After three months of decline, short-term power prices increased in September, mainly driven by higher demand and lower generation from renewables, said India Ratings and Research in its report Tuesday.
India Ratings and Research (Ind-Ra) in its October edition of credit news digest on India’s power sector highlighted the trends in the sector, with a focus on capacity addition, generation, transmission, merchant power, deficit, regulatory changes and recent rating actions.
According to the report in September 2018, short-term power prices rallied upwards to Rs 4.69/unit (over September 2017 rate of Rs 4.09/unit), post three months of decline, driven by a higher power demand, lower generation from wind capacities, and scanty rainfall and dry weather in some states in the second half of September 2018.
To meet the short-term power requirement, 5,725 MUs (million units) were traded on the Indian Energy Exchange in September 2018, up 44 per cent m-o-m (month-on-month) and 40 per cent y-o-y (year-on-year). Read more