BSE, PTC India and ICICI Bank promoted Hindustan Power Exchange commences operations

The exchange will initially offer trading in Term Ahead Market, Green Term Ahead Market, and Renewable Energy Certificates.

Hindustan Power Exchange (HPX), promoted by Bombay Stock Exchange, PTC India and ICICI Bank, today commenced operations after receiving all necessary approvals from Central Electricity Regulatory Commission. Backed by the latest technology and a series of innovative features, the exchange promises to offer speed, transparency, and better price discovery in the execution of trades. The exchange will initially offer trading in Term Ahead Market, Green Term Ahead Market, and Renewable Energy Certificates. It will steadily increase its product portfolio and provide a wide range of contracts to address the demand of different segments of the electricity market. 

Speaking on the launch, Akhilesh Awasthy, COO, Hindustan Power Exchange said, “The need for a third power exchange has been felt for quite some time now by the buyers and sellers for optimized price discovery and better efficiency in power purchase. HPX will be a seamless platform that has been built on the same technology, which makes Bombay Stock Exchange the fastest exchange in the world. The matching engine of the exchange is procured from one of the best technology providers in the world, which is also the technology provider for power exchanges in Europe. We will also gain from the significant experience of our promoters, who are leaders in their respective areas of operations.” 

Sameer Patil, CBO, BSE said, “Hindustan Power Exchange (HPX) has been envisaged to promote market efficiency through advanced technology and to maximize value for the power market. The cutting-edge technology solutions, efficient price mechanism and the quality of service offered at HPX, would act as the differentiator in the Indian Power Market. With the technology set to be one of the key point-of-difference in the Indian Power Market, BSE looks forward in carving its footprint in the sector, thereby paving the way for a technology-led efficient power market through HPX.” 

The Indian power sector is at the cusp of a massive energy transition where the share of renewable energy is steadily rising in India’s power generation mix. Further, more variable power output from wind and solar plants is set to push short-term trading of energy, thereby giving more options to both buyers and sellers. HPX will play a pivotal role in bridging the gap between demand and supply and providing trading at an optimized cost.