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POWER GENERATION AND ENVIRONMENTAL ISSUES: SOME JAPANESE EXPERIENCES Risto V. Filkoski, Ilija J. Petrovski University ”Sv. Kiril i Metodij”, Faculty of Mechanical Engineering, P.O. Box 464, 1000 Skopje, Macedonia

Abstract: Permanent increase of energy demands in the world and consequent intensified use of fossil fuels causes not only the exhaustion of energy resources, but also environmental problems such as irreversible change of global climate. The paper presents the general energy situation in the highly developed countries in the world, through the issues of energy supply structure, fuel import dependence, energy consumption per capita and available energy sources. The focus is put to some important directions of the energy management philosophy in Japan, as country completely dependent on import of fossil fuels in its power industry. A brief energy outlook, including the proved fossil fuel reserves in the most influenting countries, is given. Oversee on the measures that are considered by the Japanese power generation sector for overcoming the energy and environmental problems is given. Key words: energy, power generation, fossil fuel, GHG emission, environment 1.

INTRODUCTION

Tendency to improve the life quality leads to permanent increase of energy consumption in the world. Fast industrial development in many countries is also connected with growing demands for fossil fuels, which are the basis for the efficient energy supply. Enjoying the benefits of fossil fuels and, above all, electric power generated from them, incredible prosperity has been brought in many parts of the world in the last century and, in particular, in the last few decades. Around 85 % of energy is obtained from fossil fuels and about 7 % from nuclear fuel. Entire sales of fossil fuel industries in 1997 amounts up to 1.4 trillion US dollars, consuming great quantities of oil, natural gas and coal [1]. Simply, fossil fuels determined the mankind activity in the second half of the 20th century and the gigantic urban-style industries characterizing the modern world were brought by fossil fuels use. However, burning fossil fuels, of course, is not sustainable for the Earth. Basically, it is a reverse process against the natural process collecting CO2 and confining it safely into the Earth core as solid carbon very slowly through millions years. Therefore, we must be aware that by burning fossil fuels we are releasing the carbon back into the atmosphere very quickly. The world consumption of fossil fuels in the current rate causes disruption of delicate CO2 balance in the atmosphere, which will lead to disastrous climate change and global warming. The CO2 content has already increased from 280 ppm in 1750 up to 370 ppm in 2000 [1]. Pollution problems first became a wider social concern in the world in the 1950s with some catastrophic accidents in the United Kingdom, and in Japan in the 1960s with the development of heavy industries adjacent to urban centres. As countermeasures to these problems, governmental and private organisations, mostly in the industrialised countries, took steps to develop anti-pollution measures in their respective fields, by making special efforts to select low-pollution forms of energy. In the case of Japan, thanks to these measures, pollution

problems have been largely overcome and today the country boasts some of the world’s most advanced antipollution policies [1,2]. Since the electric power industry is playing a central role in these developments, it has given special priority to the specific environmental concerns of each region in the country. In establishing integrated operations from power generation to distribution, careful consideration is given to the characteristics of industries closely related to each region, and the most effective measures within equipment and operation are implemented. In addition, the industry has not only upheld the regulations and standards set by national and municipal governments, but has worked to develop and promote even more stringent measures for environmental preservation. 2.

OVERVIEW OF JAPAN POWER INDUSTRY

The electric power industry of the country comprises 10 privately operated independent companies representing the regions of Hokkaido, Tohoku, Tokyo, Chubu, Hokuriku, Kansai, Chugoku, Shikoku, Kyushu and Okinawa, Tab. 1 [2,3,4]. Each of these companies provides comprehensive power generation, transmission and distribution services. There are also two companies, the Electric Power Development Co., Ltd. and Japan Atomic Power Company that sell power generated at their facilities to the power companies. In addition, there are 33 publicly managed corporations, which are municipally owned and operated to provide wholesale supplies to electric power companies, 10 cooperative thermal power stations 47.1

50 Contribution, %

Total Generating Capacity 272,701 MW 10 Power Companies 200,428 MW - 73.5 % Self-Generated etc. 40,264 MW - 14.8 %

