GX Decarbonized Power Supply Law Approved by Cabinet, New Rule for Increasing Solar Panels
The Ministry of Economy, Trade and Industry announced on February 28 that the GX Decarbonized Power Supply Law was approved by the Cabinet and submitted to the 211st ordinary session of the Diet currently in session.
It will be a bill that unifies five revision bills, including the Atomic Energy Basic Act, Electricity Business Act, Reactor Regulation Act (Reactor Regulation Act), Spent Fuel Reprocessing Act, and Renewable Energy Special Measures Act. The official name is "Bill for Partial Revision of the Electricity Business Act, etc. for Establishing an Electricity Supply System toward Realization of a Decarbonized Society."
Responding to the turmoil in the international energy market caused by Russia's invasion of Ukraine and the tightening of domestic power supply and demand, a green transformation (GX) is required, and a stable supply of electricity is required while promoting the use of decarbonized power sources. It is necessary to develop a system to ensure Therefore, the relevant laws will be revised based on the "Basic Policy for Realizing GX" decided by the Cabinet on February 10.
The "Electricity Business Act" and the "Act on Special Measures Concerning the Promotion of Use of Renewable Energy Electricity (Renewable Energy Special Measures Act)" were revised to promote the maximum introduction of renewable energy that coexists with the local community. As an environmental improvement for system development that contributes to the introduction of renewable energy, a new system will be established for the Minister of Economy, Trade and Industry to certify transmission line development plans that are particularly important from the perspective of ensuring stable supply.
Of the development plans approved under the new system, those that contribute to the promotion of renewable energy use will receive grid subsidies (renewable energy levies) from the start of construction. It will be possible to receive loans from the Organization for Cross-regional Coordination of Transmission Operators (OCTO) for the maintenance of transmission lines related to the approved development plan.
In order to promote additional investment to maximize the use of existing renewable energy, in order to encourage early additional investment (renewal/expansion) related to solar power generation facilities, we will promote additional investment on the premise of coexistence with the community and smooth disposal. Establish a new system to apply a new purchase price that is differentiated from existing parts Consider lifting the ban! There are also four hurdles to hiring).
Image of price change due to review of current rules when solar cell output increases
Image of price change due to review of current rules when solar cell output increases
(Source: Ministry of Economy, Trade and Industry)
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In order to strengthen business discipline for the introduction of renewable energy that coexists with the local community, the primary support for businesses violating related laws and regulations is provided by the feed-in tariff system (FIT) and feed-in premium (FIP). Introduce reserved measures. If the violation is resolved, the business operator will be encouraged to make early improvements by allowing the recovery of a considerable amount, and if the violation is not resolved, the government will take measures to order the return of the support amount.
In addition, we will add a requirement to notify the surrounding area of the details of the project in advance to the certification requirements for the renewable energy power generation business plan (also applicable to business transfers). Obligation to supervise subcontractors and thorough compliance with relevant laws and regulations, including subcontractors.
In addition, the Atomic Energy Basic Law, the Law Concerning Regulation of Nuclear Source Materials, Nuclear Fuel Materials and Nuclear Reactors (Reactor Regulation Law), and the Nuclear Power We will also revise the Law Concerning the Implementation of Reprocessing of Spent Fuels in Japan (Reprocessing Law). Specifically, the Electricity Law will stipulate the operating period of nuclear power plants, which was stipulated in the Reactor Regulation Law. The operating period, which has been set at 40 years in principle and 60 years at maximum, will be extended only for periods when the plant is suspended due to a safety review by the Nuclear Regulation Authority or a provisional disposition order by the court. This makes it possible to operate for more than 60 years.
