Energy in Japan
Energy in Japan
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Energy in Japan

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Energy in Japan

Japan is a major consumer of energy, ranking fifth in the world by primary energy use. Fossil fuels accounted for 88% of Japan's primary energy in 2019. Japan imports most of its energy due to scarce domestic resources. As of 2022, the country imports 97% of its oil and is the largest liquefied natural gas (LNG) importer globally.

Japan is increasing its reliance on renewable energy to replace imported fossil fuels, and in 2019 renewable energy accounted for 7.8% of primary energy supply. Japan has committed to reaching net zero emissions by 2050, setting a target to reduce GHG emissions by 46% from 2013 levels by 2030.

Japan initiated its first commercial nuclear power reactor in 1966, establishing nuclear energy as a strategic national priority from 1973 onwards. Following the Fukushima nuclear accident in 2011, this strategy underwent re-evaluation but was ultimately upheld. Prior to the accident, nuclear reactors contributed about 30% of Japan's electricity, with the country now aiming for nuclear energy to account for at least 20% of its electricity production by 2030. The Fukushima accident also led to a 16% reduction in total primary energy supply (TPES) from 2010 to 2019.

In the post-war period, Japan's energy policy underwent significant transformation as it grappled with limited domestic energy resources. Initially, Japan relied heavily on coal, which accounted for over 80% of its energy needs in the 1950s, fueling its rapid industrialization and supporting its economic recovery. Coal was integral to powering factories, railways, and other critical infrastructure. However, by the late 1950s and early 1960s, Japan shifted towards oil due to its cost-effectiveness, higher energy density, and the challenges posed by domestic coal supply disruptions. By the 1970s, oil dominated Japan's energy mix, accounting for over 70% of its energy requirements, driven by rapid urbanization and the expansion of the transportation and manufacturing sectors. The 1973 oil crisis marked a turning point, exposing Japan’s vulnerability to external supply shocks and triggering efforts to diversify its energy sources. This period saw the emergence of liquefied natural gas (LNG) as a viable alternative, valued for its lower environmental impact, flexibility, and increasing global availability. Japan signed its first LNG import agreement in 1967, and by the 1990s, partnerships with countries in the Middle East, particularly Qatar, solidified LNG as a cornerstone of its energy policy. These energy shifts—from coal to oil to LNG—reflect Japan’s strategic adaptation to global energy dynamics, ensuring a stable supply while fostering deeper economic and political ties with resource-rich regions like the Gulf.

Japan's rapid industrial growth since the end of World War II doubled the nation's energy consumption every five years into the 1990s. During the 1960–72 period of accelerated growth, energy consumption grew much faster than GNP, doubling Japan's consumption of world energy. By 1976, with only 3% of the world's population, Japan was consuming 6% of global energy supplies.

Compared with other nations, electricity in Japan is relatively expensive, and, since the loss of nuclear power after the earthquake and tsunami disaster at Fukushima, the cost of electricity has risen significantly.

In 1950, coal supplied half of Japan's energy needs, hydroelectricity one-third, and oil the rest. By 2001, the contribution of oil had increased to 50.2% of the total, with rises also in the use of nuclear power and natural gas. Japan now depends heavily on imported fossil fuels to meet its energy demand.

In the wake of the two oil crises of the 1970s (1973 and 1979), Japan made efforts to diversify energy resources in order to increase energy security. Japan's domestic oil consumption dropped slightly, from around 5.1 million barrels (810,000 m3) of oil per day in the late 1980s to 4.9 million barrels (780,000 m3) per day in 1990. While the country's use of oil declined, its use of nuclear power and natural gas rose substantially. Several Japanese industries, for example electric power companies and steelmakers, switched from petroleum to coal, most of which is imported. Japan's proved oil reserves total an estimated 44 million barrels.

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