With Japan's highly efficient coal-fired power generation technology drawing increasing global attention, domestic heavy electric machinery makers and power companies are promoting their equipment and expertise in overseas markets.
The nation's coal-fired power generation technology is seen as a new possibility for cutting greenhouse gas emissions at a time when the world is finding no other option but to use coal--a resource with plentiful global reserves--to meet increasing power demands from China and other emerging economies.
Japanese companies are attempting to take advantage of this trend.
Hitachi, Ltd. has focused on exports of steam turbines and boilers for coal-fired power stations that discharge a smaller amount of carbon dioxide gas with improved power generation efficiency.
Tatsuro Ishizuka, head of Hitachi Works in Hitachi, Ibaraki Prefecture, said, "We want to market our advanced technological skills in other countries."
Toshiba Corp. also plans to begin production of high-efficiency steam turbines and power generating machines in India in January.
Electric power companies are also trying to get in on the market by offering up their operational knowledge.
Electric Power Development Co., better known as J-Power, plans to invest in a coal-fired power generation project in China's Jiangxi Province to generate 1.32 million kilowatts of power. J-Power aims to expand its overseas business with its knowledge--widely used in Japan--of operating high-efficiency coal-fired power facilities.
Behind the companies' vigorous activity is a global interest in cutting power plant emissions as power demands from fast-growing countries are increasing rapidly. Among the available power sources, hopes are high for coal as it can be mined throughout the world and reserves are estimated to last 122 years.
Coal is expected to remain a primary source of power especially in emerging economies. One estimate shows coal-fired power output in Asia doubling between 2007 and 2035.
Japan's coal-fired power generation technology leads the world, such as in supercritical plants that generate ultrahigh-pressure steam. This system is said to reduce CO2 by 10 percent to 20 percent compared with conventional power generation plants. If the system is introduced in China, India and the United States, which use coal extensively, greenhouse gas emissions will decline by an estimated 1.3 billion tons annually, an amount equal to Japan's total annual emissions.
However, several challenges remain.
Construction of high-efficiency coal-fired power facilities costs 20 percent to 30 percent more than conventional plants. To win contracts, the firms need to explain to potential clients that high-efficiency power generation can slash overall costs as well as protect the environment.
Coordinated promotion by heavy electric machinery manufacturers that produce the cutting-edge technology and electric power companies with operational expertise will be key to winning orders. The government is planning to extend support to the companies by providing financial aid and assistance in sales and promotion.