Energy trade volume grows nearly 14% to hit all-time hight of 110 billion units in FY24: IEX

New Delhi: Energy trading platform IEX on Thursday said it has logged the highest-ever trade volume of 110 billion units (BU) in the fiscal year 2023-24, registering a growth of nearly 14 per cent year-on-year.

The total trade volume has crossed the 100 BU-mark for the first time in FY24, the exchange said.

IEX (Indian Energy Exchange) achieved 110 BU total trade volume in FY24, registering an increase of 13.8 per cent on a Y-o-Y basis, according to a statement.

Giving segment-wise break-up, it said that 75.39 lakh RECs (Renewable Energy Certificates), equivalent to 7,539 million units, were traded during FY24, registering an increase of 26 per cent year-on-year.

The government undertook several measures which led to a better supply scenario in the country, as a result of which the sell side liquidity improved on the exchange, it said.

During the year, the sell liquidity on the exchange increased by 16.9 per cent Y-o-Y, which led to a decline in the DAM (day ahead market) prices by 12 per cent from Rs 5.94 per unit in FY23 to Rs 5.24 per unit in FY24.

During the fourth quarter of FY24 (January-March), IEX achieved 30.1 BU volume across all segments, registering an increase of 15.7 per cent annually.

The total volume comprises 25.9 BU from the conventional power market segment, 1 BU from the green market segment, and 32.48 lakh RECs (3.2 BU).

The REC traded volume in the fourth quarter of FY24 increased by 98 per cent from the year-ago period.

The DAM prices on the exchange reduced by 20 per cent from Rs 6.08 per unit in fourth quarter of FY23 to Rs 4.89 per unit in the Q4 of FY24.

The overall volume reached 9.8 BU in March alone, registering a Y-o-Y growth of 6.2 per cent, IEX said.

The clearing price in the day ahead market in March was Rs 3.91 per unit, down approximately 28 per cent, due to increased sell quantum.

The DAM volume was at 4,653 MU (million units) in March FY24, as compared to 4,745 MU in March FY23.

During the last quarter of FY24, the DAM volume stood at 14,916 MU against 14,301 MU in the corresponding period of previous fiscal, up 4.3 per cent YoY.

During the entire financial year, the DAM volume reached 53,353 MU, up 4.3 per cent from 51,151 MU in FY23.

Real-time market (RTM) volume also increased 32.8 per cent to 2,786 MU in March FY24 from 2,098 MU in March FY23. The figure was 7,505 MU during the fourth quarter of FY24, nearly 27 per cent higher than 5,914 MU a year ago.

The segment achieved 30,125 MU of trade volume during the entire financial year, up 34.6 per cent against 24,174 MU in FY23.

The Green Day Ahead Market (GDAM) achieved the volume of 885 MU during fourth quarter of FY24 and 2,502 MU during FY24.

The Green Term Ahead Market (GTAM) volume stood at 75 MU in the fourth quarter of FY24 and 725 MU during the entire fiscal.