Torrent Power on Tuesday said it has secured a contract from the Maharashtra Government to supply 2,000 megawatt energy storage capacity from its upcoming plant in the state
 

New Delhi: Torrent Power on Tuesday said it has secured a contract from the Maharashtra government to supply 2,000 megawatt energy storage capacity from its upcoming plant in the state.

In a statement, Torrent Power said it has received the order for an additional 500 MW capacity supply in addition to 1,500 MW awarded last month, taking the total supply order to 2,000 MW capacity.

"...received letter of award from Maharashtra State Electricity Distribution Company Limited (MSEDCL) for long-term supply of 2,000 Megawatt (MW) Energy Storage Capacity from InSTS connected pumped hydro storage plant," the company said.

MSEDCL will procure energy storage capacity from Torrent Power's InSTS (intra state transmission) connected pumped hydro storage for a period of 40 years.

RE-Invest: Torrent Power commits Rs 64,000 crore investment for RE projects

The company plans to supply the storage capacity from its upcoming storage plant in Maharashtra.

Torrent Power said it has also identified Pumped Storage Project (PSP) sites in several other states. The company has earlier announced its intentions to install about 5 to 8 GW of PSP capacity entailing an investment of Rs 25,000 to Rs 35,000 crore.

Torrent Power, one of the largest integrated power utilities in the country, has presence across power generation, transmission and distribution.

In September, IGX traded ~3.1 million MMBtu (~77 MMSCM) in gas volume, which was 34 percent lower on month-on-month basis
New Delhi: As demand from the power sector slowed down, gas volumes traded on the Indian Gas Exchange (IGX) went down by 34 percent in September on month-on-month basis. In September, IGX traded ~3.1 million MMBtu (~77 MMSCM) in gas volume. The all-India Plant Load Factor (PLF) of gas-based power stations stood at 14.01 percent in September as power demand scenario eased with extended monsoons across several parts of the country.
 

“A total of 157 trades were executed in September’24. The most active delivery point for free market gas was Dahej and Gadimoga for Ceiling Price gas, other trading delivery points were- Mhaskal, KG Basin, Ankot, & Bokaro. Around 33 percent of the total volume was traded at Dahej delivery. GIXI – Dahej (Sep-24) was Rs 1,139 or USD13.6 / MMBtu higher by 7 percent MoM. WIM-Ex Dahej settled price for Sep-24 was also at similar level i.e. - USD13.5/MMBtu,” said a statement issued by IGX.

GIXI for Sept was 8% higher at USD13.7 per MMBtu: IGX

GIXI for September 2024 was Rs 1,147/USD13.7 per MMBtu, higher by 8 percent last month. GIXI- South was Rs 1,049/USD12.5 per MMBtu and GIXI-West Rs 1,151/USD13.7 per MMBtu. Different spot international gas benchmark prices recorded were (monthly average): HH at ~USD2.37/MMBtu (up by 13percent MoM), TTF at ~USD11.4 /MMBtu (down by 4percent MoM), whereas LNG benchmark indices were: WIM – Ex Dahej ~14.4 USD/MMBtu (down by 3 percent MoM).

1.73 million mmBtu of free market category gas traded on IGX in Sept

Around 1.73 Million MMBtu of free market category gas was traded during the month and about 1.4 million MMBTU domestic ceiling price gas was traded at ceiling price (Rs 828 or USD9.87/MMBtu) at KG Basin and Gadimoga delivery points. And about 0.15 million MMBtu domestic gas with complete pricing freedom was traded at Bokaro & KG Basin delivery points.
 

During the month, the exchange traded gas deliveries were 6.6 million MMBtu (~5.5 MMSCMD). The month witnessed first trade at Bokaro delivery point, at ONGC’s CBM gas-producing field connected to GAIL’s JHBDPL network in Jharkhand.

In Q2 of FY25, IGX’s total trade volume increased by 0.5 percent quarter-on-quarter to 11.8 million MMBtu. IGX currently offer trades at 15 delivery points. Out of which, four are LNG terminals, three are Pipeline Interconnection Points and eight are domestic gas field land fall points and offers delivery-based trade in six different contracts such as Day-Ahead, Daily, Weekday, Weekly, Fortnightly and Monthly, under which the trade can be executed for twelve consecutive months. During the month, 84 trades (maximum number) were executed in Daily, followed by 33 trades in Day-Ahead, 15 trades in Weekly, 13 trades in Fortnightly and 12 trades in Monthly contract, respectively.

