10/10/2016
Austrian Energy Agency GmbH
Open Workshop “Fuel cells: Why is Austria not taking off?”
Japan’s ENE-FARM programme
Aki MARUTA, Ph.D.
Project Manager
Technova Inc
[email protected]
About TECHNOVA
About Technova / Speaker

Technova Inc

consulting firm, based in Tokyo

Founded: 1978
Fields:
Energy, Mobility, Environment
(H2/FC, battery, future mobility, renewables, auto-drive)
Clients: national government, local governments, agencies
(& many private customers)
Local host of ICHS (6th International Conference on Hydrogen Safety) in
2015 in Yokohama




www.technova.co.jp
Akiteru (Aki) Maruta, Ph.D. [email protected]




Project Manager at Technova
Expert in H2/FC technology and policy analysis
(hydrogen stations / FCV) since 1999
Working with METI / NEDO for international collaborations
(IEA AFCIA, IEA HIA, IPHE)
Member of IA HySafe
For H2/FC promotion: hydrogen-energy-navi
Information includes
- How FC works
- Ene-Farm
http://www.hydrogen-navi.jp/
4
METI’s Strategic Roadmap for
H2 / FC
Strategic Roadmap for H2 / FC
• published in June 2014, revised in March 2016
• Step by step approach to realize “Hydrogen Society” (toward 2040)
2020
Tokyo Olympic/
Paralympics
2030
2040
Phase 1
Phase 2
Phase 3
Installation Fuel Cell
H2 Power Plant/
Mass Supply Chain
CO2-free Hydrogen
2009: Residential FC
2015: FCV
2017: Stationary FC
around 2020:
FCV fuel cost
≦ HEV fuel cost
around 2025:
FCV cost competitive
≧ HEV
- Accelerate RD&D
- Realize reasonable
H2 price
Mid 2020s
-H2 Cost (CIF) :
JPY30/Nm3
-Enhance Supply Chain
in Japan
Around 2030
-Import H2 from overseas
- Full-scale H2 Power Plant
- Systematic RD&D
Around 2040
CO2-free H2 by combining
CCS and renewable energy
Market on H2 and FC in Japan
Approx. 1 trillion yen in 2030 → Approx. 8 trillion yen in 2050
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
6
Strategic Roadmap for H2 / FC
Phase1 (Current - )
1. Stationary FC
FCs for Residential Application
 Sales volume (cumulative)
 1.4 mil units by 2020
 5.3 mil units by 2030
 Payback Time (incl. unit price, installation cost)
 7-8 years by 2020
 5 years by 2030
 Unit Price
 PEFC: 800,000 yen (ca 7,000 EUR) by 2019
 SOFC: 1,000,000 yen (ca 8,700 EUR) by 2021
 Market should be self-sustained by around 2020
* 1 yen = 0.095 EUR
FCs for Commercial / Industrial Application
 SOFC
 Commercialization by 2017
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
7
Strategic Roadmap for H2 / FC
2. FCVs
 Market (in stock)
 About 40,000 FCVs by 2020,
 About 200,000 FCVs by 2025
 About 800,000 FCVs by 2030
 Small-sized FCVs will be launched by around 2025
3. Hydrogen Refueling Stations
 Commercial HRS deployment
 About 160 stations by FY2020
 About 320 stations by FY2025
 Need about 900 stations (with capacity of 300Nm3/h) by 2030
 Establish self-sustaining business by the late 2020s
 Small-capacity HRS using renewable source
 About 100 stations by 2020
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
8
Strategic Roadmap for H2 / FC
Phase 2: H2 Power Plant / Mass Supply Chain
(Realized in the late 2020s)
4. Hydrogen Power Plant

Reflects a report by study group on H2 power plant (March 2015) ,
embodies the description
Phase ３:CO2-free Hydrogen
(Realized in the late 2040s)
5. Hydrogen derived from Renewable Energy


