IEX Trade Volume Skyrockets with 29% Growth in May

Indian Energy Exchange (IEX) reported a 29% growth in overall trade volume for May 2024, reaching 10,633 million units. The electricity trade and renewable energy certificates (RECs) also saw significant year-on-year increases. Government and regulatory measures helped maintain lower market prices despite rising electricity consumption.

The Indian Energy Exchange (IEX) has reported a remarkable 29% increase in overall trade volumes for May 2024, reaching 10,633 million units (MU), compared to 8,251 MU in the same month last year.

Electricity trade volumes surged to 9,568 MU, marking a 21% year-on-year increase, a statement from IEX revealed. Additionally, renewable energy certificates (RECs) saw an astronomical 640.3% climb, reaching 1,055 MU.

The REC market experienced its lowest-ever clearing price at Rs 165 per certificate in the session held on May 29, 2024. This low price point has offered significant opportunities for obligated entities to meet their renewable purchase obligations while also facilitating voluntary sustainability commitments.

Key government and regulatory actions, such as the sale of surplus un-requisitioned power, boosted fuel supply and increased the availability of generating units, which has led to an increased selling liquidity on the exchanges, subsequently keeping prices under check.

Despite the soaring electricity consumption, the market clearing price in the Day Ahead Market for May 2024 was Rs 5.3/unit, a decline of more than 20% compared to bilateral contracts. This period also witnessed the country's record-high peak demand of 250 GW and the highest ever single-day energy consumption of 5,466 MU on May 30, 2024.

The Real-Time Electricity Market (RTM) posted its highest-ever monthly traded volume at 3,352 MU, signifying a 38.3% year-on-year increase. The IEX Green Market also shone with a 73.9% year-on-year growth, achieving a volume of 622.2 MU.

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