REC trade results – August 2018

Non-Solar: Non-solar RECs prices continue to rise with robust demand but the clearance volume is constrained due to limited supply availability. This session the RECs were traded at the price of INR 1101 at PXIL (10.1% above the floor price) and INR 1200 at IEX (20% above the floor price). The non-solar REC inventory completely exhausted in August 2018 with a clearing ratio of 100% at PXIL & IEX both respectively. A total of 3,33,479 RECs were traded in this session.

Solar: Total number of solar RECs traded in this session was 4,86,129 (184% decrease from the last trade). The clearing ratio was 29.06% at PXIL & 15.42% at IEX respectively. RECs traded at the floor price, i.e. INR 1000 at PXIL and IEX both respectively.

The overall trade volume of (8,19,608) decreased almost by 50% from the last trade (16,18,069).

REC Trade Results – May 2018

In both Solar and Non-solar RECs, demand was robust, considering that this was only the second trading session of the new financial year.

Analysis of Trading:

Non-Solar – Non-solar RECs inventory was not completely exhausted in the May 2018 trading session (15,51,691 RECs were retained of 43,44,976).  A total of 401214 RECs were traded, despite demand being at 629069 (as compared to 538,371 RECs traded April 2017; an increase of 16.84%). RECs traded at the floor price of Rs 1,000/ REC at PXIL but increased to Rs 1,010/ REC at IEX.

Solar – A total of 914412  RECs were traded this month (Increase of 4.4% over April 2017). Clearing ratio for both non-solar and solar stood well.

The below graph depicts the Clearing ratio trend of Non-solar and Solar. In case of Non-solar, the clearance was 86.25% at IEX and 94.23% at PXIL and for solar, the clearance was at 14.20% and 23.38% in IEX and PXIL respectively



Non-solar demand was significantly higher than inNovember 2016, and also higher than last month. In total 22.07 lakh RECs were traded (745% higher than November 2016, and 353% higher than in October 2017), and clearing ratios on IEX and PXIL were 19.39% and 13.33% respectively. The increase in the number of RECs traded was partly because of the push by DISCOMs towards RPO compliance.

Trading of solar RECs  has been suspended due to the stay imposed by the Supreme Court.



Non-solar demand was significantly higher than in October 2016, and also higher than last month. In total 4.87 lakh RECs were traded (90.78% higher than October 2016, and 27.51% higher than in September 2017), and clearing ratios on IEX and PXIL were 4.5% and 3.3% respectively. Solar RECs did not trade due to a stay imposed by the Supreme Court.



Being the first trade session of the financial year 2017-18, the April trade session was a robust one. Total Non-solar demand was 5.37 lakhs (vs 8.8 L demand in March), and clearing ratios on IEX and PXIL were 4.56% and 4.4% respectively.

Total solar demand was 2.08 lakhs, and the clearing ratio in IEX and PXIL were 2.53% and 8.76% respectively (March 2017 demand was 1.43 lakhs).


Non Solar – The clearing ratio stood at 4.56% and 4.4% in both IEX and PXIL respectively.


Solar – Clearing ratio stood at 2.53% and 8.76% in IEX and PXIL respectively.


Ministry of Power sets green energy targets for State Discoms

The Ministry of Power has issued guidelines, for long term growth trajectory for RPO of Non solar as well as for Solar. Though the guidelines have been issued, the final targets will be set by each individual state’s electricity regulatory commission (SERC).

In order to achieve the target of 1, 75,000 MW of renewable capacity by March, 2022, MNRE has notified the RPO uniformly for all States/ UTs initially for three years from 2016-17 to 2018-19 as given in the table below:



State Discoms will have to mandatorily draw at least 2.75% of their total power consumption from solar plants in the current fiscal, according to the renewable purchase obligation (RPO) norms laid down by the power ministry. Considering this proposed regulatory changes and stricter enforcement by states FY2016-17 is expected to bring a good fortune to the REC Market.


The article can be accessed here.

REC Trading Report July-2014

REC trading session of July-14 was conducted on 30th July 2014.  Below is a summary of the result:-

The total transaction value of non-Solar RECs reached 47.7 INR million and for Solar RECs was 61.5 INR million. The closing balance of RECs showed a whopping increase of 1.3 million in Non Solar RECs and 0.05 million in Solar RECs. The demand in PXIL fared better in PXIL than IEX for Solar this month. The clearing ratio for PXIL in Solar was 5.5 % whereas for IEX it showed 0.28%.

 Non Solar REC

The demand was to the lower side as Total RECs issued were 1.38 million whereas Total Redeemed was 31809 RECs. The demand took a dive by 77% as compared to the month of June. The supply rose by a whopping margin of 235% as compared to June. Non Solar price remained at 1500 INR (Floor Price). This month showed the highest number of issuance of RECs for the financial year. More insight can be seen in the graphical chart below.



Solar REC

Total RECs issued this month was 55545 whereas the total redeemed was 6633. It rose by 301% w.r.t June whereas, supply shot up by 23%w.r.t.  June session. The solar demand tripled as compared to previous month.  More details can be seen in the graph.


Market Clearing Percentage


Credits by: Bloomberg NEF

Contributed By: Cigil

Tripura Draft Amendment in RPO Regulation

Tripura Electricity Regulatory Commission (TERC) on 18th July 2014 has notified a draft for the amendment in its Renewable Purchase Obligation (RPO) compliance Regulation 2010. In this amendment, TERC has proposed RPO percentages for the next three years (i.e. till FY 16-17).

It is clearly visible that the TERC in the proposed draft has reduced its total the RPO percentage for 2014-15, as compared to 2013-14, but has increased the percentage of Solar RPO significantly. The decrease in the total RPO may be adjudged to the lack in Renewable Energy generation in the state and the increased solar RPO percentage shows that the state commission is setting an ideology to improve the solar energy generation in the state.

The proposed draft can be accessed here.

Contributed by Dheeraj Babariya.

Status Quo for co-generators

In a key judgement pronounced by Hon’ble APTEL on 17th April 2013 condonation of delay was not granted. The issue relates to a case filed by GERC against Century Rayon/MERC for the order passed by tribunal on keeping co-generation plant of Century Rayon outside the purview of RPS obligation (generic order).

The petition was filed by GERC for review after 818 days and evidently the petition was not submitted by tribunal due to huge delay in filling a review and also on the grounds that GERC was not present in the original proceedings and hence cannot be considered as “Aggrieved Entity”.

GERC had prayed for the review because one of the co-generators in Gujarat had approached GERC on the fact that in the order passed by APTEL in favor of century rayon (vs MERC/MEDA), Hon’ble APTEL had asserted that co-generators are at par with renewable energy generators, therefore the co-generator (who knocked GERC) was requesting GERC to allow them to sell their power at preferential tariff on the above grounds.

Subsequently. in the judgement the condonation of delay for review petition filed by GERC was rejected and dismissed.

In a similar spat between UPERC and Hindalco, UPERC was forced to follow the order passed by tribunal in Century Rayon case.

It seems that the breeze, as far as the co-generation issue is concerned, will remain stagnated and a way forward can be expected only if Electricity Act incorporates appropriate amendments.

For our detailed analysis on the co-gen issue, please refer our monthly Newsletter “OPEN ACCESS Vol. 29”.


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