1. GLOBAL CCS INSTITUTE
Japan Regional Member’s Meeting 2014
The role for coal in Japan’s energy policy
June 19, 2014
Hiroshi ENOMOTO
Coal Division, Natural Resources and Fuel Department,
Agency for Natural Resources and Energy,
METI

2. 1. Coal in Japan’s energy mix
2. Security of coal supply
3. Environment surrounding CCT （Trends in
environmental regulations and the world CCT
market）
4. Promotion of coal utilization technology
5. Summary
1

3. 1. Coal in Japan’s energy mix
2

4. World coal consumption
（2012 possibility）
Source：IEA Coal Information2013
Coal import of Japan
（2013）
Source：Ministry of Finance, Trade statistics
Deposits, a consumption and quantity of trade
○Japan depends on Australia(64%) and Indonesia(19%) for approximately 80% of
the import.
○Japan is the second import country in the world following China, and import 99%
of domestic consumptions.
○The quantity of world trade is approximately 1.3billion tons. (Import of Japan is
14% of those.)
-Quantity of trade is approximately 16% of the whole coal production.（The coal is
local production of local consumption resources basically.）
1,255,340,000t
3
World coal export
（2012 possibility）
World coal import
（2012 possibility）
Australia
63.6%
Indonesia
19.1%
Russia
6.4%
Canada
5.2%
The United Status
3.5%
China
1.1% Others
1.1%
191,540,000t
China
23%
Japan
14%
India
12%
Korea
10%
Taiwan
5%
Germany
4%The U.K.
4%
Russia
2%
Spain
2%
France
1%
Others
23%
1,276,030,000t
China
48%
The United States
11%
India
10%
Russia
3%
Germany
3%
South Africa
2%
Japan
2%
Poland
2%
Australia
2%
Korea
2%
Others
15%
7,696,900,000t
Indonesia
30%
Australia
24%
Russia
11%
9%
Columbia
7%
South Africa
6%
Canada
3%
Kazakhstan
, 2%
China
1%
Poland
1%
Others
6%
The United States

5. Changes in Domestic Primary Energy Supply
Source: "General energy statistics" in Japan’s Energy White Paper 2013, Agency for Natural Resources and Energy
Oil
Natural gas
Hydro
Coal
Nuclear
Geothermal,
New energy,etc
(FY)
4

6. ○ Change in power supply sources of (general and
wholesale) power generation companies after the
Earthquake
○ Fuel cost increase by termination of nuclear power plants
* For FY2013, the influence to cost is calculated by correcting the
exchange rate used for the estimation in FY2012 to the current value
of 100 yen/dollar and assuming that the operation status of the
nuclear power plants would not change in FY2013 from FY2012.
○ No operating nuclear power plants →About 30% loss of power supply, Tight balance between demand and supply
○ Due to stop of nuclear power plants, the fuel cost for thermal power generation is expected to increase by about 3.8
trillion yen in FY2013, which is about 20% of electricity prices
○ The cost would increase more if the oil price increases by a tense situation in Hormuz
Composition of Power Generation after the Quake Disaster
Power
source
Fuel cost
(FY2012)
Influence to cost
Estimation in
FY2012
Estimation in
FY2013 (*)
Nuclear
power
1 yen/kWh - 0.3 trillion yen - 0.3 trillion yen
Coal 4 yen/kWh + 0.1 trillion yen + 0.1 trillion yen
LNG 11 yen/kWh + 1.4 trillion yen + 1.6 trillion yen
Oil 16 yen/kWh + 1.9 trillion yen + 2.4 trillion yen
Total － + 3.1 trillion yen + 3.8 trillion yen
20% 25% 26%
25%
20%
27% 26% 26% 24%
23%
38%
41% 42% 47%
50%
46% 48% 48% 49%
32%
5%
7%
13%
17%
16% 13% 16% 18% 13%
5%
28%
16%
10% 5% 1% 1%
3% 2%
3%
32%
9% 11% 8% 5% 12% 12% 7% 6% 11% 8%
63%
73%
81% 90% 87% 87% 90% 92% 86%
28%
16%
10%
5% 1% 1%
3%
2% 3%
Apr 2011 Jul Oct Jan 2012 Apr Jul Oct Jan 2013 Apr FY2010
Coal thermal power generation LNG thermal power generation
Oil thermal power generation Nuclear power generation
hydro-electric power generation Thermal power generation
Nuclear power generation
5

7. Change in Fuel Price
○ In comparison to crude oil and LNG, the change of the coal price has been stable at a low level.
○ As of April 2013, the crude oil price (7.36yen/1000kcal) is about 4.1 times higher and the LNG price (6.32/1000kcal) is
about 3.5 times higher than the coal price (1.81 yen/1000kcal).
(Yen/1000kcal) Change in fuel price (CIF)
Ref: The Institute of Energy Economics, Japan
0.0
2.0
4.0
6.0
8.0
10.0
12.0
原油 一般炭 ＬＮＧOil General coal LNG
6

