THE INDIAN THE INDIAN POWER SYSTEMPOWER SYSTEM

PECULIARITIES, PROBLEMS PECULIARITIES, PROBLEMS AND SOLUTIONSAND SOLUTIONS

SYSTEM EVOLUTIONSYSTEM EVOLUTION LIKE ALL MAJOR POWER SYSTEMS, THE LIKE ALL MAJOR POWER SYSTEMS, THE

INDIAN POWER SYSTEM EVOLVED BY INDIAN POWER SYSTEM EVOLVED BY INTEGRATING SMALL ISOLATED SYSTEMSINTEGRATING SMALL ISOLATED SYSTEMS

PRESENTLY, THREE MAJOR GRIDS ARE IN PRESENTLY, THREE MAJOR GRIDS ARE IN OPERATION – CONNECTED OPERATION – CONNECTED ASYNCHRONOUSLY – MEETING A DEMAND ASYNCHRONOUSLY – MEETING A DEMAND OF OVER 85000 MWOF OVER 85000 MW

TARGET – A NATIONAL GRID BY 2010TARGET – A NATIONAL GRID BY 2010

SOUTHERN REGION

WESTERNREGION

EASTERN REGION

NORTHERN REGION

NORTH-EASTERN REGION

‘ ELECTRICAL’

REGIONS1

2

3

SAME FREQUENCY FROM GUJARAT TO ARUNACHAL PRADESH WITH EFFECT FROM MARCH 2003

ABOUT 2800 KMS! APART

SOUTHERN REGION

WESTERNREGION

EASTERN REGION

NORTHERN REGION

NORTH-EASTERN REGION

‘ELECTRICAL’

REGIONS

1

2

WITH THE COMMISSIONING OF THE TALA PROJECT CONNECTING THE EASTERN AND NORTHERN GRIDS, INDIA WILL HAVE ONLY TWO GRIDS

13450 MW

1000 MW6450 MW

4600 MW

1300 MW3200 MW

30,000 MW OF INTER-REGIONAL POWER BY 2012

EASTERN REGION

SOUTHERN REGION

WESTERNREGION

NORTHERN REGION

NORTH-EASTERN REGION

INTER-REGIONAL TRANSFER BY END OF 11th PLAN (2012)

ER

INSTALLED CAPACITY AND INSTALLED CAPACITY AND DEMAND GROWTHDEMAND GROWTH

ECONOMIC SURVEY: DOMESTIC, INDUSTRIAL DEMAND AS A PERCENTAGE OF TOTAL DEMAND

0

10

20

30

40

50

60

70

1977-78

1978-79

1979-80

1980-81

1981-82

1982-83

1983-84

1984-85

1985-86

1986-87

1987-88

1988-89

1989-90

1990-91

1991-92

1992-93

1993-94

1994-95

1995-96

1996-97

1997-98

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

YEAR

% O

F T

OT

AL

DE

MA

ND

AGRICULTURE

INDUSTRIAL

DOMESTIC

MONSOONSMONSOONS

SOUTH WEST MONSOON NORTH EAST

MONSOON

OPERATING IN OPERATING IN THE REAL TIMETHE REAL TIME

GRID OPERATION IN THE GRID OPERATION IN THE PAST PAST

LARGE FREQUENCY FLUCTUATIONSLARGE FREQUENCY FLUCTUATIONS FREQUENCY REMAINED AT 48 HZ AND BELOW FOR MOST FREQUENCY REMAINED AT 48 HZ AND BELOW FOR MOST

PARTPART LOW VOLTAGE OPERATIONLOW VOLTAGE OPERATION

VOLTAGE AT BANGALORE DIPPED TO AS LOW AS 300 Kv!!!!VOLTAGE AT BANGALORE DIPPED TO AS LOW AS 300 Kv!!!! NR EXAMPLE?NR EXAMPLE?

