Power Exchange of India gets CERCs in-principle nod
June, 04th 2008
The Central Electricity Regulatory Commission (CERC) has given an in-principle approval to Power Exchange India (PXI) to set up and operate a power exchange. PXI is a joint venture between the National Stock Exchange of India (NSE) and National Commodity & Derivatives Exchange (NCDEX).
In its media release, the NSE said PXI hopes to start operations as soon as possible, adding that it would follow a demutualised organisation structure.
PXI would function as a nationwide spot exchange for power and will initially trade only day-ahead contracts, the release said, adding that short term trades in power have shown tremendous growth over the past few years because of the constant need of the generating/distribution entities to balance their long term portfolios with volatility of short term demand.
PXI seeks to provide an open market place for all stakeholders in the power sector including generators, distribution companies, independent power producers (IPPs), captive power producers (CPPs), traders etc who can participate either by becoming members of PXI or be becoming constituents of the members.
The management of PXI will be led by Rupa Devi Singh who has been recently appointed as its chief executive officer.
Ms Singh has an experience of over 25 years in both power and financial sectors, during her stints with SBI and CRISIL.
She has actively participated in the development of the policy framework within the power sector in the country and has been closely associated with the entire initiative of introducing competitive power markets in India in her earlier stint as Director- Power Practice with Crisil Risk and Infrastructure Solutions.