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WELCOME TO POWER SECTOR BUDGET ZONE. 2012-13. POWER SECTOR REFORMS AND INFORMATION TECHNOLOGY. Agenda. 2012 POWER SECTOR BUDGET BUDGET EXPECTATIONS Need for Reforms Reforms in Power Sector BUDGET MEASURE Regulations Impact

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slide1

WELCOME

TO

POWER

SECTOR

BUDGET

ZONE

2012-13

agenda
Agenda
  • 2012 POWER SECTOR BUDGET
  • BUDGET EXPECTATIONS
  • Need for Reforms
  • Reforms in Power Sector
  • BUDGET MEASURE
  • Regulations
  • Impact
  • Role of IT
  • System Overview
2012 power sector budget
2012 POWER SECTOR BUDGET
  • Over the past few quarters, the power sector has seen hard times given the severe liquidity crunch that hit existing as well as new projects. And as such, the sector once again saw capacity addition that was way below the targets set out as part of the XIth Five Year Plan. While the situation on the funding side has improved considerably since the middle of 2008, companies are stepping up on new projects with utmost caution. This is especially given that linkage for fuel (especially coal and gas) is becoming a tough nut to crack. However, rural electrification continues to get a boost in each passing budget and so is the improvement in the T&D network. Budget 2011 was no different, as it allocated higher funds for the development of the power sector with a view of speeding up the expansion of new generation capacities
need for reforms
Need for Reforms
  • Objective of integrated National Grid
    • 5 regional grids working at varying grid frequency
    • Integration needs Frequency Normalization means proactive load management
    • Alternative – Insulation thro’ HVDC links – Expensive
  • Regional surplus & shortages
    • Surplus in east and shortage in south
  • Continued functioning at non-standard grid frequency
    • Damage to Generator & End User equipment
    • Hidden cost passed to customer in long term
need for reforms contd
Need for Reforms(contd…)
  • Central Vs State Generators
    • Capital cost Vs Variable cost
  • Beneficiaries not liable to pay fixed cost for their allocated share if not drawing
    • Increased cost of energy for beneficiaries drawing energy
  • Generation even without demand
    • High grid frequency
objective
Objective
  • Reforms in tariff structure of bulk power
    • Better system operations
    • Better grid discipline

through commercial incentives & disincentives

  • Ideal Grid Frequency = 50 Hz
reforms
Reforms
  • Electricity Act 2003
    • Replaced Electricity (Supply) Act 1948
  • Regulations
    • Availability Based Tariff (ABT)
    • Merit Order Dispatch (MOD)
    • Plant Performance
    • Energy Management
  • SEB Trifurcation
availability based tariff abt
Availability Based Tariff (ABT)
  • Deals with tariff structure for bulk power
  • Performance based tariff for supply based tariff
  • System of rewards and penalties seeking to enforce day ahead pre-committed schedules (One & One-half hours in advance)
  • Promote responsibility & accountability in power generation
  • Paradigm shift from maxpower to maxreliability
  • A path to deregulated power market
abt components
ABT Components
  • Capacity charges (Fixed)
      • Payable against declared capacity of station for allocated capacity rather than actual consumption
      • Full fixed charges payable at PLF of 68.49%
      • Incentive @ 0.4 % of equity for each percentage increase between 70-85%. Beyond 85% it is 0.3%
  • Energy charges (Variable)
      • As per actual consumption
  • Unscheduled Interchange (UI) charges: Penalty that depends on severity of deviation. Payable/recoverable if:
      • Generator generates more, thereby increasing frequency;
      • Generator generates less than the schedule, thereby decreasing frequency;
      • Beneficiary overdraws power, thereby decreasing frequency;
      • Beneficiary under draws power, thereby increasing frequency
merit order dispatch
Merit Order Dispatch
  • Objective from maximum production to optimal production
  • Multiple unit power plant to identify optimum loading for each unit to save on operational costs
  • Identify units to bring online / offline to meet plant demand at minimum operating cost
  • Dispatching least cost power in preference to more costly power
trifurcation

