Uttar Pradesh sold the highest amount of power in the day-ahead market (DAM) in the second quarter (Q2) of 2021, accounting for 13.9% of all power sold in the quarter, according to Mercom’s India Solar Open Access Market Report.

The report gives insights into open access transactions, including short-term transactions like DAM, bilateral contracts, real-time market (RTM), and the green-term ahead market (GTAM) within the open-access space.

Uttar Pradesh was followed by Teesta Stage III and Sembcorp with 6.7% and 6.5% market share, respectively. Madhya Pradesh (6.4%), Delhi (5.4%), Himachal Pradesh (4.9%), Rajasthan (4.7%) were among the states that sold the most power in the day-ahead market during the quarter.

Andhra Pradesh was the top buyer in Q2, accounting for 21% of the power purchased in the day-ahead market. Gujarat followed with 19.4% of the power purchased and Maharashtra with 12.1%.

PTC India traded the highest short-term power, making up 46.25% of the total market share across all markets. Tata Power Trading Company and NTPC Vidyut Vyapar Nigam followed with 12.17% and 10.6%, respectively. Adani Enterprises and Manikaran Power accounted for 9.11% and 7.21%, respectively.

GTAM

In Q2 2021, 955 million units (MU) of energy were traded in GTAM. In June, the market traded the highest volume of 412 MU at ₹3.73 (~$0.05)/kWh. The energy trading prices in GTAM declined around 15% from ₹4.35 (~$0.06)/kWh in April to ₹3.73 (~$0.05)/kWh in June.

Bilateral Contracts

Private entities dominated the sale of power through bilateral contracts in Q2 2021, with Raipur Energy Limited (RPREL) selling the highest volume of 2,419 MU. Six out of the top ten sellers were private companies. Madhya Pradesh was the top state and sold around 1,250 MU of electricity.

The top five entities that sold power via bilateral contracts during the quarter were RPREL with 12.6%, Madhya Pradesh with 6.5%, Jindal India Thermal Power with 6.4%, Diligent Power with 5.3%, and Rajgarh Energy Generation with 5.1%.

Gujarat purchased 2,443 MU of electricity through bilateral contracts and accounted for 12.74% of the total bilateral power purchases. It was followed by Tamil Nadu, which purchased 2,430 MU, and Punjab, with 2,002 MU.

RTM

In Q2 2021, Madhya Pradesh accounted for over 10% of the power sold on RTM, followed by Uttar Pradesh (8.6%) and West Bengal (7.6%).

Andhra Pradesh was the top buyer, accounting for 14.9% of the total purchased power on RTM, followed by Telangana (9.5%) and Rajasthan (8.4%).

According to the report, shorter power purchase agreements (PPA) were critical drivers for higher trading in short-term open access markets. The markets provide competitive prices, flexibility, and efficient power procurement. Industries move towards short-term markets to procure power at competitive prices to meet their peak demand.

For the complete report, visit: https://mercomindia.com/product/india-solar-open-access-market-report-q3-2021