Power Trade Volume Increases 18% To 9,483 Million Units In October: Indian Energy Exchange

The rise in demand impacted the Day-Ahead Market price and pushed it to Rs 6.45 per unit, up by 68 per cent on the year-ago levels, owing to a lower base price in the same month a year earlier. 

The Indian Energy Exchange (IEX) said that it’s trade volume increased 18 per cent to 9,483 million units (MU) last month on a year-on-year (YoY) basis, attributable to elevated electricity demand, reduced rainfall, and base effect. The exchange touched an overall volume of 9,483 MU, which included renewable energy up to 217 MU, and 5,814 energy saving certificates, equivalent to 5.8 MU. 

The statement revealed that IEX touched a total electricity volume of 9,260 MU in October 2023, marking an increase of 21 per cent against the same period a year earlier. Notably, India’s energy consumption in October this year stood at 139 billion units (BU), marking a rise of 22 per cent on a YoY basis. This surge was attributed to the increase in electricity demand, a below-average rainfall, and a lower base of the year-ago period, reported PTI. 

This elevation in power demand led DISCOMs to keep buying power on the exchange to cater to the demand, in turn causing a massive increase in trade volumes on the IEX. The rise in demand impacted the Day-Ahead Market (DAM) price on the exchange and pushed it to Rs 6.45 per unit, indicating a mark-up of 68 per cent on the year-ago levels, owing to a lower base price in the same month a year earlier. 

The DAM volume on the exchange climbed to 4,742 MU last month, against 4,379 MU reported in October 2022. The Real-Time Electricity Market (RTM) volume rose to 2,402 MU in October 2023, marking an increase of 6.1 per cent in comparison to 2,265 MU logged in the corresponding month a year earlier. While the Day Ahead Contingency and Term-Ahead Market (TAM), including contingency, daily, weekly, and monthly contracts up to 3 months, stood at 1,911 MU in October this year, up by 207.6 per cent on a YoY basis. 

The IEX Green Market, consisting of Green Day-Ahead and Green Term-Ahead Market segments, touched a volume of 188 MU during October 2023. The G-DAM reached 180.80 MU volume during the period under review, while the G-TAM achieved a volume of 7.23 MU in the period.