Insight by Volue Launches Japan Forward Product

Insight by Volue is excited to unveil the latest offering tailored specifically for traders navigating the intricate landscape of Japan's wholesale power futures market: Japan Forward. This product provides mid-term forecasts of all Japanese bidding zones where futures are traded, offering invaluable insights into price trends, power balance dynamics, and cross-border exchange forecasts. 

Empowering Japan’s power traders with mid-term market analytics

Our comprehensive mid-term power price forecast spans up to five years, including one year for validation and three to five years ahead, with automatic updates delivered every working day before Japanese future markets open. 

This detailed forecasting encompasses price forecasts, power balance predictions, and exchange forecasts, enabling traders to make informed decisions with a clear view of the evolving dynamics of Japan’s power market. 

Powered by a sophisticated unit dispatch model containing the whole Japanese power market and incorporating fundamental data inputs, Japan Forward delivers insights into market equilibrium across different price areas in Japan. By utilising a unit commitment approach, detailed thermal modelling, AI-based hydro power forecast and inhouse modelling of solar, wind and consumption, the model ensures the least-cost dispatch of generation resources to meet demand while considering factors like fuel prices and available generation capacity. 

Japan Forward caters to traders on futures/forward markets with generation assets and large electricity consumers, offering them the tools they need to hedge against future delivery or consumption on spot markets. Additionally, traders can leverage the insights provided by Japan Forward to explore trading opportunities and maximise profits in futures/forward markets. The forecasts are presented through our intuitive Insight Power Japan app, offering a user-friendly interface for exploring price forecasts, power balance predictions, and more. 

To ensure the accuracy and reliability of our forecasts, Japan Forward undergoes rigorous benchmarking against spot settlement prices and actual exchange flows. This commitment to validation ensures that traders can rely on Japan Forward as a trusted source of market intelligence. 

Looking ahead 

Japan Forward (mid-term price forecast) represents a significant step forward in empowering traders with actionable insights into Japan's wholesale power market and adds to Volue Insight’s existing short-term product portfolio in Japan (Fundamentals and SpotEx forecasts). As we continue to refine and enhance our offerings, we remain committed to providing our customers with the tools they need to succeed in today's dynamic energy landscape.