Japan’s utilities use more coal, LNG in April-June

Japan's nine utilities raised coal and LNG use for power generation on the year in 2022-23's first quarter, as firmer demand resulting from unusual hot weather and the country's nuclear power plants' lower availability increased operations at thermal power plants.

LNG consumption in April-June among the country's nine utilities including Jera — the 50:50 thermal power joint venture between Tokyo Electric Power and Chubu Electric Power — rose by 3.3pc from the same period in 2021 to 8.6mn t, according to an Argus survey.

Lower nuclear power supply largely prompted utilities to boost their LNG use. Kansai Electric Power's nuclear output totalled 4TWh in April-June, down by 34pc on the year, while Kyushu Electric Power's nuclear output fell by 65.6pc to 3.1TWh during the same period. The supply shortage from nuclear power led thermal power units to ramp up operations to compensate for the loss, Kansai said.

Higher operations at Hokkaido Electric Power's sole gas-fired power unit at the Ishikariwan-Shinko power complex also contributed to the overall increase. The 569.4MW No.1 gas-fired power unit was closed last year from 27 February to 2 July because of a maintenance.

The country's electricity demand in April-June rose compared with the same period a year earlier because of a shorter rainy season and unusual hot weather . Power demand in Japan's 10 service areas averaged 90.3GW during the period, up from 89.5GW ia year earlier, according to the country's power agency the Organisation for Cross-Regional Co-Ordination of Transmission Operators.

Output from the country's base-load coal-fired power units were also higher from a year ago, but it was not sufficient to cover the firm power demand. Coal consumption in April-June totalled 12.3mn t, up by 2.7pc from the same period a year ago. Kyushu increased coal use during the period as a series of issues hit its Matsuura power plant last year. Chugoku Electric Power has started test operations at its new Misumi No.2 coal-fired power unit in March, which also contributed to the rise.

But two large-scale coal-fired power units at Tohoku Electric Power's Haramachi power complex was shut earlier this year because of damage resulting from an earthquake on 16 March . The 1,000MW No.1 unit resumed normal operations in May , while the 1,000MW No.2 unit was brought back on line in July .

The closure of the 700MW No.4 coal-fired power unit at Tomato Atsuma was the reason for the lower coal use, Hokkaido said. The unit was closed from 3 April to 10 July for a regular maintenance.

Most utilities had no choice but to increase operations at their peak-load oil-fired power units to meet the country's stronger power demand, in addition to the loss of nuclear power supply. Oil consumption in April-June totalled 48,938b/d, up by 133.7pc from the same period a year ago.

Thermal power generation by the nine utilities totalled around 99TWh in April-June, up by 3.6pc from a year earlier, as the country's nuclear output fell by 40.1pc to 9TWh. Lower hydropower output from also prompted the increase in thermal generation, with hydropower output falling by 4.4pc to 19TWh.

Power sales by the 10 main utilities in April-June, with Tepco and Chubu counted as separate firms instead of Jera, rose by 2.3pc from the previous year to 187TWh.

By Reina Maeda

Japan&#39;s power utilities fuel consumption Q1 2022-23 Q1 2021-22 % &#177; Coal (&#39;000 t) Hokkaido Electric 647 912 -29.1 Tohoku Electric 1,140 2,030 -43.8 Jera 4,520 4,360 3.7 Hokuriku Electric 1,230 1,260 -2.4 Kansai Electric 680 800 -15.0 Chugoku Electric 1,320 900 6.0 Shikoku Electric 462 770 -40.0 Kyushu Electric 1,960 590 232.2 Okinawa Electric 310 319 -2.8 Total 12,269 11,941 2.7 LNG (&#39;000 t) Hokkaido Electric 96 2 4,700.0 Tohoku Electric 730 760 -3.9 Jera 5,540 5,510 0.5 Hokuriku Electric 70 80 -12.5 Kansai Electric 1,210 1,070 13.1 Chugoku Electric 290 370 -21.6 Shikoku Electric 88 70 25.7 Kyushu Electric 490 390 25.6 Okinawa Electric 75 62 21.0 Total 8,589 8,314 3.3 Oil (b/d) Hokkaido Electric 8,986 5,461 64.6 Tohoku Electric 8,295 1,382 500.0 JERA 691 691 0.0 Hokuriku Electric 1,382 691 100.0 Kansai Electric 15,207 2,074 633.3 Chugoku Electric 4,147 2,765 50.0 Shikoku Electric 6,083 2,834 114.6 Kyushu Electric 0 0 - Okinawa Electric 4,147 5,046 -17.8 Total 48,938 20,944 133.7 Source: Argus survey

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