MCX Launches Electricity Derivatives, Marking Energy Market Milestone
ECONOMY & POLICY

MCX Launches Electricity Derivatives, Marking Energy Market Milestone

The Multi Commodity Exchange of India (MCX), India’s leading Commodity Derivatives Exchange, has received approval from the Securities and Exchange Board of India (SEBI) to launch Electricity Derivatives, marking a significant milestone in the evolution of India’s Energy trading landscape.

This development underscores the strong commitment and support of the Regulators - SEBI and Central Electricity Regulatory Commission (CERC) - in enabling a dynamic and sustainable power market.

The Electricity Derivatives Contracts to be introduced by MCX will enable generators, distribution companies, and large consumers to hedge against price volatility and manage price risks more effectively, by enhancing efficiency in the power market.

This landmark move positions MCX as a torchbearer of innovation in commodity trading, while reinforcing India’s ambition towards sustainable energy and capital market development. It also marks a pivotal step toward deepening India’s energy markets and aligns with the broader vision of ‘Viksit Bharat’.

Speaking on the development, Praveena Rai, MD & CEO, MCX, said, “The introduction of electricity derivatives marks a pivotal development in India’s commodities ecosystem. These contracts will offer participants a reliable, transparent, and regulated platform to manage power price risks, which are becoming more dynamic due to renewables and market-based reforms. With India’s growing focus on renewable energy and open access power markets, electricity derivatives can serve as a vital bridge between the physical and financial sectors."


The Multi Commodity Exchange of India (MCX), India’s leading Commodity Derivatives Exchange, has received approval from the Securities and Exchange Board of India (SEBI) to launch Electricity Derivatives, marking a significant milestone in the evolution of India’s Energy trading landscape.This development underscores the strong commitment and support of the Regulators - SEBI and Central Electricity Regulatory Commission (CERC) - in enabling a dynamic and sustainable power market.The Electricity Derivatives Contracts to be introduced by MCX will enable generators, distribution companies, and large consumers to hedge against price volatility and manage price risks more effectively, by enhancing efficiency in the power market.This landmark move positions MCX as a torchbearer of innovation in commodity trading, while reinforcing India’s ambition towards sustainable energy and capital market development. It also marks a pivotal step toward deepening India’s energy markets and aligns with the broader vision of ‘Viksit Bharat’.Speaking on the development, Praveena Rai, MD & CEO, MCX, said, “The introduction of electricity derivatives marks a pivotal development in India’s commodities ecosystem. These contracts will offer participants a reliable, transparent, and regulated platform to manage power price risks, which are becoming more dynamic due to renewables and market-based reforms. With India’s growing focus on renewable energy and open access power markets, electricity derivatives can serve as a vital bridge between the physical and financial sectors.

Next Story
Real Estate

Vikas Jain named President of NAREDCO Maharashtra NextGen

Vikas Jain, CEO of Labdhi Lifestyle, has been appointed President of NAREDCO Maharashtra NextGen, succeeding Ridham Gada, who now serves as Vice-Chairman. Jain, a first-generation developer and turnaround specialist, aims to steer the youth wing of NAREDCO Maharashtra through a finance-driven and tech-enabled growth phase. Under his leadership, the association will prioritise project financing, RERA compliance, technology adoption, and future-ready leadership. “It is an honour to lead NAREDCO Maharashtra NextGen. This platform empowers the next generation of real estate leaders,” Jain sai..

Next Story
Infrastructure Energy

TP Solar Crosses 4 GW Solar Output at Tamil Nadu Plant

TP Solar Limited, a wholly owned subsidiary of Tata Power Renewable Energy Limited (TPREL) and the manufacturing division of Tata Power, has announced a major production milestone—crossing 4 GW of solar module output at its advanced facility in Tamil Nadu.As of 31 May 2025, the plant has cumulatively manufactured 4.049 GW of solar modules and 1.441 GW of solar cells. This milestone underscores the company’s growing role in supporting India’s clean energy transition and self-reliance in renewable energy manufacturing.Looking ahead, TP Solar is targeting 3.7 GW of solar cell output and 3.7..

Next Story
Infrastructure Urban

Aayush Art and Bullion Reports 1000 per cent Rise in FY25 Revenue

Aayush Art and Bullion Ltd (BSE: 540718), formerly AKM Creations Ltd, has announced its audited standalone financial results for H2 and the full financial year ending 31 March 2025, showcasing a sharp surge in both revenue and profitability. The company attributes this stellar performance to robust demand across its key verticals and strategic execution initiatives.For FY25, the company reported revenue of Rs 737.7 million, marking a 1,000 per cent year-on-year increase compared to Rs 73.3 million in FY24. Net profit for FY25 stood at Rs 18.1 million, a jump of 696 per cent over the Rs 2.6 mil..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?