8. 2. Security of coal supply
7

9. 0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
2000 2005 2010 2015 2020 2025 2030 2035
再生可能エネルギー等
水力
原子力
天然ガス
石油
石炭
Role of coal in world’s energy resources
○ Coal occupies about 25% of the energy demand in the world. The demand for coal is expected to increase by about 1.2 times by 2035.
Coal occupies more than 40% of generated power in the world. The amount is expected to increase by 1.4 times by 2035.
○ Competition for acquiring coal resources has become severe in the world due to rapid expansion of the coal demand in developing
countries such as China and India.
［Expectation of energy demand in the world］ ［Expectation of power generation in the world］
Ref.: IEA, “World Energy Outlook 2012”
［Power generation composition of major countries (2010) ］［Primary energy composition of major countries (2010)］
41%
Increase by a factor of about 1.4
Source: IEA, "World Energy Outlook 2012"& "Energy Balances of OECD/non-OECD
Countries (2012 Edition)"
Source: IEA, "World Energy Outlook 2012"& "Energy Balances of OECD/non-OECD
Countries (2012 Edition)"
Ref. IEA, “World Energy Outlook 2012”
(TWh)
33%
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
2000 2005 2010 2015 2020 2025 2030 2035
再生可能エネルギー等
水力
原子力
天然ガス
石油
石炭
27%
25%Increase by a factor of about 1.2
(Mtoe)
41%
5%
29%
44%
26%
27%
46%
68%
78%
5%
1%
1%
1%
3%
9%
1%
3%
0%
22%
4%
46%
14%
23%
27%
23%
12%
2%
13%
76%
16%
23%
28%
26%
19%
3%
2%
16%
11%
1%
3%
11%
7%
6%
12%
17%
4%
3%
6%
15%
10%
3%
4%
2%
1%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
世界計
フランス
英国
ドイツ
EU
日本
米国
インド
中国
石炭 石油 天然ガス 原子力 水力 再生可能エネルギー等
27%
5%
15%
24%
16%
23%
23%
42%
66%
32%
29%
31%
32%
33%
41%
36%
23%
18%
21%
16%
42%
22%
26%
17%
25%
8%
4%
6%
43%
8%
11%
14%
15%
10%
1%
1%
2%
2%
0%
1%
2%
1%
1%
1%
3%
11%
5%
4%
10%
9%
2%
5%
25%
9%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
世界計
フランス
英国
ドイツ
EU
日本
米国
インド
中国
石炭 石油 天然ガス 原子力 水力 再生可能エネルギー等
Renewable energy, etc.
Water
Nuclear power
Natural gas
Oil
Coal
Renewable energy, etc.
Water
Nuclear power
Natural gas
Oil
Coal
China
India
US
Japan
EU
Germany
UK
France
World total
Coal Oil Natural gas Nuclear power Water Renewable energy, etc. Coal Oil Natural gas Nuclear power Water Renewable energy, etc.
China
India
US
Japan
EU
Germany
UK
France
World total
8

10. Crude oil (2012) Natural gas (2012)
Ref.: Trade statistics, Ministry of Finance
Ref.: Trade statistics, Ministry of Finance
Coal (2012)
Leading Fossil Fuel Exporters to Japan
Straits of Hormuz
Ref.: Trade statistics, Ministry of Finance
120.7
79.9
39.3
28.0
19.1
7.0
10.5
17.2
13.6
8.3
22.2 Saudi Arabia
33.0%
UAE
21.8%
Qatar
10.7%
Kuwait
7.6%
Iran
5.2%
Iraq 1.9%
Oman
2.9%
Russia
4.7%
Indonesia
3.7%
Vietnam
2.3% Others
6.1%
15.7
5.5
4.0
15.9
14.6
8.3
6.2
5.9
4.8
6.2
Qatar
17.9%
UAE
6.3%
Oman
4.6%
Malaysia
18.2%
Australia
16.7%
Indonesia
9.5%
Russia
7.1%
Brunei
6.8%
Nigeria
5.5%
Others
7.1%
114.8
36.1
12.5
9.9
6.3
3.5
2.2
Australia
62.0%
Indonesia
19.5%
Russia
6.7%
Canada
5.3%
US
3.4%
China
1.9%
Others
1.2%
Middle-East
dependence 83%
(Hormuz dependence 80%)
Total import: 3.66 million BD
Middle-East
dependence 29%
(Hormuz dependence 24%)
Total import: 87.31 million t/year
Middle-East dependence 0%
(Hormuz dependence 0%)
Total import: 185.15 million t/year
9

11. 0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
3,334
13
0.4%
931
97
10.5% 545
4.4
0.8%
376
309
82.3%
345
285
82.5%
256
124
48.3%
253
72
28.3 %
111
34
30.7 %
84
76
90.1 %
76
7
9.0 %
62
8
12.8 %
57
34
58.8 %
45
24
54.9 %
Top: Production
Middle: Exports
Bottom: Percentage of exports to production
Exports
 China, the US and India (the top three coal producers) consume large amounts of coal
themselves; coal is basically produced for local consumption.
 Australia and Indonesia, by contrast, are export oriented.
Production (excluding lignite) and exports (estimates for 2011) from major coal producers
Exports from major coal producing countries and their domestic consumption
Production
Exports
(Million tons)
China The US India Indonesia Australia Russia South Africa Kazakhstan Columbia Poland Ukraine Canada Vietnam
Source：IEA, “Coal Information 2012”
10

