1 : Challenges in Multi Power Exchanges
Shri. Manohar G. Raoot,
CEO, Power Exchange India Limited.
Sh. N. Nallarasan has been the Deputy General Manager of Power System Operation Corporation
Limited (A Government of India Enterprise) since August 2012. He served System Operation at
various regional load despatch centres (RLDCs) as well as national load despatch centre (NLDC) at
Power System Operation Corporation Limited (POSOCO) and has more than 30 years of wide
experience in power sector. He has experience of managing power system operation under changing
scenario and upgraded technological environment. He started his illustrious career when he joined
Central Electricity Authority (CEA) through Central Power Engineering Services. He has worked
extensively in synchronisation of state grids to regional grids and was instrumental in formation of
integrated national grid of India. He has specialization in Power System Operation, Planning, Demand
forecasting, Restoration and handling load generation balance. Other areas of expertise of Mr.
Nallarasan include Electricity Markets including Power Exchanges, Open Access in Inter-State
Transmission System, and Regulatory affairs besides expertise in Load Despatch Technology. He
has worked closely on implementation of Reserve Regulation Ancillary Services (RRAS) and pilot
project phase of Automatic Generation Control (AGC). Prior to joining PowerGrid Corporation of India
Ltd. in January 1995, he worked in the CEA. He Post-graduated with a Master of Engineering Degree
in Electrical Engineering from the College of Engineering, Guindy, Anna University, Chennai.
*Role of System Operators in Indian Power Sector: Vital link’ between the
administrators, planners & regulators on one end and physical system and market
players on the other end
* Latest available data on Indian power system, Power exchange and inter-national connections
* Harnessing diversity of weather present in Indian system and managing loads on the basis of that
* Steep rise in integration of renewables in the Indian grid
* Improved power system frequency in India
* Evolution of power markets and its different products
* Ancillary Services – Security, Reliability and Economy
* Visualisation Displays Developed at NLDC: contour maps
* Balancing of generation: renewable, pump storage based etc.
* Wide Area Measurement System- Phasor Measurement Units (PMU): from pilot project to URTDSM project
3 : Recent trends and advances in power system operation of Indian grid
Sh. N. Nallarasan,
DGM, NLDC, POSOCO.
2 : Conventional and Hybrid Application of Power System Simulators – Off-line, On-line and
Dr. Om Nayak,
President, Nayak Corporation, United States.
Dr. Om Nayak is the Managing Director of Nayak Power Systems here in India and President of
Nayak Corporation in the United States. He has extensive hands-on experience with RTDS and
PSCAD as a developer, user and promoter. He is very passionate about these tools for the benefit
they bring in understanding complex power system phenomena, and in particular for students of
Dr. Nayak obtained his Bachelor degree in Electrical Engineering from Mysore University and M.Sc. and Ph.D. degrees from University of Manitoba, Canada, specializing in power systems. His previous industry experience includes his work at Bosch in Bangalore, Siemens in Chennai and Manitoba HVDC Research Centre in Winnipeg, Canada. He is a Registered Professional Engineer in the Province of Manitoba, Canada and a Senior Member of the IEEE and supporter of IEEE Scholarship Plus initiative.
The evolving complexity of the modern power system over the century necessitated the invention of set of analytical tools to help design and analyze the power system. As a result, sophisticate class of power flow analysis tools, transient stability analysis tools and electro-magnetic transient analysis tools being used today have evolved. Present day power system is being called the smart grid, cyber-physical power system and micro-grid. They consist of distributed renewable energy sources in addition to the bulk sources. This increased sophistication, speed and wider reach of controls, and complexity of the primary system and its controllers have necessitated the evolution of a modern test environment, popularly called real-time digital simulator. The same advances in digital technology which have enabled the sophistication of the system control devices have enabled the design of real-time digital power system simulators. This presentation briefly discusses the conventional applications of three independent tools – one in each class, a hybrid-simulator and then share the vision of a future simulation environment.
Mr. Manohar Govindrao Raoot, is a senior and seasoned power sector professional. He was
the Managing Director & Chief Executive Officer of PXIL since 1 st April, 2013 till 30 th June-
2016. On 1 st Dec-2016 the promoters NSE nominated him as Director on the board of PXIL,
later from 12 th Oct-2017 he joined as the Chief Executive Officer of PXIL. He was former
Executive Director of Power Grid and was the Head of Regional Load Despatch Centre(s) -
Western Region, Eastern Region and North-Eastern Region.
Thanks to his innovative approach and implementation, Mr. Raoot has been a leading change manager throughout his career whether it was establishment of North East Region Load Despatch Centre (NERLDC) / implementation of SCADA technology across Regional LDCs.
In his distinguished and illustrious career, spanning more than 40 years, Mr. Raoot has served Central Electricity Authority, Power Grid Corporation of India in different capacities and National Power Exchange as its founding MD & CEO. During his tenure, Mr. Raoot has been a pioneer in the field of implementation of Availability Based Tariff.
Mr. Raoot is recipient of numerous awards including the prestigious 'CBIP National Award for creative work in Power Sector'. He contributes towards growth of the sector by representing himself at numerous Committees on power system planning, imparting training and workshops to sector professionals. Mr. Raoot has published and presented around 60 technical papers at various seminars, workshops and symposiums.
Indian Power Sector has adopted a Multi Power Exchange model considering its
demography and diversity for providing a short-term requirement of power of various
utilities and Industrial consumers.
Accordingly, two power Exchanges were established in the year 2008 viz Indian Energy Exchange (IEX) in Delhi and Power Exchange India Ltd. (PXIL) in Mumbai to cater to power requirements of market players with efficiency, transparency and neutrality. Trading through Power Exchange platform eliminates the need of negotiating rates, identity of Seller / Buyer etc. and ensure a market discovered price for the power, in a transparent, efficient and neutral manner.
However, the experience has shown that one Power Exchange (IEX) has garnered a major market share due to first move advantage (launched 6 months ahead of PXIL) alongwith few hurdles on regulatory provisions that created difficulties for smaller Power Exchange to sustain in the market.
The hurdles were:
* Issuance of NOC for trading by SLDCs – specific to particular Exchange;
* Methodology adopted for sharing of transmission corridor based on proportionate requisitions made (Bigger Exchange bigger transmission corridor and smaller Exchange smaller transmission corridor);
* Different price discovery on different Exchanges
Above hurdles made it impossible to shift liquidity from bigger Power Exchange to smaller Power Exchange, resulting into all market players trading on one particular Power Exchange; thereby making smaller Power Exchange commercially difficult to sustain.
To address above challenges, while Hon’ble CERC has ensured a level playing field (in April 2016) in regard to transmission corridor allocation amongst Power Exchanges during congestion, ensuring Power Exchange neutral NOCs by SLDCs. However the issue of different price discovery amongst Exchanges still existed and market relied on bigger Exchange price to be bench mark price.
The way out to provide for sustenance of smaller (with less liquidity) Exchanges is now perhaps to develop a mechanism for uniform pricing by mixing bids of both Exchanges and discovering a single Common Price through Independent Entity to ensure Social welfare maximisation. Such Institution restructuring needs to be considered for implementation in near future for Multi Power Exchange Model to sustain in Indian Power Sector like in other countries and Europe.
It shall ensure: -
* Single Price discovery, eliminating confusing signal of multi prices in market;
* Ensuring Social Welfare maximisation.
Since objective of establishing Multiple Power Exchanges is not to discover multiple prices for the same product and confuse the market players, it is high time the sector seriously works towards discovery of “Uniform Pricing” across Power Exchanges
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