- Market coupling will end IEX’s 99.5% monopoly in the Day Ahead Market from January 2026
- Participants can place orders on any power exchange after market coupling is implemented
- Central Electricity Regulatory Commission will introduce a centralised algorithm for price discovery
Market coupling of power exchanges will go a long way in dismantling Indian Energy Exchange (IEX)'s monopoly and could pave the way for Hindustan Power Exchange to aspire for at least one-third market share, according to PTC India Chairman & Managing Director Manoj Jhawar.
Speaking to NDTV Profit, Jhawar shared how PTC India stands to benefit from the news of the Central Electricity Regulatory Commission (CERC) implementing market coupling for the Day Ahead Market (DAM) starting January 2026.
"Market coupling will allow participants to place orders on any exchange they choose," Jhawar told NDTV Profit. "Under earlier norms, only IEX provided liquidity and enjoyed 99.5% market share."
"With market coupling, all exchanges will have to compete in services," he added.
Market coupling is expected to eliminate individual power discovery from market exchanges, replacing it with a centralised algorithm.
This is a net negative for IEX, which enjoys a large share in the spot market and thrives on price discovery. But once market coupling kicks in, IEX may no longer enjoy that price discovery power.
As a result, smaller exchanges such as Hindustan Power Exchange, in which PTC India owns a 22.62% stake, could stand to benefit.
With market coupling just around the corner, PTC India is hopeful of gaining at least one-third of the market share through its subsidiary HPX.
"We will have an edge in gaining market share under new norms and will strive to achieve at least one-third of the market share," Jhawar said.
"The market continues to grow, which will allow other players to gain market share as well," he added.
Shares of PTC India closed 4.4% higher at Rs 198.60 per share. On the flip side, IEX shares have plummeted as much as 28%, hitting all-time lows, as investors continue to gauge the sheer impact of this move.
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