Greetings from Chairman

One year has already passed since the dreadful earthquake, tsunami and nuclear accident that struck eastern Japan on March 11, 2011.
I wish to express my sincere sympathy to those who still remain in temporary housing or evacuation facilities, and who are suffering great hardship.

The Fukushima Daiichi nuclear accident has made it difficult to restart nuclear power plants that have been shut down for periodic inspections, as a result of which all but one of Japan’s 54 nuclear power stations are now off-line. This has caused serious concern, in the short-term, about power shortages this summer when power consumption will reach a peak, while fuel costs and electricity tariffs are rising due to the steep rise in oil and LNG prices resulting from the impact of sanctions against Iran and the Arab Spring. In the mid- to long-term, the review of the Basic Energy Plan centered on the best mix of power and discussions on reforming the electric power system are reaching important stage.

Energy is a fundamental input for economic activities, but Japan has a very low energy self-sufficiency rate of only 4%. Therefore, securing stable energy supply at reasonable prices is an essential prerequisite to sustainable development of the Japanese economy. At the same time, we must take effective and appropriate measures to counter global warming. Not only Japan, but also every country in the world, and especially the emerging Asian countries, are facing these common challenges.

At the Institute of Energy Economics, Japan, we have exerted every effort to establish a solid reputation in Japan and abroad for squarely responding to the demands of the times. To this end, we have strengthened our research staff and alliances with various organizations within and outside of the country. We have made various proposals regarding energy and environmental policies after conducting fact-based research and forecasting. A number of investigations, analyses and policy proposals have been added to the IEEJ website under “Special Reports on the Great East Japan Earthquake” in the last twelve months, in English and/or Japanese.

Energy and global warming may be viewed as two sides of same coin. Through further expansion of our network and information exchange with worldwide colleagues, we will continue to look for optimum solutions to the challenges they pose in a way that will reinstate positive economic growth. Thus, we will further expand our contributions to policy formation and business activities through enhanced research and policy proposals.

Our institute will celebrate its 46th anniversary June this year.
We thank you for your warm support to date and wish to ask for your continued cooperation.

Masakazu Toyoda
Chairman & CEO
The Institute of Energy Economics, Japan