Japan’s new energy goals are ambitious, and don’t look good for some fossil fuels.
The country’s new blueprint lays out plans for energy production by 2030: 20-22% will be nuclear, 22-24% renewables, 27% LNG, and 26% coal. That leaves between 1% and 5% to be produced by crude and fuel oil.
This is a dramatic drop for all of the energy sources except renewable and nuclear (which was cut down entirely after the Fukushima disaster in 2011). In 2013 the numbers stood at 0.8% nuclear, 5.6% renewable, 38.5% LNG, 32% coal, and 15.2% crude oil.
While nuclear investors will be glad to hear that this means some of the shut down reactors will be up and running again, fossil fuel producers will suffer the loss of a big consumer.
Japan is first on the list of global LNG importers, third in coal imports, and fourth in crude oil imports. It will be a hard blow to each of the global markets.
There are, however, a few saving graces moving forward in the LNG market.
Demand in China, India, and Southeast Asia are increasing as a huge move away from coal power calls for cleaner energy sources. China especially is looking to diversify its portfolio and find new suppliers of natural gas for both electricity production and for vehicles.
And in Japan, while its renewable energy goals are attainable, it is possible that renewable technology will not advance fast enough to reach the goal in time. If that is the case, LNG will provide the energy to fill the gap.
To continue reading…
Click here to read the Rigzone article.
Until next time,
Keith Kohl
Check us out on YouTube!A true insider in the technology and energy markets, Keith’s research has helped everyday investors capitalize from the rapid adoption of new technology trends and energy transitions. Keith connects with hundreds of thousands of readers as the Managing Editor of Energy & Capital, as well as the investment director of Angel Publishing’s Energy Investor and Technology and Opportunity.
For nearly two decades, Keith has been providing in-depth coverage of the hottest investment trends before they go mainstream — from the shale oil and gas boom in the United States to the red-hot EV revolution currently underway. Keith and his readers have banked hundreds of winning trades on the 5G rollout and on key advancements in robotics and AI technology.
Keith’s keen trading acumen and investment research also extend all the way into the complex biotech sector, where he and his readers take advantage of the newest and most groundbreaking medical therapies being developed by nearly 1,000 biotech companies. His network includes hundreds of experts, from M.D.s and Ph.D.s to lab scientists grinding out the latest medical technology and treatments. You can join his vast investment community and target the most profitable biotech stocks in Keith’s Topline Trader advisory newsletter.