FREQUENT GRID DISTURBANCESFREQUENT GRID DISTURBANCES A DISTURBANCE ALMOST EVERY MONTHA DISTURBANCE ALMOST EVERY MONTH IMMENSE FINANCIAL LOSSES FOR INDUSTRYIMMENSE FINANCIAL LOSSES FOR INDUSTRY LOADS FREQUENTLY CUT OFF DUE TO RELAY OPERATIONLOADS FREQUENTLY CUT OFF DUE TO RELAY OPERATION

INCREASED ELECTRICAL LOSSESINCREASED ELECTRICAL LOSSES INEFFICIENT OPERATION OF ELECTRIC EQUIPMENTSINEFFICIENT OPERATION OF ELECTRIC EQUIPMENTS

INEFFICIENTINEFFICIENT UTILISATION OF PIT HEAD PLANTS UTILISATION OF PIT HEAD PLANTS GRID OPERATION FOCUSSED ON FIRE-GRID OPERATION FOCUSSED ON FIRE-

FIGHTING RATHER THAN OPTIMISATION AND FIGHTING RATHER THAN OPTIMISATION AND ECONOMYECONOMY

GRID OPERATION:GRID OPERATION: A TIGHT ROPE WALK A TIGHT ROPE WALK

BLACK-OUTVOLTAGE

COLLAPSE IN-ECONOMIC

OPERATION

INSTABILITYPOWER

SWINGSINCREASED

LOSSES

PECULIARITIESPECULIARITIESTHE GRIDTHE GRID

SPATIAL DISTRIBUTION OF SPATIAL DISTRIBUTION OF RESOURCES AND LOADSRESOURCES AND LOADS COAL IN EAST, HYDRO IN NORTH-EAST, COAL IN EAST, HYDRO IN NORTH-EAST,

LOADS SPREAD OVERLOADS SPREAD OVER LONG LINES – MIX OF HVAC AND HVDCLONG LINES – MIX OF HVAC AND HVDC MORE LIKE CANADA, US AND ERSTWHILE MORE LIKE CANADA, US AND ERSTWHILE

USSR GRIDSUSSR GRIDS GRID DESIGNED FOR EVACUATION GRID DESIGNED FOR EVACUATION

NOT FOR SKEWED NOT FOR SKEWED GENERATION/DRAWAL PATTERNSGENERATION/DRAWAL PATTERNS

POLICY OF ASYNCHRONOUS REGIONAL POLICY OF ASYNCHRONOUS REGIONAL GRIDS TILL RECENTLYGRIDS TILL RECENTLY

PECULIARITIESPECULIARITIESCOMMERCIAL COMMERCIAL MECHANISMMECHANISM

ANTIQUATED AND UNSCIENTIFIC ANTIQUATED AND UNSCIENTIFIC SETTLEMENT/TARIFF TILL SETTLEMENT/TARIFF TILL RECENTLYRECENTLY

AVAILABILITY BASED TARIFF AVAILABILITY BASED TARIFF CHANGED ALL THATCHANGED ALL THAT SCIENTIFIC SETTLEMENTSCIENTIFIC SETTLEMENT INCENTIVISE GOOD BEHAVIOUR IN GRID INCENTIVISE GOOD BEHAVIOUR IN GRID SPOT AND BALANCING MARKETSPOT AND BALANCING MARKET

INCENTIVES TO GENERATORS STILL INCENTIVES TO GENERATORS STILL BASED ON PLFBASED ON PLF

PECULIARITIESPECULIARITIESGOVERNANCE AND GOVERNANCE AND

REGULATIONREGULATION REGULATORY STRUCTURE IN PLACEREGULATORY STRUCTURE IN PLACE STRONG POLITICAL DOMINANCESTRONG POLITICAL DOMINANCE

ECONOMICS SOMETIMES TAKES A BACKSEATECONOMICS SOMETIMES TAKES A BACKSEAT INVESTMENT SOMETIMES ALIGNED TO THE VOTE INVESTMENT SOMETIMES ALIGNED TO THE VOTE

BANKBANK FREE POWER POLICIESFREE POWER POLICIES DEBT RIDDEN SEB’sDEBT RIDDEN SEB’s

CULTURE DILEMMACULTURE DILEMMA COMMAND AND CONTROL :- NOT EASILY ACCEPTEDCOMMAND AND CONTROL :- NOT EASILY ACCEPTED CO-OPERATIVE :- FREQUENT BREAKDOWN – CURSE CO-OPERATIVE :- FREQUENT BREAKDOWN – CURSE

