In the fiscal year 2022, the electricity costs for the industry in Japan amounted to approximately 27.55 Japanese yen per kilowatt hour. Figures peaked in fiscal 2014, reaching 20.31 Japanese yen per kilowatt hour. In comparison, electricity costs for homes in Japan remained higher throughout the past decade.

Japan JP: Residential Electricity Price: USD per kWh data was reported at 0.330 USD/kWh in 2022. This records an increase from the previous number of 0.260 USD/kWh for 2021. Japan JP: Residential Electricity Price: USD per kWh data is updated yearly, averaging 0.220 USD/kWh from Dec 1990 (Median) to 2022, with 33 observations. The data reached an all-time high of 0.330 USD/kWh in 2022 and a record low of 0.190 USD/kWh in 2002. Japan JP: Residential Electricity Price: USD per kWh data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s Japan – Table JP.OECD.GGI: Environmental: Environmental Policy, Taxes and Transfers: OECD Member: Annual.

In March 2024, industrial electricity prices in the European countries of Poland, Italy, and the United Kingdom were among the highest in the world, at over 0.40 U.S. dollars per kilowatt-hour. Singapore was the Asian country with the highest electricity bill worldwide at that time. Lowest electricity prices in the world The average retail electricity price in the United States was considerably lower than in most of Europe. Iceland was the European country with one of the lowest electricity bills for enterprises that month. At the bottom of the ranking were also Russia, Iraq, Qatar, Argentina, and Libya. In these countries, commercial electricity prices amounted to less than 0.1 U.S. dollars per kilowatt-hour. Household electricity prices In addition, European countries had the highest household electricity prices worldwide that month, with Italy at the top of the ranking. By comparison, Iran and Ethiopia had the lowest residential electricity prices in the world.

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• Electricity, industrial sector, Japan, including generation, transmission, and distribution costs, plus taxes (power consumption > 500 kW)
• Electricity, household, Japan, for consumption over 300 kWh/month

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In July 2023, the average retail price of high voltage electricity in Japan that was supplied by incumbent utilities amounted to 21.4 Japanese yen per kilowatt hour, while the average retail price of new entrants amounted to 23.1 Japanese yen per kilowatt hour. Figures for both utilities indicated an upward trend in recent months.

In the fiscal year 2022, the electricity costs for homes amounted to 34 Japanese yen per kilowatt hour. The electricity costs increased multiple times since fiscal year 2016, when the figure stood at 24.31 yen per kilowatt hours.  Competition in the electricity market remains limited The competition in the Japanese electricity market remains limited as it continues to be dominated by ten regional electric utilities. Retailers of low voltage electricity mainly sell their electricity locally to homes or small shops. Tokyo Electric Power Co., Inc., also known as TEPCO, continued to rank as the largest electric power company in Japan in terms of total assets. The electric company is known for the nuclear accident at its Fukushima Daiichi Nuclear Power Plant in 2011.  Causes for rising electricity costs After the nuclear disaster, nuclear energy was replaced by fossil fuels. Since Japan lacks domestic reserves of fossil fuels, it heavily depends on imports. Consequently, the self-sufficiency rate of primary energy decreased shortly after the disaster, causing electricity costs to rise. Additionally, in recent years, a short supply of liquefied natural gas (LNG) reinforced the price increase.

Japan CGPI: EG: EP: Industrial High Tension Power data was reported at 114.200 2005=100 in May 2012. This stayed constant from the previous number of 114.200 2005=100 for Apr 2012. Japan CGPI: EG: EP: Industrial High Tension Power data is updated monthly, averaging 103.800 2005=100 from Jan 2005 (Median) to May 2012, with 89 observations. The data reached an all-time high of 124.200 2005=100 in Mar 2009 and a record low of 97.800 2005=100 in Jun 2005. Japan CGPI: EG: EP: Industrial High Tension Power data remains active status in CEIC and is reported by Bank of Japan. The data is categorized under Global Database’s Japan – Table JP.I127: Corporate Goods Price Index: 2005=100: Electricity, Gas and Water.

In fiscal year 2017, the electricity rates for industries amounted to about 16.6 Japanese yen per kilowatt hour, up from around 15.6 yen in the previous year. Compared to fiscal 2010, the costs for electric power for industries increased by approximately 21 percent. The electricity rates in Japan increased multiple times since the Great East Japan Earthquake in 2011, due to the shutdown of nuclear power plants, as well as rising fuel prices until 2014.

