Japan has already led solar power technology in the world, the official told AFP. With the scheme, we would like to firmly secure the lead.

The official said that the ministry plans to submit a bill to parliament that would make it mandatory for power companies to purchase the unused solar power from households at around JPY50 per kilowatt hour.

The premium rate, which could be set for 10 years, might help homes and companies to recover the initial cost of installing photovoltaic cell systems.

The electricity companies would be expected to raise charges for conventional power to meet the additional expense.

Trade Minister Toshihiro Nikai has informed the Federation of Electric Power Companies of Japan on February 24, 2009 about the proposed scheme, and federation officials agreed to cooperate in introducing it, the official said.

Japan has pledged a 10-fold increase in solar power use by 2020 from the present levels and aims to halve prices of solar power systems in about four years.

Japan has looked for ways to reduce its dependency on foreign oil, while planning to reduce carbon emissions by up to 80% by 2050.

Japan, which hosted talks that led to the Kyoto Protocol, is behind in meeting its own targets under the UN treaty, as the government has hesitated to restrict industrial carbon output amid the current economic crisis.