Toda Corporation Mitigates Price Volatility Through Electricity Procurement

Digital Grid Inc. (hereinafter "Digital Grid") and Toda Corporation (hereinafter "Toda Corporation") are pleased to announce that they have completed the procurement of electricity (equivalent to 400kW) for Toda Corporation for the period from April 1, 2026, to March 31, 2027, utilizing the Tokyo Commodity Exchange (TOCOM). To stabilize electricity costs, Toda Corporation adopted a procurement method leveraging the electricity futures market through the Digital Grid Platform (DGP)*. By pre-procuring one year's worth of electricity in February 2026 using the electricity futures market, the company successfully suppressed fluctuations in electricity bills and mitigated the impact of rising fuel prices and soaring prices on the Japan Electric Power Exchange (JEPX) caused by heightened tensions in the Middle East.

Regarding Middle East Tensions and Electricity Prices Prices on the Japan Electric Power Exchange (JEPX) tend to be heavily influenced by volatile "spot LNG prices," and wholesale electricity market prices fluctuate due to sudden changes in the prices of LNG and crude oil caused by the situation in the Middle East. In this instance, Digital Grid proposed a service to procure electricity by specifying a desired price in the futures market as a way to "timely control costs even in situations of intense price volatility" at the end of February, before price fluctuations due to Middle East tensions escalated, which Toda Corporation adopted. Digital Grid will continue to provide diverse services as a pioneer in the future of energy, working toward a sustainable society free from energy constraints. Toda Corporation will continue to promote initiatives toward cost stabilization and the realization of a decarbonized society through the diversification of its electricity procurement methods.

Company Overview Company Name: Digital Grid Inc. (http://www.digitalgrid.com/) Representative: Yusuke Toyoda, President and CEO [TSE Growth Market 350A] Established: October 2017 | Capital: 1,139 million yen | Employees: 94 (as of March 1) Address: Akasaka Enokizaka Building 3F, 1-7-1 Akasaka, Minato-ku, Tokyo Business: Operation of the electricity and environmental value trading platform "DGP," provision of distributed power aggregation services Company Name: Toda Corporation (https://www.toda.co.jp/)