Indian Energy Exchange Sees Strong Growth with 10,946 MU Traded in May 2025

Indian Energy Exchange Ltd. (IEX) has reported a traded electricity volume of 10,946 million units (MU) in May 2025, marking a year-on-year increase despite fluctuations in spot electricity prices. The surge in trading activity reflects strong market liquidity and growing demand for power exchange transactions.

 

Key Highlights

 

May 2025 Trading Volume:

 

IEX recorded 10,946 MU of electricity traded, showing steady growth compared to previous months.

 

The increase comes amid seasonal demand shifts and evolving market dynamics.

 

Spot Electricity Prices & Market Trends:

 

Spot electricity prices briefly touched zero in May, driven by unseasonal rains and a surge in renewable power generation.

 

The average day-ahead price on May 25 dropped to ₹0.56 per unit, with near-zero prices observed during several time blocks.

 

Renewable Energy Impact:

 

India added 25 GW of solar capacity over the past year, reducing reliance on thermal power and contributing to price volatility.

 

The country’s power demand peaked at 231 GW in May, lower than the projected 266 GW due to weather conditions.

 

Future Outlook & Policy Recommendations:

 

Analysts recommend developing Pumped Storage Projects (PSPs) and Battery Energy Storage Systems (BESS) to absorb surplus renewable energy.

 

The government continues to enhance power supply measures, ensuring market stability and competitive pricing.

 

IEX’s consistent trading growth highlights its critical role in India’s evolving energy market, reinforcing efficiency and liquidity in power transactions.

 

Source: MSN, IEX Market Data, and Business Standard.