The Response to Energy and Environmental Issues in the 21 Century

1. Introduction

2. Three 'Ds' Prescription for the Solution of Problems

The second 'D' stands for 'Decoupling', which aims at separation energy demand from economic growth. Specifically, this involves the improvement of energy efficiency, in other words, the promotion of energy conservation. The recovery and reuse of waste heat from industrial and urban facilities, the improvement of insulation in buildings and pipelines, and the lowering of loss factors for energy conversion and transmission are all categorized in this prescription.

Figure 1 shows the change in primary energy supply as per unit GDP over the years. As is apparent here, almost all the industrialized countries have made around 30% improvement in energy efficiency since the first oil crisis. It is important for us to share this technological developments with our friends in developing countries.

The third, 'Decarbonization', refers to the need to dissociate carbon contents from energy sources which are still required after the practice of aforementioned two prescriptions.

In Figure 2, the horizontal axis shows the proportion of non-fossil fuels for power generation while the vertical axis indicates the CO2 emissions(in carbon equivalent) per unit electricity generation (kWh). The figure clearly shows that there is a strong inverse correlation between these two factors. In terms of decarbonaization in electric sectors, Sweden shows the best performance, because of its higher dependence on hydroelectric(42%) and nuclear power(53%). Swedish electric sector generates 95% of its electricity from non-fossil fuels and , as a result, the CO2 emissions per unit electricity generation is extremely small and counts only 0.01kg-C/kWh. France shows the second best performance and its electric sector generates nearly 80% of its electricity from nuclear power. Including the hydroelectric power, French electric sector generates 93% of its electricity from non-fossil fuels. Canada ranks the third due to a large share of hydroelectric power(62%)in its generation. It has the Canadian-type nuclear reactor called 'CANDU(CANada Deuterium oxide-Uranium)reactor'. Including the nuclear power, Canadian electric sector generates nearly 80% of its electricity from non-fossil fuesls.

The question now becomes, what direction should we take into the future? I would like to suggest to utilize renewables such as the hydro and wind power where these energy is available, to use nuclear power where it is safely and reliably controlled. In any case the important thing is to somehow or other increase the proportion of non-fossil fuels or power generation in the future.

Figure 3 presents a breakdown of the degree of contribution of efforts by an electric company to reduce CO2 emissions. The nuclear power generation alone can hardly solve the global environmental problems, however, it is clearly difficult to make any significant progress without nuclear power generation.

In addition to the scheduled development of nuclear power generation as an effort for the betterment of energy and environmental issues, we have been actively promoting various measures for the development and spread use of renewables and energy conservation. These efforts have been reinforced by the governmental policies for the market developmentt, easing of regulation, and support for the technical development of renewables; the establishment of standards for certain facilities, preferential treatment for the energy saving technology, and also support for the technical development of energy conservation.

3. Suggestions for the International Cooperation against Global warming for the Year 2000 and beyond.

The detailed objectives for the year 2000 and beyond and domestic policies and measures are being discussed under the Conference of Parties for the UN Framework Convention on Climate Change. I would like to make a few comments on these issues.

[ Ideas for the Setting of Objectives]

From thse points of views, the quantified target figures for the emissions of GHGs such as CO2 should not be prescribed in the Framework Convention with legal binding force even after the year 2000. Rather, I believe that a more realistic approach would be to place an emphasis on the study of policies and measures along with the lines of a "minimum regret policy".

[Specific Examples of the Policies and Measures]

(2) For decoupling, we would work to reduce the correlation between energy consumption and GNP, between CO2 emissions and energy consumption and between CO2 emissions and power generation.

(3) Decarbonizaion would be attained by the expansion of share of renewables and such non-fossil fuels like nuclear power in the total power generation.

I think it reasonabe to set these measures as common voluntary objectives for the countries and various entities throughout the world. I would also like to suggest to develop a mechanism which reviews and reflects the past achievement and future efforts in the non-binding GHGs objectives, if specified levels in the aforementioned measures have already been achieved in some countries.

[A Mechanism for International Cooperation]

(1) The New Earth 21 Project

The New Earth 21 Project(Figure4) is a long-range international projedt proposed by the Japanese Government. It suggests to establish an international mechanism which positively takes into account technical and financial contributions in the research and development and the promotion of acquired expertise.

(2) CTI(Climate Change Technology Initiative)

Viewed from a global perspective, technology is a common resource and asset. It is important to make breakthrough by innovative technology from a long-term point of view. I recognize that developed countries are expected to play leading roles in establishing mechanisms for the international technical research and development such as Climate Change Technology Initiative(CTI).

(3) JI/AIJ(Joint Implementation/Activities Implemented Jointly)

The 'Joint Implementation' prescribed in the Framework Convention is a method of maximizing the effect of investment and an effective way of transferring technology and know-how from developed to develoing countries. I recognized it useful to promote AIJ(Activities Implemented Jointly)for the future practice of Joint Implementation.

I would like to suggest to study the development of mechanism which allows first to deposit individual achievements of GHG reduction in the world account and then to enable participating countries to keep track of their achievements through the international certification processes and to make it reflected on their evaluation of past achievements. Of cource, the mechanism works with the consent of participating developing countries and also required the supplementarity and predictability of the transferred funds, technology and know-how.

Finally, let me introduce the Keidanren Global Environment Charter. Keidanren(Japan Federation of Economic Organization) established the Keidanren Global Environment Charterin 1991 as an effort to deal with the pressing global environmental problems. The charter incorporates basic philosophy and specific action guidelines for its member companies and urges their voluntary and active practice against enviromental　problems. In response to the charter, many companies have launched their voluntary action programs and have started the practice against environmental problmes.