In the day-ahead market on JEPX (Japan Electric Power Exchange), the 24-hour spot power prices on a weekly average basis for Aug 11-15 delivery retreated from the previous week in East Japan (50Hz) as well as in West Japan (60Hz). Weak demand from the industrial sector during the Obon holiday, along with easing hot temperatures in the Kanto area, caused a slack supply/demand balance. From Aug 13 to 15, the plenty of offers exceeding 1.5 billion kWh pushed prices down further.

In Tokyo and Kansai, the key areas in East Japan and West Japan, the 24-hour average posted a difference in favor of the East by Yen 2.82 for Aug 11, by Yen 2.43 for Aug 12, by Yen 1.41 for Aug 13, by Yen 1.38 for Aug 14, and by Yen 2.01 for Aug 15.

The fuel market trends in the third week of August were detailed as follows.

DES Northeast Asia spot LNG prices fell further slightly to high-$11's per mmBtu for prompt September 2025 delivery as of Aug 14, down about $0.2 from the end of the previous week (Aug 8). The softened trend in natural gas markets in Europe as well as the Obon holiday in Japan kept market participants on hold. The Ministry of Economy, Trade and Industry (METI) announced on Aug 13 that Japan's LNG inventories for power generation stood at 1.96 mil mt as of Aug 10, up 30,000 mt from a week before. The figure was above 1.70 mil mt at the end of August last year but below the average of the past five years at 2.04 mil mt.

FOB Newcastle thermal coal prices in Australia fell by over $2.00 from the end of the previous week to high $110's for August 2025 loading as of Aug 14. Prices followed a weak trend in gas prices.

In the crude oil market, WTI crude for September 2025 stood at high $63's per barrel as of the morning of August 15, while Brent crude for October 2025 was trading in the high-$66's. Prices stayed at the same level from the end of the previous week for WTI and for Brent. Down pressure by an increase in inventories in US crude was offset by the short covering on the perception of affordable prices. Ahead of the summit between the US and Russia, the players took a wait-and-see stance, letting the market lack direction.

The actual highest price during the week was at Yen 18.36 in Hokkaido on Aug 13 and 15; the actual lowest price during the week was at Yen 3.01 in all nine areas and system prices on Aug 13.

By area, the weekly average of the 24-hour spot prices was at Yen 10.89 in Hokkaido, down Yen 4.73 from the previous week; Yen 10.17 in Tohoku, down Yen 5.27; Yen 10.34 in Tokyo, down Yen 6.00; Yen 9.54 in Chubu, down Yen 6.43; Yen 8.33 in Hokuriku and Kansai, down Yen 7.21; Yen 8.27 in Chugoku, down Yen 5.09; Yen 7.82 in Shikoku, down Yen 1.68; and Yen 8.25 in Kyushu, down Yen 5.04.

In the JEPX auction, the volume of offers was 1,501.18 mil kWh on a weekly average basis, up 20.6% from the previous week. Meanwhile, bids on a weekly average basis decreased by 17.8% to 1,030.17 mil kWh. The weekly average of trade volumes recorded 817.75 mil kWh, down 11.9%.

Power demand in nine areas of Japan during Aug 11-15 was a combined 11,178.95 mil kWh, down 23.4% from 14,600.26 mil kWh during Aug 4-8. The figure was down 8.8% from the corresponding period a year earlier, which was 12,260.49 mil kWh during Aug 12-16, 2024 after day of week adjustment.

Deals reported on TOCOM (Tokyo Commodity Exchange) during Aug 11-15 were as below.

Deals reported on EEX (European Energy Exchange) during Aug 11-15 were as below.

For the fourth week in August, power spot prices were expected to rise sharply from the third week. With the end of the Obon holiday, recovery of usage of the industrial sector as well as the return of scorching weather would boost demand for power and then prices. "The fourth week of August in Tokyo will hover at around Yen 15 in Tokyo and Kansai," a source at a power producer and supplier said.