Japan is a densely populated country, and that makes the Japanese market more difficult compared with other markets, making Japan and its alternative energy plan of particular interest to the rest of the world. Its use of offshore wind power is of particular interest to the rest of the world. 

Japan is also land-strapped so it becomes necssary to use both onshore and offshore options for their renewable energy production. Take wind turbines, for example, in a small, densely populated country like Japan where land is at a premium, it is sensible to investigate the possible construction of wind farms offshore. It has been argued that although offshore construction is much more costly, in the long run, it is becomes more economically viable because the wind is stronger and more consistent offshore.

Offshore wind power is viable as Svend Sigaard, the president and CEO of the world's largest wind turbine maker, Vestas wind systems, from Denmark knows. Vestas is helping Japan expand its wind turbine power generating capacity. It is seeking to get offshore installations put into place in a nation that it says is ready to increase its investments into renewable energy research, development and production.

The Japanese know that they need to be energy independent and in no way dependent on the energy supply dictates of foreign nations—World War II taught them that, as the US decimated their oil supply lines and crippled their military machine. They need to produce energy of their own, and as they are an isolated island nation with few natural resources suitable for energy production as it is defined now are open to the prospect of technological innovation that can make them independent. Inline with this policy, corporations such as Vestas are allowed in to assist with alternative energy production. Vestas is involved in getting wind-produced energy production off the ground.

The production of energy through what is known as microhydoelectric power plants has also been catching on in Japan. Japan has a myriad rivers and mountain streams, and these are ideally suited places for the putting up of microhydroelectric power plants, which are defined by the New Energy and Industrial Technology Development Organization as power plants run by water which have a maximum output of 100 kilowatts or less. By comparison, “minihydroelectric” power plants can put out up to 1000 kilowatts of electrical energy.

In Japan, the small-scaled mini- and micro-hydroelectric   power plants have been regarded for a considerable time as being suitable for creating electricity in mountainous regions, but they have through refinement come to be regarded as excellent for Japanese cities as well. Kawasaki City Waterworks, Japan Natural Energy Company, and Tokyo Electric Power Company have all been involved in the development of small-scale hydroelectric power plants within Japanese cities.

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