IEX, the country’s largest power exchange, recorded 27,677 MU volume and achieved 37% YoY growth across all its market segments for the third quarter of the fiscal year 2022
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The Indian Energy Exchange (IEX) reported a 24% year-on-year growth in the volume of electricity traded on the exchange in December at 9,035 million units (MU), indicating robust economic activity despite concerns over the new covid variant Omicron.
IEX, the country’s largest power exchange, recorded 27,677 MU volume and achieved 37% YoY growth across all its market segments for the third quarter of the fiscal year 2022.
Along with a pick-up in economic activity, competitive power prices, flexible procurement and a diverse spectrum of market segments have driven the electricity volume on the exchange. The exchange is also enabling participants to accrue significant financial savings by securing electricity from the platform.
According to the power demand data published by the National Load Dispatch Center, the energy consumption was up 3.12 % YoY at 110.34 b billion units, while the national peak demand at 183.39 GW saw a mere 0.2 % YoY growth during December. During the month India’s manufacturing PMI fell to 55.5 from 57.6 level of November, but still remained in the expansionary zone.
While the increase in power demand has been contributing to the electricity volume growth at IEX, the exchange’s role as the most flexible, competitive and transparent platform for power procurement for the distribution utilities and industries has been the most key aspect towards its increasing role and impact.
In December, the exchange registered the day-ahead market volume at 5423 MU, a 15% MoM increase and 3% YoY decline. The average market clearing price at ₹3.54 per unit in December, 2021 saw 15% MoM and 25% YoY increase.
On 1 January, Bhutan commenced trade in the day-ahead market through Druk Green Power Corporation. Besides Nepal and Bhutan, IEX has been working with stakeholders in Bangladesh to facilitate its participation towards reinforcing the cross-border electricity trade and building an integrated South-Asian regional power market.
The real-time electricity market saw 1,512 MU volume and a significant 34% YoY growth with the average monthly price at ₹3.61 per unit. The highest single-day volume of 67.5 MU was achieved on 3 December. For the third quarter, the market achieved a cumulative 4,822 MU volume and registered a robust 70% YoY growth.
During December, 557 participants transacted in the exchange’s RTM market. The consistent growth in volumes in this market segment has been indicative of its significance for both distribution utilities and industries in balancing real-time power demand-supply requirements.
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