1980

40

2003 28.2

30

24.3

20

13.2

14.2

23.1 15.4

14.4

9.1

8.7

10

0.2

2.1

s er th O

H yd ro

N uc le ar

G as

C

oa

W holesale Companies 32,009 MW - 11.7 %

O il

l

0

Energy source

Fig. 1. Power generating capacity of Japan (end of fiscal 2004) [2-5]

Fig. 2. Electric power generation in Japan by energy source. Total: 1980 – 572,531 million kWh; 2003 – 1,037,670 million kWh [2-5]

Tab. 1. Outline of 10 major Japanese power companies (FY 2004) [2-5] Company

Hokkaido El. Power Co.

Max. Electr. Demand (MW)

Power Sold (in million kWh)

Employees

5,291

30,192

5,924

Power generating Capacity (MW) Hydro

1,226

Thermal

Nuclear

4,200

1,158

Wind

Total

-

6,584

Tohoku El. Power Co.

14,552

77,329

12,523

2,415

10,926

2,174

-

15,515

Tokyo El. Power Co.

61,499

286,741

38,360

8,521

36,995

17,308

1

62,825

Chubu El. Power Co.

26,426

126,663

16,771

5,219

22,370

4,997

-

32,585

5,389

26,874

4,752

1,814

4,400

540

-

6,754

Kansai El. Power Co.

30,470

144,886

22,478

8,186

17,807

9,768

-

35,761

Chugoku El. Power Co.

11,576

58,140

10,821

2,900

8,026

1,280

-

12,205

Hokuriku El. Power Co.

Shikoku El. Power Co.

5,686

27,211

6,016

1,143

3,696

2,022

1

6,861

Kyushu El. Power Co.

16,710

80,199

13,493

2,371

11,789

5,258

3

19,422

1,479 174.295

7,193 865,428

1,555 132,693

33,794

1,916 122,125

44,505

4

1,916 200,428

Okinawa El. Power Co. Total – 10 companies

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established by the electric industry and major power consumers (mostly in metallurgy) to sell power to investment companies and several small-scale power companies. The total power generating capacity in Japan at the end of fiscal 2004 was 272.7 GW, Fig. 1 [2-5]. The electric power generation in Japan by energy source is illustrated with Fig. 2 [2-5]. The changes in energy demand and GDP in Japan in the period 1965-2004 are depicted in Fig. 3 [3], showing specific situations, like two energy crises in the 70-ies and economy recession in the 90-ies, but also the effects of increased awareness for energy saving during the last decade. Japan’s energy demand peaked at 443 million m3 crude oil equivalent in 1979, but thereafter, with the second oil Fig. 3. Energy demand and GDP (1965-2004) crisis stimulating energy conservation, it declined annually in the following years. The growth rate from 1983 was relatively low, mainly due to factors such as the shift from high to low energy consumption industries in the manufacturing sector and the achievements in energy conservation programmes. 3.

BASIC ENERGY DATA AND COMPARISON WITH OTHER COUNTRIES

Resource-poor Japan is dependent on imports for 96% of its primary energy supply and even if nuclear energy is included, dependency is still at 84% [4,5]. Thus, the country’s energy supply structure is extremely vulnerable to supply disruptions. Based on information from OECD Energy Balances [2,5,6], comparative analysis regarding the primary energy supply, import dependency, energy consumption per capita and power generation by energy source for the G-7 countries* gives results that are presented in the Tables 2-4. Comparison of electric power production in these countries in 1980 and 2003 shows an average increase of approximately 69 %. Electric power consumption has been increasing due to the improvement and the maintenance of the production level and the higher living standards in all countries. However, due to the higher efficiency, most industries are getting less energy consumption per product unit. Primary energy consumption per capita in the industrialised countries has been also increasing, Tab. 4. At the same time, due to the limited resources, energy security Tab. 2. Primary energy supply and import dependency of G-7 countries [5,6] Country

*

Primary energy (mil. toe)

Import dependency

Population (million)

USA

2,281

29.1

291

Japan

517

84.5

128

Germany

347

61.6

82.5

France

271

50.7

59.8

Canada

261

-49.4

31.6

UK

232

-6.3

59.3

Italy

181

85.3

57.6

Tab. 3. Primary energy consumption per capita in the G-7 countries (in toe) [5,6] Country

