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Initiatives of tInitiatives of the City Gas Industrhe City Gas Industry toy toCombat Global WarmingCombat Global Warming
The Japan Gas AssociationNovember 29, 2007
2
City gasGasification, calorific value adjustment
Scope of Keidanren’s Voluntary Action Planon the environment
Initiatives of the City Gas Industry to CombatInitiatives of the City Gas Industry to CombatGlobal WarmingGlobal Warming
(1) Reduce CO2 emissions when producing andsupplying city gas
Indu
stry
Com
mer
-ci
alR
esid
enti
alTr
ans-
port
・Wider use of vehicles poweredby natural gas
(2) Reduce CO2 emissionsat customer-side
CO2 emissions in fiscal 2006: 380,000 t-CO2(Approx. 0.03% of total CO2 emissions in Japan)
・More widespread use of naturalgas
・Development and introduction ofhigh-efficiency equipment
Rawmaterial
Using natural gas to reduce CO2 emissions on both the supply and demand sides
Exampleof LNG
Co-generation systems, fuel cells,Eco-Jozu, etc.
Undergroundtank
LNGvaporizer
High-pressurepipeline
Medium-pressurepipeline
Low-pressurepipeline
Gas holderCustomers
City gas production plant
・Initiatives that will lead to anational movementSupport for environmental education,etc.
3
Initiatives at the City Gas ProductionInitiatives at the City Gas Productionand Supply Stagesand Supply Stages
44
Fuel for reformers, oil heating furnaces,boilers, etc.Electricity for oil/water pumps, coolers, etc.
Electricity for LNG pumps, seawater pumpsfor vaporizers, BOG compressors , etc.
Fuel for coke ovens, etc., electricityfor coal crushers, electrostatic samplers,scrubbers, pumps, etc.
Efficiency of gas production from oil: 85-98%
Shiftfeedstock
・Building the infrastructures such as LNGtanks・Customer-by-customer adjustment ofcombustion for all devices・Switch at one supplier takes up to 10 years
69.8
79.2
80.2
80.6
81.5
82.8
84.0
85.8
87.1
88.2
89.7
6.0
5.5
5.6
5.6
5.8
5.8
5.8
6.0
6.0
6.1
6.7
FY1990
FY1997
FY1998
FY1999
FY2000
FY2001
FY2002
FY2003
FY2004
FY2005
FY2006
unit:%LNG
Indigeneousnatural gas Gas from coal
LPG
Petro leum gasessuch as naphtha
Efficiency of gas production from natural gas: 99%Efficiency of gas production from natural gas: 99%
Initiatives at the City Gas Production and Supply StagesInitiatives at the City Gas Production and Supply Stages①①
FY2006: 9 suppliers switchedFY2006: 9 suppliers switchedCumulative total: 188 suppliers switchedCumulative total: 188 suppliers switched
Improve efficiency of city gas production by shifting its feedstock tonatural gas
-Entire industry promotes shift to natural gas-
Efficiency of gas production from coal: 70%
Raw material switch is progressingsteadily
Breakdown of feedstock used to produce city gas
55
Initiatives at the City Gas Production and Supply StagesInitiatives at the City Gas Production and Supply Stages ②②
Reduction in volume of LPGused
Reduce volume of steam used in LPGvaporization
Greater use of LNG cold energy①Enhance cold energy power
generation by optimizing coolantcomposition
②Use cold energy in refrigeratedstorages, etc.
More efficient equipment①Reduce seawater volume by re-
engineering vaporizer panels②Boost efficiency by improving seawater
pump impellers③Introduce seawater pump revolution
control④Introduce air-fin-type vaporizers that can
be used even in cold climates, etc.
Revised operating procedures①Reduce vaporizer seawater spray
volume②Revise number of operating units③Reduce heat loss by changing vapor line
steam traps, augmenting insulation, etc.
