Feed-in Tariffs in Japan: Five Years of Achievements and Future Challenges
8 September 2017

Renewable Energy Institute today released the full English translated version of the report "Feed-in Tariffs in Japan: Five Years of Achievements and Future Challenges". The original Japanese version of the report was released on 10 August 2017.

By the end of June 2017, five years have passed since the enforcement of the FIT Act in July 2012. During this period, renewables, in particular solar PV has been widely deployed and the share of renewables which was 9% in FY2011, has increased to as much as 15% in FY2016.

This report examines the outcome of the FIT scheme, pointing out how the deployment of renewables has contributed in the reduction of carbon dioxide emissions and wholesale electricity price, and how it has raised issues related to coexistence with local communities and the challenges involved in the implementation of the scheme.

Furthermore, this report makes projections of the FIT surcharge and estimates the surcharge unit price and wholesale electricity price in FY2030 on different scenarios. It shows that a wider deployment of renewables allows a decrease in wholesale electricity unit price, consequently lowering the total sum of surcharge and wholesale electricity price.

Full report
Feed-in Tariffs in Japan: Five Years of Achievements and Future Challenges (1.5MB)

View original report in Japanese (Published in August 2017)

<Table of Contents>
  Purpose of this report
  The role of the FIT scheme as a policy
The Results of the FIT Scheme Over the First Five Years
  Accelerating deployment – the road has been opened toward making renewable energy a main energy source
  Deployment by energy source – high growth observed except for wind power
  Various effects of large deployment
  Additional burden of expenses and the impact on the unit cost of electricity
  Challenges in coexisting with local communities
Challenges in Operating the FIT Scheme
  The rules for facility registration that raised the burden of expenses
  The rule of unlimited curtailment without compensation has great negative impacts
  Detailed analysis required for calculating procurement prices
Future Prospects: Projections of the FIT surcharge
  Assumptions for the estimations
  Results of the estimations
  Summary of estimation results

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31 March 2016 (Japanese original published on 13 January 2016)