G8 Energy Ministerial Meeting
Session 3: Enhancing sustainability of the world energy system
Address by Dr. Kiyohiko Toyama
Vice Minister (Parliamentary) for Foreign Affairs of Japan

March 16, 2006

Thank you, Mr. Chairman. I understand and support that in this section we will discuss the issues such as existing multilateral initiatives and the way forward, promoting energy efficiency and energy supply diversification, development of clean energy technologies and so on. Following the remarks made by previous speakers, I would like to express Japan's views on the following three points as well as one observation on the Energy Charter Treaty.

1. Existing multilateral initiatives and the way forward (Joint actions to release the stockpile of oil under the IEA scheme)

Japan appreciates the joint actions to release the stockpile of oil taken by the IEA members last year. The operation stabilized the oil market to a significant extent. Taking into account the recent international geopolitical development, it is necessary to be ready to activate this release mechanism quickly and smoothly in a possible event of supply disruption of petroleum. I believe that it is high on agenda that we should consider how to improve the existing IEA mechanism to even better respond emerging new risks for the global energy security.

2. Development of clean energy technologies

Japan has made efforts to develop environment-friendly technologies, reflecting its own experiences of overcoming the pollution caused by its economic growth. Now Japan is among the best in terms of CO2 emission thanks to such clean technologies. We have seen remarkable development of the energy technologies such as wind power generation which can withstand strong wind and solar power generation and so on. Japan intends to cooperate with developing countries not only by providing such technologies, but also by sharing best practices, assisting institution building as well as human resource development. For example, in China we have extended technical assistance for clean coal and energy conservation as well as financial assistance for environment-friendly natural gas plant. In India and South East Asia, we have cooperated in constructing energy efficient power plants and forest preservation. I believe that to maintain and strengthen Japan's cooperation in these areas will benefit the region and eventually the international community as a whole.

3. Development suitable to different situations of developing countries (tailor-made approach)

Mr. Chairman, in the context of energy and national development in future, I do not believe that the existing development approach taken by the developed countries would always suit the developing countries. For example, it is not the best approach for developing countries to promote electrification by the way of introduction of high-voltage power grid, following the path of the developed industrialized countries. We can think of tailor-made energy supply measures for developing countries, such as small scale hydroelectric power generation, photovoltaic generation and so on.

4. Conclusion

In concluding my remarks, energy problems should be solved based on market mechanism, and I also would like to propose that every one of us will become further aware of the energy problem as one's own problem. Japan will promote its diplomacy and energy policy which can realize energy policies for the 21st century.

5. Energy Charter Treaty

Finally, I would like to add a brief observation that it would be beneficial that for Russia to ratify the Energy Charter Treaty because it would improve favourable investment conditions in Russia.