CERC Deviation Settlement Mechanism-Jhajjar
CERC Deviation Settlement Mechanism-Jhajjar
CERC Deviation Settlement Mechanism-Jhajjar
By
Shilpa Agarwal 1
This regulation will replace existing UI regulation through
a similar mechanism called deviation settlement, linked to
frequency in a narrower band of 49.70-50.05Hz instead of
existing band of 49.7-50.2Hz with step of 0.01Hz .
2
UI – Movement of rates-History
UI rates notified in ABT Order & Tariff Regulations
2001-04 w.e.f 1.4.2000.
Max. based on Diesel Generation.(Rs. 4.20 /unit at 49.0
Hz)
Min. Zero at upper end of freq.(50.5 Hz)
Claim from overdrawing/underinjecting entities to be
paid to other party
Rates renotified in
1.4.2004- Clause of 105%/101%/ Gaming
1.10.2004- UI Tinkered, 6/9 p/unit
30.04.2007- 6/9/15 p/unit
7.1.2008- 8/18 p/unit, Cap for APM at 406 p/unit
3
Evolution of the balancing market
guiding vector
(April 04)
(Oct 04)
4
UI Draft Regulations 2009- Reasons
Increase in short-term trading prices with increase in UI
ceiling rate
UI is a disciplinary mechanism, and a grid balancing
mechanism
Being used as a trading mechanism
Frequency is not the sole consideration in grid
management and even if system frequency is within range,
large unscheduled power flows on certain elements can
result in catastrophic grid failure.
UI quantum has increased substantially, which is a threat
to grid security
UI mechanism should be made more stringent for
unscheduled interchanges of DISCOMs/(SEBs) as the
DISCOMs have the ability and capability to effect load
shedding or switching from drawals as per schedule to 5
over/under draw to suit their requirement.
6
Period 1: January 2006 to April 25, 2007
Period 2: April 26, 2007 to January 6, 2008
Period 3: Jan 7, 2008 to December 31, 2008
UI Post 1.4.2009
1.04.2009:Separate UI Regulations: Separate Fund created
(existing RS. 500 Cr.)
Limits on UI volume-12% of SG or 150 MW (overd/underij)
Additional UI for overdrawl /underinj. <49.2 Hz :40% rate at 49.2
3.5.2010: further cap for >105%/101%
Cap on buyers/benef. For underdrawl>10% of SD or 250 MW
Cap on sellers for >120 % of SG, 105% IC/101% IC
Gaming Clause : with Commission, Additional UI for freq<49.5
Additional UI for overdrawl /underinj.
<49.5 Hz :40% /20% rate at 49.5,
8
BACKGROUND
Notified on 6.1.2014
Effective from 17.02.2014.
9
Salient Features
Principle
Deviations to be limited by quantum than by frequency.
Deviation charge for overinjection >12% SG or 150 MW =0
irrrespective of freq. , even when freq. <49.7 Hz=0
Definitions
Buyer includes a beneficiary
Seller includes a generating station
Previous provision
Step of frequency band reduced from 0.02 Hz to 0.01 Hz. –
Issues
Cap rate for generating stations regulated be Commission
using coal coal / lignite / gas under APM – 303.04 paise/unit.
No cap rate w.e.f 1.4.2014 on gas stations under APM.
In case of sustained deviation from schedule in one direction,
sign for deviation to be reversed after every 12th time block.-
Issues
Deviation Charges for overinjection/ underdrawl >12% of SG 10
or 150 MW whichever is lower is Zero.
