According to Federation of Electric Power Companies (FERC), Japan’s prime power utilities used 16.3 less crude and fuel oil in October last year. The country however increased the consumption of liquefied natural gas (LNG) in subsequently.
It is expected that country’s national gas usage will hit record in the coming fiscal year 2014-15 because of the strong domestic power generation and city gas demands. The domestic demand for the gas is forecasted to rise to 91.1 mmt in the coming year march, surging 1% from an expected 90.2 mmt for the year ending March 2014. Thus, the demand will be hitting two year record high in a row.
According to Platts, the LNG import price is expected to drop from earlier projected price of 16/MMBtu to $15/MMBtu.