The 36th Policy Recommendations of The Japan Forum on International Relations

Japan’s Energy Strategy in the Age of Globalization
As energy is the foundation of both state and society, it is indeed
a critical concern for any nation to secure it stably. Therefore,
energy issues must primarily be addressed from a strategic point ofview. The serious accident at TEPCO’s Fukushima Daiichi nuclear
plant, hit by the giant tsunami caused by the March 11 Great East
Japan Earthquake, however, has heightened negative reactions tonuclear power in Japan, prompting some to leap straight to a“denuclearization first” conclusion without calm discussion onenergy security strategy.
It goes without saying, of course, that best efforts should be made to improve thesafety of nuclear power plants in the wake of this serious accident, and there arecertainly grounds for discussing energy resources, including the pros and cons ofnuclear plants, and the modalities of the power industry. Ensuring safety is vital. Yet
such discussions should be accompanied by, and combined with, strategic deliberations on energy security. We need to be aware that energy resources are supplied via an
increasingly integrated and unified global market, and our discussions should thus
examine issues from the perspective of “Japan in the world.” Given the rapid economic
expansion of emerging and developing countries and the growth of the world population, expected to reach 9 billion in 2050, it is highly likely that energy supplies will
become strained in the foreseeable future. We need to face up to the fact that Japan isparticularly resource-poor and has an exceedingly low rate of energy self-sufficiency.
Accordingly, a major goal of energy strategy should be procuring a reliable energy
supply at feasible costs and risks. The world is highly dependent on oil and gas supplies
from the Middle East for its energy resources. Hence instability in the Middle East thatthreatens oil producers’ supply capacities, or at maritime choke points such as theStraits of Hormuz and Malacca on routes connecting oil producing to consuming
countries, could directly cause disruptions in the world energy supply. Thus, it is important to secure peace and stability in the Middle East while trying to increase supplies ofvarious kinds of energy from other regions. Regions
outside the Middle East with vast energy resources
include Russia, Australia, North America, Central Asia
and Sub-Saharan Africa. However, careful handling isrequired here since, apart from Australia and North
America, resource nationalism or the use of resources
as a diplomatic card remains a risk. Russia, having not
ratified a peace treaty with Japan yet, could hardly besaid to be well-prepared for any full-scale cooperation
with Japan.
Such geopolitical conditions pertinent to energy as
described above might be altered substantially by the“shale gas revolution” originating from the US andspreading its repercussions globally. In the US andCanada, technological advances have rapidly madenon-conventional gas and oil sources such as shale gas,
shale oil and oil sands commercially viable. As aresult, the US is even planning to export natural gas.
This will not only evoke changes in Asian andEuropean gas pricing, but may relativize the positionsof Russia and the Middle East as energy suppliers. If
the geopolitical center of energy were to shift to politically stable democratic countries such as the US andCanada, the global energy security landscape wouldimprove significantly.
However, it is too optimistic to speculate that the“shale gas revolution” will immediately resolve global
energy problems because many technologicalchallenges have yet to be resolved. To avoid further
dependence on fossil fuels, the use of which entails alarge environmental load, there is no other choice froma short- and medium-term perspective but to construct
a comprehensive energy security system based on thebest mix of more economical renewable energy andsafer nuclear energy. It must not be forgotten that ourcountry must choose from among tightly limited
options for its energy strategy.
It is worth noting that the mainstream of the world
opinion – with the exception of Germany, Switzerland,
Italy and other countries that are successfully collaborating internationally in power transmission and otherregards – has not turned negative on the use of nuclear
power even after the March 11 Fukushima disaster.
With the lessons of the March 11 nuclear accident in
mind, major Western countries such as the US, the UKand France continue to operate existing nuclear
reactors or have given the green light for new reactor
construction while improving the levels of reactor safety
and protection. Japan’s neighbors, China and SouthKorea, as well as many emerging economies, such as
Vietnam, India and Turkey, remain committed to apolicy of actively promoting the use of nuclear power tomeet their rapidly growing energy demands. Even theUnited Arab Emirates (UAE) and other Middle Eastern
oil producers have been deciding or planning tointroduce nuclear power plants in view of the possibilityof crude oil exhaustion in the future. Needless to say,these moves are also linked with global efforts to prevent
global warming. Mindful of all of these points, we offer
the following 10 policy recommendations on the energy
strategy that Japan should adopt and implement.
June 2012

Also signed by

HAKAMADA Shigeki

IMAI Takashi

MATSUI Akira

SAITO Shoji

SHIMIZU Yoshikazu

TSUNODA KatsuhikoVice-Chairman of the Policy
Council of JFIRHANDA Haruhisa

IKEDA Sogo

MIYAWAKI Raisuke

SAKAMOTO Masahiro

SUZUKI Keisuke

UCHIDA Tadao

Superior Fellow, JFIR

former Diet Member

Journalist

SAKONJO Naotoshi

SUZUKI Teiichiro

UNO Kimio

Chairman, ATOX

Professor Emeritus, Keio University

SAKUTA Masaaki

SUZUKI Yoshio

URANO Tatsuo

former Diet Member

Professor Emeritus, Nihon University

TAIDA Hideya

WATANABE Mayu

Professor, Akita International Univ.