Total quality management practices have helped improve electricity supply reliability by about 70 percent in the past five years, says Tata Power DDL
New Delhi: Tata Power Delhi Distribution Ltd on Tuesday said its total quality management practices (TQM) has helped it improve electricity supply reliability by about 70 percent in the past five years. TQM practices also played an important role in reducing aggregate technical and commercial losses (AT&C) of Tata Power Delhi Distribution (Tata Power DDL) by 30 percent in the past five years to 5.9 percent as of March 2024, a company statement said.
 

According to the statement the sharp improvement in supply reliability is playing a crucial role in ensuring a quality power supply with minimum unscheduled outages and voltage fluctuations.

The company adopted the TQM philosophy in 2018, aimed at improving quality and customer satisfaction.
 

At the time of privatisation, in July 2002, the AT&C losses, which include technical losses as well as losses on account of theft, billing inefficiency, payment default and collection inefficiency, stood at 53 percent, as per the statement.

The efforts have helped Tata Power-DDL bag the 'Deming Prize', which is one of the highest recognitions in the world.

Tata Power DDL CEO Gajanan S Kale said, "The Deming Prize underscores a culture of continuous improvement, enhancing operational efficiency and customer satisfaction. Winning this inspires us to continue leading the power distribution industry worldwide, focusing on quality and customer satisfaction."

Tata Power DDL supplies electricity to 7 million populace in North Delhi and a subsidiary of Tata Power.

The Public Enterprises Selection Board (PESB) has recommended Sanjay Kumar Jha for the prestigious position of Director (Technical) at Mahanadi Coalfields Limited (MCL), a leading Public Sector Undertaking (PSU) under the Ministry of Coal. The recommendation was made on Tuesday during the PESB panel’s selection process. This recommendation positions Jha for a highly influential role within MCL, a subsidiary of Coal India Limited (CIL), and one of India’s largest coal producers.

Currently, Sanjay Kumar Jha serves as the General Manager at MCL, where he has demonstrated significant leadership and technical expertise in coal mining operations. His career at MCL has been marked by a strong focus on operational efficiency, safety standards, and environmental sustainability in coal production.

Jha’s recommendation followed an extensive selection process conducted by the PESB Panel, which interviewed 11 highly qualified candidates. The interview process, held on October 8, was competitive, drawing applicants from a range of coal and energy organizations. Among the 11 candidates, there were two contenders from MCL, alongside two candidates from Eastern Coalfields Limited (ECL), two from Central Coalfields Limited (CCL), and two from NLC India Limited. Additionally, the panel interviewed representatives from Northern Coalfields Limited (NCL), Coal India Limited (CIL), and NTPC Limited.

The selection of Jha for the role of Director (Technical) underscores his vast technical knowledge, leadership skills, and deep understanding of the coal sector. As Director (Technical), Jha will be responsible for overseeing MCL’s technical operations, ensuring the implementation of modern technologies in mining processes, and enhancing the company’s production capabilities. His role will also focus on improving operational efficiency, fostering innovation, and ensuring sustainable practices are embedded in the company's technical strategy.

This appointment comes at a crucial time for MCL as the company seeks to boost coal production to meet India’s growing energy demands. The coal industry is vital to India's energy security, and MCL, being one of the largest coal-producing subsidiaries of Coal India Limited, plays a significant role in supporting the country's power generation. Jha’s experience and expertise will be pivotal in driving the company’s technical agenda forward, ensuring that MCL remains a key player in India’s energy landscape.

Jha’s appointment will also focus on integrating new technologies in coal extraction and handling, particularly as the company seeks to embrace automation, digitalization, and sustainability in its operations. MCL’s technical wing will be required to adopt more eco-friendly methods, reduce the environmental impact of mining, and improve coal beneficiation processes under his leadership.

