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IEX rises after strong biz update for March

Capital Market 

Indian Energy Exchange (IEX) rose 1.77% to Rs 347.40 after the company said its power market traded highest ever monthly volume of 8249 MU, achieving 92% YoY growth in March 2021 on increased consumption of electricity.

Spurred by the increasing demand for electricity across the various states, the electricity market at IEX achieved an all-time high volume of 8248.52 MU in the month of March 2021 surpassing all the previous milestones. The robust volumes led to a 92% YoY growth in electricity market during the month.

Cumulatively for the fiscal year ended March 2021, the exchange market performed well despite the COVID-19 induced lock-down. The electricity market achieved all time high volume of 73,941 MU during the year, leading to 37.2% year on year growth. The new market segments introduced during fiscal year 2021 - the real time market as well as the green market, made 14% contribution to the volume traded during the year.

During March 2021, the day-ahead market traded 6,549 MU volume, recording a significant 65% year on year growth. The average monthly price at Rs 4.06 per unit during the month saw a 20% MoM increase. The increase in price was mainly due to the increase in demand for electricity during the month due to sharp rise in temperature, revival of economic and commercial activities. For the fiscal year 2021 the day-ahead on the Exchange, traded 60,416 MU and registered 23% YoY growth.

The term-ahead market comprising intra-day, contingency, daily & weekly contracts traded 234 MU during the month. Cumulatively, for the fiscal year 2021, the term-ahead market traded a total of 3,272 MU.

The real-time market continued its performance during March 2021 and crossed 1BU benchmark for the fourth consecutive month. The market saw highest ever monthly volume of 1414 MU with 26% MoM growth. IEX said the market has emerged as the preferred option for the distribution utilities and industrial consumers to address real-time electricity demand supply balance in the most competitive and efficient manner with the delivery of power at just 1-hour notice.

The Green Term Ahead Market traded a volume of 51 MU during the month comprising 21 MU in the solar segment and 30 MU in the non-solar segment. The market has been enabling distribution utilities, industrial consumers, and green generators to buy and sell green power while also supporting them in fulfilling their Renewable Purchase Obligation (RPO) targets in the most competitive way.

The REC trading session which was scheduled on 31 March 2021 did not take place due to the stay order from APTEL in response to the petitions filed by a few Renewable Energy Associations against the CERC order dated June 2020 regarding revision in the floor and forbearance prices of REC. During fiscal year 2021, the renewable energy certificate market cumulatively traded a 6.97 lakh certificates.

IEX is the first and largest energy exchange in India providing a nationwide, automated trading platform for physical delivery of electricity, renewable power, renewable energy certificates and energy saving certificates. The company's consolidated net profit grew by 39.5% to Rs 58.14 crore on 42.8% rise in net sales to Rs 85.23 crore in Q3 FY21 over Q3 FY20.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

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First Published: Tue, April 06 2021. 14:13 IST