Owing to excess supply, the price of electricity at the Indian Energy Exchange (IEX) continued to remain attractive throughout the month of July.
Prices declined also because the advancing monsoons considerably eased the demand for power across the country.
With the exception of Southern region and the state of Punjab, the price for power even dropped to as low as Rs 0.99 per unit on a few occasions.
The average power price in July across majority of Indian states remained below Rs 2.00 per unit at IEX. In the Southern Region, price remained below Rs 5.00 per unit while in Punjab, the average price was high and hovered around Rs 7.54 per unit, largely due to transmission constraints.
However, as compared to last month the average prices rose slightly with the average market clearing price for July'13 at Rs 2.28 per unit, up 2.4 percent from a month ago.
There was no change in the average prices for North-East over the last month. The prices in South (S2) showed an increase of 17 percent with average price touching Rs 5.19 per unit.
The prices in Punjab showed steep rise as a result of unavailability of transmission network required to facilitate inter-state trade. The increased prices in Punjab represented only 1 percent of the volume traded as compared to last month.
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