System Operations through

National & Regional Load Dispatch Centres

2nd Interactive Workshop on

‘Transmission & Distribution’
17th-18th April 2009

at Hotel Sahara Star, Nr. Domestic Airport, Mumbai

Organized by India-Tech Foundation
 Outline
• Overview of Indian Power System
• System Operation
• Power Market
• Transfer Capability
• Open Access in Inter-state transmission
• Congestion Management
• Challenges and Concerns
 August 2006
Five Regional Grids North synchronized
Two Frequencies
With Central Grid
March 2003
West synchronized NEW Grid
With East & Northeast

October 1991 South

East and Northeast Grid
synchronized

Central Grid

MERGING
North OF
East MARKETS
West
Northeast
South

Five Regional Grids Installed Capacity 147 GW

Five Frequencies
Renewable Energy : Wind Power
India: 5th Largest Wind
Power Producer

Total Renewable
Energy Sources ~ 13 GW

Wind Installed
Capacity ~ 9 GW

Estimated Wind
Potential ~ 45 GW
Growth in Inter-regional Transmission Capacity

Source: CEA

IR CAPACITY : 20800 MW
Growth of IR Exchanges
 Development of Load Despatch Centres
• Initial stages
– a telephone/hotline communication system and a frequency
meter
– Operational only during day-time
– Acted mainly as an information centre
• State grid interconnections
– 24x7 operation
– Rudimentary data acquisition systems
• Central Sector generating stations
– Interstate scheduling and energy accounting
• Regional Grid formation & CTU
– Modernization of control centres
• Availability Based Tariff
– 15-minute scheduling, metering settlement
– Market operation
 Modernization of Control Centres
• 33 SLDCs, 5 RLDCs, 1 NLDC
• Round-the-clock manning
• Wideband speech and data communication
• Fish as well as bird eye view through SCADA
• Common database in SLDC/RLDC
• Common Information Model (CIM) in NLDC
• Classical data presentation plus alarm
processing, exception lists, animation,
geographical displays
• Multilayering, Trending
• SoE and replay
Jurisdiction of Load Despatch Centers
NLDC:
Apex body to ensure integrated
operation of National Power System

RLDC:
Apex body to ensure integrated
operation of power system in the
concerned region

5
SLDC:
Apex body to ensure integrated
31 operation of power system in a state
 Jurisdiction of RLDCs/SLDCs
• Control Area
• Scheduling Responsibilities
– RLDCs
• State as a whole
• ISGS /UMPPs,
• Pvt. Generating Stations > 1000 MW and
having > 50% share of state outside home state
#CERC Order 58/2008, Suo Moto

– SLDCs
• State Utilities ( SGS / Discoms)
• Intra-State Entities
 National Load Despatch Center (NLDC)

MAIN NLDC, DELHI

NRLDC SRLDC ERLDC WRLDC NERLDC

BACKUP
NLDC, KOLKATA
F.O. Cable on each 2E1 Link
Copper Cable –(Backup)
VSAT– (Backup) each
 Functions of Load Dispatch Centers
– Optimum scheduling and dispatch of
electricity
– Monitoring of operations and grid security
– Keeping accounts of the quantity of electricity
transmitted through the regional grid
– Supervision and control over the transmission
system
– Real time operations for grid control
– Dispatch of electricity through secure and
economic operation of in accordance with the
Grid Standards and the Grid Code
 Foundation Stones

