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TGERC Releases Draft Regulations on Resource Adequacy Planning – EQ

TGERC Releases Draft Regulations on Resource Adequacy Planning – EQ

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Summary:

### **1. Objective**
– Ensure **reliable electricity supply** to meet present and future demand.
– Mandate **distribution licensees (DISCOMs)** to maintain sufficient generating capacity, storage, and demand-side resources.
– Facilitate **renewable energy integration** while maintaining grid security.

### **2. Applicability**
– All **distribution licensees** (TSNPDCL, TSSPDCL, future third DISCOM).
– May also apply to **captive consumers, open access users, and renewable generators** above a specified capacity.

### **3. Key Obligations**
– **Planning Horizon:** Likely 1–10 years (short-term to long-term).
– **Resource Adequacy Requirement:**
– **Peak demand + planning reserve margin** (e.g., 15–20% above peak).
– **Seasonal/monthly adequacy** to address renewable intermittency.
– **Resource Types Recognized:**
– Generation (conventional & renewable)
– Energy Storage Systems (BESS, pumped hydro)
– Demand Response (DR) & Load Management
– Power purchase agreements (PPAs), own generation, market purchases

### **4. Compliance Mechanism**
– **Filing of Resource Adequacy Plans (RAPs)** by DISCOMs, approved by TGERC.
– **Annual compliance reporting** with verification by SLDC/State Advisory Committee.
– **Non-compliance penalties** (financial or regulatory).

### **5. Demand Forecasting**
– DISCOMs to submit **annual peak demand and energy requirement forecasts**.
– Use of **advanced modeling, weather data, economic indicators**.

### **6. Procurement & Planning Process**
– Competitive bidding for long-term PPAs (solar, wind, storage, hybrid).
– **Must-run status** for renewables, subject to grid security.
– **Energy storage obligations** possibly included.

### **7. Role of SLDC & State Authority**
– **State Load Despatch Centre (SLDC)** to monitor real-time adequacy.
– **TGERC** to approve plans, review compliance, and amend regulations.

### **8. Market Mechanisms**
– **Power exchange participation** for short-term adequacy.
– **Capacity markets** or **reliability contracts** as possible future mechanisms.
– **Ancillary services** procurement for grid balancing.

### **9. Integration with National Policies**
– Alignment with **National Electricity Plan (NEP)** and **CEA guidelines**.
– Support for **Renewable Purchase Obligation (RPO)** and **Energy Storage Obligation (ESO)**.

Anand Gupta Editor - EQ Int'l Media Network