be addedwith target GWP and target year in the future.
Specified Product Categories

Refrigerant Currently Used (GWPs)

Target GWP

Target Year

R410A (2090), R32 (675)

750

2018

R410A (2090), R32 (675)

750

2020

R410A(2090)

750

2023

R134a (1430), R245fa (1030)

100

2025

R410A (2090)

750

2025

R410A(2090)

750

2027

R410A(2090)

750

2027

R410A(2090)

750

2027

R134a(1430)

150

2023

R134a(1430)

150

202915002025

10020241502029

Residential Air-conditioners
Commercial Air-conditioners(a) Refrigeration Capacity less than 3 Tonnes (except Floor-types)(b) Refrigeration Capacity more than 3 Tonnes (except Floor-types)(c) Central Air-conditioners (Centrifugal Chillers)(d) Multiple-type air-conditioner for building use (those installedin new buildings or those with replacement of all refrigerant
piping, excluding those for use of cooling and heating at the sametime and those for use in cold district)(e)Reciprocating liquid chiller for air conditioning(f)Gas engine heat pump air conditioners(those installed in new buildings or those with replacement of all
refrigerant piping, excluding those for use of cooling and heating
at the same time and those for use in cold district)(g)Air conditioners for facilities(those installed in new buildings or those with replacement of all
refrigerant piping, excluding those for specific use such as for
those computers, those for use at medium temperature range, andall-in-one air conditioners)
Automotive Air-conditioners - Passenger cars only (except those for 11or more passengers)

Automotive air conditioners
・Automobile air conditioner for buses and trucks(automobiles that carries 11 people or more) and trucks (automobilesCondensing Units / Stationary Refrigeration Units (excluding thosecompressor with rated output of 1.5kW or less)

Refrigerator and Freezer using rigid polyurethane foam
Refrigerate and freeze equipment combined unit for commercial use(those that have refrigerator and freezer within housing)・Commercial refrigerator and freezer for commercial kitchen(Those where the refrigerant evaporates at above -45 degrees(3920), R410A (2090), R407C (1770), CO2 (1)HFC-245fa (1030),HFC-365mfc (795)
R134a(1430) R404A(3920) R410A(2090) R407C(1770)
CO2(1)

Celsius)
Vending Machine with a Refrigerating orFreezing Function using rigid polyurethanefoam

HFC-245fa (1030),HFC-365mfc (795)

100

2024

Centralised Refrigerators (only for new refrigerated warehouses
having effective volume of at least 50,000m3)

R404A (3920), Ammonia（1 digit value）

100

2019

Rigid Polyurethane Foam Stock Solution for residential use

HFC-245fa (1030),HFC-365mfc (795)

Rigid Polyurethane Foam Stock Solution for use other than residential us

HFC-245fa (1030),HFC-365mfc (795)

100

2020

Heat Insulating Materials (using rigid polyurethane foam)

HFC-245fa (1030),HFC-365mfc (795)

100

2024

Aerosol Spray Cans (except those requiring non-flammability)

HFC-134a (1430), HFC-152a (124), CO2 (1), DME (1)

100

2024

10

2019

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Achievement of Top-Runners
目標年を迎えた指定製品の達成状況
 All product categories which reached the target year have achieved the target GWP value.
 METI checked the achievement in other product categories in each target year.
 Lower target GWP value will be re-designated for already achieved product categories
after newly developed top-runner product becomes available in the market.
Product Categories

Target GWPValueTarget Year

Residential Air-conditioners

750

2018

Centralised Refrigerators

100

2019

Aerosol Spray Cans (Dust Blower)

10

2019

Refrigeration Capacity less than 3Tonnes

750

2020

Rigid Polyurethane Foam Undiluted
Liquid in Residential building

100

2020

Achievement• Weighted average GWP value for total category is 685.
• All 11 manufacturers have achieved the target value.
• Refrigerant has been replaced by HFC-32 (GWP675).
• Weighted average GWP value for total category is 1.62.
• All 4 manufactures have achieved the target value.
• Replaced by CO2 (1) or combination of CO2/NH3 (2).
• Weighted average GWP value for total category is 2.7.
• 19 out of 20 manufactures have achieved the target.
Remaining one has also achieved after the target year.
• Replaced by HFO (GWP1) or DME (GWP1)• Weighted average GWP value for total category is 687.7.
• All 6 manufactures have achieved the target value.
• Refrigerant has been replaced by HFC-32 (GWP650).
• Weighted average GWP value for total category is 17.3.
• 7 out 8 manufactures have achieved the target.
Remaining one has also achieved after the target year.
• Replaced by HFO (GWP<2) or H2O/CO2 (GWP1).

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Middle-stream: Inspection Obliged to Equipment Users

Equipment users are required to perform simple inspections for equipment at least once every 3months. Periodic inspections by experts should be performed for certain types of equipment asshown in the following table.

