Vol. 62, p. 996-1020, jul./dez. 2023. DOI: 10.5380/dma.v62i0.

83619 e-ISSN 2176-9109

Paths to drive the low-carbon energy transition process in

the electrical energy sector: A comparative analysis between
Germany and Japan

As rotas para conduzir o processo de transição energética de baixo

carbono no setor elétrico: uma análise comparativa da Alemanha e o
Japão

William Adrian Clavijo VITTO1*, Helder Queiroz PINTO JR.1**

¹ Federal University of Rio de Janeiro (Universidade Federal do Rio de Janeiro, UFRJ), Rio de Janeiro, RJ, Brazil.
Contact emails: * william.clavijo1990@gmail.com, ** helder@ie.ufrj.br

Article received on November 8th, 2021, final version accepted on January 19th, 2023, and published on November 10, 2023.

ABSTRACT: The following paper analyzes the public policy paths to drive the low-carbon energy transition from a
comparative perspective between the German and Japanese cases. For this purpose, qualitative research
was carried out based on the comparative study between both countries and of literature about Policy Mix.
Therefore, a mapping of the public policy packages adopted in each country to drive the decarbonization
of the electric matrix was performed, allowing to identify the type of instruments considered, the scope of
the governmental efforts implemented, and the technological options contemplated to replace fossil sources.
Among the main results, it was found that the incentive policies to increase the capacity to generate electricity
from renewable sources are moving from pricing schemes with an impact on the consumers' tariffs to the
establishment of pricing schemes that respond to market signals, due to the reduction of the installation
and electricity generation costs from variable renewable sources. The study identified differences in the
technological options considered to drive decarbonization, such as phasing out nuclear power generation in
Germany and its reactivation in Japan. In both cases, it was identified that public policies are also moving
towards an adaptation of the electricity systems to the dynamics of variable renewable sources. Finally, the
scope of the governmental policies in both countries aims at boosting economic development through the
construction of new productive and technological capacity.

Keywords: low-carbon energy transition; Policy Mix; public policies; Germany; Japan.

RESUMO: O seguinte trabalho analisa as rotas de política pública para conduzir a transição energética de baixo carbono
a partir de uma perspectiva comparada dos casos da Alemanha e Japão. Para isso, foi realizada uma pesquisa
Desenvolv. e Meio Ambiente usa uma Licença Creative Commons - Atribuição 4.0 Internacional 996
 qualitativa a partir do estudo comparativo de ambos os países com base na literatura sobre policy mix. Dessa
forma, foi realizado um mapeamento dos pacotes de política pública adotados em cada país para conduzir a
descarbonização da matriz elétrica, permitindo identificar os tipos de instrumentos considerados, o escopo
dos esforços governamentais implementados e as opções tecnológicas contempladas para substituir as fontes
fósseis. Entre os principais resultados, encontrou-se que as políticas de incentivo ao aumento da capacidade
de geração de eletricidade a partir de fontes renováveis estão transitando de esquemas de precificação com
impacto na tarifa dos consumidores para o estabelecimento de esquemas de precificação que respondam a
sinais de mercado, em decorrência da redução dos custos de instalação e geração de eletricidade a partir
das fontes renováveis variáveis. O estudo identificou diferenças nas opções tecnológicas consideradas para
impulsionar a descarbonização, tendo como elemento notável, a desativação da geração de energia nuclear
na Alemanha e a reativação dessa fonte no Japão. Em ambos os casos, identificou-se que as políticas públicas
também caminham para a adaptação dos sistemas elétricos à dinâmica das fontes renováveis variáveis.
Finalmente, o escopo das políticas governamentais dos dois países almeja o impulso do desenvolvimento
econômico por meio da construção de nova capacidade produtiva e tecnológica.

Palavras-chave: transição energética de baixo carbono; policy mix; políticas públicas; Alemanha; Japão.

1. Introduction influenced a shift in the orientation of public policies

and in the business plans of various companies,
With signing of the Paris Agreement in 2015, aiming to encourage the development and dissemi-
the international community established a water- nation of cleaner energy sources. As a consequence,
shed moment in the determination to address the stemming from the development and commercial
climate emergency, through the implementation deployment of new renewable sources, mainly
of efforts aimed at averting the increase in Earth's photovoltaic solar and eolic energy, the option of
temperature and maintaining it at 2°C in relation electrifying energy systems based on these novel
to pre-industrial levels (IRENA, 2019). To achieve technologies has emerged in order to progress in
this objective, the reduction of greenhouse gas emis- decarbonization of the nations' energy matrices.
sions resulting from the use of fossil energy sources Thus, electricity generation, responsible for 48% of
emerges as the pivotal issue in this endeavor, given the total emissions from the global energy industry
that they constitute the primary cause of emissions sector, turned into the sphere that has witnessed the
(OCDE, 2021). However, substituting fossil sources most significant progress, in addition to standing at
is not a trivial issue, considering that they account the forefront of the efforts to drive the low-carbon
for more than 80% of the primary energy consump- energy transition (IEA, 2020a).
tion in the world (BP, 2020)1,2. However, despite advancements in the diffu-
In recent decades, concerns regarding the sion of new renewable sources across several coun-
impact of fossil energy sources on emissions have tries, the results are still insufficient to favoring the

1
According to data from IEA (2020a), the global CO2 emissions have sustained a consistent growth path for over a century, rising from less
than 5 gigatons in 1900 to a peak of 33.5 gigatons in 2018.
2
In the global energy mix, crude oil has a 33% share, followed by coal (27%) and natural gas (24%) (BP, 2020).

