1. NEDO’s Energy Conservation Activities
September 2, 2013
Masahide Shima
Director General
Energy Conservation Technology Department,
New Energy and Industrial Technology
Development Organization (NEDO), JAPAN
My name is Masahide Shima and I am from NEDO, the New Energy and Industrial Technology Development Organization.
I’m very pleased to be here to participate in this seminar.
Today, I would like to talk about technologies for energy conservation.
As you all know, the Great East Japan Earthquake of March 11, 2011 caused tremendous human suffering and structural damage in Japan.
This disaster has led us and other people around the world to reconsider the importance of the energy sources that support our daily life.
At the very least, we all have put greater emphasis on efforts to reduce energy use.
・・・・・・・・

2. Index
1. Trends of Energy Consumptions in Japan 2. Energy Policy for Promoting Energy Conservation in Japan 3. Examples of NEDO‘s R&D technologies in Energy Conservation
Today, I would like to introduce NEDO’s energy conservation projects in the commercial, transport and industrial sectors.
Let me begin with by giving an overview of Japan’s energy consumption.

3. 1. Trends of Energy Consumptions in Japan Japan’s Energy Conservation Trends
First of all, I would like to give some background information on energy conservation in Japan. This slide shows changes in Japan’s primary energy consumption per GDP.
We have steadily improved our economy’s efficiency for almost forty years as the indicator here shows. However, there still is a problem regarding Japan’s energy consumption.
The problem is the total amount of gross consumption we can see in the next slide.
Source: Development of Energy Conservation Policy, Law and Management Concept in Japan (Akira Ishihara, ECCJ)

4. Japan’s Energy Consumption Trends
Final energy consumption has increased about 1.3 times since 1973, whereas real GDP increased about 2.4 times in the same period.
Industrial sector energy consumption has leveled off, but a significant increase in energy consumption has been observed in the consumer sector (commercial and residential subsectors).
(Petroleum equivalent in million tons)
(JPY trillion)
Real GDP
1973→2011
2.4 times
Final energy
consumption
1973→2011
1.3 times
Transportation
1.9 times
Consumer
2.5 times
Industrial
0.9 times
23.3%
Transportation sector
Consumer sector
33.8%
Energy consumption in Japan can be divided into three groups: the industrial sector, the transport sector, and the consumer sector.
Energy consumption in the consumer sector has been increasing significantly, and it accounts for 33.8 percent of total energy consumption.
Consequently, reducing the use of energy in this sector continues to be a key issue.
Industrial sector
42.8%
Source: Comprehensive Energy Statistics and Annual Report on National Accounts

5. Energy Policy for Promoting Energy Conservation in Japan
Industrial
sector
Transport sector
Commercial subsector
Residential subsector
Regulation
Energy Conservation Law
Top Runner Program of Energy Conservation Law
Support
Promotion of products with a high level
of energy conservation performance
(via tax system, funding and loans)
Promotion of R&D for innovative energy conservation technology
Promotion of high energy efficient consumption equipment for supplying hot water and air conditioning
Next, I’d like to explain about Japanese Regulation and Supports.
There are regulations and support measures for the promotion of energy conservation in the industrial and transport sectors and commercial and residential subsectors.
The Energy Conservation Law covers all sectors.
The Top Runner Program is based on the Energy Conservation Law. It regulates all sectors except the industrial sector in order to promote energy efficiency.
The Energy Conservation Law prescribes energy efficiency standards for appliances and vehicles corresponding to those of the Top Runner Program.
The concept of the Top Runner Program is that standards are set higher than the best performance value for each product on the market. Standard setting takes into account technological development.
NEDO supports the promotion of research and development for innovative energy conservation technology, and also supports the promotion of high energy consumption efficiency equipment for the commercial subsector.

