Sebi said the thoughtful modus operandi of the noticees involved sharing of crucial information relating to regulatory actions emanating from a regulator, which was bound to have a significant impact on the listed securities of IEX.
Praveer Sinha, CEO of Tata Power, also said the company plans to double its rooftop solar business from the current 25,000 installations per month to 50,000 by the end of FY26.
Theoretically, it can be deduced that the market share of Indian Energy Exchange (IEX) will decline to 33.33% in due course of time with the implementation of market coupling, JM Financial said in a press note issued on July 30
The ‘One Nation, One Grid, One Price’ framework is aimed at creating a unified and efficient electricity system, which includes a uniform pricing mechanism
Implentation of market coupling would mean there will be only one price for electricity traded through the exchanges at any point of time.
The mechanism of market coupling will ensure buy and sell bids from all power exchanges in India will be aggregated and matched, in order to discover a uniform clearing price, which will result in only one price for the electricity that is to be traded through power exchanges.
Market coupling is a model where buy bids and sell bids from all power exchanges in the country will be aggregated and matched to discover a uniform MCP.
This comes days after the CERC on February 6 ordered for a shadow pilot on market coupling of India's power exchanges.
The CERC order, seen by Moneycontrol, however, also stated that coupling RTM and SCED would help increase the depth of the market while ensuring system reliability
It would mean a uniform price for electricity across power bourses, but analysts say this will not have any immediate impact on the end user (household, industry or commercial).
The report of the group on Development of Electricity Market in India 2023, which was headed by former secretary for power Alok Kumar, also stated that market coupling ensures bids and offers are combined to discover a single uniform market clearing price for a zone/bidding area
Aggregation of buying and selling on power exchanges may disrupt the current market hierarchy but will likely increase competition in the short-term market.
UBS has a ‘buy’ rating on shares of IEX with a target price of Rs 200, implying an upside of 58 percent from June 12's high.
The move is a step towards the government's intention to shift India's electricity trading from long-term (25 years) power purchase agreements (PPAs) to electricity markets (exchanges) and shorter PPAs of up to 12-15 years. It also means the government has revived its plan to introduce Market-Based Economic Dispatch (MBED) mechanism in India.