Holding Company

Generation

Company

Transmission

Company

Distribution

Company

Trifurcation
  • State Electricity Boards (SEBs) trifurcated as shown –
impact of abt transco
Impact of ABT – TRANSCO
  • Improved and efficient transmission systems
    • More generation capacity being added
    • Bottleneck in transmission to be avoided
  • Better forecasting systems
    • Vested with role of coordination between consumers & generators
  • Better communication and information systems
    • Communicate 15 min generation & consumption schedule to each party
    • Convey any unforeseen change in such a schedule
  • Improved metering & billing system
    • Ensure adequate metering capabilities for proper implementation of tariff structure
    • Specialized energy meters that keep track of 15-min energy aggregates & frequency for each interval to take care of energy charges and UI charges
impact of abt genco
Impact of ABT – GENCO
  • Advanced control & monitoring systems to closely monitor ex-bus output of plant
    • Generation should closely follow 15-minute schedule
  • Integrated information & communication system
    • To capture data from all components
    • Unscheduled downtime is not very acceptable in the ABT regime
  • MOD to ensure economic operation
    • Cost of generation, ramping, start up & shut down of each unit varies
  • Performance calculation for each unit of plant
    • Corresponding optimization to be done
  • Pro-active management plan
    • Unscheduled deviation from power generation schedule incur considerable penalties
    • Unexpected downtime of power plant should not occur
impact of abt discom
Impact of ABT – DISCOM
  • Enhanced load forecasting system
    • Consumer expected to stick to schedule of 96 intervals of 15-minute for each day
    • Failure to comply will attract penalty - UI charges
    • Basis of entering into commercial agreements with generating utilities
  • Reliable communication and information infrastructure
    • Load forecasting solution highly reliant on historical data for accuracy
    • To ensure smooth coordination with RLDC
  • Provision for in-house generation
    • Captive power plants - going to be more & more popular during transition to decentralized & deregulated power market
business objective

Efficiency

Input

Output

Minimize Cost

Maximize Returns

Business Objective
  • To generate & export electricity
  • Maximize output at lowest input
  • Maximizing returns require following ABT demand curve
regulations organization mapping

Company

ABT, Energy Management

Power Plants

Merit Order Dispatch

Units

Plant Performance

Regulations – Organization Mapping
abt regime
ABT Regime
  • Revenue calculation for GENCO depends on
    • Available capacity of plant
    • Implemented schedule
    • Grid Frequency
    • Actual energy export
    • Applicable tariff model
  • To maximize revenue & minimize input cost
    • Generation to closely follow demand schedule
    • Optimal loading of plant units
role of it
Role of IT
  • Monitor various online real-time plant parameters from different generating stations
  • Establish a full-fledged Generation Control Room for performance diagnosis & optimization
  • Provide suitable connectivity between each power station & Control Room
software
Software
  • HQ Level
    • ABT Optimization for UI Revenue Maximization
    • Economic Load Dispatch
    • Online Plant Performance Monitoring
  • Plant Level
    • Power Plant Monitoring for each Unit
    • Online Performance Monitoring & Calculation for each Unit
    • Merit Order Despatch (MOD) at Plant level
    • Dispatch Monitoring for Switchyard Energy Meters
hq level functions
HQ Level Functions
  • ABT Optimization for UI Revenue Maximization
    • Ability to optimize tariff by maximizing UI revenue
    • Generate invoices on basis of total energy exported & applicable UI charges
    • Account auxiliary consumption of plant for billing purpose
    • Account for operations of “Peak Load” plants & grid maintenance
    • Account for cost of operating (Supply of Reactive power, Startup/ Stop operations) plant for these purposes, as & when they are made applicable
  • Economic Load Dispatch
    • Calculate individual plant OLC schedule for all power plants
    • Provide online communication between LDC & GCR regarding generation schedule
  • Online Plant Performance Monitoring
    • Close monitoring of power plants & generating automatic deviation alerts at appropriate times
plant level functions
Plant Level Functions
  • Power Plant Monitoring for each Unit
    • Integrated information & communication system to capture unit data
    • Calculate various plant parameters for each unit performance.
    • Suggest operator for effects of varying plant parameters
  • Online Performance Monitoring & Calculation for each Unit
    • Monitor different plant parameters that may affect plant performance such as superheat temperature, reheat temperature, inlet/ outlet temperatures, excess air ratio etc.
  • Merit Order Despatch (MOD) at plant level
    • Support simulation facilities
    • Facilitate in determining optimal loading of plant units
  • Dispatch monitoring for switchyard energy meters
    • Close monitoring of switchyard energy meters to compare actual generation against scheduled generation
broad workflow