Furthermore, the PESB panel's decision highlights Jha’s capability to handle complex technical challenges and implement reforms in coal production. His deep-rooted knowledge of mining operations, project management, and safety standards will significantly contribute to MCL’s ongoing success.

This selection process is also a testament to the Government of India’s commitment to enhancing leadership in its PSUs by selecting top talent for key roles. The PESB’s transparent and rigorous selection method ensures that only the best candidates rise to these critical positions, ensuring that PSUs like MCL continue to drive growth in strategic sectors.

As Director (Technical), Jha will be expected to collaborate with various stakeholders, including government bodies, industry experts, and environmental agencies, to ensure that MCL’s operations align with national goals for sustainable and efficient coal production. He will also be tasked with improving the working conditions in mines, upgrading safety protocols, and ensuring compliance with environmental regulations.

With his extensive background in the coal industry and proven leadership capabilities, Sanjay Kumar Jha is poised to lead MCL’s technical division toward a brighter future, ensuring that the company continues to meet the demands of India's burgeoning energy needs while also addressing environmental and social responsibilities.

The country’s growth rate is expected to decline to 4.3% next year, down from an estimated 4.8% in 2024, according to the World Bank’s latest economic outlook.

The World Bank has warned that China’s economic growth will slow further in 2025, despite recent stimulus efforts aimed at boosting the economy. The country’s growth rate is expected to decline to 4.3% next year, down from an estimated 4.8% in 2024, according to the World Bank’s latest economic outlook.

Impact on Regional Economies

The slowdown in China’s economy will also affect neighbouring countries. Growth in East Asia and the Pacific, including Indonesia, Australia, and South Korea, is forecast to fall to 4.4% in 2025, from around 4.8% this year. For decades, China’s rapid expansion has had a positive impact on its neighbours, but this influence is now waning.

Recent fiscal measures, such as interest rate cuts, may offer a short-term boost to China’s economy. However, the World Bank stressed that long-term growth will depend on deeper structural reforms. China’s government set a growth target of around 5% for 2023, but that goal has become harder to achieve due to weak consumer demand and ongoing challenges in the property market.
 

Shifting global trade and investment patterns, along with rising policy uncertainty, could further strain the East Asia and Pacific region. US-China trade tensions have created new opportunities for countries like Vietnam, but stringent rules on imports and exports limit their potential.

The World Bank also highlighted how emerging technologies, including artificial intelligence and industrial robots, are reshaping labour markets. While AI threatens fewer jobs in the region compared to advanced economies, it also means these nations may struggle to fully harness the productivity benefits offered by such technologies.

Indian Air Force used a Rafale fighter jet to shoot down a Chinese spy balloon type target over the area of responsibility of the Eastern Air Command a few months ago.
 

New Delhi: The Indian Air Force proved its capability to strike down Chinese spy balloon type targets at a very high altitude of 55,000 plus feet along the eastern front recently.

In early 2023, the US government had used a fifth generation F-22 Raptor fighter jet to shoot down a Chinese spy balloon over the sea.

The IAF had been holding discussions on the issue of tackling the challenge posed by such balloons which fly at very altitude and also held discussions with the American Air Force last year

Defence sources told ANI that the Indian Air Force used a Rafale fighter jet to shoot down a Chinese spy balloon type target over the area of responsibility of the Eastern Air Command a few months ago.

The force used a relatively smaller balloon in size than the Chinese spy balloon which was shot down by the US Air Force.

The balloon was released in air with some payload tied to it and it was then shot down using an inventory missile at an altitude of over 55,000 feet, they said.

The capability was proven by the Indian Air Force when present chief Air Chief Marshal AP Singh was in-charge of overall operations as Vice Chief of Air Staff and present Vice Chief Air Marshal SP Dharkar was the Eastern Air Commander. The then Director General Air Operations Air Marshal Surat Singh is now the Eastern Air Commander.

In early 2023, the US Air Force F-22 shot down a Chinese spy balloon off the coast of South Carolina that traversed across North America for several days. There were at least two other instances within a week after that.

Similar balloon had been sighted over the Andaman and Nicobar Islands territory in India and it is believed that the balloons are used for carrying out surveillance over a large area.

However, no action was taken against it in the three to four days it was sighted after which it drifted away.

