Central Idea

The National Power Committee (NPC) has urged States to contribute their insights towards shaping incentives for both buyers and sellers on the Power High Price Day Ahead Market (HP-DAM) and Surplus Power Portal (PUShP).
This innovative platform, introduced by the Ministry of Power, aims to enhance power availability, optimize utilization, and facilitate efficient power trading.

PUSHp Portal

Concept Launch: The Ministry of Power unveiled the HP-DAM and PUShP to address power scarcity during peak demand periods and to encourage surplus power trading.
Price Flexibility: The platform allows certain sellers to offer power at prices exceeding the ceiling of Rs 12 per unit during peak demand, promoting higher availability.
Surplus Power Indication: Power distribution companies (DISCOMs) can display their surplus power availability on the portal, indicating the block times, days, or months.
Requisition Mechanism: DISCOMs in need of power can requisition the surplus power from the portal, promoting efficient allocation.

Cost Determination: New buyers will pay both variable charges (VC) and fixed costs (FC) as regulated by authorities.
Reassignment Implications: Once power is reassigned, the original beneficiary relinquishes the right to recall power, including the entire FC liability.
Reducing Fixed Costs: This approach alleviates the fixed cost burden on DISCOMs, making power distribution more efficient.
Optimal Capacity Utilization: The platform ensures that all available generation capacity is effectively utilized, mitigating wastage.

Back2Basics: Day Ahead Market

A Day Ahead Market is a platform for trading electricity where delivery occurs within 24 hours from the following day’s midnight.
Electricity is traded in 15-minute time blocks, and prices are determined through auction bidding.
The auction process establishes prices and the quantum of electricity traded, ensuring transparency.