Largest sized hydro unit (180 MW at Chamera) in the country Salient Features Northern Regional Power System Welcome Reforms Within The State, Trading And Other Issues by ALOK ROY General Manager (NRLDC) POWERGRID, New Delhi

Regional Grid State - A State - B State - C CS - 1 MPP CS - 2 RLDC Coordinates Control Areas

SEB’s Grid Discom - A Discom - B Discom - C STATE IPP CENTRAL SHARE STATE GENR. SLDC Coordinates Directs Control Areas TRADE Trading Consumer Trading

G1 G2 SERC SLDC SEB/STU State Govt. RLDC RPC CTU CERC Central Govt. CEA ISTS ISGS Load L1L2 Intra State System IEGC to Operate on the periphery X=- GLG I E G C

Orissa Model BC G G G G G D RC T G : Genco BC : Bulk Consumer T : Transco RC : Retail Consumer D : Discom

BC Recommended Model D NG OG RC OG : Old Genco BC : Bulk Consumer NG : New Genco RC : Retail Consumer D : Discom

How do you buy or sell a commodity  which can not be seen, counted in numbers, or measured in kg, litres or metres,  which can not be put in a container with a forwarding address, on a particular truck taking a particular route, but flows as per laws of physics,  which can not be stored, and whose availability and cost keep changing widely,

 which intermingles with all other supplies in an inevitable pool, and can not have an owner ’ s name tag ?  There is another peculiarity: the buyer has no control over what the seller supplies, and the seller has no control over what the buyer draws from the pool, and the two may not match ! It is crucial to have mechanism for commercial handling of mismatches

1) Power trading has to be notional : buyer to pay the agreed amount to the supplier for scheduled quantum of power. 2) Payment for variations from the schedule through a common mechanism, e.g. U.I. TO AVOID DISPUTES

TRADER GRID 10 MW 8 MW Rs. 2.00/ Rs. 2.20/ u AGREEMENTS ACTUAL FLOW 12 MW A B

TRADER UI POOL A/C UI for 2 MW A B Rs. 2.00/ u for 10 MW Rs. 2.20/ u for 10 MW PAYMENTS UI for 2 MW

An Example: Suppose TATA POWER want to sell 100 MW to Discom- A in Andhra Pradesh STEPS : 1)TPC and Discom-A to agree on terms and conditions of sale 2)TPC to get the consent of MSEB and “no- objection” of MSERC 3)Discom-A to get the consent of APTransco and “no- objection” of APSERC

4)MSLDC and APSLDC to ascertain transmission adequacy, and agree to arrange necessary metering, scheduling, energy accounting and UI settlement 5)WRLDC and SRLDC to ascertain transmission adequacy in their regional transmission systems 6)All concerned to have a common understanding about treatment / sharing of transmission losses, and levy of transmission/ wheeling charges for the use of intra-State and inter-State systems

SCHEDULING, METERING, UI SETTLEMENT AGREEMENT & PAYMENT FOR SCHEDULED QUANTUM WRLDC SRLDC AP TRANSCO/ APLDC TATA POWER DISCOM-A MSEB / MSLDC

 Nondiscriminatory provision for use of transmission line or distribution system or associated facilities with such line or system by any licensee or consumer or a person engaged in generation in accordance with the regulations specified by the Appropriate Commission.  Under sub-section (2) of Section 38, CTU is obliged to provide nondiscriminatory open access to its transmission system for use by (i) any licensee or generating company on payment of transmission charges; or (ii) any consumer as and when such open access is provided by the State Commission under sub-section (2) of Section 42, on payment of transmission charges and a surcharge thereon as may be specified by the Central Commission “ Open Access ’ means

A MORE GENERAL DEFINITION OF “OPEN ACCESS” “ Enabling of non-discriminatory sale/ purchase of electric power/energy between two parties utilizing the system of an in- between (third party), and not blocking it on unreasonable grounds ”