997 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
reduction of CO2 emissions to the levels advocated lopment and environment, among others. Based on
by the scientific community to avoid the onset of these public policy packages called “Policy Mixes”,
irreversible planetary effects (OCDE, 2020). Unlike each country has outlined a particular path to drive
the previous transitions, the current one implies a this long-term transition. Considering the comple-
structural change process with no precedents in xity and the still incipient nature of this process, it
history (Goldthau et al., 2020). becomes fundamental to understand the approach to
The ongoing energy transition entails desta- public policies undertaken by the leading countries
bilization of the prevailing socio-technical regime, in this endeavor.
shaped by the technological regime stemming from The objective of this paper is to analyze the
fossil fuel paradigm, its substitution with a new public policies devised to drive the low-carbon
socio-technical arrangement, comprised of a com- energy transition in the electricity sector, from a
bination of already existing technological options, comparative qualitative approach focusing on the
and which are yet to undergo improvements (incre- German and Japanese cases. It is worth noting that,
mental innovations), with technologies that are only in both countries, fossil-fueled thermoelectric gene-
in their incipient developmental stages, or with solu- ration (coal in Germany and natural gas in Japan)
tions that are yet to be conceived (Kivimaa & Kern, dominates the electricity matrix structure. Addi-
2016; IEA, 2020b). Similarly, the determination to tionally, in both nations, nuclear power generation
transition towards the substitution of fossil sources has always constituted a fundamental element to
with a vast and novel array of technological options, ensure electricity supply as well as technological
including technologies not directly associated with and industrial development.
the energy sector (such as Artificial Intelligence) Thus, the paper was divided into five sections,
should encompass management of the economic, in addition to this Introduction. The first section
social and political impacts of this change process conducts a literature review on Policy Mixes, ai-
to ensure its viability (IRENA, 2019; WEC, 2019). ming to examine the increasingly proactive role to
Recognition of the complexity underlying the be played by the State the energy transition process;
low-carbon energy transition process has encoura- in addition to the scope of public policy instruments
ged the adoption of a more proactive role by the that are being adopted to ease this change process.
State, particularly in those countries where concerns The second section describes the methodology and
about the climate emergency have already attained criteria used for the comparative analysis between
a higher priority degree within the governmental the countries considered. The third one reviews
agendas (Rogge & Reichardt, 2016; Rogge & Johns- the public policy packages and instruments that
tone, 2017; IEA, 2019). As a result, these countries the countries included in the study are adopting.
have devised governmental plans characterized by Subsequently, section four seeks to compare the
the simultaneous adoption of a broad array of pu- German and Japanese cases based on the analysis
blic policy tools, oftentimes encompassing diverse criteria defined in section three. Finally, the definite
spheres beyond the energy sector, such as Science, reflections of this paper are pointed out.
Technology and Innovation (ST&I), industrial deve-

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 998

2. The role of public policies in the energy The concept of Policy Mix reflects a situation
transformation: A brief literature review on in which one or more State organizations, some-
Policy Mixes times with differentiated rationalities and varying
governance structures, choose to implement a
The energy matrix decarbonization process coherent set of public policy instruments with the
in the world is a complex issue and is associated purpose of achieving certain objectives in a more
with the scope of the structural transformations efficient and effective way than by solely relying on
that will need to take place at the technical, econo- a single instrument (Kivimaa & Kern, 2016; Li &
mic, social and political levels. Putting an end to Taeihagh, 2020). The combination of public policy
the current socio-technical regime dominated by instruments, oftentimes referred to as public policy
fossil energy sources, unlocking the dissemination packages, is used with the intention of enhancing
of new renewable sources in energy systems and the effectiveness of policies executed individually,
simultaneously managing the disruptive effects of or that, on their own, fail to achieve the desired
this change, warrant active intervention by the State objective, simultaneously aiming to mitigate any
to ensure effective long-term results. Management unintended consequences (Givoni et al., 2013).
of the risks inherent to this process constitutes an Based on these literature materials, it was
objective that cross-permeates various State orga- possible to analyze several aspects inherent to the
nizations responsible for the execution of public process of public policies in the experiences re-
policies in diverse fields such as energy policy, but garding the implementation of packages targeted
which also extends to its articulation with other at sustainable transitions. Some studies have used
public policies related to macroeconomics, the this approach to understand the rationality and lo-
environment, industrial development and ST&I, gical path underlying the elaboration of the public
among others. policy packages that are implemented (Li & Taeiha-
An approach that proves suitable for unders- gh, 2020)3. This rationality is associated with
tanding the type and scope of State intervention to perceiving that there is a problem requiring State
address challenges such as decarbonization of the intervention, thereby initiating the cycle of public
electrical energy generation systems is found within policy elaboration or revision: inclusion in govern-
the literature on Policy Mixes. Such approach has mental agendas; formulation of policy instruments;
been frequently used to analyze public responses legitimization and adoption; implementation,
to complex phenomena, mainly within in the fields evaluation; adaptation; succession; and termination
of environmental economics, innovation economi- (Rogge & Reichardt, 2016). A core characteristic
cs and political sciences (Braathen, 2007; Kern & of the studies on transitions based on adopting the
Howlet, 2009; Lehmann, 2012; Kivimaa & Kern, concept of “Policy Mix” is the analysis about how
2016; Rogge et al., 2017).

3
This rationality seeks to achieve ultimate objectives, wether in an abstract way or specific objectives in certain fields inherent to public policies
(Kern & Howlett, 2009; Rogge & Reichardt, 2016; Li & Taeihagh, 2020).

999 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
policy instruments emerge and interact with each view to understand how the process to devise public
other (Del Rio, 2009; Philibert, 2011). policy packages takes place, briefly summarized in
In this way, it was possible to deepen the Figure 1.
studies through assessments about the influence Based on the general objectives, strategies
and quality of the results stemming from policy are formulated that constitute long-term guidelines
packages, in the pursuit of attaining the objectives comprised by interdependent purposes (objectives)
proposed, based on the adoption of different analysis and means to reach these purposes (public policies)
dimensions: effectiveness, efficiency, advantages (Li & Taeihagh, 2020). The objectives (the first
or disadvantages, consistency and coherence, component of the strategies) are consubstantiated
among others (Carbone, 2008; Fisher & Preonas, by long-term targets with quantified ambition levels,
2010; Rogge & Reichardt, 2016). Continuing in and can be based on views about the future.
the realm of interaction, more in-depth studies The second component of each strategy is
have adopted the concept of Policy Mix to analyze defining action plans, which will be labeled as
issues such as integration of the policies and their guidelines in this study, outlining the overarching
coordination through multiple State organizations path proposed by the governments to achieve
at various governmental levels and, therefore, con- the objectives. They can include conventions,
sidering different geographical clippings. Given the guidelines, strategic action plans and scripts (Ro-
aforementioned, some studies started to consider gge & Reichardt, 2016). The plans contain public
analyzing the actors involved as part of the efforts to policy instrument packages formulated to achieve
understand the process to elaborate policy packages the objectives in each strategy. Finally, public po-
and their results (Rogge et al., 2017). licy instruments constitute concrete tools designed
Given the scope diversity in the studies focu- to attain specific targets and which, along with the
sed on analyzing policies for sustainable transitions other instruments, contribute to achieving the objec-
based on adopting these literature materials on tive that motivated formulation of the action plan.
Policy Mixes, for the objectives of this research, it These tools are defined as measures, programs or
proves particularly useful from a normative point of policies (Rogge et al., 2017; Li & Taeihagh, 2020).

FIGURE 1 – The Policy Mix design process.

