Indian Energy Exchange (IEX)

Don’t know how to read this, positive or negative. I don’t think there are any promoters’ group for IEX so don’t quite get “other than the promoters, the promoter group”.
With close to 62% Public holding (553,037,635 shares) and at average of say Rs. 160, 6125000 shares maximum can be bought back that is 1.1% from public.

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In-principle approval for the formation of a wholly-owned subsidiary company in India to explore the business opportunities in Carbon Market. :star_struck:
@Tar had released an article on carbon markets/trading. Do read that for more understanding on the size of opportunity.

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Trying to create thumb rules here for lead indicators showing likely volume picking up… does daily average price <= 3 sound reasonable here?

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This could be potential game changer for IEX

Can you share the link for article please

It appears the IEX management is dynamic. Entering in to carbon exchanges is need of the hour.
Carbon trading is a growing market. As per an article below, the market for carbon credits increased by 164% globally in 2021. It is anticipated to reach $100 billion by 2030

There are 80 nations who have signed Kyoto protocol 1997 for reducing carbon emissions of which India is also a signatory. The resolution was reaffirmed once again in Paris agreement in 2015 by all member nations. The protocol calls for carbon reduction and allows carbon trading among member nations.

Currently there are 6 exchanges existing else where in the world …but this is going to be the first one to be set up by IEX in India. international Trading among nations are also permitted as per Kyoto protocol.

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Hi @stockhurts9, please find the link below:

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Govt. policies have been impacting IEX volumes and thereby its profits. A few years back when energy prices were on a downward trend, govt wanted SEBs to forgo PPAs and
embrace power trading to take advantage of lower prices where the surplus power was offered. This led to a surge in volumes on IEX and optimism for future growth.

Post covid with rise in power consumption and then with Ukraine war, the surplus power situation changed along with hefty price rise. Govt stance has changed now. Even though PPAs have been discontinued, govt has been encouraging long term power purchase tieups via various initiatives. This ensures that SEBs continue to get power at a fixed price and there is a predictability in both costs and availability. This would mean that trading of surplus power on IEX will go down. As long as energy costs remain elevated, SEBs would prefer to have long term stability and avoid being exposed to volatility. The volumes on exchanges will reduce to take care of peak time surge usage rather than regular power needs.

Disc: have a small position

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us-the-imperative-for-carbon-management.pdf (2.4 MB)

I doubt anything changes for IEX in short to medium time frame due to the Carbon Energy Exchange. Not taking away anything from management, in my view such new initiatives take time to materalize and meaningfully contribute to bottom line.

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