News On Japan

Will Iran Crisis Trigger a Spike in Power Costs in Japan?

TOKYO - Long-running tensions surrounding Iran are expected to push up household electricity bills, with Japanese power companies bracing for higher costs this summer as crude oil prices remain elevated, even as Japan has shifted its energy mix toward renewables, now accounting for more than 20% of total power generation following the Great East Japan Earthquake.

Among these, solar power has taken the largest share, supported by government incentives that have driven steady growth in both large-scale solar farms and rooftop installations on homes and offices, although environmental concerns, landscape issues, and regulatory violations involving some mega-solar projects have prompted calls under the Takaiichi administration to reassess Japan’s solar energy policies.

In a residential area of Tokyo, workers were seen installing solar panels on rooftops, each weighing around 20 kilograms, with lighter designs improving ease of installation, while battery storage systems were also added to store generated electricity.

One homeowner, Kirihara Tomomi, decided to install solar panels ahead of the March deadline for Tokyo’s subsidy program, which triggered a surge in last-minute demand, noting that subsidies significantly reduced the total cost of 3.77 million yen, with approximately 2.34 million yen covered by the Tokyo metropolitan government.

The system began operating the following day, generating around 3.3 kilowatts under sunlight, with a maximum output of 4.6 kilowatts from 10 panels depending on weather conditions, while excess energy can be stored in a battery with a capacity of up to 15 kilowatts, enough to cover roughly one day of electricity use for a typical four-person household in the event of a blackout.

Despite growing adoption, the installation rate of solar systems across buildings in Tokyo remains at about 6%, partly due to the weight of conventional panels, which many roofs and factories cannot support, as well as seismic safety concerns, while most panels currently in use are manufactured overseas, with China accounting for roughly 80% of supply.

Against this backdrop, the government is promoting perovskite solar cells, a next-generation technology developed in Japan that uses thin, flexible film weighing about one-tenth of conventional silicon panels and capable of being installed on a wide range of surfaces.

Seen as a potential breakthrough amid rising energy costs driven by geopolitical tensions, domestically produced solar technology could offer Japan a path toward greater energy independence.

At the forefront of this effort is Sekisui Chemical, where researchers are working to commercialize flexible perovskite solar cells, with rooftop test installations demonstrating various configurations designed to maximize solar energy capture.

Morita, a veteran with 34 years at the company, has led the development, which began 13 years ago with a small team of three, initially facing skepticism before gaining momentum as a company-wide strategic project targeting commercialization by fiscal 2025.

Sekisui Chemical, with annual sales of around 1.3 trillion yen, operates across housing materials, high-performance plastics, and protective films used in automotive glass, leveraging its materials expertise to advance the new solar technology.

Perovskite solar cells consist of multiple layered materials, with a key component being a crystalline structure known as perovskite, which converts light into electricity within an ultra-thin film of just one micron, using iodine as a primary raw material.

That iodine, sourced from ancient underground brine deposits, represents a domestic resource that researchers believe could underpin Japan’s competitive advantage in next-generation solar energy, offering hope that the country can reclaim a leading position in the global solar market while addressing rising electricity costs.

Source: テレ東BIZ

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Japan’s World Cup campaign ended in the cruelest possible fashion on June 29, as Gabriel Martinelli scored in the fifth minute of stoppage time to give Brazil a 2-1 victory over the Samurai Blue in their knockout match in Houston. Japan had led in the first half and were still level at 1-1 in the final moments, but Martinelli’s late strike sent Brazil into the Round of 16 and eliminated Japan from the tournament.

Strong earthquakes have continued to shake parts of Japan in recent weeks, with 11 temblors measuring lower 5 or above on the Japanese seismic intensity scale recorded across the country since April 2026.

A Kintetsu Railway train derailed inside Kyoto Station on the morning of June 29, forcing partial suspensions on the Kintetsu Kyoto Line for the rest of the day and causing long delays that hit commuters, students and tourists.

A section of stone wall at Hikone Castle, one of Japan’s few surviving original Edo-period castles and a National Treasure whose main keep remains intact more than 400 years after its construction, collapsed after heavy rain caused by Typhoons No. 7 and No. 8, Hikone city officials said.

Japan advanced to the knockout stage of the World Cup after a 1-1 draw with Sweden on June 25, finishing second in Group F and setting up a Round of 32 clash with Brazil in Houston.

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Tokyo stocks edged higher on June 29 as investors bought back selected shares after a sharp AI-led selloff, but gains were capped by caution over high technology valuations, Middle East tensions and a weakening yen that fell to its lowest level against the dollar since 1986.

Tokyo stocks fell sharply on June 26 as investors locked in profits from Japan’s record-setting AI-driven rally, with SoftBank Group and chip-related shares leading a broad retreat after reports that OpenAI may delay its initial public offering.

Japanese households held 2,386 trillion yen in financial assets at the end of March, up 7.1% from a year earlier, as rising share prices, wider use of the new NISA investment program and the weaker yen lifted the value of assets held by individuals.

The sale of religious corporations that operate temples and shrines across Japan is drawing growing scrutiny from authorities, who fear the transactions could be used for tax evasion and money laundering, as brokers openly advertise properties and corporate status for tens or even hundreds of millions of yen.

The Nikkei Stock Average fell for a second straight session in Tokyo as investors locked in profits from a rapid rally in artificial intelligence and semiconductor-related shares, briefly sending the benchmark down more than 1,300 yen before bargain hunting helped it recover part of the loss.

Imabari Shipbuilding, Kawasaki Heavy Industries, and Namura Shipbuilding are aiming to resume construction of liquefied natural gas carriers around 2035, as Japan’s shipbuilding industry looks for a path to recovery after losing much of the global market to lower-cost rivals in South Korea and China.

Finance Minister Katayama held online talks with U.S. Treasury Secretary Scott Bessent as the yen approached its weakest level in about 39 years, with the two sides believed to have discussed possible responses, including foreign exchange intervention.

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