KERC Reduces Permitted Deviations To 10% for Solar & Wind Projects


The permitted deviation for all wind and solar producers will fall within the range of 10%, which was earlier 15%, of the scheduled energy injection into the grid, according to the Karnataka Electricity Regulatory Commission (KERC). 


According to the regulator’s order, regulations will be applied to all wind and solar generators with installed capacities of 10 MW or more and 5 MW or more, respectively, regardless of whether they are providing power to electricity supply companies (ESCOMs), other consumers, or captive consumption through open access within the state.


The “Forecasting, Scheduling, Deviation Settlement and Related Matters for Wind and Solar Generation Sources Regulations, 2022” does not involve wind-solar hybrid projects.


The rules have been updated to incorporate big solar and wind power capacity while preserving grid stability.


In August of last year, the Commission released the draft of the DSM regulations for 2022.

Qualified Coordinating Agencies (QCAs), State Load Despatch Center (SLDC), and power generators had all submitted comments to the Commission outlining the difficulties they had encountered while putting the prior laws into practice.

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The QCA must register for each pooling station, and a processing fee of Rs. 5,000 must be included with the registration application.

For payment security, the QCA shall provide the SLDC with bank guarantees in the amounts of Rs. 20,000/MW and Rs. 40,000/MW for each pooling station for solar and wind power, respectively.

In accordance with the revisions made, wind and solar generators with power purchase agreements (PPAs) with ESCOMs or those who directly deliver electricity to customers via the open access channel would be responsible for paying Rs. 0.25/kWh for deviations that fall beyond the 10% up to the 20% bands.

Further, they will be required to pay an additional charge of Rs. 0.50/kWh for every deviation from the 20%–30% band, and Rs. 0.75/kWh for deviations beyond the 30% band.

The amendments provide that in the event that energy injection is restricted for secure grid functioning during emergencies, no deviation penalties shall be incurred for any deviation.

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The modifications state that each pooling station or generating station’s week-ahead, day-ahead, and intraday generation schedules must be provided by the wind and solar power providers. 

Forecasts for the generation of wind and solar energy at regular intervals of 15-minute time blocks should be included in the day-ahead forecast.

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