Indian Energy Exchange (IEX) achieved its highest ever monthly volume in January 2024, standing at 10,893 MU.
In a release, IEX said that its January 2024 volumes represented a year-on-year growth of 26.1 per cent, and included 9,137 MU from the conventional market and 236 MU from the green market. Besides, an equivalent of 1,520 MU of trading in renewable energy certificates (REC) took place on IEX during January 2024.
According to government data published in January 2024, the country’s energy consumption reached 133.8 BUs, representing a 6 per cent increase on a year-on-year basis. The Market Clearing Price in Day Ahead Market during January 2024 was Rs.5.83 per kwh, down approximately 6 per cent 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 IEX. This is expected to continue going forward, the release said.
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 per cent year-on-year.
A total of 15.20 lakh RECs (equivalent to 1,520 MU) were traded in the trading sessions held on January 10, 2024 and January 31, 2024, at a clearing price of Rs.360 per 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 release noted.
As already reported by T&D India on January 18, 2024, IEX witnessed a 16.8 per cent year-on-year growth in volumes during Q3 (October to December) of FY24
Also read: IEX Reports 17 Per Cent Growth In Q3FY24 Volumes
