Chubu Electric increases LNG demand forecast 2003: Report

Chubu Electric Power Co said on Friday it has revised up its demand forecast for liquefied natural gas (LNG) for the business year to end March 2003 by 500,000 tons due to the closure of nuclear reactors, Reuters reported.

A spokesman at Chubu -- Japan's third largest power utility -- said its LNG requirements were expected to increase to about 9.6 million tons for the business year to March, up from its initial forecast of 9.1 million tons.

Chubu has long-term contracts to import LNG from Qatar, Indonesia and Australia.

He said Chubu planned to buy the extra LNG within existing term contracts.

Demand for fossil fuel, including LNG, used in thermal power plants has been increasing since Japan's largest power utility began shutting down its nuclear reactors for unplanned safety checks in September after revelations of past inspection lapses.

Tokyo Electric Power Co., servicing the capital and surrounding areas, has had to mobilise its thermal power plants to make up for the loss.

The situation has been compounded by the shut down of Chubu's nuclear reactors at its Hamaoka power plant in Shizuoka prefecture, some 150 km (93 miles) west of Tokyo due to an accident and unplanned safety checks.

One of the four plants, shut down in May after water leaked from a pipe, was reopened in December. The other three remain closed. (*)