The power crisis in India has provided fresh ground to country’s power exchanges to push for energy trading at higher prices.
Country’s largest power exchange India Energy Exchange traded electricity at ₹10.06 per unit in April (average monthly market clearing price), a whopping 172% YoY increase, in the day ahead market where volumes during the month stood at 4,114 MU.
The prices also remained firm in the real time market (RTM) with IEX achieving 1,704 MU volume at an average monthly price of ₹9.55 per unit. The highest single-day volume of 98.97 MU was achieved on April 30. During the month, 576 participants transacted in the exchange’s RTM market.
In the first month of the new fiscal year 2023, IEX achieved 7,574 MU volume across all the market segments comprising 6,989 MU in the conventional power market, 336 MU in the green power market, and 249 MU (2.49 lac Certificates) in the REC Market. The volumes declined 1.7% vis-à-vis April’21 considering the power supply related constraints which also led to high clearing prices across all the market segments.
According to the power demand data published by the National Load Dispatch Center, during April’22 the energy consumption at 133 BU saw 11% YoY growth while the national peak demand at 207.11 GW saw 13% YoY growth.
On 21 March, 2022, the CERC had notified Fifth Amendment in the Open Access In Inter-State Transmission Regulations and subsequently it approved the Procedure regarding the National Open Access Registry (NOAR) – a centralized automated tech based platform for facilitating open access, to be hosted, operated and implemented by POSOCO with effect from Sunday May 1, 2022.
IEX has integrated its platform with NOAR on 1 Sunday, May 2022, for all the market segments – DAM, G-DAM, RTM, TAM, and G-TAM. Going forward, registration in NOAR will be a prerequisite for both collective as well as the bilateral transactions in the short-term power market. The NOAR will facilitate seamless communication, process simplification, greater transparency, elimination of scope of human intervention, thereby unleashing greater efficiency and facilitating the power market development.