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Japan Renewable Alert 51 | Orrick, Herrington & Sutcliffe LLP

The Nullification Rule and the Feed-in Premium (FIP) system, which will have significant impact on Japan’s renewable market, have recently received further clarification. Both instruments, as reported in our Japan Renewable Alert 44, will be introduced, effective as of April 1, 2022, by the amendments to the Act on Special Measures Concerning Procurement of Electricity from Renewable Energy Sources by Electricity Utilities (Act No.108 of 2011; the “
REA”) pursuant to the Act to Partially Amend the Electricity Business Act and Other Acts in Order to Establish a Resilient and Sustainable Electricity Supply System (Act No. 49 of 2020; the “
Amendment Act,” and the REA as amended by the Amendment Act, the “ ....

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Japan Renewable Alert 49: Arrangements For The Nullification Rule And Expansion Of The Scope Of The COD Deadline Rule Now Open For Public Comments - Energy and Natural Resources

1. METI s Measures for Nonoperating Projects Now Open for
Public Comments
On September 7, 2020, the Ministry of Economy, Trade and
Industry (
METI ) announced the draft
outline of the amendments to regulations regarding the introduction
of arrangements for the Nullification Rule (described below), to be
effective on April 1, 2022 (the
Effective
Date ), and other points (the

Draft
seehere, available only in Japanese).
The Nullification Rule, intended to invalidate a FIT/FIP
approval if the project fails to commence operation within a
certain period of time from the approval (the

Nullification Period ), is to be
introduced by the Act to Partially Amend the Electricity Business ....

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