States to launch a working group which handles technical and
economic issues regarding introduction of CO2-free hydrogen and
come to conclusion by March 2017.
Describes the promotion of advanced initiatives such as the reform
2020 project and Fukushima new energy society initiative.
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
9
Strategic Roadmap for H2 / FC: Stationary FCs
Around 2015
Around 2030
Around 2020
1.4 mil residential FCs installed
Achieving a cost for payback time of 7-8 years
(PEMFC: 800 K yen, SOFC 1 mil yen)
Around 2040
5.3 mil residential FCs installed
Achieving a cost for payback time of 5 years
Delivery &
Storage
Residential
application
Commercial and
Industrial Application
Application
Deployment of H2-based FCs for limited areas
Support for installation
Sustained market growth for residential FCs
Domestic market expansion (new houses / standalone  existing houses / complexes)
Review:
Electricity market
to be open for FC
Oversea market expansion (starting from Europe to other regions)
-
R&D on SOFC and other
type of FCs for cost
reduction and long life
Price reduction by volume production
Price reduction by streamlining and standardizing
processes for installation and maintenance
Demonstration &
regulation review toward
commercialization
- Demonstration of various conditions (load, weather)
- Review of regulations
Self-sustained market growth
- Price reduction by volume production
- Price reduction by streamlining and standardizing
processes for installation and maintenance
2017: Market introduction of FCs for
commercial / industrial application
Demonstration on H2 supply-chain
in collaboration with local communities
Hydrogen pipeline, installed at limited
areas (e.g. areas with HRS)
With local govs and local SMEs (e.g. Tokyo Olympic games
Production
System with reformer using city gas or LP gas
Full-scale operation of
supply chain of H2 from
overseas unutilized resources
Note: Unofficial translation
Full-scale
operation of
supply chain of
CO2-free H2
10
Budget for H2 / FCs in FY 2016 (METI)
Phase 2
Phase 1
H2 Power Plant/
Mass Supply Chain
Installation Fuel Cells
CO2-free
Hydrogen
Realization in the late 2020s Realization in 2040s
Focus on implementation from the present
Promotion of stationary FCs
Promotion of FCVs
Subsidies for Micro-CHP FCs
[JPY 9.5 billion]
Subsidies for HRSs
[JPY 6.2 billion]
Promote the accelerated
introduction of ENEFARMs. Promote lower
cost through mass
production.
Phase 3
Support the building of
HRSs. Partially
subsidize activities for
creating new demand,
etc.
Support for FCVs
[JPY 15 billion]
(incl. other policy items)
Building a H2 supply chain
Demonstrations for a H2 supply chain
[JPY 2.80billion]
Demonstrate how hydrogen can be
produced from untapped overseas
energy resources (by-product hydrogen,
brown coal, etc.), transported in the
form of liquefied hydrogen or organic
hydride, and used to generate power.
R&D of FC, etc.
R&D of FCs
[JPY 3.70 billion]
Conduct R&D to
enhance performance
and lower costs of
FCs, and demonstrate
commercial
applications of FCs.
LargeCHP FCs
R&D of HRSs
[JPY 4.15 billion]
Develop technologies
to lower costs of
HRSs, enhance safety
and security and
collect data so as to
review regulations.
Construction of a H2
energy network
Construction of a H2
energy network
[JPY 4.5 billion]
(incl. other policy items)
Build a network that
effectively connects multiple
hydrogen applications in the
region.
R&D of H2 production, transport
and storage
R&D for producing, transporting
and storing H2 derived from
renewable energy
[JPY 1.55 billion]
Develop technologies of high efficiency
water electrolysis units, tanks for
storing liquefied hydrogen, etc. with the
use of renewable energy sources in
mind.
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
11
ENE-FARM MARKET
ENE-FARM: Market Overview
 Accumulated volume: more than 150,000 units, achieved within 7
years.
180,000
154,045
Total
160,000
11,208
Cumulative Installed units
140,000
115,299
120,000
8,643
100,000
80,000
71,805
5,588
60,000
37,525
2,897
40,000
20,000
0
2,550
9,998
2009
2010
19,282
324
18,958
2011
142,837
106,656
66,217
SOFC
PEMFC
34,628
2012
2013
Fiscal Year
2014
2015
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
13
ENE-FARM: Unit Price and Subsidy
 Strategic subsidy program toward cost reduction of units for end
customers.
00 yen/unit]
500
000
500
000
500
3,030
3,000
[,000
yen/unit]
3,500
3,000
2,500
1,400
000
2,000
500
1,500
20 0
30
1,000
1,750
2009
500
1,360
0
0
350
0
300
14
2015
3,030
2,530
2,440
3,000
2,250
1,970
2,170
1,350
1,050
2,530
2,440 1,720
700
1,400
1,350
Price-SOFC
Price-PEMFC
2010
2011
Subsidy-SOFC
2010
2011
Subsidy-SOFC
2,250
