Detailed Operating Procedure For Energy Accounting and

Office of the Chief Engineer / SLDC

SLDC Building, Ablowal, Patiala-147001

Detailed Operating Procedure

For

Energy Accounting and Deviation Settlement of State Entities

In accordance with

Punjab State Electricity Regulatory Commission (Deviation Settlement Mechanism

and related matters) Regulations, 2020

To be approved by

Punjab State Electricity Regulatory Commission

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Detailed Operating procedure for Energy Accounting and Deviation Settlement of State Entities in accordance with the PSERC (Deviation Settlement Mechanism and Related Matters) Regulations, 2020

1. OUTLINE:-

This procedure is in accordance with the Punjab State Electricity Regulatory Commission

(Deviation Settlement Mechanism and related matters) Regulations, 2020, hereinafter

referred as "DSM Regulations". All the applicants shall abide by the provisions of the

Regulations. In case of any inconsistency in the provisions of this procedure with the

Act/Regulations/Rules framed under the Act, the provisions of the Act/Regulations/Rules

shall prevail.

2. Definitions and Interpretation

i. ‘Act’ means the Electricity Act, 2003 (36 of2003);

ii. ‘Actual drawal’ in a time-block means electricity drawn by a Buyer, as measured by the

interface meters;

iii. ‘Actual injection’ in a time-block means electricity generated or supplied by the Seller, as

the case may be, as measured by the interface meters;

iv. ‘Area Clearing Price (ACP)’ means the price of a time block electricity contract

established on the Power Exchange after considering all valid purchase and sale bids in

particular area(s) after market splitting, i.e. dividing the market across constrained

transmission corridor(s);

v. ‘Buyer’ means a person, including distribution licensee, deemed distribution licensees or

open access consumer, purchasing electricity through a transaction scheduled in

accordance with the regulations applicable for short-term open access, medium-term

open access and long term access;

vi. ‘Central Commission (CERC)’ means Central Electricity Regulatory Commission referred

to in subsection (1) of Section 76 of the Act.

vii. ‘Connectivity Regulations' means the Punjab State Electricity Regulatory Commission

(Terms and Conditions for Intra-state Open Access) Regulations, 2011,as amended from

time to time and shall include any subsequent amendment thereof;

viii. ‘Commission' means the Punjab State Electricity Regulatory Commission referred to in

subsection (1) of section 82 of the Act;

ix. ‘Day Ahead Market (DAM)’ means a market where physical delivery of electricity occurs

on the next day (T+1) of the date of transaction (T) and is governed by the Central

Electricity Regulatory Commission (Power Market) Regulations, 2010 (as amended from

time to time), the Rules and Bye-Laws of the Power Exchanges as approved by the Central

Commission;

x. ‘Daily Base DSM Charge’ means the sum of charges for deviations for all time blocks in a

day payable or receivable as the case may be, excluding the additional charges specified

under Regulation 10 of DSM Regulations;

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xi. ‘Deviation’ in a time-block for a Seller means its total actual injection minus its total

scheduled generation and for a Buyer means its total actual drawal minus its total

scheduled drawal;

xii. ‘Deviation Settlement Mechanism’ shall mean and include the framework for energy

accounting, deviation accounting, rules for pricing of deviation(s) payable and receivable

by the State entities and other design parameters as specified under Regulation 6 of DSM

Regulations;

xiii. ‘Full Open Access Consumer’ shall mean Open Access Consumer connected to

transmission system or distribution system but not having any contract demand with the

distribution licensee within the state;

xiv. ‘Gaming’ in relation to DSM Regulations, shall mean an intentional mis-declaration of

declared capacity by any Seller or intentional mis-declaration of drawal schedule by any

Buyer in order to make an undue commercial gain through Charge for Deviations;

xv. ‘Grid Code’ means the Grid Code specified by the Commission under clause (h) of

subsection (1) of Section 86 of the Act;

xvi. ‘Implemented Schedule for Seller’ means the final schedule of Seller at the end of the

day (24:00 Hrs) after incorporating all Intra-day revisions, which shall be considered for

Deviation Settlement calculation;

xvii. ‘Implemented Schedule for Buyer’ means the final schedule of buyer at the end of the

day (24:00 Hrs) after incorporating all Intra-day revisions, wich shall be considered for

Deviation Settlement calculation;

xviii. ‘Indian Electricity Grid Code’ (or ‘IEGC’) means the Grid Code specified by the Central

Electricity Regulatory Commission under Section 79(1)(h) of the Act;

xix. ‘Interface Meters’ means interface meters as defined by the Central Electricity Authority

under the Central Electricity Authority (Installation and Operation of Meters) Regulations,

2006, as amended from time to time;

xx. ‘Load Despatch Centre’ means National Load Despatch Centre, Regional Load Despatch

Centre or State Load Despatch Centre, as the case may be, responsible for coordinating,

scheduling of the Buyers and the Sellers in accordance with the provisions of Grid Code;

xxi. ‘MoD Guidelines’ means the Guidelines for operation of Merit Order Despatch and

amendments thereof, as may be approved by the Commission separately, if required, in

accordance with State Grid Code;

xxii. ‘Northern Regional Load Despatch Centre (NRLDC)’ means a centre established

established under sub section (1) of section 31 of the Act Northern Region for

coordinating scheduling of regional entities in accordance with the provisions of IEGC.

xxiii. ‘Northern Regional Power Committee (NRPC)’ means a committee established by

resolution by the Central Government for Northern Region for facilitating the integrated

operation of the power systems in northern region.

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xxiv. 'Open Access Regulations' means the Punjab State Electricity Regulatory Commission

(Terms and conditions for Intra-State Open Access) Regulations, 2011, as amended from

time to time;

xxv. ‘Partial Open Access Consumer’ shall mean Open Access Consumer connected to the

transmission system or distribution system and having his contract demand with the

distribution licensee within the state;

xxvi. ‘PSPCL’ means Punjab State Power Corporation Limited, a successor company of the

erstwhile Punjab State Electricity Board (PSEB), notified as the Distribution Licensee

(discom) by Government of Punjab and entrusted with the work of Generation and

Distribution business of erstwhile PSEB.

xxvii. ‘PSTCL’ means Punjab State Transmission Corporation Limited, a successor company of

erstwhile Punjab State Electricity Board (PSEB), notified as State Transmission Utility

(STU) by Government of Punjab and entrusted with the work of transmission business of

erstwhile PSEB and responsibility to operate the SLDC.

xxviii. ‘Scheduled Generation’ at any time or for a time block or any period means schedule of

generation in MW or MWh ex-bus given by the concerned Load Despatch Centre;

xxix. ‘Scheduled Drawal’ at any time or for a time block or any period time block means

schedule of despatch in MW or MWh ex-bus given by the concerned Load Despatch

Centre;

xxx. ‘Seller’ means a person, including a generating station or unit of generating station

including Captive Power Plant, supplying electricity to the grid through a transaction

scheduled in accordance with the regulations applicable for short-term open access,

medium-term open access and long-term open access;

xxxi. ‘State Deviation Pool Account’ means the State Account for receipts and payments on

account of deviations by Buyers and Sellers;

xxxii. ‘State Entity’ means such person who is in the SLDC control area and whose metering

and energy accounting is done at the state level;

xxxiii. ‘State Load Despatch Centre’ or ‘SLDC’ means the Load Despatch Centre of the State

established under sub section (1) of section 31 of the Act, responsible for co-ordinating

scheduling of the state entities in accordance with the provisions of State Grid Code;

xxxiv. ‘Time-Block’ means a time block of 15 minutes or any such shorter duration as may be

notified by the Commission, for which specified electrical parameters and quantities are

recorded by a special energy meter, with the first time block starting at 00.00 hours;

xxxv. ‘Time Block DSM Charge’ means the charge for deviation for the specific time block in a

day payable or receivable as the case may be, excluding the additional charges as

specified under Regulation 10 of DSM Regulations.

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3. Applicability:-

This Procedure shall apply to the Seller(s) and Buyer(s) involved in the transactions facilitated

through short- term open access or medium-term open access or long-term access using

intra-state transmission system (InSTS) and/or distribution system of electricity (and when

such Intra-State system is used in conjunction with Inter-State transmission system),subject to

the following conditions:

i. Deviation Settlement Mechanism under this Procedure shall be applicable for all Seller(s)

having installed capacity above 5 MW (or such other threshold capacity as may be

notified by the Commission at later stage), including renewable energy generators

(excluding wind and solar generating stations), open access generators, captive

generators (excluding insitu captive generators) connected to intra-State transmission

system;

Provided further that, forecasting, scheduling and deviation settlement related matters

regarding wind and solar generation shall be governed as per the provisions of Punjab

State Electricity Regulatory Commission (Forecasting, Scheduling and Deviation

Settlement for Solar and Wind Generation) Regulations, 2019” and its amendments

thereof read along with Detailed Forecasting, Scheduling and DSM Procedure of Solar &

Wind generators approved by the Commission;

Provided also that, in case of a Captive Power Plant (CPP) connected to InSTS or the

distribution system wheeling power under Open Access Regulations and availing Standby

power under PSERC (Harnessing of Captive Power Generation) Regulations, 2009, as

amended from time to time, the overdrawal during the period of Standby power shall be

as per PSERC (Harnessing of Captive Power Generation) Regulations, 2009, as amended

from time to time.

ii. Deviation Settlement Mechanism under this Procedure shall be applicable for all Buyer(s)

including distribution licensee(s), deemed distribution licensee(s) located in the state and

full open access consumers connected to intra-State transmission system(InSTS);

Provided that, Deviation Settlement of partial open access consumers connected to intra-

State transmission system and all open access consumers connected to the distribution

network shall be in accordance with the provisions of the Open Access Regulations;

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Provided further that, in case of full open access consumers connected to InSTS and

availing standby power under Open Access Regulations, the overdrawal during the period

of standby power shall be dealt as per the Open Access regulations.

iii. The commercial arrangements specified under Clause (9) and (10) of DSM Regulations,

and the related provisions regarding Deviation Charges, Additional Charge for Deviation

and penal actions, if any, shall come into force from a date to be notified separately by

the Commission.

Provided that till notification of commercial arrangements under DSM regulations, the

CERC (Deviation Settlement Mechanism and Related Matters) Regulations, 2014, as

amended from time to time, read with Commission’s order dated 28.11.2014 in petition

no. 27 of 2014 and PSERC (Terms and Conditions for Intra-State Open Access)

Regulations, 2011, as amended from time to time, as applicable, shall remain in force for

levy of deviation/imbalance charges including methodology of deviation and all related

commercial arrangements;

Provided further that, forecasting, scheduling and deviation settlement related matters

regarding wind and solar generation shall be governed as per the provisions of Punjab

State Electricity Regulatory Commission (Forecasting, Scheduling and Deviation

Settlement for Solar and Wind Generation) Regulations, 2019” and its amendments

thereof read along with Detailed Forecasting, Scheduling and DSM Procedure of Solar &

Wind generators approved by the Commission;

This procedure shall be applicable only after availability of requisite AMR system and

Scheduling, Energy Accounting & DSM Software with SLDC which is proposed under

SAMAST scheme.

4. Role & Responsibilities: -

4.1 State Entity

i The State Entity shall nominate/ authorize person(s) to coordinate and communicate

with SLDC for implementation of DSM framework after registration with SLDC and

receipts and payments of Deviation Charges raised by SLDC and shall notify the name,

designation and contact details (phone, fax, mobile and e-mail) of the such nominated/

authorized person(s) to SLDC from time to time.

