Japan s s Initiatives in Combating Global Warming Japan s goals under the Kyoto Protocol: Reduce greenhouse gas emissions by 6% compared to 1990 Gover
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1 Initiatives of the t City Gas Industry y to Combat Global Warming The Japan Gas Association May 14, 2008
2 Japan s s Initiatives in Combating Global Warming Japan s goals under the Kyoto Protocol: Reduce greenhouse gas emissions by 6% compared to 1990 Government has formulated the Kyoto Protocol Target Achievement Plan Major initiatives under the Kyoto Protocol Target Achievement Plan 1. Keidanren Voluntary Action Plan Major industries are participating and have set CO2 emission reduction goals for each industry Strict follow-ups by the government 2. Initiatives related to city gas promoting wider use of natural gas, natural gas cogeneration, fuel cells, natural gas vehicles and high-efficiency gas water heaters, Area-based energy use; and other measures Developments in Japan regarding the Post-2012 Framework G8 Summit to be held in July in Toyako, Japan, is stimulating discussions on the introduction of emissions trading systems. Keen interest in the EU-ETS already in operation, and the Lieberman- Warner Bill currently under consideration in the U.S. 2
3 Initiatives of the City Gas Industry to Combat Global Warming (1) Reduce CO 2 emissions when producing and supplying city gas Scope of Keidanren s Voluntary Action Plan on the environment (2) Reduce CO 2 emissions at customer-side Gasification, calorific value adjustment Underground tank Raw material Example of LNG City gas production plant LNG vaporizer High-pressure pipeline Gas holder Medium-pressure pipeline City gas Low-pressure pipeline CO 2 emissions in fiscal 2006: 380,000 t-co 2 (Approx. 0.03% of total CO 2 emissions in Japan) Customers Residenti al Industry Commercial Transport More widespread use of natural gas Development and introduction of high-efficiency equipment Co-generation systems, fuel cells, Eco-Jozu, etc. Wider use of vehicles powered by natural gas Initiatives that will lead to a national movement Support for environmental education, etc. Using natural gas to reduce CO 2 emissions on both the supply and demand sides 3
4 Initiatives at the City Gas Production and Supply Stages 4
5 Initiatives at the City Gas Production and Supply Stages 1 Improve efficiency of city gas production by shifting its feedstock to natural gas -Entire industry promotes shift to natural gas- Efficiency of gas production from coal: 70% Fuel for coke ovens, etc., electricity for coal crushers, electrostatic samplers, scrubbers, pumps, etc. Efficiency of gas production from oil: 85-98% Fuel for reformers, oil heating furnaces, boilers, etc. Electricity for oil/water pumps, coolers, etc. Shift feedstock Building the infrastructures such as LNG tanks Customer-by-customer adjustment of combustion for all devices Switch at one supplier takes up to 10 years Efficiency of gas production from natural gas: 99% Electricity for LNG pumps, seawater pumps for vaporizers, BOG compressors, etc. FY2006: 9 suppliers switched Cumulative total: 188 suppliers switched unit:% FY1990 FY1997 FY1998 FY1999 FY2000 FY2001 FY2002 FY2003 FY2004 FY2005 FY2006 Raw material switch is progressing steadily LNG Indigeneous natural gas Petroleum gases such as naphtha Gas from coal 5.5 LPG Breakdown of feedstock used to produce city gas 5
6 Initiatives at the City Gas Production and Supply Stages 2 Promoting energy conservation even at production plants that have switched to natural gas - Further energy savings on top of high production efficiency ー More efficient equipment 1Reduce seawater volume by reengineering vaporizer panels 2Boost efficiency by improving seawater pump impellers 3Introduce seawater pump revolution control 4Introduce air-fin-type vaporizers that can be used even in cold climates, etc. Revised operating procedures 1Reduce vaporizer seawater spray volume 2Revise number of operating units 3Reduce heat loss by changing vapor line steam traps, augmenting insulation, etc. Greater use of LNG cold energy 1Enhance cold energy power generation by optimizing coolant composition 2Use cold energy in refrigerated storages, etc. Reduction in volume of LPG used Reduce volume of steam used in LPG vaporization 6
7 Results and Forecasts of Voluntary Action Plan Substantial reductions in CO 2 emissions achieved compared to fiscal 1990, the base year CO2 emissions (10,000 t-co2) CO2 emissions intensity (g-co2/m 3 ) (666PJ) CO2 emissions intensity City gas produced (production activity index) 349 (1,460PJ) Fiscal year 38 CO 2 emissions City gas produced Target (100 million m 3 ) Although demand for environmentally friendly city gas is expected d to increase, ongoing efforts to reduce CO2 emissions are predicted to enable achievement ent of the targets 7
