TOKYO: A self-driving car service could be on Tokyo’s public roads in time for the 2020 Olympics as Japan looks to drive investment in new technology to drive economic growth, according to a government strategic review announced on Monday.
The strategy, presented at a meeting chaired by Prime Minister Shinzo Abe, also includes plans to allow the development of virtual power plants by the fiscal year ending March 2022.
The proposals are part of a larger package of fiscal and economic policies the government aims to compile by the end of the month.
The review said the government plans to begin testing a driverless car system on public roads sometime this fiscal year with the goal of launching a self-driving car service for the 2020 Tokyo Olympics. The government will then try to commercialize this system as early as 2022.
Economists see enormous potential in the development of autonomous vehicle and artificial intelligence technologies, which could help businesses cope with an aging and declining workforce. However, Japanese companies have struggled to keep up with their Chinese, European and US counterparts in implementing such innovations into their work practices.
Japan’s economy contracted in the first quarter, ending eight straight quarters of growth, which was the longest continuous expansion since the 1980s bubble economy.
Since taking office in late 2012, Abe has introduced several gradual changes that have benefited the economy by drawing more women into the workforce, narrowing the pay gap between regular and contract employees, increasing inbound tourism, and slowly opening the door to foreign labor.
This year’s growth strategy focused more on promoting technology and changing some regulations to make it easier for companies to do business.
The government also plans to change regulations for universities to make it easier for students to earn multi-disciplinary degrees needed to work in artificial intelligence.
Additionally, the review flagged a plan to allow for virtual power plants by fiscal 2021. Virtual power plants connect several small energy-generating and energy-storage systems, allowing them to collectively work like a large conventional power plant, which could help energy grid operators save money.
While the benefits of such systems are known, companies have been reluctant to invest in deploying these networks unless regulations allow them to easily distribute their energy across the power grid.
Japan looks to launch driverless car system in Tokyo by 2020
Japan looks to launch driverless car system in Tokyo by 2020
Oil leaps 3% on supply concerns as Iran conflict widens
TOKYO/SINGAPORE: Oil prices surged more than 3 percent on Thursday, extending a rally as the escalating US-Israeli war with Iran raised fears of prolonged disruptions to vital Middle East oil and gas supplies.
Brent crude advanced $2.65, or 3.26 percent, to $83.99 per barrel by 08:20 am Saudi time, a fifth session of gains. US West Texas Intermediate crude rose $2.76, or 3.70 percent, to $77.42.
Crude oil markets remained on edge as they face ongoing risks to supply following the attacks in the Middle East and concerns are centred on the flow of supply through the Strait of Hormuz, ANZ analysts said in a note on Thursday.
Iran launched a wave of missiles at Israel early on Thursday, sending millions of residents into bomb shelters as the conflict entered its sixth day and just hours after moves to halt the US air assault were blocked in Washington.
On Wednesday, a US submarine sank an Iranian warship off Sri Lanka, killing at least 80 people, and NATO air defences destroyed an Iranian ballistic missile fired toward Turkiye.
Iranian forces have struck oil tankers in or near the Strait of Hormuz. Explosions were reported near a tanker off Kuwait, according to the UK Maritime Trade Operations.
The escalation came as the powerful son of Iran’s slain supreme leader emerged as a frontrunner to succeed him, suggesting Tehran was not about to buckle to pressure, five days after the US and Israel launched a military campaign that has killed hundreds and convulsed global markets.
Iraq, the second-largest crude producer in OPEC, has cut output by nearly 1.5 million barrels a day for lack of storage and an export route, officials told Reuters.
Qatar, the biggest liquefied natural gas producer in the Gulf, declared force majeure on gas exports on Wednesday, with sources saying a return to normal production volumes may take at least a month.
Two oil traders said they held bullish expectations for oil prices as a quick resolution to this war seemed unlikely.
At least 200 ships, including oil and liquefied natural gas tankers as well as cargo ships, remained at anchor in open waters off the coast of major Gulf producers including Iraq, Saudi Arabia and Qatar, according to Reuters estimates based on ship-tracking data from the MarineTraffic platform.
Hundreds of other vessels remained outside Hormuz unable to reach ports, shipping data showed. The waterway is a key artery for around a fifth of the world's oil and LNG supply.
China's government has asked companies to suspend signing new contracts to export refined fuel, and to try and cancel shipments already committed, industry and trade sources said on Thursday.
