Following the revitalization of the commodities markets, prices of various fuel sources (e.g. coal, petroleum, natural gas, uranium, etc.) have become more volatile, calling for trading know-how on fuel procurement and strengthening of market risk management systems in the energy sector.
In addition to its extensive track record in providing consulting services for major players in the energy sector, IDI also provides practical, comprehensive support on business progress of clients including advisory services on fund-raising by professionals with backgrounds in finance, and methods to evaluate and manage the risks associated with power-generation assets and electricity sales.
Trading Business Research and Analysis
Research and analyze trends of overseas energy commodities markets
- Research movement of index (and other benchmark) prices and needs of fuel consumers in Asian countries
- Research trends on upstream rights businesses for various fuel products (e.g. coal, petroleum, natural gas, uranium, etc.)
- Research global trends on emissions trading business
- Research and analyze Japanese and overseas trading strategies for energy commodities in the utility sector
Research and analyze trends on Japanese energy commodities market
- Create long-term scenarios for the trading environment of energy commodities in Japan
- Provide estimates on electricity demand utilizing a quantitative approach
- Research and analyze trends on wholesale electricity trading market in Japan
Trading Business Strategy Formulation
Organizational Strategy
- Formulate strategies for organizations managing the entirety of the value chain from fuel procurement to electricity sales
Construction of Business Models
- Construct business models on energy commodities trading which takes into account the intrinsic characteristics of Japan
Formulation of Business Portfolios
- Optimize wholesale and retail portfolios which take into account market trends
- Formulate strategies on electrical power sales portfolios which take into account financing (fund-raising)
Trading Business Operation
Price Estimation
- Provide estimation on short-term and long-term electricity market price based on a quantitative approach
Valuation and Pricing
- Evaluate risk and return of investments of upstream fuel rights
- Evaluate power-generation assets after taking into account the trends in fuel and electricity markets
- Optimize pricing on electricity contracts after taking into account market trends as well as regulations and risks related to fuel/facilities
Risk Management
- Devise methods and tools for electricity trading and risk management
- Support development of financial instruments to hedge price fluctuations of energy commodities for major consumers
- Construct organizational structure, operation processes and systems for managing electrical power sales and procurement portfolios in wholesales and retail power business
