Tata Power Trading Company, an arm of Tata Power, proposes to increase marketshare to 15% at 3,000 million units in 2008-09 from 10% (1,700 MU) in 2007-08, JD Kulkarni, deputy general manager, said here on Wednesday.
Tata Power Trading ranks after PTC India, which enjoys 55% marketshare, and NTPC?s trading arm NTPC Vidyut Vyapar Nigam, with 25% marketshare.
Tata Power Trading has traded power at an average price of Rs 5 per unit last year while in this fiscal the average price will be around Rs 7 per unit. Kulkarni was speaking to FE on the sidelines of the conference on captive power organised by the Independent Power Producers Association of India and Wartsila.
Tata Power Trading, which is so far eyeing cross border trade with Nepal and Bhutan, plans to pursue opportunities in Bangladesh, Myanmar and Sri Lanka also.
The company, which is competing with other traders and also with Indian Energy Exchange and Power Exchange of India, is buying and selling power from various state utilities, captive power plants and independent power producers across all the regions in India by entering into long, medium and short term agreements
Besides electricity, Tata Power Trading also provides solutions for procurement / trading in other products such as coal and gas/LNG carbon credits.
The company facilitates the transaction by securing open access from Nodal Regional Load Despatch Centre (RLDC). During the period of transaction, the actual power flow is scheduled by Tata Power Trading a day ahead by matching the availability of power with suppliers and customers? requirement of power.
Tata Power Trading has developed a mechanism to ensure timely payment and complete payment security to suppliers. Commercial settlement is done by weekly and monthly bills based on regional energy account prepared by regional power committees. The variation in scheduled and actual power flow is settled by way of unscheduled interchange charges under the availability based tariff mechanism of the respective regional systems.