DISCUSSION ON COMMERCIAL ASPECTS AND NEW

UPCOMING DSM REGULATION

29.11.2022
 BASIC TERMS

• INSTALLED CAPACITY = 2*15.84 MU (2*660*24/1000)

• DECLARED CAPACITY(DC) Normative = 2*14.85 MU (2*660*24*0.9375)

• SCHEDULE GENERATION(SG) = Schedule issued by RLDC

• ACTUAL GENERATION(AG) = Actual Energy supplied by the generating station

• UNSCHEDULED INTERCHANGE(UI)=AG-SG, Deviation of AG from the schedule

 For one Unit of electricity generation
Normative Heat req. in Kcal 2237
(1832+86% Boiler Efficiency+5%)

Coal in Kg 0.65(@ 3300 gcv)

Water in Lts. 3.0
Oil in ML 0.5
Cost in Rs. ECR 4.20-5.35 Rs/ Kwh

3
 Design Coal
GCV Kcal/Kg 3300
Free carbon % 24
Moisture % 14
Volatile matter % 21
Ash % 41

4
 INCOME
• ROE on fixed charges ( 15.5 %)
• (Marginal contribution) SCHEDULE GENERATION
• DSM(SG-AG)
• RRAS (50 Paisa/unit for RRAS-UP and 25% fuel cost for RRAS-DOWN)
• SCED (7 paisa/unit)
• AGC (50 paisa/unit)
• RTM
• Additional ROE of up to 1% based on ramping.
EMPLOYEE COST (Incl/MGR/CHP Exp) Actual Expenditure
SALARIES & WAGES 6497.14
CONTRIBUTION TO PF & OTHER FUND 742.26
UNWINDING OF DEFERRED PAYROLL-IND AS 44.55
WELFARE EXPENSES 548.95
MEDICAL EXPS 488.58
NET EMPLOYEE COST (SUB TOTAL-v-vi) 83 Cr
REPAIR & MAINTENANCE (R&M) Actual Expenditure
PLANT & MACHINERY (incl.MGR/CHP & Cap OH)
-ROUTINE
-Material Cost 2775.83
-Contractor & Others 4425.33
-OVERHAUL
-Material Cost 0.00
-Material Cost-Cap OH as per Ind AS 247.54
-Contractor & Others 0.00
-Contractor & Others-Cap OH as per Ind AS 340.47
BUILDINGS & OTHER ASSETS
-Material Cost 41.35
-Contractor & Others 794.04
TOWNSHIP ASSETS
-Material Cost 5.93
-Contractor & Others 369.80
TOTAL R&M COST(2) (Incl/MGR/CHP Exp & Cap OH) 90Cr
STATION OVERHEADS (Incl/MGR/CHP Exp) Actual Expenditure
POWER CHARGES 1068.02
CHEMICALS & STORES CONSUMED 1002.31
WATER & ENVIRONMENT CESS 0.00
WATER CHARGES 2008.29
INSURANCE 544.15
SECURITY EXPENSES 1699.71
COMMUNICATION EXPENSES 98.27
INLAND TRAVELLING EXPENSES 320.21
FOREIGN TRAVELLING EXPENSES 0.00
HIRING OF VEHICLE EXPENSES (EXCL.VEHICLE RUNNING EXP) 173.72
TENDER EXPENSES 1.90
LEGAL & PROFESSIONAL CONSULT. 98.27
TRAINING EXPENSES 91.83
ADVERTISEMENT & PUBLICITY 1.04
EDUCATION EXPENSES 42.14
OTHER ADMINISTRATIVE OVERHEADS 1549.96
CSR EXPENSES(incl.transd from Education exp under Stn OH) 255.19
ASH UTILISATION EXP.(Net of Reserve) Fly Ash Transportation 0.00
ASH UTILISATION EXP.(Net of Reserve) Other than Transportation 0.00
ENERGY CONSERVATION 76.75
ENVIRONMENT MANAGEMENT EXPENSES 93.82
TOTAL STATION OVERHEADS (3) (Incl/MGR/CHP Exp) 91 Cr

Total 282 Cr
 Start-up cost of unit 2 revival from RSD

TRIP Outage cost Start-up

Unit/Time/date Outage hours OIL LDO - KL 230
Load Outage Mus OIL cost Rs 21063400
Frequency ECR Rs/Kwh Coal MT before Sync 19.8
Schedule Revenue loss due to Coal cost Rs 146520
prevailing PLF at the 0
AG time of Trip Rs Make up water M^3 840
AFC loss in case
Gross DSM Rs annual DC goes 0 water charges Rs 15120
below 85% Rs
Net DSM Rs Cyclic+ Non cyclic DM
755
(fuel cost adjusted) water M^3
Remark Chemical charges Rs 33975
Net DSM Rs 1291390
(fuel cost adjusted)
Maintenance cost Rs 0

