IEX commencescross-border electricity trade for integrated South Asian market

The Indian Energy Exchange (IEX) has commenced cross-border electricity trade (CBET) on its platform.

It is a first-of-its-kind initiative which will allow power exchanges to expand their power marketsbeyond India to the South Asiaregion and building an integrated South Asian regional power market. This follows the notification of CBET regulations by the Central Electricity Regulatory Commission (CERC) in 2019 and the recent notification of CBET rules in March 2021 by the Central Electricity Authority(CEA). Currently, the cross-border trade in power between India and neighbouring countries stands at about 18 BUs, which are conducted through the medium to long term bilateral contracts. NTPC Vidyut Vyapar Nigam Limited (NVVN), the government designated nodal agency for CBET, has secured approval for Nepal’s participation in the day-ahead market (DAM) on IEX, from the CEA.