With obligated entities required to pay the old renewable energy certificate (REC) rate of ₹1,500/REC, the total number of non-solar RECs sold in August 2017 was 2,89,505, 42 percent lower than the 4,95,295 non-solar RECs sold in July 2017.
The Indian Energy Exchange (IEX) received 81,545 buy bids and 77,42,748 sell bids in August. All buy bids were cleared at a floor price of ₹1,500 (~$23.43) per REC. On the IEX, there was a decrease of 78 percent in trades of non-solar RECs compared to July 2017 when 3,78,417 were traded.
Even though the trading at Power Exchange India Limited (PXIL) almost doubled, the total numbers are almost half of previous month.
A total of 2,07,960 non-solar RECs were traded in the REC trading session held on August 30, 2017 at PXIL. The PXIL received 2,07,960 buy bids and 41,89,386 sell bids. All buy bids were cleared at floor price of ₹1,500 (~$23.09) per REC.
The number of non-solar RECs sold on PXIL almost doubled from that of July 2017, in which 1,16,878 non-solar RECs were cleared. The spike in trading resulted in the PXIL having a market share of 72 percent and attaining a clearing ratio of 5 percent.
There has been a decline in the number of non-solar renewable energy certificates (RECs) being sold. For the past two months, the sale of solar RECs has been on hold as the case is being contested in the Supreme Court.
Mercom previously reported that the Central Electricity Regulatory Commission (CERC) issued new forbearance and floor prices for RECs (solar, Non-solar).
After the issuance of the new forbearance and floor prices for REC trading, many REC generators filed petitions citing losses due to exclusion of the vintage multiplier in the new prices. The Supreme Court issued an order allowing trading of wind RECs, but a stay on the sale of solar RECs until a hearing on the matter is held.
Image credit: Suzlon
Saumy is a senior staff reporter with MercomIndia.com covering business and energy news since 2016. Prior to Mercom, Saumy was a copy editor at Thomson Reuters. Saumy earned his Bachelors Degree in Journalism & Mass Communication from the Manipal Institute of Communication at Manipal University. More articles from Saumy Prateek.