Shares of Indian Energy Exchange (IEX) came under pressure on Monday, January 19, after the Union Power Minister clarified that there has been no change in the government’s stance on market coupling. The stock remained in focus as the Electricity Appellate Tribunal (APTEL) is scheduled to hear a key matter related to market coupling later today.
The hearing pertains to IEX’s petition seeking the withdrawal of the July 2025 directive issued by the Central Electricity Regulatory Commission (CERC) on the implementation of market coupling in the day-ahead market (DAM).
Why IEX shares slipped today
The weakness in IEX shares followed comments from the Union Power Minister, who stated that the government’s position on market coupling remains unchanged. This dampened near-term sentiment, even as investors awaited clarity from the APTEL hearing scheduled for today.
What happened in earlier hearings
In the previous hearing, APTEL had asked CERC to clarify whether it intended to withdraw its July 2025 directive. However, no final decision was taken at that stage.
Ahead of today’s hearing, CERC issued a circular stating that its July 2025 communication should be treated as a “direction” and not an “order.” This distinction became a key point of contention in the ongoing proceedings.
IEX’s arguments before APTEL
IEX has argued that CERC’s directive is arbitrary and violates the principles of natural justice. The exchange has maintained that market coupling would not deliver tangible benefits and could instead result in a loss of market share for IEX.
Earlier, on January 6, CERC’s counsel had informed APTEL that the regulator was willing to withdraw the July 2025 order in line with the tribunal’s observations. Following this, both parties sought additional time, leading APTEL to first schedule the next hearing for January 9. The tribunal had also noted that if CERC formally expressed its intent to withdraw the directive, the matter could be concluded.
SEBI report and insider trading allegations
During a hearing on November 28, IEX also referred to a report by the Securities and Exchange Board of India (SEBI), which alleged that certain CERC officials were involved in insider trading and made illegal profits of ₹173 crore.
IEX told the tribunal that the market coupling directive — which led to a 29% fall in its share price in a single session — was part of an alleged insider trading conspiracy. The exchange claimed the directive was tainted and argued that the market regulator had identified the author of the market coupling proposal.
With the APTEL hearing scheduled for later today, developments in the case are expected to keep Indian Energy Exchange shares firmly in focus.