USA, Japan, Germany, France, Canada, UK, Italy

3

1971

1990

2003

USA

7.67

7.72

7.87

Japan

2.55

3.60

4.14

Germany

3.93

4.48

4.21

France

3.17

4.01

4.54

Canada

6.55

7.52

8.24

UK

3.77

3.69

3.91

Italy

2.12

2.61

3.14

World

1.31

1.50

1.54

and growing concern towards the environmental problems, dependence on fossil fuels in those countries has declined over the past 20-25 years, which is particularly evident in Italy, France and Japan, although the use of natural gas as a primary energy source is on increase. Tab. 4. Share of various energy sources of G-7 countries (%, 2003 vs. 1980) [2,5] Coal

Country

Gas

Oil

Nuclear

Hydro

Others

Total, TWh

1980

2003

1980

2003

1980

2003

1980

2003

1980

2003

1980

2003

1980

2003

51.2

51.4

15.3

16.5

10.8

3.4

11.0

19.4

11.5

6.9

0.2

2.4

2,427

4,054

Japan

8.7

28.2

14.2

24.3

47.1

13.2

14.4

23.1

15.4

9.1

0.2

2.1

572.5

1,038

Germany

58.3

52.9

16.6

9.8

7.0

0.8

11.9

27.8

4.7

3.2

1.5

5.5

367.5

594.3 561.7

USA

France

27.2

5.3

2.7

3.1

18.9

1.5

23.8

78.5

26.9

10.5

0.5

1.1

256.9

Canada

16.0

19.3

2.5

5.8

3.7

3.0

10.2

12.8

67.3

57.5

0.3

1.7

373.3

586.9 395.9 283.4

UK

73.2

35.4

0.7

37.5

11.7

1.8

13.0

22.4

1.4

0.8

0

2.0

284.1

Italy

9.9

15.6

5.0

41.4

57.0

2.7

1.2

0

24.7

11.9

2.2

4.3

183.5

Tab. 5. Thermal efficiency of power generation in G-7 countries [2] Country

1985

1995

2003

USA

32.7

33.5

33.5

Japan

38.2

38.9

41.1

Germany

39.3

39.9

40.4

France

33.1

34.5

37.6

Canada

32.0

32.6

33.2

UK

32.9

36.2

36.0

Italy

37.1

38.6

40.6

Gross thermal efficiency of power generation in Japan has increased from 24.0% in 1956, 37.1% (1965), 38.2% (1985) to 41.08 in 2004, while transmission and distribution losses are reduced from 18.4% in 1956, 8.5% (1965) 5.8% (1985) to 5.2% in 2004. For comparison, the change of gross thermal efficiency of power generation in the G-7 countries in the last two decades is presented in Tab. 5 [2]. Proved reserves of fossil fuels in the world at the end of 2004 are presented in Tab. 6 [2,5].

0.479

0.1

6.5 3.5 2.3 1.4 78.5 8.6

-

-

-

-

114.5 12.6

92.4 10.2

6.2 3.3 4.6 2.6 -

R/P ratio (years)

12.3 6.5 3.9 2.4

World

2.4 1.3 23.7 14.4 -

Japan

15.7 8.3 1.4 0.9 -

Nigeria

18.3 9.7 2.9 1.8 -

India

Qatar

15.5 8.2 5.6 3.4 -

China

Kuwait

21.1 11.1 25.2 15.3 -

Australia

Iraq

41.8 22.1 6.2 3.8 -

Venezuela

United Arab Emirates

4.7 2.5 4.9 2.9 247 27.1

Iran

11.5 6.1 44.1 26.7 157 17.3

Saudi Arabia

USA

Oil, bil. kl,% N. gas, bil. toe,% Coal, bil. t,%

Russia

Tab. 6. Proved reserves of fossil fuels (end of 2004) [2,5]

