The Japan Electric Power Exchange recorded the day-ahead rate at 25.18 yen per kilowatt-hour on Monday. This pricing pressure arrives as temperatures are forecast to peak mid-week, further driving residential and industrial power consumption. The volatility reflects a broader regional crisis, as spot LNG prices for northeast Asia climbed to 22.50 dollars per million British thermal units—the highest valuation since the onset of regional hostilities.

Because Japan remains one of the world’s largest LNG importers, the blockage of the Strait of Hormuz has forced a rapid shift in energy strategy. Fuel costs for power generation are now at a three-and-a-half-year high, prompting utility providers to favor coal over gas. This transition mirrors a wider trend across Asia, where nations are prioritizing coal on affordability grounds as the cost of gas has effectively doubled since the conflict began.