Financial Results and Dividend Forecast for FY03/2022 slide image

Financial Results and Dividend Forecast for FY03/2022

120 100 System Price (JPY/kWh) 20 Apr. 2016 Jul. 2016 Oct. 2016 Jan. 2017 10 60 2021/1/13 Daily avg. peak: 154.6 JPY/kWh gremz Impact to the Electricity Retailing Business of a Surge in the Market Price of Electricity A decrease in supply output from thermal power plants resulting from a decrease in LNG inventories, and increased electricity demand due to a cold wave caused strain in the market for electric power supply and demand. This led to a surge in JEPX (Japan Electric Power Exchange) purchase spot prices between Dec. 2020 and Jan. 2021, with a feedback loop between spot prices and imbalance fees leading to a surge in price. A decrease in sell bidding in the spot market meant that electricity was sold out for sustained time periods, with a large number of time intervals in which buyers and sellers could not be matched. This led to an imbalance fee (*) of approximately 2 billion yen, greatly raising the cost of sales for the Electricity Retailing Business. * * Imbalance Fees: Adjustment fee arising from an excess or deficiency in electricity supply, resulting from an imbalance between projected electricity retailer demand needs and actual demand. 180 10 160 160 140 Spot Market - Long-term System Price Trend (2016/4/1 2021/3/24) Average Daily Price (48 Intervals) 1,400,000,000 1,300,000,000 Spot Market Bidding / Execution Volume Trend (2020/12/12021/03/24) Sell Bidding (kWh) Purchase Bidding (kWh) Execution Volume (kWh) Jan. 2019 Apr. 2019 Jul. 2019 Oct. 2019 Jan. 2020 Apr. 2020 Jul. 2020 Oct. 2020 Jan. 2021 Unit: JPY/kWh 23 Bidding/Execution Volume (kWh) 700,000,000 600,000,000 2020/12/1 2020/12/3 2020/12/5 2020/12/7 1,200,000,000 1,100,000,000 1,000,000,000 900,000,000 000 2020/12/9 2020/12/11 2/13 2020/1415 2020/12/17 2020/12/19 2020/12/21 2020/12/23 2020/12/25 2020/12/27 2020/12/29 2020/12/31 2021/1/2 2021/1/4 2021/1/6 2021/1/8 2021/1/10 2021/1/12 2021/1/14 2021/1/16 2021/1/18 2021/1/20 2021/1/22 2021/1/24 M 2021/1/26 2021/1/28 2021/1/30 2021/2/1 2021/2/3 2021/2/5 2021/2/7 2021/2/9 2021/2/11 2021/2/13 2021/2/15 2021/2/17 2021/2/19 2021/2/21 *Source: Electricity and Gas Market Surveillance Commission Copyright gremz, Inc All Rights Reserved 2021/2/23 2021/2/25 2021/2/27 2021/3/1 2021/3/3 2021/3/5 2021/3/7 2021/3/9 2021/3/11 2021/3/13 2021/3/15 2021/3/17 2021/3/19 2021/3/21 2021/3/23 WW
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