Remote monitoring systems, which can find leakage of fluorocarbons or its possibility by detecting
state value of temperature and pressure, etc. on a constant basis, have become common. In thelight of this circumstances, the systems could be used as a replacement for simple inspections
under the revised announcement of Fluorocarbon Emissions Control Act since August 2022.
Equipment category

Refrigeration equipment and freezer
equipment
Air conditioners

Equipment user

Rated output of motor used by compressor, or
output of engine driving compressor

Inspection frequency

Equipment of 7.5 kW or more

At least once per year

Equipment of 50 kW or more

A least once per year

Equipment of at least 7.5 kW but less than 50 kW

At least once every 3 months

Monitoring
equipment

Leakage
Operatingdata

Service engineer

Remote monitoring system

Abnormalvalue

Service station
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Middle-stream: Report on calculated amount of leaked
fluorocarbons
 Equipment users are required to report the leaked amounts of fluorocarbons to thegovernment. Such requirement is subject to users who leaked 1,000 or more CO2
equivalent tonnes per year.
 The reported information is disclosed by the government so that such users can selfmanage the fluorocarbon leakage properly while the disclosure raises their awareness.

Prefectural Governor andCompetent Minister for the placeof business

Notification ofaggregated results

・ METI
Announced by MOE
concerning report content

notification

Less than
1,000
CO2-eqtonnes・Leaked Amount(CO2 equivalentin total andeach amount byprefectures）

ReportCalculateleaked amount

Equipment Users

Filling and recovery
Certificate

Filling and Recovery
Operators

Data Processing
Center1,000 or more CO2
equivalent tonnes
per year of leak intotal

・Company nameand its location

Competent minister for the placeof business

Report to Gov.

Exempted10Government Supports for Low GWP Refrigerants
 METI and MOE respectively support development and introduction of lowGWP refrigerants as follows:- METI: Research and development on the next-generation low-GWP refrigerants.
- MOE: Financial support to low-GWP equipment for its introduction into the market.

Development Project on the Next Generation Refrigeration and Air-Conditioning Technologies,
and Assessment Methods (METI)
Budget: 500 Million Yen in FY2023 Time Period: 5 Years (2023-2027)• The goal is to establish risk assessment methods on candidatealternative refrigerants under industrial-academic cooperation. The resultsof the assessment are expected to be utilized for development of airconditioners.

Grant
Govern-ment

Contract

NEDO
FinancialAssistance (1/2)• Financial assistance is provided to private companies for developing lowGWP refrigerants and equipment technologies, which satisfy the balanceamong low greenhouse effects, energy conservation and safety of products.

UniversitiesandResearchInstitutes
PrivateCompaniesand Others

Project to Accelerate Introduction of Energy Saving-Type Natural Refrigerant Equipment forRealising Fluorocarbon-Free and Low Carbon Society (MOE)
Budget: 7.0 Billion Yen in FY2023 Time Period: 5 Years (2023-2027)

・Although technologies of an energy saving-type natural refrigerant toreplace fluorocarbons are available in some uses, introduction of thosetechnologies is limited due to high initial costs.
・The government supports introduction of natural refrigerant
equipment with high energy-saving capacity to realise fluorocarbonfree and low carbon society.

Grant

Govern-ment

Financial Assistance（1/3）

Nonprofit
Corporations

BusinessOperatorsetc.

11Alternative Refrigerants – High GWP to Low GWP
Stage

Low-GWP
alternatives areavailable or will beavailable soon

Low-GWP
alternatives withsome challenges on
its further
dissemination(e.g. cost reduction)

Low-GWP
alternatives are still
under development

Present Alternative
Refrigerants (GWPs)

Low-GWP Alternatives
Available or will be
Available

Home Freezers &Refrigerators[HFC-134a (1,430)]

Isobutane

Vending Machines[HFC-134a (1,430)][HFC-407C (1,770)]

CO2,
Isobutane, HFO-1234yf

Automotive Air Conditioners

HFC-134a（1,430）

HFO-1234yf

Ultra-Cold Freezers

HFC-23（14,800）

AirSectorLarge-scale Commercial
Freezers & Refrigerators
Medium-scale Commercial
Freezers & Refrigerators(e.g. Stand-alone Showcases)

HFC-404A（3,920）
HFC-410A（2,090）

Small-scale Commercial
Freezers & Refrigerators

HFC-404A（3,920）
HFC-410A（2,090）

Commercial Air Conditioners

HFC-410A（2,090）
HFC-32（675）Home Air Conditioners

HFC-32（675)

NH3, CO2
CO2Candidate alternatives areunder development※GWP: Global Warming Potential (A value indicating intensity of global warming impact, with reference to CO2 as 1)※HFC-407C: Mixed refrigerant of HFC-32, 125, and 134a (23:25:52)
HFC-404A: Mixed refrigerant of HFC-125, 143a, and 134a (44:52:4)
HFC-410A: Mixed refrigerant of HFC-32 and 125 (1:1)

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Thank you for your attention!

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