In June 2019, the spot power price was recorded at ₹3.32 (~$0.0483)/kWh. After soaring high for four consecutive months in 2019, the spot power price has now declined slightly by ₹0.02 (~$0.0002)/kWh.

In May 2019, the spot power price was ₹3.34 (~$0.0486)/kWh, making the month-over-month decline in the spot power price almost negligible. Compared to June 2018, in which the spot power price was ₹3.73 (~$0.0543)/kWh, the year-over-year price has significantly declined by 11%.

According to the national load dispatch center (NLDC) data, the pan India peak demand met during June 2019 was 180 GW, which declined by 3 GW when compared with the 183 GW peak demand that was met in May 2019. This was also 10 GW more than the 170 GW of peak demand met in June 2018,  an 11% increase year-over-year.

Across the country, the energy supply met was 119 billion units (BU) in June 2019, an 8% increase over 110 BU recorded in June 2018. According to the data by the NLDC, “The hydro, solar, and coal generators saw an increase of 5%, 52% and 9% in June 2019 respectively.”

According to the Indian Energy Exchange (IEX), the Day Ahead-Market (DAM) and Term Ahead-Market (TAM) traded 4,566 million units (MU) together, a 10% decline over 5,053 MU traded in June 2018, and a 12% increase over 4,090 MU traded in May 2019.

The IEX reported that 4,207 MU were traded in DAM, a 12% increase month-over-month compared to May 2019, and a 15% decline year-over-year. DAM saw a volume loss of 6.86 MU due to real-time curtailment. Greater availability of power from hydro, solar, coal-based power generating stations having long-term contracts with the distribution companies (DISCOMs) along with better availability of domestic and imported coal were the key reasons that led to decline in traded volume.

‘One Nation, One Price’ was realized on all days of the month. On a daily average basis, 730 participants traded in the market during the month.

When contacted, an energy market expert informed, “Things haven’t changed much. Everything is positive from the supply side, but unless the concentration of thermal decreases, it will be tough for the spot power price to go below ₹3 (~$0.043)/kWh mark. There are positive signs like hydro and solar power generation have gone up. Other renewables must pick up too.”

When asked if the prices will rise further in the face of increased demand, the expert said, “As of now, there is more than enough liquidity on the supply side. Even if demand goes up by 30 MU, there won’t be much of a difference. When we enter the transition phase between monsoon and winter, there will be changes in the market factors.”