12. Change of coal resource price (in case of long-term contract)
53.5
53.5 50.95
41.9
39.75 42.7548.1
46.2 57.2
125
115
97
300
128.5
200
225
209
225
330
315
285
206
225
170
165
172
40.3
37.65
34.5
29.95
28.75
34.5 31.85
26.75
45 53
52.5
55.5
125
69
98
98 98
98
130
130
130 130
115 115 115 115
95
0
50
100
150
200
250
300
350
1996 1998 2000 2002 2004 2006 2008 2010 2011 2012 2013
US$/t
Fiscal year
<Change in long-term contract price of coal>
原料炭
一般炭
○ The long-term contract price of coal had not changed much but in recent years it has been increasing because of the increase of the coal
demand in the world, in particular in Asia, and so on.
○ The price had been rising from 2005 to 2011 due to natural disasters in the coal countries and due to the rapid increase of the coal demand
in China and India. However in very recent years, the price starts decreasing because of the worldwide economic recession and the
excessive energy supply due to increased production of shale gas.
*FOB price of typical Australian coal
(1) Increase by coal demand increase in China, India, etc.
(2) Increase by paralyzed traffic in China due to heavy snow
Sudden drop by worldwide recession
starting from the subprime loans problem
(1)Production stop at a coal mine due to rain in QLD state, Australia
(2) Paralyzed traffic and temporary stop of export in China due to
snow
Decrease by production increase
in Australia and Canada
Increase by global coal
supply-demand imbalance
Increase by short
supply due to rain
from December
2010
1st quarter
in FY2013
Decrease by excess
of supply due to global
economic recession
Raw coal
General coal
11

13. 3. Environment surrounding CCT
（Trends in environmental regulations
and the world CCT market）
12

14. 774
1,766
3,070
0
1,000
2,000
3,000
4,000
5,000
6,000
2010 2011 2012
46.4%
45.3%
46.6%
43.1% 42.8% 41.8%
43.1%
44.7%
11.4% 11.5%
11.9% 13.6% 13.2% 13.7%
13.6% 11.3%
26.3% 26.3%
22.0%
23.3% 22.8% 22.3%
17.7%
16.0%
9.7% 11.0%
13.6% 14.3% 15.5%
16.5%
20.6%
22.0%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
2005 2006 2007 2008 2009 2010 2011 2012
石炭 天然ガス 原子力 再生可能エネルギー
Impact of Shale Revolution --Changes in the Percentage of Coal in Western Electricity Consumption--
[Changes in US Power Source Structure]
[Changes in US Fuel Coal Exports (from 2010 to 2012)]
(million tons)
About 2.3
times
2,271
5,016
About 1.5
times
About 1.7
times
3,370
About 1.5
times
About 2.2
times
About 4.0
times
34.4%
38.1%
34.7%
32.1%
27.5% 28.4%
30.0%
40.2%
37.1%
34.3%
40.5%
44.7%
43.8%
45.7%
39.3%
25.9%
20.8%
19.2%
15.8%
13.4%
18.3%
16.2%
18.9% 19.5%
0.7% 0.7% 1.6% 2.2% 2.7%
4.1%
6.6%
9.2%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
2005 2006 2007 2008 2009 2010 2011 2012
石炭 天然ガス 原子力 再生可能エネルギー
[Changes in UK Electricity Generation]
[Changes in German Electricity Generation]
Increase in US Fuel Coal Exports and Changes
in Power Source Structure
Changes in European Electricity
(Rise in Percentage of Coal)
49.6% 49.0% 48.5% 48.2%
44.4% 44.8%
42.3%
37.4%
18.8%
20.1% 21.6% 21.4% 23.3% 23.9%
24.7%
30.4%19.3%
19.4%
19.4% 19.6%
20.2% 19.6% 19.3% 19.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
2005 2006 2007 2008 2009 2010 2011 2012
Coal
Natural Gas
Nuclear
Declining
Coal Natural gas Nuclear Renewable energy
Coal Natural gas Nuclear Renewable energy 13

15. (1) Large Combustion Plant Directive (LCPD)
・ Target: Combustion plants (coal-fired power plants, etc.) with generating
capacity of 50,000 kilowatts or more
・ Details: It sets emissions restrictions on both existing and new
facilities with the aim of reducing air pollutant emissions (SO2, NOx, PM) in
the EU.
Although the power plants that were constructed before 1987 and did not
meet the standard were to be decommissioned in 2007, by developing a plan
for the decommissioning after 2016, each country can operate these plants
within an operating time of 20,000 hours from 2008 to the end of 2015.
Current regulations on Coal-fired Power Generations in Europe
(1) Energy and Climate Change Package
・Target: EU
・Goal:・To reduce greenhouse gas (GHG) to 20% below 1990 levels by
2020.
・To boost the share of renewable energy in final consumption to 20%
by 2020.
・To improve energy efficiency by 20% by 2020.
(2) Restriction on emissions by new coal-fired power
plants in the UK
・Target: UK
・Details: When a coal-fired power plant is established, it needs to have a
standard for CO2 emissions of 450g-CO2/kWh and to apply CCS.
Regulation concerning Air Pollution Prevention
Regulation of Greenhouse Gas Emissions
News Reports about Coal-fired Power
Generations in Europe
 Increased coal-fired power generation and an sluggish
gas-fired power generation are accounted for by soaring
natural gas prices and falling prices for CO2
emissions credits. <Snip> As a result, German policy
of breaking with nuclear power generation promotes
coal-fired power generation. On August 15, RWE has
formally started operating a brown coal-fired power plant
with power generation efficiency of 43% that introduced
the latest technology near Korn in the midwest of
Germany. Environment Minister Peter Altmaier
praised this for "making significant contributions to
successful energy conversion in addition to
promoting CO2 emissions reductions". (Source:
Bloomberg, August 21, 2012)
 In the EU, the percentage of coal-fired power
generation in electricity generation rose by as much
as 7% year-on-year in 2012. The growth rate hit the
highest level in the past 40 years. According to a chief
economist at the International Energy Agency (IEA),
"Coal has been plentiful in the US, where shale gas
was found, and cheap coal that has no where to go
has flowed into Europe. Far cheaper gas prices in
North America than appropriate prices has boosted
coal consumption." (Source: Nikkei Business, March 5,
2013)
 On May 6, 2013, Germany Kreditanstalt fur
Wiederaufbau announced that it would continue
financial assistance to projects of coal-fired power
plants.
It will financially support the replacement of coal-fired
power plants and the construction of highly-efficient
thermal power plants, and promote the introduction and
spread of sophisticated power-generating technologies.
(Source: the Federation of Electric Power Companies of
Japan, information on topics related to overseas
electricity)
14

