The Indian Energy Exchange, India’s energy trading platform recently declared that its Real-Time Electricity Market has accomplished a volume of 515.46 MU in the first month of June 2020. To help the market commence on a great start, the Exchange over the last few months, engaged with distribution utilities, power generators as well as commercial and industrial consumers and assisted the stakeholders through capacity building sessions as well as provided technology applications and tools. A total of 237 customers participated in the new market segment during the first month.
Another key highlight of the newly commenced market segment was the single-day highest volume of 36.09 MU on June 30, 2020, when 110 customers participated in the various auction sessions held over a day.
The double-sided closed auction ensured efficient price discovery, transparency, flexibility, and seamless trading experience for the market participants. The market saw substantial sell-side liquidity at 1810 MU – 2.4 times of the buy volumes at 742 MU and competitive price discovery. Consequently, the average market clearing price was at Rs 2.22 per unit, lower than the day-ahead market average price for June, at Rs 2.35 per unit. The attractive prices enabled great savings and good financial liquidity for the utilities as well as the open-access consumers. The market not only facilitated un requisitioned surplus generation capacity to find buyers but also facilitated generators to purchase power to fulfill obligations created due to outages. Setting a new precedent for their two clients – Raipur Power and Raigarh Energy Generation became the first generators to have brought electricity to meet their commitment.
The new market segment was operationalized on the IEX platform at 10:45 PM on May 31, 2020, for delivery at 12:00 AM on June 01, 2020.
“The milestone of 515.46 MU volume in the first month is an impressive accomplishment and has been possible due to the robust fundamental value proposition of this new market segment. The technology enablement, capacity building, and other customer-centric solutions that we provided supported the market to a great start and indeed enabled IEX to reach this high-point in just a month, said Rohit Bajaj, Head – Business Development and Senior Vice President at Indian Energy Exchange Limited.
Speaking about his experience on the real-time market, K.V.N Chakradhar Babu, IAS, Andhra Pradesh Southern Power Distribution Company Limited, said “Real-Time Market is a boon to the cash flow constrained discoms to access quality power at the most economical prices. At the same time, meeting the exigent demand, block-wise by the grid operator has become painless. My compliments and best wishes to the RTM and the power exchanges for ushering in the transparency and competition in ST power purchases across the nation.’’
Satish Chavan, Director Commercial, Maharashtra State Electricity Distribution Company Limited also added, “The real-time market was the necessity of the distribution companies. With the increasing purchase of infirm renewable energy to meet RPO targets given by the regulator, I think this need is fulfilled by GOI and CERC by providing Real-time Market to Distribution Companies to meet the variation in load generation balance with optimum cost. I appreciate the efforts taken by the Ministry for Power, Load despatch centers, and market players in the field for making it successful and operational from 1st June 2020.”
In June, The Indian Energy Exchange, India’s premier energy trading platform, today announced that it has received an overwhelming response from DISCOMS, power generators as well as commercial and industrial consumers on the first day of trading on its Real-Time Market. The real-time market traded 3.41 MU volume in 48 auction sessions on day one of the launch.