AUGUST 2022, ISSUE 31
IEX BULLETIN
IN THIS ISSUE...
REGULATORY NEWS
MoP amends Energy Conservation Bill, 2022 | 01 | |
MoP issues Renewable Purchase Obligation | 01 | |
(RPO) and Energy Storage Obligation | ||
Trajectory till 2029-30 | ||
CERC issues Order on Blending of imported | 02 | |
coal with domestic coal to mitigate the | ||
domestic coal shortage | ||
POSOCO issues Draft Green Energy Open | 03 | |
Access Procedures, 2022 | ||
POSOCO issues Draft Detailed Procedures | 03 | |
for implementation of REC Mechanism, 2022 | ||
POSOCO issues Draft Procedures Electricity | 04 | |
(Late Payment Surcharge and related | ||
matters) Rules, 2022 | ||
Uttar Pradesh ERC issues Tariff | Order for | 05 |
UPPCL & UPPTCL | ||
Uttar Pradesh ERC issues Tariff | Order for | 05 |
NPCL |
Telangana Discom issues Additional 06 Surcharge Petition
Tamil Nadu Discom issues Tariff Petition | 07 | |
MPERC issues Draft Power Purchase and | 08 | |
Procurement Process Regulations, 2022 | ||
Karnataka ERC amends Grid Code | 08 | |
RE CAPACITY ADDITION | ||
THROUGH MARKETS TO ACHIEVE | ||
2030 TARGET | ||
Joint study by Solar Energy Corporation | 09 | |
of India (SECI) & IEX through Deloitte on | ||
re capacity addition through markets to | ||
achieve 2030 target | ||
POWER INSIGHTS | ||
Capacity and Demand/Supply Position | 12 | |
MARKET NEWS | ||
Market News | 14 | |
TRADE INSIGHTS | ||
Day-AheadPowerMarket | 15 | |
Term-AheadPowerMarket | 15 | |
Real-TimeElectricity Market | 17 | |
Green Market | 18 | |
REGULATORY NEWS
MoP amends Energy Conservation Bill, 2022
On 29 July 2022, the Ministry of Power introduced amendments to the Energy Conservation Bill. The bill seeks to:
- Mandate use of non-fossil sources, including Green Hydrogen, Green Ammonia, Biomass and Ethanol for energy and feedstock
- Establish Carbon Markets
- Bring large residential buildings within Energy Conservation regime
- Enhance scope of Energy Conservation Building Code
- Amend penalty provisions
- Increase members in Governing Council of BEE
- Empower SERC to make regulations for smooth discharge of functions
The Central Government may in consultation with BEE Specify carbon credit trading scheme and minimum share of consumption of non-fossil sources by designated consumers as energy or feedstock, with different share of consumption for different types of sources & designated consumers.
It also includes provision for voluntary purchase of ESCerts or Carbon Credit Certificates. Central Government or any agency authorised by it may issue these Certificates.
MoP issues Renewable Purchase Obligation (RPO) and Energy Storage Obligation Trajectory till 2029-30
On 22 July 2022, the Ministry of Power issued Renewable Purchase Obligation (RPO) and Energy Storage Obligation Trajectory till 2029-30.
Year | Wind RPO | HPO | Other RPO | Total RPO | Storage RPO |
2022-23 | 0.81% | 0.35% | 23.44% | 24.61% | |
2023-24 | 1.60% | 0.66% | 24.81% | 27.08% | 1% |
2024-25 | 2.46% | 1.08% | 26.37% | 29.91% | 1.50% |
2025-26 | 3.36% | 1.48% | 28.17% | 33.01% | 2% |
2026-27 | 4.29% | 1.80% | 29.86% | 35.95% | 2.50% |
2027-28 | 5.23% | 2.15% | 31.43% | 38.81% | 3% |
2028-29 | 6.16% | 2.51% | 32.69% | 41.36% | 3.50% |
2029-30 | 6.94% | 2.82% | 33.57% | 43.33% | 4% |
- Wind RPO to be met from Wind Power Projects commissioned after 31.3.2022
- HPO to be met from LHPs (including PSPs), commissioned after 8.3.2019.
- Other RPO to be met from any RE power project not mentioned above.
CERC issues Order on Blending of imported coal with domestic coal to mitigate the domestic coal shortage
On 26 July 2022, CERC issued Order on blending of imported coal with domestic coal to mitigate the domestic coal shortage. The significant highlights of the Order being:
- MoP directed CERC u/s 107 of Electricity Act, 2003 to allow higher amount of blending up to 30% with imported coal, subject to technical feasibility, without requirement of prior consultation of beneficiaries
- To facilitate availability of coal & ensure smooth & uninterrupted generation and to aid Discom to meet supply obligation, CERC relaxed provisions of Regulation 43(3) & issued following directions:
- "Amended First provision of sub Regulation (3) of Regulation 43 Provided that in such case, prior permission from beneficiaries shall not be a precondition for blending upto 20% from alternate sources of fuel supply including imported coal, subject to technical feasibility, unless otherwise agreed specifically in the power purchase agreement."
- In April 2022, MoP issued Order directing the Gencos to blend 10% of imported coal. Recently, MoP has removed this compulsion and has allowed states/IPPS and Ministry of Coal to decide the coal blending percentage after assessing the availability of domestic coal supplies
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POSOCO issues Draft Green Energy Open Access Procedures, 2022
On 15 July 2022, POSOCO issued Draft Green Energy Open Access Procedures, 2022.
Scope
The procedures shall apply to the applications made for grant of Green Energy OA (GEOA) by availing LTA/ MTOA/STOA at ISTS and InSTS level for the use of the transmission lines or associated facilities. All information related to approvals, rejections, revisions, curtailment etc. shall be made available through the web-based portal for Green Energy Open Access.
