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CommodityWireMCX calls bids for liquidity enhancement in electricity futures contracts

MCX calls bids for liquidity enhancement in electricity futures contracts

This story was originally published at 11:23 IST on 18 December 2025
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Informist, Thursday, Dec. 18, 2025

 

MUMBAI – The Multi Commodity Exchange of India has invited expression of interest for liquidity enhancement scheme in its electricity futures contracts, it said in a notification. The scheme will come into force from Jan. 12, it said.

 

Electricity futures contracts were launched on the MCX trading platform on Jul. 10, along with the scheme to increase liquidity in these contracts. "The exchange proposes to continue Liquidity Enhancement Scheme and invites Expression of Interest (EOI) from eligible participants in accordance with the SEBI guidelines," the notification said.

 

The market makers, who will offer liquidity in these schemes, must have at least three years of experience in commodity, security or electricity markets, and must have a minimum net worth of INR 50 million. Besides, they should have a minimum manpower capability of at least 10 employees, which could also include those across group companies.

 

The designated market maker for the first month contract will have to provide two-way (buy and sell) continuous quotes on all trading days for near-month contracts; and such quotes for next month contracts during the last five trading days of near-month contracts. Similarly, the market maker for the second month contract will provide continuous quotes for that month and for the third month in the last five days of the second month contract.

 

The market maker for the near month will be eligible for a maximum incentive of INR 7 million per month (excluding GST) while the market maker for the second month will be eligible for a monthly incentive of INR 4 million per month (excluding GST), subject to all quoting conditions being met, it said.  

 

The exchange circular also spelt out other details of the scheme.  End

 

Reported by Abhijit Doshi

Edited by Avishek Dutta

 

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