The master plans for the Demonstration of Next-Generation Energy and Social Systems have been completed by the four demonstration areas (Yokohama City, Toyota City, Kansai Science City [Kyoto Prefecture], and Kitakyushu City). This marks the full-scale launch of the program.

This program is positioned as an initiative to promote the construction of a smart grid and its deployment overseas, which are goals set forth in the New Growth Strategy under the topic of “strategy for becoming an environment and energy power through green innovation.”

The program aims to demonstrate a smart community, which is regional deployment of next-generation energy and social systems that combine in multiple ways concepts such as the “coordinated use” of energy, which means effectively using not only electricity but also heat and untapped energy as well as the transformation of regional transport systems and people’s lifestyle.

Through this demonstration program, the Ministry of Economy, Trade and Industry (METI) aims to facilitate the development of next-generation technologies in related industries, establish international standards for these technologies, and eventually strengthen the competitiveness of Japan’s environmental and energy industries.

During the application period from January 29 to February 28, 2010, 20 areas applied for the program. METI examined their proposals and selected the above four areas on April 8.

These four areas formulated their master plans for the implementation of projects under the demonstration program. The heads of the four areas and representatives of the companies involved visited METI today to hand their master plans in person to METI top executives.

(Attendees)

> Yokohama City

Fumiko Hayashi, Mayor of Yokohama City

Hideo Kitamura, Corporate Executive Vice President, Toshiba Corp.

> Toyota City

Kohei Suzuki, Mayor of Toyota City

Nobuyori Kodaira, Senior Managing Director, Toyota Motor Corp.

> Kansai Science City

Keiji Yamada, Governor of Kyoto Prefecture

Shunichi Miyanaga, Director, Executive Vice President, Mitsubishi Heavy Industries, Ltd.

> Kitakyushu City

Kenji Kitahashi, Mayor of Kitakyushu City

Masatsugu Shimono, Vice President, Operating Officer, IBM Japan, Ltd.

> METI

Masayuki Naoshima, Minister of Economy, Trade and Industry

Tadahiro Matsushita, Senior Vice Minister of Economy, Trade and Industry

Teruhiko Mashiko, Senior Vice Minister of Economy, Trade and Industry

Chiaki Takahashi, Vice Minister of Economy, Trade and Industry

(1) Yokohama City

- Plans to conduct a large-scale energy management project for 4,000 households, while inviting citizens to participate.

- Aims to deploy systems mainly in three areas*, which are existing urban areas where both new and old houses exist and people actually live.

* Minato Mirai 21 area: Business and commercial buildings and high-rise apartment buildings
Kohoku New Town area: Large housing complexes and stand-alone houses
Yokohama Green Valley area (Kanazawa Ward): Apartment complexes and industrial parks

(2) Toyota City

- Aims to make households capable of self-supplying over 60% of their energy requirements by encouraging them to deploy solar power generation, fuel cells, heat pumps, storage batteries, and next-generation vehicles.

- Plans to provide detailed support to prompt actions so that people can maximize the reduction of CO2 emissions from their daily lives and travel while maintaining the quality of life at a comfortable level.

(3) Kyoto Prefecture (Kansai Science City)

- Plans to achieve more efficient energy use throughout the area and maximize the use of renewable energy by connecting together homes, buildings and electric vehicles for exchanging necessary data with the power grid system and using such approaches as local storage battery control and demand response.

- Aims to apply advance technologies developed in the city, such as an “on-demand power management system” and “power coloring” (virtual technology), to the demonstration.

(4) Kitakyushu City

- Plans to conduct an energy management project that effectively uses regional energy sources through measures such as producing energy from waste heat and hydrogen available at nearby factories to be supplied to households and allowing buildings to interchange power.

- Plans to implement dynamic pricing, a scheme to change power rates according to the regional energy supply and demand balance, and control home electrical appliances.

* Further information on the master plans is available on the METI website on the page for the Conference on the Next-Generation Energy and Social System.
(URL: http://www.meti.go.jp/committee/summary/0004633/index.html) (in Japanese)

These demonstration projects will be carried out in line with the master plans, and the Conference on the Next-Generation Energy and Social System and other frameworks will be used to examine their progress reports and review the master plans.

August 11, 2010

Smart Community Policy Office, Agency for Natural Resources and Energy