6. Outline of 2011 Strategy for Energy Efficiency Technologies
Objectives
In order to achieve goals for 2030 included in the Basic Energy Plan, the 2011 Strategy for Energy Efficiency Technologies aims to develop energy efficiency technologies, promote the introduction and international deployment of such technologies, serve as a guideline for stimulating economic growth and realize Japan’s aspiration to be the world’s leading nation in terms of energy efficiency technologies.
This strategy therefore prioritizes wide-ranging energy efficiency technologies and selects key technologies that can meaningfully contribute to Japan’s energy-saving efforts.
Key technologies
Industrial sector
Residential/
Commercial subsectors
Transport sector
Cross-sector
Technologies to minimize exergy loss
Technologies to improve system energy efficiency
Technologies to manufacture energy-saving products　　
ZEB and ZEH　　
Energy-saving information devices and systems
Energy efficiency technologies to suit personal preferences
Stationary fuel cells　　
Next-generation vehicles
ITS
Intelligent logistics system　　
Next-generation heat pump systems
Power electronics
Next-generation heat and power networks　　
Next, let me introduce NEDO’s activities in the energy efficiency technology area.
At present, due to the Great East Japan Earthquake in 2011, promotion of energy efficiency technologies has been prioritized along with the introduction of renewable energy.
Under these circumstances, NEDO is working to undertake various energy efficient technology development projects in the industrial sector, residential/commercial subsectors, transport sector and cross-sector.
This slide shows an outline of the Japan’s strategy for energy efficiency technologies.
As you can see, energy efficiency technology covers a wide range of technologies.
In order to promote the Japanese government’s policy toward the future and to achieve its goals, NEDO developed the 2011 Strategy for Energy Efficiency Technologies together with the Ministry of Economy, Trade and Industry and prominent experts in the energy efficiency area.
The strategy prioritizes a wide range of energy efficiency technologies and focuses on key technologies that can meaningfully contribute to Japan’s energy-saving efforts.
From these key technologies, heat pumps, net-zero energy buildings (ZEB) and intelligent transport systems (ITS) were selected for further promotion.

7. Key Technologies of 2011 Strategy for Energy Efficiency Technologies
Sector
Key technology
Associated technology
Industrial sector
Technologies to
minimize exergy
loss
Energy-saving production
Innovative iron-making
technology
Industrial heat pumps
High-efficiency thermal power
generation
improve system
energy efficiency
Cross-industry energy networks
Laser processing
manufacture
energy-saving
products　
Sector
Key technology
Associated technology
Residential/commercial sector
ZEB・ZEH
(Net-zero
Energy
Building/House)
Design/
planning －
Exterior/
building materials
High-insulation technology, passive energy technology
Air conditioning systems
High-efficiency air-conditioning technology
Ventilation
Lighting
High-efficiency lighting technology
Hot water system
High-efficiency hot water supply technology
Elevators
Energy management
Energy management systems
Coordination with energy generation
Energy-saving
information
devices and systems
Energy-saving information devices
Next-generation energy-saving network communications
Technology to reduce standby power consumption
High-efficiency displays
Energy efficiency technologies that suit personal preferences
Stationary fuel
cells
Sector
Key technology
Associated technology
Transport sector
Next-generation
vehicles
Electric vehicles, plug-in hybrid vehicles, fuel cell vehicles
ITS
Technology to support energy efficient driving, TDM, traffic control and management technology, traffic information services, traffic information management technology, technology to mitigate traffic congestion
Intelligent
logistics system
Technology to match freight information with transportation, freight traceability technology, environmental performance measuring technology
This table shows details for 13 key technologies of the Strategy for Energy Efficiency Technologies.
Based on this strategy, NEDO is carrying out national projects and proposal-based R&D projects in the energy efficiency technology area.
Sector
Key technology
Associated technology
Cross-sector
Next-generation heat pump
system
Heat pumps for residential/commercial buildings and factory air conditioning systems, heat pumps
for hot water supply systems, industrial heat pumps, heat pumps for refrigerators, freezers, car air-
conditioners, systemization, refrigerant-related technologies
Power electronics
Wide-gap semiconductors, high-efficiency inverters
Next-generation heat and
power networks　
Next-generation energy management systems, next-generation energy transmission and distribution
networks, next-generation district heat networks, cogeneration, industrial fuel cells (solid oxide fuel
cells), heat transport systems, heat storage systems

