Substitute of Nuclear Energy Supply – A Strategic Policy Decision for Asia

Anindya Bhattacharya and Satoshi Kojima
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Anindya Bhattacharya: Institute for Global Environmental Strategies (IGES)
Satoshi Kojima: Institute for Global Environmental Strategies (IGES)

from Economic Research Institute for ASEAN and East Asia (ERIA)

Abstract: Asian energy policy makers are now in the cross road of defining the future direction of the region’s long term energy scenario which can strike a balance between economic development, energy supply security and climate change mitigation due to the Fukushima nuclear accident in Japan. Though there are certain drawbacks and constraints on mainstream utilization of renewable energy at a large scale, renewable energy seems much clearer for Asian countries, especially for the developing countries considering the risks and damage associated with the nuclear energy. This study demonstrates feasibility of no-nuclear energy supply scenarios as well as potential benefits of renewable energy based future energy supply path from the perspectives of electricity supply cost and total cost of energy supply to the market. This study shows the possibility for Japan, India and China to satisfy future energy demands without nuclear energy. Further, this study demonstrates potential benefits of focusing more on renewable energy development than other fossil fuel based energy resources for having a sustainable, affordable and reliable energy supply in these countries. Renewable energy’s expensiveness should not be a constraint for its development and promotion in the regional market.

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