MCX Electricity Futures sees highest-ever turnover, all-time high OI

MCX Electricity Futures achieved a new record with its highest-ever single-day turnover of Rs 245 crore on September 4. The contract also saw an all-time high in Open Interest, indicating a significant increase in market participation and adoption.

MCX Electricity Futures recorded its highest-ever single-day turnover of Rs 245 crore, with a volume of 4.20 lakh MWh on September 4, marking a significant milestone since the inception of the contract.

Open Interest (OI) also touched an all-time high of 1.40 lakh MWh, reflecting growing market participation and increasing adoption of the contract.

Sustained Growth and Market Deepening

The contract has witnessed a sustained improvement in trading activity, with the Average Daily Volume (ADV) rising from 65,631 MWh in FY26 to 89,213 MWh in FY27 (till September 3, 2026), registering a growth of approximately 36 per cent.

Importantly, MCX Electricity Futures have witnessed active trading across all four expiry-month contracts, indicating broad-based participation across the contract curve.

The increase in open interest has been equally encouraging. Average Open Interest (AOI) increased from 52,548 MWh in FY26 to 76,357 MWh in FY27 (till September 3, 2026), a growth of approximately 45 per cent.

The sustained rise in OI points to increasing acceptance of Electricity Futures as an effective instrument for price-risk management within India's power market ecosystem.

Liquidity has also improved in the far-month contracts, with participation and volumes strengthening across the curve. This provides market participants with greater flexibility to manage electricity price exposure over a longer time horizon and supports deeper and more efficient price discovery.

Enhanced Price Discovery and Broader Participation

MCX Electricity Futures have also demonstrated a strong linkage with the underlying spot market, with futures prices moving in tandem with spot prices and reflecting prevailing electricity market fundamentals. This convergence highlights the contract's role in facilitating efficient price discovery and providing a credible, market-based reference for electricity prices.

The contract is also witnessing a broadening participant base, with increased participation from both financial market participants and Value Chain Participants (VCPs), including generators, distribution companies (discoms), and commercial and industrial consumers. The growing participation from these stakeholders underscores the increasing commercial relevance of Electricity Futures as the Indian power market evolves.

The latest milestones in turnover, volume and open interest underscore the growing depth and liquidity of MCX Electricity Futures and their emerging role in enabling market participants to manage price risk, improve price visibility and efficiently manage their electricity exposure. (ANI)

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