Deviation Vector
AVERAGE FREQUENCY OF AVERAGE FREQUENCY OF AVERAGE FREQUENCY OF
TIME BLOCK (HZ.) UI RATE TIME BLOCK (HZ.) UI RATE TIME BLOCK (HZ.) UI RATE
W.E.F W.E.F W.E.F
17.02.2014 17.02.2014(PA 17.02.2014
(PAISA / KWH) ISA / KWH) (PAISA / KWH)
BELOW NOT BELOW BELOW NOT BELOW BELOW NOT BELOW
100
200
300
400
500
600
700
800
900
1000
0
49.20
49.52
49.56
49.60
49.64
49.69
49.71
49.73
49.75
49.77
49.79
49.81
49.83
49.85
49.87
Frequency
49.89
UI base rate comparison
49.91
49.93
49.95
49.97
49.99
UI Rate vis a vis Frequency
50.01
50.03
50.05
50.08
50.12
50.16
50.20
New
Existing
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Regulations
Regulations
Average Frequency (Hz) UI Rate (P/kWh)
Below Not Below (P/kWh) post 17.2.2014 till 17.02.2014
50.05 0 132
50.05 50.04 35.6 132
50.04 50.03 71.2 148.5
50.03 50.02 106.8 148.5
50.02 50.01 142.4 165
50.01 50 178 165
50 49.99 198.84 193.5
49.99 49.98 219.68 193.5
49.98 49.97 240.52 222
49.97 49.96 261.36 222
49.96 49.95 282.2 250.5
49.95 49.94 303.04 250.5
49.94 49.93 323.88 279
49.93 49.92 344.72 279
49.92 49.91 365.56 307.5
49.91 49.9 386.4 307.5
49.9 49.89 407.24 336
49.89 49.88 428.08 336
49.88 49.87 448.92 364.5
13
49.87 49.86 469.76 364.5
49.86 49.85 490.6 393
49.85 49.84 511.44 393
Average Frequency (Hz) UI Rate (P/kWh)
(P/kWh) post
Below Not Below 17.2.2014 till 17.02.2014
49.84 49.83 532.28 421.5
49.83 49.82 553.12 421.5
49.82 49.81 573.96 450
49.81 49.8 594.8 450
49.8 49.79 615.64 478.13
49.79 49.78 636.48 478.13
49.78 49.77 657.32 506.25
49.77 49.76 678.16 506.25
49.76 49.75 699 534.38
49.75 49.74 719.84 534.38
49.74 49.73 740.68 562.5
49.73 49.72 761.52 562.5
49.72 49.71 782.36 590.63
A. If Dtb is less than (+/-)12% of SG in MW or 150MW,whichever is lower in a time block ,Dtb is to be payable at normal
charges of deviation.
B. When Dtb is more than (+/-)12% of SG or 150MW,whichever is lower in each time block
Dtb= D0+D12/150.; Dtb = deviation in a time block, has two component:
whereD0=(+/-)12% of SG or 150MW whichever is lower
D 12/150=deviations in excess of (+/-)12% of SG or 150 MW whichever is lower
Here deviation charge for both Do and D12/150 payable at deviation charge/Cap rate; Additional charge for Deviation
for D12/150 shall be Payable for crossing the volume limit on the basis of % term or MW terms as the case may
@20%,40%,100% of deviation charge/Cap rate for incremental deviation in each slab.
Cap rate applicable for Gen stations using Coal or APM gas as the fuel.
105 % DC / 101% DC
Generating Stations >12% SG or 150 MW =0
(165 p/unit)
120% of SG limited to 105% IC
/101% IC –
Sellers ( 450 p/unit) Same as above
>105% IC / 101% IC - (165
p/unit)
10% of SG or 250 MW – 450
Underdrwal by buyers 12% SD or 150 MW =0
p/unit
For overdrawl/underinjection for
For overdrawl/underinjection
2 Additional UI : volume limit violation + freq.
when freq. <49.7 Hz
violation –incremental
=20%/10% * 9/4.215
20% of rate for 12%-15%
(49.7-49.5 Hz)
=40%/20% * 9 / 4.215
40% rate for 15%-20%
(49.5-49.2)
=100%/ 40% *9 /4.215
100 % for >20%
for <49.2 Hz
12% of SD /SG or 150 MW
when freq. <49.8 Hz & 3% on 20
3 Volume limits on UI-for overdrawl/underinjection daily aggregate basis for time With penalty
blocks when freq.<49.8 Hz
No penalty
S. No HEADS Existing Regulations Newt Regulation
UI CHARGE RATES
900 paisa per unit below 49.5 824.04 Paisa per unit below
5 Maximum UI rate
Hz 49.7 Hz
UI CAP RATE
50.2=0 50.05=0
50.02-50.0- median of energy 50.01-50.0- median of energy
UI Price vector charge charge
49.5 Hz- max. av. energy 49.7 Hz- max. av. energy
charge charge on RLNG
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Issues
Additional Charges upto Rs. 3.03 / 8.24 /unit in
following cases : Due to deviation >12% SG or 150
MW
Forced outage: for 3 time blocks
Single Stage Stations: Korba-III, Farakka-III
Underinjection
Overinjection charge=0 for >12% SG or150 MW
22
Strategic Operation
23
Indian Electricity Grid Code (Second
Amendment) Regulations, 2014.
24
Notified on 6.1.2014, Effective from 17.02.2014.