System
Operation

IEGC ABT

Electricity Act 2003

• Two firm footings
– INDIAN ELECTRICITY GRID CODE (IEGC)
– AVAILABILITY BASED TARIFF (ABT)
Regional Grid Operation: Philosophy
• Operated as loose power pools
• States have full operational autonomy
• State power system treated as notional
(flexible) control area
• Very tight control of actual interchange by
state utilities & Inter State Generating Stations
not mandated
• Deviations from net drawal schedules
appropriately priced
GRID MANAGEMENT FUNCTIONS
• Ex-ante functions
– Scheduling
• Real-time functions
– Supervision & control of system
parameters
– Facilitating Open Access transactions
• Post-facto functions
– Settlement system operation
• Interaction with stakeholders
Balancing market guiding vector
 UI mechanism
• Maximizes social welfare
• Transparent, neutral & rigging proof
• Diffuses market power
• Ultimate open access
• Facilitates reforms in the sector
• Encourages trade and bilateral exchanges
• Facilitates exchanges (arbitrage) between regional
power pools
 The End Result ….
• Frequency is
– collectively controlled
– democratically stabilized
• Wholesale market is workably competitive
– allocative efficiency
– productive efficiency
• Economic signal available for
– optimum utilization of resource
– investments in generation capacity
• Settlement is
– streamlined
– dispute-free
 INDIAN ELECTRICITY MARKET
ENABLERS
Legislation
Indian Electricity Act 2003
National Electricity Policy
12-Feb-2005, Para 5.7.1(d)
Regulation
IEGC-Feb 2000
ABT Order-Jan2000
Open Access-May-2004
Power Exchange-Aug-2007
Execution
CTU/STU, RLDC/SLDC
Grid & Market Operation
Control Centres & SEMs
ABT settlement: in stages 2002-03
STRUCTURE
Balancing Mechanism
Frequency linked
Unscheduled Interchange
Intra-day STOA
Day-ahead Power Exchange
Multiple Power Exchanges
Short-term Bilateral
Day-ahead
First-come-first served
Three-month ahead
Long-term Bilateral
Shared resources (ISGS)
Own resources
Evolution of Power Market in India

Ancillaries,

PX
2008
Open Access
2004
Settlement
System
Grid Code 2002-03
Feb.’2000
 Market Design
Four Pillars of Market Design

ELECTRICITY MARKET

SCHEDULING
CONGESTION ANCILLARY
& IMBALANCES
MANAGEMENT SERVICES
DISPATCH

“Making Competition Work in Electricity”,

Sally Hunt
 Total Transfer Capability
Thermal Limit
Power
Flow
Voltage Limit

Stability Limit

Total Transfer Capability

Time
Total Transfer Capability is the minimum of the
Thermal Limit, Voltage Limit and the Stability Limit

4-Oct-19 22
 Transmission Capacity vs Transfer Capability
Transmission Capacity
1 Is a physical property in isolation
2 Depends on design only
3 Deterministic
4 Constant under a set of conditions
5 Time independent
6 Non-directional
7 Determined directly by design
8 Declared by designer/ manufacturer
9 Understood by all
10 Considered unambiguous & sacrosanct
Transfer Capability
Is a collective behaviour of a system
Depends on design, topology, system
conditions, accuracy of assumptions
Probabilistic
Always varying
Time dependent
Directional
Estimated indirectly using simulation
models
Declared by the Grid Operator
Frequently misunderstood
Subject to close scrutiny by all
stakeholders
 Total & Available Transfer Capability

Transfer Reliability Margin (TRM)

Capacity Benefit Margin (CBM)

TTC

Long Term Open Access (LTOA)

ATC
Short Term Open Access (STOA)

ATC = TTC – TRM – CBM

“Reliability is the performance level of the elements of the bulk electric systems that results in
electricity being delivered to the customers within accepted standards and in amount desired. It is
expressed in terms of the frequency, duration and magnitude of adverse effects on electric supply.
Reliability comprises of Adequacy and Security…Adequacy is reliability within the range of events
which can be controlled by operators whereas Security is reliability under conditions beyond the
control of operators.” Dr. Mohammad Shahideopour
 CERC Open Access Regulations, 2008
• Effective 01.04.2008
• Permits usage of spare transmission capacity
through a transparent process
• Offers choice and freedom to buy & sell power
• Transactions categorized as Bilateral and
Collective (through Power Exchange)
• Transmission Charges moved from “Contract
Path” to “Point of Connection” for Collective
Transaction
• Thrust on Empowerment of SLDCs
 Time Line

Bilateral -
Day - Contingency
Collective Ahead
Through
PX

Bilateral
- FCFS

Bilateral -
Advance
 Trade under Short-Term Open Access
* 2008-09 data includes Bilateral + Collective transactions.
32 15000
31
30
30

28 11781

Number of Transactions ---->

26
10000
Energy (BUs) ----->

24 9560
24
23
22

20 5933
5000
18 17 3938
16

14
778
12 0
2004-05 2005-06 2006-07 2007-08 2008-09
Volume of trade (BUs) No. of transactions
 3000
ENERGY APPROVED(MU) - (Nodal RLDC-NRLDC)