It was also believed that the Chinese spy balloons have some kind of steering mechanism and they can be used to stabilise over their areas of interest.

The force has also been preparing its standard operating procedures to act against such threats in future.

SECL is aiming to plant over 26 lakh saplings in Chhattisgarh and 12 lakh in Madhya Pradesh between 2023-24 and 2027-28
New Delhi: The Coal Indian subsidiary South Eastern Coalfields Limited (SECL) is set to invest Rs 169 crores over the next five years on extensive plantation drives in Chhattisgarh and Madhya Pradesh. According to an official statement, SECL in partnership with the Rajya Van Vikas Nigam, aims to plant over 26 lakh saplings in Chhattisgarh and 12 lakh in Madhya Pradesh between 2023-24 and 2027-28. The initiative also includes a four-year maintenance period for each year of plantation to ensure proper growth and survival of saplings.
 

To further accelerate afforestation efforts, SECL has introduced the innovative Japanese Miyawaki technique, which promotes rapid green cover development. A pilot project has already been launched using this method over 2 hectares in the Gevra Area. Since its inception, SECL has planted over 3 crore saplings across its operational coal belts, reinforcing its ongoing commitment to environmental sustainability.

In alignment with the Prime Minister Narendra Modi's visionary "Ek Ped Maa Ke Naam" campaign, SECL has planted a staggering 1,46,675 saplings across its operational areas in Chhattisgarh and Madhya Pradesh. This initiative was part of a nationwide plantation drive, launched in July 2024 by Union Minister of Coal and Mines G Kishan Reddy, encompassing all coal PSUs across the country.

SECL conducted the plantation drive in 8 districts of Chhattisgarh and 3 districts in Madhya Pradesh, covering more than 56 hectares. Additionally, the company distributed 25,000 saplings to communities residing near its mining areas, further encouraging environmental stewardship.
 

The plantation efforts under "Ek Ped Maa Ke Naam" were further strengthened as part of the 2024 "Swachhata Hi Seva" campaign, an essential cleanliness initiative. As part of this drive, SECL planted an additional 4,200 saplings, reinforcing its commitment to both environmental conservation and public cleanliness.

SECL’s Kusmunda mine, the world’s fourth-largest coal mine, set a unique milestone by planting 501 saplings in a single day to commemorate the achievement of 501 lakh tons (50 million tons) of coal production during FY 2023-24. This underscores SECL's dual focus on meeting the nation’s energy needs while prioritizing environmental sustainability.

India and Maldives have declared their intention to undertake a feasibility study aimed at identifying enablers for facilitating Maldives’ participation in OSOWOG
 

New Delhi: In a joint statement, India and Maldives have declared their intention to undertake a feasibility study aimed at identifying enablers for facilitating Maldives’ participation in One Sun One World One Grid (OSOWOG). Mohamed Muizzu, the President of Maldives, who is on a four-day visit to New Delhi, met Prime Minister Narendra Modi on Monday. “… both sides will also undertake a feasibility study to identify measures that would enable Maldives to participate in the One Sun One World One Grid initiative,” said a joint statement released after the meeting between the two leaders.

India, Maldives to explore co-operation in solar, RE, energy efficiency

Stressing the role of energy security in sustainable development, India and Maldives agreed to explore co-operation in the areas of solar enery, Renewable Energy (RE) and energy efficiency. “Given the role of energy security in ensuring sustainable development, the two sides agreed to explore cooperation through implementation of solar power and other renewable energy and energy efficiency projects to bring down energy costs and enable Maldives to achieve its NDC Goals, both sides will establish a framework for an institutional partnership which will include training, exchange of visits, joint research, technical projects and promotion of investments,” said the joint statement.

OSOWOG

The idea for the OSOWOG initiative was put forth by the Prime Minister at the First Assembly of the International Solar Alliance (ISA) in October 2018. The initiative aims at connecting energy supply across borders. The OSOWOG initiative aims to connect different regional grids through a common grid that will be used to transfer renewable energy power and, thus, realise the potential of renewable energy sources, especially solar energy. India and Maldives have been in talks since 2022 for setting up a transmission interconnection for transfer of renewable power between the two countries.