8 Customer-Side Initiatives 8
9 Promoting Natural Gas Cogeneration Total installed kw figures are rising steadily on track to achieve 2010 target set forth in Kyoto Protocol Target Achievement Plan Installed capacity GW installation target of Kyoto Protocol 3.59 Target Achievement Plan: 4.98 million kw Reduction in CO 2 emissions resulting from 3.13 achievement of target: 11.4 million t-co 年度 FY Ongoing promotion of cogeneration and introduction of more efficient equipment 9
10 Wider use of cogeneration systems through a broader lineup, etc. Exhaust heat from power generation used for water heating, space heating and cooling, steam, and other purposes Improved power generating efficiency and development of compact units made an efficient use of natural gas cogeneration possible in areas where it had been difficult to introduce co-generation systems. Share of electricity in total energy demand (%) PEFC gas engines Convenience stores Residential Micro cogeneration Offices/stores Universities Fast food/ Hospitals/hotels restaurants Welfare facilities/ sports clubs Highefficiency gas engines Factories (Metals /machinery) Conventional CGS Factories (Paper/food) Gas turbines market (large demand for heat) ,000 10,000 Power generation output (kw) 10
11 Development and Use of High-Efficiency Equipment & Systems High-Efficiency Water Heaters Promote widespread use of latent heat recovery water heaters and gas engine water heaters, which conserve energy and reduce CO 2 emissions. Greater use of such equipment is part of the Kyoto Protocol Target Achievement Plan. Latent heat recovery water heaters Easy to install in all dwellings, including existing homes Gas engine water heaters for household use Home power generation + water heating using exhaust heat Energy saving rate: 13% CO 2 reduction rate: 13% Energy saving rate: 22% CO 2 reduction rate: 32% 11 Note: Energy saving rate and CO 2 reduction rate are comparisons with conventional products (Sources: Tokyo Gas, Osaka Gas) 11
12 Introduction of More Efficient Equipment - Promoting Widespread Use of High-Efficiency Water Heaters - Installation of high-efficiency water heaters is steadily increasing thanks to active promotion on track to reach 2010 targets for total number of units installed 10,000 units 万台 Targets and Actual Results (City Gas Only) 目標 Target 実績 Actual Eco-Jozu Energy savings: 13% CO 2 emission reductions: 13% 年度 FY ,000 units 万台 目標 Target 実績 Actual Energy savings: 22% CO 2 emission reductions: 32% 年度 FY The High-Efficiency Gas Water Heater De Facto Standard Study Group was established in November 2007 with the aim of making high-efficiency water heaters the de facto standard by
13 Development and Use of High-Efficiency Equipment & Systems Residential Fuel Cells Aim for further reduction of CO 2 emissions over the medium to long term by promoting the development and introduction of household-use fuel cells, the next step in home power generation. Residential fuel cell (PEFC*) initiatives Initiatives to improve power generation efficiency (SOFC*) Generation efficiency rate: 37% Energy saving rate: 32% CO 2 reduction rate: 45% Residential use (actual): 45% Industrial use (target): 67% (combined with GT) *Polymer Electrolyte Fuel Cell (LHV standard) *Solid Oxide Fuel Cell (LHV standard) 13 Large-scale trial project for fixed fuel cells ( ) FY2005: 480 units FY2006: 777 units FY2007: 930 units Results of large-scale trial project: LHV standard Generation efficiency rate: 37% Energy saving rate: 27% CO 2 reduction rate: 41% (Source: New Energy Foundation) SOFC Trial/Research Project (from 2007) Trial/research project launched following on from PEFC project, aimed at rapid commercialization full-scale Introduction after 2009 Aiming to $5,000/kW by
14 Initiatives Leading to a National Movement -Providing Information on Energy Conservation Energy-saving information via website/pamphlets Energy-saving information provided on Hints for Smart Living section of website. 30,000 copies of Ultra Energy- Saving Book distributed, outlining energy-saving behavior/appliances and reduction of CO 2 emissions. 860,000 leaflets produced and distributed for widespread use throughout the gas industry. (All in Japanese) Information on monthly gas meter reading slips Energy-conservation checks System whereby users can register for monthly emissions data, comparisons with similar households, etc. Approx. 