Indian Energy Exchange on Friday said it has commenced trade in the ‘High Price Day Ahead Market’ (HPDAM) segment to provide a new avenue of high variable cost electricity generators like imported coal and gas-based projects.
The Central Electricity Regulatory Commission (CERC) in its order dated February 16, 2023, approved the introduction of this segment in the ‘Integrated Day Ahead Market’ segment in the power exchange.
This will provide a new avenue to the generators which may not have been able to participate due to the existing price ceiling of Rs 12/kWh, it explained.
The HP-DAM segment was launched by Union power minister R.K. Singh during a webinar held on March 9, 2023.
Speaking at the launch, the minister said that it is a step towards reforming the evolving power market by meeting the current demand through optimum utilisation of the power generation capacity.
Earlier in February, power regulator CERC had approved the HP-DAM segment where power can be sold at a price as high as Rs 50 per unit. HPDAM will aid stranded gas and imported coal-based power plants to generate and sell expensive power to meet the high peak demand in summers which is expected to touch 239 GW this season.