8. Industrial Sector Key Technologies (1/4)
Technologies to minimize the loss of exergy (available energy) being used in various production processes
Examples:
・Energy-saving production
・Innovative iron-making technology
・Industrial heat pumps
・High-efficiency thermal power
generation
Technologies that are expected to achieve significant energy-saving effects when used in conjunction with other technologies or new concepts (flexible heat utilization by means of heat storage, heat transportation, etc.)
Examples:
・Cross-industry energy networks
・Laser processing
Technologies to manufacture products which are not particularly energy-saving but will offer significant energy-saving effects for manufactured products
Examples:
・Ceramic manufacturing technology
・Carbon fiber/composite material
manufacturing technology
Technologies to minimize exergy loss
Technologies to improve system energy efficiency
Technologies to manufacture energy-saving products
This slide shows examples of technologies in Industrial Sector.

9. Residential and Commercial Sectors
Key Technologies (2/4)
Residential and Commercial Sectors
Improving energy-saving efficiency for building frameworks and equipment in homes and buildings, and comprehensive design systems such as load control and integrated control to reduce energy consumption in homes and buildings to virtually net zero.
New concepts and methods to develop energy-saving efficiency that focus on utilizing and applying different personal comfort levels and preferences, and continue to regard such differences with respect to development.
Example:
ZEB (Net-zero Energy Buildings)
ZEH (Net-zero Energy Homes) 　
Energy-saving
That Suits Personal Comfort and Preferences
High-efficiency lighting, next-generation lighting
Passive building
High-efficiency lighting, next-generation lighting
Super-insulated home
Super-insulated building
Technologies that optimize energy-saving for residential and office environments by using control technologies and sensor technologies based on the understanding of human movement.
Passive home
Home air-conditioning heat pump
ZEH
ZEB
BEMS
Hot-water heat pump
High-efficiency water heater
Hot-water heat pump
High-efficiency water heater
Building air-conditioning heat pump
HEMS
Developing energy-saving technologies for devices and equipment in order to reduce power consumption increases due to the use of IT and other equipment.
Technologies that significantly
reduce primary energy
consumption by enhancing
power generation efficiency
and heat utilization
Technology development
Energy-saving Information
Equipment and Systems　
Stationary Fuel Cells　
Next, this slide shows examples of technologies in Residential and Commercial Sectors.
Energy-saving next-generation network communication
Energy-saving information equipment
Technologies to reduce standby power consumption
High-efficiency displays
Solid oxide fuel cell （SOFC）, Polymer electrolyte fuel cell （PEFC）

10. Transport Sector Key Technologies (3/4) Next-generation Vehicles
Next-generation vehicles such as electric vehicles have the potential for substantial improvement of fuel efficiency compared to conventional vehicles
Examples:
・Electric vehicles
・Plug-in hybrid vehicles
・Fuel cell vehicles
Next-generation Vehicles
Intelligent Transport Systems (ITS)
Technology to promote optimization of traffic systems, including those for people, freight and vehicles, by utilizing information and communication technology and control technology.
ITS also includes developing technologies aimed at reducing accidents, mitigating traffic congestion, and promoting energy-saving and environmentally friendly systems.
Examples:
Example of energy-saving driving support technology): platoon driving
・Energy-saving driving support technology
　　・Transportation demand management technology (TDM)
・Traffic control and management technology
　　・Traffic information provision and management information technology
・Traffic flow mitigation technology
Intelligent Logistics
◆Visualization of locations and delivery status of freight, vehicles and storage, delivery management, quality management, and storage management.
◆Provide options for energy-saving methods of transportation
◆Matching technologies between freight information and transportation information
・System integration and unification of facilities and freight handling for transport freight and the coordination of storage facility information
Technologies to improve energy saving efficiency and logistics by using communication technologies which coordinate and control information relating to freight, and transportation facilities for processes such as door-to-door transportation, storage, loading and unloading.
This slide shows examples of technologies in Transport Sector.
◆Traceability technology for actual transfer conditions
◆Measuring techniques for environmental performance
・Freight Information using microchips and IC tags
・Location information via GPS
・Visualization of energy consumption
・Optimal distribution coordination of
automobiles, railways and vessels
and node upgrades
・Consolidated freight transportation via platoon driving
◆Modal shift
◆Node intelligence

