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CERC Issues Key Clarifications to Enhance Electricity Grid Code Implementation

Dec 24, 2024

The Central Electricity Regulatory Commission (CERC) has issued its third “Removal of Difficulties” order for the Indian Electricity Grid Code (IEGC) 2023. This latest order aims to address several critical issues related to the scheduling of infirm power, trial operations, and the flexibility needed for renewable energy projects. These clarifications are designed to facilitate smoother implementation of the grid code, particularly with regard to renewable energy integration and grid synchronization.

Key Clarifications by CERC

The IEGC 2023, effective since October 1, 2023, provides the operational framework for India’s electricity grid. However, stakeholders raised concerns over some of its provisions, prompting CERC to release clarifications and amendments. This third order follows earlier interventions in September and December 2023, and the first amendment of the Grid Code in October 2024.

    Scheduling of Infirm Power

    Infirm power refers to electricity generated by a renewable energy project before it reaches commercial operation (COD). CERC has provided clarity on how this power can be scheduled. For general sellers, infirm power is only allowed after the project achieves initial synchronization with the grid. It is permitted for a maximum period of one year, with an extension possible upon receiving a No Objection Certificate (NOC) from the respective Regional Load Dispatch Centre (RLDC).
    Infirm injection is allowed only after a successful trial run for renewable energy plants and energy storage systems. Additionally, any deviations from the scheduled power generation are governed by the Deviation Settlement Mechanism (DSM) regulations introduced in 2024.

    Trial Operations for High-Capacity Projects

    The order introduces flexibility for high-capacity renewable energy projects. For projects with an installed capacity exceeding 250 MW, CERC has removed the cap on the number of trial run installments. However, it mandates that each trial run installment must be at least 50 MW. This change aims to provide developers with more operational flexibility, allowing them to better align their testing processes with the specific requirements of their projects.

    Post-Trial Operations and Scheduling

The order also stipulates that post-trial operations must receive certification from the RLDC before scheduling power injection. Furthermore, any infirm power generated during pre-COD activities requires prior permission from the RLDC. Once trial operations are complete, the power generated must be offered to Power Purchase Agreement (PPA) beneficiaries as a priority. If these beneficiaries decline or fail to respond within the stipulated time, the generators can sell the power on the open market.
A Step Towards Streamlining Renewable Energy Integration These clarifications by CERC reflect a significant step towards streamlining the integration of renewable energy into India’s power grid. By providing clearer guidelines on infirm power, trial operations, and post-trial activities, the order aims to reduce operational uncertainties for renewable energy developers. This ensures better coordination between generators, discoms, and RLDCs, facilitating a more efficient and flexible energy market.
Additionally, CERC’s interventions in refining the Grid Code’s provisions aim to encourage renewable energy development in India by offering more operational freedom and clarity for developers. With a focus on enhancing the scheduling and generation processes, these changes support the country’s ambitious renewable energy goals.
The latest order from CERC underscores the Commission’s commitment to improving the operational framework of the Indian electricity grid, particularly for renewable energy projects. By providing clear instructions on scheduling, trial operations, and post-trial activities, CERC is ensuring that renewable energy developers have the flexibility and clarity they need to operate effectively. These changes are essential as India strives to meet its renewable energy targets while ensuring grid stability and efficiency.