FCC

IEX Eyes Double-Digit Trading Volume Growth in Financial Year 2025–26

2025-05-08

Indian Energy Exchange (IEX), the country’s leading electricity exchange, is projected to achieve double-digit growth in trading volumes in financial year 2025–26. Analysts attribute this to enhanced supply-side liquidity and the launch of new products.

This year, the power sector expects additions of eleven gigawatts of thermal capacity and up to forty gigawatts of renewable energy capacity. This is likely to drive down price discovery in major segments like the Day Ahead Market and Real Time Market.

New offerings such as green Real Time Market (RTM) and long-duration contracts (LDCs) of up to eleven months are expected to further boost trading activity. In financial year 2024–25, IEX recorded its highest-ever traded volume at 121 billion units, an increase of 18.7 per cent year on year.

IEX has filed a petition with the Central Electricity Regulatory Commission for LDCs, which could potentially shift forty billion units from the DEEP platform to exchanges. These contracts are expected to offer around 25 per cent lower price discovery and reduced working capital risks.

Additionally, gas volumes on Indian Gas Exchange (IGX) rose 47 per cent year on year to sixty million MMBtu, led by sellers like Reliance Industries and Oil and Natural Gas Corporation. IEX is also working with the Ministry of Coal to establish India’s first coal exchange by financial year 2026–27.

Source:PTI, Deccan Herald