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ii The State Entity shall inform the SLDC of all contracts that it has entered into for

exchange of energy.

iii The State Entity shall operate their generating equipment and loads in a manner that is

consistent with the provisions of the Grid Code.

iv To gain physical access and connection to the intra-State transmission system (InSTS) or

the distribution system, the State Entity shall enter into a Connection Agreement/ Open

Access Agreement with PSTCL or PSPCL. This agreement shall specify physical and

operational requirements for reliable operation of InSTS or the distribution system as the

case may be, in accordance with the Open Access Regulations.

v The State Entity shall establish a round the clock Control Center and shall be responsible

for control of its Generation/ Demand. The Control Centre shall have facilities of voice

communication with SLDC with voice recording facilities, Fax machine and internet

connection available for all the 24 hours.

vi For the purpose of Grid security and safety, the State Entity shall comply with the

instructions of the System Operator in normal condition as well as during emergencies.

vii The State Entity shall be responsible for forecasting and submission of its injection/drawl

schedule to SLDC in line with the regulations and the Grid Code notified by Commission.

viii The State Entity shall provide telemetry of real time injection/ drawal data to SLDC

control room for monitoring purposes.

ix The State Entity shall be responsible for metering, data collection/ transmission and

communication and historical data maintenance in co-ordination with SLDC/ NRLDC/

NRPC etc. and for co-ordination with SLDC, NRLDC, NRPC and other concerned agencies

in line with the provisions of PSERC/ CERC Regulations.

x The State Entity shall use Automatic meter reading (AMR) technologies for transfer,

analysis and processing of interface meter data to SLDC in line with Metering / AMR

protocol and Metering/ AMR standards to be finalized by SLDC/ PSTCL/ PSPCL in

accordance with provisions of Metering Code and CEA Metering Regulations, as amended

from time to time. However, until AMR system is established, the monthly energy meter

reading downloaded in presence of field office of PSTCL shall be sent to SLDC.

xi The State Entity shall abide by the Punjab state Electricity Regulatory Commission

(Deviation Settlement Mechanism and Related Matters) Regulations, 2020, as amended

from time to time.

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xii The State Entity shall coordinate and cooperate for periodical testing and calibration of

Interface Meters as per Grid Code, CEA metering Regulations and procedures of SLDC/

PSTCL/ PSPCL.

xiii The State Entity shall be responsible to coordinate and cooperate with SLDC for data

requirements to calculate Deviation and Energy Accounting.

xiv The State Entity shall coordinate and cooperate with SLDC for timely payment of

Deviation Charges raised by SLDC into the State Deviation pool Account.

4.2 State Load Despatch Centre (SLDC)

i. After Implementation of SAMAST Scheme, Web-based Software facility shall be provided by

SLDC for:

Online registration/de-registration of State Entity

Scheduling of State Entities as per the regulations and Grid Code issued by Commission

Intimation of Grid Constraints and curtailments, if any on real time basis.

Energy Accounting of State Entities as per DSM regulations

Mechanism for monitoring deviations in Scheduled & Actual generation along with

commercial impact for SLDC and State Entities along with acquisition of Meter

Reading of all the Interface points in the State for calculation of Deviations and

Charges thereof.

ii. SLDC shall be responsible for scheduling, day to day communication, coordination with State

Entities.

iii. SLDC shall take all decisions regarding the despatch of generating stations after evaluating

all the possible network parameters, constraints, congestions in the transmission network.

In the event of any network aberration, the instructions issued by the SLDC relating to

despatch and drawal shall be binding on all State entities.

iv. SLDC shall publish on its website all such information as required for all other State entities

to be aware of the energy exchanges taking place within the pool as well as exigency

conditions, if any with regard to the despatch of power.

v. SLDC shall maintain records and accounts of the time block-wise Schedules, the actual

generation/ drawal and the deviations, for the State Entities.

vi. SLDC shall prepare and issue Energy Account Statement (for declared Available Capacity,

Scheduled Energy & Actual Injection) and DSM accounts in respect of each State Entity and

maintain record of the same.

vii. All commercial transactions w.r.t. receipt/payment of deviation (DSM) charges from/ to

State Entities shall be done through State Deviation Pool Account maintained by SLDC.

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viii. The AMR system at SLDC end is expected to be made functional within one year after issue

of funding by PSDF under SAMAST scheme. However, until Automated Meter Reading

(AMR)/ remote data downloading facilities/ infrastructure is established at SLDC, Concerned

field offices of distribution licensee/ STU (PSPCL/ PSTCL) shall be responsible for timely

downloading and supply of Interface meter data (duly signed hard copy & soft copy) to the

SLDC for preparation of Deviation accounts.

4.3 State Transmission Utility (STU) and distribution licensee

i. The State Transmission Utility (PSTCL) shall make necessary arrangements for installation of

suitable Meters (ABT compliant Special Energy Meters) including Automated Meter Reading

(AMR) facilities, capable of recording energy flows at 15-minute intervals or any other time

interval as specified by the Commission, at the points of injection and drawal of the State

entities connected to the transmission system of STU (PSTCL). In case of State entities

connected to the distribution system of PSPCL, the aforesaid arrangements for metering and

AMR infrastructure shall be made by the distribution licensee i.e. PSPCL. Cost of metering

and AMR infrastructure shall be borne by the respective State Entity.

ii. Installation, Operation and maintenance of interface meters shall be in accordance with the

Metering Code (in Grid Code) and Central Electricity Authority (Installation and Operation of

Meters) Regulations, 2006, as amended from time to time. The metering equipment,

metering protocol, AMR system and associated communication facilities shall also comply

with CEA “Functional Requirement of Advanced Metering Infrastructure (AMI)” read along

with the provisions in SAMAST report endorsed by Forum of Regulators (FoR).

iii. The time synchronization of the metering system shall be through Global Positioning System

with counter check from the State Energy Accounting Centre at SLDC.

iv. The metering at all the existing interface points along with associated AMR system shall be

provided & installed by STU (PSTCL) under SAMAST scheme based on PSDF funding.

v. For the purpose of Meter Data Processing, PSTCL in consultation with SLDC, develop, install

and maintain the Meter Data Acquisition System (MDAS) software at State Energy

Accounting Centre at SLDC under SAMAST scheme.

vi. PSTCL/ PSPCL shall ensure that all the interface points and interface meters are reporting in

the MDAS software and ensure availability of each interface meter data in the MDAS

software at the State Energy Accounting Centre of SLDC.

vii. Any change (addition/ replacement/ location change) / testing of the interface metering

infrastructure (e.g. Interface meters/ Metering CT/PT or associated AMR/ communication

system) shall be carried out by PSTCL/ PSPCL with prior intimation to SLDC.

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viii. PSTCL/ PSPCL shall ensure periodic testing and calibration of metering equipment and shall

upkeep accuracy and reliability of metering data in MDAS software.

ix. PSTCL/ PSPCL shall ensure that any new generator/ transformer/ transmission line/

distribution feeder with interface point shall not be charged unless its meter data is

registered and reported to MDAS software and approval is granted by SLDC.

x. PSTCL/ PSPCL shall maintain the Common Meter Reading Interface (CMRI) facility for

manually downloading of data in the absence of or failure of Automated Meter Reading

(AMR) facility.

5. Registration and De-Registration Procedure for State Entities/ Pool members:

5.1 Registration as a State Entity:- The procedure for registering a State Entity is as under: i The prospective State Entity shall submit application (as per Annexure-II A) accompanied

with prescribed fee for registration through web-based Software (proposed under

SAMAST scheme) and copy of printed application shall be supplied to SLDC along with

required documents.

ii The non-refundable application processing/ registration fee (as per Annexure-I) (with

applicable GST) shall be payable through RTGS/ NEFT

In case of deposit/ receipt of less amount than the prescribed fee, the application shall

not be processed until full payment is received in the account. Bank Charges, if any, shall

be borne by the State Entity.

The present account details of Accounts Officer/ SLDC are State Bank of India A/c No.

65111588221 (IFSC Code: SBIN0050012).

Any change in these account details or procedures will be conveyed to the concerned

through uploading on Punjab SLDC website.

iv Each application for registration shall be accompanied with the following self-attested

documents:-

a) Undertaking/ Affidavit on Non-Judicial Stamp paper of value notified by the State

Government from time to time (attested by Notary) in regard to compliance for PSERC

Regulations and approved procedures as per Annexure-II B.

b) Copy of Board Resolutions for Authorized Signatory/ Power of Attorney/ Authorization

Letter, duly certified/ attested by Company Secretary/ C.A. in respect of the signing

authority of State Entity.

c) Copy of Single Line/ Schematic Diagram with details of Connectivity and Metering.

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d) Copy of PAN Card and GST certificate.

e) Copy of existing LTA/ MTOA agreement/ STOA approval, if any.

f) Copy of existing PPA, if any.

g) Copy of Feasibility and CEI Clearance and COD certificate, with date & time of COD for

each generating unit (For Generators only)

h) Copy of Capability Curve details and OEM Certificate (For Generators only)

i) Copy of PEDA clearance/ implementation agreement (For NRSE/ Renewable generator only)

j) Load Curve Data for last 3 years (For Distribution licensee/ Deemed distribution

licensee/ Full Open Access Customer)

k) Any other document based on the SLDC requirement time to time.

Note: All the photocopies supplied along with the application shall be self-attested by

authorized signatory.

v. All applications for registration complete in all respects, shall be submitted in the following

office: -

Chief Engineer/SLDC, PSTCL

SLDC Building, 220KV Sub Station, Ablowal,

Patiala-147001. (E-mail:“[email protected]”)

vi. The time period for registration of State Entity shall be (15) working days from the date

of receipt of all the documents & information complete in all respect by SLDC.

vii. Within one week from the date of registration or within a fortnight from the date of

notification regarding operationalization of commercial arrangements by the

Commission, whichever is later, Letter of Credit (LC)/ RBI Letter of Mandate (LM) towards

payment security shall be submitted by the State Entity in line with Reg. 16(D) of DSM

Regulations. The same shall be initially valid for 2 years and revalidated/ recouped from

time to time as per the provisions of said regulations.

If the State Entity fails to pay deviation charges within the specified time as per Reg.

16 (E) of DSM Regulations, the LC/ LM can be encashed by SLDC.

In case of exhausted LC/ LM, State Entity shall reinstate LC/ LM within seven (7)

days from receipt of such information from SLDC. Failure to reinstate LC/ LM within

prescribed time limit, the scheduling can be withheld by SLDC.

viii. Once the application supplied by State Entity along with the requisite documents is found

in order and LC/ LM is received, the same may be accepted by the SLDC, and necessary

Registration ID (login ID and password for web-based application) shall be provided by

SLDC for accessing the further activities such as uploading of scheduling/revisions etc.

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ix. Incomplete application shall be liable for rejection. The reason for rejection shall be

communicated to the State Entity.

6. Declaration of Available/ Declared Capacity (DC) and Scheduling

All the State Entities (Sellers/ Buyers) shall be guided by the Scheduling and Despatch

procedure Specified under the Punjab State Grid Code and amendments thereof read along

with principles stipulated by the Commission in regulation 6 (B) of DSM Regulations.

7. Data & Communication protocol: -

In view of the large volume of information needed to be exchanged in a time bound manner,

the transfer of information e.g. technical/ static data, forecast, Available Capacity, Schedule

etc. between SLDC and State Entity shall be through internet only. However, in case of

contingencies like internet failure etc., the transfer of information may be communicated

through alternate mode i.e., fax/telephone on request of SLDC/ State Entity.

