Southern African Power Pool Promoting a Regional Competitive Electricity Market 1 SAPP MARKET MONTHLY PERFORMANCE REPORT October 2017 October 2017 Highlights (In comparison to September 2017) Total turnover (all markets) +$2,539,453.44 / +24.6% Traded Volumes(All markets) +42,447.40 MWh / +20.9% DAM Traded Volumes +24,593.50 MWh / +15.4% FPM Monthly traded Volumes +300 MWh / +4.3% FPM Weekly traded Volumes +6,822.9 MWh / +49.7% IDM Traded Volumes +10,731 MWh / +47.7% CONTENTS October 2017 Highlights... 1 (In comparison to September 2017)... 1 Participation Levels... 1 Market Performance... 1 Forward Physical Market Monthly (FPM-M)... 2 Forward Physical Market Weekly (FPM-W)... 2 Day Ahead Market (DAM)... 2 Intra-day market (IDM)... 3 Impact of Transmission Constrains... 3 Market Clearing Prices... 4 Revenue Performances... 5 Market Performance October 2017 recorded the highest trades so far in a single month on the competitive markets. Total traded volumes on the Day Ahead market (DAM), intra-day market (IDM), Forward Physical Market Monthly (FPM-M) and Forward Physical Market Weekly (FPM-W) increased by 20.9% to 245,163.30 MWh in the month of October 2017, from the September 2017 volume of 202,715.90MWh. Below is the overview of volumes traded in DAM, IDM, FPM-M and FPM-W for the month of October Fig 1.1: Traded Volumes in MWh in DAM, IDM, FPM- W and FPM-M for the month of October Fig 1.2: Total Monthly Traded Volumes in MWh in DAM, IDM, FPM-W and FPM-M (April 2017 to October 2017) Participation Levels There were ten (10) active portfolios from eight (8) members in DAM during the month of October In September 2017, there were eleven (11) active portfolios from nine (9) members.
2 Forward Physical Market Monthly (FPM-M) Total traded volumes on the FPM-M in October 2017 was 7,280MWh. This figure represents an increase of 4.3% or 300MWh from the September 2017 traded volumes of 6,980Wh. The total energy that was matched in the month of October 2017 in the FPM-M increased by 4.3% or 300MWh to 7,280 MWh from the September 2017 matched volume of 6,980MWh. Fig 2.1: FPM Monthly Market: Daily Traded Volumes for October 2017 (MWh) Forward Physical Market Weekly (FPM-W) The total energy traded in FPM-W increased by 47.7% or 6,822.90MWh to 20,550.4MWh in October 2017 when compared to September 2017 figure of 13,727.5MWh. The total volume matched in the FPM-W market increased by 6,822.9MWh or 49.7% to 20,550.4 MWh in October 2017 from 13,727.50 MWh recorded in September Day Ahead Market (DAM) A total of 184,082.9MWh was traded in the DAM trading platform in October 2017, registering a 15.4% increase in traded volumes when compared to the September 2017 figure of 159,489.4MWh. There were more sale offers than buy bids received in October 2017 in the DAM trading platform. A total of 816,941MWh Sale offers and a total of 307,708 MWh Buy bids were received in October There was an increase of 119,091MWh or 17.1% in sale offers received in October 2017 when compared to September 2017 figure of 697,850 MWh. There was an increase of 51,206 MWh or 20% in buy bids received in October 2017 when compared to September 2017 figure of 256,502MWh. There was matching of bids in DAM for 31 days and 744hours or 100% of the time during the month of October Trading also occurred for 31 days and 744 hours. In comparison to September 2017 where matching occurred for 30 days and 715 hours or 99.31% with trading occurring for 30 days and 715 hours or 99.31% of the time. Fig 4.1: Traded volumes in DAM by time of use for October 2017 Fig 3.1: FPM Weekly Market: Traded Volumes (April 2017 to October 2017) 50.2% of the energy traded in DAM in October 2017 was during the Off Peak period whilst the remainder was for the Peak (11.1%) and Standard (38.7%) periods.
3 Fig 4.2: Total volumes traded in DAM (MWh) from April 2017 to October 2017 matched energy in DAM having been traded compared to September 2017 where 99.4% of the energy that was matched in DAM was traded. In October 2017, 185,030.1 MWh was matched in DAM and 184,082.9 MWh was traded. In September 2017 on the other hand, 160,511.3MWh was matched on the DAM trading platform and 159,489.4 MWh was traded. Fig 5.1: Impact of Transmission Constraints on DAM Trading for the month of October Intra-day market (IDM) Trade in the IDM market was higher in October 2017 at 33,250 MWh when compared to September 2017 figure of 22,519 MWh, which is an increase of 10,731MWh or 47.7%. Buy bids in IDM increased by 48% or 36,024MWh from 75,095 MWh in September 2017 to 111,119 MWh in October Sale offers also increased by 19.7% from 33,536 MWh in September 2017 to 40,134 MWh in October Fig 5.2: Energy matched and energy traded in DAM Trading platform for the month of October Fig 5.1: IDM Traded Volumes from April 2017 to October 2017 (MWh) Impact of Transmission Constrains There was generally a slight improvement on transmission capacity for the competitive market in the month of October 2017, with 99.5% of the As shown above, there was an insignificant difference between matched and traded volumes during most of the days of the month of October 2017 signifying an improvement in transmission constraints for the competitive market. 100% of the energy that was matched in the FPM- M for the month of October 2017 was traded. 7,280MWh was matched in the month of October
4 Fig 5.3: Energy Matched and Energy Traded in FPM- M Trading platform for the month of October Fig 6.1: FPM-M prices by time of use for the month of October Fig 5.4: Energy Matched and energy traded in FPM Weekly Trading platform for the month of October Market Clearing Prices The average price for the Peak period was lower by 9.1% at 8.88USc/KWh in October 2017 from the September average peak price of 9.772USc/KWh. Standard period average prices increased from the September 2017 average prices of 5.882USc/KWh to 5.903USc/KWh in October The average Off Peak price decreased by 2.1% from 2.788USc/KWh in September 2017 to 2.73USc/KWh in October Fig 6.2: FPM-W average prices by time of use for the month of October Non off-peak prices decreased by 3.6% from 6.282USc/KWh in September 2017 to 6.053USc/KWh in October Off Peak prices decreased by 5.9% from 3.095USc/KWh in September 2017 to 2.912USc/KWh in October The monthly average Day Ahead market clearing price (MCP) was slightly lower during the month of October 2017 at 4.82USc/KWh when compared to the 4.871USc/KWh recorded in September
5 Fig 6.4 Daily Average MCP prices April 2017 to October Fig 6.6 IDM Average Spot Prices from April 2017 to October Fig 6.5 Daily Average MCP prices April 2017 to October Revenue Performances A total of USD12,853,812.89 was exchanged on the DAM, IDM, FPM-W and FPM-M markets during the month of October 2017 when compared to a total of USD10,314,359.45 exchanged in September The increase is mainly attributed to increase in traded volumes. The average peak spot price for the IDM market for the month of October 2017 increased to 7.428 USc/KWh from the September average figure of 7.341 USc/KWh. The average standard price also increased from 5.508 USc/KWh in September to 5.830 USc/KWh in October The average off peak price however declined from 2.998 USc/KWh in September to 2.749 USc/KWh in October