Trading Business

Being professional – Offering stable electric power supply based on rich experience and solid knowledge

Our employees who have experience in fuel trading, electric power business in general and adjustment of supply and demand are flexibly responding to changes in electric power policy while striving to increase the accuracy of electricity trading.

Dealing with a broad range of electric power trading business

image:Dealing with a broad range of electric power trading business

At the beginning of our business, we sold only electric power procured from relative power sources, but in April 2005, with the start of JEPX transactions, erex also started market transactions. Currently, we engage in a wide range of electric power related trading operations such as derivative transaction and environmental value trading.
Presently, erex handles three types of powers: power from its own power plant, power from relative power sources, and power traded on JEPX. We adjust these procurement ratios according to market conditions to optimize the power supply configuration and achieve economic efficiency at the same time.

Leveraging the strength of erex’s biomass power plants will lead to a stabilized electricity price

image:Leveraging the strength of erex's biomass power plants will lead to a stabilized electricity price

Keeping the equation of demand (power consumption) and supply (power generation) always needs to be considered as electric power cannot be stored. For the demand side, it is not only affected economically but the fierce heat in the summer and freezing cold temperature in the winter also gives impact. While for the supply side, the fuel price used for thermal power plants is the main affecter. The purpose of the trading business is to procure the proper amount of electricity at a reasonable price by forecasting the demand volume reflecting the economic condition, climate change and temperature change in a long term. Owing our own biomass power plant and securing a wide variety of power sources is erex’s major strength. This allows us to minimize the impact during the increase of market price and offer electricity at a stable price.

Moving to a new stage by using our expertise.

image:Moving to a new stage by using our expertise.

Since the liberalization of the retail electricity business, the environment surrounding the electric power industry in Japan has been constantly changing every year and the way in which transactions are conducted and its values have also become more diverse. In the trading business, it is important to always keep control of these changes when we trade. Furthermore, when procuring electricity from relative power sources and the wholesale electricity, the important points will be; building relationships with companies and people, predicting crude oil / LNG prices and market prices, analyzing demand volume, retail trends and an ability to plan power supply configuration which reflects the needs of the business customer on top of IT field knowledge. In the future, we are looking forward to diversifying our business by taking advantage of the know-how we have gained and accepting contracts for supply and demand management services from other companies.