Real Time Injection/ Drawl Data from the State Entity to SLDC shall be provided by State

Entity (including necessary interfacing arrangements for data integration at SLDC end) in line

with the provisions of State Grid Code. The Real Time data shall be transmitted upto SLDC

through IEC: 101/104 protocol by providing a redundant (main & backup) communication

link/ connectivity using any mode of communication e.g. Optical Fibre/PLCC/MPLS/RF/GPRS

or any other latest technology available, which shall be provided and maintained by the

State Entity. Further, main and backup communication links shall preferably be either

through different communication modes or from different service providers (if same

communication mode is used). The communication network i.e. PLCC/ Optical Fibre from

PSTCL sub-stations to SLDC in Punjab is to be provided by STU (PSTCL) for telemetry of real

time data upto SLDC.

State Entity shall follow the provisions of CERC (Communication Systems for Inter-State

Transmission of Electricity) Regulations, 2017, as amended from time to time and technical

standards, protocols for communication system etc. notified by CEA under aforesaid CERC

Regulations for Communication Infrastructure to be used for data communication and tele-

protection of power system and shall ensure the correctness of the real-time data.

8. Metering and data collection

i. Concerned State Entities shall be responsible for providing required metering equipment

along with specified communication facilities for the purpose of proper Energy Accounting in

line with State Grid Code requirement and alongwith Automated Meter Reading (AMR)

system for communicating and integrating meter data at SLDC. Internal clock of the

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interface meter shall be time synchronized with GPS. The metering equipment, metering

protocol, AMR system and associated communication facilities shall comply with State Grid

Code, CEA metering regulations, as amended from time to time, CEA “Functional

Requirement of Advanced Metering Infrastructure (AMI)” read along with the provisions in

SAMAST report endorsed by Forum of Regulators (FoR).

ii. The Interface meters (ABT compliant Main & Check Meters) shall be provided by the State

Entities and shall be installed in coordination with field offices of concerned licensee (PSPCL/

PSTCL). The ABT compliant Standby meters at grid sub-station end shall be provided by the

concerned licensee (owner of sub-station i.e. PSPCL/PSTCL, as the case may be). In case of existing State Entities, the metering system alongwith associated AMR system

shall be provided & installed by STU (PSTCL) under SAMAST scheme based on PSDF funding.

However new State Entities shall be responsible for providing metering system alongwith

associated AMR & communication system (compliant to the provisions of SAMAST report)

for integrating meter data at SLDC. Concerned licensee (PSPCL/ PSTCL) shall be responsible for installation, testing,

commissioning, maintenance, sealing, rectification & replacement of metering equipment

and data downloading and supply of downloaded data to SLDC timely in line with the

Regulations notified by the Commission. However, the cost of such activities shall be borne

by the concerned State Entity. Further, all the recurring charges of metering and

communication system (included rentals etc.) in case of both existing as well as new State

Entities shall be borne by the concerned State Entity.

xi. The AMR system at SLDC end is expected to be made functional by end of year 2021/start of

year 2022. However, until Automated Meter Reading (AMR)/ remote data downloading

facilities/ infrastructure is established at SLDC, Concerned field offices of distribution

licensee (Sr.Xen/DS & Sr.Xen/MMTS of PSPCL) shall be responsible for timely downloading

and supply of Interface meter data (duly signed hard copy & soft copy) to the SLDC for

preparation of Deviation accounts. In case of State Entities directly connected to PSTCL and

selling/ purchasing power to/ from 3rd party under open access within the State or outside

the State, concerned filed offices of STU (Sr.Xen/ P&M of PSTCL) shall be responsible for

downloading and supply of Interface meter data (duly signed hard copy & soft copy) to SLDC

in coordination with the concerned field offices of PSPCL (Sr.Xen/ DS/ MMTS).

iii. Concerned field offices of licensee (PSPCL/ PSTCL) shall be responsible for time to time

monitoring, checking/ testing of metering equipment and GPS time synchronization, thus

ensuring health of the metering equipment & correctness of ABT data. The detection and

Correction of Real Time Clock (RTC) time drift of interface meters shall be done by the

concerned field offices of the licensee as per the approved procedures.

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In case of State Entities directly connected to the Intra-state transmission system and

purchasing/ selling power to 3rd party under open access or wheeling power for captive use,

the concerned Sr.Xen/ P&M of PSTCL shall be responsible for checking/ testing of metering

equipment, detection and Correction of Real Time Clock (RTC) time drift in coordination with

the concerned field officers of PSPCL (Sr.Xen/ DS/ MMTS) as per approved Procedures.

Provisions of PSERC (Terms & Conditions for Intra-State Open Access Regulations), 2011, as

amended from time to time and Intra State Open Access Procedures approved by PSERC

shall also be applicable in such cases.

iv. In case of any problem or reported defect/fault in metering equipment, the matter shall be

referred to the concerned field office of PSPCL/ PSTCL, as the case may be. If required,

concerned field office of PSPCL/ PSTCL or State Entities may refer/take-up the matter in the

Protection Co-ordination Committee (PCC) and/ or Commercial & Metering Committee

(CMC), depending upon the nature of issue. In case of any defect/ change in metering

equipment, SLDC shall be intimated immediately.

9. Data Processing: i. Every Thursday, all SEM data of the previous week starting Monday 00:00 Hrs to Sunday

24:00 Hrs would reach to SLDC through AMR facility in MDAS software for data processing.

In case of any problem, SLDC can request PSTCL/ PSPCL to provide the SEM data. State

Entities shall also coordinate with SLDC for timely supply of weekly SEM data.

ii. The computation of the net injection of each seller and actual drawl of each buyer shall be

carried out in line with the provisions of PSERC DSM Regulations based on the meter

readings received at SLDC.

iii. The data shall be processed in the Meter Data Acquisition System (MDAS) software at State

Energy Accounting Centre at SLDC.

iv. The preparation of Deviation accounts shall be on the basis of meter data made available to

SLDC and Implemented Schedules.

v. In case of non-availability of Interface Meters data and/or defect in interface metering

equipment (ABT Main & Check Meters/ CT/PT at Interface Point), the data recorded by

Standby meters shall be considered for accounting purposes during the period of defect. In

case of non-availability of both interface Meters’ data as well as standby Meter data and/or

defect in both the interface metering equipment and Standby meter, accounting shall be

done based on historical trends and/or as per the decision of Commercial & Metering

Committee (CMC) after hearing all the affected parties.

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10. Energy Accounting: i. The SLDC shall prepare a statement of the State Energy Account for each time block for the

Buyers and Sellers on monthly basis.

ii. Data required for the billing of partial open access consumers connected to InSTS and all

open access consumers connected to distribution system shall be passed on to the billing

centre of the distribution licensee by the SLDC. The billing centre of the distribution licensee

shall be responsible for energy accounting, raising and settlement of bills with partial open

access consumers connected to InSTS and all open access consumers connected to

distribution system.

iii. Payments of capacity and energy charges by the Buyers to the Sellers shall be as per the

provisions in the respective Power Purchase Agreements or Agreement(s) with respect to

transactions through power exchange and through Short Term Open Access, as the case

may be.

iv. The Energy Account Statement for Deviation Settlement of Partial Open Access Consumers

connected to the InSTS and all open access consumers connected to the distribution

network shall be in accordance with the provisions of PSERC (Terms and Conditions for Intra

State Open Access) Regulations, 2011 and its amendments thereof .

v. The day-wise energy scheduled as per implemented schedules shall form a part of State

Energy Account. Monthly State Energy Account (SEA) (containing details of DC/ Availability

of generators and scheduled energy) will be issued by SLDC in line with the provisions of

State Grid Code, which will be uploaded on Punjab SLDC website for any comments/

objections/corrections. SLDC will be authorized to revise the State Energy Account.

vi. State Energy accounts (SEAs) for Punjab prepared by SLDC shall be uploaded on SLDC

website, for raising bills by all concerned. Such energy accounts shall be subject to

inspection/ verification/checking and raising any objection within 15 days of date of issue. If

no objection is raised, energy accounts shall be considered finalized. In case, any objection is

raised, the energy accounts shall be revised after checking, if required. However, the

disputed matters shall be deliberated in Commercial and Metering Committee and finalized

as per their decision. Supplementary bills/credit note shall also be raised accordingly.

vii. State Energy Account would contain:

a) Details of declared capacity (DC)/ Available Capacity (AvC)

b) Details of Plant availability Factor (PAF)

c) Details of cumulative Availability Factor (CAF)

d) Details of Mis-declaration of declared capacity

15


e) Energy Scheduled/Booked to discom(s) from State Generating Stations (Mus)

f) Scheduled energy of Intra-State and Inter-State Open Access (bilateral &

Collective) transactions

g) RE generation Buyer & Seller wise energy (including OA transactions)

h) Monthly Report of Exchange of power capacity, if any, amongst the State Entities

on account of actions initiated by SLDC in the interest of grid operation or in

compliance to NRLDC instructions (Ref. Reg 6 (B) (v) of DSM Regulations)

viii. The format of State Energy Account is enclosed at Annexure-III of this procedure.

11. Intra-State Transmission Losses

i. For scheduling purposes, intra-state transmission system losses as approved by the

Commission shall be allocated amongst the State entities in proportion to the scheduled

drawal by each State Entity;

ii. SLDC shall calculate Energy balance considering drawal of buyers and injection of sellers

and Inter-State Energy Exchange provided by NRPC/ NRLDC or data available from

interface meters installed by STU. Based on the Energy balance, the Intra-State

Transmission System Losses shall be worked out for each time-block.

iii. SLDC shall maintain an account of the actual intra-state transmission system loss for each

time block and publish on its website a reconciliation statement of the monthly average

intra-state transmission loss and the 52-week average intra-state transmission vis-à-vis

approved loss by the Commission.

12. Deviation Accounting: 12.1 Deviation

Deviation for Seller:

‘Deviation’ in a time-block for a Seller means its total actual injection minus its total

scheduled generation and shall for computed as below:

Time block wise Deviation for Seller = Actual Generation – Scheduled Generation

Where

Actual Generation = electricity generated or supplied by Seller and metered at Interface

meter in MW or MWh.

Scheduled Generation = Implemented Schedule of electricity generation for Seller in MW

or MWh ex-bus given by SLDC;

Deviation for Seller shall be computed by SLDC for each time block and accounted on

weekly basis.

16


Deviation for Buyer:

‘Deviation’ in a time-zone for a Buyer means its total actual drawal minus its total

scheduled drawal and shall be computed as below:

Time block wise Deviation for Buyers=Actual Drawal - Scheduled Drawal

Where

Actual Drawal = Electricity drawn by Buyer and metered at T<>D Interface meter in MW

or MWh. (Consolidated Drawal of Buyer at all T<>D Interface)

Scheduled Drawal = Implemented Schedule of drawal in MW or MWh for Buyer given by

SLDC (at T<>D Interface);

The Deviation for Buyer shall be computed by SLDC for each time block and accounted on

weekly basis.

12.2 Price Vector Calculation

i. The Charges for Deviation for all the time-blocks shall be payable for over-drawal by the Buyer and under-injection by the Seller and receivable for under-drawal by the Buyer and over-injection by the Seller, which are State entities, and shall be worked out on the average frequency of a time-block by considering the Price Vector for Deviation Charges as specified in the Central Electricity Regulatory Commission (Deviation Settlement Mechanism and related matters) Regulations, 2014, as amended from time to time, (as reproduced at Annexure-I of DSM Regulations).

ii. For computation of deviation charges, the master SEM frequency recorded by NRLDC and

used by NRPC for regional Deviation Settlement Mechanism for that particular time-block shall be considered as Reference Frequency, which shall be rounded off to nearest two (2) decimal places.

iii. The Deviation Settlement Mechanism (DSM) rate vector will have a dynamic slope

determined by joining the identified price points at 50 Hz (daily simple average ACP), frequency of below 49.85 Hz (Rs. 8 per unit) and 50.05 Hz (zero) on a daily basis (as shown in Table No. 1 below), provided that the Cap rate for the charges for deviation for generating stations irrespective of the fuel type and whether the tariff of such generating station is determined by the Commission or not, shall not exceed 363.10 Paise/kWh.

iv. The daily simple average Area Clearing Prices (ACP) in the day-ahead market (exclusive of

any transmission charges and transmission losses) of the Power Exchange having a market share of 80% or more in energy terms on a daily basis shall be taken into consideration for linking to the DSM price vector. If no single Power Exchange is having a market share of 80% or more, the weighted average day-ahead price shall be used for linking to the DSM price.

v. The maximum ceiling limit applicable for average Daily ACP discovered in the DAM segment of Power Exchange at 50.00 Hz shall be 800 Paise/kWh.

