January 30, 2026 [Reuters]- Hokkaido Electric Power said on Friday it will build a new gas-fired power station and a liquefied natural gas (LNG) terminal in Tomakomai, northern Japan, by the mid-2030s to meet rising electricity demand from data centres and semiconductor plants.
The project is part of the utility’s long-term strategy to expand its gas business, citing significant potential for a shift toward lower-carbon gas in Hokkaido, where oil and coal still account for a large share of energy consumption.
The new plant will have a capacity of 0.5-1 gigawatts and will be capable of using cleaner fuels such as hydrogen and ammonia alongside gas, with operations targeted to start around fiscal 2035.
The LNG terminal will be able to accommodate large carriers and will include a large LNG tank.
Hokkaido Electric did not disclose the size of the investment, but the project will fall within the 2.5 trillion yen ($16 billion) it plans to invest between fiscal 2025 and 2035 under a long-term plan unveiled last year, Arata Tanimura, deputy general manager of corporate planning department, told reporters.
The utility operates a gas-fired power plant and an LNG terminal in Ishikari, north of Tomakomai. Only one unit is currently in operation, while two additional units under construction are scheduled to start up by fiscal 2033, lifting total capacity to 1.7 GW.
In December, the company said it would buy gas assets in Hokkaido from Japan Petroleum Exploration (JAPEX) for 31 billion yen, including production facilities, marketing operations and pipelines, to strengthen its gas business.
Separately, Hokkaido Electric aims to restart its No.3 reactor at the Tomari nuclear power station in 2027, with No.1 and No.2 reactors targeted to return in the first half of the 2030s.
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