Promoting energy conservation even at production plants that haveswitched to natural gas
- Further energy savings on top of high production efficiencyー
6
Results and Forecasts ofResults and Forecasts of Voluntary Action PlanVoluntary Action Plan
54
133
38
1211
84Former target
73
Former target23
0
20
40
60
80
100
120
140
1990 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Fiscal year
CO
2em
issi
ons
(10,
000
t-CO
2)
0
100
200
300
400
500
City
gas
pro
duce
d(1
00 m
illio
n m
3 )
CO2 emissionsCO2 emissionsintensity
City gas produced(production activity
index)
2010Target
CO
2em
issi
ons
inte
nsity
(g
-CO
2/m3 )
1990
Substantial reductions in CO2 emissions achievedcompared to fiscal 1990, the base year
Although demand for environmentally friendly city gas is expecteAlthough demand for environmentally friendly city gas is expected to increase, ongoingd to increase, ongoingefforts to reduce CO2 emissions are predicted to enable achievemefforts to reduce CO2 emissions are predicted to enable achievement of the new targetsent of the new targets
7
Voluntary Action Plan TargetsVoluntary Action Plan TargetsCarry out changes and raise FY2010 targets for CO2 emissions intensity and
overall CO2 emissions
Targets for city gas production and supply processes
1. CO2 emissions per 1m3 of city gas produced
FY1990→ FY2010
New targets
CO2 emissions intensity [g-CO2/m3]
Percentage reduction
84 → (23)→12(73%) → 86%
CO2 emissions [10,000 t-CO2]
Percentage reduction
133 →(73)→54
(45%) → 59%
1
Figures in parentheses are old targetsFigures in red are new targets
9
The Switch to Natural GasThe Switch to Natural Gas
Effect of shift to gasSwitching from other fuels such as coal to natural gas
Reduction in CO2 emissions: approx. 25%Note: Effect of shift resulting from subsidies to promote
switching to natural gas in high-energy-use facilities(FY2002–2006)
-2.5 million t-CO2 p.a.(Reduction of approx. 2,400 t-CO2 per facility on average)
Effect of shift to gasSwitching from other fuels such as coal to natural gas
Reduction in CO2 emissions: approx. 25%Note: Effect of shift resulting from subsidies to promote
switching to natural gas in high-energy-use facilities(FY2002–2006)
-2.5 million t-CO2 p.a.(Reduction of approx. 2,400 t-CO2 per facility on average)
Example: Switching of forgingfurnace to natural gas
Effect of boostingefficiency
Introduction of high-efficiencyequipment at time of fuel switch
Even greater reduction of CO2
emissions
Effect of boostingefficiency
Introduction of high-efficiencyequipment at time of fuel switch
Even greater reduction of CO2
emissions
Heavy fuel oil A+ conventional
burner100
CO2emissions
Natural gas +conventional
burner75
Natural gas +regenerative
burner45
Reduce CO2 emissions by switching from other fuels tonatural gas
10
0.34 0.44 0.490.60 0.74 0.89 1.001.19 1.331.51 1.69
1.902.15
2.42
3.13
3.594.00
4.98
0.00
1.00
2.00
3.00
4.00
5.00Installed capacity
(Million kW)
1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010年度
Promoting Natural Gas CogenerationPromoting Natural Gas Cogeneration
Total installed kW figures are rising steadily—on track to achieve2010 target set forth in Kyoto Protocol Target Achievement Plan
・2010 installation target of Kyoto ProtocolTarget Achievement Plan: 4.98 million kW
・Reduction in CO2 emissions resulting fromachievement of target: 11.4 million t-CO2
Ongoing promotion of cogeneration and introduction of more efficient equipment
FY
11
Introduction of More Efficient EquipmentIntroduction of More Efficient Equipment
0.7 2.4
5.714.0
27.5
47.5
77.5
127.5
199.5
0.9 2.6
37.7
19.57.7
0.0
50.0
100.0
150.0
200.0
250.0
2002 2003 2004 2005 2006 2007 2008 2009 2010
万台
年度
目標 実績
1.1
17.5
13.9
10.5
7.4
4.6
2.6
0.32.4
4.1
0.41.2
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
18.0
20.0
2003 2004 2005 2006 2007 2008 2009 2010
万台
年度
目標 実績
2010 Targets and Actual Results (City Gas Only)
Installation of high-efficiency water heaters is steadily increasing thanks to activepromotion—on track to reach 2010 targets for total number of units installed
Energy savings: 13%CO2 emissionreductions: 13%
・The community gas utility industry and the liquefied petroleum gas (LPG) utility industrylaunched the Japan Gas Group Energy Popularization Promotion Council (Collabo) to jointlypromote widespread use of high-efficiency water heaters.・As well as shipping latent heat recovery water heaters and gas engine water heaters, thecouncil funds afforestation projects (in Vietnam). For every 500,000 units installed, 500,000 treesare planted.
-- Promoting Widespread Use of HighPromoting Widespread Use of High--Efficiency Water HeatersEfficiency Water Heaters --
Energy savings: 22%CO2 emissionreductions: 32%
10,000 units10,000 units
Target
FY FY
Eco-JozuActual
ActualTarget
12
Vehicles powered by natural gas make a major contribution toreducing CO2 emissions and oil dependency
Promoting Natural Gas VehiclesPromoting Natural Gas Vehicles
•• Promoting use of natural gas vehiclesPromoting use of natural gas vehiclesas alternative to diesel vehicles,as alternative to diesel vehicles,particularly as commercial trucks andparticularly as commercial trucks andgarbage trucksgarbage trucks
•• Launch of biLaunch of bi--fuel vehicles: light vehiclesfuel vehicles: light vehiclesand small vans powered by compressedand small vans powered by compressednatural gas (CNG) with gasoline asnatural gas (CNG) with gasoline assupplementary fuelsupplementary fuel
Future development of commercialvehicles for inter-city transport�Potential as alternative to large diesel
vehiclesTrucks equipped withTrucks equipped with ““idle stopidle stop”” functionfunction BiBi--fuel vehiclesfuel vehicles
Approx. 20% reduction in COApprox. 20% reduction in CO22 emissionsemissionscompared to gasoline vehiclescompared to gasoline vehicles
Natural Gas Vehicles and Stations in JapanNatural Gas Vehicles and Stations in JapanNatural Gas Vehicles and Stations in Japan
138
311
288
270
224
181
107
82
6247
3424
1266
324
0
4,000
8,000
12,000
16,000
20,000
24,000
28,000
32,000
1991199219931994199519961997199819992000200120022003200420052006
年 度
天然ガス自動車数
0
50
100
150
200
250
300
350
天然ガススタンド数
乗用車
小型貨物(バン)
軽自動車等
トラック
塵芥車
バス
急速充填所
12349
31,462
5,252
243421 759
1,2112,093
3,640
12,012
7,811
16,561
20,638
24,263
27,605
31,500 vehicles in Japan as of March 31,31,500 vehicles in Japan as of March 31, 20072007
Nat
ural
gas
veh
icle
s
Nat
ural
gas
sta
tions
Passenger vehiclesSmall vansLight vehiclesTrucks
Buses
FY
Garbage trucks
High-speed refuelingstations
13
Fuel Cells
Promoting Use of Biogas
Sample initiative� Established biogas promotion center within
the Japan Gas Association in April thisyear—promotes widespread use of biogas bygathering information on technologies,projects, and systems related to use ofbiomass energy and supports efforts bysmall and medium-sized gas suppliers.
