PTC India has reported a nearly 21 per cent year-on-year growth in trading volumes during FY21.
According to an investor presentation filed by PTC India on stock exchanges, the company clocked trading volumes of 80,042 million kwh (million units or MU) in FY21, as against 66,332 MU in FY20.
This growth largely came about due to higher trading volumes in the second half (October to March) of FY21 when volumes grew by nearly 40 per cent year-on-year.
In FY21, half of the trading volumes came from the short term market (FY20: 44 per cent). The medium term market accounted for 7 per cent of PTC India’s total trading volume in FY21, as against 11 per cent in FY20. The remaining 43 per cent (FY20: 45 per cent) came from the long-term market.
PTC India has been very active on short-term platforms on power exchanges. It is learnt that PTC India has had a 44 per cent share in the real time market (RTM) since its launch last year. Out of the total 9.7 billion units (BU) traded since the launch of RTM in June 2020, PTC India accounted for around 4 BU.
It may be mentioned here that PTC India is also in the process of setting up a power trading exchanges, on the lines of IEX and PXIL. According to information available, PTC India has already appointed the head of business, and an international consultant for due diligence on technology. Once approvals of regulators are in place, PTC India is expected to make significant progress towards putting the exchange in operations.
Acquisition
The board of PTC India, in its meeting held on June 24, 2021, approved the letter of intent (LoI), dated June 17, 2021, for acquisition of the energy consulting business undertaking of IL&FS Energy Development Company, a member of the IL&FS Group. The acquisition, of undisclosed value, will be done on a slump-sale basis. The LoI was issued after following due process prescribed under the resolution framework approved by NCLT for IL&FS Group entities, a statement by PTC India said.
Consultancy
Apart from facilitating power trading, PTC India is also providing consultancy to its Open Access (OA) customers, among others. According to sources, PTC India acquired many large customers during FY21, in the consultancy services business. The total outstanding order value of the consultancy business was around Rs.200 crore, as of March 31, 2021. During FY21, the company earned Rs.29 crore from consultancy services. Analysts note that the acquisition of the aforementioned IL&FS business will boost the consultancy business operations of PTC India, mainly through the on-boarding of skilled resources of the acquired business.
(Featured photograph for illustration only)
