On Monday, the Hindustan Power Exchange (HPX) said it passed the trade milestone of 2.5 billion units within eight months of its launch.

“HPX, driven by PTC India, BSE and ICICI Bank, managed to cross the milestone of 2.5 billion units of electricity traded volume within 8 months of its launch,” the HPX statement said. It explained that HPX could cross this milestone through rapid volume growth in the contingency, weekly, monthly and long-duration contract (LDC) segments.

The exchange recently signed long-term contracts for 453.7 MU (million units) per month, which will be delivered in March and April 2023 as part of the abovementioned volume.

HPX surged to 2.5 BU in just 67 days with an average daily transaction volume of 18 MU, crossing the historical landmark of 1 BU within six months of its launch, it said. It said this was the fastest volume growth in the first few months of any power exchange operating in the country.

Much of this volume is attributable to LDCs introduced on the HPX platform in February. HPX successfully executed the first Electronic Reverse Auction (e-RA) contract for Indian Railways, which encouraged the participation of generators.

In just three weeks since its launch, HPX has launched more than 25 e-RA tenders and successfully executed seven e-RA tenders, with more e-RA tenders to be completed, it said. HPX now has about 500 market participants. The exchange covers almost all major players in the country and is well-positioned for increased market share in the coming months.

In the contingency sector, HPX has gained an average 30% market share over the past two months, with some days as high as 55%. Since its inception, HPX has had a 20% market share in these segments, it said. HPX, formerly Pranurja Solutions Ltd, is a recently launched power exchange in India. It started operations on July 6, 2022.