Power exchanges can trade contracts up to 3 months now
Power exchanges will be able to trade contracts up to three months following approval from the Central Electricity Regulatory Commission (CERC).
The approval is expected to bring a landmark change in the power markets as a major chunk of bilateral trade is expected to shift from bilateral contracts to power exchanges.
Of the 660 power tenders between January 2020 and April 2022, 396 tenders (60%) were for monthly procurement of power.
“This indicates preference for monthly contracts among stakeholders,” CERC said.