Renewable Energy (RE) generation in India has increased by 86 percent in the last decade, said Pralhad Joshi while speaking at the Hamburg Sustainability Conference in Germany
 

New Delhi: Stressing that India is the only G20 nation to have met its climate targets ahead of schedule, Minister for New and Renewable Energy Pralhad Joshi said that Renewable Energy (RE) generation in India has increased by 86 percent in the last decade. Delivering the keynote address at the Hamburg Sustainability Conference in Germany on Monday, Joshi said, “… under the leadership of Prime Minister Narendra Modi, India has witnessed a transformative increase in its renewable energy capacity since 2014, with a 175 percent rise from 75 GW to over 208 GW today. Total RE increased from 193.5 billion units to 360 BU, marking an 86 percent rise during this period. Solar energy capacity has also grown 33 times in the last 10 years.” Joshi also emphasised that the International Solar Alliance (ISA), supported by over 100 countries, demonstrates India’s leadership in global efforts to combat climate change through solar energy.

The minister remarked that India stands as a global voice of reason in its commitment to the pursuit of a sustainable energy future that aligns with our growth ambitions and environmental responsibilities. “India is the only G20 country to have met its climate targets ahead of schedule, despite having the lowest per capita emissions among G20 nations,” he remarked. He emphasized that energy security and access remain paramount for India, but this has never hindered the nation’s commitment to energy transition on both national and global scales.

Green shipping and energy transition

Addressing the theme of Green Shipping, Joshi emphasized the crucial role of the maritime sector in global trade and its impact on greenhouse gas emissions. He stated, “As we progress towards achieving net-zero emissions, the necessity for sustainable maritime transport has become very important. India is making significant strides in the green shipping sector, driven by government initiatives, technological advancements, and international collaborations.”

The minister detailed how Indian shipyards are being modernised and older dockyards are being evaluated for reopening to expand green shipbuilding capacity. “India is becoming a promising hub for green shipbuilding,” he noted, citing the government’s strong emphasis on alternative fuels and renewable energy sources like biofuels and wind power. India is upgrading its port infrastructure to support green shipping fuels and vessels using hybrid models, with the goal of ranking among the top five shipbuilding nations by 2047.

The National Green Hydrogen Mission (NGHM), launched with an outlay of $2.4 billion, aims to produce 5 million metric tonnes (MMT) of green hydrogen annually by 2030, attracting over $100 billion in investments and creating more than 6 lakh jobs. He also invited international stakeholders to collaborate in India’s ambitious green hydrogen and renewable energy projects.

Pilot projects under the NGHM, with an investment of $14 million, are already exploring the use of green hydrogen in the shipping sector. “We are focusing on converting existing vessels to operate on green hydrogen or its derivatives. The Shipping Corporation of India is currently converting two vessels to run on green methanol,” the minister explained.

India, with an investment of approximately $25 million, is setting the stage for development of hydrogen hubs that will transform its energy landscape. Moreover, ports such as Deendayal, Paradip, and V.O. Chidambaranar are being developed into key hydrogen hubs with bunkering and refuelling facilities to support green hydrogen-powered ships, the minister said.

“India’s embrace of innovative technologies, investment in robust infrastructure, and cultivation of international cooperation have elevated us from a mere participant to a leading force in this global transition,” said Joshi.

Coking coal linkage auctions by BCCL are expected to gain traction among steel producers after Coal India recently tweaked auction norms
 

Kolkata: Coking coal linkage auctions by BCCL are expected to gain traction among steel producers after Coal India Limited (CIL) made the auction terms more industry-friendly to help India reduce imports, officials said on Monday. Steel majors have expressed satisfaction with the modifications made in the terms, stating they will participate in future rounds of auctions. Coking coal is a key raw material for steel making and most of its demand is met through imports.

Steel makers, however, emphasised that quality, quantity, and timely delivery will be key factors in successfully replacing imported coking coal with domestic raw material, officials said.

Bharat Coking Coal Limited (BCCL) achieved record-breaking success in the recently concluded long-term linkage e-auction in tranche VII for the steel sub-sector. Of the 3.36 million tonnes of coking coal offered, 2.40 million tonnes were successfully booked, setting a new benchmark in coal bookings, the miner said.