16. * IEA World Energy Outlook 2012
Calculated by 79.97yen/dollar (exchange rate as of 2011)
with new construction and replacement of plants included
Expected introduction of coal thermal generation in the world (2012→2035)
○According to IEA, the coal thermal power generation has a world market of about 129 trillion yen
including new construction and replacement of plants in 2012 through 2035 .
○In particular in Asia, it is about 79 trillion yen and the demand of coal thermal power generation is
expected to expand in Asia.
Europe
11.6 trillion yen
(311GW→188GW)
Russia
5.9 trillion yen
(52GW→42GW)
Middle East
0.1 trillion yen
(0GW→1GW)
Africa
9.1 trillion yen
(41GW→79GW)
East Europe
5.5 trillion yen
(57GW→42GW)
India
27.7 trillion yen
(101GW→341GW)
Asian Pacific
(except China, India)
24.0 trillion yen
(159GW→300GW)
North America
16.6 trillion yen
(360GW→272GW)
South America
0.8 trillion yen
(4GW→9GW)
China
27.3 trillion yen
(671GW→1,122GW)
Upper: Area, Middle: Investment from 2012 to 2035
Lower: Facility capacity from 2010 to 2035
World Total
129 trillion yen
(1,649GW ⇒2,250GW)
15

17. Coal-fired Plants(Site B)
Thermal efficiency(%, HHV)
0 10 20 30 40
Years since Commissioning
Coal-fired Plants(Site A)
Designed
Efficiency
Designed
Efficiency
Efficiency
Degradation
Maintenance and improvement of Efficiency for existing
thermal power plants
Source : The Federation of Electric Power Companies
Coal fired power generation technologies in Japan is the most efficient in the world and
proper operation and maintenance keeps high efficiency.
Changes in the efficiency of coal fired power generation
by country
20%
25%
30%
35%
40%
45%
1991 1993 1995 1997 1999 2001 2003 2005 2007 2009
Japan
Korea
Indonesia
China
Australia
India
Germany
United
States
Source: Energy balances of OECD/Non-OECD countries-2011
(LHV)
Achieving Low Carbon Economies with Technical Transfers
for Overseas Coal Fired Power Generation
16

18. Ref.:
・ IEA CO2 EMISSIONS FROM FUEL
COMBUSTION Highlights(2011
Edition)
・Global warming countermeasure
plan (J-POWER, Nov. 30, 2010)
・ RUPTL10-19, CEA "National
Electricity Plan“
・INSTITUTE of ENERGY "VIETNAM
POWER sector power master plan"
○ Coal thermal power generation efficiency in Japan is now in the world’s highest level and kept high for a long period
of time after starting the power generation. This is due to Japan’s high efficiency technology (supercritical pressure,
ultra supercritical pressure) and know-how of the operation and control.
○ CO2 reduction is expected to be about 450 million tons (in trial calculation) if Japan’s latest coal thermal power
generation efficiency is applied to coal thermal power plants planned in India, Indonesia, and Vietnam with which
Japan is currently negotiating for the Joint Crediting Mechanism.
○ Overseas expansion of Japan’s high-efficiency coal thermal power generation is promoted by the technology transfer
of the high-efficiency coal thermal power generation technologies or by the system export of the technologies and
the coal power generation operation control technology (O&M), while the technology competitiveness is maintained
Efficient CO2 emission reduction in foreign countries
(International development of coal thermal power generation)CO2emission(Mt-CO2)
0
200
400
600
800
1,000
895
227
432
575
172
354
India Indonesia Vietnam
Case 1: The case where the currently-
used technologies are used
again
Case 2: The case where Japanese
technologies are introduced
Case 1 Case 2 Case 1 Case 2 Case 1 Case 2
320Mt-CO2
DOWN
55Mt-CO2
DOWN
78Mt-CO2
DOWN
* Operating rate of a new coal thermal
power plant is assumed to be 70%.
[CO2 emission from coal thermal power generation (Comparison technologies to be applied;
Existing technology and Japanese technology) ]
115,800MW(-2022) 32,697MW(-2019) 71,311MW(-2030)
Country
Newly-built facility
450 million tons
17