This dataset provides values for ELECTRICITY PRICE reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

Germany, Belgium, and Ireland had some of the highest household electricity prices worldwide, as of June 2024. At the time, German households were charged around 0.39 U.S. dollars per kilowatt-hour, while in Belgium, the price stood at 0.37 U.S. dollars per kilowatt-hour. By comparison, in Qatar, residents paid more than 10 times less. What is behind electricity prices? Electricity prices vary widely across the world and sometimes even within a country itself, depending on factors like infrastructure, geography, and politically determined taxes and levies. For example, in Denmark, Belgium, and Sweden, taxes constitute a significant portion of residential end-user electricity prices. Reliance on fossil fuel imports Meanwhile, thanks to their great crude oil and natural gas production output, countries like Iran, Qatar, and Russia enjoy some of the cheapest electricity prices in the world. Here, the average household pays less than 0.1 U.S. dollars per kilowatt-hour. In contrast, countries heavily reliant on fossil fuel imports for electricity generation are more vulnerable to market price fluctuations. The top importers of natural gas in Europe in 2023 were Germany and Italy, where this energy source constitutes a relevant share of the power mix.

Japan GDP: 2005p: Industries: EGWS: Electricity data was reported at 3,111.800 JPY bn in 2014. This records an increase from the previous number of 3,091.900 JPY bn for 2013. Japan GDP: 2005p: Industries: EGWS: Electricity data is updated yearly, averaging 5,950.100 JPY bn from Dec 1994 (Median) to 2014, with 21 observations. The data reached an all-time high of 7,345.500 JPY bn in 2008 and a record low of 2,962.500 JPY bn in 2012. Japan GDP: 2005p: Industries: EGWS: Electricity data remains active status in CEIC and is reported by Economic and Social Research Institute. The data is categorized under Global Database’s Japan – Table JP.A074: SNA 1993: Benchmark Year=2005: Gross Domestic Product by Industry: Chain Linked: 2005 Price: Annual.

The Japanese electricity supply meter market shrank modestly to $988M in 2023, approximately equating the previous year. Over the period under review, the total consumption indicated a perceptible increase from 2012 to 2023: its value increased at an average annual rate of +2.8% over the last eleven years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2023 figures, consumption increased by +4.3% against 2021 indices.

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Electricity Trading Market Size 2025-2029

The electricity trading market size is forecast to increase by USD 123.5 billion at a CAGR of 6.5% between 2024 and 2029.

The market is witnessing significant growth due to several key trends. The integration of renewable energy sources, such as solar panels and wind turbines, into the grid is a major driver. Energy storage systems are increasingly being adopted to ensure a stable power supply from these intermittent sources. Concurrently, the adoption of energy storage systems addresses key challenges like intermittency, enabling better integration of renewable sources, and bolstering grid resilience. Self-generation of electricity by consumers through microgrids is also gaining popularity, allowing them to sell excess power back to the grid. The entry of new players and collaborations among existing ones are further fueling market growth. These trends reflect the shift towards clean energy and the need for a more decentralized and efficient electricity system.

What will be the Size of the Electricity Trading Market During the Forecast Period?

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The market, a critical component of the global energy industry, functions as a dynamic interplay between wholesale energy markets and traditional financial markets. As a commodity, electricity is bought and sold through various trading mechanisms, including equities, bonds, and real-time auctions. The market's size and direction are influenced by numerous factors, such as power station generation data, system operator demands, and consumer usage patterns. Participants in the market include power station owners, system operators, consumers, and ancillary service providers. Ancillary services, like frequency regulation and spinning reserves, help maintain grid stability. Market design and news reports shape the market's evolution, with initiatives like the European Green Paper and the Lisbon Strategy influencing the industry's direction towards increased sustainability and competition.
Short-term trading, through power purchase agreements and power distribution contracts, plays a significant role in the market's real-time dynamics. Power generation and power distribution are intricately linked, with the former influencing the availability and price of electricity, and the latter affecting demand patterns. Overall, the market is a complex, ever-evolving system that requires a deep understanding of both energy market fundamentals and financial market dynamics.

How is this Electricity Trading Industry segmented and which is the largest segment?

The industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  Day-ahead trading
  Intraday trading


Application

  Industrial
  Commercial
  Residential


Source

  Non-renewable energy
  Renewable energy


Geography

  Europe

    Germany
    UK
    France
    Italy
    Spain


  APAC

    China
    India
    Japan
    South Korea


  North America

    US


  South America



  Middle East and Africa

By Type Insights

The day-ahead trading segment is estimated to witness significant growth during the forecast period.

Day-ahead trading refers to the voluntary, financially binding forward electricity trading that occurs in exchanges such as the European Power Exchange (EPEX Spot) and Energy Exchange Austria (EXAA), as well as through bilateral contracts. This process involves sellers and buyers agreeing on the required volume of electricity for the next day, resulting in a schedule for everyday intervals. However, this schedule is subject to network security constraints and adjustments for real-time conditions and actual electricity supply and demand. Market operators, including ISOs and RTOs, oversee these markets and ensure grid reliability through balancing and ancillary services. Traders, including utilities, energy providers, and professional and institutional traders, participate in these markets to manage price risk, hedge against price volatility, and optimize profitability.

