Description of AEMS (Automated Electricity Metering System) 1. The following objects (clients) can be connected to AEMS: The electricity market participants: with permitted connected load 100 kW and higher, with permitted connected load less than 100 kW, Associated users, Independent producers of electricity as associated users; as market participants. 2. AEMS installation costs for each group of users: The electricity market participants: For objects with simultaneously permitted connected load 100kW and higher – meter replacement and connection to AEMS is a free of charge service. For objects with simultaneously permitted connected load less than 100kW (it is possible in rear cases that the object’s total permitted connected load is higher than 100 kW, and 2 direct connection meters are installed): If a client agrees to an object’s hourly consumption metering in accordance with the standard load schedule – free of charge service, If a client would like to connect an object to AEMS, the user pays for meter replacement, AEMS terminals and their installation corresponding to the actual installation costs, Hourly consumption for non-metered objects is determined by way of calculation – free of charge service, If a client would like to use one’s own automated data reading system, the user sends the preceding day’s hourly load profile data, journal of events and accounting data on each commercial metering of electricity in defined file format to ST on a daily basis. Free of charge service. Associated users, who have applied for the connection to AEMS in a written form: For objects with simultaneously permitted connected load 100kW and higher – meter replacement and connection to AEMS is a free of charge service. For objects with simultaneously permitted connected load less than 100kW, the user pays for meter replacement, AEMS terminals and their installation corresponding to the actual installation costs, The repeatedly connected independent producers of electricity are obliged to connect the submitted/received commercial meterings of electricity as well as the meterings of electricity produced by the generators to AEMS. The independent producer pays for meter replacement, AEMS terminals and their installation corresponding to the actual installation costs. 3. Data exchange process for each group of users (the most typical cases): 1. The electricity market participants: For objects that are connected to AEMS and whose simultaneously permitted connected load is 100kW and higher – the meter data are exported to AEMS on a daily basis; after that, the data are exported from AEMS to CSPS (Customer Service and Payment System). DSO (ST) sends a bill for distribution system services to the user once a month; at the same time, DSO forwards the load profile data to the trader, who issues a bill for the electricity consumed. For objects with simultaneously permitted connected load less than 100kW: If payments are made following the standard load schedule – the user reports the electricity meter showings once a month by entering these showings into CSPS; next, the object’s monthly electricity consumption is calculated, and, following that, CSPS data are exported to AEMS and the electricity consumption is divided into hourly schedule in correspondence with the object’s classification. DSO (ST) sends a bill for distribution system services to the user once a month; at the same time, DSO forwards the load profile data to the trader, who issues a bill for the electricity consumed. If an object is connected to AEMS, the meter data are exported to AEMS on a daily basis; after that, the data are exported from AEMS to CSPS (Customer Service and Payment System). DSO (ST) sends a bill for distribution system services to the user once a month; at the same time, DSO forwards the load profile data to the trader, who issues a bill for the electricity consumed. For non-metered objects, the hourly consumption is determined by means of calculation in accordance with the objects’ classification. DSO (ST) sends a bill for distribution system services to the user once a month; at the same time, DSO forwards the load profile data to the trader, who issues a bill for the electricity consumed. If a client would like to use one’s own automated data reading system, the user sends the preceding day’s hourly load profile data, journal of events and accounting data on each commercial metering of electricity in defined file format to ST on a daily basis. The data submitted by the user will be processed and saved in the common metering database. DSO (ST) sends a bill for distribution system services to the user once a month; at the same time, DSO forwards the load profile data to the trader, who issues a bill for the electricity consumed. 2. The metering data of independent producers are exported to CSPS on a daily basis, and: if a producer is an associated user, then: 1. DSO (ST) sends a bill for the consumed active and reactive electricity in accordance with the tariff for associated users, 2. the public trader purchases electricity (balance) if a producer is the market participant, then: 1. DSO (ST) sends a bill for the total amount of electricity conducted into the network, 2. the trader sends a bill for the electricity sold, 3. the public trader purchases the electricity conducted into the system. All the data exchange processes specified above are free of charge. 4. AEMS service types available to users: In addition to automated reading of metering data and issuing of monthly bills, ST offers four optional services for the clients to choose (ST order No. 466 “On Automated Electricity Metering System (AEMS) access service” of 12.09.2008): 1. Once a month, data on the amount of electricity consumed in the preceding month are sent to the client’s specified e-mail address. Free of charge service. 2. Once a month, data on the amount of electricity consumed in the preceding month and hourly load schedule are sent to the client’s specified e-mail address. Free of charge service. 3. Information on the amount of electricity consumed in the preceding day and the hourly load schedule are made available to clients over the internet 24 h a day. Paid service – LVL 38.48 (including VAT) (iClients). 