17


vi. In case of non-availability of the daily simple average ACP due to no-trade on a given day, daily simple average ACP of the last available day shall be considered for determining the DSM charge.

vii. Deviation price in Paisa/ kWh shall be rounded off to nearest two (2) decimal places.

viii. The National Load Despatch Centre (NLDC) shall act as the Nodal Agency to declare the

daily DSM rates and shall display all relevant information on its website.

Table 1 : Price Vector Calculation for Deviation calculation

Average frequency of

time block (Hz)

Charges for Deviation

Below Not below (Paise / kWh)

50.05 0.0

50.05 50.04 Slope determined by joining the price at Not Below 50.05 Hz and identified price at 50.00 Hz, and as detailed in the Regulation 50.04 50.03

50.03 50.02

50.02 50.01

50.01 50.00 Daily (simple) average Area Clearing Price discovered in the Day Ahead

Market segment of power exchange

50.00 49.99 Slope determined by joining the price identified at 50.00 Hz and price at below 49.85 Hz, and as detailed in the Regulation 49.99 49.98

49.98 49.97

49.97 49.96

49.96 49.95

49.95 49.94

49.94 49.93

49.93 49.92

49.92 49.91

49.91 49.90

49.90 49.89

49.89 49.88

49.88 49.87

49.87 49.86

49.86 49.85

49.85 800.00

The daily simple average Area Clearing Price (ACP) in Paisa/ kWh shall be as discovered in Day Ahead Market Segment of Power Exchange for N3 – North Region as considered by NLDC for declaring daily DSM rates on its website.

18


Illustration to DSM Price Vector specified in Annexure-III of DSM Regulations is as under:-

Table 2 : Illustration of Price Vector for Deviation calculation

Average Frequency of the time block (Hz) Charges for Deviation

(Paise/kWh)

Below Not Below

50.05 0.00

50.05 50.04 1xP/5

50.04 50.03 2xP/5

50.03 50.02 3xP/5

50.02 50.01 4xP/5

50.01 50.00 P

50.00 49.99 50.00+15xP/16

49.99 49.98 100.00+14xP/16

49.98 49.97 150.00+13xP/16

49.97 49.96 200.00+12xP/16

49.96 49.95 250.00+11xP/16

49.95 49.94 300.00+10xP/16

49.94 49.93 350.00+9xP/16

49.93 49.92 400.00+8xP/16

49.92 49.91 450.00+7xP/16

49.91 49.90 500.00+6xP/16

49.90 49.89 550.00+5xP/16

49.89 49.88 600.00+4xP/16

49.88 49.87 650.00+3xP/16

49.87 49.86 700.00+2xP/16

49.86 49.85 750.00+1xP/16

49.85 800.00

Where P is the Daily average Area Clearing Price in paisa per kWh discovered in the Day

Ahead Market segment of power exchange for N3 – North Region as considered by NLDC for

declaring daily DSM rates on its website.

19


For Illustration purpose considering P = 300 Paisa per kWh, the dynamic price vector shall be as

under:-

Table 3 : Illustration of Price Vector for Deviation calculation considering P = 300 Paisa/ KWh

Average Frequency of the

time block (Hz) Charges for Deviation (Paise/kWh)

Below Not Below

50.05 0 0

50.05 50.04 1xP/5 60 Step of

{(300-0)/5}

60 Paise/kWh for

each 0.01 Hz

50.04 50.03 2xP/5 120

50.03 50.02 3xP/5 180

50.02 50.01 4xP/5 240

50.01 50.00 P 300

50.00 49.99 50+15xP/16 331.25 Step of

{(800-300)/16}

31.25 Paise/kWh

for each 0.01 Hz

49.99 49.98 100+14xP/16 362.5

49.98 49.97 150+13xP/16 393.75

49.97 49.96 200+12xP/16 425

49.96 49.95 250+11xP/16 456.25

49.95 49.94 300+10xP/16 487.5

49.94 49.93 350+9xP/16 518.75

49.93 49.92 400+8xP/16 550

49.92 49.91 450+7xP/16 581.25

49.91 49.90 500+6xP/16 612.5

49.90 49.89 550+5xP/16 643.75

49.89 49.88 600+4xP/16 675

49.88 49.87 650+3xP/16 706.25

49.87 49.86 700+2xP/16 737.5

49.86 49.85 750+1xP/16 768.75

49.85 800 800

20


12.3 Deviation Charges for Buyer

12.3.1 Deviation charges

(A) For Over-Drawal by Buyer

The Charges for Deviation for all the time-blocks shall be payable for over-drawal by the

buyer (when the frequency is below 50.05 Hz) and shall be worked out on the average

frequency of a time-block considering the Price Vector for Deviation Charges as specified

in Para 12.2 above subject to the following conditions:-

i. The over-drawal of electricity by any Buyer during a time block shall not exceed 12% of its

scheduled drawal or Volume Limit of [X] MW (as specified in Para 12.3.2 below),

whichever is less, when grid frequency is between the range of 49.85 Hz and above and

below 50.05 Hz.

ii. Deviation Charges are payable for Over Drawal by a Buyer when the frequency is “below

50.05 Hz”.

iii. No over-drawal of electricity by Buyer shall be permissible when grid frequency is “below

49.85 Hz.”

iv. The Deviation Charges shall be Zero for frequency “50.05 Hz and above”.

(B) For Under-Drawal by Buyer:

The Charges for Deviation for all the time-blocks shall be receivable for under-drawal by

the Buyer (when the frequency is below 50.05 Hz) and shall be worked out on the

average frequency of a time-block by considering the Price Vector for Deviation Charges

as specified under Para 12.2 above, subject to the following conditions:

i. The under-drawal of electricity by any Buyer during a time block shall not exceed 12% of

its scheduled drawal or Volume Limit of [X] MW (as specified under Para 12.3.2 below),

whichever is less, when grid frequency is between the range of “49.85 Hz and above to

below 50.05 Hz.”

ii. No under-drawal of electricity by Buyer shall be permissible when grid frequency is

“50.05 Hz and above”.

iii. The Charges for Deviation of under-drawal by the Buyer in a time-block in excess of 12%

of the Schedule or Volume Limit of [X] MW (as specified under Para 12.3.2 below),

whichever is less, shall be zero.

21


Provided that if the schedule of a buyer, in a time block, is less than or equal to 40 MW,

the charges for under-drawal in excess of 5 MW shall be zero.

iv. The Deviation Charges shall be Zero for frequency “50.05 Hz and above”.

12.3.2 Volume Limit for Buyer

(A) The Volume Limit for a Buyer is as defined under:

Minimum of (12% of schedule or [X] MW)

Where [X] MW = (Peak Demand of Distribution Licensee or Buyer / ƩNCPD) x State

Volume Limit.

Where, NCPD (Non-Coincident Peak Demand) represents the sum of Peak Demand of

Distribution Licensee(s) and Buyer(s) and

Where, Peak Demand of the Distribution Licensee(s) and Buyer(s) shall be recorded

Peak Demand in the current Financial Year or Projected Peak Demand of Distribution

Licensee(s) or Buyer(s) in ensuing Financial Year, whichever is higher.

(B) Volume Limit for the Distribution Licensee or Buyer determined as per above formula

shall be rounded off to nearest integer value subject to minimum volume limit of 1 MW.

(C) State Volume Limit shall be linked to Volume Limit (L) applicable to the State as per the

CERC (Deviation Settlement Mechanism and related matters) Regulations,2014 and its

amendments thereof. Presently the State Volume Limit for the State is 150 MW and same

shall be distributed among State Entities (Buyer) as per the methodology provided below:

Table 4: Illustrative example for computation of Volume Limits for Buyers

State Deviation volume Limit (L) 150 MW

State Non-Coincident Peak Demand (NCPD) 13181 MW*

Discom/ Full Open Access customers

Peak Demand (MW)

Cap Limit (MW)

Ratio (%) Deviation Volume Limit (MW)

(a) (b) = 12% x (a) (c )=(a)/ NCPD

(d) = L x (c)%

PSPCL 13135 1576 99.65 149

Northern Railway 46 5.5 0.35 1

Total (NCPD for State) 13181 150 MW * at 15:15 Hrs on 2nd July, 2020

22


12.3.3 Additional Deviation Charges for Buyer

A) For Over-Drawal by Buyer:

i. The Additional Charges for Deviation in excess of Deviation Charges, shall be applicable

for over-drawal of electricity by buyer for each time block when grid frequency is “below

49.85 Hz” as a percentage of the Charges for Deviation corresponding to the average grid

frequency of the time block and the same shall be equivalent to 100% of the charges for

deviation of 800 Paise/kWh corresponding to the grid frequency of ‘below 49.85 Hz’.

ii. Additional Charges for Deviation in excess of Deviation Charges, shall be applicable for

over-drawal of electricity by buyer for each time-block in excess of the Volume Limits

specified under Para 12.3.2 above, when average grid frequency of the time-block is

“49.85 Hz and above” at the rate specified in Table 1 of Annexure-II of DSM Regulations,

reproduced below:-

Table – 5: Additional Charge for Deviation (for Buyer)

(A) When 12% of the Schedule is less than or equal to [X] MW

1 For over-drawal of electricity by any Buyer in

excess of 12% and upto 15% of the schedule in

a time block

Equivalent to 20% of Charge for Deviation

corresponding to average grid frequency of

the time-block

2 For over-drawal of electricity by any Buyer in Equivalent to 40% of Charge for Deviation excess of 15% and upto 20% of the schedule in corresponding to average grid frequency of the

a time block time-block

3 For over-drawal of electricity by any Buyer in Equivalent to 100% of Charge for Deviation excess of 20% of the schedule in a time block corresponding to average grid frequency of the

time-block

(B) When 12% of the Schedule is more than [X] MW

4 For over-drawal of electricity by any Buyer is Equivalent to 20% of Charge for Deviation above X MW and upto 4/3 (X) MW in a time corresponding to average grid frequency of the

block time-block

5 For over-drawal of electricity by any Buyer is Equivalent to 40% of Charge for Deviation above 4/3 (X) MW and upto 5/3 (X) MW in corresponding to average grid frequency of the

a time block time-block

6 For over-drawal of electricity by any Buyer is Equivalent to 100% of Charge for Deviation above 5/3 (X) MW in a time block corresponding to average grid frequency of the

time-block

23


iii. Additional Charges for Deviation, for crossing volume limits shall be applicable

irrespective of the condition that Deviation for State at state periphery is within Volume

Limit (L) for State for the time-block or no Additional Deviation Charges are payable for

the State at the State periphery.

iv. Additional Deviational charges for Over drawal by buyer when frequency is above 50.05

Hz would be zero.

v. The additional charges for violation by buyers when the frequency is below 49.85 Hz are

without prejudice to the right of SLDC to initiate action against the seller/buyer for all

such violations as per the provision of Section 146 of the Act.

