Insights & Analysis
A straight-to-the-point monthly summary of important regulatory discussions and changes in Japan's power market.
In the July 2026 issue:
- Summary of METI, OCCTO, and other committee meetings
- Pumped hydro bilateral contracts in FY2026
- FY206 long-term decarbonization auction discussions
- Mid- to long-term market design discussions
- METI power business license and registration changes
- Nuclear power plant operational status updates
- ...and more
The next issue will be released on August 17, 2026.
Enehub Charts of the Week
Kansai Electric Power manually shut down Mihama Nuclear Power Plant Unit 3 in the early hours of May 8, 2026, following a steam leak. Alongside the shutdown, LNG and coal generation ramped up, highlighting the continued importance of sufficient relatively flexible thermal capacity to ensure stable power supply, especially in areas heavily reliant on large-scale nuclear units.
About 379MW of operational solar and 233MW of operational wind capacity were converted from FIT to FIP in FY2025, based on Japan Energy Hub analysis of METI data, enabling PPAs and, when paired with battery retrofits, reducing curtailment exposure. With FIT assets set to be curtailed before FIP assets from FY2026/FY2027 depending on the region, conversions are likely to accelerate.
While over 12GW of nuclear capacity has been restarted across Kansai and regions further west, only about 2GW has been brought back online in eastern Japan. With TEPCO’s Kashiwazaki-Kariwa Unit 6 recently restarted, Hokkaido Electric Power’s Tomari Unit 3 targeting a 2027 return into service, and additional reactors under preparation, solar curtailment in eastern Japan is likely to increase disproportionately in the coming years as inflexible capacity rises.