4. Information on the amount of electricity consumed in the preceding hour and the hourly load schedule are made available to clients over the internet 24 h a day. Paid service – LVL 176.40 (including VAT) (iClients). See working instructions for iClients here: Working with the internet program iClients 5. Classification of object, standard load schedule Users report the meter showings for objects (objects of the open market participants with permitted connected load up to 100kW). The monthly electricity consumption is calculated after the data have been entered into CSPS. This consumption in line with standard load schedule is divided into hourly schedule, determining the amount of electricity consumed by hours. Such a division is needed for correct calculation of payments for electricity supplied to the users, for the price of electricity in the open market is determined at hourly intervals; the price of electricity will be different at each subsequent hour. A particular classification is assigned to an object depending on the purpose of electricity consumption at the specific object (for example, “Greenhouse”, “Office”, “Shop”). A typical standard load schedule is worked out for each object classification on the basis of historical data of the relevant objects. It means, for example, that the hourly consumption of an individual house per 24 hours will differ from the hourly consumption of a shop per 24 hours. See below the comprehensive standard load schedule: Standard load schedules for users Individual house WORKING WEEKEND/ DAY HOLYDAY Hour Hourly consumption % Shopping centre WORKING WEEKEND/ DAY HOLIDAY Hour Hourly consumption % 01:00 02:00 03:00 04:00 05:00 06:00 07:00 08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00 00:00 01:00 02:00 03:00 04:00 05:00 06:00 07:00 08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00 00:00 2.16% 1.98% 1.92% 2.00% 2.85% 5.22% 4.55% 3.94% 3.69% 3.34% 3.68% 3.74% 3.27% 3.33% 4.18% 5.66% 7.09% 6.95% 7.13% 7.14% 6.03% 4.36% 3.19% 2.59% 2.23% 2.06% 1.95% 2.17% 3.22% 3.68% 4.89% 4.68% 4.34% 4.52% 4.77% 4.21% 4.26% 4.20% 4.38% 5.71% 5.51% 5.79% 5.88% 6.21% 5.37% 4.24% 3.19% 2.54% 2.18% 2.09% 2.04% 2.05% 2.09% 2.74% 3.54% 4.20% 4.94% 5.55% 5.64% 5.64% 5.68% 5.71% 5.72% 5.75% 5.75% 5.68% 5.57% 5.26% 4.66% 2.97% 2.35% 2.20% 2.14% 2.06% 2.01% 2.02% 2.07% 2.70% 3.43% 4.01% 4.87% 5.55% 5.66% 5.69% 5.75% 5.76% 5.75% 5.75% 5.74% 5.67% 5.61% 5.30% 4.72% 3.06% 2.40% 2.26% 6. Balancing service Every participant in the electricity market can use balancing service, which means that: the market participant compiles the expected hourly electricity consumption, the market participant comes to terms with the trader on the hourly price of electricity, the market participant comes to terms with the trader that a separate charge will be calculated for the consumed or unconsumed electricity, after the accounting period, the trader issues a bill to the user, reflecting the price for the consumed electricity and balancing service – which essentially means the price of the overconsumed or unconsumed electricity. The balancing electricity price is also determined by hours. A user of electricity, informing the system operator, may delegate the trader to settle accounts for the balancing service on behalf of the user. In this case, a strict amount of hourly consumption of electricity is not determined for the user, and the balancing charge is included in the price of electricity. For example: A user would like to do balancing by himself; hence, he compiles the expected hourly consumption for the subsequent accounting period (the example shows three hours of one day): Plānotā un patērētā ikstundas elektroenerģija 14 12 MWh 10 8 6 4 2 0 06:00 07:00 08:00 Stunda Plānotais patēriņš Reālais patēriņš /Electricity planned and consumed hourly Hour Planned consumption Actual consumption/ The user comes to terms with the trader that the price of the planned consumption of electricity (the pink column) will be: 1. at 6:00 – 300 LVL/MWh, 2. at 7:00 – 320 LVL/MWh, 3. at 8:00 – 340 LVL/MWh, Average ~ 320 LVL/MWh. In the case of consuming more electricity than planned, the price of electricity will be: 1. at 6:00 – 320 LVL/MWh, 2. at 7:00 – 340 LVL/MWh, 3. at 8:00 – 360 LVL/MWh. At the same time, if the planned amount of electricity is not consumed, the trader will buy back the planned unconsumed electricity for lower price: 1. at 6:00 – 150 LVL/MWh, 2. at 7:00 – 160 LVL/MWh, 3. at 8:00 – 170 LVL/MWh, It follows from the example that: 1. at 6:00 – 1x300x10=LVL 3000, 2. at 7:00 – 1x340x12=LVL 4080, 3. at 8:00 – 1x340x10 – 1x2x170=LVL 3060, Average ~ 338 LVL/MWh. An analogous calculation can be made for each hour of a month. Consequently, the client will pay LVL 10 140 for 30 MWh consumed, or the average of 338 LVL/MWh. This example demonstrates that if the planned schedule is not followed exactly, the price of electricity for the user increases for 38 LVL/MWh already within three hours. Conversely, if the client chooses to include the balancing service in the price of electricity, the average price of electricity will be higher; however, the user will not need to follow scrupulously his hourly consumptions of electricity. 7. Mandatory procurement component Paragraph 113 of the Cabinet Regulation No. 452 prescribes: “All end users of electricity shall cover the expenses of the provision of mandatory procurement of electricity produced by capacity, introduced according to the procedures for mandatory procurement and the procedures for a tender proportionally to the amount of the consumption of electricity thereof.” It means that the regulator has established an obligation for the public trader to purchase electricity from the producers who produce electricity by co-generation, from the producers who produce electricity by using renewable energy sources, from HPPs with capacity up to 5 MW, as well as from the producers whose capacities are introduced according to the procedures for a tender, for a higher price than it could be purchased from the wholesalers of electricity. The price difference for electricity purchased under mandatory procurement is covered by ALL the users of electricity irrespective of the tariff applied or the trader. For associated users, this difference is already included in the electricity tariff as justified expenses. For the market participants, this price of electricity is not included in the tariff; instead, it is reflected in the bill as a separate position. ! The clients of other traders also pay the mandatory procurement component. In this case, the “Mandatory Procurement Component” is included in the system operator’s bill. The system operator, in turn, transfers this collected component to the public trader.