SOURCE: prepared by the authors based on Li & Taeihagh (2020) and Rogge & Reichardt (2016).

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 1000

 The process to prepare the policy packages 3. Methodological aspects
takes place meeting the various dimensions that
are useful for our research objectives. The first In order to achieve the objectives of the paper,
dimension is related to the different performance an exploratory research study with a qualitative
area of the State that can be considered in policy approach was conducted based on the comparative
packages. In the case of the public policies targeted study between the German and Japanese experien-
at sustainable transitions, they can include policies ces (Bulgacov, 1998; Dezin & Lincoln, 2006). For
in sector such as energy, climate and environment, the comparative analysis, several criteria for data
ST&I, industrial development and foreign policy, and information analysis were established, aiming
among others. to identify similarities and differences in the guide-
The second dimension has to do with the go- lines and scope of the public policies implemented
vernance levels in formulation and implementation by the selected countries to drive the low-carbon
of the policies, with the possibility of being at an energy transition in the electricity sector. The com-
international, national, state or local scale. Likewise, parative analysis also sought to identify the choices
the governance levels can be understood through in terms of public policy instruments. Likewise,
the entities involved, which may involve ministries, the analysis seeks to understand the technological
departments and secretariats at the federal, state and options considered to substitute fossil sources.
municipal levels, as well as other instances subor- The analysis criteria were divided into four
dinate to these bodies (Rogge & Reichardt, 2016). groups. The first one seeks to determine the scope
The third dimension is related to the geo- of the governmental efforts to drive the transition.
graphical clipping, which constitutes the space For this purpose, the share corresponding to the
covered by the policy packages. Finally, we have renewable sources and to nuclear energy of the
the time dimension where, as already mentioned, electricity matrix of the countries analyzed was
it is understood that policy packages evolve over identified. Subsequently, the share increase targets
time as a result of several variables, which include for these sources in the electricity matrix until 2030
the previous path of State organizations in policy were identified. Based on this information, two
implementation (path dependence), changes in categories were established to qualify the scope of
the institutional conditions, of a socio-economic the governmental plans to drive decarbonization:
nature, or in the dynamics of the political process
where various actors interact while advocating - Gradual: Increasing > 30% and < 50% the
their interests (Howlett & Rayner, 2007; Kern et electrical energy volume generated from low-carbon
al., 2019). Consequently, the literature on Policy sources until 2030, when compared to the 2018
Mixes offers various inputs to direct the elaboration levels.
of the guiding methodological framework for the - Accelerated: Increasing > 50% the electrical
comparative analysis regarding the experiences of energy volume generated from low-carbon sources
the countries considered. by 2030, when compared to the 2018 levels.

1001 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
 The second analysis criterion, complementary Consequently, by mapping the public policies
to the previous one, seeks to identify the scope of to drive the transition, it was possible to identify
the governmental plans beyond decarbonization of several combinations of objectives in the govern-
the electricity matrix. For this purpose, in addition mental plans:
to the two categories already presented, another two
related to the States' interest in driving economic i. GTLC
development were included. The four categories of ii. ATLC
objectives are described as follows: iii. GTLC + PCD
iv. ATLC + PCD
- GTLC: Gradual Transition to a Low-Carbon v. GTLC + PCD + ICD
electricity matrix. vi. ATLC + PCD + TCD
- ATLC: Accelerated Transition to a Low-Car-
bon electricity matrix. The third set of criteria for the comparative
- PCD: Productive Capacity Development in analysis between the countries pertains to the public
specific sectors from the supply chain of devices and policy packages that the nations are adopting to
services for the electricity sector. In order to define encourage diffusion of renewable energies, ensure
productive capacity, the definition developed by their safe, flexible and economically efficient in-
Moreira (2004) was used, understanding Productive tegration into the electricity system, and promote
Capacity as the maximum number of items/products industrial and technological development in these
and/or services that can be produced by the national sectors. In this sense, the taxonomies established
business sector in a competitive way in terms of by Daszkiewicz (2020) and Edler & Fagerberg
economic efficiency, deadlines and quality. (2017) in terms of energy policy, industrial policy
- TCD: Technological Capacity Development and ST&I policy were used as reference points (see
in specific sectors from the supply chain of devices Table 1).
and services for the electricity sector. For the defini- Finally, the fourth criterion for the compara-
tion of technological capacity, it was decided to use tive analysis pertains to the technological options
the one formulated by Mori et al. (2013), understood that have already been adopted, as well as those
as the companies' capability of absorbing, using, envisioned by the governmental plans to accelerate
adapting, generating, developing, transferring and decarbonization of the electricity matrix. In this
disseminating technologies. This capacity is enab- sense, the technologies pointed out by IEA (2019)
led by the diversified range of resources, the skills in the electrical energy generation, buildings and
(organizational, operational and relational) and the system integration sectors were taken as a referen-
learning mechanisms they employ. According to the ce (Table 2).
authors, capabilities are second-order constructs de- Consequently, the methodological guidelines
rived from a set of elements that anchor and mirror to perform the comparative analysis between the
a company's absorption, operational and technologi- German and Japanese cases were defined.
cal innovation (adaptation and generation) capacity.

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TABLE 1 – Public policy tools to drive sustainable transitions.
Public policy category Type of tool
Definition of targets and strategic Energy-related strategies
planning Action plans
Objectives
Policies targeted at initial investment Grants
costs Discounts
Loans with preferential conditions
Tax benefits/incentives
Direct funding for RD&I in companies
Policies targeted at energy generation Feed-in tariffs
Feed-in-premium tariffs
Auctions
Bids
Certificates
Policies related to electricity self-generation, self-consumption and sale to the grid
Regulatory Connection and dispatch rules
Duties and obligations
Standards
Labels
Regulatory environment that does not prohibit or allows corporate PPAs
Incentives for industrial and ST&I Training policies and Competencies
development Policies to promote entrepreneurship
Technical and counseling services
Policies to promote clusters
Policies to support collaboration
Policies of the Innovation Network
Using the State's Purchasing Power
Pre-commercial acquisition
Awards for innovation
Technological prospection
SOURCE: Prepared by the authors based on Daszkiewicz (2020) and Edler & Fagerberg (2017).

TABLE 2 – Technological options to drive decarbonization in the electricity and residential sectors.
Sector Technologies considered
Electrical energy Photovoltaic solar; onshore eolic; offshore eolic; hydroelectric; bioenergy; concentrated solar power;
generation ocean energy; nuclear energy; alcohol-based energy; and Carbon Capture and Storage (CCUS) in elec-
tricity.
Buildings Construction envelopes; heating; heat pumps; cooling; lighting; devices and equipment; data centers
and networks.
System integration Energy storage; Smart Grids; hydrogen; and response to demand.
SOURCE: prepared by the authors based on IEA data, 2019.

