6, Feb 2024
Iex Power Market Update, January24
Mumbai, 06 February 2024: Indian Energy Exchange, India’s premier electricity exchange, achieved the highest ever total volumes in January 2024, reaching 10,893 million units (MU) – marking a 26.1% year-over-year increase. This volume comprises of 9,137 MU from the conventional power market segment, 236 MU from the green market segment, and 15.20 lakh Renewable Energy Certificates (RECs) (equivalent to 1,520 MU).
According to government data published in January’24, the country’s energy consumption reached 133.8 BUs, representing a 6 % increase on a year-on-year basis. The Market Clearing Price in Day Ahead Market during January ‘24 was Rs. 5.83/unit, down approximately 6% year-on-year, due to easing supply side constraints. Increased electricity consumption coupled with easing supply side constraints led to an increase in the volumes of electricity traded on the Exchange which is expected to continue going forward.
ELECTRICITY MARKET: DAY-AHEAD, TERM- AHEAD & REAL-TIME MARKET
The Day-Ahead Market (DAM) volume was at 5,540 MU in January ’24, as compared to 4,893 MU in January ’23, registering an increase of 13.2% YoY.
The Real-Time Electricity Market (RTM) volume increased to 2,380 MU in January ‘24, from 2102 MU in January’23, registering an increase of 13.2 % YoY.
Day Ahead Contingency and Term-Ahead Market (TAM), comprising of contingency, daily & weekly and monthly contracts up to 3 months, traded 1,217 MU during January ’24, higher by 34.9% on YoY basis.
The longer duration contracts have demonstrated steady growth throughout the year. Notably, with this growth momentum, volumes exceeded 10 BU mark on an annual basis (year-to-date) in FY’24, increasing by more than 600% YoY.
Indian Energy Exchange Ltd
GREEN MARKET: GREEN DAY-AHEAD & GREEN TERM-AHEAD MARKET
IEX Green Market, comprising the Green Day-Ahead and Green Term-Ahead Market segments, achieved 236 MU volume during January’24.
The Green Day-Ahead Market (G-DAM) achieved 210 MU volume during the month, with a weighted average price of Rs 5.87 per unit. The segment saw participation from 189 market participants during the month.
The Green Term-Ahead Market (G-TAM) achieved 26 MU volume in January ‘24, with average monthly price of Non-Solar- Rs 6.57/unit.
RENEWABLE ENERGY CERTIFICATE MARKET (REC MARKET)
A total of 15.20 lac RECs (equivalent to 1520 MU) were traded in the trading sessions held on 10 th January ’24 and 31 st January’24, at a clearing price of Rs. 360/REC. This is the highest REC volume in the current financial year.
REC Price on the exchange has been experiencing a downward trend and is currently at its lowest levels this financial year. This presents an opportunity for obligated consumers (Discoms, Open Access Consumers and Captive Power Producers) to meet their Renewable Purchase Obligations (RPO) at more affordable rates.
The next REC trading sessions at the Exchange are scheduled on 14 th February’24 and 28 th February’24.
- 0
- By Rabindra
4, Jan 2024
Iex Power Market Update, December’23
Bengaluru, 04 January 2024: Indian Energy Exchange, India’s premier energy exchange, achieved 9,707 MU overall volume in December’23, including 10.52 Lac Renewable Energy Certificates (RECs) (equivalent to 1052 MU), marking a 14.9% increase on YoY basis. IEX achieved 8,655 MU total electricity volume in December 2023, registering an increase of 8.7% on YoY basis.
For the third quarter of the fiscal year 2024, IEX achieved 28,326 MU overall volume, registering an increase of 16.9% YoY basis.
According to government data published in December ’23, the country’s energy consumption remained flattish at 119.07 BUs.
The Market Clearing Price in the Day Ahead Market for the month was Rs. 4.54/unit, marking a 13% YoY decrease. With favourable Policy and Regulatory interventions, the sell bids on the exchange (Day Ahead Market plus Real Time Market) during the month increased by 18% on YoY. Going forward, the sell liquidity is expected to further improve, leading to a decline in power prices on the Exchanges. This will present an opportunity for Discoms and Industrial consumers to optimize their power procurement costs.
ELECTRICITY MARKET: DAY- AHEAD, TERM- AHEAD & REAL-TIME MARKET
The Day-Ahead Market (DAM) volume was at 4,798 MU in December ’23, as compared to 5,001 MU in December ’22. The DAM segment registered total volumes of 14,684 MU during Q3 FY ’24, a marginal increase of 1.5% over Q3 FY ’23.
The Real-Time Electricity Market (RTM) volume increased to 2,405 MU in December ‘23, from 1,763 MU in December’22, registering an increase of 36.4 % YoY. The RTM segment registered volume of 7,166 MU during Q3 FY ’24, increasing 31.9% over Q3 FY ’23.
Day Ahead Contingency and Term-Ahead Market (TAM), comprising of contingency, daily & weekly and monthly contracts up to 3 months, traded 1,220 MU during December ’23, higher by 48.4% on YoY basis. The total volume on the segment during the quarter was 3,810 MU, growth of 91.4% over Q3 FY’23.
*PowerX is the price index of Indian Energy Exchange (IEX) and is calculated based on weighted average price of Day-Ahead Market and Real-Time Market discovered for the previous day delivery.
GREEN MARKET: GREEN DAY-AHEAD & GREEN TERM-AHEAD MARKET
IEX Green Market, comprising the Green Day-Ahead and Green Term-Ahead Market segments, achieved 232 MU volume during December’23. During Q3FY24, the segment achieved volume of 609 MU.
The Green Day-Ahead Market (G-DAM) achieved 216.6 MU volume during the month, with a weighted average price of Rs 4.86 per unit. The segment saw participation from 187 market participants during the month. During Q3FY24, the segment achieved volume of 579.6 MU.
The Green Term-Ahead Market (G-TAM) achieved 15.4 MU volume in December ‘23, with average monthly price of Non-Solar- Rs 6.08/unit. During Q3FY24, the segment achieved volume of 29.9 MU.
RENEWABLE ENERGY CERTIFICATE MARKET (REC MARKET)
A total of 10.52 lac RECs (equivalent to 1052 MU) were traded in the trading sessions held on 13th December ’23 and 27th December’23, at a clearing price of Rs. 370/REC and Rs. 360/REC respectively. REC traded volume in December’23 increased by 115.9% on YoY basis. A total of 20.24 lac RECs (equivalent to 2,024 MU) were traded during Q3 FY’24.
