Japan’s Electricity Prices Surge 25% as LNG and Coal Costs Soar
Japan’s average power prices jumped by over 25% at the start of this week from the previous week amid soaring LNG and higher coal prices. The nationwide power price rose by over 25% week-to-week to $0.19 (31.15 Japanese yen) per kilowatt-hour (kWh) on Monday, Bloomberg reported, citing data from Jap
Source: OilPrice.com
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DW NOTE
Japan imports over 90% of its energy. The Strait of Hormuz has been effectively closed since the middle of last month, cutting the primary LNG and coal route from the Gulf. A 25% electricity price surge isn't a market anomaly — it's what happens when an industrial economy with no domestic hydrocarbons loses its supply line and has no Plan B.