ABSTRACT
This conclusion presents some closing thoughts discussed in the preceding chapters of this book. The book examines the evolution of Japan's historical energy policy and energy policy-making structures in order to place current challenges in the appropriate context. Consistent with Keohane and Nye, the potential exists under the conditions for states to build institutions in order to lower transaction costs and pursue absolute rather than relative gains. Recognizing the 'energy security dilemma' is a first step towards mitigation of energy security cooperation problems in the Asia-Pacific region. Valentine argues that Japan's energy policy network lacks the sufficient diversity to avoid misguided strategic decisions. The vertical integration of Japan's electric utilities into all levels of the electricity supply chain has been a key hurdle to the diffusion of renewable energy. In Northeast Asia, no institutionalized multilateral security mechanism exists. China and Japan are crucial actors for multilateral energy security cooperation to be successful.
