Shares of Indian Energy Exchange continued to trade higher on Friday, January 9, extending the sharp gains seen earlier this week. The stock was trading at Rs 152.46, up 1.58%, at 9:17 am IST on the National Stock Exchange.
The move comes a day after Indian Energy Exchange shares had rallied sharply, gaining as much as 13% on Tuesday, January 6, following developments in the ongoing legal proceedings related to market coupling regulations.
What triggered the earlier rally
During a hearing before the Electricity Appellate Tribunal (APTEL), counsel representing the Central Electricity Regulatory Commission (CERC) informed the tribunal that the regulator was prepared to take instructions from APTEL regarding the withdrawal of its July 23, 2025 market coupling order. The July order had earlier triggered a sharp sell-off in IEX shares, with the stock falling nearly 30% in a single trading session.
The counsels sought additional time, following which APTEL scheduled January 9 as the next date of hearing. The tribunal indicated that if CERC formally informs it about the potential withdrawal of the July 2025 order, the case could be closed on Friday itself.
Tribunal observations and next steps
During the proceedings, CERC told APTEL that it would need to consult internally and seek instructions on the withdrawal of the order. The regulator stated that it intends to make the market coupling framework more consultative, fair, and transparent, and would place the matter before CERC members before taking a final call.
APTEL, in its observations, expressed concerns over the manner in which the coupling regulations were introduced. The tribunal said it expects the regulator to remain independent and above suspicion, and noted that if anything improper is found, it would consider taking action to prevent a recurrence.
Indian Energy Exchange, during the hearing, submitted that even without findings from the Securities and Exchange Board of India on insider trading, the market coupling order issued by CERC was flawed and should be set aside.
The stock remained in focus on Friday as investors tracked developments from the January 9 APTEL hearing, with the outcome expected to provide further clarity on the regulatory framework impacting power exchanges.
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