OF THE COMMONSOF THE COMMONS CONTRACTUAL : YET TO TAKE FIRM FOOTINGCONTRACTUAL : YET TO TAKE FIRM FOOTING

ANCILARY PRICING MECHANISM YET TO BE ANCILARY PRICING MECHANISM YET TO BE DEVELOPEDDEVELOPED

LEGISLATION,REGULATION AND LEGISLATION,REGULATION AND GOVERNANCEGOVERNANCE

RE

GU

LA

TO

R

RLDC RLDC

RP

C R

PC

STAKEHOLDERSSTAKEHOLDERS

DISCOMTRANSCO

SEB LICENCEE

CPP,IPP

GENCO

ISGS

SLDC’sSLDC’s RE

GU

LA

TO

R

CTU

MERCHANT GEN.

NL

DC

NL

DC

PECULIARITIESPECULIARITIESREAL TIME OPERATIONREAL TIME OPERATION

CONCEPT OF LOOSE POWER POOLCONCEPT OF LOOSE POWER POOL ASYNCHRONOUS GRIDS ASYNCHRONOUS GRIDS

SCOPE FOR ARBITRAGESCOPE FOR ARBITRAGE NO TIGHT CONTROL OF FREQUENCYNO TIGHT CONTROL OF FREQUENCY A DEVELOPING MARKET MECHANISMA DEVELOPING MARKET MECHANISM NASCENT OPEN ACCESS MARKETNASCENT OPEN ACCESS MARKET NO SERIOUS REPURCUSSIONS FOR NO SERIOUS REPURCUSSIONS FOR

LOSS OF LOAD OR GRID VIOLATIONLOSS OF LOAD OR GRID VIOLATION ESTABLISHED GRID SECURITY ESTABLISHED GRID SECURITY

MECHANISMS LIKE FGMO, SPINNING MECHANISMS LIKE FGMO, SPINNING RESERVES ETC YET TO BE FULLY RESERVES ETC YET TO BE FULLY IMPLEMENTEDIMPLEMENTED

SOLUTIONS?SOLUTIONS?

NEEDS TO BE TAILORED TO OUR NEEDS TO BE TAILORED TO OUR ‘PECULIARITIES’‘PECULIARITIES’

CANNOT LOOK WEST FOR ANSWERSCANNOT LOOK WEST FOR ANSWERS ABT FOR EXAMPLE IS A ‘DESI’ ABT FOR EXAMPLE IS A ‘DESI’

SOLUTIONSOLUTION WHY WAS IT SO OVERWHELMINGLY WHY WAS IT SO OVERWHELMINGLY

SUCCESSFUL?SUCCESSFUL?

CARDINAL EVENTSCARDINAL EVENTS

AVAILABILITY BASED TARIFFAVAILABILITY BASED TARIFF THE IEGCTHE IEGC NATIONAL GRID INTERCONNECTSNATIONAL GRID INTERCONNECTS SYSTEM AUGMENTATIONSYSTEM AUGMENTATION

SOME NR EXAMPLES?SOME NR EXAMPLES?

ABT SLIDES HEREABT SLIDES HERE

IEGC SLIDES HEREIEGC SLIDES HERE

WHY NATIONAL GRID?WHY NATIONAL GRID? STRONG BACKBONE STRONG BACKBONE ‘‘ANYWHERE TO ANYWHERE TO

ANYWHEREANYWHERE’ ’ ’ ’ WHEELINGWHEELING ECONOMIC OPERATIONECONOMIC OPERATION OPTIMAL UTILISATION OF SCARCE NATIONALOPTIMAL UTILISATION OF SCARCE NATIONAL

RESOURCE RESOURCE HARNESS DIVERSITYHARNESS DIVERSITY

SAVING OF MORE THAN 500 MW TODAYSAVING OF MORE THAN 500 MW TODAY SAVING OF 13,000 MW BY YEAR 2012SAVING OF 13,000 MW BY YEAR 2012 RS 2000 CR SAVING TO WESTERN REGION RS 2000 CR SAVING TO WESTERN REGION

