NEWS & UPDATES

Weekly Power Sector Round up: 28th March 2020

Coronavirus crisis: India’s energy consumption falls 26% in less than 10 days

In light of the shutdowns forced by the Coronavirus pandemic, India’s daily power consumption has suffered a 26% fall in the 10 days following the 18th of March. This, according to the official data released by the Power System Operation Corporation (POSOCO).

India’s overall energy consumption fell from 3,586 GWhr on the 18th of March to 2,652 GWhr on the 26th of March. The Western region, which includes the bulk of India’s industrial activity, recorded a fall of 35%.

According to POSOCO, a further reduction in demand is expected as India goes deeper into this period of lockdown.


Coronavirus crisis: Relief for DISCOMs announced

DISCOMs which were already facing challenges have been further hit by the ongoing coronavirus pandemic. Incoming revenue streams have been affected as consumers are unable to pay their dues because of the lockdown.

The Govt has announced relief measures which include cuts in payment security, three month moratorium on payments to generation companies and no curtailment of supply.


Spot power price falls to 3 year low on IEX

Electricity spot price dropped to a 3 year low of 60 paisa per unit in light of the nationwide lockdown in response to the coronavirus pandemic. The lockdown has reduced power demand by as much as 20 GW.

Demand is unlikely to pick up anytime soon with the lockdown in place and sluggishness is likely to continue for long time. Buying power on the exchange is thus, likely to be a better option for DISCOMs in the near future.