30,000 members. Green monitoring scheme for remote gathering of energy usage data from offices, hotels, etc. and feedback to users. Support for energy-saving operation of equipment Monthly meter reading slips include data on gas usage in the previous month and the same month of the previous year Introduction of energy-look control panels for Eco-Will and Eco-Jozu systems, fuel cells, etc. Energy-saving navigation function helps users to efficiently conserve energy and gives daily/monthly data on matters such as volume of power generated. According to a survey of Eco-Will users, some 70% of customers think the panels have raised their awareness of energy conservation High-efficiency equipment promoted in conjunction with the Team Minus 6% campaign aimed at encouraging energy consumers to reduce CO 2 emissions by 1 kg per person per day. 14
15 Support for Environmental Education - Promoting eco-cooking cooking Recommending environmentally friendly food culture covering all aspects from shopping to cooking and disposing of waste Supporting environmental and energy lessons in schools Lessons on environmental and energy issues offered by guest instructors Sample initiatives Example of sessions run by gas utilities: 1,123 in fiscal 2006, with approx. 31,100 participants Tokyo Gas and JGA cooperating to expand the initiative through measures such as running instructors courses open to other gas utilities Sample initiatives Example of lessons offered by gas utilities: 3,813 in fiscal 2006, with 114,390 students taking part Earth-friendly seminars based on noodlecooking lesson Production of educational support materials for gas utilities in order to expand the initiative (Jointly produced with the Information Center for Energy and Environment Education) 15
16 Gas Vision 2030 Aim to realize the potential for reducing 48 million t-co2 by the following initiatives. 1 st commitment period Post-2012 Further low-carbon initiatives 1. Wider use of low-carbon energy 2. Development and use of high-efficiency appliances and systems 3. Promoting optimal energy usage CO 2 reduction 48 million t 4. Local production and consumption systems utilizing renewable energy 5. Use of area/network-based energy in cities Reduction CO 2 emissions (image) 6. Development of a local hydrogen network society Emissions
17 4. Local production and consumption systems utilizing renewable energy sources By using natural-gas cogeneration systems to compensate for fluctuations in energy output from renewable energy sources, it is possible to promote the widespread use of local energy production and consumption systems that utilize renewable energy sources. (R&D and business models are very important.) Improvement of total efficiency Demand adjustment function Electric power Wind power generation Sewage sludge / biomass generation Improvement of the security by the combination of plural renewable energy Cogeneration system Photovoltaic power generation Electric power Grid 17
18 5. Area/network-based energy use in urban areas Building an optimal energy system for each local community by combining different user demand patterns, and by promoting area- and network-based electric power and heat that are used by buildings/city blocks (or groups of industrial plants) within a given district. Current issues Low energy efficiency of buildings <Factors> Drop in efficiency due to operation at partial load Low efficiency of equipment installed Solutions Promote area- and network-based energy use by combining users demand. This will produce further gains in energy efficiency by: Avoiding partial-load operation Making it possible to introduce large-scale high-efficiency systems (distributed energy systems, etc.) Energy plant Equipment installed separately in each building Supply of electric power and heat 18
19 Summary Initiatives at the City Gas Production and Supply Stages (Voluntary action plan on the environment) Work to meet targets. If targets are achieved, CO 2 emissions intensity will be reduced by 86% and total volume of CO 2 emissions will be reduced by 59% compared to FY1990 figures. Customer-Side Initiatives Promote more widespread use of natural gas and installation of high-efficiency systems such as Eco-Jozu, Eco-Will and natural gas cogeneration. Commit to Gas Vision2030 and aim to realize the potential for reducing 48 million t-co2 Push ahead with initiatives that generate synergy for reduction of CO 2 emissions by contributing to the national movement, such as environmental education and diffusion of information on energy conservation. Using natural gas as the key, combat global warming from both the supply and demand sides 19
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