Wholesale electricity markets in Japan were mixed in the week ending August 28, with weak east and upward west. Based on the Rim Power Index (Day ahead 24 hours), weekday power prices in the eastern market, including Hokkaido, Tohoku and Tokyo area, averaged out at 10.36 yen per kilowatt hour (kWh), down 1.52 yen/kWh or 12.8 % from the previous week, meanwhile prices in the western, made up of the Chubu, Hokuriku, Kansai, Chugoku, Shikoku and Kyushu area, at 12.25 yen/kWh, up 1.30 yen/kWh or 11.9%.

Hot waves showed different faces to east and west areas, thereby weighing on east markets and pushing up west markets. Daily maximum temperatures for Tokyo, east Japan's largest city, were projected on a day ahead basis at the range of 31 to 35 degrees Celsius, including three 33C days, compared to previous week's range of 32 to 35C, containing three 35C days. Buyers in east Japan seemed to get their nerve back as hot air became mild. In Osaka, the biggest city in west Japan, high temperatures were forecasted at the range of 35 to 37C, compared with a previous range of 36 to 38C. Some thermal power stations in west Japan could have a fuel shortage owing to a lingering relentless heat with more humid, leading to a tighter balance of supply and demand in west areas.

The premium of Hokkaido to Tokyo widened significantly to 7.90 yen/kWh from 0.60 yen/kWh recorded in the prior week, with Hokkaido's 24 hours average 17.70 yen/kWh (previous week's ave:12.57 yen) and Tokyo's 9.80 yen/kWh (11.97 yen), which are reckoned in conformity to data compiled by the Japan Electric Power Exchange (JEPX). Hokkaido prices often drift at higher levels than other areas especially in the winter season. Temperatures in Sapporo, Hokkaido's major city, moves at rather higher levels than normal and previous week, unlike Tokyo and Tohoku area. Tohoku's average stood at 9.80 yen/kWh, equaling to Tokyo.

Kansai's weekly average advanced by 1.25 yen/kWh to 12.37 yen/kWh, and Kyushu's moved up by 1.70 yen/kWh to 11.89 yen/kWh. The gap of the two areas narrowed to 0.48 yen/kWh from 0.93 yen/kWh seen in the prior week. Kansai area is the biggest market in the western Japan, and Kyushu's prices are apt to hover at less expensive levels alongside of other areas. Kansai and Kyushu's average prices for day time showed wider gains than night time.

On JEPX, the weekday average of System Price (Day ahead 24 hours), which were figured based on the data of 9 areas, moved sideways, standing at 10.77 yen/kWh compared to 10.67 yen/kWh observed in the prior week, with the average volume decreasing by 25,695 megawatts per hour (MWh) to 1,030,948 MWh.

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