1003 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
4. The study cases: Analyzing the paths to ching 36% of the total electricity generated in the
drive the energy transition in the electricity country in 2018 (IEA, 2020c).
sector: The German and Japanese cases In 2018, the country's electrical energy gene-
ration matrix reached a volume of 664 TWh. Of
4.1. Germany this total, coal accounted for 37.5%, followed by
eolic energy (17.3%), natural gas (13.2%), nuclear
(11.8%), bioenergy and waste (9.1%), solar (7.4%),
Germany is one of the countries with the
hydroelectric (2.8%), crude oil (0.8%) and geother-
longest history of implementing policies targeted
mal (0.03%) (IEA, 2020c) (see Figure 2).
at meeting the climate emergency. Formulation of
At the federal level, management of the
the public policy package aimed at addressing this
transition policies is concentrated across several
phenomenon began to take shape at least in the
ministerial departments, with the following among
1980s, becoming part of the governmental agenda
the main ones: Federal Ministry for Economic
alongside other issues sensitive to the country's
Affairs and Energy (BMWi), Federal Ministry for
energy and climate policy, such as vulnerabilities
the Environment, Nature Conservation and Nuclear
due to crude oil imports and concerns over the
Safety (BMU), Ministry of Transport and Digital
perils associated with nuclear energy development
Infrastructure (BMVI), Federal Ministry of Food
(Kuittinen & Velten, 2018). Thus, the progressive
and Agriculture (BMEL), Ministry of Education and
inclusion of public policies into the mix allowed
Research (BMNF), and Federal Ministry of Finance
important results in the diffusion of new renewable
(BMF) (Kuittinen & Velten, 2018).
sources within the national electricity matrix, rea-

FIGURE 2 – German electrical energy generation matrix in 2018.

SOURCE: prepared by the authors based on IEA data, 2020c.

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 The Policy Mix in the German electricity As can be seen in Figure 3, the mapping of
sector is organized under the umbrella term of the instruments that comprise the German Policy
Energiewende (Energy Transition in German), the Mix was organized based on achieving three com-
long-term national plan to drive the low-carbon plementary strategies:
energy transition (Figure 3). This initiative is framed
within several public policy documents, such as the (1) Decarbonizing the electricity system based
Renewable Energy Act of 2000, the Energy Concept on diffusion of the renewable sources, including
of 2010, different editions of the Energy Research nuclear energy;
Program executed since 1977, the Climate Action (2) Adapting the electricity system to the dy-
Plan 2050 from 2016, and other documents encom- namics imposed by the new renewable sources; and
passing more specific public policy instruments.

FIGURE 3 – Policy Mix to drive the low-carbon energy transition in the German electricity sector.
SOURCE: prepared by the authors.

1005 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
 (3) Guaranteeing industrial competitiveness competition and adapt the electricity tariffs to the
and economic growth. market reality (Germany, 2017).
To adapt the electricity market design to the
Thus, the governmental plans expect that the dynamics of new renewable sources, Strategy 2,
electricity sector may contribute to reducing by 55% the Policy Mix, encompasses a set of regulatory
the CO2 emissions by 2030, when compared to the framework reforms and public policy instruments
1990 levels. Based on these strategies, the country aimed at exposing both producers and consumers
expects to increase the share of the new renewable to an environment marked by increased competiti-
sources in the electrical energy raw consumption to veness and flexibility in electricity supply, demand
65% by 2030, and to 80% up to 2050 (IEA, 2020c). and storage. The governmental policies seek to deal
In the scope of Strategy 1, the Policy Mix in- with the following key aspects related to electrical
cludes both instruments to put an end to unwanted energy generation:
socio-technical regimes in the electricity matrix and
instruments to promote the new renewable sources. i) The intermittence of the new renewable
The first group of instruments comprises regulations sources;
and mandates for the scheduled decommissioning of ii) The use of natural gas in thermoelectric
electricity generation facilities powered by nuclear sources;
energy and coal in 2022 and 2038, respectively iii) Hydroelectric storage with reversible
(BMU, 2021; Wettengel, 2020). power stations; and
To promote the expansion of the electrical iv) Into the future, by expanding the biogas
energy generation capacity from new renewable flexible generation capacity and the battery storage
sources, the German mix has been establishing capacity (IEA, 2020c).
regulations and mandates for over three decades,
with its most notable expression found in the Re- With this objective in mind, among the mea-
newable Energy Act of 2000. In the scope of this sures, the Policy Mix encompasses instruments to
Law, the State initially determined the guarantee promote competition in the electricity market to
of connecting the renewable sources to the trans- the extent possible, incentives to promote energy
mission grid, and with priority for dispatch. It also system integration and the inclusion of backup
established the Feed-in tariffs to encourage invest- measures and sources to manage the intermittence
ments in expanding the electrical energy generation of new renewable sources, among other actions
capacity from the new renewable sources (mainly (BMWi, 2017; Chen et al., 2019; IEA, 2020c).
eolic and solar). In 2014, the Law was amended and In 2016, the Renewable Energy Act was
Feed-in premium tariffs were introduced for new amended, and the Act on Further Development of
generation plants with a minimum price threshold. the Energy Market was enacted, stipulating that the
In 2017, auctions were introduced in substitution electricity generation capacity should be in line with
of the Feed-in schemes, aiming to generate greater the demand from consumers. Likewise, new rules

