IMPACT OF UNSCHEDULED INTERCHANGE CHARGES AND RELATED MATTERS (AMENDMENT) REGULATIONS, ISSUED BY CERC ON APPLICABLE FROM IN THE INTRASTATE ABT OPERATION IN DELHI.

Significant Definitions actual injection in a time-block means electricity generated or supplied by the generating station or seller, as the case may be, measured by the interface meters scheduled generation at any time or for any period or time block means schedule of generation in MW or MWh ex-bus given by the concerned Load Despatch Centre

time-block means block of 15 minutes, for which specified electrical parameters and quantities are recorded by special energy meter, with first time block starting at Hrs Unscheduled Interchange in a time-block for a generating station or a seller means its total actual generation minus its total scheduled generation and for a beneficiary or buyer means its total actual drawal minus its total scheduled drawal

Gaming mean intentional mis-declaration of DC in order to make an undue commercial gain thru UI charges Narrowed down operational frequency range for improving the quality of power

Buyer : Means a person, other than the beneficiary, buying electricity, through a transaction scheduled in accordance with the regulations applicable for short term open access, medium term open access and long term access. Seller: Means a person, other than a generating station, supplying electricity, through a transaction scheduled in accordance with the regulations applicable for short term open access, medium term open access and long term access. Beneficiary : Means the person purchasing electricity generated from the generating station.

Permissible operating range has been narrowed down by 0.38 Hz i.e Hz to 50.2 Hz against the previous operating range of Hz to 50.3 Hz Entities over drawing from the grid below the permissible freq. of 49.5 Hz, to pay an additional UI charge Entities under injecting into the grid below the permissible freq. of 49.5 Hz, to pay an additional UI charge Permissible frequency band operation and Commercial impact for the violations

UI rates for coal or lignite or APM fuel generators are symmetrical for over generation and under generation Injection by generating station other than hydro in excess of 105% of DC in a time block or in excess of 101% of DC not to be construed as gaming UI charges and additional UI surcharge rate to be re- notified every six months Any surplus amount left in UI pool to be utilized for supporting transmission schemes

Charges for UI for all the time blocks when grid frequency is between 50.2 Hz and 49.5 Hz -payable for over- drawl by beneficiary or buyer and under injection by generating station or seller - receivable for under-drawl by the beneficiary or buyer and over-injection by generating station or seller

Determination of UI rates Base freqMethodRate adjustment Below Hz and not below 50.0Hz (155 Ps./unit) Median value of Average Energy charge of Coal/Lignite based Stations for six months period except BTPS of NTPC Between Hz UI price vector to be adjusted in steps of 0.02Hz. Below 49.70Hz and not below 49.68Hz (403 Ps./Unit) Providing sufficient incentive to generating station based on coal including imported coal after meeting fixed and energy charge Between Hz UI price vector to be adjusted in steps of 0.02Hz

Base freqMethodAdjustment Below Hz (873 Ps./unit) Highest of average energy charges of generating stations for six months period Between Hz UI price vector to be adjusted in steps of 0.02Hz UI charges for base freq. shall be re-notified every six months based on relevant escalation indices notified by Commission under Competitive bidding guidelines of GOI

UI Cap Rate CategoryCap Rate Generating Stations using coal or lignite or APM gas as fuel Applicable rate corresponding to freq interval of ‘below 49.70Hz and not below 49.68Hz= 403 Paise/unit Excess of 105% of DC in a time block and 101% of average DC over a day in the frequency range of below or upto Applicable rate corresponding to freq interval of ‘below or upto 50.02Hz is 155 Paise/unit & above it should be as per frequency rate. Under drawal by beneficiaries in excess of 10% of schedule or 250MW(which ever is less) Applicable rate corresponding to freq interval of ‘below 49.70Hz and not below 49.68Hz= 403 Paise/unit

when freq. is below 49.7 Hz Over-drawl of electricity from schedule by any beneficiary during a time block shall not exceed 12% of its scheduled drawl or 150MW(which ever is lower), and 3% on a daily aggregate basis Under- injection of electricity from schedule by a generating station during a time block shall not exceed 12% of its scheduled injection and 3% on a daily aggregate basis

Additional UI Charges Freq RangeCategoryAdditional Charge Base value Under-Injection20% 873 Paise/unit–applicable rate at freq. below 49.5 (for beneficiaries and Gas stations where the UI Cap rate is not applicable) and 403 Ps./unit for Coal or Lignite or APM stations- Highest of the average energy charges of the generating stations during last 6 months. Overdrawal40% Below Under-Injection40% Overdrawal100%

Net UI Rate for Under Injection Freq. Range (Hz) CategoryUI rate (Paise/unit) Additional UI rate (P/unit) Net UI rate (P/unit) Coal or Lignite or APM gas Generating Stations Other Stations Below 49.2Coal or Lignite or APM gas Generating Stations Other Stations

OD /UD LIMITS FOR DISCOM WITH IN DELHI UTILITY OD LIMIT IN MW FIXED BY DERC FOR MONITORING PURPOSES FOR THE FREQUENCY REGIME 49.5Hz – 49.2Hz. In the earlier regulations (DERC order dated ) UD LIMIT IN MW(in proportion of OD limits) BRPL5795 NDPL3864 BYPL3558 NDMC1728 MES35 TOTAL To drive the UD limit for Discom in term of MW compare to Delhi as a whole under drawing 250 MW,the same methodology is apply (i.e. in the OD proportion) as adopted by DERC for OD limits of Discom