11. Cross-sector Key Technologies (4/4) Power Electronics
Systems to achieve high-efficiency, low cost heat pumps and reduce greenhouse gas emission by developing systemization and innovative element technologies for heat pumps.
●Systemization technologies: Technologies for utilizing unused heat, technologies for collecting and storing high-efficiency heat, technologies for streamlining low load areas, etc.
●Innovative element technologies: Technologies for high-efficiency refrigeration cycles, development of new refrigerants, high-efficiency heat exchange equipment,　technology for high-efficiency compressors, etc.
Examples:
・HPs for home, office buildings and factory air-conditioning
・HPs for car air-conditioning ・Industrial use HPs　
・HPs for hot water ・HPs for refrigerators, freezers, etc.
Technology that supports high-efficiency electric power supply systems used in all fields and meets the soaring energy consumption demand as a result of IT development.
Examples:
・Wide-gap semiconductors　・High-efficiency inverters
Next-generation Heat Pump Systems
Power Electronics
　Comprehensive energy-saving technologies, including heat networks designed for the efficient use of heat, next-generation energy management systems designed to optimize energy use within certain regions, and next-generation energy transmission and distribution networks which support the introduction of renewable energy.
Examples:
・Next-generation energy management systems
・Next-generation energy transmission
and distribution networks
・Next-generation district heating networks
・Cogeneration
・Industrial fuel cells （SOFC）
・Heat transport systems
・Heat storage systems
Next-generation Heat and Power Networks
Lastly, this is the slide showing examples of technologies in Cross-sector.

12. 3. Examples of NEDO‘s R&D technologies in Energy Conservation
Materials and Power Application of Coated Conductors M-PACC Project ( ) SMES,Cable,Transformer and High-performance/Mass Production of C.C.
As an example of our national projects, I will introduce the Materials and Power Application of Coated Conductors Project (M-PACC).
This project started in fiscal year 2008 and was completed in fiscal year The annual budget for this five-year project was approximately 30 million dollars, and the total budget amounted to approximately 150 million dollars.
（NEDOでの正式な英語事業名称: Technological Development of Yttrium-based Superconducting Power Equipment）
Budget: Up to $30 Million
Per Year for 5 Years

13. Coated conductors for mass-production (10-20km)
　 ’ ’ ’ ’ ’ ’12
SMES Project
Materials & Power Application of
Coated Conductors, M-PACC Project
Field Test
Market
SMES using
LTS metal
super-
conductors ～
2MJ SMES model
for >20MJ SMES
Coated
conductors
project
2MVA transformer for 20MVA transformer
Y系超電導線材
(1) Application environment Effect
(2) High Ic in B
(3) Low AC loss
(4) High Jc and mechanical strength
(5) Low cost and high yield
YBCO tape
66kV-5kA, 275kV-3kA cable
In order to establish a stable and efficient power supply system that can serve as a foundation for civil infrastructure, it is essential to develop technologies to properly control power grid system operation, supply stable power and ensure a highly efficient transmission of power to avoid power loss during transmission.
To this end, NEDO has leveraged Japan’s cutting-edge superconducting technology and expertise to develop compact, high-capacity superconducting power equipment using an yttrium-based high-temperature superconducting material containing rare earth metal oxides.
The purpose of this research and development was to assess the prospects for practical application of superconducting power cables, transformers and magnetic energy storage devices as next-generation power equipment by using practically available yttrium-based superconducting material. The technology development of such power equipment for early practical application and industrial adoption is expected to greatly contribute to building an even more stable and efficient power supply system that can provide the power that is essential for economic growth.
Research and development activities were divided into four themes: superconducting magnetic energy storage systems, or SMES; superconducting transformers; superconducting cable; and yttrium-based superconductor.
Coated conductors for mass-production (10-20km)
Preliminary
work for
applications