B) For Under-drawal by Buyer:

i. Additional Charges for Deviation, shall not be applicable for under-drawal by Buyer when

frequency is “below 49.85 Hz”.

ii. Additional Charges for Deviation shall not be applicable for under-drawal by Buyers,

when frequency is between “49.85 Hz and above and below 50.05 Hz”.

iii. Additional Charges for Deviation in excess of Deviation Charges, shall be applicable for

under-drawal of electricity for each time block by Buyer, when grid frequency is “50.10 Hz

and above” at the rates equivalent to the charges of deviation corresponding to the grid

frequency of “below 50.01 Hz but not below 50.00 Hz” (i.e. Daily Simple Avg. ACP) or cap

rate for deviation of 363.10 Paise/kWh, whichever is lower.

iv. The additional charges for violation by buyers when the frequency is above 50.10 Hz are

without prejudice to the right of SLDC to initiate action against the seller/buyer for all

such violations as per the provision of Section 146 of the Act.

24


Table 6: Tabular representation of Deviation and Additional Deviation Charges for Buyer Particulars Volume Limit Applicable Deviation/ DSM Charges and Additional Deviation/

DSM Charges for Buyer % of Schedule

(if 12% of Schedule <= [X] MW)

MW (if 12% of Schedule > [X] MW)

< 49.85 Hz >=49.85 Hz to < 50.05 Hz

>=50.05 Hz to < 50.10 Hz

>=50.10 Hz

Over-Drawal (by buyer)

<=12% <=X No Over-Drawal permitted. DSM Charges payable by buyer @ 800 Paise/ KWh + Additional DSM Charges payable by buyer @ 800 Paise/ KWh

DSM Charges payable by buyer

Zero DSM Charges/ Additional DSM charges payable by buyer

Zero DSM Charges/ Additional DSM charges payable by buyer

> 12% to <=15%

> X to <=4/3(X)

DSM Charges + Additional DSM Charges @ 20% of DSM charges payable by buyer

> 15% to <=20%

> 4/3(X) to <=5/3(X)

DSM Charges + Additional DSM Charges @ 40% of DSM charges payable by buyer

> 20% > 5/3(X) DSM Charges + Additional DSM Charges @ 100% of DSM charges payable by buyer

Under-Drawal (by Buyer)

<=12% <=X DSM Charges receivable to buyer

DSM Charges receivable to buyer

No Under-drawal permitted Zero DSM Charges receivable to buyer

No Under-drawal permitted Zero DSM Charges + Additional DSM charges @ Daily Avg. ACP or 363.10 Paise/ kWh, whichever is less, payable by buyer

> 12% to <=15%

> X to <=4/3(X)

Zero DSM Charges receivable to buyer

Zero DSM Charges receivable to buyer

> 15% to <=20%

> 4/3(X) to <=5/3(X)

> 20% > 5/3(X)

Note: 1. [X] MW = Volume Limit for Buyers as specified under Para 12.3.2 above. 2. Additional DSM Charges shall be as per Table 1 of Annexure-II of DSM regulations (reproduced at Table 5 of this procedure).

25


12.4 Deviation Charges for Seller

12.4.1 Deviation charges

The Charges for Deviation of generating stations, irrespective of the fuel type and

whether the tariff of such generating station is determined by the Commission or not,

shall not exceed the Cap Rate of 363.10 Paisa/kWh, or as determined by the Commission

and as and when amended by the Commission.

(A) For Over-Injection by Seller

The Charges for Deviation for all the time-blocks shall be receivable for over-injection by

the Seller (when the frequency is below 50.05 Hz) and shall be worked out on the

average frequency of a time-block by considering the Price Vector for Deviation Charges

as specified under Para 12.2 above, subject to the following conditions:

i. The over-injection of electricity by any Seller during a time block shall not exceed 12% of

its scheduled injection or Volume Limit of 20 MW, whichever is less (limit as specified in

Para 12.4.2 below), when grid frequency is between the range of “49.85 Hz and above to

below 50.05 Hz.”

Provided that in case the schedule of a Seller, in a time block, is less than or equal to 40

MW, under-injection/ over-injection in a time-block shall not exceed 5 MW, when grid

frequency is “49.85 Hz and above and below 50.05 Hz";

ii. No over-injection of electricity by Seller shall be permissible when grid frequency is

“50.05 Hz and above”.

iii. The Deviation Charges for over-injection by the Seller in a time-block in excess of 12% of

the Schedule or Volume Limit of 20 MW, whichever is less (limit as specified in Para

12.4.2 below), shall be zero, except in case of injection of infirm power, which shall be

governed by Clause (7) of the Regulation and Para 12.5 of this procedure;

Provided that if the schedule of a Seller, in a time block, is less than or equal to 40 MW,

the charges for over-injection in excess of 5 MW shall be zero.

v. The Deviation Charges receivable for over-injection by the Seller are subject to Cap Rate

of 363.10 Paisa/ KWh, or as determined by the Commission and as and when amended

by the Commission.

vi. The Deviation Charges shall be Zero for frequency “50.05 Hz and above”.

26


(B) For Under-Injection by Seller:

The Charges for Deviation for all the time-blocks shall be payable for under-injection by

the Seller (when the frequency is below 50.05 Hz) and shall be worked out on the

average frequency of a time-block considering the Price Vector for Deviation Charges as

specified in Para 12.2 above subject to the following conditions:-

i. The under-injection of electricity by any Seller during a time block shall not exceed 12%

of its scheduled injection or Volume Limit of 20 MW, whichever is less (limit as specified

in Para 12.4.2 below), when grid frequency is between the range of 49.85 Hz and above

to below 50.05 Hz.

ii. Deviation Charges are payable for under-injection by a Seller when the frequency is

“below 50.05 Hz.”

iii. No under-injection of electricity by Seller shall be permissible when grid frequency is

“below 49.85 Hz.”

iv. The Deviation Charges payable for under-injection by the Seller are subject to Cap Rate of 363.10 Paisa/ KWh, or as determined by the Commission and as and when amended by the Commission.

v. The Deviation Charges shall be Zero for frequency “50.05 Hz and above”.

12.4.2 Volume Limit for Seller

The under-injection or over-injection of electricity by Seller shall not exceed (i) 12% of the

scheduled injection or [20] MW (volume limit for Seller), whichever is lower when grid

frequency is “49.85 Hz and above and below 50.05 Hz”.

In case Schedule of a Seller, in a time block, is less than or equal to [40] MW, under-

injection/over-injection in a time-block shall not exceed [5] MW (volume limit for Seller),

when grid frequency is “49.85 Hz and above and below 50.05 Hz”.

12.4.3 Additional Deviation Charges for Seller

A) For Over-Injection by Seller:

i. Additional Charges for Deviation, shall not be applicable for over-injection by Seller when

frequency is “below 49.85 Hz”.

ii. Additional Charges for Deviation shall not be applicable for over-injection by Seller, when

frequency is between “49.85 Hz and above and below 50.05 Hz”.

27


iii. Additional Charges for Deviation in excess of Deviation Charges, shall be applicable for

over-injection of electricity for each time block by Seller, when grid frequency is “50.10

Hz and above” at the rates equivalent to the charges of deviation corresponding to the

grid frequency of “below 50.01 Hz but not below 50.00 Hz” (i.e. Daily Simple Avg. ACP) or

cap rate for deviation of 363.10 Paise/kWh, whichever is lower.

iv. The additional charges for over-injection by sellers when the frequency is above 50.10 Hz are without prejudice to the right of SLDC to initiate action against the seller/buyer for all such violations as per the provision of Section 146 of the Act.

B) For Under-Injection by Seller:

i. The Additional Charges for Deviation in excess of Deviation Charges, shall be applicable

for under-injection of electricity by seller for each time block when grid frequency is

“below 49.85 Hz” as a percentage of the Charges for Deviation corresponding to the

average grid frequency of the time block and the same shall be equivalent to 100% of the

the Cap Rate for deviations of 363.10 Paise/kWh.

ii. Additional Charges for Deviation in excess of Deviation Charges, shall be applicable for

under-injection of electricity by seller for each time-block in excess of the Volume Limits

specified under Para 12.4.2 above, when average grid frequency of the time-block is

“49.85 Hz and above” at the rate specified in Table 2 of Annexure-II of DSM Regulations,

reproduced below:-

Table – 7: Additional Charge for Deviation (for Seller) (A) When 12% of the Schedule is less than or equal to 20 MW

1 For under-injection of electricity by any

Seller in excess of 12% and upto 15% of

the schedule in a time block

Equivalent to 20% of the Cap Rate for deviation of 363.10 Paise/kWh or charge for Deviation corresponding to average grid Frequency of the time-block, whichever is less.

2 For under-injection of electricity by any Seller Equivalent to 40% of the Cap Rate for deviation of in excess of 15% and upto 20% of the

schedule 363.10 Paise/kWh or charge for Deviation

in a time block corresponding to average grid Frequency of the time-block, whichever is less.

3 For under-injection of electricity by any Seller Equivalent to 100% of the Cap Rate for deviation of in excess of 20% of the schedule in a time

block 363.10 Paise/kWh or charge for Deviation

corresponding to average grid Frequency of the time-block, whichever is less.

28


(B) When 12% of the Schedule is more than 20 MW

4 For under-injection of electricity by any

Seller is above 20 MW and upto 30 MW in a

time block

Equivalent to 20% of the Cap Rate for deviation of 363.10 Paise/kWh or charge for Deviation corresponding to average grid Frequency of the time-block, whichever is less.

5 For under-injection of electricity by any Seller is

Equivalent to 40% of the Cap Rate for deviation of above 30 MW and up to 40 MW in a time

block 363.10 Paise/kWh or charge for Deviation

corresponding to average grid Frequency of the time- block, whichever is less.

6 For under-injection of electricity by any Seller is

Equivalent to 100% of the Cap Rate for deviation of above 40 MW in a time block 363.10 Paise/kWh or charge for Deviation

corresponding to average grid Frequency of the time-block, whichever is less.

Additional Charges for Deviation, for crossing volume limits shall be applicable

irrespective of the condition that Deviation for State at state periphery is within Volume

Limit (L) for State for the time-block or no Additional Deviation Charges are payable for

the State at the State periphery.

iii. Additional Deviational charges for under-injection by Seller when frequency is above

50.05 Hz would be zero.

iv. The additional charges for under-injection by sellers when the frequency is below 49.85

Hz are without prejudice to the right of SLDC to initiate action against the seller/buyer for

all such violations as per the provision of Section 146 of the Act.

29


Table 8: Tabular representation of Deviation and Additional Deviation Charges for Seller

Particulars Volume Limit Applicable Deviation/ DSM Charges and Additional Deviation/ DSM Charges for Seller

% of Schedule (if 12% of Schedule <= 20 MW)

MW (if 12% of Schedule > 20 MW)

< 49.85 Hz >=49.85 Hz to < 50.05 Hz

>=50.05 Hz to < 50.10 Hz

>=50.10 Hz

Over-Injection (by Seller)

<=12% <=20 DSM Charges receivable to Seller subject to Cap Rate of 363.10 Paisa/ kWh

DSM Charges receivable to Seller subject to Cap Rate of 363.10 Paisa/ kWh

No Over-injection permitted Zero DSM Charges receivable to Seller.

No Over-injection permitted Zero DSM Charges + Additional DSM charges @ Daily Avg. ACP or 363.10 Paise/ kWh, whichever is lower, payable by Seller.

> 12% to <=15%

> 20 to <=30

Zero DSM Charges receivable to Seller.

Zero DSM Charges receivable to Seller.

> 15% to <=20%

> 30 to <=40

> 20% > 40

Under-Injection (by Seller)

<=12% <=20 No Under-Injection permitted. DSM Charges payable by seller @ 363.10 Paise/ KWh + Additional DSM Charges payable by seller @ 363.10 Paise/ KWh

DSM Charges payable by Seller subject to Cap Rate of 363.10 Paisa/ kWh

Zero DSM Charges/ Additional DSM charges payable by seller.

