Japan Smart Energy Week 2026 was held from March 17 to 19 at Tokyo Big Sight. (Photo: Daisy Chuang)
Asia’s largest energy exhibition, Japan Smart Energy Week, opened in Tokyo on March 17. Against the backdrop of surging electricity demand driven by the energy transition and AI, the importance of renewable energy and energy storage continues to grow. Supported by Japan’s well developed power market system, including capacity, wholesale and balancing markets, a wide range of trading mechanisms is accelerating the emergence of energy storage opportunities.
The momentum has drawn strong interest from Taiwanese energy companies. RECCESSARY attended the event to examine how Japan’s energy market is evolving under Prime Minister Sanae Takaichi’s policy direction, and how Taiwanese players are positioning to capture new opportunities in the power sector.
Japan’s energy transition faces mounting challenges as it reshapes its energy mix
The Smart Energy Week in Tokyo covers a wide range of sectors, including hydrogen and fuel cells, solar PV, rechargeable batteries, smart grids, wind power, biomass, thermal power, carbon neutrality and the circular economy. As Asia’s largest energy event, it also serves as a key platform for observing Japan’s policy direction.
Since 2025, the administration of Prime Minister Sanae Takaichi has been rolling out a national growth strategy targeting 17 priority sectors, including AI and semiconductors, shipbuilding, quantum technology and energy. Kobayashi Yamato, Director General for Energy at Japan’s Agency for Natural Resources and Energy under the Ministry of Economy, Trade and Industry (METI), said Japan is currently facing a complex set of energy policy challenges, including strengthening energy self-sufficiency, reducing reliance on thermal power and imported fossil fuels.
Japan’s immediate priority is to raise its energy self-sufficiency rate, with a goal of increasing it from 16% in 2024 to between 30% and 40% by 2040. Kobayashi noted that this must be achieved while ensuring energy security, stable supply, economic efficiency and environmental sustainability.
Unlock this article to learn three key takeaways:
- Japan’s energy transition faces multiple challenges, with a dual focus on renewable and nuclear power.
- Power market liberalization and surging demand for energy storage are creating key entry points for Taiwanese companies.
- Strengths in technology integration and flexible deployment give Taiwanese firms an advantage in the power market.
