Reforms in Indian Electricity Market through pan India implementation of real time market for electricity Verma Gaurav, Kumar Anupam, Kumar Nitesh, Thukral Kapil, Mukherjee Subhendu, Saxena Samir C, De Debasis, Barpanda S S, Baba K V S National Load Despatch Centre, Power System Operation Corporation (POSOCO) Online published on 16 May, 2023. Abstract World-over, the electricity market structure and products have evolved to better balance the supply and demand in an economical manner. With the advent of renewables, the transition to active balancing closer to-real time has accelerated. In India, the efforts towards introduction of instruments of both active balancing, i.e. through reserves, ancillary services and real time markets and passive balancing, i.e. through tightening of prescribed frequency band and dynamic pricing of imbalances have systematically taken place in the past-few years. This has led to a significant increase in the electricity market transactions by the grid connected entities for balancing their portfolio and improvement in frequency profile. Further, the Government has set a-target of integrating 175 GW of renewable energy capacity by the year 2022. The renewable generators have intrinsic variability and intermittency. In order to address the variability of renewable generators and provide stakeholders an opportunity to reduce their imbalances, there was a need to have a structured electricity market product closer to real time. This would help the market participants to reduce over-reliance on unscheduled imbalance mechanism. Better portfolio management through near real-time market would reduce the reserve requirement and costs of ancillary services. The policy initiative of Ministry of Power, Government of India (MoP) and supportive regulatory intervention by Central Electricity Regulatory Commission (CERC) has led to development of an organized real time electricity market platform. This platform has enabled the participants to trade in electricity market just one hour ahead of physical delivery. The primary objective of Real Time Market (RTM) is to help the stakeholders with a window to correct their positions for real time energy balance management & mitigate price volatility. The shorter bidding time, faster-scheduling, and defined processes (e.g. Gate Closure) are expected to lower the power purchase costs and-increase certainty for entire power sector value chain. Market participants would be able to moderate their portfolios before the Gate Closure through RTM to re-balance and optimise the portfolio with economy and-efficiency. Top Keywords Indian Electricity Market, Market Clearing Volume, Market Clearing Price, Real Time Market. Top |