ADDED STABILITYADDED STABILITY BOUNDARY-LESS OPERATIONBOUNDARY-LESS OPERATION HUB AND SPOKE ARRANGEMENTHUB AND SPOKE ARRANGEMENT GENERATORS HAVE READY EVACUATION GENERATORS HAVE READY EVACUATION

PATHPATH

765 KV RING MAIN SYSTEM

THE POWER ‘HIGHWAY’

CHEAP HYDRO POWER FROM THE NORTH-EAST AND PIT

HEAD THERMAL POWER FROM THE EAST ENTERS THE RING AND EXITS TO POWER

STARVED REGIONS

OPTIMAL RESERVE UTILISATIONOPTIMAL RESERVE UTILISATIONUSING TIME/LOAD DIVERSITYUSING TIME/LOAD DIVERSITY

WESTERNREGION

NORTH-EASTERN REGION

EASTERN REGION

WESTERNREGION

NORTH-EASTERN REGION

EASTERN REGION

AT 1830 HRS

AT 2000 HRS

600 MW

1200 MW

EASTERN REGION HELPS

WESTERN REGION

WESTERN REGION HELPS

EASTERN REGION

REAL TIME OPERATIONREAL TIME OPERATION

IEGC ABT

REAL TIME OPERATION

REAL TIME OPERATION STANDS ON TWO REAL TIME OPERATION STANDS ON TWO FIRM FOOTINGSFIRM FOOTINGS IEGC – THE INDIAN ELECTRICITY GRID CODEIEGC – THE INDIAN ELECTRICITY GRID CODE ABT – AVAILABILITY BASED TARIFFABT – AVAILABILITY BASED TARIFF

INDIAN ELECTRICITY GRID CODE INDIAN ELECTRICITY GRID CODE (IEGC)(IEGC)

SIMPLE, COMPREHENSIVE AND SIMPLE, COMPREHENSIVE AND EFFECTIVE EFFECTIVE

JUST ABOUT 50 PAGESJUST ABOUT 50 PAGES DYNAMIC DOCUMENTDYNAMIC DOCUMENT ADAPTIVE TO GRID ADAPTIVE TO GRID

REQUIREMENTSREQUIREMENTS CLARITY IN ROLES OF STAKE CLARITY IN ROLES OF STAKE

HOLDERSHOLDERS

IEGC ENCOMPASSES…..IEGC ENCOMPASSES…..

Role of Stakeholders, statutory bodies Role of Stakeholders, statutory bodies and their Organisational linkages and their Organisational linkages

Planning Code for Inter State Planning Code for Inter State TransmissionTransmission

Connection Conditions Connection Conditions Operating Code for Regional Grids Operating Code for Regional Grids Scheduling and Despatch CodeScheduling and Despatch Code Management of Indian Electricity Grid Management of Indian Electricity Grid

Code Code

AVAILABILITY AVAILABILITY BASED TARIFFBASED TARIFF

AVAILABILITY BASED AVAILABILITY BASED TARIFFTARIFF

A RATIONAL TARIFF STRUCTUREA RATIONAL TARIFF STRUCTURE SCIENTIFIC SETTLEMENT SYSTEMSCIENTIFIC SETTLEMENT SYSTEM COMPLEMENTS GRID RELIABILITYCOMPLEMENTS GRID RELIABILITY ENCOURAGE THOSE WHO HELP THE ENCOURAGE THOSE WHO HELP THE

GRID AND DISCOURAGE THOSE WHO GRID AND DISCOURAGE THOSE WHO UNDERMINE RELIABILITYUNDERMINE RELIABILITY

SIMPLE AND EFFECTIVESIMPLE AND EFFECTIVEIMPLEMENTED SUCCESSFULLY IN INDIAIMPLEMENTED SUCCESSFULLY IN INDIA

WHAT IS AVAILABILITY WHAT IS AVAILABILITY TARIFF?TARIFF?

