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Business
Japan seeks non-nuclear energy
By Julian Richardson in Tokyo, Japan richardsonj@jamaicaobserver.com
Wednesday, February 01, 2012
Japan expects to compile an eagerly anticipated energy policy review by summer, as the Asian nation grapples with running its first annual trade deficit in over three decades.
The country's new energy mix will revolve around lower dependence on nuclear power, energy conservation and more use of renewable energy, such as solar and wind, Noriyuki Shikata, Japan's deputy cabinet secretary for public relations and director of global communications, told journalists at the Ministry of Foreign Affairs offices in Tokyo on Monday.
"We are looking at all the cost comparisons," he said.
Japan's balance of trade is in the red for the first time since 1980. Official figures released last week show the country logging a 2.49 trillion yen ($2.79 trillion) trade deficit in 2011, partly due to a massive earthquake and subsequent tsunami which damaged the Fukushima nuclear power plant last year and forced the country to import expensive oil from the Middle East.
Nuclear power plants supplied 30 per cent of Japan's electricity before the March 11 natural disaster destroyed the cooling systems of the reactors - which convert energy stored in atoms into heat - resulting in explosions and meltdowns and triggered a worldwide health scare as persons became exposed to harmful radiation both directly and indirectly.
"Of course, because of the accident at the nuclear power plant, there is a nation wide debate about our energy policy," Shikata told reporters and editors from Latin America and the Caribbean.
The journalists were invited by the Japanese government to observe the country's progress for recovery from "3/11", as it's popularly called here.
"After 3/11, we have decided that we need to strengthen safety features of existing nuclear power plants and we are introducing extra precautions in the context of stress tests," Shikata said.
Of the 54 nuclear reactors in Japan, only five are currently operational.
More than 50 per cent of total electricity supply was projected to come from nuclear energy by 2030 under Japan's current energy policy. But these plans, which included building nine nuclear plants in 10 years, have been shelved, and the Japanese government hasn't ruled out the possibility of the country abandoning nuclear power altogether if existing plants do not pass the upcoming safety tests.
"Under the current situation, it is difficult to construct new nuclear power plants in this country but, at the same time, the government wishes to see if it is possible for existing power plants to resume their operations after checks," Shikata said. "If there is no resumption of nuclear power plants after regular checks by the end of April, we will not see any nuclear power plants being operated in this country."
But by no means is the fall in nuclear power being viewed as a 'death blow' to the Japanese economy, fueled by manufacturers such as Toyota and Sony. It all "adds up", especially taking into account the costs associated with safety measures to operate nuclear plants, says Shikata.
"Nuclear power generation was regarded as less expensive because we don't have to import lots of fuel from overseas, but now it is time for re-evaluation and cost assessment," he said.
Already, the country has implemented aggressive measures to cut its energy costs, even without a new official energy policy.
Last summer, the Japanese government passed a feed-in-tariff legislation allowing for power companies to purchase renewable energy at a fixed price as an incentive for renewable energy generation. Shikata said the country is also looking to "lead the international community" in energy savings (evidenced by how cold the Government offices are now in the middle of winter).
"Back in the 1970s (1973 and 1979) Japan suffered from two oil shocks and there was a view that the Japanese economy could collapse because of the hike in oil prices," Shikata said.
"Then Japanese automobile companies started producing fuel efficient (vehicles) and in the 1980s we saw companies invested so much in energy efficiency that they became competitive globally.
"So there is a window of opportunity in this adversity," he said. "This is the type of issue we need to tackle in this country, in partnership between the government and private sector."
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