Electric Oil Warmer
Japan Tepco to double Jul oil purchase from Jun on higher power demand
Japan's Tokyo Electric Power Company expects to double its crude and
fuel oil purchases month-on-month in July to 520,000 kiloliters (3.27 million
barrels or 106,000 b/d), as the country starts its summer power demand
season, a source close to the matter said Thursday.
Tepco is hiking its oil purchase volume in July because power demand has
started to rise this week in the region it serves in eastern Japan due to
warmer weather.
On Thursday, Tepco recorded power demand of 42.25 GW, its highest since
the March 11 earthquake, at around 4-5 pm local time (0700-0800 GMT) against
its power supply capacity of 47.80 GW at the time, a company spokesman said.
Tepco's previous record power demand in the post-quake period was on
Wednesday at 41.22 GW, the spokesman said.
Tepco's oil purchase volume in June is expected to be 260,000 kl, said
the source, adding its expected oil consumption in the month would be about
280,000-290,000 kl.
Article continues below...
Tepco is hiking its oil purchase and consumption volumes over
July-September during the country's summer power demand season as it expects
to restart its earthquake-hit Hirono thermal power plant in July, earlier
than its previous estimate of by the end of August, the source said.
The Hirono plant in Fukushima prefecture, in the northeast of the
country, has a combined capacity of 3.8 GW over five units. The 600 MW No. 2
and 1 GW No. 4 Hirono oil-fired units were shut as a result of the March 11
earthquake. The 600 MW No. 1 and 1 GW No. 3 oil-fired units as well as the
600 MW No. 5 coal-fired unit were shut for scheduled maintenance when the
earthquake struck.
As Tepco has restarted its No. 5 coal-fired Hirono unit earlier in June,
it now plans to restart the remaining four oil-fired units in July because of
the faster-than-expected progress of repairs, the source said.
Earlier, Tepco had planned to restart the No. 3 oil-fired and No. 5
coal-fired Hirono units in July and the remaining No. 1, No. 2 and No. 4
oil-fired units in August.
In spite of the earlier-than-expected restarts of the Hirono power
plant, its operation rates would not be maximized soon because repairing the
damage to its oil storage tanks and berths is expected to take longer than at
its power generation units, the source added.
Electric Oil Warmer - News
Tepco is hiking its oil purchase volume in July because power demand has started to rise this week in the region it serves in eastern Japan due to warmer weather. On Thursday, Tepco recorded power demand of 42.25 GW, its highest since the March 11
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Those factors caused demand to increase by 3.1 percent in 2010, with more expensive oil-fired power plants setting the market's price more frequently, he said. The report also found that the average price for wholesale electric energy increased from
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