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were established for remuneration through energy Through demand-side management promotion
redispatch, cost reduction through the expansion of measures and in conjunction with the framework
the transmission and distribution grids, and freedom for smart grid development, in 2016, the Parliament
for the market actors to decide which flexibility approved the law on digitization of the Energiewen-
options to use (storage, gas peakers, demand-side de, stipulating the phased installation of smart
management) (BMWi, 2017). meters (IEA, 2020c; BMWi, 2015).
Aiming to promote integration and flexibi- In 2016, the requirement for a reserve capacity
lity in the electricity system, Germany has been was also established, which is separate from the
adopting incentives such as low-interest loans and electricity market and does not affect competition
subsidies to enhance storage capacity through sector or prices. This reserve capacity is intended to be
coupling of the electricity and heating sectors (IEA, used in case of extraordinary or unforeseen events.
2020c). The governmental plans also seek to im- Additionally, in 2017, the federal government esta-
prove and expand the transmission and distribution blished the reserve capacity volute at 2 GW. To se-
grids in the country and to other European markets4. lect reserve capacity providers, the electricity power
Consequently, the actions seek to overcome stations can make offers in auctions organized by
the limitations that preclude transmission between the transmission system operators (BMWi, 2021).
northern and southern Germany, burdening the Finally, Strategy 3 was incorporated into the
consumers' tariffs. Thus, on the one hand it is sou- Policy Mix with an emphasis on public policy
ght to avoid the need to adopt SWAP or redispatch documents discussing the Energiewende in terms
measures in the South to make up for the acquired of opportunities to drive Germany's and the rest of
electrical energy that cannot reach this region of Europe's industrial and technological development.
the country. On the other hand, it is also sought to At the federal level, most of the ST&I policy
compensate the electric energy generation reduction instruments that are currently in force are funded
in the North, where the operators request the genera- by means of the seventh edition of the “Energy
tors to disconnect to avoid congestion (IEA, 2020c). Research Programme”, launched in 20185. The
For this purpose, in 2016, tariffs for consu- aforementioned program defines the ambitious prin-
mers were also adopted, allowing investment costs ciples, priorities and objectives in the development
to be immediately recognized in the grid charges of innovative energy technologies to attain energy
(with the costs annually adjusted to ensure that transition. These objectives are pursued by imple-
consumers consistently benefit from lower capital menting specific projects or through funding by
costs) (BMWi, 2017). In 2017, the State introduced research institutions both in the country and abroad
measures to gradually homogenize the tariffs until – mainly in the European Union scope. The program
2023, starting in 2019 (BMWi, 2021). has 6.4 billion Euros in funds to be spent between
4
To overcome these limitations, the federal government has set a goal to build 7,700 kilometers of transmission grids, including four high-voltage
grids connecting the North and South, as well as high-voltage direct current (HVDC) lines (IEA, 2020c).
5
According to data from the International Energy Association, public investments in R&D in the energy sector in 2019 were around
USD 1.586 billions (IEA, 2021a)

1007 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
2018 and 2022. The funds are distributed among collaboration between S&I institutions and compa-
BMWi, BMEL and BMBF, and implementation of nies. Another measure identified was implementing
the projects is coordinated with science and tech- policies targeted at promoting interaction between
nology universities and institutes (the Helmholtz the actors. In this sense, the projects are execu-
Association) and companies (BMWi, 2020)6. ted with significant involvement of the academic
Among the technological options prioritized community, industry organizations and companies.
in the electricity sector, there is a focus on funding Actions targeted at technological prospection and
projects aimed at incremental innovations in solar definition of investment priorities were also adop-
and eolic energy, as well as the continued develop- ted with some of the platforms created (Energy
ment of thermal power plants using biogas. In the Research Platform and Energy Research Networks)
scope of technologies to ease the integration of new (Kuittinen & Velten, 2018).
renewable sources, the program has prioritized tech-
nologies targeted at network development, energy 4.2. Japan
storage, sector coupling and hydrogen. Research
areas permeating energy systems, or even beyond
In Japan, the current energy policy guidelines
the energy sector, are also considered, including
coexist with concerns about supply safety, efforts
topics such as digitalization, resources management
to manage the impact of the Fukushima nuclear
and CCUS (IEA, 2020c; BMWi, 2020).
accident, and the government's increasing commit-
Among the instruments identified, we found
ments to advance a low-carbon energy transition
funding of basic research, applied research and
agenda. Under the premise of Safety Always, the
demonstration projects for technological and re-
guidelines of Japan's energy policy aim at ensuring
gulatory solutions for the options prioritized in
a stable energy supply (energy safety) at low prices
the government plans (Germany, 2017). Likewise,
(economic efficiency), while maximum efforts are
direct funding from companies to implement RD&I
implemented to achieve environmental sustainabi-
projects with governmental funds was identified.
lity (METI, 2018).
The 7th Research Programme puts emphasis on
The Japanese electricity matrix is 80% com-
supporting small- and medium-sized companies,
prised by imported fossil sources. In 2019, the total
Start-ups and entrepreneurship in different programs
electrical energy generation reached 992.5 TWh.
and projects. In fact, since 2018, it started to have a
The generation share by energy sources was divi-
platform comprised by experts in this theme (Kuit-
ded as follows: coal (31.9%), natural gas (34.2%),
tinen & Velten, 2018).
solar (9.4%), hydroelectric (8.1%), nuclear energy
It also includes actions to transfer technologies
(6.4%), crude oil (4.8%), biomass (2.2%), bioenergy
and for their fast adoption for commercial purpo-
(2%), eolic (0.7%) and geothermal (0.3%) (IEA,
ses by means of instruments targeted at promoting
2021b) (Figure 4).

6
Germany is part of the Mission Innovation initiative, a platform of countries aiming to double public investments in R&D to ease the low-carbon
transition within a five-year time frame, in line with the private sector (Kuittinen & Velten, 2018).

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 1008

 At the national level, the implementation of
transition policies is primarily concentrated wi- (1) Promoting an expansion of the electrical
thin the Ministry of Economy, Trade and Industry energy generation from renewable sources, inclu-
(METI), the Ministry of the Environment and the ding the nuclear option among them, given the low
Ministry of Education, Culture, Sports, Science, level of emissions;
and Technology (IEA, 2016). (2) Promoting a reduction of emissions in
The decarbonization targets and the main energy generation from fossil sources;
public policy instruments to achieve this objective (3) Transitioning to a more resilient electricity
were established in the 2014 and 2018 Energy Stra- system; and
tegic Plans, the 2019 Long-Term Strategy to Achie- (4) Driving ST&I to support energy transfor-
ve the Paris Agreement targets, and the 2020 Green mation and national economic development (Fi-
Growth Strategy. In 2014, the Japanese government gure 5).
set greenhouse gas emission reduction targets that In relation to Strategy 1, the governmental
have been maintained in subsequent documents. plans indicate that, by 2030, nuclear energy and new
In this sense, the country expects to reach a global renewable sources are expected to account for a sha-
target of 18% reduction in emissions by 2030, when re of the electricity mix ranging from 20% to 22%
compared to 2013, where the electricity sector cur- and from 22% to 24%, respectively. In the nuclear
rently contributes with 40% (IRENA, 2021). energy scope, the government expects to achieve
After reviewing the governmental plans, it can these targets by reactivating at least 30 out of the 33
be stated that the Policy Mix to drive the energy still operational nuclear power plants that were shut
transition was organized by means of at least four down immediately after the Fukushima accident,
strategies: with an 80% capacity factor (IEA, 2021b)7.

