Developing Power Markets - Development of Market Place for meeting the demand - Case India, in transition from regulated to competitive structure

摘要

Indian power market players are exposed to a combination of price risk and quantity risk while participating in the power market. Such a unique situation does not arise in most of the developed nations which have fully gone down the path of liberalization and have opened up of their power markets.The installed generation capacity of Indian Power sector is more than 150,000 MW which is one of the highest in the world. Till as recently as the 1990s, the Indian Power sector did not have a competitive power market and was a highly regulated sector. However, the last decade has been a decade of development; a decade that witnessed many initiatives in framing and implementation of policies and regulations including, the Electricity Act 2003, National Electricity Policy, Integrated Energy Policy, National Tariff Policy, Power Market Regulation etc.This paper provides an overview of the actions taken by Indian Policy makers and regulators towards development of a sustainable power market in India. The readers of this paper would understand the chronological development of Indian Power Market and the way forward.