Power sector stocks surge after govt launches PUShP to ensure availability of power during peak demand season

10 Mar 2023 Evaluate

Adani Transmission is currently trading at Rs. 903.85, up by 43.00 points or 5.00% from its previous closing of Rs. 860.85 on the BSE.

NTPC is currently trading at Rs. 180.65, up by 1.20 points or 0.67% from its previous closing of Rs. 179.45 on the BSE.

NHPC is currently trading at Rs. 41.01, up by 0.22 points or 0.54% from its previous closing of Rs. 40.79 on the BSE.

Power Grid Corporation Of India is currently trading at Rs. 226.50, up by 0.65 points or 0.29 % from its previous closing of Rs. 225.85 on the BSE.

In order to ensure greater availability of power during the peak demand season, the Government has launched a High Price Day Ahead Market and Surplus Power Portal (PUShP). The surplus power portal is a one-of-its-kind initiative, reflecting the ingenuity of the Ministry of Power and the Regulator. 

Distribution Companies have tied up long term PPAs for power supply. They have to pay fixed charges even when they do not schedule the power.  Now the DISCOMs will be able to indicate their surplus power in block times / days / months on portal. Those DISCOMs who need power will be able to requisition the surplus power.

The new buyer will pay both variable charge (VC) and fixed cost (FC) as determined by Regulators. Once power is reassigned, the original beneficiary shall have no right to recall as entire FC liability is also shifted to the new beneficiary. Financial liability of new buyer shall be limited to quantum of temporary allocated / transferred power.  This will reduce the fixed cost burden on the DISCOMs, and will also enable all the available generation capacity to be utilized.

Adani Energy Solut. Share Price

771.65 3.90 (0.51%)
23-Dec-2024 12:27 View Price Chart
Peers
Company Name CMP
NTPC 334.65
Tata Power 400.30
Power Grid Corp 313.85
Adani Power 502.60
Torrent Power 1501.90
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