FIRST TAKE: Early monsoon arrival in India BEARISH for spot LNG prices, gas use in power Eric Yep *India’s southwest monsoon arrives earlier than usual, provides respite from heat *Relief from peak summer temperatures to cap gas demand in power generation *Idle RLNG-based power capacity may not need to be ramped up in 2025 Early arrival of monsoon rains in India is BEARISH for gas demand in power generation and spot LNG prices for summer as it will cap any major rise in summer temperatures and limit power consumption for air conditioning. The India Meteorological Department said May 24 that the southwest monsoon had set in over the southern state of Kerala earlier than the normal date of June 1. Media reports said this was the earliest onset in 16 years, and in some states, the earliest in 35 years. The early monsoon comes after reports of sporadic heatwaves in northern parts of South Asia, including provinces in Pakistan that saw temperatures exceed 45 degrees Celsius in May. India’s gas-fired power generation has been constrained with around 25 GW of capacity that is largely underutilized due to high feedstock prices, and there have been reports of consolidating some of this idle capacity. In mid-May, India’s Ministry of Power had issued directives to increase output from gas-based power plants from May 26 to June 30, in anticipation of a power crunch this summer, which may no longer materialize. In 2024, India’s average regasified LNG consumption for power was 20 MMscm/d during the peak April-June period, but this could be tempered for 2025 if the monsoon progresses smoothly and the remainder of summer doesn’t hold any surprises. Meanwhile, there are reports of heavy rains and flooding in parts of southern China, but it remains to be seen whether it will impact hydropower generation and LNG demand in the coastal regions. Read on Platts Connect: https://tinyurl.com/me8kyf5m