## Table 4-2-1 Fundamental Principles of Innovative Energy and Environmental Strategies

the flaws and vulnerabilities in the energy system and to respond to demands for securing a safe and stable energy supply, energy efficiency, and environmental friendliness.

Based on the Guidelines on Policy Promotion approved in a Cabinet meeting in May 2011, the Energy and Environment Council was established in June of the same year as a subcommittee in the Key Government Panel on New Growth Strategies (the council is also defined as a subcommittee of The Council on National Strategy and Policy, inaugurated in October 2011). The Council aims to formulate an Innovative Strategy for Energy and the Environment by summer 2012, after verifying the costs associated with initiating nuclear power generation, and after conducting a review from the ground up of the modality of nuclear policy and scenarios for reducing dependence on nuclear power generation, while at the same time considering future anti-global warming efforts as being inseparable from this process.

In July 2011, an intermediate summary was published in preparation for formulating an innovative energy and environment strategy. It indicated three fundamental principles for policy formulation: achieving a new energy mix; achieving a new energy system; and forming a national consensus (Table 4-2-1). Based on the summary, work to get back to basic principles is now being implemented from different perspectives and standpoints by the Energy and Environmental Council, the Japan Atomic Energy Commission, the Advisory Committee on Energy and Natural Resources, and the Central Environment Commission.

In addition, the Committee for Studying Costs and Related Topics, which is a cross-ministry organization, verified the costs of power sources including nuclear

Figure 4-2-6 Verification of Costs for Power Sources other than Nuclear Power Generation

(Utilized capacity[%]/years in operation[years])

Source: Basic Principles-Towards a Proposal Defining Options for and Strategy for Energy and the Environment created from Energy and Environmental Council on December 21, 2011 by Ministry of the Environment

power. The cost estimation was performed in consideration of the cost of responding to accidents and risks, the cost of measuring carbon dioxide emissions, and so-called sociological expenses (e.g., policy expenses), in addition to cost estimations as of 2030. As to renewable energy, the estimation reflects the volume efficiency of renewable energy, the potential for technical innovation, increasing fuel costs needed for thermal power, and the increasing cost of implementing measures to cope with carbon dioxide problems. According to the report published in December 2011 by the Committee for Studying Costs and Related Topics, all power sources have their strengths and limitations, and one or more scenarios can be realized (Figure 4-2-6).

In December 2011, the "Basic Principles – Towards a Proposal Defining Options and Strategy for Energy and the Environment" were determined so as to indicate options for innovative energy and environmental strategy. These principles indicated a modality for consideration and points for deliberation when proposing options for nuclear policy, the energy mix, and combating global warming, based on the report prepared by the Committee for Studying Costs and Related Topics, as well as on a review of related institutions. Based on these principles, the Energy and Environmental Council plans to indicate strategy options in spring 2012 for formulating an energy and environmental strategy by the summer of this year, after holding deliberations with full participation by the people of Japan.

The subcommittees for the global environment, such as the Japan Atomic Energy Commission, the Advisory Committee on Natural Resources and Energy, and the Central Environment Commission, plan to formulate proposed options for nuclear energy policy, the energy mix, and anti-global warming measures to be announced at the meeting. Also, the core initiative for reconstructing Japan, the Green Growth Strategy, is expected to be formulated in summer 2012 at the Energy and Environmental Council.

## 4 Japan's Outstanding Cutting-Edge Low-Carbon Technology

Thus far, this Report has provided an overview of future medium- to long-term approaches, including the international trend towards a low-carbon society and domestic anti-global warming measures. Green innovation is thought to be the key to achieving a low-carbon society, which suggests the potentially enormous contribution that Japan's world-leading low-carbon technology can make to GHG reductions and energy conservation on a global scale. This section describes the following specific global contributions: (1) technology to measure the current status of global warming; (2) technology to reduce GHG emissions; (3) technology to generate electricity using renewable energy; and (4) technology to accumulate reserve electricity.

(1) Approach from Space: IBUKI Greenhouse Gas Observation Satellite (GOSAT) — Developing Technology to Measure the Global Environment

Global warming is one of the urgent challenges we face as human beings. Technologies to measure carbon dioxide concentration worldwide and accurately understand carbon dioxide generation and carbon sinks are essential for implementing specific measures to mitigate and adapt to climate change.

Carbon dioxide concentration is now observed at about 300 locations around the world. However, since observing carbon dioxide behavior requires highly advanced equipment and technologies, developing countries generally have fewer observation points. Africa and South America are literally blind spots in terms of carbon dioxide observation. Moreover, performing observations from stations at fixed points is probably insufficient from the outset, given that Japan alone has 1,000 or more observation points as part of its Automated Meteorological Data Acquisition System (AMeDAS). Therefore, despite its universality, the behavior of carbon dioxide (e.g., its global distribution, the volume generated, and where and to what extent this volume is

Figure 4-2-7 IBUKI (exterior view) and Regional Carbon Dioxide Sinks and Emissions Data in July 2009 as Estimated from Observation Data

Source: Japan Aerospace Exploration Agency (JAXA)