Japan Power Industry Preparing to Introduce Smart Grid

Tokyo, July 19 (Jiji Press)--Japanese power suppliers are preparing
to introduce a next-generation electricity network known as smart grid, to
support a government initiative to accelerate solar power generation and
mitigate global warming with the use of information technology.
Backed by government subsidies, the Federation of Electric Power
Companies of Japan will launch a survey at 320 locations this summer to
measure the impact of solar power generation on the power suppliers'
existing electricity transmission and distribution network.
Also, Tokyo Electric Power Co. <9501>, the biggest supplier in
Japan, and Toshiba Corp. <6502>, a major electronics maker, will develop
household electricity meters compatible with the smart grid to efficiently
supply electricity from different sources including solar, thermal and
nuclear energy.
The United States, which first proposed the smart grid, is
considering an IT-based transmission and distribution system that would
allow utilities to ensure stable power supplies at peak hours by controlling
household demand.
Japan's electricity industry was initially not eager about the
smart grid idea. An industry official said the electricity transmission and
distribution system of Japan keeps a higher level of trust than that of the
United States, which suffers frequent power outages.
For their part, Japanese electric machinery makers are pinning high
hopes on the introduction of the smart grid, which would provide them with
new business opportunities.
The smart grid begun attracting keen attention in Japan after the
government in April announced the target of increasing solar power output in
the country by 20-fold from current levels to 28 million kilowatts by 2020
as part of a program to reduce carbon dioxide emissions.
Output of solar power is susceptible to weather and is therefore
unstable, with the operating rate of a solar power system standing at around
12 pct on average.
Therefore, integrating such renewable energy into the existing
electricity network requires the management of overall power supply and
demand with the help of the smart grid.
Still, the future of the smart grid as a solution to climate change
remains unclear. Citing its instability, some industry officials say solar
power will not contribute a lot to cutting CO2 emissions because it cannot
fully replace thermal power.