Zero DSM Charges/ Additional DSM charges payable by seller.

> 12% to <=15%

> 20 to <=30

DSM Charges subject to Cap Rate of 363.10 Paisa/ kWh + Additional DSM Charges @ 20% of DSM charges subject to Cap Rate of 363.10 Paisa/ kWh, payable by seller

> 15% to <=20%

> 30 to <=40

DSM Charges subject to Cap Rate of 363.10 Paisa/ kWh + Additional DSM Charges @ 40% of DSM charges subject to Cap Rate of 363.10 Paisa/ kWh, payable by seller

> 20% > 40 DSM Charges subject to Cap Rate of 363.10 Paisa/ kWh + Additional DSM Charges @ 100% of DSM charges subject to Cap Rate of 363.10 Paisa/ kWh, payable by seller

30


Note: 1. Volume Limit for Sellers shall be as specified under Para 12.4.2 above. 2. Additional DSM Charges shall be as per Table 1 of Annexure-II of DSM regulations (reproduced at Table 7 of this procedure).

12.5 Treatment to Infirm Power (injected by Seller) and Start Up Power (drawn by Seller) Prior to

COD:

i. The infirm power injected into the grid by a generating unit of a generating station during

testing, prior to COD of the unit shall be paid at Charges for Deviation for infirm power

injected into the grid, consequent to testing, for a period not exceeding six months or the

extended time as may be allowed by the Commission, subject to the ceiling of Cap Rates

corresponding to the main fuel used for such injection as specified below:

Table 9: Cap rates for infirm power by Seller

Fuel Cap Rate for Infirm Power

Domestic coal/ Lignite/ Hydro Rs. 1.78/kWh sent out

APM gas Rs. 2.82/kWh sent out up to the date of

revision of price of APM gas by the

Government of India and thereafter, at the

rate to be notified by the Commission

separately

Imported Coal Rs. 3.03/kWh sent out

RLNG Rs.8.00/kWh sent out

ii. Any infirm injection of power by a generating station prior to the COD of a unit during

testing and commissioning activities shall be exempted from the volume limit as specified

in Regulation 10 of DSM Regulations and Para 12.4.2 of this procedure for a period not

exceeding six months or the extended time as may be allowed by the Commission.

iii. Any drawal of power by a generating station prior to the COD of a unit for the start-up

activities shall be exempted from the volume limit as specified in Regulation 10 of DSM

Regulations and Para 12.3.2 of this procedure above when the grid frequency is “49.85 Hz

and above”.

iv. Any drawal of power by a generating station prior to the COD of a unit for the start-up

activities shall be exempted from the levy of Additional Charges for Deviation.

31


12.6 Sustained Deviation Violations and Sustained Deviation Charges for failure of Sign

Change by State Entity

In the event of sustained deviation from schedule in one direction (positive or negative) by any state entity, such state entity (buyer or seller), shall correct its position in the manner as specified under Regulation 10 (K) (a) and (b) of the Regulation, as reproduced hereunder:

i. For the period upto 30.11.2020: If the sustained deviation from schedule continues in one direction (positive or negative) for 12 time blocks, the state entity (buyer or seller) shall correct its position by making the sign of its deviation from schedule changed or by remaining in the range of + 20 MW with reference to its schedule, at least once, latest by 13th time block, such range being a subset of the volume limit as specified under Regulation 10 of DSM Regulations and Para 12.3.2 and 12.4.2 of this procedure;

Provided that each violation of the sign change requirement under this clause shall attract an additional charges of 10% of the time block DSM Charges payable or receivable as the case may be.

To illustrate, A state entity having a sustained deviation from time blocks t1 to t12, shall correct its position either by changing the sign of its deviation (from positive to negative or negative to positive as the case may be) or come back in the range of +/- 20 MW with reference to its schedule, latest by the end of time block t13. In case, such sign change does not take place or it fails to come back in the range of +/- 20 MW by the end of time block t13, but such correction of position takes place from time block t14 up to time block t24, then additional charge shall be levied equivalent to one violation. The above violation shall attract an additional charge at the rate of 10% of the time block DSM charge for t13. Further, in case, sign change does not take place or it fails to come back in the range as aforesaid latest by the end of t25, but correction in position takes place from time block t26 up to time block t36, then the additional charge shall be levied for two violations and so on.

ii. For the period from 01.12.2020 onwards: If the sustained deviation from schedule continues in one direction (positive or negative) for 6 time blocks, the state entity (buyer or seller), shall correct its position, by making the sign of its deviation from schedule changed or by remaining in the range of +/- 20 MW with reference to its schedule, at least once, latest by 7th time block, such range being a subset of the volume limit as specified under Regulation 10 of DSM Regulations and Para 12.3.2 and 12.4.2 of this procedure;

Provided that violation of the requirement under clause (ii) shall attract an additional charge as specified in the table below:

32


Table 10: Sustained Deviation Charges for failure of Sign Change by State Entity (w.e.f. 01.12.2020)

No. Of violations in a day Additional Charge Payable

From first to fifth violation For each violation, an additional charge @3% of the daily base DSM charge payable or receivable

From sixth to tenth violation For each violation, an additional charge @5% of the daily base

DSM charge payable or receivable

From eleventh violation onwards For each violation, an additional charge @10% of the daily base DSM charge payable or receivable

To illustrate, A state entity having a sustained deviation from time blocks t1 to t7, shall

correct its position either by changing the sign of its deviation (from positive to negative or

negative to positive, as the case may be) or come back in the range of +/- 20 MW with

reference to its schedule, latest by the end of time block t7. In case, such sign change does

not take place or it fails to come back in the aforesaid range by the end of time block t7, but

such correction of position takes place from time block t8 up to time block t12, then an

additional charge shall be levied equivalent to one violation. Further, in case, sign change

does not take place or it fails to come back in the range as aforesaid latest by the end of t13,

but correction in position takes place from time block t14 up to time block t18, then the

additional charge shall be levied for two violations and so on;

Provided further that the counting of the number of sign change violations under the above

mentioned clauses (i) and (ii) shall start afresh at 00.00 Hrs. for each day;

Provided also that the Commission may adopt a different methodology or change the allowed

time blocks for sign change as required from time to time;

Provided also that payment of additional charges for failure to adhere to sign change

requirement as specified under clause (i) and (ii) above shall not be applicable to:

a) renewable energy generators which are state entities

b) run of river projects without pondage

c) any infirm injection of power by a generating station prior to CoD of a unit during testing

and commissioning activities,

d) any drawal of power by a generating station for the start-up activities of a unit.

e) any inter-regional deviations.

f) forced outage of a generating station in case of collective transactions on Power Exchanges.

33


Note: In case of entities having sustained deviations (including entities with sustained deviations within the range of ±20 MW) in one direction (with no sign change) continuously for 2 days, SLDC may give notice to the concerned state entity for control of its actual injection/drawal and changing of deviation sign within next two days. In case the State Entity fails to do so and/or is found to be deliberately deviating in one direction, SLDC may stop scheduling of power to the concerned State Entity for next 3 days.

12.7 Preparation of Deviation Settlement Accounts

i. The SLDC shall, on weekly basis, prepare and publish on its website the records of the

Deviation Accounts, specifying the quantum of deviation (over-drawal/under-drawal for

buyers and over-injection/under-injection for sellers) and the corresponding amount of

Charges for Deviation payable/receivable for each Buyer and Seller for all the time-blocks

when the grid frequency is "49.85 Hz and above" and "below 49.85 Hz” separately.

ii. The Deviation accounting shall be undertaken on the basis of the data recorded by

the Interface Meters , capable of recording the energy in 15-minute time blocks or

less, as may be specified. Automated Meter Reading (AMR) system shall be used for

communicating data/ remote downloading of data at SLDC. Internal clock of the interface

meter shall be time synchronized with GPS. Besides, downloaded meter data readings

shall also be forwarded to the SLDC.

iii. The DSM account for State Entities shall be in line with the provisions of PSERC (Deviation

Settlement Mechanism and related matters) Regulations, 2020, as amended from time to

time. Similarly, Reactive Energy Accounts shall be prepared in line with provisions of

State Grid Code/ IEGC and compensation for reactive energy exchange shall be dealt with

separately in line with the regulations/Grid Code issued by the commission from time to

time.

iv. The DSM account of Partial Open Access Consumers connected to the InSTS and all open

access consumers connected to the distribution network shall be in accordance with the

provisions of PSERC (Terms and Conditions for Intra State Open Access) Regulations, 2011

and its amendments thereof.

v. SLDC shall process the weekly SEM data fetched by it/ supplied to it by every Thursday

(for the previous week starting Monday 00:00 Hrs to Sunday 24:00 Hrs) and prepare the

weekly DSM account for the State Entities, by 24:00 hours of next Tuesday, provided

that the master SEM frequency data for the accounting period (penultimate week) is

available and Regional DSM account has been issued by NRPC. The DSM account shall be

uploaded on SLDC website.

34


vi. The State Entities shall communicate any discrepancies to SLDC within 15 days of

issue of accounts, which shall be corrected forthwith by SLDC , if required, within 7

days from date of receipt of such discrepancy. The discrepancies reported after 15 days

shall not be considered by SLDC and in such case, the account prepared by SLDC

shall be final. If SLDC does not accept any discrepancy raised by the State Entity, SLDC

shall reply to the entity within 7 days of raising of such discrepancy with the reasons.

vii. The process-chart pertaining to timelines for accounting by SLDC is summarized as

under:-

viii. The format of Daily and Weekly Deviation Settlement Accounts are enclosed at

Annexure-IV A to IV E of this procedure.

35


13. Commercial Settlement of DSM Charges :

i The State Entity shall open Bank Account in any Bank registered and regulated by

RBI and intimate the details of the same to SLDC.

All payments on account of Charges for Deviation including Additional Charges for

Deviation levied under PSERC DSM Regulations, 2020 and Interest, if any, received for

late payment shall be credited to the funds called the “State deviation Pool Account” ,

which shall be maintained and operated by the SLDC in accordance with the provisions of

PSERC DSM Regulations, 2020. The present details of pool account of SLDC are State

Bank of India A/c No. 38757355860 (IFSC Code: SBIN0050012).

However,

a) The Commission may by Order direct any other entity to operate and maintain “State

Deviation Pool Account”.

b) Separate books of accounts shall be maintained for the Principal component and

Interest component of Charges for Deviation and Additional Charges for Deviation by

the SLDC.

c) The State entities shall comply with all statutory requirements for payment of the

applicable statutory levies, taxes and duties, if any.

d) The State entities shall facilitate SLDC in meeting with the reporting requirements of

Statutory Authorities, as necessary.

iii. SLDC shall maintain separate Bank Account (current account) for commercial transaction

under State Deviation Pool Account. This State Deviation Pool account shall be reconciled

once in six months. All the transactions with these accounts will be done through

Electronic payment such as RTGS/NEFT or other modes of online payment tractions. SLDC

shall factor in all statutory compliance requirements and propose mechanism for

recovery of associated costs, taxes, levies, if any for settlement of State Deviation Pool

Account and any associated costs.

iv. All payments received in the “State Deviation Pool Account” shall be considered in the

following sequence:

a) Any cost or expense or other charges incurred on recovery of Charges for Deviation.

b) Over dues or penal Interest, if applicable.

c) Normal interest.

d) Payment in Regional Deviation Pool Account.

e) Charges for Deviation and Additional Charges for Deviation.

