Weekly Japanese Industry and Policy News (July 28-August 3, 2023)

The EU-Japan Centre is pleased to start a new weekly service by publishing brief summary of the latest information from the Japanese governmental organizations & private companies/organizations. A couple of minutes reading to be informed about what is happening in Japan's policy, economy, EU-Japan relations, and innovation.

*Information is deemed correct at the time of release. 

International Standard issued for "Automated Valet Parking Systems"
On July 27, the Ministry of Economy, Trade and Industry (METI) announced that an international standard jointly developed by Japan and Germany on "automated valet parking" was issued. Widespread use of this technology will contribute to the effective use of parking spaces and the reduction of accidents in parking lots. In addition, it is expected that the user's convenience will be improved and CO2 emissions will be reduced, as the user's parking operation will be eliminated, and the search for a parking spot and waiting for a vacant space will be eliminated.

After the user gets off at the entrance of the parking lot, the automated valet parking system automatically drives the vehicle in the parking lot and parks it in a designated parking spot. This standard stipulates the operations and procedures of a series of automated valet parking systems, from parking lot reservation to vehicle delivery to the parking lot, automatic driving and parking in the parking lot, and vehicle pick-up.

This standard was proposed by Japan to ISO (International Organization for Standardization)/TC204 (ITS intelligent transport systems)/WG14 (cruise control) chaired by Japan in April 2017, and will be internationally approved on July 13, 2023 and published as a standard.

ISO website:
https://www.iso.org/standard/78420.html

Sekisui House collaborates with startups aiming for net increase in biodiversity in residential areas
On July 27, Sekisui House announced that it will start joint research with Think Nature (Naha City, Okinawa Prefecture), a greentech startup company, on the net increase in biodiversity in residential areas. In this initiative, they will create new products/services and business models related to housing construction that will lead to net gains in biodiversity, as well as create other realization ideas and carry out enlightenment activities.

They promote the standardization of natural capital-related data sets and calculation methods that can be used to calculate net biodiversity gains through greening activities on existing building sites. Since 2001, Sekisui House has been working on a plan to conserve and restore biodiversity by planting mainly native tree species in urban residential areas to build a green network.
In the same year, this effect was jointly verified with the University of the Ryukyus and Think Nature, and the world's first system for quantitative evaluation of urban biodiversity was published as the "Nature Positive Methodology."

Think Nature is a university-launched green tech startup company made up of researchers with outstanding research achievements in biodiversity science. It has created big data on the spatio-temporal distribution of wildlife and ecosystems covering the world's land and sea, and has visualization and prediction scenario analysis technologies.

Sekisui House website (in Japanese):
https://www.sekisuihouse.co.jp/company/topics/topics_2023/20230727/

Itochu creates carbon credits through Kenyan environmental tech and conversion to cooking fuel
On July 28, ITOCHU Corporation signed an agreement with KOKO Networks Limited (KOKO/Kenya) for long-term offtake and joint sales of carbon credits. KOKO is an environmental technology company that creates carbon credits by converting home cooking fuels in Kenya. It is developing a project to supply low-cost renewable bioethanol fuel instead of charcoal to about one million households in eight cities in Kenya. Using a dedicated fuel case, users purchase bioethanol fuel from fuel ATMs installed in approximately 2,500 locations, and cook using a dedicated home cooker.

Until now, the use of charcoal as a household fuel has caused harmful substances such as NOx, SOx, and particulate matter to spread indoors, causing health problems. Charcoal production is responsible for deforestation of 2 million hectares a year in Africa. KOKO's cooking fuel conversion will significantly reduce health hazards and greenhouse gas emissions. Proceeds from the sale of carbon credits generated by this will be returned to Kenyan households through discounts on cooking utensils. In addition, the project is expected to receive support from the Kenyan government to obtain certification for equivalent adjustment, and if it is realized, it is expected that the market value of carbon credits will increase further.

Itochu website:
https://www.itochu.co.jp/en/news/press/2023/230728_2.html

ANA procures "carbon removal credits" from US company
On August 1, All Nippon Airways announced that it signed a contract with 1PointFive, an American company working on DAC (Direct Air Capture) technology that directly captures and stores CO2 from the atmosphere, to procure carbon removal credits derived from DAC technology for the first time in the world as an airline. 1PointFive is currently building a DAC plant in Texas, USA, which is expected to begin commercial operation in 2025. ANA plans to procure a total of more than 30,000 tons of carbon removal credits (CDR) from this DAC plant over three years from 2025.

The ANA Group's transition strategy for achieving carbon neutrality in 2050 includes "Improvements in operations and technological innovation of aircraft", "Low carbonization of aviation fuel such as utilization of SAF", "Utilization of emissions trading system" and "Utilization of negative emission technology".
DAC technology handled by 1PointFive is one of the negative emission technologies in the transition strategy, and it is a means to "remove" residual emissions that cannot be "reduced" by operational improvements, technological innovations such as aircraft, and the use of SAF. ANA sees this as an essential approach that will diversify important means in achieving carbon neutrality in the aviation industry.

ANA Holdings website:
https://www.anahd.co.jp/group/en/pr/202308/20230801.html?_gl=1*7xwbhr*_ga*MjA3NDg5NjI0OS4xNjkxMDYwMzQ0*_ga_32F297W9WL*MTY5MTA2MDQ0OS4xLjEuMTY5MTA2MDQ4OS4yMC4wLjA.

Sojitz begins manufacturing from CO2 and H2 using Hydrogen Bacteria as law materials
On August 4, Sojitz announced that it has started developing manufacturing technology together with the Central Research Institute of Electric Power Industry and others, with the support of the New Energy and Industrial Technology Development Organization (NEDO). It is an innovative manufacturing technology by hydrogen bacteria-derived CO2 and H2 as raw materials. 

This project is working on technological development for producing various chemical products and feed ingredients from CO2 and H2. Bioprocesses, which use CO2 as a raw material to directly produce substances, are a new manufacturing technology that has never been commercialized in the world, and are expected to be one of the options for the realization of a carbon-neutral society.
Hydrogen bacteria, the target of development, are considered to be a type of microorganism with the fastest CO2 fixation rate. By applying genetic recombination while taking advantage of its high CO2 fixation ability, it will create strains that produce useful chemical products with high efficiency. 
The chemical products produced are raw materials used in a variety of everyday applications, such as plastics, inks, paints, textiles, and cosmetics. 

Sojitz website:
https://www.sojitz.com/en/news/2023/08/20230804.php