 "Discoms likely to consider PPAs as short-term power rates rise")
The price of one unit of power sold in the spot market has jumped over 50 per cent over a year ago. This implies an increase in demand and input cost. It may also be an early indicator for state distribution companies (discoms) to consider long-term options for power procurement.
As the cost of short-term power rises, it is likely that state discoms would look at longer tenure for power purchase agreements (PPAs).
“We may see a change in the trend (where long-term PPAs were missing so far) now that merchant power prices are also going up and because the
