Last Updated:	2006-08-16
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Introduction

In 1993, the Ministry of Economics, Trade and Industry ("METI") adopted the Fundamental Policies for the Rational Use of Energy (Ordinance No. 361) ("Fundamental Policies"). The Fundamental Policies spell out in general terms the rationale behind and goals for METI's energy efficiency and conservation programs in Japan.

Japan's Law Concerning the Rational Use of Energy (Law No. 49) (enacted 1979, as amended 2005) (also referred to as the "Energy Conservation Law") and the underlying Enforcement Ordinance, Enforcement Regulations, and Evaluation Criteria establish mechanisms to promote the efficient use of energy in "energy-using" equipment, buildings, factories, and machinery. Among other things, the Law and related implementing measures establish energy efficiency targets for covered items powered by electricity and combustible fuel. These targets are calculated using a complex formula. This formula essentially measures, for each category of covered items, the average energy consumption efficiency weighted according to the shipped number of the covered items in the category. In addition, the Law Concerning the Rational Use of Energy specifies energy efficiency labeling for certain manufactured and imported products. The Law Concerning the Rational Use of Energy and Recycled Resources Utilization (enacted 1993) ("Energy Conservation Assistance Law") sets forth financial incentives in the form of low-interest financing, industrial improvement bonds, and tax exemptions to support approved voluntary efforts by business operators and building owners for energy conservation (law since surpassed by Law Concerning the Rational Use of Energy. These incentives facilitate the realization of the energy efficiency initiatives described under the Law Concerning the Rational Use of Energy.

METI is responsible for administration of energy efficiency programs under the Law Concerning the Rational Use of Energy. In particular, the METI Energy Efficiency and Conservation Division under the Energy Conservation and Renewable Energy Department of the Natural Resources and Energy Agency is responsible for determining best practices regarding energy conservation and issues related to the setting of energy efficiency targets. The Energy Conservation Center of Japan ("ECCJ") was established with Japanese government and corporate support to assist with research on and implementation of energy conservation programs, accreditation of energy managers under the Law Concerning the Rational Use of Energy, and dissemination of information on energy conservation. ECCJ is also responsible for administering the International Energy Star program in Japan. The Japanese Industrial Standards Committee ("JISC") operates a program to certify products to the energy consumption efficiency values (including Japanese Industrial Standards ("JIS")) specified under the Law Concerning the Rational Use of Energy.

METI and the Ministry of Land, Infrastructure and Transport have also issued a number of measures addressing energy use in building construction. Although many of these measures do not directly apply to electronic equipment, EIA members may find them of interest as they develop market plans and designs for products that will be used in Japanese buildings. Key building construction energy use measures include the Criteria for Clients on the Rationalization of Energy Use for Buildings (Notice No. 1) (first promulgated 1999), the Criteria for Clients on the Rationalization of Energy Use for Houses (Notice No. 1) (first promulgated 1980) and the Design and Construction Guidelines on the Rationalization of Energy Use for Houses (first promulgated as Notice No. 195 in 1980).