The Central Electricity Regulatory Commission has invited stakeholder feedback by April 23, 2025, on a proposal by the Indian Energy Exchange (IEX) to introduce real-time trading in renewable energy.

Considering that IEX could not meet the significant demand for renewable energy through firm trading, the exchange has proposed introducing the Green Real-Time Market (G-RTM) to address the dynamic nature of green energy.

In FY 2024, around 2.5 billion units (BUs) of renewable energy were traded in the Green Day Ahead Market on the IEX platform.

Purchase bids reached up to 16.5 BUs. However, IEX only met the demand for 4.6 BUs, leaving nearly 72% of the renewable energy demand unmet.

According to IEX, out of the 56 BUs traded in the integrated Day Ahead Market, 2.5% was green power.

IEX’s proposal has received support from several stakeholders in the renewable energy sector. They told IEX that G-RTM would address fluctuations in renewable energy generation and allow trading within shorter time windows. Introducing G-RTM could also serve as another venue for renewable energy generators to sell to obligated entities to fulfill their RPOs.

Additionally, they asked IEX to facilitate power sales from merchant projects through G-RTM.

IEX has proposed that the G-RTM will include an integrated Real-Time Market (RTM) in the power exchange with separate price formation for renewable and conventional energy. The G-RTM will be the sole market for real-time renewable energy transactions. Unsold power in G-RTM can also be sold in the larger RTM.

All the bids will be cleared one after another. Bids in RTM will be removed after bid allocations under G-RTM.

Power sold through G-RTM will be eligible for meeting Renewable Purchase Obligations for eligible entities.

The price determination will include a two-step process. It will be determined by taking bids from buyers and sellers and then setting a uniform market price.

The auction will take place through a double-sided, closed-bid auction.

Other methods, such as bidding, settlement, and scheduling, will be combined for RTM and G-RTM.

All grid-connected entities can sell power in G-RTM, and all entities procuring power under open access can buy power in this market.

Each trading session will be a 15-minute time block with a gap of 15 minutes between each session. Power delivery will happen every half an hour, comprising two 15-minute time blocks.

Bidders must apply for a minimum volume of 0.1 MW and quote at least ₹1 (~$0.011)/MWh.

Buyers and sellers will be able to place advanced bids before the start of the trading session for a delivery period.

In April 2025, the Grid Controller of India announced that government agencies are exploring the possibility of increasing the frequency of Renewable Energy Certificate trading sessions on power exchanges.

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