380
2012
2013
Fiscal year
Price-PEMFC
1,750
1,530 1,970
1,360
2,170 430
350
1,050
Subsidy-PEMFC
2009
450
1,820
Price-SOFC
7002014
1,720
1,820 Subsidy-PEMFC
1,750
300
1,530
2015
430
350
380
300
2014
2015
450
2012
2013
Fiscal year
1,360
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
14
ENE-FARM: 2016FY Subsidy Scheme:1
* 1 yen = 0.095 EUR
Below
base price
(1,270,000 yen
= 11,000 EUR)
Above
base price,
below
upper-limit price
Above
upper-limit price
(1,420,000 yen
= 12,400 EUR)
150,000 yen/unit
= 1,300 EUR/unit
70,000 yen/unit
= 610 EUR/unit
Not qualified
Below
base price
(1,570,000 yen
= 13,650 EUR)
Above
base price,
below
upper-limit price
Above
upper-limit price
(1,690,000 yen
= 14,700 EUR)
190,000 yen/unit
= 1,650 EUR/unit
90,000 yen/unit
=780 EUR/unit
Not qualified
PEMFC unit
Subsidy
SOFC unit
Subsidy
* Base price and upper-limit price exclude tax, and include installation cost.
* Base price and upper-limit price may sift depend on system configurations
and operation conditions.
Additional subsidies
 Retro-fit installation:
 LPG unit:
 Cold-weather unit:
+ 30,000 yen/unit (260 EUR/unit)
+ 30,000 yen/unit (260 EUR/unit)
+ 30,000 yen/unit (260 EUR/unit)
Source: Agency for Natural Resources and Energy, Ministry of Economy, Trade and Industry
15
ENE-FARM: 2016FY Subsidy Scheme: 2
* Base price and upper-limit price may sift depend on system configurations.
Base price (standard unit)
[,000 yen]
Base price (Cold-weather unit)
[,000 yen]
2,000
2,000
1,570
1,600
1,270
1,600
1,200
1,200
800
800
400
400
0
0
Amount of Shift
Cold-weather proof
Backup power unit (integrated)
Backup power unit (not integrated)
collective housing
Fuel: LP gas
Fuel: Domestic natural gas
Small-sized retailer
Using existing hot water unit (PEFC)
Using existing hot water unit (SOFC)
1,870
1,570
1,570
1,270
Shift
300
300
+300,000 yen
+60,000 yen
+40,000 yen
+120,000 yen
+120,000 yen
+60,000 yen
+100,000 yen
-270,000 yen
-300,000 yen
16
ENE-FARM: Market Closeup
House type
Fuel type
Installation for exsisting houose
Installation for new construction
100%
90%
SOFC
PEMFC
LPG
City Gas
100%
100%
90%
37% 33% 38%
System type
15% 18% 18%
13% 10%
80%
70%
70%
70%
60%
60%
60%
50%
50%
50%
48% 50%
40%
40%
63% 67% 62%
90%
85% 82% 82% 87%
40%
30%
30%
20%
20%
20%
10%
10%
10%
0%
0%
0%
30%
52% 50%
2011 2012 2013 2014 2015
Fiscal Year
7%
7%
18%
90%
80%
80%
6%
7%
94% 93% 93%
93%
82%
2011 2012 2013 2014 2015
2011 2012 2013 2014 2015
Fiscal Year
Fiscal Year
Source: Fuel Cell Association
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ENE-FARM Units in the Market
Toshiba
Panasonic
Aisin Seiki
700 W (PEM)
700 W (PEM)
700 W (SOFC)
W780 x D300 x H1000
H1750 x W400 x D400
W780 x D330x H1195
Weight
86 kg
88 kg
100 kg
Electrical
Efficiency
39 %
39 %
52 % @700W
Hot water tank
Capacity
200L
140L
28 Litters
Retail Price
(list price)
(excl. tax (8%))
¥ 1,630,000
(excl. installation)
¥ 1,600,000 (excl. installation)
¥ 1,785,000
(excl. installation)
Model
Output
Size (mm)
Source: Tokyo Gas, Osaka Gas
FC for Commercial/industrial application
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Conclusion - Success Stories
Note: speaker’s opinions and analysis
Behind Success Stories…

Government support & lead
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Main retailers are city gas companies
(e.g. Tokyo Gas, Osaka Gas, Toho Gas, Saibu Gas).
They are competing with utilities in housing apparatus market.
(Recently) Ene-Farm as backup power supply
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Willingness to lead R&D and market
Stable policy on R&D and subsidy (with sunset option)
Roadmap: consensus-building among stakeholders
Supply channels
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Note: speaker’s opinions and analysis
Several earthquakes (2011, 2016):
Prepare for next ones.
Culture?
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Relatively low energy consumption of houses in Japan.
Heat demand: hot water for bath tab
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Common portal
Note: speaker’s opinions and analysis
ENE-FARM PARTNERS
http://www.gas.or.jp/user/comfortable-life/enefarm-partners/
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Issues
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Electricity market
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Note: speaker’s opinions and analysis
Currently, user cannot sell (feed) electricity from Ene-Farm to the
Grid.
Units for large cities
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
Ratio of collective housing
Small enough to fit collective
housing (Tokyo, Osaka)
National target: 5.3 mil units
(number of households:
52 mil in 2014)
23