CERC caps spot power price at Rs 12 per unit

In a suo-motu order issued by the Central Electricity Regulatory Commission (CERC), the regulator has capped the prices of spot power traded on the exchanges at Rs 12 per unit, in view of extreme volatility in prices amid rising power demand.

The commission noted that higher price has not led to commensurate increase in supply and such position is likely to remain for some time in coming days due to supply constraints.Since 99 per cent of the supply bids  have been in the range of Rs12 per kWh and only 1 per cent of the supply bids have been higher than Rs12 per kWh, the CERC has directed the power exchanges to re-design the bidding software in such a way that members can submit their bid in the price range of Rs0 per kWh to Rs12 per kWh for day ahead market (DAM) and real time market (RTM). The CERC is of the view that this price moderation will be in keeping with the present market realities and will not have any significant impact on the volume transacted and safeguard the consumer interests.

 

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