Electricity demand in Hokkaido is expected to grow the fastest in the country, as the region prepares to roll out energy-intensive data centers and semiconductor chip-making plants.
Annual power demand for Hokkaido is expected to increase by 1.2% on average into fiscal 2034, the Organization for Cross-Regional Coordination of Transmission Operators, or OCCTO, said in a report released on Wednesday. That compares with an average annual rise of 1.1% for the Tokyo area and 0.6% nationwide.
The forecast is part of a growing consensus that Japan’s power demand — which had been in decline — is set to rise despite a shrinking population, highlighting a need to boost energy security.
Hokkaido is attracting investments for data centers and semiconductor chip-makers. Japan’s state-backed Rapidus is scheduled to begin producing chips there in 2027, while companies like SoftBank have plans to build data centers.
This will put more focus on the future of the Tomari nuclear power plant, operated by Hokkaido Electric Power. The plant’s three reactors are undergoing evaluation by the nation’s atomic regulator for safety, a stringent process that could take years. Hokkaido is also seen as a promising site for renewable energy projects such as offshore wind, with auctions taking place to select developers.
Electricity demand in Hokkaido is estimated to be around 31 terawatt hours in fiscal 2034, rising about 12% from fiscal 2025, according to the report. Demand in the Tokyo area is set to rise to around 288 terawatt hours by then as some companies look to build data centers near the nation’s capital.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.