Carbon Trust Hails Japan's New Offshore Wind Law

Following the Japanese Government's approval of a new offshore wind bill that will be put into effect in the spring of 2019, the Carbon Trust welcomed the move, saying that this was a crucial step for Japan’s future energy strategy.

The bill promoting the commercial use of offshore wind in Japanese waters passed both houses of Japan’s National Diet. The first offshore wind tenders are expected in the spring or summer of 2019.

"Under the law, the government will set aside offshore areas for wind power projects. Developers will then bid to use the designated areas and successful bidders will then be given the right to use the zones for up to 30 years," the Carbon Trust stated.

The Carbon Trust said that passing the bill was a strong signal that the Government is committed to long-term investment into offshore wind. This clean energy source will, among other things, increase Japan's energy security by reducing its reliance on expensive imported LNG, according to the Carbon Trust.

"The next crucial stage will be to develop the next level of detail to clarify the expected power capacity of the zones and the overall ambition and timeframe for the zone allocation. Providing guidance on how developers should undertake the required site surveys needed to create the development plan and life cycle cost estimate will also be important, as will the provision for grid connections and clarification of whether costs will be borne by the developer or the grid operators."

The Japanese government is expected to designate around five offshore wind development areas.