FIXED COST FIXED COST αα PLANT AVAILABILITY. PLANT AVAILABILITY. VARIABLE COST VARIABLE COST αα SCHEDULED SCHEDULED

GENERATIONGENERATION DEVIATIONS :- UNSCHEDULED DEVIATIONS :- UNSCHEDULED

INTERCHANGE(UI), ATTRACT A FREQUENCY INTERCHANGE(UI), ATTRACT A FREQUENCY LINKED CHARGE.LINKED CHARGE.

CHALLENGESCHALLENGES

FLATTENING THE LOAD FLATTENING THE LOAD CURVE: CURVE: INNOVATIONS INNOVATIONS

WORLDWIDEWORLDWIDE TOD METERINGTOD METERING ‘‘PROGRAMMABLE SWITCH’ TO PROGRAMMABLE SWITCH’ TO

BRING ON STORAGE WATER BRING ON STORAGE WATER HEATER AT LEANHEATER AT LEAN

REMOTE CYCLING OF AIR REMOTE CYCLING OF AIR CONDITIONINGCONDITIONING

INCENTIVESINCENTIVES EXPORT ARRANGEMENTSEXPORT ARRANGEMENTS

SHIFTING THE SHIFTING THE AGRICULTURAL LOADS TO AGRICULTURAL LOADS TO

LEAN HOURSLEAN HOURS ‘‘FLATTER’ LOAD CURVE FLATTER’ LOAD CURVE BETTER UNIT COMMITMENTBETTER UNIT COMMITMENT PEAK BECOMES LESS SHARPPEAK BECOMES LESS SHARP BETTER ECONOMICS – PRICE IS LOWER AT LEANBETTER ECONOMICS – PRICE IS LOWER AT LEAN HYDRO CONSERVATIONHYDRO CONSERVATION GOOD FOR GRID SECURITYGOOD FOR GRID SECURITY

HIGH VOLTAGE PROBLEM MITIGATED AS THESE HIGH VOLTAGE PROBLEM MITIGATED AS THESE LOADS ARE REACTIVE INTENSIVELOADS ARE REACTIVE INTENSIVE

LINE OPENINGS ON OVER VOLTAGE REDUCED, HENCE LINE OPENINGS ON OVER VOLTAGE REDUCED, HENCE LOSSES ARE REDUCED, STABILITY INCREASESLOSSES ARE REDUCED, STABILITY INCREASES

FREQUENCY RESPONSIVE LOAD – AN IN-BUILT FREQUENCY RESPONSIVE LOAD – AN IN-BUILT DEFENSE MECHANISMDEFENSE MECHANISM

THE ‘KINKY’ LOAD CURVETHE ‘KINKY’ LOAD CURVEASSOCIATED PROBLEMSASSOCIATED PROBLEMS

LOW LOAD AT LEAN HOURSLOW LOAD AT LEAN HOURS BACKING DOWN OF GENERATORSBACKING DOWN OF GENERATORS HIGH VOLTAGE PROBLEMSHIGH VOLTAGE PROBLEMS

LINES OPENED OUT , INCREASED LOSSESLINES OPENED OUT , INCREASED LOSSES THREAT TO GRID SECURUTYTHREAT TO GRID SECURUTY

HIGH FREQUENCYHIGH FREQUENCY PRICE OF POWER BECOMES LOWPRICE OF POWER BECOMES LOW PROBLEMS IN UNIT COMMITMENT FOR MERIT ORDERPROBLEMS IN UNIT COMMITMENT FOR MERIT ORDER

SHARP PEAKSHARP PEAK POWER BECOMES COSTLYPOWER BECOMES COSTLY

SHARPER THE PEAK, THE COST ESCALATES SHARPELYSHARPER THE PEAK, THE COST ESCALATES SHARPELY LOW PF FOR SOME PLANTSLOW PF FOR SOME PLANTS TECHNICAL LIMITATIONSTECHNICAL LIMITATIONS

