The massive earthquake and tsunami that struck northeastern Japan last March has fundamentally changed the energy consumption concepts of most Japanese people and has also had a profound impact on home energy services throughout Japan.
Consumers are installing energy-efficient devices in their homes, such as solar generators, fully electrified home systems, and light-emitting diodes (LEDs).
In Japan, household electricity is supplied by power companies or by power generation devices installed in residences, such as fuel cells that generate electricity from gas or organic fuels.
Power companies frequently promote the concept of full electrification to consumers, which means that the home uses electricity as its sole energy source, including for lighting, cooking, bathing, and other purposes.
Gas energy companies are offering consumers other options, encouraging them to install self-generating devices in their homes, such as gas-powered indoor generators like Ene-Farm.
Before the major earthquake, more than 550,000 Japanese households had installed fully electrified home systems by 2010, with only 7,400 households having the Ene-Farm system.
Currently, Japan faces energy shortages, and consumers are aware of the risks associated with relying on power companies for electricity. Therefore, alternative energy options such as home solar generators, Ene-Farm, and home energy storage systems are gaining popularity among consumers.
In 2010, 7,400 Japanese households installed Ene-Farm systems. This number is expected to double by the end of this year and reach 600,000 households by 2020. The Japanese government is actively promoting solar energy system installations and providing subsidies for first-time users, making solar energy systems increasingly popular in the country.
Last year, 218,000 solar power systems were installed in Japanese households, a 52.4% increase year-on-year, and this number is projected to reach 691,000 by 2020. Japanese households are also increasingly accepting home electricity storage systems, which offer benefits such as lower electricity rates at midnight and can serve as an emergency power source during power outages.
This year, nearly 1,000 electricity storage systems were installed in Japanese households, and the number is expected to exceed 20,000 by 2020.
Energy-saving products sell well in winter
Japanese companies are offering more energy-efficient products than ever before and are preparing for sales earlier. Corona Corporation, a major manufacturer of kerosene heating equipment, has received numerous orders from home furnishing centers and retailers. The company expects orders to rise by 40% to 50% during the winter. Sales of kerosene heating equipment in electronics retailers have been very strong since the summer.
In addition, many large electronics companies have increased production and sales of rechargeable and energy-storage batteries. These products, which provide emergency power during power outages and are suitable for office and home use, have attracted considerable market attention. In fact, many rechargeable products such as electric fans, televisions, and personal computers have already been launched on the market, and more rechargeable products are expected to emerge.
Fashion company Uniqlo has launched a heat-generating thermal underwear product, expecting sales to increase by 25% year-on-year. Sogo department store has begun selling thermal clothing and related fashion accessories, such as wool vests, shawls, and gloves, a month earlier than usual.
Energy management needs are urgent
Energy management systems and services are attracting significant attention in the Japanese energy market. Many energy management system and service providers have developed services that integrate with cloud systems, allowing users to monitor energy usage online in real time. Many cloud systems enable users to monitor and control energy consumption or adjust energy reserves even when they are away from home. The market size for energy management systems and services has surged 66.7% since 2009 and is projected to reach $1 billion by 2015, six times that of 2010.
Source: Taiwan Trade Development Council (TCT) website (2011-12-16)