19. When applying the efficiency of the most advanced coal-fired power plants in operation in Japan to
ones in the US, China and India, the CO2 reduction effect is estimated to be about 1,500 million tons.
With global demand for coal-fired power generation expected to continue to increase, we will promote
overseas expansion of Japan's highly-efficient coal-fired power generations and seek to maintain
technological competitiveness by transferring highly-efficient coal-fired power generation technologies
tailored to the partner countries' industrial structure and exporting systems in combination with
technologies for operating and managing (O&M) coal-fired power generations.
International Expansion of Coal-fired Power Generations(CO2 Emissions Reduction through Technological Transfer)
Source: "IEA World Energy Outlook 2011", "Ecofys International Comparison of Fossil Power Efficiency and CO2 Intensity 2012"
Actual CO2 Emissions from Coal-fired Power Generation (2009) and Case of Maximum Efficiency in Japan
CO2emissions(Mt-CO2)
361 (million tons)
+811 (million tons)
+292 (million tons)
About 1,470 million tons
Japan US China India
Actual Case of best practice Actual Case of best practice Actual Case of best practice Actual Case of best practice
(27)
(361)
(811)
(292)
18

20. the Joint Crediting Mechanism
 Accelerates the spread of excellent technologies, products, systems, services and infrastructures for
reducing carbon emissions, and the implementation of mitigation activities, and contributes
sustainable development in developing countries.
 Evaluates the contribution to reducing and absorbing greenhouse gas emissions from Japan in a
quantitative and appropriate way by applying measurement, reporting and verification (MRV)
methodologies to utilize the results in achieving Japan's emissions reduction targets.
 Contributes to the achievement of the ultimate objective of the United Nations Framework Convention
on Climate Change by complementing the Clean Development Mechanism (CDM) and promoting
actions to reduce and absorb greenhouse gas emissions on a global basis.
Japan
Host country
Spread of excellent technologies, etc. for
reducing carbon emissions and
implementation of mitigation activities
MRV
JCM
Project
Amount of greenhouse
gas emissions
reduced and absorbed
Joint Committee develops MRV
methodologies
Utilized to achieve
Japan's emissions reduction
targets Credit
19

21. 2020

22. Japan’s CCT contributing to the world
[Power generation and gasification] USC, SC, circulating fluidized bed, lignite-fired USC, IGCC,
co-combustion of anthracite
[Environmental equipment ] Desulfurization and denitrification equipment
[Use of low-grade coal] Lignite drying systems, UBC, slurrification,
gasification (two-column gasification, eco-processes, IGCC)
[Coal segregation technology] Wet segregation, dry segregation
[Coal for direct combustion] Carbonized semi-coke
[CO2 separation and recovery] Post-combustion recovery
(Future plan)
[Power generation, gasification] IGCC, A-USC, IGFC
[CO2 separation and recovery ] Pre-combustion recovery, oxygen combustion systems
[Power generation – CCS system]
[CMM] Methane concentration technology
21

23. 4. Promotion of coal utilization technology
22

24. ○CO2 emissions per thermal unit are approximately – Coal : Petroleum : LNG = 5 : 4 : 3
○Coal fired power has approximately twice as much CO2 emissions per kWh compared to LNG power.
○Since coal has more CO2 emissions per unit compared to other fossil fuel, clean utilization is
required.
Ref.: Japanese Government’s report based on “United Nations Framework
Convention on Climate Change “
CO2 emissions per heat CO2 emissions per kWh from in generating fuel
Comparison of CO2 Emissions of each Fuel in Power Generation
0
20
40
60
80
100
120
石 炭 石 油 ＬＮＧ
(g-C/1000kcal)
石 炭 石 油 ＬＮＧ
0
20
40
60
80
100
120
石 炭 石 油 ＬＮＧ
(g-C/1000kcal)
石 炭 石 油 ＬＮＧ
５ ： ４ ： ３
Coal Oil LNG
Coal Oil LNG
1195
967
907 889
958
863.8
809.7
695.1
476.1
375.1
0
200
400
600
800
1000
1200
1400
インド 中国 米国 ドイツ 世界 石炭火力
（日本平均）
ＵＳＣ ＩＧＣＣ ＩＧＦＣ 石油火力
(日本平均）
ＬＮＧ火力
（汽力）
ＬＮＧ火力
（複合平均）
Coal fired power USC IGCC IGFC Oil fired power LNG power LNG power
(average) (average) (average) (Combined
(g-CO2/kWh)
CO2 emissions from coal fired
power generation overseas
CO2 emissions from coal fired
power generation domestic
average)
India China USA Germany World
Source: Based on the development targets of various research businesses by the Central
Research Institute of Electric Power Industry (2009) , CO2 Emissions from Fuel Combustion 2012
23

25. Coal, etc.
36%
Oil, etc. 40%
Natural gas,
etc.
18%
Industrial
process
4%
Waste
2%
(Ref.: Green house gas emission and absorption inventory)
CO2 emission
in FY2010
1.192 billion tons
○ 98% of the entire CO2 emission in Japan is occupied by the energy sector. 34% of direct emission is
occupied by energy conversion sector and 35% of indirect emission by industrial sector.
○40% of emission is occupied by oil and 36% by coal. About 0.2 billion tons of CO2 is emitted from coal
power plants.
CO2 emission in Japan
34%
29%
19%
8%
5%
3%2%
Energy
conversion
7%
Industry
35%
Transportation
20%
Business, others
18%
Household
14%
Industrial
process
4%
Waste
2%
CO2 emission
in FY2010
1.192 billion tons
Outer: Indirect emission
Inner: Direct emission
Coal produces about 0.43
billion tons of CO2 and about
0.2 billion tons of CO2 is
from coal power plants.
CO2 emission from each sector in FY2010 CO2 emission from each fuel in FY2010
24

