Fuel for Thermal Power Generation

KEPCO has changed the fuel used at its thermal power stations in response to shifting energy realities in Japan and around the world.
We have dramatically increased our consumption of crude oil and LNG to cover the lower utilization of our nuclear power stations after fiscal 2011. Our fuel consumption (crude oil equivalent) represented a record high.

KEPCO's supply sources are diversified worldwide, while KEPCO's main sources are Australia and Southeast Asia. This approach is intended to ensure stable supply and reduced fuel costs.

Fuel procurement sources

LNG

The quantity of LNG procured by KEPCO represents a little under 10% of all LNG procured by Japan. In addition to maintaining long-term contracts, we procure LNG from various countries through spot contracts and through short- and medium-term contracts.

Coal

Considering thermal efficiency and combustion stability, We have purchased the coal (fuel coal) mainly from Australia, which is similar to Japan's sources of coal supply, because it has a high heat content. Even within Australia, we have continued to diversify our sources of supply by combining shipments from different ports.

Crude Oil

Japan sources around 80% of its crude oil needs from the Middle East. In order to satisfy strict environmental regulations at kepco's thermal power stations, on the other hand, we must procure out super-low-sulfur crude oil. Therefore our main sources are comprised of Southeast Asia,Africa and Russia, which produce this grade of crude.