Fuel Reserves

Maintenance & Outage Information

Generation Capacity Estimation by Plant

OLC

Grid Management Variation

Load Despatch Center

Day Ahead Schedule

Actual Energy Export

Load Forecasting

Σ

Implemented Schedule

Generate

Invoice

Tariff Calculation

MOD Engine

Tariff Modeling

Plant Performance

ABT, PPA

Broad Workflow
software features abt
Software Features - ABT
  • Open communication architecture
  • Easy to use configuration utility
  • Flexible tariff calculation & UI charges module
  • Invoices in user-defined format
  • Reports and trends
  • Exporting reports & other data
  • Collecting 15-minute block aggregate data from meters & storing in ABT server
  • Monitoring actual generation Vs scheduled generation
software features mod
Software features - MOD
  • Capability to handle multiple units
  • Use of historical data to generate a best-fit cost curve for the unit
  • Configuring individual units with historical data and operating constraints
  • Unit commitment approach based on maintenance schedule, minimum up and downtimes to be imposed on each unit
  • Allows users to perform simulation
slide31

System Architecture

Generation Control Room

Parameters from

units in plants

REPORTS

DATA EXPORT MODULE

TARIFF CALCULATION

MANUAL DATA

QUERY

DCS/DAS DATA

APPLICATION INTERFACE

GEN. SCH. ENGINE

NON-DCS DATA

DATA ACCESS CONTROL

GEN. TAR. ENGINE

TARIFF MOD. ENGINE

DATA LAYER

ABT Engine

DATA STORAGE

Data Layer

dcs unit implementation

ManualInputs/ Configuration

DCS / DAS

LocalData

Store

CommunicationDriver

DataValidation

PerformanceCalculation

Intermediate & Detailed Results

Reports & Results

DCS Unit Implementation
non dcs unit implementation

Transducers

Signal Splitter

Controllers

Analog Cards

Plotters

RTU/ Data Concentrator

RTU 1

RTU 2

RTU n

TerminalServer

MODServer

MUX

Control

Room

Router

Other data

Non-DCS Unit Implementation
challenges
Challenges

DCS Units:

  • OPC compliance (tag, value and timestamp)
    • Tags vary from unit to unit – 1 tag list for each DCS - Depends on commissioning
    • Non OPC Compliant Interface Bus would require protocol gateways
    • Additional licensing cost or additional one-time licensing cost for implementing protocol gateways

Non-DCS Units:

  • Synchronization between DCS & non-DCS units
  • Selecting minimum critical parameters to be monitored by GCR
    • A standard parameter list for all non-DCS units will not work
    • Parameters – Analog or Digital
  • Identifying location of critical analog signal
    • Parallel tapping of signal with without affecting current setup
  • Real time V/s Polling Frequency
  • Historical data availability
system components
System Components
  • Data Acquisition System
  • Communication Infrastructure at Plant
  • Communication Backbone
  • Communication Infrastructure at HQ
  • Software solution at plant & HQ level
system in nutshell
System in nutshell
  • Data Acquisition
    • Capturing plant parameters
  • MOD Calculations
    • Calculating various plant performance parameters for each unit at plant level
  • Data capture from ABT meters
    • Monitoring performance of each unit and plant in control room
  • ABT Calculations
    • Calculating applicable tariff for each beneficiary
slide39

OUESTION

AND

ANSWER

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