Japan's JERA secures sufficient LNG stocks for Aug. to Oct. despite heat waves

Japan's largest power generation company JERA Co. Inc. has secured sufficient LNG stocks for power generation through August to October despite heat waves hitting the country, a company executive said July 31.

"Regarding LNG inventories, amid the current situation of intense heat and record-high temperatures, we believe that we have maintained an appropriate level of LNG inventory for the period from August through October," Executive Officer, Head of the Financial Strategy and Planning Division, Masato Otaki, told an earnings press briefing.

"In other words, we have sufficient inventories to get through this summer, and we therefore do not believe there is any need for additional measures to ensure a stable supply," Otaki said. "As a result, we see no concerns at all regarding stable supply."

Otaki, however, declined to comment when asked about any need for prompt spot LNG procurements for summer.

"Looking ahead to the winter season, we will continue to monitor conditions and manage our inventories appropriately, balancing supply and demand as circumstances evolve," he added.

Japan's LNG stocks held by the main power utilities fell 19% week over week to 2.02 million metric tons July 26, the Ministry of Economy, Trade and Industry said July 29, amid severe heat waves.

The July 26 LNG inventory was the lowest since June 28, when it stood at 2 million mt, METI said, as it lowered the July 19 stocks to 2.5 million mt from 2.51 million mt reported earlier.

The latest LNG stocks compare with the 1.76 million mt recorded at the end of July 2025 and the five-year average of 2.04 million mt for end-July.

Meanwhile, JERA boosted its coal use for thermal power generation by 5.2% year over year to 4.02 million metric tons in the April-June quarter, while cutting LNG consumption by 10.2% over the same period to 4.13 million mt, the company said.