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Fixed Costs
Variable Costs
Interest on Loan
Fuel Cost
Return on Equity
Depreciation O & M Expenses Insurance Taxes & Interest on Working Capital
The Indian Version of ABT comprises of three components: a) Capacity Charge b) Energy Charge c) Unscheduled Interchange Charge
SLDCs 2
WHY ME???
Till recently regional power system operation was more frightening than an Alfred Hitchcock horror movie. Scholars could be excused for getting a shock of their lives by a mere glance at the daily frequency and voltage profile of any region. System operation was an endless jihad to prevent the system from collapsing.
UI Rate
STATE
Region-Wide
Merit-Order in Generation
Threshold Frequency Generation Vs Scheduled Generation Depending on its variable cost, each generating unit has a threshold frequency, i.e. the frequency at which the UI rate equals the variable cost of the generating unit. The output of the generating unit should be maximized as long as the grid frequency is below the threshold frequency, irrespective of the schedule given out by the RLDC / SLDC for the unit. And the unit should be backed down when grid frequency climbs up and exceeds the above threshold frequency.
References
Steven Stoft, Power System Economics Designing Markets for Electricity, IEEE Press, Wiley Interscience; John Wiley & Sons Bhanu Bhushan, ABC of ABT_A Primer on Availability Tariff, 2005 S. K. Soonee, S. R. Narasimhan, V. Pandey, Significance of Unscheduled Interchange Mechanism in the Indian Electricity Supply Industry Central Electricity Regulatory Commission (Unscheduled Interchange charges and related matters) (Second Amendment) Regulations, 2012 Website: http://www.cercind.gov.in
THANKS