In contrast, till tranche VI, auctions for coking coal had received a tepid response, with none of the offered coal being booked.

AVP (Coal) at JSW Steel, Goutam Senapati, told PTI that the terms and conditions were simplified and made more user-friendly by Coal India and the Coal Ministry after industry concerns were raised.

"With the necessary relaxations and changes, it made it conducive for us to bid," Senapati said.

JSW Steel booked 2.06 million tonnes in tranche VII and expressed interest in participating in future auctions.

Senapati, however, added that further relaxations are required and expects Coal India to address the remaining issues to increase participation in the bidding process aimed at replacing imported coal.

Tata Steel, another successful bidder in the last tranche, noted that the auction norms were attractive but stressed the need for the miner to ensure coal quality and timely supply.

"Coal India and the government have listened to us and made the auctions more attractive. If more coal from new mines is brought in, it will generate further interest from steel companies. However, they must ensure quality and supply assurances to support our bidding," Tata Steel DGM (Coal Coordination) Rajeev Datta said.

BCCL produced approximately 1.5 million tonnes of washed coal in FY24 and plans to raise this to 2.5 million tonnes in the coming financial year. This increase in production is expected to save USD 562 million in foreign exchange through import substitution, BCCL Chairman and Managing Director Samiran Dutta said.

To accelerate its asset monetisation efforts, BCCL will seek bids for the development of four coal washeries with a combined capacity of around 8 million tonnes, he added.

A top Coal India official said that key relaxations were offered concerning the end-use of coal middlings, which are a byproduct of the coal washing process, consisting of a mixture of clean coal and coal gangue.
 

The new auction documents also allowed relaxation of the timeframe for incremental linkage and inter-company coal transfers within the same group.

Coal India stated that the key objective of these auctions for the steel sector is to generate premium revenues and meet the government’s target of reducing coking coal imports by replacing them with domestic output.

SAIL on Monday said it has signed an agreement with global resources company BHP to work on strategies for low-emission steel manufacturing technologies
 

New Delhi: Steel Authority of India (SAIL) on Monday said it has signed an agreement with global resources company BHP to work on strategies for low-emission steel manufacturing technologies.

Both companies signed the memorandum of understanding to support decarbonisation in steel making, the Steel Authority of India Ltd (SAIL) said in a statement.

"This collaboration is an important step for SAIL and BHP in promoting lower carbon steelmaking technology pathways for the blast furnace route in India. Under this MoU, the parties are already exploring a number of workstreams supporting the potential decarbonisation at SAIL's integrated steel plants which operate blast furnaces (BF) with an initial study to assess various strategies to reduce greenhouse gas emissions (GHG)," it said.

These workstreams will consider the role of alternate reductants such as the use of hydrogen and biochar for blast furnaces, to build local research and development capability to support the decarbonisation transition.

SAIL Chairman Amarendu Prakash commented, "SAIL is looking forward to this collaboration with BHP in taking a step forward towards engaging in developing sustainable ways to produce steel. The emergent need to align the steel sector with climate commitments is non-negotiable."

BHP's Chief Commercial Officer Rag Udd said, "We recognise that decarbonising this industry is a challenge that we cannot meet alone, and we must come together to leverage shared expertise and resources, to support the development of technologies and capability that could have the potential to create a real change in carbon emissions both now and in the longer term."

Iron ore rose — adding to two big weekly gains — on speculation China’s top economic planner will unveil more stimulus measures on Tuesday. Other industrial metals were largely steady.

The steelmaking staple advanced as much as 2.6% in Singapore, after surging 18% over the previous two weeks. A press briefing on Tuesday morning will include five senior officials from the National Development and Reform Commission, according to a notice from the government on Sunday, and there are expectations it might involve announcements on more public spending.

Beijing unleashed a slew of support measures — including interest-rate cuts and targeted support for the property sector — late last month, driving sharp gains in global metals prices.

A week-long public holiday in China that started last Tuesday has meant there have been no more official announcements. Chinese industry delegates to LME Week said they believed that the policy package represented a significant shift by authorities to place more emphasis on reviving economic growth.

