Japan and South Korea – prospects for coal and gas

By Catriona Scott 11 July 2017
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Japan and South Korea have contrasting plans for nuclear and coal in the generation mix going forward. (BHP) Japan and South Korea have contrasting plans for nuclear and coal in the generation mix going forward. (BHP)

What happens in the power sectors of Japan and South Korea – the world’s two leading LNG importers – will affect not only gas demand in both countries but also international LNG trade.

There are similarities and stark contrasts in the generation strategies of the Japanese and South Korean governments. Both countries are committed to reducing emissions and boosting renewables, and both want to increase energy efficiency. However, the two countries have very different views on the role that nuclear and coal should play in the generation mix. Japan is planning to obtain more power from nuclear and coal – albeit more efficient and cleaner forms of coal-fired power generation. South Korea's government wants to shut the country’s older coal plants and limit the prospects for nuclear.

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