Union Power Minister launches Green Term Ahead Market (GTAM) in electricity through video conferencing
Context: As a first step towards Greening the Indian short term power Market, the Minister of State (IC) Power and New & Renewable Energy & Minister of State (Skill Development and Entrepreneurship), launched pan-India Green Term Ahead Market (GTAM) in electricity.
More about news:
- The introduction of GTAM platform would lessen the burden on RE-rich States and incentivize them to develop RE capacity beyond their own RPO.
- This would promote RE merchant capacity addition and help in achieving RE capacity addition targets of the country.”
- GTAM platform will lead to increase in number of participants in renewable energy sector.
- It will benefit buyers of RE through competitive prices and transparent and flexible procurement.
- It will also benefit RE sellers by providing access to pan- India market
The Government of India’s target of 175 GW RE Capacity by 2022 is driving accelerated renewable penetration pan-India.
- Green Term Ahead Market contracts will allow additional avenues to the RE generators for sale of renewable energy; enable Obligated entities to procure renewable power at competitive prices to meet their Renewable Purchase Obligations (RPO); and provide a platform to environmentally conscious open access consumers and utilities to buy green power.
Key features of GTAM:
- Transactions through GTAM will be bilateral in nature with clear identification of corresponding buyers and sellers, there will not be any difficulty in accounting for RPO.
- GTAM contracts will be segregated into Solar RPO & Non-Solar RPO as RPO targets are also segregated.
- Further, within the two segments GTAM contracts will have Green Intraday, Day Ahead Contingency, Daily and Weekly Contracts
- Green Intraday Contract & Day Ahead Contingency Contract – Bidding will take place on a 15-minute time-block wise MW basis.
- Daily & Weekly Contracts – Bidding will take place on MWh basis. Both buyers and sellers can submit the bid, however the seller will provide profile in terms of 15-minute time block wise quantity (MW) along with the price (Rs/MWh). After the contract gets executed scheduling will take place as per the profile. In case of multiple buyers, the profile will get allocated on a pro-rata basis.
- Price discovery will take place on a continuous basis i.e. price time priority basis. Subsequently, looking at the market conditions open auction can be introduced for daily & weekly contracts.
- Energy scheduled through GTAM contract shall be considered as deemed RPO compliance of the buyer.
Reference: https://pib.gov.in/PressReleasePage.aspx?PRID=1650384