Sample initiatives� Large-scale trial projects were implemented to promote introduction of
residential-use fuel cells (polymer electrolyte fuel cells: PEFC) offering 37% ingeneration efficiency and 45% reduction in CO2 emissions. Approx. 300 newunits installed in fiscal 2006.
� From this fiscal year, large-scale trials of solid oxide fuel cells (SOFC) offeringhighly efficient generation will start.
Area Energy Networks
Initiatives Aimed at Further CO2 EmissionInitiatives Aimed at Further CO2 EmissionReductionsReductions
Highly efficient energy use through pooling ofpower and heat among neighboring buildings
Promoting highly efficient energy use throughcogeneration systems that burn a mix of citygas and biogas
Sample initiative� Subsidies for model projects installing natural
gas area energy networks are being offeredfrom this fiscal year and will be used tointroduce such networks.
14
Initiatives Leading to a National MovementInitiatives Leading to a National Movement-- Support for Environmental EducationSupport for Environmental Education --
Promoting ecoPromoting eco--cookingcooking Supporting environmental andSupporting environmental andenergy lessons in schoolsenergy lessons in schools
Recommending environmentally friendlyfood culture covering all aspects fromshopping to cooking and disposing of waste
Lessons on environmental and energyissues offered by guest instructors
Sample initiatives� Example of sessions run by gas utilities:
1,123 in fiscal 2006, with approx. 31,100participants
� Tokyo Gas and JGA cooperating to expandthe initiative through measures such asrunning instructors’ courses open to othergas utilities
Sample initiatives� Example of lessons offered by gas utilities:
3,813 in fiscal 2006, with 114,390 studentstaking part
� “Earth-friendly seminars” based on noodle-cooking lesson
� Production of educational support materialsfor gas utilities in order to expand theinitiative
(Jointly produced with the Information Center for Energyand Environment Education)
15
Support for energy-saving operation of equipmentInformation on monthly gas meter reading slips
Energy-saving information via website/pamphlets
Monthly meterreading slipsinclude data ongas usage in theprevious monthand the samemonth of theprevious year
Introduction of “energy-look” controlpanels for Eco-Will and Eco-Jozusystems, fuel cells, etc. Energy-savingnavigation function helps users toefficiently conserve energy and givesdaily/monthly data on matters such asvolume of power generated.
30,000 copies of Ultra Energy-Saving Book distributed, outliningenergy-saving behavior/appliancesand reduction of CO2 emissions.
�According to a survey of Eco-Willusers, some 70% of customers thinkthe panels have raised theirawareness of energy conservation
Energy-conservation checks
System whereby users can registerfor monthly emissions data,comparisons with similar households,etc. Approx. 30,000 members.
Green monitoring scheme for remotegathering of energy usage data fromoffices, hotels, etc. and feedback tousers.
High-efficiency equipment promoted in conjunction with the Team Minus 6% campaign aimed atencouraging energy consumers to reduce CO2 emissions by 1 kg per person per day.
Energy-saving informationprovided on “Hints for SmartLiving” section of website.
860,000 leaflets produced anddistributed for widespread usethroughout the gas industry.
(All in Japanese)
Providing Information on Energy ConservationProviding Information on Energy Conservation
16
SummarySummary
・Push ahead with initiatives that generate synergy for reduction of CO2emissions by contributing to the national movement, such asenvironmental education and diffusion of information on energyconservation.
・Raise targets and work to meet them.・If targets are achieved, CO2 emissions intensity will be reduced by 86%and total volume of CO2 emissions will be reduced by 59% compared toFY1990 figures.
・Promote more widespread use of natural gas and installation of high-efficiency systems such as Eco-Jozu, Eco-Will and natural gas cogeneration.
Initiatives at the City Gas Production and Supply StagesInitiatives at the City Gas Production and Supply Stages(Voluntary action plan on the environment)(Voluntary action plan on the environment)
CustomerCustomer--Side InitiativesSide Initiatives
Using natural gas as the key,combat global warming from both the supply and demand sides