26. ○ Introducing highly efficient thermal power generation (coal/LNG)
・ The Ministry of the Environment and the Ministry of Economy, Trade and Industry agreed with the clarification
of requirements and streamlining the procedure of environmental impact assessments for power plants. Based
on the agreement, the government will advance introduction of highly efficient thermal power
generation (coal/LNG) with environmental considerations, and make efforts to improve power
generation efficiency further by advancing technology development.
In addition, the government promotes thorough utilization of highly efficient thermal power generation to reduce
cost for energy. Tender will be introduced for expansion, installation and replacement of thermal power sources
in principle so that efficiency as well as transparency will be increased. Also the government will clarify
requirements and streamline the procedure of environmental impact assessments to provide an environment
where private companies will be able to make smooth investment for highly efficient thermal power (coal/LNG).
At the same time, the government aims to accelerate development of advanced technologies, introduce thermal
power generation of the highest efficiency level in the world and deploy them positively to overseas.
○ Supporting technological development of thermal power
・ The government aims to achieve practical use of advanced ultra-supercritical (A-USC) thermal power
generation in 2020s (generating efficiency: around 39% at present to improve to around 46%).
・ The government aims to achieve practical use of integrated coal gasification combined cycle (IGCC)
power generation systems of 1500 °C class in 2020s (generating efficiency: around 39% at present
to improve to around 46%).
・ The government aims to establish technology of integrated coal gasification fuel cell combined cycle
(IGFC) by 2025 and achieve practical use in 2030s (generating efficiency: around 39% at present to improve to
around 55%)
・ For LNG thermal power generation, the government aims to achieve practical use of gas turbine of 1700 °C
class by around 2020 (generating efficiency: around 52% at present to improve to around 57%).
Description of Coal in "Japan Revitalization Strategy" (Excerpt)
Implementing “Infrastructure Export Strategy” (May 17, 2013) promptly and steadily
25

27. Chapter 2. Section2. Position of each energy source and policy time frame
（１） Renewable energy
 Renewable energy has various challenges in terms of stable supply and
cost at this moment, but it is a promising, multi-characteristic and
important energy source which can contribute to energy security as it can
be domestically produced free of greenhouse gas emissions.
（２） Nuclear power
 Nuclear power’s energy output per amount of fuel is overwhelmingly large
and it can continue producing power for several years only with domestic
fuel stockpile. Nuclear power is an important base-load power source as a
low carbon and quasi-domestic energy source, contributing to stability of
energy supply-demand structure, on the major premise of ensuring of its
safety, because of the perspectives; 1) superiority in stability of energy
supply and efficiency, 2) low and stable operational cost and 3) free
from GHG emissions during operation.
Description of "Strategic Energy Plan" (Excerpt)
26

28. （３） Coal
 It is now being re-evaluated as an important base-load power supply. It is
an energy source that we should use while reducing the environmental
load through the utilization of highly efficient coal thermal power
generation technology, etc.
（４） Natural Gas
 Natural gas plays the central role as an intermediate power source.
Natural gas is an important energy source whose role is expected to
expand.
（５） Oil
 It’s advantage lies in its wide applicability as fuel in the
transportation, consumer, power supply sectors and also as
materials for chemical and other products. Especially, the
transportation sector relies heavily on oil. It will continue to be used as
an important energy source.
27
Description of "Strategic Energy Plan" (Excerpt)

29. Chapter 3. Section5. Section 5. Environmental arrangement of an environment
for efficient and stable use of fossil fuels
1. Promotion of effective use of high-efficiency coal and gas thermal power
generation
In order to reduce greenhouse gas emissions into the atmosphere,
the development and practical application of next-generation high-efficiency
coal thermal power generation technology (e.g., IGCC) will be promoted.
Research and development will be conducted with a view to practical use of
the carbon capture and storage (CCS) technology around 2020 and a study
will be conducted on introducing CCS-ready facilities as early as possible
with due consideration given to the possible timing of the
commercialization of CCS. Through these measures, the introduction of
coal thermal power generation that gives consideration to further reduction
of the environmental impact will be promoted.
28
Description of "Strategic Energy Plan" (Excerpt)

30. 29
Chapter 4. Promotion of strategic technology development (energy-
related technologies for which research and development should be
intensively conducted in order to implement measures related to energy
supply and demand in a comprehensive and systematic manner in the long-
term)
1. Technical challenges to be addressed
From now, it steadily promotes technologies related to production,
storage, transportation and utilization of hydrogen.
Description of "Strategic Energy Plan" (Excerpt)

31. Position
Though coal has a problem ― it emits a large amount of greenhouse gas ― it is
now being re-evaluated as an important base-load power supply because it
involves the lowest geopolitical risk and has the lowest price per unit of heat
energy among fossil fuels. It is an energy source that we should use while
reducing the environmental load through the utilization of highly efficient coal
thermal power generation technology, etc.
Policy Direction
30
Position of the coal in "Strategic Energy Plan"
In addition to promoting the replacement of aging thermal power plants
and introducing available leading-edge technology through the construction of
new facilities and the expansion of existing ones, GOJ further promotes the
development of technologies to drastically reduce greenhouse gas emissions per
unit of generated power (e.g., IGCC) by largely improving the power generation
efficiency. It is necessary to use coal while reducing the global environmental load
by promoting the introduction of such high-efficiency technologies not only in
Japan but also globally.