-

189

40.5

-

165

66.7

0.359 0.07

909

167

On the basis of the actual energy situation, the Basic Law on Energy Policy Making, promulgated in June 2002, has three overarching objectives on energy supply and demand [4]: 1) Securing stable energy supply with well-balanced combination of power sources; 2) Ensuring environmental compatibility; 3) Increasing the role of market principles, which should be coordinated with the first two objectives. Some specific points regarding the Japanese power generating sector are listed below.  As it can be seen, except some small coal deposits, Japan has no fossil fuel resources and its energy sector completely depends on import of coal, natural gas and oil.  Today’s power generation is diversified by source, but the importance of coal, liquefied natural gas (LNG) and nuclear power is crucial. Favourable long-term state contract with Indonesia for supplying with natural gas, which is liquefied and transported by tankers, has played very important role in the last few decades.

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 





Operation of thermal power stations with high efficiency (including improved steam conditions) and reduction of power loss during transmission and distribution. Nuclear power generation is regarded as core of the best energy mix, offering energy stability on a long-term basis and stability that is superior to other forms of energy. It also has economic (favourable production price) and environmental advantages. It is preferred option to mitigate climate change as it emits significantly less CO2 over the entire plant lifecycle, including plant construction, operation and disposal. Japan has adopted an electric power market deregulation model on a step-by-step basis. In 2000 the retail market is partially liberalised to allow power producer and supplier to sell electricity to extra-high voltage users whose demand is approx. over 2 MW. From April 2005, the scope of liberalisation is further expanded to all high voltage users whose demand is over 50 kW. Full liberalisation, including residential customers, will be proactively discussed beginning in April 2007. Covering of electrical power demand: daily and seasonal peak demand, Figs. 4 and 5.

Fig. 4. Variations in monthly and daily electric power consumption [3]



Fig. 5. Example of power sources for covering daily power peak demand [4]

4.

Hydroelectric and nuclear power provide base load supply, while coal and LNG are major power sources for mid-range load supply. Oil-fired and pumped-storage hydroelectric power respond to peak demand variation and contribute to consistent stable supply of electricity. Relatively higher power rates, having in mind specific circumstances – an island country with no direct international competition, but with indirect competition through industry sector competitiveness in the international market.

ENVIRONMENTAL ISSUES – GLOBAL WARMING AND EFFORTS FOR PROTECTION OF THE ENVIRONMENT

There is currently considerable worldwide concern in environmental issues, such as global warming, acid rain, desertification etc. Figure 5 presents a comparison of CO2 emission share of some countries in the world [5]. Japan’s electric power consumption has tripled since the first oil crisis of the early 1970s, but CO2 emissions have merely doubled, Fig. 6 [4]. This means a reduction in CO2 intensity (CO2 emission per kWh of end user) of about two thirds of the previous figure, which is largely a result of expanded use of LNG and nuclear power, as well as the enhanced efficiency of thermal power generation. 5

Looking for solution to global warming, there are stringent 35 2 9 .6 CO2 emission reduction targets for 30 25 2 3 . 5 the energy sector. By the fiscal 2010 20 the aim of the Japanese power 13 . 7 15 industry is to reduce CO2 emission 10 6 .2 by 6 % and the emission intensity 5 4 .2 3 .5 2 .2 2 .2 1. 9 1. 8 1. 6 1. 5 1. 4 5 (emissions per unit of end-use 0 electricity) by approximately 20 % compared to the 1990 level, to about 0.34 kg CO2/kWh. To achieve these goals, two groups of CO2 control measures are provided [7]: Fig. 5. International comparison of CO2 emissions (2002). 1) Supply side Total: 24.1 billion tons CO2 [5] o Increased use of non-fossil energy sources, such as: expanded introduction and increased use of nuclear power and LNG thermal power generation sources; development and application of renewable energy sources (hydro, geothermal, solar, wind etc.); o Improved efficiency of power facilities: efficiency improvement of thermal power generation with combined cycle power generation, high-efficiency coal thermal power generation, supercritical steam generators etc.; reduction of transmission and distribution loss (high-voltage transmission); 2) Demand side o Energy conservation o Load leveling – promotion of loadlevel management through use of various measures, including regenerative systems (regenerative heat pumps). The international mechanisms for environmental protection, such as Montreal Protocol, Kyoto Protocol, Kyoto Mechanism etc., are permanently supported. Environment tax, already introduced in Finland, Sweden, Norway, Denmark, Germany, Italy and UK, is proposed by the Ministry of Environment (2004), but concrete action is not taken yet. Also, Japan’s electric power industry has a Fig. 6. Trend in Japan’s CO2 emission from power generation [4] long-standing commitment to technical development in the energy-environment sector, covering wide range of fields:  Energy management, energy saving and improvement of overall efficiency o Advanced combined cycle power generation, o Improved coal gasification combined cycle (IGCC) power generation, o Steam generators with supercritical parameters, o Power storage system, o Fuel cell power generation;  Environmental conservation and recycling o Technologies of CO2 recovery, sequestration and fixation, o Hydro-chlorofluorocarbon treatment technology, o New forms of natural and other energy sources

