CSERC Unveils Draft Regulations 2024 Focusing on Resource Adequacy
The Chhattisgarh State Electricity Regulatory Commission has released the draft of a proposed regulation focusing on a resource adequacy framework to ensure a reliable, cost-effective, and sustainable electricity supply for the state's future needs.
September 05, 2024. By EI News Network
The objective of this proposed new regulation is to establish a comprehensive framework for meeting the state’s future electricity needs. The goal is to ensure a reliable power supply by effectively assessing, planning, and allocating energy resources.
This framework covers both short-term and long-term energy requirements. It emphasizes demand forecasting, resource planning, and energy procurement to maintain a balanced energy mix. It aims to integrate renewable sources like solar and wind while ensuring backup systems are available for high-demand periods or generation shortfalls.
As per the draft regulation, distribution licensees will be required to develop detailed demand forecasts. “Distribution licensees shall utilize state-of-the-art tools, scientific and mathematical methodologies, and comprehensive database such as, but not limited to, weather data, historical data, demographic and econometric data, consumption profiles, impact of policies and drivers etc. as may be applicable,” noted the draft.
The regulation mandates the creation of short-term (1 year), medium-term (5 years), and long-term (10 years) resource adequacy plans to guarantee sufficient capacity to meet peak demand and maintain reserves for unexpected surges or power generation failures. These plans must be submitted annually to the State Load Dispatch Centre (SLDC).
“SLDC shall aggregate demand forecasts by distribution licensees, considering the load diversity, congruency, and seasonal variation aspects and submit State-level aggregate demand forecasts for Long-term (MW and MUs) to CEA and Short-term to NLDC and RLDC by May 31 of each year for the ensuing year(s),” noted the draft.
A central aspect of the regulation is resource adequacy, which focuses on ensuring enough power resources are available to meet demand at all times. This includes a mix of traditional energy sources, renewables, storage systems, and demand-response measures to manage supply and demand variations. The framework also stresses reducing the environmental impact of energy generation by integrating cleaner technologies whenever possible.
“In power procurement strategy, distribution licensees shall ensure an optimal procurement generation resource mix and also facilitate smooth RE integration in its portfolio of power procurement resource options while meeting reliability standards and Renewable Purchase Obligation,” mentioned the draft.
Further, according to the draft regulations, for identification of the optimal generation procurement resource mix, optimisation techniques and least-cost modelling shall be employed by distribution licensees in order to avoid stranded capacity.
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