The Day Ahead Market (DAM) prices on the Indian Energy Exchange (IEX) rose by 68 per cent y-o-y to ₹6.25 per unit in October 2023 aided by higher demand This surge in prices on the IEX was also due to a lower base price from the same month last year, the power exchange said.

This upsurge in demand prompted Discoms to actively purchase power on the exchange to meet the increased demand, thereby leading to a significant increase in trade volumes on IEX, it added.

According to data published by Grid India, in October 2023, the country’s energy consumption reached 139 billion units, marking a substantial 22 per cent year-on-year increase due to a surge in electricity demand owing to an increase in electricity consumption, below-average rainfall in October, and a lower base from the same month last year.

The DAM volume increased to 4,742 million units (MU) in October 2023 from 4,379 MU in October 2022, growing 8.3 per cent y-o-y. The Real-Time Electricity Market (RTM) volume increased by 6.1 per cent Y-o-Y to 2,402 MU.

The RTM segment enables distribution utilities and industries with greater flexibility and efficient optimisation of portfolios by balancing their power demand-supply on a real-time basis.

Day Ahead Contingency and Term-Ahead Market (TAM), consisting of contingency, daily and weekly and monthly contracts up to 3 months, traded 1,911 MU during October, higher by 207.6 per cent on a y-o-y basis.

Renewable energy market

The Green Day-Ahead Market (G-DAM) achieved 180.80 MU volume during October 2023 with a weighted average price of ₹6.37 per unit. The segment saw 194 market participants during the month.

The Green Term-Ahead Market (G-TAM) achieved 7.23 MU volume in October with an average monthly price of Non-Solar at ₹8.40 per unit.

A total of 2.17 lakh Renewable Energy Certificates (RECs), equivalent to 217 MU, were cleared in the trading sessions held on October 11, 2023 and October 25 at a clearing price of ₹380 per REC and ₹420 per REC, respectively.