36


v. The surplus funds in the State Deviation Pool Account at the end of the financial year

shall be utilised for the purpose of improvements in power system operations, for

undertaking such measures and studies for improvement in reliability, security and safety

of grid operations, undertaking capacity building and training programs related to system

operations and market operations and for such other purposes as may be specified by

Commission or for other schemes as may be devised in consultation with National Load

Despatch Centre, or Regional Load Despatch Centre, with prior approval of the

Commission.

However, the shortfall in funds in the State Deviation Pool Account; if any, at the end of

the weekly settlement period shall be recovered by levy of an additional charge from the

State Entities in proportion to the Net Deviation Charges Payable by the concerned State

Entity for the applicable weekly settlement period through supplementary bills.

vi. The payment of Charges for Deviation shall have a high priority and the concerned State

Entity shall pay the indicated amount within 10 days of the issue of statement of Charges

for Deviation including Additional Charges for Deviation by the SLDC into the “State

Deviation Pool Account”. The State Entity shall make the payment irrespective of any

mistake/error in the bill. Any revision or modification in the bill on account of

mistake/error in the bill, shall be rectified and adjusted by SLDC in the subsequent bills of

the concerned State Entity.

If payment against Charges for Deviation including Additional Charges for Deviation are

delayed by more than two days, i.e. beyond 12 days from the date of issue of the

statement by the SLDC, the defaulting State Entity shall pay simple Interest @ 0.04% for

each day of delay.

vii. In case, State Entity fails to make payment against Charges for Deviation including

Additional Charges for Deviation for consecutive three (3) weeks bills, concerned State

Entity shall not be scheduled by SLDC and SLDC shall approach the Commission with

detailed report.

viii. All Payment to the State Entities entitled to receive any amount on account of Charges

for Deviation shall be made within two working days of the receipt of payments from

paying State Entities in the “State Deviation Pool Account”.

However

a) In case of delay in the payment of Charges for Deviations into the State Deviation

Pool Account and Interest beyond 12 days from the date of issue of the Statement

of Charges for Deviations, the State entities receiving payment for Deviation or

37


Interest thereon shall be paid from the balance available in the State Deviation

Pool Account. In case the balance available is not sufficient to meet the payment

to the state Entities, the payment from the State Deviation Pool Accounts shall be

made on pro rata basis from the balance available in the State Deviation Pool

Account.

b) The liability to pay Interest for the delay in payments to the “State Deviation Pool

Account” shall remain till Interest is not paid; irrespective of the fact that State

Entities who have to receive payments, have been paid from the “State Deviation

Pool Account” in part or full.

14. Payment Security Mechanism

i All the State entities shall be required to open a Letter of Credit (LC)/ RBI Letter of

Mandate (LM) equal to 110% of its average payable weekly liability for deviations in the

previous financial year, in favour of the SLDC within a fortnight from the date of

notification regarding operationalization of commercial arrangements as per DSM

Regulations.

ii In case the average payable weekly liability for deviations in the previous financial year of

any State Entity is not available, the average payable weekly liability for deviations of a

completed month during the current year shall be considered to calculate the value of

Letter of Credit (LC)/RBI letter of mandate to be opened.

iii The LC/ RBI letter of mandate amount shall be increased to 110% of the payable weekly

liability for Deviation in any week during the year, if it exceeds the previous LC/ RBI letter

of mandate amount by more than 50%.

iv In case, State Entity fails to open the required LC/ RBI letter of mandate, concerned State

Entity shall not be scheduled by SLDC.

Illustration If the average payable weekly liability for Deviation of a State entity during (FY 2019-20)

is Rs. 2.0 Crore, the State entity shall open LC or submit RBI Letter of Mandate for Rs. 2.2.

Crore in [FY 2020-21]. If the weekly payable liability during any week in [FY 2020-21] is Rs.

3.5 Crore which is more than 50% of the previous financial year’s average payable weekly

liability of Rs. 3.0 Crore, the concerned State entity shall increase the LC/RBI letter of

Mandate amount to Rs. 3.85 Crore (1.1*3.50) by adding Rs. 1.65 Crore.

v In case of failiure to pay into the “ State Deviation Pool Account” within the specified

time of 12 days from the date of issue of the statement of Charges for Deviations, the

38


SLDC shall be entitled to encash the LC/RBI Letter of mandate of the concerned

constituent to the extent of the default and the concerned constituent shall recoup the

LC/RBI Letter of mandate amount within three days.

15. Compliance Monitoring

In the Event of breach or default of procedure and consequences thereof shall be as

under:

i. Following events shall constitute breach by State Entities:

a) Non-payment or delay in payment of Deviation/ Additional Deviation Charges.

b) Non-compliance of any of the terms & conditions/ rules outlined under this

procedure.

c) Non-compliance of any of the directive issued by SLDC or PSERC.

d) Obtaining registration on the basis of false information or by suppressing material

information.

e) In case Available/ Declared Capacity is intentionally and repeatedly mis-declared by

any seller.

f) In case State Entity fails to provide schedules for continuously for 10 days.

g) Non-availability of real time data continuously for three (3) days without

justified reason.

h) Non-availability of meter data for calculation of charges

i) Non-payment of DSM charges to State Deviation Pool Account by the State Entity

for consecutive three (3) weeks.

j) Non-opening of required LC/ RBI Letter of Mandate towards Payment Security

Mechanism.

k) In case the State Entity has become insolvent/ bankrupt.

l) In case of continued default for statutory compliance leading to declaration of

w illful defaulter by Competent Authority.

ii. Consequences for event of default:

a) In case of default of provisions stated this procedure without prejudice, SLDC shall

intimate the Entity for actions to be taken.

b) In case the entity fails to take corrective measures within stipulated time, the SLDC

may take decision under its Power (e.g. denying scheduling of power) and approach

the Commission.

39


16. SLDC Fees & Charges and other Charges:

SLDC fee and charges including scheduling and operating charges shall be payable by the

State Entity, as specified/decided by the Punjab state Electricity Regulatory Commission. The

other Charges shall be levied as per the applicable PSERC Regulations/Orders. Details of

Registration Fee, Scheduling and Operating Charges are enclosed at Annexure-IX (which

shall be levied subject to approval of Hon’ble PSERC).

The payment/ billing of charges shall be in accordance with the relevant regulations issued

by Hon’ble PSERC from time to time.

17. Governance Structure:

i. The State Grid Code Review Committee (SGCRC) constituted under Clause 2 of PSERC

(Punjab State Grid Code) Regulations, 2013, as amended from time to time, shall be

responsible for monitoring, compliance of DSM Regulations by the State Entities,

providing necessary support & advice to the Co

ii. mmission for suitable modifications/ issuance of operating procedures, practice

directions, and amendment to the provisions of DSM Regulations, as may be necessary.

iii. The Commercial & Metering Committee (CMC) constituted under Clause 2.7 of PSERC

(Punjab State Grid Code) Regulations, 2013, as amended from time to time, shall be

responsible to resolve the issues/ disputes relating to Deviation Settlement account

under DSM regulations.

iv. The Commission may constitute a Punjab State Power Committee, which shall perform

the following functions:

a) Monitor compliance of DSM Regulations by the State Entities and submit an

annual compliance report to the Commission.

b) Guide the SLDC for modification of procedure(s) to address any implementation

difficulties.

c) Co-ordinate and facilitate intra-state energy exchange for ensuring optimal

utilisation of resources.

d) Provide necessary support and advice to the Commission for suitable

modifications/ issuance of operating procedures, practice directions, and

amendments to the provisions of DSM Regulations, as may be deemed necessary.

18. Re-dressal Mechanism:

Any dispute in scheduling, metering, billing/ energy accounting & Commercial Settlement

including unsettled disputes between the SLDC and State Entities shall be first referred to

40


the Commercial & Metering Committee (CMC) formulated under State Grid Code. All users

shall abide by the decision of CMC.

The Committee shall investigate and endeavor to resolve the grievance within 30 days after

affording opportunity of hearing to all the affected parties. If the Committee is unable to

redress the grievance, it shall be referred to the Commission by the Committee. In case the

State Entity is dissatisfied with the decision of the committee, it may approach the

Commission through a petition. Pending the decision of the commission, the directions of

the CMC/ SLDC shall be complied with by the State Entity.

19. Removal of difficulties:

In case of any difficulty in implementation of this procedure, SLDC may approach the

Commission for review or revision of the procedure with requisite data. In case of

any dispute between these Procedures and PSERC DSM Regulations, 2020, the later shall

supersede these procedures and will be applicable.

20. General:

i. All costs/expenses/ charges associated with the application, including bank

charges, Affidavits etc. shall be borne by the applicant.

ii. The State Entities shall abide by the provisions of the Electricity Act, 2003, the

PSERC Regulations and Indian Electricity Grid Code and PSERC (State Grid Code)

Regulation - 2013, and applicable CERC and PSERC regulations as amended from

time to time.

iii. This procedure aims at outlining conditions and steps to streamline and facilitate the

process of Scheduling, Despatch, Accounting and Settlement of deviations of Buyers and

Sellers. However, some teething problems may still be experienced. The various

implications would be known only after practical experience is gained by way of

implementing these procedures. In order to resolve the same, this procedure shall

be reviewed or revised by the SLDC with prior approval of Commission.

iv. After approval of procedure by the Commission, SLDC shall undertake

development of necessary software for Scheduling and Despatch and Deviation Settlement

for Buyers and Sellers under SAMAST scheme and after go-live of software, there shall

be trial run period of atleast (8) weeks for ensuring implementation of DSM

framework as envisaged in the regulation. Actual commercial settlement shall

commence from the date as may be decided by the Commission.

41


21. Annexures & Formats:

List of Annexures and Formats are listed below:

Sr.No. Particulars Annexure/ Format No.

1. Proposed Fee & Charges Annexure - I

2. Application Form for Registration Annexure - II A

3. Notarized Affidavit/

Undertakings on Stamp Paper

Annexure - II B

4. Formats for State Energy

Account

Annexure - III

5. Daily Deviation Calculation of

Buyers

Annexure - IV A

6. Daily Deviation Calculation of

Sellers

Annexure - IV B

7. Daily Deviation Summary of

State Entities

Annexure - IV C

8. Weekly Deviation Summary of

State Entities

Annexure - IV D

9. Abstract Deviation Charge

Summary

Annexure - IV E

42


ANNEXURE-I

Abstract of Payment to be made by the State Entity to SLDC

Sr.

No. Type of Charges

Parameter Amount (Rs.) Details of Payment

1 Registration Charges

(Non-refundable)

0.01 to 100 MW 20,000/- Alongwith

Application for

Registration of

Buyer/ Seller

(considering recent NCPD of Buyer/ Seller and Installed Capacity of Generating Station)

100.01 to 1000 MW 1,00,000/-

1000.01 to 10000 MW 2,00,000/-

> 10000.01 MW 5,00,000/-

2 Scheduling Charges As and when approved

by the Commission 2,000/- For each day

3

Letter of Credit (LC)/

RBI Letter of

Mandate (LM)

In line with the PSERC (Deviation Settlement Mechanism and related

matters) Regulations, 2020, as amended from time to time.

4 Any other charges As approved by the Commission from time to time

43


Annexure-II A

Tel :

Fax : State Load Dispatch Centre

Email: Punjab State Load Dispatch Centre

State Entity Registration Form

Tick relevant box

New Registration Change of registration Cancel registration

Tick relevant boxes

Seller/ Generator

Buyer/ Beneficiary

State Owned Generating Station Distribution Licensee

IPP Deemed Distribution Licensee

CPP Full Open Access Customer

Co-gen

NRSE/ Renewable

Non-Renewable

1 Name of the Entity

2 Primary business

(brief description)

3 Business address

Mobile/ Phone Fax Email website

44


4 Postal Address

5 Registered Address

6 GST No. (copy enclosed)

7 PAN No. (copy enclosed)

8 Contact person

(Scheduling)

Name & designation

Mobile/ Phone Fax Email

9 Contact person (DSM)

Name & designation

Mobile/ Phone Fax Email

10 NCPD Quantum (MW)

(for Buyers)

11 License Details (for licensee)

(copy enclosed)

License Validity

License No.

