Power Exchange India Ltd (PXIL) launched the Green-Term Ahead Market (GTAM) on its transaction platform on March 24, 2021.
The development took place after receiving approval from the Central Electricity Regulatory Commission (CERC) on March 19, 2021.
To familiarize the market participants about the product and its features, PXIL also conducted two virtual mock sessions attended by more than 20 members and clients representing utilities, OA Consumers, RE generators and traders. Vedanta SEZ and Himachal Pradesh SEB were amongst the first set of participants in this segment.
Currently, PXIL holds above 60 per cent market share on an average in the Term Ahead Market segment which is expected to increase with the launch of GTAM, a release from PXIL said.
Two types of contracts
PXIL will offer trade in two types of green term-ahead contracts—Intra-day Contracts and Any-day Contracts—in both solar and non-solar segments.
Intraday Contracts are structured as a static contract (pre-defined delivery slots to place bids) and Any-day contracts are structured as dynamic contracts (user selected slots for delivery during the day as well the days of delivery). The combination of the contracts covers the delivery period starting from few hours up to 11 days from the trade.
Fulfilling energy needs
Prabhajit Kumar Sarkar, MD & CEO, PXIL said “As our country continues on its path of transition towards a green and sustainable future with large scale integration of renewable energy, PXIL’s Green TAM segment would help participants fulfil their energy needs using renewable energy sources.”
“PXIL has played a leadership role in developing the Term Ahead Market segment on the power exchanges through innovative offerings and high service levels and looks forward to delivering the same quality of experience in the Green TAM segment as well,” Sarkar added.
Avenue to meet RPO requirements
The Government of India’s target of 175 GW renewable energy (RE) capacity by 2022 is driving the growth of the RE industry. The Green Term Ahead Market contracts will allow the RE generators the flexibility to map their generation profile and at the same time purchasers will have an avenue to meet their Renewable Purchase Obligations (RPO) requirements.
GTAM platform will also lead to an increase in the number of participants in the renewable energy sector and benefit buyers of RE through competitive prices and transparent and flexible procurement. It will also benefit RE sellers by providing access to the pan- India market.
(Featured photograph for illustration only)