FIGURE 4 – Japanese electrical energy generation matrix in 2019.

SOURCE: prepared by the authors based on IEA data, 2021b.

7
In order achieve this objective, the nuclear power plants still need to finish the review of the safety conditions performed by the Nuclear
Regulation Authority (NRA) (IEA, 2021b).

1009 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
FIGURE 5 – Policy Mix to drive the low-carbon energy transition in the Japanese electricity sector.
SOURCE: prepared by the authors.

Among the measures to promote the expan- Starting in 2020, the Feed-in premium scheme
sion of generation capacity from new renewable was introduced for large-scale solar, biomass, and
sources, Feed-in tariffs were introduced in 2012 offshore eolic energy projects, aiming to introduce
(METI, 2018; IRENA, 2021)8. The auction me- competition in energy pricing and seek lower prices
chanism for generation projects for volumes equal for consumers (IRENA, 2021).
to or greater than 250 KW was introduced in 2017.

8
The Feed-in scheme would be used to compensate the generation of electricity from photovoltaic solar and hydroelectric projects with a capacity
of less than 30 MW, eolic energy, geothermal, biomass and other sources recognized as renewable by the Japanese authorities (IRENA, 2021).

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 1010

 Within the scope of Strategy 2, the governmen- implemented regulatory reforms to ease the incor-
tal plans include measures to reduce emissions even poration of new players to generation, transmission
while foreseeing the continued high participation and distribution activities (IEA, 2016)10. The energy
of fossil energy sources in the national electricity commercialization market was totally deregulated
matrix9. With this purpose in mind, the Policy Mix in 2016. All energy consumers, including small
included voluntary emission reduction programs shops and homes, were allowed to choose their
and incentives to adopt CCUS technologies (Ja- energy provider (Jensterle & Venjakob, 2019). In
pan, 2019; IEA, 2021b). 2019, new regulations established separation of
Strategy 3 encompasses a wide range of policy the EPCOs in the electrical energy industry chain.
instruments aimed at achieving the transformation According to the new norms, the transmission and
towards an electricity system that is more resilient distribution segments should be separated from
to environmental disasters, adapted to the dynami- generation (IEA, 2021b).
cs of new renewable sources, and geared towards In 2016, the Japanese Electric Power Exchan-
reducing energy prices. Unlike the German case, ge (JPEX), a private energy exchange body, was
the Japanese electricity system is not intercon- designated as the wholesale market in the country,
nected to other countries. The transmission grid aiming to create equal access conditions both for
is divided into two regions, each one operating at EPCOs and for new entrants and, in general, promo-
different frequencies. The electrical distribution te increased competition among market participants.
grid is fragmented into ten regions, a legacy of the Additionally, in 2019, the government established
sector's organization through the monopolies held the creation of a capacity market at origin11. The
by the EPCOs, which hinders system balancing scheme pursues a combination of coal-fired thermal
and the ability to accommodate large electricity power plants, run-of-river hydroelectric plants, nu-
volumes from new renewable sources. In addition clear energy and geothermal sources that excel in
to the aforementioned, a large part of the increase stable and cost-effective electricity production and
potential in the electrical energy generation capacity generation. In the decision, bidding rounds were
from variable renewable sources is far from the established to participate in this market, lasting
main consumption centers (IEA, 2021b). 12 months. Thus, the Japanese government seeks
To change these characteristics in the system, to provide distributing companies with access to
since the 1990s, the Japanese government has lower electrical energy prices (Genscape, 2019).
9
Due to the limited resource base, in addition to the geographical difficulties to expand energy generation from the new renewable sources,
METI contemplates maintaining fossil sources in the electricity matrix. According to the Ministry's projections, it is expected that 50% of the
electrical energy will continue to be generated through coal and natural gas until 2030 (Japan, 2019).
10
The first reforms were initiated in 1995, easing entry to the generation segment for interested parties through the introduction of a retail
business structure, tariff regulation relaxation, and flexible adjustment of the safety regulations. In 2000, high-voltage (more than 2,000 KW)
energy consumers were allowed to freely choose their energy providers. In that year, the reforms allowed third parties to access the distribution
lines, divided into ten regional areas throughout the country, which were controlled by the EPCOs at that time (IEA, 2016).
11
Management of the electricity sources in Japan is organized as follows. Hydroelectric and nuclear energy provide electricity at origin, while
coal and LNG are the primary energy sources for medium-load supply. Hydroelectric energy, crude oil and pumped storage respond to the
demand peaks and contribute to consistent and stable electricity provision (Genscape, 2019).

1011 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
 As a short-term strategy to meet the grids' to introducing mechanisms for auctions and pro-
connection capacity restriction, the Japanese go- posal submissions among generating companies
vernment adopted the Japanese version of Connect located in close proximity for accessing specific
& Manage. The approach consists in integrating as transmission and distribution lines (Watanabe,
much renewable energy as possible into the existing 2015; Yamazaki & Ikki, 2018)15. In 2020, the Ja-
grid, while simultaneously seeking to minimize the panese government established that an over-tariff
increase in electricity prices and reducing the need distributed at the national level had to be paid to
for grid upgrades12. Secondly, the approach replaces fund the development of regional interconnection
the practice of providing a “steady connection” to grids (METI, 2020).
renewable generation companies by offering them to In order to generate greater flexibility from the
connect to and sell the amount of energy that the grid “demand management” perspective, the national
can accommodate (Jensterle & Venjakob, 2019)13. government has been promoting the adoption of
To administer intermittence of the new re- smart meters since 2016, starting with the largest
newable sources, the 2018 strategic plan established industrial consumers and gradually extending the
flexible use of thermal generators. The plan also measure to residential consumers. It is expected
proposes the gradual adoption of technologies su- that nearly 80 million units will be installed by
ch as cogeneration, Virtual Power Plants (VPPs), 2025 (Jensterle & Venjakob, 2019).
V2H/V2G and stationary Energy Storage Systems Finally, Strategy 4 includes policy instruments
(ESSs). Complementarily, in 2015 METI launched aimed at promoting the country's technological and
a grants program to support the installation process industrial development by leveraging the transfor-
for energy stock devices in solar energy facili- mation of the energy industries16,17. These efforts
ties (Watanabe, 2015)14. are framed within The Green Growth Strategy,
In 2018, METI established funding instru- which aims at driving a new economic growth and
ments for expansion and enhancement projects of environmental sustainability cycle by supporting
the transmission and distribution grids, in addition the private sector in transitioning towards a car-