License Date Issuing Authority

12 Connectivity Details

Details at point of injection/

drawl:

(i) Name of utility (PSPCL/

PSTCL)

(ii) Voltage Level (kV)

(iii) Installed Capacity/ Sanctioned CD (MW/ MVA)

45


(iii) Point of injection/ drawl

(Name of PSTCL/ PSPCL Sub

Station)

iv) Single line diagram &

metering details at

injection/ drawl point

13. Details of Generator

Name of

Generator

Location of

Generator

(Village, Tal,

District)

Total unit-wise

Installed Capacity

(MW)

COD date &

Time

Detail of

beneficiary/

drawl point

Type of

Generating

Units

Type of Fuel

used

FGMO Service

(Yes/ No)

RGMO Service

(Yes/ No)

FGD Compliance

(Yes/ No)

14. Metering Details

Interface Point CT Ratio PT Ratio MF

Main Meter

Check Meter

Standby Meter

15. Existing Open Access Details (Agreement/ Approval copy enclosed)

LTA/ MTOA/ STOA

Contracted Entity Capacity (MW) Validity

46


Authorized Signature

And Official Seal

(For State Entity)

Note: Any change in aforementioned data/ information shall be conveyed to SLDC immediately.

16. Existing PPA Details other than above (copy enclosed)

Contracted Entity Capacity (MW) Validity

17. Details of

Registration Fee

(RTGS/ NEFT

No.)

18. Details of LC/

LM

(No. & date)

19. Bank account

Details of State

Entity for

handling DSM

mechanism

A.C No.

IFSC Code

Name of the Bank

Address

47


Annexure-II B

UNDERTAKING TO BE GIVEN BY PROSPECTIVE STATE ENTITY AT THE TIME OF REGISTRATION

Name: M/s___________________________ (Name of State Entity), ______(Postal

address)__________________________________________________________

(To be provided by the State Entity on a stamp paper attested by Notary Public)

1. I/We, as a State Entity will be regulated by PSERC (Deviation Settlement Mechanism

and related matters) Regulations, 2020, as amended from time to time.

2. I/We agree that if there is any deviation from the schedule, then for such energy,

Deviation charges will be applicable as per DSM regulations as amended from time to

time.

3. I/ We shall be responsible for commercial settlements with the SLDC.

4. I/We understand that the SLDC will compute the comprehensive Deviation charges and

raise bill for the deviation on weekly/monthly basis, as may be applicable.

5. DSM Account shall be prepared as per PSERC (Deviation Settlement Mechanism and

related matters) Regulations, 2020, as amended from time to time.

6. I/We agree to submit Letter of Credit (LC)/ RBI Letter of Mandate (LM) for the amount

intimated by SLDC in line with the provisions of PSERC (Deviation Settlement

Mechanism and related matters) Regulations, 2020, as amended from time to time and

approved procedure.

7. I/We agree, if payments against the Charges for Deviation Charges are delayed by more

than two days, i.e. beyond twelve (12) working days from the date of issue of final DSM

account by SLDC, the defaulting State Entity shall have to pay simple interest@ 0.04%

per day in addition and in case the payment is not made even after a lapse of 60 days

from issuance of final DSM account, process to invoke LC/ LM shall be initiated.

8. I/We will be responsible to ensure healthiness of metering equipment during the period

of schedule/ injection of power and will inform SLDC about defect/ change in metering

equipment within 24 hrs of such defect coming to notice/ change of metering

equipment. In absence of timely receipt of such information from us, I/We will be

responsible for any loss to SLDC/ PSTCL on this account.

9. I/We shall establish a round the clock Control Center and shall be responsible for control

of its Generation/ Demand. The Control Centre shall have facilities of voice

communication with SLDC with voice recording facilities, Fax machine and internet

connection available for all the 24 hours. I we shall

10. I/We agree to provide and meet with all metering, protection and communication

requirements, as specified by the Commission/PSPCL/PSTCL from time to time.

48


11. I/We agree to accept the decision of Commercial & Metering Committee/ appropriate

commission (CERC/PSERC)

12. I/We agree to bear any loss to SLDC/ PSTCL incurred on account of misrepresentation/

concealment of facts by me/us.

13. I/We will comply any additional conditions imposed by PSTCL/SLDC/PSPCL.

I/We undertake all operational and commercial responsibilities on behalf of the

Constituents as per the prevalent PSERC Regulations and are agreeing for the above

terms and conditions for registering as State Entity with SLDC, Punjab.

Details of Payment Security is enclosed

(Name and Postal address of State Entity)

__________________________________________

________________________________________________________________________

__________________________

Declaration: All that is stated in the above is true and correct.

Note: Copy of Board Resolution of Authorized Signatory/ Power of attorney/ Authorization Letter in

respect of signing authority to be enclosed.

49


Annexure-III

State Energy Account for the month ________

1. Details of Declared Capacity (DC)/ Available Capacity (AvC)

Sr. No. Name of Generator DC/ AvC (MUs)

1. Gen-1

2. Gen-2

-

n. Gen-n

Total in MUs

2. Details of Plant Availability Factor (PAFM)

Sr. No. Name of Generator PAF (%)

1. Gen-1

2. Gen-2

-

n. Gen-n

3. Details of Cumulative Availability Factor

Sr. No. Name of Generator CAF (%)

1. Gen-1

2. Gen-2

-

n. Gen-n

4. Details of Mis-declaration of Declared Capacity

Sr. No. Name of

Generator

Misdeclaration

Date

Incident No. No. of days for which

Fixed Charges

deductible

5. Energy Scheduled/ Booked to discom(s) from State Generating Stations (MUs)

Sr. No. Discom Gen-1 Gen-2 - Gen-n Total

1. Discom-1

2. Discom-2

-

n. Discom-n

Total

50


6. Details of Scheduled Exchanges under Intra-State Open Access bilateral transactions

Sr.

No.

From Utility To Utility Ex-Seller

(MUs)

Ex-Purchaser

(MUs)

Applicant Approval No.

7. Details of Scheduled Exchanges under Inter-State Open Access bilateral transactions

Sr.

No.

From

State

From

Utility

To

State

To

Utility

Ex-NR

Periphery

(MUs)

Ex-State

Periphery

(MUs)

Ex-Seller

Periphery

Ex-

Purchaser

Periphery

Applicant Approval

No.

8. Details of Scheduled Exchanges under Open Access collective transactions (through Power Exchange)

Buyer Power Scheduled (MUs)

IEX PXIL Total

Buyer-1

Buyer-2

Buyer-n

Total

9. Details of Bilateral Exchanges of Shared Projects

Project From To Ex- PP Share (MUs) Ex-Periphery Share (MUs)

Project Discom State

Project-2 Discom-2 State

10. Details of Renewable Energy Scheduled/booked to buyers (MUs)

Sr. No. Source Buyer-1 Buyer-2 - Buyer-n Total

1. Solar

2. Non-Solar

11. Monthly Report of Exchange of Energy on account of actions initiated by SLDC

Details of Exchange of Energy on account of actions initiated by SLDC

Sr.

No.

From To Mus Transacted Day Time Block SLDC

action

Reason for

the Action From To

1 Seller 1 Buyer 1 1

2 Seller 2 Buyer 1 2

- - -

n Seller n Buyer n n

Note: For details pertaining to Inter-State transactions, Regional Energy Accounts (REA) issued by NRPC

shall be referred to.

51


Annexure-IV A

Notes:

1. (+) represents DSM charge Payable into the State Deviation Pool Account and (-) represents DSM Charges receivable form the State Deviation

Pool Account

2. Minimum Volume limits for Buyer shall be applicable as per the provision of Regulation 10(D)(iii) of PSERC DSM Regulations.

52


Annexure-IV B

Notes:

1. (+) represents DSM charge Payable into the State Deviation Pool Account and (-) represents DSM Charges receivable form the State Deviation

Pool Account

2. Cap DSM rate for Seller for as determined by Commission is 363.10 Paisa/kWh.

3. Treatment to be infirm power shall be as per provision of PSERC DSM Regulations and DSM Procedure.

53


Annexure-IV C Daily Deviation Summary of State Entities

(A) Sellers

Daily Summary From To

Week No. Month and Year

Date Constituent

Name

Schedule

Injection (in

kWh)

Actual

Injection

(in kWh)

Deviation

Charges

(in Rs.)

Additional

Deviation

charges for

exceeding

volume

limit (in Rs.)

Sustained

Deviation

charges for

Sign changes

Violating (in

Rs.)

Total

Deviation

Charges (in

Rs.)

1 2 3 4 5 6 7 4+5+6+7

Gen 1

Gen 2

-

Gen-n

Gen 1

Gen 2

-

Gen-n

(B) Buyers

Daily Summary From To

Week No. Month and Year

Date Constituent

Name

Schedule

Drawal (in

kWh)

Actual

Drawal

(in kWh)

Deviation

Charges

(in Rs.)

Additional

Deviation

charges for

exceeding

volume

limit (in Rs.)

Sustained

Deviation

charges for

Sign changes

Violation (in

Rs.)

Total

Deviation

Charges (in

Rs.)

1 2 3 4 5 6 7 4+5+6+7

Buyer 1

Buyer 2

Buyer n

Buyer 1

Buyer 2

Buyer n

(+) represents DSM charge Payable into the State Deviation Pool Account and (-) represents DSM Charges

receivable from the State Deviation Pool Account.

54


Annexure-IV D Weekly Deviation Summary of State Entities

(A) Sellers

Seller Schedule

(kWh)

Actual

(kWh)

Total Deviation Charges (Rs.)

Deviation

Charges

(in Rs.)

Additional

Deviation

charges for

volume limit

(in Rs.)

Sustained

Deviation

charges for

sign

change

Violation

(in Rs.)

Adjustment

(if any)

Total

Deviation

charges

weekly

1 2 3 4 5 6 7 8 9=5+6+7+8

For

the

week

(From

Date

– To

Date)

Gen 1

Gen 2

-

-

Gen-n

(B) Buyers

Buyer Schedule

(kWh)

Actual

(kWh)

Total Deviation Charges (Rs.)

Deviation

Charges

(in Rs.)

Additional

Deviation

charges for

volume limit

(in Rs.)

Sustained

Deviation

charges

for sign

change

Violation

(in Rs.)

Adjustment

(if any)

Total

Deviation

charges

weekly

1 2 3 4 5 6 7 8 9=5+6+7+8

For

the

week

(From

Date

– To

Date)

Buyer 1

Buyer 2

-

-

Buyer-n

(+) represents DSM charge Payable into State Deviation Pool Account and (-) represents DSM Charges

receivable from the state Deviation Pool account.

55


Annexure-IV E

Summary of Deviation Charges for the State entities

Abstract of Deviation Account of State Entities

Month and Year

Week No.

For the period (Week)

All figures in Rs.

Utilities/Seller and Deviation payable/receivable

Gen-1

Gen-2

-

Gen-n

Buyer-1

Buyer-2

-

Buyer-n

TOTAL in Rs.

(+) represents DSM charge Payable into the State Deviation Pool Account and (-) represents DSM

Charges receivable from the State Deviation Pool Account.

Note: Formats (Annexure-I to Annexure-IV E) are tentative and may change after availability of Energy accounting and Deviation Settlement software under SAMAST Scheme of SLDC.

Documents

Detailed Operating Procedure For Energy Accounting and