MPERC amends grid code for renewables, storage and thermal plants

The Madhya Pradesh Electricity Regulatory Commission (MPERC) has notified the First Amendment to the Madhya Pradesh Electricity Grid Code (Revision-III), 2024, introducing changes to the operation of renewable energy projects, energy storage systems (ESSs), thermal generating stations and hydro projects.  

Infirm power period reduced

The amendment reduces the maximum period for injection of infirm power by Renewable Energy Generating Stations and ESSs, excluding hydro pumped storage project (PSP) ESSs, from one year to 45 days from the date of first-time energization and integration approval.

The one-year limit continues to apply to thermal, hydro and other conventional generating stations.

Extension mechanism

MPERC has introduced a two-stage approval process for extending the 45-day period.

The State Load Dispatch Centre (SLDC) or Regional Load Dispatch Centre (RLDC) may grant extensions of up to three months if the generating station or ESS applies at least 10 days before expiry of the stipulated period and provides detailed reasons.

Extensions beyond three months will require approval from the Commission on an application submitted at least 15 days before the expiry of the stipulated period.

Hydro trial runs

The amendment allows hydro generating stations to declare their Commercial Operation Date (COD) even if they cannot demonstrate design capability up to rated water drawing levels because of insufficient reservoir levels.

Such stations must demonstrate full design capability once adequate water becomes available. If they fail to do so, the generating company must either conduct a repeat trial run or de-rate the generating capacity, with the de-rating taking effect from the COD.

Scheduling changes

Scheduling of a generating station or unit will now commence from 00:00 hours of D+2, where D is the date on which the station intimates commercial operation or the declared COD, whichever is later.

The amendment also shifts the effective time for revisions in declared capacity (DC) and schedules from the fourth time block to the seventh or eighth time block under Regulations 9.6 and 9.7.

Limits on schedule revisions

The amendment introduces limits on the number of schedule revisions.

Thermal generating stations, excluding gas-based and hydro stations, may revise DC and schedules up to four times per day and 60 times per month.

Hydro generating stations may revise DC and schedules up to six times per day and 120 times per month.

Revisions are permitted for reasons including partial unit outages, changes in fuel quality, water availability or other technical reasons, which must be recorded in writing. The SLDC may allow upward revisions beyond these limits if required for grid operation.

The amendment also specifies that revisions are permitted only for bilateral transactions and not for collective transactions.

Sale of surplus power

Generating stations whose tariffs are determined under Section 62 of the Electricity Act may now sell un-requisitioned surplus power in the day-ahead market at 9:45 AM without obtaining beneficiary consent.

Any gains from such sales will be shared between the generator and beneficiaries in accordance with the Power Purchase Agreement.

Compensation for thermal plants

The amendment revises the compensation framework for thermal generating stations operating below their technical minimum schedule.

It introduces loading-based norms for heat rate degradation for sub-critical and super-critical units, revised auxiliary energy consumption degradation norms, and compensation for additional start-up fuel beyond seven start-stop cycles in a year.

Thermal units operating below 55% loading will be eligible for additional specific secondary fuel oil consumption of 0.2 ml/kWh. Super-critical and ultra-super-critical units will also receive a 10% additional start-up oil allowance for three years from COD.

Financial gains remaining after compensation and actual energy charges will be shared equally between generating stations and beneficiaries. The SLDC has been directed to prepare a detailed implementation procedure in consultation with generators and beneficiaries through the Operation Coordination Committee (OCC) forum and submit it to the Commission for approval.

Expanded AMR requirements

The amendment expands Automatic Meter Reading (AMR) requirements to include all distribution company (Discom)-embedded entities, including open access consumers and renewable energy generating stations connected to the Discom network.

These entities must provide AMR facilities for remote transmission of Availability Based Tariff (ABT) meter data to Discoms. The Discoms will, in turn, provide ABT meter data and certified energy data to the SLDC for entities whose power is procured by Madhya Pradesh Power Management Company Limited (MPPMCL), sold to third parties, used for captive consumption or traded outside the state.

Reactive power support

The amendment introduces new provisions for reactive power compensation for inverter-based resources, including wind, solar and ESSs.

These resources must maintain reactive power capability in accordance with Central Electricity Authority (CEA) Connectivity Standards at all times, including during non-operating hours and night hours for solar plants.

The active power consumed while providing reactive power support under synchronous condenser or night-mode operation will not be charged and will instead be treated as transmission or distribution losses within the intra-state network.

The featured photograph is for representation only.