12
For this purpose, it first uses a method to apply the emergency capacity of the existing grid by the n-1 principle, freeing the technically avai-
lable transmission capabilities (Jensterle & Venjakob, 2019).
13
In Japan, distribution companies follow the “First-come, First-served” principle, which prioritizes the connection of generating companies
already connected to the grid and guarantees them transmission capacity corresponding to their maximum generation capacity (Jensterle &
Venjakob, 2019).
14
Energy storage with batteries has been incorporated into the grants program for net Zero Energy Houses (ZEH) and in pilot projects for net
Zero Energy Buildings (ZEB), initiatives aimed at encouraging the incorporation of storage and energy-saving technologies by providing a
fixed grant of 700,000 Yens for each eligible residence (Yamazaki & Ikki, 2018).
15
These measures were introduced in the scope of the 2020 Plan on Development of Cross-Regional Grids. Through this plan, it is expected
that the interconnection capacity between both frequency regions may increase from 1.2 GW to 2.1 GW until March 2021 and to 3 GW up to
March 2028. Interconnection projects are also ongoing within the frequency regions (IEA, 2021b).
16
Japan has experience in implementing ST&I policies in the energy sector. The Sunshine Project, the Moonlight Project and the New Sunshine
Project stand out among them (Japan, 2019).
17
Japan has also been part of the Mission Innovation initiative since 2015 (IEA, 2016).

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 1012

bon-neutral society. The strategy includes five cros- Among the reforms, the strategy proposes changes
s-sectional policy instruments (support measures) in the regulation of public purchases, aiming to
and action plans in 14 sectors to be continuously encourage the demand for certain products and
updated (METI, 2021). services and to enable their introduction into com-
The following can be mentioned among the mercial channels. Finally, deepening of internatio-
options contemplated in the strategy: nal cooperation is contemplated, as well as in the
development of innovation projects, standardization
(i) Incentives to incremental innovation in and development of norms (METI, 2021).
solar and eolic energy;
(ii) Energy grids, by introducing batteries for 5. Comparative analysis
electricity storage, integration of the electricity
systems and solutions to balance offer and demand;
After mapping the main policy instruments
(iii) Hydrogen;
implemented and examining the policy guidelines
(iv) Ammonium-derived fuels;
for driving the low-carbon energy transition, it is
(v) CCUS technologies;
possible to perform a comparative analysis of the
(vi) New-generation nuclear energy (ME-
paths defined by both countries based on the analy-
TI, 2021).
sis criteria established in section 2 (Tables 3 and 4).
Analyzing the evolution of the share of fossil
Among the policy instruments, the govern-
fuels in the electricity mix in 2009 and 2019, as
mental plan includes funding of research activities
shown in Table 3, it was identified that in the Ger-
and development and demonstration of prospected
man case there was a 5% reduction, whereas the
technology options18. For this, the Japanese gover-
Japanese case presented a 10% increase. The slow
nment considers 2 trillion Yens in funds until the
reduction in the share of fossil fuels in the German
end of the decade and expects to encourage private
electricity mix can be attributed to the country's
investments of around 15 trillion Yens during the
decision to shut down all its nuclear power plants
same period (METI, 2021).
by 2022. This led to compensating for the loss of
The plan proposes to adopt tax incentives
this generating capacity by relying on fossil sources,
to encourage private investments for 1.7 trillions
even delaying the decommissioning of coal-fired
in the next decade. Additionally, it contemplates
thermoelectric power plants, which is projected to
guidelines about funding policies and definition of
continue until 2038 (IEA, 2020c). In the case of
long-term funds with subsidized interests to attract
Japan, it was due to the need to compensate for the
sustainable investments. It also proposes reforms
reduction in the electricity generation capacity after
in the regulatory framework in several sectors,
the Fukushima nuclear accident and the complete
such hydrogen, offshore eolic energy and mobility.
shutdown of the national nuclear fleet (IEA, 2021b).

18
In 2019, public investments reached the amount of USD 2.88 billions, a relatively low figure compared to the beginning of the decade, due
to the impacts of the Fukushima accident and a reduction in funding for nuclear energy research (IEA, 2021a).

1013 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
TABLE 3 – Share of fossil sources in the German and Japanese electricity matrices and decarbonization targets.
Analysis criteria Germany Japan
2009 2019 2009 2019
Proportion of fossil fuels in the electricity matrix 56.5% 51,5% 63% 73.1%
(2018)
Share of the electricity generated from renewable sources 18.5% 36% 10% 20,5%
(2018) (2019)
Share of the electricity produced based on nuclear energy 25% 12% 27% 6,4%
(2018) (2019)
Electrical energy generation targets from renewable sources until 2030 65% 22%-24%
Electrical energy generation targets from nuclear sources until 2030 0% 20%-22%
Scope of the governmental plans from the perspective of the decarbo- Accelerated Gradual
nization targets
SOURCE: prepared by the authors.

TABLE 4 – Guidelines from the governmental policies to drive the low-carbon energy transition in Germany and Japan.
Analysis criteria Germany Japan
Scope of the governmental plans Accelerated Transition + Productive Gradual Transition + Productive Capacity
from the perspective of the eco- Capacity Development + Technological Development + Technological Capacity
nomic transformation objectives Capacity Development Development
Main technological options Onshore eolic, offshore eolic, solar photo- Solar photovoltaic, onshore eolic, geother-
adopted voltaic, bioenergy, hydrogen. mal, nuclear, hydrogen.
Main public policy instruments Feed-in tariffs, guaranteeing connection to Feed-in tariffs, Feed-in premium tariffs,
to promote the incorporation of the grid, Feed-in premium tariffs, auctions. auctions.
renewable energy sources
Main policy instruments adopted Regulations and obligations (market com- Regulations and obligations (market com-
to adapt the electricity system petition, reserve capacity), auctions, char- petition, load-at-origin market, balance ca-
to the dynamics inherent to the ges, loans (sector coupling), tax reduc- pacity), charges, auctions, tax incentives,
variable renewable sources tions, demand-side response measures. grants and demand-side response measures.
Main technological options Cogeneration technologies, smart meters, Smart meters, IoT, AI, batteries, cogenera-
adopted to adapt the electricity batteries, IoT, AI, natural gas, coal, biogas. tion technologies, natural gas.
system to the dynamics inherent
to the renewable sources
Technological options prospec- Solar and eolic energy, hydrogen, batteries, Solar and eolic energy, hydrogen, ammo-
ted to be commercially intro- ocean energy, nuclear energy, carbon-ba- nium, CCUS, batteries, new nuclear energy
duced sed technologies, digital and information generation, digital and information techno-
technologies. logies.
Main instruments to promote Public funding for basic research, applied Public funding for basic research, applied
industrial and ST/I development research, development and demonstration, research, development and demonstration,
policies to promote collaboration, policies policies to support collaboration, policies to
to promote networking, entrepreneurship promote networking, entrepreneurship pro-
promotion policies, technological prospec- motion policies, incentives for private in-
tion, loans. vestment, public purchases, tax incentives.
SOURCE: prepared by the authors.