In consonance with the UI Regulations at Regional level, the Intrastate UI Accounts preparation as under : A) Draw out UI accounts at intrastate level by applying inter state UI regulations in TOTO effective from B) Separate out additional UI amounts for overdrawal and under generation. C) Separate out differential cap amount for underdrawing discoms / over injection of generators. D) Draw out the weekly statement of Inter sate UI account issued by NRPC for the same week for to make Intra State UI account to match with the interstate UI amount. E) Settle the Unadjusted Additional UI of Delhi utilities with Additional UI of Delhi as a whole as per NRPC account on daily basis in proportion to additional amount to be paid by the utilities & restrict the additional UI amount of Utilities upto the amount of additional UI charges to be paid by Delhi as a whole as per NRPC account. Since the additional amount to be paid by the intra state utilities would be more than the additional amount to be paid by Delhi, It reduces the accumulation of extra Additional UI amount in the pool account being operated by SLDC.

F) Settle the unadjusted Differential UI _cap Amount (difference of amount calculated on normal UI rate and caped UI rates) of Delhi utilities as per intrastate UI accounts with the Differential UI_cap amount of Delhi as a whole as per NRPC accounts on daily basis. The adjustment of difference of the two (interstate differential amount and intrastate differential amount) is done in 50:50 basis in proportion between paying & receiving utility on pro rata basis. It reduces the accumulation of extra differential UI cap amount in the pool account and capping is applied only the same is applied to Delhi G) Settle the unadjusted capped UI Amount of Delhi utilities as per intrastate UI accounts with UI_cap amount of Delhi as a whole as per NRPC accounts on daily basis by adjusting the Difference of two ( interstate UI amount and intrastate UI amount) is done in 50:50 basis in proportion between paying & receiving utility on pro rata basis. H) Make the final statement of Net UI amount of paying/receiving utilities on the daily basis as under: Net UI payable/receivable by Utilities at intrastate level = Additional UI amount (with reference to interstate (para ‘E’) +/- Differential cap Amount (with reference to interstate (para ‘F’) +/- Capped UI amount (with reference to interstate UI account (para ‘G’)

Typical UI account (Week No. 41 ( )) based on the previous slides is as follows:

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→RPH Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→ IP Date↓ UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→GT Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→PPCL Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→BTPS Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→NDPL Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→BRPL Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→BYPL Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→NDMC Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

Intra State UI A/C for Delhi Utilities as per new Regulation all figures are in Rs lacks Utility→MES Date↓UI Amount Diffrential_capadditional without Capwith capamountUI amount TOTAL

UI Account for Delhi AS PER NRPC W.E.F Date Scheduled to Actual Drawal OD(+ive)/U D(-ive) Adj UI amount Additional UI amountDifferentialNet UI Delhi in MUs of Delhi in MUsin MUsin Rs Lakhs Cap Amount Amount in rs lacs Total

Methodology for settlement of Intra State UI a/c for Delhi Utilities & Inter State UI account 1. Additional UI amount a) As per UI Regulations all figures are in Rs lacs UTILITIES Total IP RPH0.00 GT0.00 PPCL BTPS NDPL BRPL BYPL NDMC MES0.00 TOTAL Additional UI for Delhi(as per interstate

Methodology for settlement of Intra State UI a/c for Delhi Utilities & Inter State UI account 1. Additional UI amount b) Adjustment as per Para ‘E’ all figures are in Rs lacs UTILITIES Total IP RPH0.00 GT0.00 PPCL BTPS NDPL BRPL BYPL NDMC MES0.00 TOTAL Additional UI for Delhi

Methodology for settlement of Intra State UI a/c for Delhi Utilities & Inter State UI account 2. Differential Cap Amount a) As per UI Regulations all figures are in Rs lacs UTILITIES D Total IP RPH GT0.00 PPCL0.00 BTPS NDPL BRPL BYPL NDMC MES TOTAL Diff_Cap Amount for Delhi

Methodology for settlement of Intra State UI a/c for Delhi Utilities & Inter State UI account UTILITIES Total IP RPH0.00 GT0.00 PPCL0.00 BTPS NDPL BRPL BYPL NDMC MES TOTAL Diff_Cap Amount for Delhi Differential Cap Amount a) Adjusted as per para ‘F’ of previous slides all figures are in Rs lacs

Methodology for settlement of Intra State UI a/c for Delhi Utilities & Inter State UI account UTILITIES Total IP RPH GT PPCL BTPS NDPL BRPL BYPL NDMC MES TOTAL Net UI Amount for Delhi UI Amount for Utilities a) As per intrastate accounts all figures are in Rs lacs

Methodology for settlement of Intra State UI a/c for Delhi Utilities & Inter State UI account UTILITIES Total IP RPH GT PPCL BTPS NDPL BRPL BYPL NDMC MES TOTAL Net UI Amount for Delhi UI amount matching with the Interstate UI account a) As per para ‘G’ all figures are in Rs lacs

Net UI payable/receivable by Utilities at intrastate level = Additional UI amount (with reference to interstate (para ‘E’) +/- Differential cap Amount (with reference to interstate (para ‘F’) +/- Capped UI amount (with reference to interstate UI account (para ‘G’) all fig in Rs Lacks Utility NameReceivablePayable IP RPH0.10 GT38.40 PPCL77.45 BTPS79.57 NDPL BRPL37.30 BYPL40.27 NDMC MES38.15 POOL BALANCE DUE TO ADDITIONAL UI POOL BALANCE DUE TO DIFF_CAP AMOUNT NRPC Total958

IPGCL-PPCL 37