Regarding the fact that the prices of LNG = liquefied natural gas and crude oil are rising internationally, Minister of Economy, Trade and Industry Hagita expressed his intention to pay close attention to the impact on the Japanese economy, such as electricity and gas prices.
The spot price of LNG, which is used as a fuel for thermal power generation and as a raw material for city gas, has risen since spring, and is currently at the highest level ever.
Regarding this, Minister Hagita said at a press conference after the cabinet meeting on the 8th, "Since many electric power and gas companies procure by long-term contracts, soaring spot market prices immediately give direct effects to electricity and gas prices. The impact is limited. "
On the other hand, about 60% of LNG imported into Japan is used for power generation and about 40% is used for city gas, etc., he said, "I would like to pay close attention to the effects on LNG price trends and electricity prices." rice field.
In addition, regarding the rise in international crude oil prices and the high level of gasoline prices for the first time in about three years, Minister Hagita said, "In general, rising prices of petroleum products including gasoline are costly for companies. The rise will be a factor in lowering profits, "he said, and he said he would carefully assess trends in crude oil prices and their impact on the Japanese economy.