- At present India has three power exchanges —
Indian Electricity Exchange (IEX),
Power Exchange of India (PXIL)
Hindustan Power Exchange (HPX).
Power exchanges provide a platform for market participants, including power generators, distribution companies, traders, and consumers, to buy and sell electricity through open and transparent trading mechanisms.
Power exchanges help in discovering market-based prices for electricity.
The power ministry has asked the Central Electricity Regulatory Authority (CERC) to initiate the process of coupling multiple power exchanges, a mechanism which seeks to ensure uniformity in price discovery of energy at trading platforms.
Currently, buyers and sellers at each exchange trade electricity and discover spot price separately at these exchanges.
After coupling of exchanges, the price discovery would be uniform.
COMMENTS