HYDRO RESERVES GET DEPLETEDHYDRO RESERVES GET DEPLETED

FLATTENING THE LOAD FLATTENING THE LOAD CURVE: CURVE: ‘DESI’ SOLUTION‘DESI’ SOLUTION

WHAT LOADS CAN BE SHIFTED TO THE WHAT LOADS CAN BE SHIFTED TO THE LEAN HOURS?LEAN HOURS? INDUSTRIAL LOADINDUSTRIAL LOAD

OTHER RAMIFICATIONSOTHER RAMIFICATIONS WILL AFFECT REVENUEWILL AFFECT REVENUE

DOMESTIC LOADDOMESTIC LOAD FLEXIBLE : ONLY TO A CERTAIN EXTENTFLEXIBLE : ONLY TO A CERTAIN EXTENT

COMMERCIAL LOADCOMMERCIAL LOAD IN-FLEXIBLEIN-FLEXIBLE MAY AFFECT REVENUEMAY AFFECT REVENUE

AGRICULTURAL LOADAGRICULTURAL LOAD MOST FLEXIBLEMOST FLEXIBLE

THE GRIDTHE GRID

INTERCONNECTED SYSTEMS WITH INTERCONNECTED SYSTEMS WITH THOUSANDS OF KILOMETERS OF THOUSANDS OF KILOMETERS OF LINES AND HUNDREDS OF LINES AND HUNDREDS OF GENERATORS OPERATING WITH SPLIT GENERATORS OPERATING WITH SPLIT SECOND SYNCHRONISM IS THE SECOND SYNCHRONISM IS THE GREATEST SCIENTIFIC ACHIEVEMENT GREATEST SCIENTIFIC ACHIEVEMENT OF THE MILLENIUMOF THE MILLENIUM

THE LARGEST SINGLE MACHINE EVER THE LARGEST SINGLE MACHINE EVER CREATEDCREATED

POWER SYSTEM POWER SYSTEM OPERATIONOPERATION

IS IT AN ART?IS IT AN ART? IST IT A TECHNOLOGY?IST IT A TECHNOLOGY? IS IT SCIENCE?IS IT SCIENCE?

………………. IT IS A MULTI-. IT IS A MULTI-DISCIPLINARY SUBJECT!!!DISCIPLINARY SUBJECT!!!

POWER SYSTEM POWER SYSTEM OPERATOROPERATOR

THE SYSTEM OPERATOR SHOULD THE SYSTEM OPERATOR SHOULD POSSESS THEPOSSESS THE DISCIPLINE OF A MONKDISCIPLINE OF A MONK INSTINCTS OF A FOXINSTINCTS OF A FOX EMOTIONS OF A ROCKEMOTIONS OF A ROCK SKILLS OF A SURGEONSKILLS OF A SURGEON PATIENCE OF A FLAMINGOPATIENCE OF A FLAMINGO

DO YOU HAVE IT IN YOU?DO YOU HAVE IT IN YOU?

THE POWER SYSTEMTHE POWER SYSTEM

POWER SYSTEM IS A POWER SYSTEM IS A MANIFESTATION OF SOCIETYMANIFESTATION OF SOCIETY

WE HAVE DONE LOTS OF WE HAVE DONE LOTS OF

““LOAD FLOWS”LOAD FLOWS” NOW’S THE TIME TO DO NOW’S THE TIME TO DO

“ “COST FLOWS”.COST FLOWS”.

CARDINAL RULES FOR A CARDINAL RULES FOR A SYSTEM OPERATORSYSTEM OPERATOR

UNDERSTAND THE DIFFERENCEUNDERSTAND THE DIFFERENCE PUBLIC GOODSPUBLIC GOODS PRIVATE GOODSPRIVATE GOODS PUBLIC SERVICEPUBLIC SERVICE PRIVATE SERVICEPRIVATE SERVICE

UNDERSTAND THE DIFFERENCEUNDERSTAND THE DIFFERENCE PUBLIC HAT AND A PRIVATE HATPUBLIC HAT AND A PRIVATE HAT

POOL POOL GOVERNANCEGOVERNANCE

THE CHALLENGE IS TO DESIGN A GOVERNANCE SYSTEM THE CHALLENGE IS TO DESIGN A GOVERNANCE SYSTEM THAT LUBRICATES THE DAY TO DAY OPERATION, THAT LUBRICATES THE DAY TO DAY OPERATION,

FACILITATES CONSTRUCTIVE CAPITAL INVESTMENT AND FACILITATES CONSTRUCTIVE CAPITAL INVESTMENT AND CHANNELS POLITICAL ENERGY IN A CONSTRUCTIVE CHANNELS POLITICAL ENERGY IN A CONSTRUCTIVE

WAYWAY

WHAT IS GOVERNANCE?WHAT IS GOVERNANCE?