6.5.18. Revision of DC / Schedule be benef. from the 4th
time block
2.(hhhh)(iiii) Pooling Station means the sub-station
where pooling of generation of individual wind generators
or solar generators is done for interfacing with the next
higher voltage level:
Provided that where there is no separate pooling station for a
wind / solar generator and the generating station is connected
through common feeder and terminated at a sub-station of
distribution company/STU/ CTU, the sub-station of
distribution company/STU/CTU shall be considered as the
pooling station for such wind/solar generator, as the case may
be.
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Regulation 5.2- RGMO – no reduction in generation when
frequency improves below 50.05 Hz.
Frequency band- 49.9-50.05 from 49.7 -50.2
Demand disconnection clauses delinked with frequency to
restrict overdrawl.
"when frequency is 49.7 Hz or below" shall stand deleted.
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Thank You
30
NTPC STATIONS MERIT ORDER BASED ON VC
As on 07.01.2013
FC
(Normativ
S.No. VC e) COG
Station Rs/Unit Rs/Unit Rs/Unit
1 Korba-III 0.913 1.59 2.503
2 Korba 0.915 0.56 1.475
3 Singrauli 1.095 0.55 1.645
4 Talcher TPS 1.180 1.28 2.460
5 Sipat-I 1.288 1.41 2.698
6 Rihand-III 1.292 1.49 2.782
7 Rihand-II 1.303 0.94 2.243
8 Rihand-I 1.315 0.84 2.155
9 Sipat-II 1.399 1.25 2.649
10 Talcher -I 1.508 0.85 2.358
11 Talcher -II 1.508 0.81 2.318
12 Vindhyachal-III 1.774 1.14 31
2.914
13 Vindhyachal-II 1.776 0.65 2.426
14 Vindhyachal-IV 1.778 1.49 3.268
FC
S.No. VC (Normative) COG
Station Rs/Unit Rs/Unit Rs/Unit
CEA transferred RLDCS to POWERGRID between 1994 and 1996. Central Govt.
funding discontinued.
Unified Load Despatch & Communication Scheme was accorded approval by CEA
(~1994) regionwise to strengthen the load despatch infrastructure covered
investment in regional RLDCs and SLDC.
Total capital investment by 2002 ~1826 Cr.
Powergrid recovered expenses from constituents of States as per arrangement agreed with CEA.
After formation of CERC, CERC approved the expenses under ULDC Scheme. Prior to the
notification of the RLDC Regulations, all the beneficiaries were paying the RLDC charges to
PGCIL in the form of ULDC charges as determined by the Commission.
POSOCO created as per the directives of Government of India in letter dated 4.7.2008 for
independent system operation of the National Load Despatch Centre (NLDC) and Regional Load
Despatch Centres (RLDCs).
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POSOCO is a wholly owned subsidiary of Power Grid Corporation of India Ltd.
35
Upto 1991
1992- 2002- 2011
2002 2011 onwards 36
800
700
600
500
400
300
0 p/KWh at 50.2
403 p/KWh in
200 Hz. & above
49.68-49.7 Hz.
100
0
49.50
49.52
49.54
49.56
49.58
49.60
49.62
49.64
49.66
49.68
49.70
49.72
49.74
49.76
49.78
49.80
49.82
49.84
49.86
49.88
49.90
49.92
49.94
49.96
49.98
50.00
50.02
50.04
50.06
50.08
50.10
50.12
50.14
50.16
50.18
50.20
Avg. Freq. of Time block (Hz.)
Each 0.02 Hz. step is equivalent to 15.5 p/Kwh in the 50.2-49.7 Hz.
freq. range and 47 p/Kwh in the 49.7-49.5 Hz. freq. range.
37
Frequency Band as per IEGC
w.e.f
1.2.2000- 49.0-50.5 (1.5 Hz)
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“(i) Low frequency during peak load hours, with frequency going down to 48.0-
48.5 Hz for many hours every day.
(ii) High frequency during off peak hours, with frequency going up to 50.5 to 51
Hz for many hours every day.
(iii) Rapid and wide changes in frequency – 1 Hz change in 5 to 10 minutes, for
many hours every day.
(iv) Very frequent grid disturbances, causing tripping of generating stations,
interruption of supply to large blocks of consumers, and disintegration of the
regional grids.”
NO load forecasting
Solution
Maximisation of generation during peak load hours and load curtailment
equal to the deficit in generation.
5/69
ii) Backing down of generation to match the system load reduction during off
peak hours, keeping the merit order of generation in view.”
39