32. Integrated coal gasification fuel cell combined system experiment project (Osaki Cool Gen)
Project details
○ Oxygen injection coal gasification technology (oxygen blown IGCC) which
makes it efficient and easy to separate and collect CO2 is established.
Experiments of triple-combined power generation technology by
combining fuel cell of the hydrogen obtained by future oxygen injection
gasification are conducted.
(1) Technical characteristics
○ Gross thermal efficiency 55% (←current USC 41%)
○ Use of subbituminous coal, which can be easily gasified (use of low-
grade coal)
○ Easy separation and collection of CO2 by oxygen injection (CO2
reduction)
○ Use of hydrogen by oxygen injection (fuel cell)
(2) Organizer: Osaki Cool Gen (J-POWER, Chugoku Electric Power)
(3) Project term: 2012-2021
(Total of 30 billion yen, total project cost of 90 billion yen) *Only 1st stage
Combustible gas H2, CO etc.
Air
Air
separati
on unit Oxygen
Gasification furnace
Steam
turbine
Gas
turbine
H2
Burner
Air
compressor
Generator
Waste heat collection boiler
Chimney
CO
H2
H2
CO H2
CO2 transport
and storage
Shift reactor CO2 collection
and separation
<1st stage>
<2nd stage>
<3rd stage>
Integrated coal Gasification
Combined Cycle (IGCC)
CO2 collection technology
Fuel cell
H2
Project overview
Existing waste water
treatment facilities
Coal gasification
facilities
Gas purification
facilities
New waste water
treatment facilities
CO2 separation
and collection
facilities
Air separation
facilities
Combined power
generation
facilities
Rendering
Project site: Kamijimacho, Osaki, Toyoda, Hiroshima
Future schedule
FY 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
1st stage
Oxygen blown
IGCC
experiments
2nd stage
CO2separation
and collection
type GCCexperiments
3rd stage
CO2 separation
and collection
type IGFC
experiments
Demonstration
test
Oxygen blown IGCC detailed design and
construction
Demonstration
test
detailed design and construction of
CO2separation and collection
Application technology
assessment
Image design
CO2
transport and
storage test
Demonstration
test
CO2 collection integrated type of
IGCC/IGFC:
Detailed design and construction
Technical survey,
Image design
31

33. 32
 Ideal fuels for IGCC include untapped low-grade coal such as subbituminous coal, which can
readily be gasified (effective use of untapped coal supplies).
 The gasification furnace to be demonstrated (the EAGLE furnace) is designed to efficiently gasify a
wider range of coal supplies (thus can accommodate a variety of coal supplies)
Efficient use of untapped coal supplies
Application range of conventional gasification furnaces
Application range of the EAGLE gasification furnace Coal types compatible with pulverized coal combustion
EAGLE coal
Ash melting temperature [C]
Fuelcomposition[-]
32

34. Oxyfuel combustion Co2 recovery power generating system CO2 transportation/storage
Oxygen generator
Coal
Re-circulated gas (mainly CO2）
O2
Air
（N2, O2）
Noncondensable gas
N2
Dust collector
CO2 liquefaction
and recovery
plant
Boiler
CO2
Underground storage
CO2 storage transportation equipment
G
Condenser
ST Smokestack
P
2008 – 2012 Retrofit of existing power station
2012 – 2014 Oxyfuel demonstration operation
2014 – 2016 CO2 injection and monitoring
Japan : Japan-Australia Oxyfuel Combustion Demonstration
Project Japan Limited Liability Partnership(formed
by J-POWER, IHI and Mitsui & Co.)
JCOAL (Supporting Collaborator)
Australia: CS Energy, Xstrata, Schlumberger,
Australian Coal Association (ACA)
Features
・Applicable to both existing and new power plants
・Has a potential to reduce CO2 recovery energy and costs
・Has a potential to reduce NOx emissions
System
Oxyfuel Combustion is:
Technology to facilitate CO2 recovery by burning fuel such as
coal using only oxygen to make CO2 the principal component of
exhaust gas from the boiler.
・Oxygen generation (air separation) equipment is installed.
・Exhaust gas is re-circulated and flame temperature is adjusted to
use existing boiler technology.
At Callide A pulverized coal power station (generation capacity: 30MWe) in Central Queensland, Australia,
low-emission coal thermal power generation using Oxyfuel Combustion Technologies is being demonstrated
toward practical application of CCS (Carbon Capture and Storage) technology.
Project image
Partners
Schedule
Callide A pulverized coal power station 33
Technological Innovation toward Zero Emission
International Joint Research and Demonstration on Oxyfuel Combustion

35. 圧縮機 貯槽設備
Coal gasification power plant
CO2 level of exhaust
gas from burning:
7-40%
Off gas
(Return to chimney)
Liquefaction facilities Injection well
ポンプ＆気化器
Storage facilities
<Underground storage><Transportation><Separation, collection>
Transport by ships
<Gasification, burning>
CO2回収装置
CO2
CO2
Undergroundstorage
○Reduction of CO2 emission from coal thermal power plants is required to respond to the global warming
issues.
○In the total system from power generation to CO2 storage, efficient thermal power plant is combined with
CCS facilities.
Total System of Highly-efficient Low-carbon Coal Thermal Power Generation
○ Storage potential of Japan?
○ Environmental impact, safety, monitoring?
○ Technology development of separation and collection
Expected cost?
Incentive?
Who pays?
34

