Green Market Growth Boosts India’s Shift to Renewable Energy: Report

The Indian Energy Exchange (IEX) witnessed a notable increase in electricity trading volumes during November 2024. According to a regulatory filing, the platform traded 9,689 million units (MU) of electricity, marking a 15.7% year-on-year (YoY) growth.

Electricity Market Highlights

Day-Ahead Market (DAM): Traded 5,651 MU, up 9.8% YoY from 5,144 MU in November 2023.
Real-Time Market (RTM): Traded 3,019 MU, a 28% YoY increase from 2,359 MU in November 2023.

Prices:

DAM prices fell 17.3% YoY to Rs 3.30 per unit.
RTM prices dropped 13.4% YoY to Rs 3.46 per unit.
These price declines were attributed to high supply-side liquidity and are the lowest recorded this fiscal year.

Green Energy Market Surge

The IEX Green Market saw remarkable growth, with a total of 818 MU traded in November 2024, a 331.8% YoY increase from 189 MU in November 2023.

Green Day-Ahead Market (G-DAM): Traded 793 MU at a weighted average price of Rs 3.19 per unit, up 335.2% YoY from 182 MU in November 2023.

Renewable Energy Certificates (REC)

While electricity volumes rose, REC trading declined. IEX traded 5.46 lakh RECs in November 2024, a 27.7% YoY decrease. Trading sessions held on November 13 and 27 cleared prices at Rs 140 and Rs 190 per REC, respectively.

Other Markets

Day-Ahead Contingency and Term-Ahead Market (TAM): These segments traded 202 MU, a steep 70.3% YoY decline from 679 MU in November 2023. Buyers favored DAM and RTM due to abundant sell-side liquidity.

National Energy Consumption

Government data revealed that India’s energy consumption for November 2024 reached 125 billion units (BUs), reflecting a 5% YoY growth.

IEX continues to serve as a critical platform for diverse energy trading, with growth in electricity volumes and the Green Market offsetting declines in REC and TAM trading.