WHAT DECISIONS ARE MADE?WHAT DECISIONS ARE MADE? WHO MAKES THEM?WHO MAKES THEM? HOW ARE DECISIONS ENFORCED?HOW ARE DECISIONS ENFORCED? HOW ARE DISPUTES RESOLVED?HOW ARE DISPUTES RESOLVED?

THE GOALSTHE GOALS

THE POOL AND SYTEM OPERATOR IS NOT THE POOL AND SYTEM OPERATOR IS NOT CONTROLLED BY ANY SINGLE MARKET CONTROLLED BY ANY SINGLE MARKET PARTICIPANT OR CLASS OF MARKET PARTICIPANT OR CLASS OF MARKET PARTICIPANTPARTICIPANT

THE MARKET IS FAIRTHE MARKET IS FAIR THE GRID ACHIEVES TARGETED RELIABILITY THE GRID ACHIEVES TARGETED RELIABILITY

LEVELSLEVELS THE DECISION MAKING PROCESS IS THE DECISION MAKING PROCESS IS

TRANSPARENTTRANSPARENT THE POOL RULES CAN BE CHANGED IN A THE POOL RULES CAN BE CHANGED IN A

RASONABLE PERIOD OF TIMERASONABLE PERIOD OF TIME THE COST OF GOVERNANCE IS MINIMISEDTHE COST OF GOVERNANCE IS MINIMISED

BASIC GOVERNANCE BASIC GOVERNANCE MODELSMODELS

MULTI-CLASS STAKEHOLDER BOARDMULTI-CLASS STAKEHOLDER BOARD NON STAKEHOLDER BOARDNON STAKEHOLDER BOARD SINGLE CLASS BOARDSINGLE CLASS BOARD FOR-PROFIT CORPORATION NOT FOR-PROFIT CORPORATION NOT

AFFLIATED WITH MARKET AFFLIATED WITH MARKET PARTICIPATIONPARTICIPATION

SINGLE-TIER MODELSINGLE-TIER MODEL

TWO-TIER MODELTWO-TIER MODEL

STRATEGIES FOR STRATEGIES FOR RELIABILITYRELIABILITY

ROBUST TRANSMISSION PLANNING ROBUST TRANSMISSION PLANNING AND INVESTMENT FRAMEWORKAND INVESTMENT FRAMEWORK

SYSTEM AUGMENTED EXCLUSIVELY SYSTEM AUGMENTED EXCLUSIVELY FOR RELIABILITY AND STABILITYFOR RELIABILITY AND STABILITY

AGGRESSIVE CONSTRUCTION AGGRESSIVE CONSTRUCTION SCHEDULESSCHEDULES

SCHEDULING AND SETTLEMENT SCHEDULING AND SETTLEMENT MECHANISM COMPLEMENTS GRID MECHANISM COMPLEMENTS GRID SECURITY.SECURITY.

STRATEGIES FOR STRATEGIES FOR RELIABILITYRELIABILITY

GRID CONTROL CENTERS GRID CONTROL CENTERS MANNED BY SPECIALISED MANNED BY SPECIALISED SENIOR PERSONNELSENIOR PERSONNEL TRAINED IN ALL ASPECTS TRAINED IN ALL ASPECTS

(TECHNICAL , MANAGEMENT AND (TECHNICAL , MANAGEMENT AND COMMUNICATION SKILLS)COMMUNICATION SKILLS)

EMPOWERED FOR EXIGENCIESEMPOWERED FOR EXIGENCIES LOOSE POWER POOL LOOSE POWER POOL

PHILOSOPHYPHILOSOPHY FLEXIBILITY IN OPERATIONFLEXIBILITY IN OPERATION