Overview of the Proposed Institutional Reforms Relating to Agrivoltaics

Criteria for Agrivoltaics Best Practices

1. Proposed Amendment to the Basic Policy under the Act

MAFF has expressed its intention to amend the basic policy under the Act in order to clarify best practices for agrivoltaics, and to revise related systems so that local governments can determine whether a project aligns with such best practices.

The outline of the proposed amendments to the basic policy sets out specific operational standards regarding agrivoltaics best practices, including: (i) farming policies, such as ensuring that the labor required for cultivation is reliably secured and that crops to be cultivated are varieties for which general sales routes have been established; (ii) power generation equipment policies, such as ensuring that the shading rate from equipment is less than 30% (or that the reduction in solar radiation from equipment is less than 20% where the shading rate is difficult to determine), that the minimum ground clearance of equipment is approximately 3 meters or more, and that the spacing between pillars is approximately 4 meters or more; and (iii) local community coexistence policies, such as obtaining consensus from the local community through local councils and regional planning consultations, and ensuring appropriate profit sharing from power generation operators to farmers.

Furthermore, in order to accommodate the agricultural and rural development policies and distinctive farm business structures of each region, the proposal stipulates that local government may, in the basic policy it formulates pursuant to the Act, establish exceptions concerning agrivoltaics standards, subject to the national basic policy. This is expected to promote new and proactive initiatives led by local governments, taking regional characteristics into account.

2. Reform of the Regulatory Framework for Agrivoltaics

The regulatory framework for agrivoltaics will also be significantly revised. Currently, temporary conversion permits for the use of farmland for agrivoltaics are granted under the Agricultural Land Act.※2 Under the new framework, obtaining certification for an equipment installation plan under the Act will be a requirement for temporary conversion permits of agricultural land. This new requirement will incorporate perspectives such as regional coexistence, for which the Agricultural Land Act itself is not well-equipped, into the agrivoltaics regulatory system. An equipment installation plan must conform to the basic policy established by the relevant local government in order to be certified, ensuring compliance with the agrivoltaics best practices set out under the national basic policy. In order to implement this process, amendments are also expected to be made to relevant regulations, such as the Ordinance for Enforcement of the Agricultural Land Act.

Stricter Measures Against Existing Operators

A stricter approach has also been outlined regarding operators engaged in existing agrivoltaics projects. With respect to enforcement against existing operators, though the legal principle of non-retroactivity applies to the existing standards, the following items have been proposed as additional criteria for re-permit decisions and as items clarifying “best practices” in the basic policy under the Act, in order to promote compliance with the new standards:

Additionally, with respect to agrivoltaics projects which have failed to achieve adequate coexistence with their associated agriculture, a policy has been proposed pursuant to which the national government will participate in enforcement activities in coordination with permit authorities (local governments and agricultural commissions). The government will expand the scope of its fact-finding investigations, and rules and standards for enforcement in cases where such inadequate coexistence is identified will be clarified and tightened.

Conclusion

The proposed regulatory reforms for agrivoltaics were approved at the study group following an exchange of opinions by experts on regulatory operations. The development of related regulations is expected to proceed with a view to commencing operation of the new regulatory framework as early as next year. As the new regulations will have a significant impact not only on new agrivoltaics projects but also on existing operators, it will be necessary to closely monitor future discussions.