New electricity market continues to grow

Average daily sales on DAM increased in December by 3.7%

The average daily purchase and sale of electricity on the day-ahead market (DAM) increased in December 2019 by 3.7% compared to the previous month and amounted to 143 GWh, according to the state Market Operator.

On the other hand, due to the larger number of days in December compared to November, the total volume of purchase and sale of electricity on the day-ahead market (DAM) increased by 7.2% compared to the previous month and amounted to 4,434.4 GWh.

This figure consists of two parts: the volume of purchase and sale on DAM in the IPS of Ukraine, which in December amounted to 4,086.6 GWh (+ 9.9% compared to November), and the volume of purchase and sale on Burshtyn TPP energy island of, which decreased in December by 16.8%, to 347.7 GWh. The decrease in sales on Burshtyn TPP energy island occurred due to a decrease in production at this station, which switched to lower production volumes at the end of the year due to the receipt of cheap imported electricity.

In turn, the volume of purchase and sale of electricity on the intraday market (IDM) in December almost halved, by 48.9% compared to November, to 103.4 GWh and returned to the level of October.

In December, 338 active participants took part in the work of both market segments, while in November there were 330 companies and 321 companies participated in October.

According to the results of the last month of the last year, the weighted average price on DAM decreased by 9.4% compared to November prices, to 1239.05 UAH/MWh. In total for two months, November and December, and under the pressure of cheap imported electricity from Russia and Belarus, DAM prices fell by 20.7%.

At the same time, the average price on the intraday market almost did not change in December compared to the average weighted price in November (decreasing only by 0.04%), remaining at the level of 1,259.54 UAH/MWh. At the same time, IDM prices in November fell by 25.9%.

The total cost of purchased-sold electricity on DAM amounted to UAH 6 593.3 million, 2.9% less than in November. The cost of purchased-sold electricity on IDM in the trading zones amounted to: the IPS of Ukraine – UAH 5,923.0 million (+ 0.5%); Burshtyn TPP island – UAH 670.2 million (- 25.3%).

According to Market Operator, the largest share of electricity sold on DAM owned by Guaranteed Buyer in the power system as a whole decreased significantly: to 36.62% from 50.62% in November. For comparison, in October this figure was 37.19%.

Tags: NPP, electricity, energy market, electricity market, Market operator, Guaranteed buyer, DAM, volumes

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