After the destructive earthquake in Japan last 2011, the scarcity of power supply became one of the major problems of the Japanese government. In order to resolve this, it started a renewable energy system in July of 2012. In fact, this news created quite a buzz.
This news gave so much attention due to a policy implemented by the government. In order to encourage people to put solar panels to produce energy coming from the Sun, incentives are being provided to those who will sell the renewable energy to the power utilities. It requires utility companies to purchase renewable energy from providers at a fixed rate for the next 20 years. As a result, many domestic and overseas investors have seen good responses and this made Japan as the fastest-growing user of solar energy.
The solar energy facilities, which are authorize to gain the said fixed rate for the period by the Japanese government, will generate a great quantity of photovoltaic power. In fact, it can reach up to 20,020,000 kilowatts. In fact, Japan is now included in top 4 countries that has reached a 10-gigawatt capacity in the whole world.
On the other hand, the downside of this is the price for utility companies to have to purchase. The price is pretty higher than other country’s one. It means users will be to burden the expensive electricity expense eventually. Moreover, 95% of the certified solar panel has not operated yet because of stagnation of procedures between investors and power companies. To move forward this stuck situation as of this new project, it is so much important for investors to choose an experienced consultant for well negotiation with utility companies.
Nowadays, it is very important for countries especially the first world, to be responsible with their environment in spite the technological advancements they are enjoying. First world countries, just like Japan, should always consider the effect of their economic decisions to the environment.