There’s a “prospect of further gains when Chinese markets reopen on Tuesday,” ANZ Group Holdings Ltd. said in a note. “Any sustained pick up will likely hang on more concrete details” of the fiscal stimulus measures that Beijing promised, it said.

Singapore iron ore futures rose 2% to $110.80 a ton as of 11:06 a.m. London time. Among base metals, aluminum, copper and zinc were little changed on the London Metal Exchange, while nickel rose 0.9%.

Individuals faced the steepest losses, with a gross loss of nearly Rs 41,500 crore, SEBI's recent study shows

The equity derivatives arena has been in the limelight ever since capital markets regulator Securities and Exchange Board of India (SEBI) released a six-step framework to combat the magnetic pull of the high-risk arena even as data shows that the majority of the investors are losing money in the segment.

SEBI's data paints a stark picture: nine out of ten individuals trading in the F&O segment are losing money. Yet, despite this grim statistic, the allure of potentially striking it rich in one swift move keeps traders hooked, often leading to a vicious cycle of repeated losses.

Follow our LIVE blog for all the latest market updates

One of the most intriguing aspects of this trend is: who these traders are. SEBI's recent study shows that a large proportion of F&O participants come from smaller towns and modest financial backgrounds. A surprising 76 percent of traders earn less than Rs 5 lakh annually.

Even more striking is the influx of young investors, whose share in the F&O segment jumped from 31 percent in FY23 to 43 percent in FY24. Fuelled by ambition and a desire to outsmart the market, these traders, mostly from Beyond Top 30 (B30) cities, are chasing big wins -- despite the complex and often unforgiving nature of F&O trading.
 

The SEBI study also suggested that in FY24, proprietary traders recorded the highest gross profit in the NSE's equity F&O segment, earning approximately Rs 33,000 crore. Foreign Portfolio Investors (FPIs) followed closely with profits of Rs 28,000 crore, while Domestic Institutional Investors (DIIs) managed modest gains of around Rs 200 crore.

On the flip side, individuals faced the steepest losses, with a gross loss of nearly Rs 41,500 crore. The 'others' category, which includes corporates, trusts, NRIs, and PMS clients, also faced significant setbacks, registering a gross loss of about Rs 19,700 crore.

In FY24, more than half of all F&O traders came from just four states—Maharashtra, Gujarat, Uttar Pradesh, and Rajasthan. Maharashtra led the pack with over 21 percent of total traders, followed by Gujarat, UP, and Rajasthan.

Notably, Uttar Pradesh saw the sharpest rise in F&O participants, with the number of traders nearly tripling compared to FY22, followed by Bihar, West Bengal, and Punjab, all experiencing rapid growth.

When it comes to losses, southern states bore the maximum brunt. Telangana recorded the highest average loss per trader at Rs 1.97 lakh, with Andhra Pradesh, Tamil Nadu, and Karnataka not far behind, each seeing average losses exceeding Rs 1.3 lakh per person.

To rein in speculative trading, SEBI unveiled a stricter framework for equity index derivatives on October 1.

Key measures include increasing the minimum contract size and requiring upfront collection of option premiums. SEBI also introduced intraday monitoring of position limits, eliminated calendar spread benefits on expiry day, and rationalized weekly index derivatives. Starting November 20, these reforms will be rolled out in a phased manner.

Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Lobby group UK Steel said country faces ‘cliff edge’ in 2026 when current protections run out
The UK steel industry has called for the government to consider further protectionist trade measures as it braces for a flood of imported steel amid a global glut driven by China.

UK Steel, a lobby group, said the global industry has 543m tonnes of excess steel, 70 times more than the UK uses each year, in analysis published on Monday. It said the UK faces a “cliff edge” in 2026 when current protections run out.

China’s steel industry is going through a brutal recession amid a years-long crisis in the country’s property industry that has dragged down domestic steel demand. In August, the chief executive of the world’s biggest steelmaker, China Baowu Steel, said the industry was going through a “harsh winter” that could be worse than the 2008 financial crisis or the 2015 crash in demand, when thousands of British steel jobs were cut. The Chinese glut has resulted in falling prices around the world.
 

Gareth Stace, UK Steel’s director general, said the UK needed to “balance international obligations with the national interest” and act to protect the industry, or else face the prospect of recent British investments in the steel industry being “all for naught”.