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Others

Australia

Mexico

France

Italy

R. Korea

Canada

UK

Germany

India

Japan

Russia

China

USA

%

40

-



Wind power: 924 units with approximately 1 million kW at JFY 2004; the target for 2010 is installed capacity of 3 million kW. - Solar energy (photovoltaic power): Installed solar power generation capacity at the end of 2003 was 860 MW in Japan and 1,810 MW in the world, what makes a contribution of 48% of Japan (Germany 23%, USA 15% etc.). - Geothermal power generation: Hatchobaru Geothermal Power Station – Kyuden is the largest in Japan (2x55 MW, double flash system), with two exploration wells, remotely monitored and operated (2 km), producing about 870 million kWh/year and saving around 200000 kl of oil annually. The total capacity of geothermal power stations in Japan is 529 MW [8]. - According to the Basic Law on Energy Policy Making, for instance, Kyushu Electric Power Co., Inc. has to generate or buy electricity by ”new energy”, equivalent to 1.35% of total sales in 2010 [2,9]. - Incineration of city waste is one of the energy and environmental priorities. International cooperation in energy and environmental issues.

CONCLUSION An overview of Japan power industry, with basic energy data and comparison with other countries is given in the article. The analysis shows that, with substantial and comprehensive approach, a country with minimum energy resources can create and manage reliable energy system. The resolution of global energy and environmental problems requires a combination of international efforts and also activities strongly rooted in each individual country and community. Hence, efforts by the electric power industry in addition to domestic measures must include international cooperation, such as transfer of technologies that facilitate efficient energy use and environmental preservation, as well as promotion of measures and activities for reduction of energy and resource consumption and environmental protection. Acknowledgement Gratitude to Japanese Government for opportunity to attend the three-month JICA programme “Energy Management for C&E European Countries 2006”.

REFERENCES [1] Fujita M.: Introduction to Environment Issues, Textbook in CD-ROM, JICA KIC, Kitakyushu, Japan, 2006 [2] Kengaku K.: Energy Situation and Environmental Issues, JICA, Kitakyushu Int. Techno-cooperative Association (KITA), Kitakyushu, Japan, 2006 [3] *** Energy and Environment 2005-2006, Japan’s Electric Power Industry in the World, The Federation of Electric Power Companies of Japan, Tokyo, 2006 [4] *** Electricity Review Japan 2005-2006, Federation of Electric Power Companies of Japan, Tokyo, 2006 [5] *** EDMC Handbook of Energy and Economic Statistics in Japan, Publ. by the Energy Conservation Center, Japan, Tokyo, 2006 [6] *** IEA Energy Statistics, International Energy Agency web site: http://www.iea.org [7] *** Principles and Measures 2003-2004, Federation of Electric Power Companies of Japan, Tokyo, 2003 [8] *** Introduction to Geothermal Power Station of Kyushu Electric Power Co., Inc., Kyushu Electric Power Company, Inc., Fukuoka, 2000 [9] *** Kyushu EPC, Profile 2005, Kyushu Electric Power Company, Inc., Fukuoka, 2005 [10] *** Statistical Handbook of Japan 2004, Statistics Bureau, Ministry of Public Management, Home Affairs, Posts and Telecommunications, Tokyo, Japan, 2004

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