TOTAL COST (excluding Revenue loss and AFC loss) Rs Crore 2.26

TOTAL COST (Including Revenue loss and AFC loss) Rs Crore 2.26
 Start-up cost of unit 2 revival from TRIP
TRIP Outage cost Start-up
09/11/2022 at 07:12
Unit/Time/date Outage hours 3.67 OIL LDO - KL 16
hrs
Load 464.00 Outage Mus 2.42 OIL cost Rs 1465280
Frequency 49.99 ECR Rs/Kwh 5.74 Coal MT before Sync 64
Schedule 391.00 Revenue loss due to Coal cost Rs 473600
prevailing PLF at the 639206
AG 464.00 time of Trip Rs Make up water M^3 0
AFC loss in case
annual DC goes 4351122 water charges Rs 0
below 85% Rs
Net DSM Rs Cyclic+ Non cyclic DM
909743 150
(fuel cost adjusted) water M^3
Remark Chemical charges Rs 6750
Gross DSM Charges Rs 217885
Net DSM Rs 2692697
(fuel cost adjusted)
Maintenance cost Rs 0

TOTAL COST (excluding Revenue loss and AFC loss) Rs Crore 0.55

TOTAL COST (Including Revenue loss and AFC loss) Rs Crore 1.05
 Click to edit Master title style
Day Ahead Scheduling--DAM
DAM

Review corridor
Bidding Matching and funds Result Confirmation Scheduling
availability

10:00 am to 12:00 pm to 1:00 pm to 3:00 pm 5:30 pm 6:00 pm

12:00 pm 1:00 pm 2:00 pm

Bids for MCP Corridor Final ACV Collective Final

15- min & availability and ACP transaction Schedule sent
each or MCV and funds calculated. confirmation to
block bid calculated verified Market by NLDC Generators
splitting if for
congestion incorporation

Copyright © 2016 Your Company All Rights Reserved. 12

Time lines of RTM
Schedule revision stopped for T7 & T8

T1 T2 T3 T4 T5 T6 T7 T8
2345 0000 0015 0030
2230 Odd block 2245 2300 2315 2330
91st block Auction Results Schedule preparation Prep for Delivery Period
• Schedule
& Communications Dispatch
Revision can
happen from
T7 onwards.

• Auction will
take place for
T7 & T8 in the
next block after
schedules are Schedule revision stopped for T8 & T9
frozen in T1
T1 T2 T3 T4 T5 T6 T7 T8 T9
Even block 2345 0000
2245 2300 Odd block 2315 2330 0015 0030 0045 0100
92nd block Auction Results Schedule preparation Delivery Period
• Schedule Revision can Prep for
happen from T8 (T7 for & Communications Dispatch
the next block) onwards.

• Auction will take place

for T8 & T9 in the next
block after schedules are
frozen in T2

13
Ancillary Services- Support to Grid
Inertial
response Mandated as AGC
as stored per Grid Code Implementation
kinetic via
energy RGMO/FGMO

TRAS
/RRAS/Gas/hydro
scheduling

FRRAS scheduling
4000MW

0 5sec 30sec 5 min 15 min 6

**DC declaration /implementation during startup, trip etc. needs to highly articulative
• Software upgrade planned on 30th Nov 22.

• DC revision is to be done promptly during equipment issues, ramping and start-ups and trips by SCE.

• PMs to be scheduled as per the market demand/price scenario.

• CFT members timely signature for avoiding any delay of work.

• Ramping performance augmentation by coal quality management and ramp declaration optimization.

• Startup activities and sync time suitability, as per the demand and applicable charges.

• Asking rates for 2% deviation and ramp achievement – Main ABT feature screen incorporation

• PI tags for RGMO/Unit set point

• Ramp rate in first block

• AGC set point input during SG< Tech Min. and maximum load

• th
 CERC Order Dt. 26th Dec-22 (amendment DSM regulation 2022)

1. Normal deviation is capped at 12 Rs/Kwh.

2. New frequency band targeted is 49.90-50.05 Hz

3. Old DSM w.e.f 5th Dec-22 is valid between above frequency band only old DSM

4. Frequency is again re-linked with DSM

5. RGMO/FGMO response not appropriate

6. In case of grid frequency >= 50.05 Hz

a. No charges will be paid to generator even for over-injection up-to 2% of SG.
b. For any under-injection at frequency >=50.05 Hz, generators must pay only 50%
of ECR… 50% ECR savings

7. When frequency is <=49.9 Hz

Generators will get 150% of ECR for any over-injection (irrespective of volume limit of 2%)…
50% ECR savings
For frequency >=50.05 hz, grid will be helped by under injection and will be further
disturbed by over injection.

In last day’s order, under injection is promoted by giving savings to generators at 50%
ECR whereas over injection is still penalized in same old way with no charges even for
2% above SG

For frequency <=49.9 hz, grid will be helped by over injection and will be further
disturbed by under injection.

In last day’s order, over injection is promoted by giving savings to generators at 50%
ECR whereas under injection is still penalized in same old way with no charges.
PROS
For any under-injection at frequency >=50.05 Hz, generators must pay only 50%
of ECR… 50% ECR savings

For any over-injection at frequency <=49.9 Hz, generators will get 150% of ECR
(irrespective of volume limit of 2%)… 50% ECR savings

CONS
Frequency >=50.05 hz, no deviation charges will be paid to the generator for any
over injection (Earlier up-to 2% of SG, generators were paid at ECR)

Solapur being high ECR station can gain from under or over injection savings
@50% ECR, provided we have margins for the same at frequency end.
As frequency profile is uncertain in this new regime, so best is to stick to schedule
for few days and then analyze and act