The Assam Electricity Regulatory Commission (AERC) has issued AERC (Deviation Settlement Mechanism and related matters) Regulations, 2018. These regulations apply to the state of Assam and will come into force with effect from the date of its publication in Assam Gazette.

The objective of these regulations is to maintain grid discipline and security through the commercial mechanism for deviation settlement through drawal and injection of electricity by the users of the grid.

These regulations will apply to the transactions related to transmission of electricity through short-term open access (STOA) or medium-term open access (MTOA) or long-term open access (LTOA) using intrastate transmission system or distribution system of electricity (including inter-state wheeling of power).

Key Highlights

• Deviation settlement mechanism will be applicable for all sellers including generators, captive generators connected to intrastate transmission system.
• Forecasting, scheduling and deviation settlement related matters for solar and wind generation will be governed per the provisions of AERC (Forecasting, Scheduling and Deviation Settlement and related matters of Solar and Wind Generation Sources) Regulations, 2018.
• Deviation settlement mechanism will be applicable to all buyers including distribution licensees (DISCOMs), deemed licensees in Assam.
• Deviation charges for settlement of open access consumers (both full and embedded) connected to intrastate transmission system and to distribution network will be in accordance with the provisions of AERC (terms and conditions for open Access), 2018.
• State entities will inform the state load dispatch center (SLDC) of all contracts entered by them for exchange of energy.
• State entities will enter into connection agreement/open access agreement with the concerned transmission licensee.
• State entities will make necessary arrangements for putting up interface meters, capable of recording energy flows at 15-minute intervals, at the points of injection and drawal of power.
• The scheduling period will comprise of 96, time blocks, each of 15-minute duration starting from 00:00 hours (IST) ending with 24:00 hours (IST).
• The first, time block of scheduling period will commence from 00:00 hours (IST) to 00:15 hours (IST), second time block of scheduling period will commence from 00:15 hours (IST) to 00:30 hours (IST) and so on.
• All the sellers and buyers will be governed by the scheduling and dispatch procedure to be formulated by SLDC in accordance with provisions of AERC (Electricity Grid Code) Regulations, 2018.
• No deviation will be allowed beyond the specified operating range of frequency band.
• For the purposes of deviation settlement amongst state entities, SLDC will work out the deviation for state deviation pool accounts comprising over-drawal/under-drawal and over-injection and under-injection for each state entity corresponding to each scheduling period.
• Preparation and settlement of state deviation pool accounts will be undertaken on weekly basis.
• The generating station, as far as possible, will generate electricity as per the day-ahead generation schedule finalized by the SLDC.
• Any infirm injection of power by a generating station prior to commercial operation date (COD) will be exempted from the volume limit as and when specified by the AERC for a period not exceeding 6 months or the extended time allowed by AERC.
• Any drawal of power by a generating station prior to COD of a unit for the startup activities will be exempted from the volume limit.
• Any drawal of power by a generating station prior to COD of a unit for the startup activities will be exempted from the levy of additional charges of deviation.
• The payment of charges for deviation will have a high priority and the concerned state entity will pay the indicated amounts within 10 days of the issue of statement by SLDC.

These regulations along with AERC (terms and conditions for open access regulations) 2018 is prepared to help strengthening the grid in Assam.

In March, AERC had issued draft terms and conditions for open access regulations in 2018. According to the draft rules, generating companies, captive generating plants, and consumers would be required to pay for transmission and other charges in order to become eligible for open access to the intra-state transmission system of the state transmission utility (STU) or any intra-state transmission licensee.

In the past, AERC had also released regulations relating to the generation and supply of renewable energy from micro- and mini-grids.

Image Credit: http://www.sldcassam.in/

Saumy is a senior staff reporter with MercomIndia.com covering business and energy news since 2016. Prior to Mercom, Saumy was a copy editor at Thomson Reuters. Saumy earned his Bachelors Degree in Journalism & Mass Communication from the Manipal Institute of Communication at Manipal University. More articles from Saumy Prateek.