Manikaran Power becomes the first member of India's gas trading platform

IGX commenced its membership drive in February this year. MPL which is already trading member in IEX, is the first to join hands with IGX
The gas trading platform of Indian Energy Exchange (IEX) has found its first member in Manikaran Power Ltd (MPL). Called the Indian Gas Exchange (IGX), it will be India’s first gas trading platform.

IGX would offer spot and forward contracts at Dahej, Hazira and Kakinada. While Petronet LNG Ltd (PLL) operates a LNG terminal at Dahej, Shell operates another one at Hazira. Kakinada is the landfall point for natural gas being produced from the Krishna Godavari basin.

IGX commenced its membership drive in February this year. MPL which is already trading member in IEX, is the first to join hands with IGX.

MPL is an inter-state trading licensee and a trading member on IEX and trading cum clearing member on Power Exchange India Limited (PXIL). It was founded in 2008 by Navjeet Singh Kalsi and Jaspreet Singh Kalsi. The company has its headquarters in Kolkata and offices sprawled across Delhi, Mumbai, Bangalore, Hyderabad, Chennai, Vadodara and Ahmedabad.

MPL provides electronic platform for trading of power at IEX and PXIL, documentation and assistance in bilateral trading of power, REC trading and group captive. Its website states that it has close to 2,000 clients in both power trading and RECs.

“In the past few years, India’s energy mix is shifting towards clean, green and sustainable energy which is indeed an imperative not only from an economic perspective but also from long-term energy security consideration. At MPL, we commend the move to build a gas exchange by IEX. Having been a major contributor to IEX’s platform for over more than a decade, we are confident that the IGX will also be equally a transformational platform,” said Navjeet Kalsi, managing director, MPL.

IEX, which has 90 per cent share in day ahead power trading, is planning an initial investment of Rs 10 crore for IGX over the next five years. Senior executives said this was planned keeping in mind the growth potential of the gas market. “Gas market in India is poised for a break out growth of 2.5X, from 166 to 380 MMSCMD by 2030. With conducive policies, the share of natural gas in India’s energy basket could double to 15 per cent,” said an investors’ presentation by the company.

“The Exchange will steadily accelerate India move towards a gas-based economy.  Manikaran coming on board early on the platform underpins the trust and credibility of our members on us and we look forward to welcoming other members to IGX,” said Rajesh Kumar Mediratta, Director-Strategy and Regulatory IEX and Director, IGX

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