Open Access
Pune Power Development Pvt. Ltd.
Contents:
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Terminology
Open Access
Requirements for Open Access
Provisions made in Electricity Act 2003 for Open
Access
Types of Open Access
Role of different governing bodies
Procedures for Open Access
Financial Settlements
Regulations related to Open Access
Background
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Power is a commodity which cannot be stored. It
has to be utilised as and when it is produced.
Power is generated by the generating stations,
transported through the transmission lines, and
supplied to the end user by the distribution
system.
As power cannot be stored, efforts have to be
made for the efficient utilisation of the power
system and bridge the surplus-deficit gap.
Thus, the concept of sale and purchase of power
through various modes came into existence.
Terminology
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Power is measured in Watt.
One Unit of power constitutes 1000 Watts
supplied for One Hour. This constitutes to 1
kWH (One Kilo Watt Hour).
One Mega Watt (MW) = 1000 kW
It is also often referred in terms of Million
Units (MUs) = 10,00,000 units.
What is Open Access?
The Electricity Act 2003 defines open
access as follows:
"Open access means the non-discriminatory
provision for the use of transmission lines or
distribution system or associated facilities with
such lines or system by any licensee or
consumer or a person engaged in generation in
accordance with the regulations specified by the
Appropriate Commission.''
Open Access can be granted in case of
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Surplus power of State Generating Companies.
Surplus power of State Power Utilities of the State and
other Distribution Licensees.
Sale of Unallocated / Surrendered Power of Central
Sector Generating Companies.
Un-requisitioned power of CSGS.
Merchandise Power Plants.
Captive Power Plants for their own use.
Surplus power of CPPs (Captive or Co-gen)/ IPPs.
Collective transactions through exchange.
Purchase of power by a consumer.
Renewable power with limitation on scheduling.
Salient Features of Open Access
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Commercial mechanism for transmission pricing for
long , medium and short term open access including
UI and transactions through exchange.
Approval of open access for the desired quantum and
period of supply.
Non-discriminatory open access.
Freedom for scheduling of power.
Freedom to revise the open access or cancellation
thereof.
Policies could be different for ‘Advance Scheduling’,
‘Day-ahead Scheduling’ or ‘Booking of Open access’,
as the case may be.
Freedom to market that could boost the growth.
Appropriate settlement mechanism.
Electricity Act - 2003
It was framed in the wake of:
 Growing Power needs
 Continuous Surplus-Shortage conditions
faced in various parts of the country.
Types of Open Access
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Long Term Open Access. (LTOA) [3 to 12 years]
Medium Term Open Access. (MTOA) [3 months to
3 years]
Short Term Open Access. (STOA) [up to 3
months]
Present Market at a Glance
Long Term
Market
Medium
Term
Market
Above 3 years 3months
-3Years
Short Term Open Access
Bilateral
Transaction
3 month
ahead
Collective
Transaction
Day Ahead
ahead
Schedules
Balancing Market ( UI )
( Real Time Operation )
Day Ahead
Transaction
After
Clearance of
PX
Contingency
Transaction
On the day of
operation
Governing Bodies
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State Load Dispatch Centers (SLDC)
Regional Load Dispatch Centers (RLDC)
National Load Dispatch Center (NLDC)
State Electricity Regulatory Commissions
(SERC)
Central Electricity Regulatory Commission
(CERC)
Regional Power Committee (RPC)
Regional Energy Authority (REA)
Central Energy Authority (CEA)
Power Ministry, Govt. of India
Regulatory Commissions
The Regulatory Commission remains the most important
organization in the electricity sector after the enactment of
the Electricity Act,2003.The new law distances Government
from regulation and transfers all regulatory responsibilities
to independent Regulatory Commissions. The Regulatory
Commissions are omnipresent across the wide range of
activities envisaged for the sector. They have the powers to
fix tariff, grant license, regulate the performance of the
licensees, adjudicate upon disputes, regulate the phasing
out of Open Access in distribution and determine Open
access surcharge etc.
The “Electrical Regions”
Area
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Region
States
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-East
TRIP, MEGH,
MANI, MIZO
A2
North-East
AS, AP, NAGA
4/13/2015
PPDPL
13
Procedure for Bilateral Transactions
There are two types of procedures of bilateral
transactions viz. :
 Procedure
for Individual bilateral transactions
(Other than Power Exchanges)
 Procedure for Collective Bilateral transactions (for
Power Exchanges)
OPEN ACCESS CHARGES
Charges in case of complete or partial approval
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Transmission Charges (as determined by CERC)
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Wheeling Charges (as determined by CERC)
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Imbalance (UI) Charges
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Reactive Energy Charges
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Surcharge
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Interconnection Charges
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Connectivity Charges
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Operating Charges (SLDC charges)
Charges irrespective of whether approval is granted or not
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Application Process fees of respective RLDCs and SLDCs (if
any)
Commercial Conditions for Bilateral Transaction
The Transmission charges for the use of the inter-State network shall be in
Rs./MWh depending upon the type of transaction and shall be payable by the
short-term customer for the energy approved at the point or points of injection.
The rate for transmission charges shall be as follows:
Type of Transaction
Transmission Charges
(Total) Rs/MWh
(a)
Bilateral, intra-regional
80
(b)
Bilateral, between adjacent region
160
(c)
Bilateral, wheeling through one or
more region
240
(d)
Collective transaction charges
100
Commercial Conditions for Bilateral Transaction
The following commercial conditions shall apply for the Bilateral
Transaction:
TERMS OF PAYMENT
All payments associated with Bilateral Transaction shall be made
by the applicant to the Nodal RLDC.