14. M-PACC Project: 2008–2012 Project Leader Yuh SHIOHARA JFCC JFCC
SMES
Nagaya　SPL
Cable
Fujiwara/
Ohkuma SPL
Transformer
Hayashi SPL
C.C.
Izumi SPL
Standardi-
zation
　　　　　　JFCC
　　　　JFCC
　　　　JFCC
This slide outlines the implementation scheme of the project.
Under the leadership of Dr. Yuh Shiohara, Director General of the Superconductivity Research Laboratory, the research and development division of the International Superconductivity Technology Center (ISTEC), activities were carried out by an industry-academia consortium formed for each theme.
Collaborating
Universities &
Research Labs
Kyushu Univ.　　　　Nagoya Univ. 　　　　Kyoto Univ.　　　　　Waseda Univ. 　　　　
Kagoshima Univ.　　　Iwate Univ.　　　 　　Osaka Univ. 　　　　Tohoku Univ.　　　　　LANL 14 14

15. Underground transformer
Conceptual View of Electric Grid System with Superconducting Power Devices for a Stable and Large Capacity Electric Power Supply
－ SMES, Cable and Transformer －
Solution for voltage deviation and step-out of power generator by controlling active power
１．Stabilization of electric power system ＳＭＥＳ
Cooling tower
Cooling devices
2. Superconducting cable
A conceptual future image of the transmission system applied on the project results is shown here.
By leveraging the characteristics of superconductivity, one underground superconducting cable is capable of transmitting power three times more capacity than a conventional XLPE cable, thereby significantly decreasing the installation cost and reducing transmission loss by one-half.
Moreover, the size and weight of a superconducting transformer have been reduced by two-thirds and one-half respectively. At the same time, transmission loss is reduced by one-third.
Superconducting magnetic energy storage devices are capable of storing considerable energy by utilizing superconductivity’s characteristic of zero electrical resistance.
Duct retrofitting
Cu transformer
Duct
3. Superconducting
transformer
Cu CV cable
500 MW/circuit
SC cable
1500 MW/circuit
Weight：1/2
Area：2/3
Loss：1/3
Plus: Fault current
limiting and nonflammable
3times
Capacity
Underground transformer

16. Strategic Innovation Program for Energy Efficiency Technologies
Based mainly on the 2011 Strategy for Energy Efficiency Technologies, the New Energy and Industrial Technology Development Organization (NEDO) is promoting seamless development of key technologies that are expected to achieve significant energy-saving effects following their commercialization.
　(FY2013 budget：　9 billion yen (about 90 million US dollar)
The goal of this energy conservation program is to reduce Japan’s energy consumption by 10 million kl crude oil equivalent by 2030.
By introducing a stage gate evaluation system, each technology development plan will focus on achieving energy conservation targets.
Selection of Key Technologies
Research and Development
Research and Investigation of Energy Efficiency Technologies ●Search for technology seeds
● Consideration of development themes
Development of Energy Efficiency Technologies
　　　　　　　● Evaluation for selection, stage gate evaluation
Next, I would like to introduce NEDO’s Strategic Innovation Program for Energy Efficiency Technologies.
The government is currently reviewing Japan’s energy policy based on the experience of the Great East Japan Earthquake.
The promotion of energy conservation continues to be an important challenge, and how to effectively conduct energy conservation-related activities is being discussed by the Energy and Environmental Council.
NEDO’s Strategic Innovation Program for Energy Efficiency Technologies is designed to help establish an energy-saving economic society and contribute to the enhancement of Japan’s industrial competitiveness.
More specifically, the program supports the development of technologies included in the 2011 Strategy for Energy Efficiency Technologies as key technologies and are expected to achieve significant energy-saving effects.
The characteristics of the program are as follows:
Setting technology development phases to manage relevant risks.
-Requiring corporate participation and providing subsidies for each phase in order to promote technological development having potential for commercialization.
-Fully funding joint research activities by universities and enterprises in order to facilitate the cooperation of industry and academia
-Striving for goals by using a stage gate evaluation system and providing comprehensive support for promising themes
The program budget for fiscal year 2013 is approximately 9 billion yen, which is about 12.2 billion Sri Lankan rupees.
Activities can start from the incubation, practical application or demonstration phase. Activities that start in the incubation phase must at least plan to move on to the practical application phase.
The stage gate evaluation system includes evaluations by external experts. C O M E R I A L Z T N E V A L U T I O N
Strategy for Energy Efficiency Technologies
（13 key technologies） E V A L E V A L
Incubation
phase
（up to 2/3 of subsidy rate）
Practical application
phase
（up to 2/3 of subsidy rate）
　Demonstration
phase
　　（up to 1/2 of subsidy rate） E V A L
Theme
Consortiums based on technology areas
Power electronics
ZEB × ×
Next-generation heat
and power networks
Next-generation
HP systems
Within
1 year
Generally within 2 years
Generally within 2 years