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 1014

 The high share of fossil fuels also allows cally viable; Feed-in tariffs and the obligation to
identifying the scope inherent to the challenge of connect these sources to the grid.
decarbonizing the electricity matrix. In the Ger- Subsequently, in both cases, the guidelines
man case, the government plans aim at increasing from the governmental policies continued to seek
electricity generation from renewable sources, an increase in installed generation capacity from
excluding nuclear, from 36% in 2018 to 65% of the variable renewable sources, although introducing
electricity mix by 2030. This would qualify within instruments targeted at achieving greater cost effi-
the “accelerated transition” category, understanding ciency to be passed on to end consumers. For this
that the increase in generation capacity from these purpose, both cases transitioned to the introduction
sources should be almost doubled by the end of the of other instruments, such as Feed-in premium tari-
decade. However, in the case of Japan, the targets ffs and auction mechanisms. This was encouraged
outlined in the government plans can be categorized by the need to reduce the high electricity tariffs (the
as a “gradual transition”, as they do not envision electricity tariffs in both countries are among the
the electricity mix being dominated by low-carbon highest ones in OECD countries) and the impact of
sources by 2030. incremental technological innovations in lowering
In relation to the scope of the governmental the production costs of devices and generation from
policies, the official documents reveal that both renewable sources over the last decade (IEA, 2021b;
countries seek to leverage the low-carbon energy IRENA, 2019).
transition process to boost national economic de- There are important differences regarding the
velopment by building new productive and techno- technological options adopted by the countries.
logical capacities. In this context, the government Germany chose to promote the variable sources
policies in both countries aim at creating conditions and deactivate all nuclear power plants by 2021,
for their business sectors to excel in developing whereas Japan decided to continue maintaining
technologies and products related to the new so- nuclear power as one of the low-carbon options
cio-technical regime emerging from the energy in its energy transition. The countries' cases also
transformation process (Table 4). presented differences in the pace with which the
In relation to the promotion of electrical energy technological options adopted were disseminated.
generation from new renewable sources, it can be Despite being the same ones, eolic energy dissemi-
observed that despite the difference in timing of nation progressed faster than solar energy, which
their implementation, both countries adopted similar also presented growth, although not at the same
policy guidelines and instruments. In a first stage, speed. In the Japanese case, the technological option
both countries adopted policy instruments targeted that presented remarkable growth was solar energy.
at making introduction of these sources economi- In the case of eolic energy, the country did not show
substantial results19.
19
Although not analyzed more in depth in this paper, several reasons explain the solar energy dissemination speed in Japan and for eolic energy
in Germany. They are related to issues such as geographical conditions and to public policies to promote the creation of productive and tech-
nological capacities since the second half of the 20th century. See Wieczorek (2019) for more details.

1015 VITTO, W. A. C.; PINTO JR., H. C. Paths to drive the low-carbon energy transition process in the electrical energy sector...
5. Conclusions deline to transition to liberalized energy systems
and seeking that the pricing mechanisms respond
Throughout this paper, the intention was to to market signals. Among the solutions to ensure
identify the review process of the national energy safety in supply and the transition to more flexible
policies, as a result of seeking results that allow an systems, the countries also present similarities in
energy matrix transformation through the reduction the alternatives adopted. Both countries coincide
of fossil fuels. In this sense, the role of the State in in the need to improve and expand their electricity
this review process is crucial. From the conceptual transmission and distribution grids, as well as to
framework of Policy Mixes, the need to articulate enhance integration between regions to achieve
and coordinate, differently from the past, a series better balance conditions. In order to deal with the
of new public policy instruments is made evident. intermittence inherent to the variable sources, the
Thus, it was possible to highlight that, in generic countries are promoting the installation of energy
terms, the Policy Mix design emerges from the inte- cogeneration and storage systems.
rest in achieving general objectives through specific In the scope of the technological options
public policy instruments that are incorporated into considered, the countries also present similarities.
the mix to coexist with previously adopted ones. The Both contemplate adopting natural gas as a backup
search to achieve general objectives is the result source to deal with the intermittence inherent to the
of the interaction, alignment and aggregation of renewable sources. Similarly, the governmental
interests among political actors within the State's plans established the adoption of cogeneration and
institutional political arrangement, as well as of battery storage technologies to deal with intermit-
their prioritization in the governmental agendas. tence, as well as the introduction of digital technolo-
This conceptual framework has been ex- gies to improve the electricity system management
tremely valuable for studies about transitions of capacity and as part of demand-side management
socio-technical regimes and that test public policy measures.
packages. In the case under consideration in this In terms of policies to promote industrial and
paper, similarities and differences were identified in ST&I development, the governmental plans show
the scope of the reviews of governmental policies certain direction to increasing efforts in terms of
in Germany and Japan to adapt their electricity public policy to complement the promotion of
systems to the dynamics of variable renewable low-carbon sources and the energy systems' adap-
sources. In the German case, this is directly related tation to the new dynamics of these energy sources.
to the need to integrate variable renewable sources They also aim at placing the local companies in the
into the system, whereas in Japan, the integration of technological frontier and, as countries, to continue
renewable sources is part of a broader safety view, preserving their position as economies that export
aimed at reducing the country's vulnerabilities to high-technology products and services.
environmental disasters. In both cases, it can be observed that the in-
Among the elements in common, the gover- centives for technological development go beyond
nmental policies in both countries share the gui- the policy instruments directly aimed at promoting

Desenvolv. Meio Ambiente, v. 62, p. 996-1020, jul./dez. 2023. 1016

R&D and demonstration activities. In both policy Both countries also show similarities in relation
mixes, it can be observed that the other strategies to searching technological solutions in terms of
also fit as incentives for the demand of specific transmission grids, battery energy storage systems,
technologies and for generating incremental innova- cogeneration systems and digital technologies to
tions aimed at reducing generation costs, improving enhance system operation capabilities and demand-
transmission and distribution grids, and enhancing -side management actions. Likewise, both countries
the efficiency of the technological options to address pointed out the intention to develop technological
the intermittence inherent to variable sources. capacity in terms of CCUS.
Among the instruments adopted, the mapping
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