The applicant shall make following payment to the Nodal RLDC
within three working days from the date of acceptance of Bilateral
Transactions. The charges for scheduling of Bilateral Transactions
will be worked out on the basis of total MWh approved at the
point of injection.
a) Application Fees (as per revised Regulation)
An application made for each bilateral transaction or the
collective transaction shall be accompanied by a non-refundable
fee of Rupees five thousand (Rs.5000/-)only:
Provide that the fee for bilateral transaction on the day of the
application or on the day immediately following the day of the
application may be deposited within three working days of
submission of the application.
Price Calculation Mechanism
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The price calculation is done for every hour of
the day i.e. the trade matching is done for 24
events.
The trade matching indicates the market price at
a particular hour, total quantum traded, eligible
sellers and the buyers.
Financial Settlements (Transmission
Charges)
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Payments of Transmission charges and Operating
Charges shall be made by the Power Exchanges to
the NLDC, by next working day falling after the
day on which the Application was processed at
NLDC.
The Transmission charges for the use of intraState transmission system and Operating Charges
for the SLDCs shall be directly settled by the Power
Exchange (s) with the respective SLDC.
Submission of Open Access Application
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An open access customer or the power exchange (on
behalf of buyers and sellers) intending to avail of open
access for use of the transmission lines or associated
facilities for such lines on the inter-State transmission
system, shall make an application to the nodal agency
in accordance with these regulations.
The application for a bilateral transaction shall contain
the details, such as names and location of supplier and
buyer, contracted power (MW) to be scheduled and
interface at which it is referred to, point of injection,
point of drawl, starting time block and date, ending
time block and date, and such other information that
may be required in the detailed procedure.
The application for a collective transaction shall contain
the requisite details in accordance with the detailed
procedure.
Types of Scheduling on bilateral route
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Advance Booking: An application for advanced
scheduling for a bilateral transaction may be submitted
to the nodal RLDC up to the 4th month, considering the
month in which the application is made being the first
month.
First Come First Served (FCFS): An application can
be considered under FCFS only if an application is
made at-least 4 days prior to the commencement of
Bilateral transaction and all such applications shall be
processed within 3 days of their receipt.
Day-Ahead: Applications received 3 days prior to the
date of scheduling and up to 15:00 Hrs of day
immediately preceding the date of scheduling.
Contingency: Applications made after 15:00 hrs of
the day immediately preceding the day of scheduling.
PROCEDURE FOR SCHEDULING OF BILATERAL TRANSACTION ON
“FIRST-COME-FIRST-SERVED”BASIS.
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An Application shall be submitted to the nodal RLDC in a cover marked
“Application for scheduling on-First-come-first-served basis”.
Application received under the following categories shall be treated as “FirstCome-first-Served” application:Application received under “First Come First Served” category for Short-Term
Open Access shall be considered only when transactions are commencing and
terminating in the same calendar month.
Application for scheduling a Bilateral Transaction which Application is made,
provided that such Application is received at least four(4) days in advance from
the date of commencement of the Bilateral Transaction. All such Application
shall be processed and decided within three days of their receipt.
Application received during the last ten (10) days of the first month, for
scheduling of transactions in the second month. These Applications would be
considered after completing the process for Advance scheduling of Bilateral
Transaction in the second month. Accordingly ,Applications received up to five
(5) days prior to the end of the month shall be processed only after completing
the process for Advance Scheduling of Bilateral Transactions for the second
month.
PROCEDURE FOR SCHEDULING OF BILATERAL TRANSACTION ON
“FIRST-COME-FIRST-SERVED”BASIS.
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All Applications received by the Nodal RLDC in a
day up to 17:30 hrs shall be considered together
for processing and shall have same priority.
Applications received by the nodal RLDC after
17:30 hrs of a day shall be treated as having been
received on the next day.
Pro-rata scheduling acceptance shall be given in
case scheduling requests of the Applicants is for
more than the margins available.
PROCEDURE FOR SCHEDULING OF DAY-AHEAD BILATERAL
TRANSACTION
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Applications received within three days prior to the
date of scheduling and up to 15:00 Hrs. of the day
immediately preceding the day of scheduling shall
be treated as having been received together for
processing and shall have same priority.
Applications for day Ahead transactions shall be
processed only after processing of the Collective
Transactions of the Power Exchange (s).
Pro-rata scheduling acceptance shall be given in
case scheduling requests of the Applicants is for
more than the margins available.
PROCEDURE FOR SCHEDULING OF BILATERAL TRANSACTION IN
A CONTINGENCY.
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In the event of a contingency, the buyer or in its
behalf, a trader may locate, and the power
exchange may offer its platform to locate, a source
of power to meet short-term contingency
requirement and make an Application to the Nodal
RLDC.
Nodal RLDC shall accept such Application only after
1500 hrs of the day immediately preceding the day
of scheduling.
Nodal RLDC shall take steps to incorporate such
Bilateral Transactions in Day Ahead
schedules/Same-Day scheduled from the 6th time
block, counting the block in which acceptance is
accorded as the first time block.
Pro-rata scheduling acceptance shall be given in
case scheduling requests of the Applicants is for
more than the margins available.
Thank You