From UPSC perspective, the following things are important :
Prelims level : Green Term Ahead Market (GTAM)
Mains level : Not Much
As a first step towards Greening the Indian short term power market, the Ministry of Power and New & Renewable Energy (MNRE) has launched pan-India Green Term Ahead Market (GTAM) in electricity.
- GTAM is an alternative new model introduced for selling off the power by the renewable developers in the open market without getting into long term PPAs.
- This would promote RE merchant capacity addition and help in achieving RE capacity addition targets of the country.
Benefits of GTAM
- It would lessen the burden on the RE-rich States and incentivize them to develop RE capacity beyond their own RPO.
- It will benefit buyers of RE through competitive prices and transparent and flexible procurement. It will also benefit RE sellers by providing access to the pan- India market
- Transactions through GTAM will be bilateral in nature with clear identification of corresponding buyers and sellers, there will not be any difficulty in accounting for RPO.
- GTAM contracts will be segregated into Solar RPO & Non-Solar RPO as RPO targets are also segregated.
- Further, within the two segments, GTAM contracts will have Green Intraday, Day Ahead Contingency, Daily and Weekly Contracts
- Green Intraday Contract & Day Ahead Contingency Contract – Bidding will take place on a 15-minute time-block wise MW basis.
- Daily & Weekly Contracts – Bidding will take place on an MWh basis.
- Price discovery will take place on a continuous basis i.e. price-time priority basis. Subsequently, looking at the market conditions open auction can be introduced for daily & weekly contracts.
- Energy scheduled through GTAM contract shall be considered as deemed RPO compliance of the buyer.