NSE may waive fee on electricity futures trade

Mumbai: The National Stock Exchange (NSE) plans to waive off transaction charges on trading of electricity futures contracts for the first six months after launch, in a move aimed at encouraging participation in the new segment, said people familiar with the matter. The bourse said it will introduce monthly electricity derivatives contracts in the next few weeks.

The waiver applies at the exchange level. This means no transaction fees will be charged by NSE to the trading members for electricity futures trades until December 31, 2025, the people said.

"How this is passed on to the end client (trader/investor) depends on each broker's pricing model, but the waiver applies uniformly across all participants (brokers, corporates, traders, and institutions)," said a person aware of the development.


Currently, other ex+changes are charging ₹170-200 for ₹1 crore worth of transaction, the person said. The monthly electricity contracts will be cash settled futures where no physical power is delivered, as per the exchange's FAQ.