ABC of ABT - MP Power generating company limited

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at a much higher UI rate. On the other hand, during high-frequencyconditions, a State can draw extra power at a low rate, and is thusencouraged to back down its own costlier generating stations. An underdrawalduring high-frequency conditions means that the State pays for thescheduled power quantum unnecessarily. It should either reduce its schedule,or increase its drawal.For the above purpose, the energy is metered in 15-minute time blocks, sincefrequency keeps changing (and the UI rate with it). The metered energy isthen compared with the scheduled energy for that 15-minute time block, andthe difference (+ or -) becomes the UI energy, as illustrated in figure - 3. Thecorresponding UI rate is determined by taking the average frequency for thesame 15-minute time block into account.1000UI800MW6004000 3 6 9 12 15 18 21 24TimeScheduleActualFigure - 3Also, for each Central generating station and State, the actual energy has tobe metered on a net basis, i.e., algebraic sum of energy metered on all itsperipheral interconnection points, for every 15-minute time block. All UIpayments are made into and from a regional UI pool account, operated by theconcerned RLDC.12
A SIMPLE TRADINGOPPORTUNITYDLet us now return to figure - 1. The two areas marked ‘X’ represent the offpeakhour capability of the Central generating station, which State - C has notrequisitioned, although within its entitlement. This capability (160 MW) is nowavailable with the Central station, and it has three options before it, as follows:i) Back down the station during off-peak hours, i.e., generate power onlyaccording to the schedule given by RLDC by aggregating therequisition of the three States. In this case, the station gets capacitycharge for the day corresponding to its availability declaration (900MW), and energy charge to fully recover its fuel cost for generating thescheduled quantum of energy during the day.ii)Find a buyer (other than State - C) for the above off-peak surplus, andgenerate power adding the MW agreed to be taken by this buyer, to theaggregate schedule for States - A, B and C. As the station is alreadybeing paid capacity charge for 900 MW, it may not be too particularabout further fixed cost recovery. As long as the energy sale rateagreed upon is higher than the fuel cost per kWh of the station, it wouldbe financially beneficial for the station to enter into such a deal. It wouldalso reduce the technical problems associated with backing down ofthe station and improve the station’s efficiency. If time permits, theCentral generating station may look around to find the party, whichwould pay the highest rate, and maximize its profit. (There is amistaken belief that the generating station has to share the accruingprofit with State - C. There is no such stipulation by CERC. The stationis free to retain the whole profit accruing on this account).13
Page 1 and 2: ABC of ABTA PRIMER ONAVAILABILITY T
Page 3 and 4: INTRODUCTIONAWhat is Availability T
Page 5: How does the mechanism workThe proc
Page 8 and 9: THE DAILY SCHEDULINGPROCESSBSuppose
Page 10 and 11: DEVIATIONS FROMSCHEDULECAs mentione
Page 14 and 15: iii)Instead of selling the off-peak
Page 16 and 17: U.I. RATE vs. SYSTEMMARGINAL COSTEU
Page 18 and 19: As a consequence of this, the grid
Page 20 and 21: TRADING OF STATES’SURPLUS GENERAT
Page 22 and 23: EXPECTATIONS FROMCENTRAL STATIONSGI
Page 24 and 25: 100CBAEFGH75DUNIT LOAD (%)50J25049.
Page 26 and 27: shall be as per instructions of the
Page 28 and 29: increase in consumer load or reduct
Page 30 and 31: consumers in the State is however t
Page 32 and 33: mostly located at load-centres and
Page 34 and 35: “OPEN ACCESS”, “WHEELING”AN
Page 36: cost. The point being made here is

ABC of ABT - MP Power generating company limited

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