Summary of nvvn s views suggestions on cerc staff paper on developing a common platform for electricity trading
1 / 29

- PowerPoint PPT Presentation

  • Uploaded on

S UMMARY of N VVN’S VIEWS & SUGGESTIONS on C ERC STAFF PAPER ON DEVELOPING A COMMON PLATFORM FOR ELECTRICITY TRADING. National PX v/s Many (Region Level) Exchanges. Assignment of Transmission Capacity to Day-Ahead Trading Through PX. Bids Based On Marginal Costs. Price Mitigation.

I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
Download Presentation

PowerPoint Slideshow about '' - oswald

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.

- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
Slide1 l.jpg


Price mitigation l.jpg
Price Mitigation Through PX

Organization of px l.jpg
Organization of PX Through PX

Market regulation l.jpg
Market Regulation Through PX

Settlement clearance mechanism l.jpg
Settlement & IndiaClearance Mechanism

Development of power exchange at national level l.jpg




An initiative for selection of px model for india l.jpg
An initiative for IndiaSelection of PX Model for India

  • Analysis of Indian Electricity Trading Market

  • Study of International Electricity markets

  • Consultations with MoP, CEA, PGCIL and PTC

  • Development of DPR for PX in India


    Consortium of M/s NordPool Consulting AS, Norway and M/s CRISIL, India

Preparatory work done l.jpg
Preparatory Work Done India

  • A professionally prepared DPR

  • Consultations with other stakeholders during preparation of DPR

    • Core Team

    • Workshop for stakeholders

  • Full implementation plan available

    • Hardware & software issues

    • Procurement, Training & Implementation

    • Model Agreements

    • Business Case

Our proposal l.jpg
Our Proposal India

  • Power Exchange may be promoted as a separate company by key players in power sectors and gradually provided with more diversified ownership and governance structure. CERC Staff Paper on PX also recommends a diversified ownership. It is common to find examples of PX promoted by the stakeholders in European Markets.

  • Development of Power Exchange for physical delivery market is complex due to nature of electricity. Therefore, the design of the product, trade system and operational procedures require a thorough understanding of generation, transmission, consumption and trading of electricity as well as system operation.

Our proposal27 l.jpg
Our Proposal India

  • The focus of PX is market development. In India, the trading market is small and limited to tradable short-term surplus. Therefore support and participation by market players is crucial for market development.

  • CPSUs under the MoP are respective market leaders, possess significant domain knowledge, technical & managerial expertise and financial strength. They also have an experienced pool of necessary manpower to support the creation and operation of PX. Further, the Government Companies playing a leading role in the development of PX shall provide significant comfort to the market participants with regard to neutrality and transparency.

Our proposal28 l.jpg
Our Proposal India

  • Accordingly, the following may be considered for establishing the Power Exchange:

  • Power Exchange shall be promoted as a separate company under the Companies Act with CPSUs under MoP as the initial promoters, who shall contribute Initial 50% of the authorized capital in equal proportion. (Authorized capital shall be of the order of Rs. 50 crores.)

  • Balance 50% of the authorized capital shall be issued subsequently to State power utilities, FIs, Banks, Traders etc.

  • Shareholding by an individual entity may be limited to 25% of the paid-up capital.

  • The Company shall have Shareholders’ representatives and also the nominee of CERC/ Government in suitable proportion on its Board of Directors.

Slide29 l.jpg

Thank you India