Last Updated July 22, 2019

Law and Practice

Authors



Nagashima Ohno & Tsunematsu is one of the foremost providers of international and commercial legal services based in Tokyo. The firm has over 450 lawyers, including over 30 experienced foreign attorneys from various jurisdictions, and its overseas network includes offices in New York, Singapore, Bangkok, Ho Chi Minh City, Hanoi and Shanghai, and collaborative relationships with prominent local law firms throughout Asia and other regions. The firm regularly advises leading power utilities, trading companies and investors on their energy projects as well as regulatory matters, and financial institutions on financing on those projects. The firm has dealt with a number of renewable power projects since the introduction of the feed-in tariff in Japan. The firm represented Tokyo Electric Power Company Group on establishing an alliance platform with Chubu Electric Power Co, Ltd in the fuel and power business (including the establishment of a joint venture company, JERA).

As the vertically integrated Major Utilities were granted regional monopoly for nearly 50 years, an electricity retailer that is a Major Utility or its affiliate occupies a dominant share in the geographical area where such Major Utility or its parent Major Utility enjoyed the regional monopoly.

As such, since the retail sector’s liberalisation began to be discussed, the question of how to secure an environment where new entrant electricity retailers can compete with Major Utility retailers has been an important item on the agenda. Among the unique aspects of Japan’s power industry is that while the government establishes regulations that it thinks appropriate to address that issue, it also requires the Major Utilities to develop and implement voluntary solutions to support new entrant retailers through private-sector autonomy. An example of such autonomous solution is that Major Utilities voluntarily commit themselves in supplying their surplus electricity to JEPX at marginal costs.

Other characteristics of Japan’s power industry include the following: (i) the transmission sector and the distribution sector are not distinguished for a regulatory purpose under the Electricity Business Act and those are covered by a single licence (except for Electricity Transmission Business), and (ii) there is no interconnection with other countries, which means that the demand of electricity has to be satisfied by the electricity generated by power generation facilities in Japan.

Nagashima Ohno & Tsunematsu

JP Tower
2-7-2 Marunouchi
Chiyoda-ku
Tokyo
Japan
100-7036

+81 3 6889 7000

+81 3 6889 8000

info@noandt.com www.noandt.com
Author Business Card

Authors



Nagashima Ohno & Tsunematsu is one of the foremost providers of international and commercial legal services based in Tokyo. The firm has over 450 lawyers, including over 30 experienced foreign attorneys from various jurisdictions, and its overseas network includes offices in New York, Singapore, Bangkok, Ho Chi Minh City, Hanoi and Shanghai, and collaborative relationships with prominent local law firms throughout Asia and other regions. The firm regularly advises leading power utilities, trading companies and investors on their energy projects as well as regulatory matters, and financial institutions on financing on those projects. The firm has dealt with a number of renewable power projects since the introduction of the feed-in tariff in Japan. The firm represented Tokyo Electric Power Company Group on establishing an alliance platform with Chubu Electric Power Co, Ltd in the fuel and power business (including the establishment of a joint venture company, JERA).

{{searchBoxHeader}}

Select Topic(s)

loading ...
{{topic.title}}

Please select at least one chapter and one topic to use the compare functionality.