How much will a retrofitted coal power plant cost in Japan?
BNEF estimates the levelized cost of electricity (LCOE) for a retrofitted coal power plant in Japan using a 50% clean ammonia co-firing ratio would be at least $136 per megawatt-hour (MWh) in . By , the LCOE of a retrofitted coal power plant running 100% on clean ammonia is expected to be at least $168/MWh.
Is coal a good energy source in Japan?
Japan considers coal an important energy source, according to its Sixth Strategic Energy Plan released in . Japan’s government plans to use it as a stable and economical energy source while renewable energy is added to the power grid.
How stable is the supply of thermal coal in Japan?
In addition, coal deposits are located in diverse locations, so a stable supply can be expected. The price of thermal coal has been more stable than prices of other fuels. In Japan, the introduction of renewable energy is expanding. However, it is difficult to control the unstable nature of the generated power.
Why does Japan need to use thermal coal?
The price of thermal coal has been more stable than prices of other fuels. In Japan, the introduction of renewable energy is expanding. However, it is difficult to control the unstable nature of the generated power. Japan, which lacks stable energy resources, therefore needs to utilize coal to a certain extent.
Why are Japanese utilities diversifying their coal import sources?
Utilities in Japan are looking to diversify their coal import sources to increase energy security because the majority of their imports come from only a few countries. Japan traditionally imports high-grade coal. Bituminous coal accounted for 89% of all steam coal imports in , down 1% from .
Why does Japan rely on coal-fired power plants?
Electricity generation remains Japan’s largest source of emissions due to heavy reliance on thermal power plants, including new coal-fired power plants built in recent years. Japanese utilities supported by the government are exploring co-firing of ammonia at existing coal plants to reduce emissions.
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