Nodal Agency
- ISTS- CTU for LTA/MTOA, RLDC for STOA
- InSTS- STU for LTA/MTOA, SLDC for STOA
Registration
- RLDC to process application for regional entity; SLDC for state entity
- SLDC to recommend applications to RLDC within 6 working days for new applications and 2 days for renewal. RLDC to process applications within 1 working day. Deemed registration within 6 days for new applications & 2 days for renewal
- CNA to process applications for registration of trader and PX, within 7 working days for new applications for and 3 days for renewal
- Registration valid for 3 years & shall be renewed thereafter
Submission of Application for GEOA
- Application for availing GEOA to be made through the portal
- Applications to be approved within 15 days, failing which it shall be deemed approved subject to fulfilment of tech requirements
POSOCO issues Draft Detailed Procedures for implementation of REC Mechanism, 2022
On 08 July 2022, POSOCO issued detailed procedures for implementation of REC Mechanism, 2022. The order includes procedure for accounting of generation, accreditation, registration, issuance, and redemption. The significant highlights of the order are:
- Redemption of RECs through Power Exchanges is same as existing
- Redemption of RECs through Traders:
- Trader will register itself with the Central Agency on REC web portal
- Trader to place request to Central Agency for trade, specifying quantity of certificates to be exchanged. Before applying for trade request, trader must have back-to-back arrangement with buyer & seller
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- Eligible entity will give consent to the request placed by electricity trader through REC portal within 3 working days (excluding the day of application), otherwise, trade application will be rejected by the Central Agency
- All the trade applications received till 15:00 hrs will be processed by 15:00 hrs of the next working day.
Timelines
- Power Exchanges - Monthly trading on the last Wednesday (13:00 Hrs to 15:00 Hrs )
- Electricity traders- Applications submitted by trader and consented by seller received till 15:00 hrs will be processed by 15:00 hrs of next working day
POSOCO issues Draft Procedures Electricity (Late Payment Surcharge and related matters) Rules, 2022
On 06 July 2022, POSOCO issued procedure in respect of the Electricity (Late payment surcharge and related matters) Rules, 2022. The draft procedure is aligned with the previous procedures and the Final Rules issued by the MoP on 03 June 2022. Other significant highlights of the order are:
- It is applicable to all intra & inter-state generators except the state Gencos
- LDC to schedule Power after receipt of intimation regarding LC opening
- If no intimation by Discom within 7 days, the intimation by Genco to be considered as final
- In case of difficulty in opening LC, Discom may pay in advance for atleast 1 day's purchase
- If outstanding is overdue >2.5 months from date of bill presentation, Discom to be debarred for sale & purchase through PXs or grant of STOA. Same applicable on the already approved bilateral STOA transactions.
- If outstanding is overdue>30 days after due date of EMI discom shall be debarred for sale & purchase through PXs or grant of STOA
- In case of non-maintenance of adequate LC or advance payment, power supply from the Genco shall not be scheduled for the Discom
- Gencos to provide information on LC or advance payment status against LT/MT transactions by 8 A.M. in PSM Portal of NLDC on day ahead basis
- Concerned intra/inter-state generator allowed to sell non-scheduled power to power market
- In case a Genco fails to offer the contracted power as per the agreement to a Discom and sells contracted power without consent to other party, except in case of power supply regulation under Section A of this procedure, the said Genco, on a complaint by licensee to the concerned LDC, shall be debarred from participating in PXs and on DEEP and scheduling of any new short-term contracts for a period of 3 months from the date on which the default has been taken cognizance by the concerned load dispatch centre
- The period of debarment shall increase to 6 months for second default and shall be one year for each successive default
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Uttar Pradesh ERC issues Tariff Order for UPPCL & UPPTCL
On 20 July 2022, Uttar Pradesh ERC Tariff Order for UPPCL & UPPTCL approving Power Purchase Cost for FY 2022-23 at Rs. 5.23/unit including transmission charges. UPERC in the order clarified that no approval required for purchasing power through Exchange or to fulfil contingent requirements, however for all other purchases, prior approval of the Commission is required.
No change has been made in industrial tariff and introduction of Green Energy Tariff for consumers except
domestic and agriculture has been approved. Green Energy Tariff @Rs. | 0.54 per kWh. | |||
OA Charges for Industrial Consumers: | ||||
Parameters | Voltage | Unit | 2021-22 | 2022-23 |
11 kV | Rs./unit | 0.754 | 0.92 | |
Wheeling Charge | ||||
33 kV | Rs./unit | 0.471 | 0.92 | |
11 kV | % | 7.75% | 7.75% | |
Wheeling Loss | ||||
33 kV | % | 1.78% | 0.46% | |
11 kV | Rs./unit | 0.93 | 0.77 | |
33 kV & 66 kV | Rs./unit | 1.07 | 0.67 | |
CSS | ||||
110 kV & 132 kV | Rs./unit | 0.84 | 0.76 | |
>132 kV | Rs./unit | 0.82 | 0.49 | |
Transmission Charge | Rs./unit | 0.2421 | 0.2465 | |
Transmission Loss | % | 3.33% | 3.27% | |
Uttar Pradesh ERC issues Tariff Order for NPCL
On 20 July 2022, Uttar Pradesh ERC issued Tariff Order for NPCL and has approved Power Purchase Cost at Rs. 5.08/unit (including transmission charges). It also approved purchase of 630 MUs from Power exchange (at NPCL periphery).
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Indian Energy Exchange Ltd. published this content on 21 September 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 September 2022 10:09:10 UTC.