17. Small Once-through Boiler Power Generation System (1/2)
Example of Strategic Innovation Program for Energy Efficiency Technologies Project
Small Once-through Boiler Power Generation System (1/2)
Entrusted company: Kobe Steel, Ltd.
Project period:
(1) FY2001-FY2003: Preparatory research phase
(2) FY2004-FY2006: Scheme for Strategic Development of Energy Conservation Technology Project/Practical Application
Development of a Small Once-through Boiler Power Generation System
AWARDS
2009　NIKKEI BP Japan Innovators Award
2008 JSME Medal for New Technology
2008 The 5th Eco-Products Awards
Japan’s industrial technology
grand prize "Prime Minister's Prize"
2008 JMF Excellent Energy Saving
Machine（Agency for Natural
Resources and Energy）
Secondary effects
◎ The system is being used at various facilities, including energy companies, food companies, waste disposal sites and hospitals. Multiple systems can be installed in response to load changes.
◎ Air compressors using the same system have also been
developed.
Micro Screw Expander Steam Generator
This slide shows an example of a Strategic Innovation Program for Energy Efficiency Technologies project. The project was carried out to develop a small once-through boiler power generation system.
NEDO entrusted its work related to this project to Kobe Steel Limited. Preparatory research and research for practical application were carried out from 2001 to 2003 and from 2004 to 2006 respectively.
Steam is used for various purposes at factories and other facilities. Steam used in manufacturing processes is normally depressurized to appropriate pressure levels by pressure reducing valves. However, pressure energy released in the depressurizing process is not utilized.
Steam generators are attracting attention as an effective way to recycle pressure energy.
Kobe Steel Limited started preparatory research in 2001 and research for practical application in 2004.
Through NEDO’s project, a micro screw expander steam generator named “Steam Star” was put on the market in June 2007.
This generator uses steam produced from a small once-through boiler to generate electricity, a process which was thought to be difficult to put into practice.
Steam Star has received many awards, and 76 units were in operation as of September 2012.

18. Small Once-through Boiler Power Generation System (2/2)
Example of Strategic Innovation Program for Energy Efficiency Technologies Project
Small Once-through Boiler Power Generation System (2/2)
Before Installation
After Installation
Pressure is depressed and 160 kW is generated.
Pressure is only depressed.
Boiler
160
Pressure valve
To process
160 kW
Energy Saving
Pre-system installation and post-system installation of the generator are illustrated here.
As I have already explained, steam is depressurized to appropriate pressure levels by pressure reducing valves in order to be used in manufacturing processes such as heating, distilling, drying and sterilizing. However, pressure energy released in the depressurizing process is not utilized. As a result, steam generators have been developed to generate electricity by effectively recycling the untapped pressure energy.
The steam generators are equipped with screws that can rotate by a small amount of low-pressure steam.
A maximum power output of 160 kW has been achieved from steam at about 10 atmospheres.
Background and technology overview
● Steam is depressurized to appropriate pressure levels by pressure reducing valves in order to be used in manufacturing processes such as heating, distilling, drying and sterilizing. However, pressure energy released in the depressurizing process is not utilized. Steam generators have been developed to generate electricity by effectively recycling the untapped pressure energy.
● Steam generators are equipped with screws that can rotate by a small amount of low-pressure steam. A maximum power output of 160 kW has been achieved from steam at about 10 atmospheres.

19. Thank you for your kind attention.
Today I gave you an overview of Japan’s energy consumption trends and the government’s energy policy for promoting energy conservation. I also introduced NEDO’s R&D on energy conservation technologies and provided examples of our projects. As I mentioned, NEDO conducts R&D management of advanced energy conservation technologies and endeavors to widely disseminate them.
Thank you for your attention and listening to my presentation.