The UK currently has so-called steel safeguards in place that limit the diversion of cheap steel to Britain. They were brought in in 2018 to prevent the diversion of Chinese steel after Donald Trump imposed tariffs on imports to the US. However, the safeguards expire in 2026, and may not be extended under World Trade Organization (WTO) rules. However, the industry wants the UK to consider protecting its steel industry regardless.

Russell Codling, the director of marketing and business development in the UK for Tata Steel, said: “The scale of excess supply to the global market from China is just swamping every corner. The trade protection mechanisms that are in place aren’t sufficient to deal with these circumstances.”

Lower prices benefit steel users, including construction projects and major infrastructure. However, steel industries tend to be politically influential and the ability to produce steel domestically is also prized as an indicator of industrial strength and geopolitical power.
 

The UK government under the Conservatives and now Labour has committed £500m towards the switch from blast furnaces to cleaner electric arc furnaces at Tata Steel’s plant in Port Talbot, south Wales. Indian-owned Tata shut down its last blast furnace last week, with the loss of 1,900 jobs, but the government argues that its investment will help sustain a British steel industry. Chinese-owned British Steel is also trying to negotiate state support to switch to electric arc furnaces.

Deciding whether to impose protectionist measures could prove tricky for the Labour government. Other countries – notably the US – have essentially ignored the WTO, while pressure is building within the EU to push the boundaries of what the rules allow.

UK Steel argued that Britain will face greater trade diversion if it does not act. It suggested that the UK should consider imposing tariffs on steel imports above a certain level. Carbon border adjustments, which put a price on carbon emissions from dirty blast furnaces, could also help the UK industry, it said.

“Rising global excess capacity driven and sustained by non-market forces is one of the biggest challenges of our time for the global steel industry,” said Stace. “It has the potential to redraw the map of global steelmaking, as there is no longer fair competition.”

The move is expected to reap short term benefits for the Indian steel companies as domestic HRC (hot rolled coil) prices become at par with Chinese import prices.

With China’s new stimulus boost for its realty sector, the Indian steel industry is hopeful that fewer Chinese steel shipments will find their way to Indian ports. Industry analysts say that the stimulus will potentially increase China’s domestic steel demand, hence reducing the country’s need to export elsewhere and bring stability in steel prices in India.

The move is expected to reap short term benefits for the Indian steel companies as domestic HRC (hot rolled coil) prices become at par with Chinese import prices. “In the last few months dumping of steel had increased and steel realisations had been showing a down-ward trend. With this stimulus package, the construction sector will see an uptick in China thereby reducing the problem of dumping for those grades of steel and other metals associated with the building and construction industry,” Niladri B, Partner, Grant Thornton Bharat said.

“Potential stabilization of the economy, especially the property market, may support steel demand in China, thereby boosting not just sentiment but also steel/ steelmaking raw material markets,” Morgan Stanley analysts added.
 

However, analysts suggest a wait and watch approach for long term impact since the effect of the stimulus package in China remains to be seen.

Steel prices in India are significantly influenced by the quantity and price of Chinese steel available in Indian markets.

The Chinese domestic steel demand has slowed down significantly, as the property sector, which accounts for 50% of domestic steel consumption, is going through its weakest cycle in over a decade. Weak domestic demand and over-production have resulted in China’s increased share of exports. China’s current net steel exports, at 10% of production, are the highest since March 2017 brokerage firm Nomura observed.

The impact on flat steel will take more time to be felt, and the industry will need to wait for further reforms and stimulus for a wide-ranging positive impact. Industry executives agreed that while the stimulus package comes as a relief for Indian steelmakers, the extent of the long-term impact remains to be seen, and will depend on further initiatives taken by the Chinese government to boost its property market.  

“There is such a huge capacity overhang of Chinese metals industry that even a small percentage fall in their capacity utilization translates into a big dumping problem for the world in sheer tonnes. The hope is that this issue will be on hold for some time now,” he added.

However, analysts said that Chinese imports levels will remain elevated over the next couple of months due to lag effect even as green shoots for domestic steel spread start to appear.

The Chinese reforms package, coupled with sustained demand would lead to reduced dependence on exports for volume growth.