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IEX market trades highest-ever 7,260 MU in Dec, registers 52% growth YoY

The electricity market at IEX traded an all-time high volume of 7,260 MU during the month of December 2020 witnessing a 52 percent YoY during the month

The electricity market at IEX traded an all-time high volume of 7,260 MU during the month of December 2020 witnessing a 52 percent YoY during the month.
The electricity market at IEX traded an all-time high volume of 7,260 MU during the month of December 2020 witnessing a 52 percent YoY during the month.
  • Average day-ahead market clearing price at Rs 2.83 per unit sees 3 percent YoY decline

  • The real-time electricity market surpasses previous benchmarks and trades all-time high-volume of 1,129 MU registering 26 percent MoM growth

New Delhi: The electricity market at Indian Energy Exchange (IEX) traded an all-time high volume of 7,260 MU during the month of December 2020 witnessing a 52 percent year-on-year (YoY) during the month, said IEX on Tuesday. According to the data published by the National Load Dispatch Centre (NLDC), the national peak demand in December 2020 saw 7 percent YoY increase, while the energy consumption registered 5 percent YoY growth. On December 30, when peak demand touched 182.9 GW, IEX electricity markets underpinning core values such as most competitive prices, transparent as well as flexible power procurement, contributed to a significant 6.9 percent of the peak demand met.

Day-ahead market

The day-ahead market traded 5,606 MU of electricity and registered 29 percent YoY growth during the month. The total sell bids at 10,814 MU were almost twice that of the cleared volume implying ample availability of the power in the market. This consequently led to an attractive average market clearing price of Rs 2.83 per unit which saw 3 percent YoY decline. One Nation One Price prevailed during 31 days of the month.

The distribution utilities and open access consumers identify with the Exchange electricity market as one of the most viable, competitive and efficient power procurement options for meeting their growing demand for electricity as well as for replacing costlier power tied up under long term arrangement.

The term-ahead market comprising intra-day, contingency, daily and weekly contracts traded 436 MU volume during December 2020.

Real-time Market

The real-time electricity market continued to witness exceptionally good response from the market participants. The market registered an all-time high-volume of 1,129 MU in December 2020 since commencement on June 1, 2020 and achieved 26 percent month-on-month (MoM) growth in volume. The highest volume traded on a single day was 51.34 MU on December 4, 2020. The market saw robust sell-side liquidity which was twice the buy side volume and it ensured attractive average market price of Rs 2.94 per unit. 

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During the month, the market saw participation from 344 participants with highest number of participants on a single day at 180. Over the last six months, the market has cumulatively traded 5,703 MU of electricity. The market has been successfully facilitating utilities and open access consumers in addressing demand-supply variations in the most dynamic and efficient manner with delivery at just 1-hour notice.

Green Term Ahead Market

The Green Term Ahead Market registered a volume of 90 MU comprising 68 MU in solar and 22 MU in non-solar. The month of December also saw the launch of two new contracts – Green Daily Contracts and Green Weekly Contracts. With an encouraging participation from distribution utilities, renewable generators and open access consumers, the green market has emerged as a key avenue for obligated entities to fulfil Renewable Purchase Obligation (RPO). Moreover, utilities, as well as green generators, are being able to sell renewable power at competitive and viable prices. A total of 25 participants traded during the month with distribution utilities from Uttar Pradesh, West Bengal, Delhi, Haryana, Bihar, Telangana, and Karnataka among others, as the key participants.
Since its launch on August 21, 2020, the market has cumulatively traded over 549 MU volume.

Renewable Energy Certificates

The REC trading session which was scheduled on December 30, 2020 could not take place due to the stay order from APTEL in response to the petitions filed by a few Renewable Energy Associations against the CERC order dated June 2020 regarding revision in the floor and forbearance prices of REC.

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