Bombay Stock Exchange, ICICI Bank and PTC India Appeal to CERC for a New Power Exchange
The new power exchange would leverage the expertise of its stakeholders
The Bombay Stock Exchange (BSE), ICICI bank, and PTC India have filed a petition with the Central Electricity Regulatory Commission (CERC) for grant of license in order to set up a new power exchange.
The new power exchange, subject to necessary regulatory approvals, would draw on the expertise of its stakeholders. BSE has the experience of setting up and running various exchanges and platforms in India, whereas ICICI bank has the knowledge of the power sector and funding of power projects and associated infrastructure. PTC India Limited has been offering the market participants a credible power trading platform since 1999.
PTC India Ltd., formerly known as Power Trading Corporation of India Limited, was established by Government of India through the initiative of four central public sector units of Ministry of Power. These were – National Thermal Power Corporation (NTPC), Power Grid, Power Finance Corporation (PFC), and National Hydroelectric Power Corporation (NHPC). Its trading volumes reached ~57,018 MUs in FY 2017-18 and it has a market share of around 40 percent.
CERC is the key regulator of India’s power sector and if approved by the body, this will be a significant development that will give market participants a new and credible power trading platform.
Recently, Mercom reported that CERC proposed granting a Category I trading license to Refex Energy Limited. The proposal came after the company requested CERC to grant it a Category I license for inter-state trading of electricity across India.
Earlier, Mercom reported that the state-owned Neyveli Lignite Corporation India Limited (NLCIL) also announced its foray into power trading business and it has received Category I licence from the CERC for power trading in the country.
Rajasthan Urja Vikas Nigam Limited and NTPC had also petitioned CERC for the grant of a Category I license for inter-state trading in electricity in India but have not been successful yet.
Nitin is a staff reporter at Mercomindia.com and writes on renewable energy and related sectors. Prior to Mercom, Nitin has worked for CNN IBN, India News, Agricultural Spectrum and Bureaucracy Today. He received his bachelor’s degree in Journalism & Communication from Manipal Institute of Communication at Manipal University and Master’s degree in International Relations from Jindal School of International Affairs. More articles from Nitin Kabeer