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  • January 2017
  • Cabinet Decision on the “Cabinet Order for Developing Related Cabinet Orders Required to Be Revised along with the Enforcement of the Promulgation of the Partial Revision of the Act on Special Measures Concerning Procurement of Electricity from Renewable

Cabinet Decision on the “Cabinet Order for Developing Related Cabinet Orders Required to Be Revised along with the Enforcement of the Promulgation of the Partial Revision of the Act on Special Measures Concerning Procurement of Electricity from Renewable Energy Sources by Electricity Utilities and for Stipulating a Necessary Transitional Measure Therefor”

In line with the enforcement of the Partial Revision of the Act on Special Measures Concerning Procurement of Electricity from Renewable Energy Sources by Electricity Utilities (hereinafter referred to as the “Revised Act”) on April 1, 2017, the Cabinet decided, on January 24, 2017, to approve a Cabinet Order. The Cabinet Order aims to develop the Revised Act to additionally allow the Director-General of a Regional Bureau of Economy, Trade and Industry to request electricity transmission/distribution businesses to submit a report and also aims to add a necessary transitional measure.

1. Development of related Cabinet Orders

The Revised Act has newly stipulated the provision that requires electricity transmission/distribution businesses (legally called the “electricity utilities”) to purchase renewable energy electricity under the Feed-in Tariff (FIT) scheme. Under the Revised Act, the Minister of Economy, Trade and Industry will have the authority to request such businesses to submit a report to the Minister and execute on-site inspections of their premises. In addition to this provision, the Ministry of Economy, Trade and Industry (METI) decided to revise a Cabinet Order to additionally allow the Electricity and Gas Market Surveillance Commission (EGC) and the Director-General of a Regional Bureau of Economy, Trade and Industry—who has jurisdiction over service areas and service points of electricity transmission/distribution businesses—to request such businesses to submit a report and execute on-site inspections of their premises. Moreover, concerning the related Cabinet Orders, e.g., the Order for Enforcement of the Act for Special Account, some provisions have been also revised, e.g., correction of misaligned article numbers.

2. Transitional measure

When a business does not obtain a consent with any electricity transmission/distribution business concerning the connection of the business’s certified power generation facility to a power grid on the enforcement date of the Revised Act, the certification of the facility will expire, in principle. To address this situation, METI has provided a transitional measure for stipulating a grace period to avoid such expiration. Under the measure, if such business completes a procedure to obtain such consent and other actions, which will be taken for a reasonable period of time, between October 1, 2016, and March 31, 2017, such expiration will be extended for six months from the date when the business has completed the procedure.

3. Coming schedule

Promulgation: January 27 (Fri.), 2017
Enforcement: April 1 (Sat.), 2017

Release date

January 24, 2017

Division in Charge

New and Renewable Energy Division, Energy Conservation and Renewable Energy Department, Agency for Natural Resources and Energy

Related Information

Ministry of Economy, Trade and Industry1-3-1 Kasumigaseki, Chiyoda-ku, Tokyo 100-8901, Japan Tel: +81-(0)3-3501-1511
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