New Delhi | 06-Oct-2025, 10:40 IST — via IEX corporate disclosure
Indian Energy Exchange Ltd (IEX), India’s premier power trading platform, reported robust operational performance for the second quarter of FY26, with electricity market volumes expanding across segments and ancillary services recording exponential growth.
Electricity Market: Solid 16% Growth
IEX traded 35,217 million units (MU) of electricity in Q2 FY26, a 16.1% YoY increase from Q2 FY25. The growth was driven by higher participation from distribution companies, open access consumers, and improving grid liquidity.
The Day-Ahead Market (DAM + HPDAM) contributed ~14,534 MU, up ~1.4% YoY, while the Real-Time Market (RTM) surged ~39.1% YoY, highlighting demand for flexible scheduling and near real-time procurement.
The Green Market (comprising Green DAM and Green Term-Ahead) delivered 17.7% YoY growth, reflecting India’s renewable energy push.
TRAS: Ancillary Services Gain Traction
A major highlight of the quarter was the Transmission Reliability Ancillary Services (TRAS) segment, where traded volumes jumped to 603 MU in Q2 FY26 versus just 16.9 MU in the year-ago quarter.
The exponential growth shows increasing adoption of grid-balancing services, a critical step towards strengthening India’s power system reliability.
Pricing Trends: Lower Clearing Rates
While volumes rose, average clearing prices trended lower:
- Day-Ahead Market (DAM) average price: ₹3.93/unit (↓12.5% YoY).
- Real-Time Market (RTM) average price: ₹3.51/unit (↓16.1% YoY).
The decline was attributed to improved supply conditions, strong renewable generation, and better coal availability, resulting in lower procurement costs for buyers.
Term-Ahead Market
The Term-Ahead Market (TAM) traded ~2,719 MU, marginally up by ~1% YoY. This reflects steady demand for weekly, monthly, and contingency contracts, though the segment continues to see limited depth compared to DAM and RTM.
Analysis & Implications
- Volume Growth: The 16% growth validates the role of IEX as a central market player, enabling efficient price discovery and flexible procurement.
- Ancillary Services: TRAS has emerged as a key growth lever, indicating a maturing power market aligned with global practices.
- Price Outlook: Lower clearing prices improve affordability for discoms and industrial consumers but may pressure exchange spreads.
- Green Market: Growth in renewable trade volumes is in sync with India’s 2030 renewable capacity targets.
- Competition & Policy: Regulatory clarity on market coupling, cross-border trade, and renewable obligations will shape future growth.
Outlook
Going ahead, IEX’s growth will hinge on:
- Wider adoption of ancillary services and grid-balancing tools.
- Expansion of the green market as renewable integration deepens.
- Policy clarity around market coupling and cross-border trading.
- Managing spreads in a lower-price environment.
IEX’s consistent volume growth highlights its role as a bellwether for India’s power market modernization.
