In September 2024, Indian Energy Exchange (IEX) recorded a remarkable 24% year-on-year growth in total trade volume, reaching 11,370 million units (MU), according to a statement released by IEX on Monday. This increase is attributed to a rise in electricity volume, which saw a 21% year-on-year growth, totaling 10,332 MU.
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Indian Energy Exchange (IEX) reported a significant 24% year-on-year increase in its total trade volume, reaching 11,370 million units (MU) in September 2024, as per the company’s latest statement. This growth was primarily driven by a 21% surge in electricity volume, which accounted for 10,332 MU of the total.
A significant contributor to the overall volume increase was the Renewable Energy Certificates (REC) market. REC trading rose sharply by 100%, reaching 1,031 MU in September. The REC market also witnessed an all-time low price of ₹110 per certificate in the trading session held on September 25, 2024. This drop in prices has provided a timely opportunity for obligated entities, including Distribution Companies (DISCOMS) and Captive Power Producers, to meet their Renewable Purchase Obligations (RPO). Additionally, voluntary customers have taken advantage of the lower prices to achieve their sustainability goals.
The steady monsoon during September played a key role in boosting hydro and wind power generation, which in turn influenced the overall energy trading environment. This increase in renewable energy generation led to a significant reduction in prices in both the Day-Ahead Market (DAM) and the Real-Time Market (RTM), ultimately driving higher trading volumes. The Market Clearing Price in the DAM for September stood at ₹4.18 per unit, reflecting a 33% year-on-year decline. Similarly, the Market Clearing Price in the RTM fell to ₹3.98 per unit, marking a 28% year-on-year decrease.
These favorable market conditions have allowed energy stakeholders to benefit from lower prices while contributing to a cleaner and more sustainable energy landscape. IEX continues to play a pivotal role in India’s energy trading, facilitating the growth of renewable energy sources and helping stakeholders meet their regulatory and sustainability objectives.
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