Japan's Kyushu Electric may face 25% power shortage in summer
Japan's Kyushu Electric Power may face power shortages of up to 25% this summer if it does not restart two of its nuclear reactors, local media reported this week.
The company postponed in March the restart of its Genkai Nuclear Power Plant's (NPP) 559MW No 2 and 1.18GW No 3 reactors amid uncertainty surrounding Tokyo Electric's (TEPCO) Fukushima Daiichi NPP and new government regulations concerning NPPs, a company source told ICIS Heren earlier.
Kyushu Electric plans to shut down its Sendai NPP's 890MW No 1 reactor for scheduled maintenance this month, which will see the Fukuoka-based company lose at least 2.6GW of power generation capacity.
Toshio Manabe, president of Kyushu Electric, said that unless the company restarts its Genkai NPP's 559MW No 2 and 1.18GW No 3 reactors in Saga prefecture, the company could face a 20-25% power shortage this summer, according to a report by the Nihon Keizai Shimbun (Nikkei).
With the forecasted power shortage, market participants are expecting Kyushu Electric to return to the market as summer is the peak demand season for the utility based in southern Japan, with daytime temperatures peaking around 37˚C. However, market participants said that Kyushu Electric has yet to show any signs of prompt spot demand at the moment.
In a related development, Kyushu Electric has not announced its forecasted earnings for the year through March 2012 as the company is unable to determine the restart dates for the reactors that are off line, the Nikkei reported.
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