June spot power price falls 11 pc to Rs 3.32 per unit

Average spot power price fell 11 per cent to Rs 3.32 per unit in June compared to the year-ago month, the Indian Energy Exchange (IEX) said Monday.

With trading of 4,207 million units (MU) of electricity, the volume in the day-ahead-market (DAM) grew 12 per cent month-on-month.

As compared to June 2018, the trading volume fell 15 per cent. On daily average basis, around 140 MUs were traded in June 2019, the exchange said.

"The average Market Clearing Price (MCP) at Rs 3.32 per unit (in June 2019) declined 11 per cent over Rs 3.73 per unit in June 2018 mainly on account of reduced demand in the short-term market," the IEX said.

Greater availability of power from hydro, solar, coal- based power generating stations having long-term contracts with discoms along with better availability of domestic and imported coal were the key reasons for decline in traded volume on IEX.

The hydro, solar and coal generators saw an increase of 5 per cent, 52 per cent and 9 per cent, respectively, IEX said citing National Load Dispatch Centre (NLDC) data.

According to the NLDC data, the all-India peak demand met reached a new high of 183 GW in June 2019, an increase of 7 per cent over 170 GW peak demand met in the year-ago month.

On all-India basis, the energy met was 119 billion units (BU) in June 2019. It is a rise of 8 per cent compared to 110 BU last year.

The electricity market at IEX the day-ahead-market (DAM) and term-ahead-market (TAM)- saw combined trading of 4,566 MU, a rise of 12 per cent over 4,090 MU traded in June 2018.

A total of 4,19,781 Renewable Energy Certificates (RECs) were traded on May 29. Out of them, 3,27,688 were non-solar and 92,093 were solar certificates.

"The trade saw 24 per cent decline on month-on-month basis and 18 per cent decline on year-on-year basis. Both non-solar and solar REC continued to see low supply situation with buy bids exceeding the sell bids due to very low inventory," the statement said.