Japan's spot daily electricity prices drop after heavy snow in Tokyo

Spot electricity prices traded on the Japan Electric Power Exchange dropped for Feb. 7, as the Japan Meteorological Agency forecast the peak of heavy snow has passed for Tokyo and Kanto Koshin.

The JEPX marked the 24-hour day-ahead price down 12.8% on the day at Yen 10.74/kWh Feb. 7, with the day-ahead daytime (8 am-10 pm Japan Standard Time) price down 19% day on day at Yen 11.07/kWh, while the day-ahead peak time price dropped 16.7% to Yen 8.75/kWh.

The spot electricity prices dropped after having risen Feb. 5, following heavy snow hitting Tokyo and Kanto Koshin, as snow reduces solar power output.

In the JMA's snow forecast at 05:47 am Japan time Feb. 6 (2047 GMT), the peak of heavy snow has passed for Tokyo but the area could still see occasional rain and snowfalls in the day. At 5 am local time, the Kitanomaru Garden in Chiyoda ward had 7 cm of snow, and a maximum 25 cm in the Tama area.

In a separate snow forecast at 05:11 am Japan time Feb. 6, the peak of heavy snow had also passed for Kanto Koshin but could still see rain and snowfalls in the day. The Koshin area was forecast to have snowfall of up to 10 cm, and the mountainous north of Kanto was expected to have a snowfall of up to 5 cm by 6 am local time Feb. 7.

In its estimate at 11:20 am local time Feb. 6, TEPCO Power Grid said its power demand peaked at 86% at 9-10 am local time, compared with its forecast of demand peaking at 86% over its supply capacity in the Tokyo area Feb. 6.

Japan's LNG stocks for power generation stood at 2.16 million mt Jan. 28, compared with 2.39 million mt a year earlier and the five-year-average of 1.91 million mt at end-January, the Ministry of Economy, Trade and Industry said Jan. 31.