Spot Power Market Sees Robust Trade, Beats Barriers Like Never Before

The Spot power market has traded the highest ever monthly volume this year at 5,829 Million Units (MU) in September 2018. The increase, compared to last year, stands at 44 per cent, an Economic Times report has said.

Some of the reasons for the rise in volumes and prices in the day- ahead market are: Increase in demand for power in eastern, western and southern states, poor coal availability, reduced wind power generation, and poor rainfall in the southern states in the second half of the month, an official statement said.

The day-ahead market at Indian Energy Exchange saw transactions totalling 5,725 MU last month, which is a 40 per cent increase in year-on-year basis.

The market saw an all-time day high of 306 MU on 29 September 2018, crossing the 300 MU mark for the first time.

The average market clearing price (MCP) at Rs 4.69 per unit saw a 41 per cent increase over Rs 3.34 per unit in August 2018 and a 15 per cent increase over Rs 4.09 per unit in the same month in 2017.