India-based electronic systems based power trading platform Indian Energy Exchange Ltd (IEX), has announced the launch of Real-Time Electricity Market (RTM).
In a filing with the BSE, IEX said, “The real-time market is an endeavor by regulator CERC to make the power market dynamic by enabling trade in electricity through half-hourly auctions. There will be 48 auction sessions during the day with a delivery of power within one hour of the bid session.”
“The market will aid the distribution utilities to manage power demand-supply variation and meet 24×7 power supply aspirations in the most flexible, efficient, and dynamic way. RTM will facilitate utilities to reduce dependency on deviation framework and save on the penalties,” the filing added.
“This will also support the grid operators to enhance overall safety and security of the grid,” the filing added.
Speaking on the statement, Rajiv Srivastava, CEO & Managing Director, IEX Ltd said, “With the launch of RTM, the Indian energy markets are moving towards global standards of electricity trading and establishing new energy orders in the country. It will support the utilities in reducing dependence on grid deviation framework, of the order of 20 BU in the fiscal year 2020.”
“The primary purpose of the real-time market is to allow utilities to manage their power demand dynamically, save on huge deviation-related penalties, and efficiently integrate renewables. The new market segment will foster greater flexibility, competition, and efficiency in the electricity sector and address the emerging needs of the time,” Srivastava added.
“RTM would also provide an opportunity for generators to sell their unrequisitioned capacity by allowing efficient use of generation capacity,” the filing said.