2500
Energy (MUs)---------->

2007-08
2000

1500
2008-09

1000
2005-06
2006-07
500

0
E

B
EC
P

N
G

V
IL

LY

R
Y

FE
SE

JA
O
U
A

A
PR

JU

D
JU

O
A

N
M

M
A

Month -------->
 1000
ENERGY APPROVED(MU) - (Nodal RLDC-SRLDC)
900

800
Approved Energy(MUs)------>

700

600 2008-09

500

400

300

200 2007-08 2006-07

100 2005-06

0
APRIL MAY JUNE JULY AUG SEP OCT NOV DEC JAN FEB MAR
Month -------------->
Growing Confidence in Open Access Market - Increasing Market Players
 Power Exchange in India
• Salient Features
– Multiple exchanges – Competition amongst
Exchanges
• Indian Energy Exchange (IEX)
• Power Exchange of India (PXI)
• Third Power Exchange in the offing:
– Voluntary participation
– Double sided bidding
– Uniform pricing
– Day-ahead exchange
– Hourly bids
– Congestion management by market splitting
Daily Energy Traded on PX
Increasing Participation on PX
 Open Access: Key Success Factors
• Developed in consultation with all stake holders
• Control area demarcation & boundary metering
• Robust transmission system
• Assessment of Transfer Capability
• Balancing mechanism
• Methodology for transmission charge sharing
• Treatment of transmission losses
• Streamlined scheduling and settlement mechanism
• Transparency and non-discriminatory implementation
• Compliance
• Dispute redressal mechanism
• Congestion management
 Transmission Congestion
• Characteristics of a growing power system
• Sign of optimum investment
• If managed and documented
– Gives signals for future investments
• If unmanaged
– A pain
– Threat to grid security
– May lead to social and economic loss
– Situation gets acute in Northern Region due to
indiscriminate overdrawal
SKEWED LOAD GENERATION BALANCE
Skewed Load-Generation Balance
NR

Scenarios:
1. 4S
WR ER+ 2. 3S + 1D
NER (Congestion)
3. 2S + 2D
4. 1S + 3D
5. 4D
SR
FLOWGATES
 Congestion Management: Bid Area
Are Region States
a
N1 North JK, HP, CHD,
PUN, HAR
N2 North RAJ,DEL, UP,
UTT
W1 West MP, CHTG

W2 West MAH,GUJ, GOA,

DD,DNH
S1 South AP, KAR, GOA
S2 South TN, KER,
PONDY
E1 East WB, SIK, BIH,
JHAR
E2 East ORISSA
A1 North- Tripura, Manipur
East Mizoram,
Meghalya
A2 North- Assam, Ar.
East Pradesh,
Nagaland
 PECULIARITIES & CHALLENGES
Skewed resource distribution
Long-haulage of power
Resource Inadequacy
Weather extremes
Diversity
Loose Power Pool
Decentralized Operation
Floating Frequency
Unscheduled Interchange
Voluntary ancillary services
Weekly settlement 21 day cycle
15-minute settlement period
High growth, high uncertainties
Unbundling and reforms
Evolving market mechanisms
Changing business environment
Dynamically varying
resource sharing matrix
Excessive reliance on UI
Freedom and choice without
enforcement of obligations
Unclear jurisdiction
 DAILY OPERATIONAL CHALLENGES

FLOATING FREQUENCY: 49 - 50.5 Hz VOLTAGE VARIATIONS:

380- 430 kV

BI-DIRECTIONAL LINE FLOWS HIGH RAMP RATE

 Concerns
• Reliability of physical system
– Adequacy, Security, Dependability
• Rapid growth
– Harmonization
– Jurisdiction
• Visualization and situational awareness
– Dynamic system
• Deployment of technology
– Automation, Information exchange
• Capacity building
– Inclusive, sustainable, broad based
– Human Resource
VISUALIZATION

CHALLENGES BEFORE US

Expanding requirements

Technological up gradation

Database & display updating

Maintaining data quality

Operator familiarization
SITUATIONAL AWARENESS
 Expectations
• Focus on reliability of the physical system
• Designing markets that complement reliability
• Appreciation of System Operation as an important
function
– Allocation of resources
– Automation
– Capacity building
• Grid security comes before Economics
– No economic theory, no legislation, no regulation can
repeal the Laws of Physics
“Power markets are the only markets that can suffer a catastrophic instability that
develops in less than a second...The extent and speed of the required
coordination are unparalleled.” ….Steven Stoft
 Building up the Immune System
• Protection
– New technologies
– Co-ordination
• Power System Early Warning Systems
– PMU
– WAMS
• Defense mechanisms
– System Protection Schemes
 Thank You

sksoonee@gmail.com
sksoonee@powergridindia.com