Wholesale power market in India



Wholesale markets play a pivotal role in the electricity trading ecosystem, enabling the buying and selling of electricity before it's delivered to end consumers. This trading ensures a stable power system by effectively balancing demand and supply, making it essential for maintaining efficiency and reliability in energy distribution.

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Deviation settlement mechanism (DSM) and its impact



To maintain grid stability, forecasting and scheduling renewable energy is crucial due to its intermittent nature. Since 2017, state electricity regulatory commissions have implemented the Deviation Settlement Mechanism (DSM) to penalize developers for deviations beyond a certain threshold (typically +/- 15%) from their forecasted generation.

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Difference between gross metering and net metering



Advancements in solar technology and declining prices have made it easier for consumers to install rooftop solar systems. These systems are often connected to the grid to manage surplus and deficit energy. Two common arrangements are gross and net metering.

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Blockchain technology and its impact on electric vehicles



Blockchain is a decentralized ledger technology that securely records transactions without a central authority. Each transaction is encrypted and added as a "block" to the chain, validated by consensus protocols. In the energy sector, blockchain can track electricity usage and streamline payments. Its role becomes critical as Electric Vehicle (EV) adoption grows, ensuring that electricity for charging is sourced from clean energy.

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Open access



The Indian power sector was traditionally regulated, with consumers relying on state-owned distribution companies (discoms) for electricity. The Electricity Act of 2003 introduced major reforms, allowing consumers with a load above 1 MW to choose their electricity supplier. It also mandated discoms and large consumers to procure a portion of power from renewable sources, promoting competition, efficiency, and sustainability. Open access now offers consumers a way to lower costs, enhance reliability, and meet renewable energy obligations.

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