Spring 2026 saw unprecedented JEPX spot market behavior: daytime prices collapsing to ¥0.01/kWh while evening peaks surged above ¥30. The duck curve has normalized from an occasional anomaly into a structural market feature.
2026 Middle East geopolitical tensions have pushed LNG spot prices to $20/mmBtu, directly raising Japan's thermal power generation marginal costs. This article quantifies the transmission mechanism and time lag between LNG prices and JEPX electricity prices.
The limited capacity of frequency conversion equipment between East Japan (50Hz) and West Japan (60Hz) creates persistent regional price differentials. With Kashiwazaki-Kariwa nuclear plant offline in 2026, the east-west spread has widened further.
TOCOM electricity futures volume surged fivefold in 2025, reaching 96.4% of spot market size in January 2026. This deep-dive covers product structures on TOCOM and EEX, price trends, participant profiles, and the transformative JJ-Link integration framework.
The capacity market is one of the core institutions of Japan's electricity system reform, designed to ensure long-term supply adequacy. Based on OCCTO's latest February 2026 Capacity Assurance Contract Terms, this article provides a deep analysis of market architecture, auction processes, contract amount formulas, performance obligations, and penalty structures.
On February 28, 2026, the US-Israel-Iran conflict erupted, the Strait of Hormuz was blocked, and Qatar's LNG facilities were damaged. Asian JKM spot prices surged from $10 to $25.30/MMBtu within five weeks. This article analyzes the transmission mechanism from LNG prices to JEPX electricity markets, historical precedents, and the electricity market risk landscape under the 2026 geopolitical shock.
The Japan Electric Power Exchange for Balancing (EPRX) is the core infrastructure supporting stable grid operation in Japan. Based on the latest official guidebook revised in April 2026, this article provides a thorough analysis of ancillary service product design (primary through tertiary), ΔkW trading logic, battery storage bidding, and participation pathways for retailers and aggregators.
Japan's capacity market (容量メカニズム) is the core mechanism ensuring long-term power system reliability. This guide covers the capacity auction mechanism, provider qualification requirements, and how capacity fees are calculated and ultimately reflected in electricity bills.
Japan's Long-Term Decarbonization Power Source Auction (LTDA) is a 20-year capacity CfD scheme designed to drive decarbonization in the power sector. This guide covers the system architecture, CfD settlement mechanics, the three-tier market revenue clawback, and complete results from Round 1 (FY2023) and Round 2 (FY2024).
A comprehensive guide to Japan's EPRX balancing market: five product tiers, ΔkW bidding and clearing mechanics, composite market design, and the sweeping 2026 reforms including day-ahead transition, procurement volume cuts, and price cap reductions — with implications for battery storage operators.
A complete guide to Japan's three electricity markets: JEPX spot market (energy trading), EPRX balancing market (frequency regulation), and the capacity market (supply adequacy) — each with distinct purposes, bidding mechanisms, and timelines, together forming Japan's complete market-based power system infrastructure.
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