Key factors influencing electricity prices include weather conditions, fuel prices, availability, construction costs, and physical factors. Renewable energy sources, such as wind and solar power, also play a growing role in these markets, with the use of Renewable Energy Certificates and net metering providing consumer protection and incentives for homeowners and sustainable homes. Electricity trading encompasses power generators, power suppliers, consumers, and system operators, with contracts, generation data, and power station dispatch governed by market rules and regulations.

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The day-ahead tra

In 2022, Japan depended on imports for most of its fossil fuel supply. Close to a hundred percent of the crude oil and coal supply was covered by imports, and the dependency rate on liquefied natural gas (LNG) imports stood at approximately 97.8 percent. Japan remains dependent on energy importsFossil fuels remained the energy source that had the largest share in electricity production in Japan, adding up to over 70 percent. Accordingly, petroleum was the source with the highest share of energy consumption. Middle Eastern countries such as Saudi Arabia and the United Arab Emirates remained the largest supplier of crude oil imports to Japan.Even though the import figures keep decreasing, Japan continued to represent one of the largest global importers of LNG. Although Japan diversified its suppliers for LNG, gas shortages resulted in increased electricity prices in recent years, highlighting the vulnerability of the current system. Japan's efforts to become more independentHowever, the share of renewable energy sources in electricity production increased to over 20 percent in recent years. The island nation currently works on increasing its share of nuclear and renewable energy to become more independent of energy imports, and reduce electricity costs while reducing its carbon footprint. Consequently, the self-sufficiency rate of primary energy increased significantly in recent years.

Japan (DC)GDP: 90p: Industries: Electricity, Gas and Water Supply data was reported at 14,641.400 JPY bn in 1998. This records an increase from the previous number of 13,971.400 JPY bn for 1997. Japan (DC)GDP: 90p: Industries: Electricity, Gas and Water Supply data is updated yearly, averaging 9,164.100 JPY bn from Dec 1970 (Median) to 1998, with 29 observations. The data reached an all-time high of 14,641.400 JPY bn in 1998 and a record low of 4,408.500 JPY bn in 1970. Japan (DC)GDP: 90p: Industries: Electricity, Gas and Water Supply data remains active status in CEIC and is reported by Economic Planning Agency. The data is categorized under Global Database’s Japan – Table JP.A155: SNA 1968: GDP by Industry: 1990 Price (Annual) (Old).

Japan electric motor market size reached USD 8.0 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 43.6 Million by 2033, exhibiting a growth rate (CAGR) of 20.7% during 2025-2033. The market is being driven by a growing focus on energy conservation, supportive government policies, the emergence of electric vehicles, the growing inclination towards industrial automation, notable advancements in technology, and cost-effective solutions.

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2025-2033. Our report has categorized the market based on motor type, voltage, rated power, magnet type, weight, speed, and application.

Japan (DC)GDP: 90p: Industries: Electricity, Gas and Water Supply: Gas & W data was reported at 4,090.100 JPY bn in 1998. This records an increase from the previous number of 4,070.300 JPY bn for 1997. Japan (DC)GDP: 90p: Industries: Electricity, Gas and Water Supply: Gas & W data is updated yearly, averaging 3,335.600 JPY bn from Dec 1970 (Median) to 1998, with 29 observations. The data reached an all-time high of 4,135.400 JPY bn in 1996 and a record low of 1,408.800 JPY bn in 1970. Japan (DC)GDP: 90p: Industries: Electricity, Gas and Water Supply: Gas & W data remains active status in CEIC and is reported by Economic Planning Agency. The data is categorized under Global Database’s Japan – Table JP.A155: SNA 68: GDP by Industry: 1990 Price (Annual) (Old).

Imports of electrical measuring instruments (non-recording, electronic) in Japan stood at X units in 2017, reducing by -X% against the previous year. In general, imports of electrical measuring instruments (non-recording, electronic) continue to indicate an abrupt drop. The most prominent rate of growth was recorded in 2010, an increase of X% from the previous year.

The Japanese power tool market amounted to $3.6B in 2024, remaining relatively unchanged against the previous year. In general, the total consumption indicated prominent growth from 2012 to 2024: its value increased at an average annual rate of +5.6% over the last twelve-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption increased by +101.8% against 2013 indices.

In 2024, Japan's Consumer Price Index of electricity rose to 112.2 index points. The price level for electricity in Japan reached a decade high of 120.1 points in 2022.