Electricity Market Reform in Japan

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In April 2016, the retail sale of electricity will be fully liberalised in Japan as one of the steps towards power market deregulation. In the next year the retail sale to households and small-lot users, which is worth about 7.5 trillion yen (about £40 billion) of the market value, will open to new entrants.

The power market in Japan has been dominated by regional monopolies in areas ranging from power generation to transmission/distribution to retail sales. However, the Government have decided to unbundle the market by 2020 and more dynamic changes in the power market will be expected in the coming years.

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