IEX May Volume Up; Prices Fall On Higher Green Power Supply, Lower Demand

Indian Energy Exchange Ltd. on Wednesday said electricity volume traded in May rose 14% on year to 10.95 billion units. The average market-clearing price in the day-ahead market dropped 22% to ₹4.12 per unit, driven by subdued demand and increased green power supply.

The day-ahead market volume fell 20% on year to 3.51 billion units, while the real-time electricity market saw a 42% jump to 4.77 billion units. The contingency and term-ahead markets together traded 1.68 billion units, up 38%.

Lower temperatures due to unseasonal rain and early monsoon led to reduced demand, while increased hydro, wind and thermal output boosted supply, IEX added . This improved liquidity and helped bring down prices, allowing discoms and industrial users to source cheaper power.

The green market traded 915 million units, up 47% on year, with a weighted average price of ₹3.59 per unit.

India’s power consumption in May declined 4% to 148.7 billion units, as per government data. Peak demand for 2025-26 is projected to exceed 270 GW, with the government mandating the use of imported coal and gas plants to ensure adequate supply.

A total of 1.74 million renewable energy certificates were traded in two May sessions, with clearing prices at ₹345 and ₹349 per certificate. The next REC sessions are set for June 11 and June 25.