Energy in Japan
Initially, Japan relied heavily on coal, which accounted for over 80% of its energy needs in the 1950s, fueling its rapid industrialization and supporting its economic recovery.
However, by the late 1950s and early 1960s, Japan shifted towards oil due to its cost-effectiveness, higher energy density, and the challenges posed by domestic coal supply disruptions.
The 1973 oil crisis marked a turning point, exposing Japan’s vulnerability to external supply shocks and triggering efforts to diversify its energy sources.
This period saw the emergence of liquefied natural gas (LNG) as a viable alternative, valued for its lower environmental impact, flexibility, and increasing global availability.
[8] Japan's rapid industrial growth since the end of World War II doubled the nation's energy consumption every five years into the 1990s.
[23] Crude consumption further declined during first half of 2020 to 303/141 = 2.15 million bpd, but that figure probably doesn't include refined products that are directly increasingly imported rather than converted.
This promises to radically change the traditional JCC (crude oil) based pricing system in Japan, but also potentially in the Pacific Basin as a whole.
Japan holds the largest LNG storage capacity in the world, estimated at 425.1 billion cubic feet, which plays a critical role in managing seasonal demand fluctuations and potential supply disruptions.
[27] Japan's engagement with Middle Eastern nations, particularly Qatar, has played a crucial role in shaping its liquefied natural gas (LNG) imports and energy security.
Following the adoption of LNG in the 1960s, Japan's shift towards cleaner and cost-effective energy sources has led to long-term partnerships with Gulf states.
Qatar, home to the world’s largest non-associated gas field, became a dominant LNG supplier to Japan in 1997, with agreements prioritizing reliability, cost optimization, and integrated supply systems.
[18] Government targets aimed to reduce that proportion to a quarter through closure of older, less efficient coal power plants.
As part of this initiative, there are plans to close or suspend about 90% of inefficient coal-fired power plants, which amounts to approximately 100 facilities, thereby reducing Japan’s total installed coal capacity by about 40%.
[35] Following Eisenhower's Atoms for Peace speech, the United States helped Japan develop their nuclear power program.
When Japan decided to embark on the nuclear power field, it imported technology from the United States and obtained uranium from Canada, France, South Africa, and Australia.
[37] During the 1980s, Japan's nuclear power program was strongly opposed by environmental groups, particularly after the Three Mile Island accident in the United States.
This caused much uncertainty and fear about the release of radioactive material, as well as highlighting the ongoing concerns over seismic design standards (see Nuclear power in Japan §Seismicity).
[39] On 16 June, Prime Minister Yoshihiko Noda ordered the restart of Ōi nuclear plant's reactors number 3 and 4, saying that people's livelihood needs to be protected.
[37] This reverses a decision by the previous Democratic Party, the government will re-open nuclear plants, aiming for "a realistic and balanced energy structure".
[54] One initiative the Japanese government has implemented in order to boost the amount of renewable energy produced and purchased in Japan is the feed-in tariff scheme.
[55] On 3 July 2018, Japan's government pledged to increase renewable energy sources, including wind and solar, from 15% to 22–24% by 2030.
[34] The country's main renewable energy source is hydroelectricity, with an installed capacity of about 27 GW and a production of 69.2 TWh of electricity in 2009.
[71] Development of new geothermal power stations essentially stopped since the mid 1990s, mainly due to the strong resistance from local communities.
Most of the potential sites are located in government-protected areas and in tourist destinations, thanks to the presence of traditional hot springs or onsen.
Estimates put the total capacity potential of geothermal power at 23 GW, the third largest amount in the world after the United States and Indonesia.
[72] As of September 2011, Japan had 190 generators attached to municipal waste units and 70 independent plants using biomass fuel to produce energy.
[76] In 2014, Japan ranked fifth in the world by electricity production, after the United States, China, Russia, and India with 934 TWh produced during that year.
[78] In 2019, Japan's net electricity generation decreased nearly 4% from the 2018 level as a result of warm winter weather and lower industrial output.
Japan had 282 GW of total installed electricity generating capacity in 2010, the third largest in the world behind the United States and China.
[95] The grids are connected together by three frequency converter stations (Higashi-Shimizu, Shin Shinano and Sakuma), but these can only handle 1 GW in total.
