Indian Energy Exchange power market update, October'23

Indian Energy Exchange, India’s premier energy exchange, achieved 9260 MU total electricity volume in October 2023, registering an increase of 21% on YoY basis. IEX achieved 9,483 MU overall volume, including 2.17 Lac Renewable Energy Certificates (RECs) and 5,814 Energy Saving Certificates. The overall volume traded during October increased 18% on YoY basis. 

In October '23, the country's energy consumption reached 139 billion units, marking a substantial 22% year-on-year increase due to a surge in electricity demand owing to increase in electricity consumption, below-average rainfall in October, and a lower base from the same month last year. This upsurge in power demand prompted DISCOMs to actively purchase power on the exchange to meet the increased demand, thereby leading to a significant increase in trade volumes on IEX. 

This surge in demand pushed Day-Ahead Market (DAM) prices on the Indian Energy Exchange (IEX) to ₹6.45 per unit, representing a substantial 68% year-on-year increase on a lower base price from the same month last year.