36. ○ Power generation cost with CCS
- In the direct storage case (1), total power generation cost increases by 45% (approximately the same as in NETL cases1) which increases
the cost by 40%). In the transport cases (2)-(6) the total cost increases by 80% (larger than in NETL cases which increases the cost by
45%).
- Transport (incl. transport of liquefied and pressurized CO2) and storage occupy 10% of the power generation cost in the direct storage
case and 30% in the transport cases. (The construction cost of CO2 tank for shipment, base for receiving shipped CO2, and dedicated ship
is large.)
○ CO2 treatment cost breakdown
- Cost of the transportation (incl. liquefaction and pressurization) and storage is relatively large, occupying 50-70% of the CO2 treatment
cost.
1) Cost and Performance Baseline for Fossil Energy Plants DOE/NETL-2010/1397
Taken from the result of “Zero Emission Coal-Fired Power Technology Development Project” in Zero Emission Coal-Fired Power Technology Development Project
(Note) Condition of each case
-Storage near power plant (no transport): Case (1) Direct Storage
-Transport of liquefied CO2 by ship: Case (2) Land Base (that allows berthing of ship), Case (3) Ocean base fixed to the seafloor (for shallow ocean), Case (4) Ocean Floating Base (for deep ocean)
-Transport through pipe line: Case (5) Liquid, Case (6) Gas
Preliminary calculation of CCS cost
Transport, storage
Power
generation
Powergenerationcost(yen/kWh)
No CCS Case (1) Case (2) Case (3) Case (4) Case (5) Case (6)
(No transport: 0km)
Power generation:
Capital charge
Transport: O&M cost
Power generation:
O&M cost
Storage: Capital charge
Power generation: Fuel
cost
Storage: O&M cost
Transport: Capital
charge
CO2treatmentcost(yen/tonCO2)
Case (1) Case (2) Case (3) Case (4) Case (5) Case (6)
(No transport: 0km)
Separation
and collection
Energy penalty Liquefactionand
pressurization
Transport Storage
35

37. (1) Development of gasification and slurrying technologies in accordance with the energy supply-demand balance in the coal countries
(2) Hydrogen, Methane and DME, etc created by the gasification of low-grade coal will be able to contribute to the clean energy supply to
Japan in future
(3) Development of multi-use of gasified products: Chemical materials such as fertilizer, in addition to fuel
(1) Technological development of dehydration and drying for efficient transport and better combustion efficiency
低品位炭
発電用
一般炭
産炭国
CO2
回収・貯留
メタノール
DME
FT合成油など
既存の
LNG製造設備
で液化
LNG
ガス化 液体燃料
製造
SNG製造
大量消費国
既存のLNG輸送インフラに合流
CO2
回収・貯留
灰
灰
山元発電
国内需要を賄うとと
もに、海外へも輸出
高効率乾燥
システムによる
発電効率向上
1. Development and introduction of low-rank coal gasification and slurrying technologies
2. Development and introduction of low-rank coal improvement technologies for
effective use of unused resources
Efficient use of low-grade coal
改質炭
Ensuring export capacity
and relaxing of energy
supply-demand balance
in coal countries
Relaxing of supply shortage
In Asian countries
Stable supply of coal to Japan
Diversification of energy sources
Coal country
General
coal for
power
generation
Low-grade
coal
Improved
coal
Mine mouth
power
generation
Gasifica-
tion
Liquid fuel
production
SNG
productionCO2
collection
and storage
Ash
Methanol,
DME, FT
synthetic oil,
etc.
Power generation
efficiency
improvement with
high-efficiency drying
system
Not only supply for
domestic demand but
also export to overseas
Liquefaction at
existing LNG
production
facilities
CO2
collection
and storage
Ash
Major consumer country
Transported by existing LNG transport infrastructure
36

38. Slurrying technologies
Drying
Carbonization
SNG production technologies
(Methanation, High Calorie Gas)
Circulating fluidized bed
gasification technology
Coal Flash Partial
Hydropyrolysis Technology
【 Technical Field 】
JGC ：Demonstration
MHI : Demonstration
Babcock Hitachi
IHI : Demonstration
TSK(Tsukishima) ：Demonstration
KOBELCO ：Demonstration
Kyusyu Electric：FS
IHI : Demonstration
【 Leading Development : Stage】
Osaka Gas：Element R&D
NIPPON STEEL & SUMIKIN ENGINEERING：FS
Utilization Technologies of Low Rank Coal
Gas processing
Gasification
technologies
37

39. ５. Summary
○ Coal will continue to play a role in diversifying energy sources in Japan.
 Coal has advantages in terms of economics and security.
 The use of coal will continue to be one of the major energy sources.
 We seek to improve efficiency, develop CCS-related technologies with the aim of reducing
carbon emissions.
○ Japan's clean coal technologies (CCT) contribute to the reduction of global CO2 emissions
and the economic development throughout the world.
 By replacing coal-fired power plants in the major consumers of coal with the most advanced
coal-fired power plants in operation in Japan, CO2 emissions can be reduced by 1,500 million
tons.
 We provide CCT tailored cooperation to the partner countries' economic levels and needs.
 The government also support them through policy dialogue, assistance in verification tests and
feasibility study (FS), etc.
 For assistance in emissions reduction, the utilization of bilateral credit is considered.
38

40. Thank you for your listening!
資源エネルギー庁
39