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Electricity and Gas Regulator (along with Coal, Oil, Mineral Resource and LPG)

Country:
Japan
( Last update: September 2006 )

Name Agency for Natural Resources and Energy (ANRE)
Website http://www.enecho.meti.go.jp/
Latest Annual Report 2005
Legal Basis Electricity Utility Industry Law as amended in 1999 and 2003 Gas Utility Industry Law as amended in 1995 and 1999
Available only in Japanese at:
http://www.enecho.meti.go.jp/english/index.htm
Legally established 1995 as agency of the Ministry of Economy Trade and Indust(METI)
Operational Involved in electricity and gas sector reforms since 1995
Board
Composition 1 Director-General
Appointment n.a.
Term duration Appointed by the Minister of Energy
Term characteristics n.a.
Term revocation n.a.
Staff Not available
Structure chart
Functions
Generation/Production METI (ANRE):
  • Opens bidding process for new generation projects to IPPs
  • Approves construction plans and regulates the generation business of General Power Utilities (GPUs), the vertically integrated operators
Wholesale/Trading METI (ANRE) issues permits to entry and exit from the wholesale and retail market and guidelines (with the JFTC, the competition authority) to ensure the fairness of wholesale transactions
Balancing METI(ANRE) adopts rules, measures and regulations related to balancing (transparency rules, standards)
Transmission METI (ANRE)
    :
  • Regulates all aspects related to electricity transmission:
    • issues licenses
    • establishes tariffs methodologies
    • approves plans construction
    • defines public service obligations
    • approves terms and conditions for wheeling services and behavioral regulation
    • defines quality standards
    • issues coordination rules among electric networks
    • issues information obligation
  • Establishes ordinances for gas transmission TPA tariffs
  • Provides incentives to build and operate new pipelines
  • Establishes rules related to pipelines TPA
  • Develops guidelines for negotiating third-party use of LNG terminal

Since 2005, the Electric Power System Council of Japan assumed rulemaking functions (not regulation, but organization rule) related to the electricity transmission system (grids construction; access; system operation; information disclosure)
Distribution METI (ANRE):
  • Regulates all aspects of the electricity distribution sector:
    • issues licenses
    • approves construction plans
    • determines public service obligations
    • approves terms and conditions for wheeling services and behavioral regulation
    • sets out obligations on quality assurance of electricity
    • issues coordination rules among electric networks
    • establishes information obligation
  • Establishes ordinances for setting distribution system TPA tariffs
  • Provides incentives to build and operate new distribution pipelines
  • Revises the Guidelines for fair and non-discriminatory TPA to distribution grids


Since 2005, the Electric Power System Council of Japan (ESCJ) has assumed rulemaking functions (not regulation, but organization rule) related to the distribution system.
Supply METI (ANRE):
  • Enlarges the scope of retail liberalization (setting out eligibility levels, supply services standards)
  • Defines GPUs public services obligations as suppliers of last resort
Cross-sectoral METI (ANRE):
  • Issues regulations on separation of accounts of the distribution and transmission segment from others
  • Setts out rules for accounting separation in and publication of pipeline financial statements
  • Issues guidelines to assure fair electricity trade
Monitoring powers
  • Construction project and networks investment
  • Supervising of the NSO in order to secure fairness and transparency in distribution/transmission
  • Services standards
  • Tariffs and rates
  • TPA
  • Energy market liberalization process
  • Environmental protection
  • Supply and demand balancing
Settlement powers METI (ANRE) arbitrates and disputes settlements between network users and the transmission/distribution segments of Generation productive Units has been attribute to the NSO
Enforcement powers METI (ANRE) issues orders against breach to the national laws and its guidelines
Financing By the government
Contact
Physical Address Agency for Natural Resources and Energy Ministry of Trade
Industry and Energy3-1, Kasumigaseki, 1-Chome, Chiyoda-ku
Tokyo
JAPAN
Mailing Address Agency for Natural Resources and Energy Ministry of Trade
Industry and Energy3-1, Kasumigaseki, 1-Chome, Chiyoda-ku
Tokyo
JAPAN
tel (+81) 3-3501-1511
e-mail webmail@meti.go.jp
Sources IERN staff on publicly available information