Executive Director, JFIRTAJIMA Takashi

WATANABE Toshio•YOSHIDA Haruki

Yoshida Labo for Econ. and Industry•Members of the Policy Council

AICHI Kazuo

Prof., Univ.of Niigata Prefecture
Chairman, Worldwide Support forDevelopment

HARA Satoshi

HASEGAWA Kazutoshi

ISHIGAKI Yasuji

ASAKAI Kazuo

HASHIMOTO Hiroshi

The Center for Research on
Comparative CulturesENDO Koichi

Professor, Takushoku University

FUKUSHIMA Akiko

former Ambassador to Singapore

HATAKEYAMA Noboru

Professor, National Defense Academy

KAWAI Masahiro

HIRABAYASHI Hiroshi

KINOSHITA Hiroo

Vice President, JFIRHIRAIZUMI Wataru

FUNADA Hajime

HIRONO Ryokichi

Fellow, Eurasia 21 Research Institute

KAMIYA Matake

Chairman, Japan Econ. Foundation

Researcher, Aoyama Gakuin Univ.

FURUSAWA Tadahikoformer Ambassador to Finland

Dean, Asian Development BankInstitutePresident, Kajima Institute ofInternational Peace

former Diet Member

INOUE Akiyoshi

Prof., Kyoto Univ. of Foreign Studies

Japan Forum for Strategic Studies

ASOMURA KuniakiProfessor, Kokushikan University
Board Director, Executive Adviser,Sanyu Appraisal Corp.

Vice President, Japan-Korea
Cooperation Committee

Visiting Professor, Musashi University

Chairman, JFIR

former Ambassador to Kazakhstan
former Advisor to the Prime Minister

NABESHIMA Keizo
Journalist

former Vice Admiral, Japan MSDF

NAITOH Masahisa

Advisor, Institute of Energy Economics

NISHIMURA Shingo

former Ambassador to the EU

KURODA Makoto

Professor Emeritus, Nihon University

SAKURADA Jun

former Diet Member

OGASAWARA Toshiaki

Chairman, Japan Times / Nifco Group

OGAWA Hajime

Professor, Toyo Gakuen University

SATO Yukio

Vice Chairman, JIIA

Prof., Bunka Gakuen University

Japan Small & Medium Enterprise Corp. OHTA Masatoshi

KIMURA Takayuki

former Advisor, Mitsubishi Chemical

former Ambassador to South Africa

OHYA Eiko

SAWA Hidetake
CriticSHIDORI Gakushu
Commentator

Columnist

SHIMADA Haruo

former President of a company

former Ambassador to Canada

TAKAHARA Akio

YAGUCHI Toshikazu

TAKAHASHI Kazuo

YAYAMA Taroformer Professor, Int’l Christian Univ.

TAKIZAWA Saburo

Professor, Toyo Eiwa University

President, Center for Information on
Security Trade Control

ORITA Masaki

Professor, Chuo UniversityPresident, Chiba University ofCommerce

TAKUBO Tadae

ICHIKAWA Isao

MANO Teruhiko

SAITO Naoki

SHIMIZU Minoru

TSUKASAKI Kimiyoshi

Financial Commentator

Prof., Yamanashi Prefectural Univ.

(Honorary Adviser, The Japan Times

Chancellor and President, Takushoku
University

Professor, The University of Tokyo

Professor Emeritus, Seikei University
Auditor, JFIR

former Ambassador to Uruguay

President, Biru Daiko

Political Commentator

YUSHITA Hiroyuki

former Ambassador to the Philippines

Professor Emeritus, Kyorin University
Professor, Kurume University(In alphabetical order)

2-17-12-1301, Akasaka, Minato-ku, Tokyo, 107-0052
Tel: 03-3584-2190
E-mail: info@jfir.or.jp
URL: http://www.jfir.or.jp/) Fax: 03-3589-5120•Signed by
Chairman of the Policy Council of JFIRITO Kenichi
President, Japan Forum onInternational Relations

The Policy Recommendations
1. Take Positive Action to Enhance theGlobal Energy Security Environment
2. Seek to Form an “East Asian Energy
Cooperation System”
3. EnsureStableEnergySupplythrough EPA and FTA
4. Pursue Further Proactive Energy
Conservation Efforts and Disseminate These Globally
5. Take Advantage of the US-Originated“Shale Gas Revolution” to Promote
Internationalization of the Natural
Gas Market
6. Effectively Utilize Nuclear Power
Stations While Making Utmost
Efforts to Enhance Their Safety
7. Make Continued Contributions to theInternational Community in Pursuitof the Peaceful Use of Nuclear
Energy by Enhancing and Maintaining the Safety of Nuclear PowerStations
8. Steadily Promote the Utilization ofRenewable Energy
9. Cooperate in the Peaceful Use ofNuclear Energy as a Means of Reducing Greenhouse Gases
10.Continue and Step Up Efforts toDevelop Thermonuclear Fusion