SCED Features

SCED Features

• NLDC has opened a separate bank account called ‘National Pool Account (SCED)’. All payments to/from the generators and to the Discoms on account of SCED flow to/from the said National Pool Account (SCED)
• For any increment in the injection schedule of a generator due to optimization, the generator is paid from the National Pool Account (SCED) for the incremental generation at the rate of its variable charge.
• For any decrement in the schedule of a generator due to optimization, the generator pays to the aforesaid National Pool Account (SCED) – hereinafter also referred to as the pool – for the decremental generation at the rate of its variable charge after discounting heat rate compensation due to part load operation as certified by RPC as per the provisions of IEGC
• The incremental changes in schedules on account of optimization are not considered for incentive computation (which otherwise would have been available in terms of the relevant Tariff Regulations) for the generating stations. The deviation (in terms of provisions of DSM Regulations) in respect of such generators is settled with reference to their revised schedules. The increment or decrement of generation under SCED does not form part of RRAS.
• The net saving accrued in the pool after adjusting heat rate compensation for part load operation of the generators is shared in the ratio of 50:50 between the generators participating in SCED and the concerned beneficiaries/ discoms, on a monthly basis.
• The savings (50% of the net savings accrued in the pool) corresponding to the beneficiaries/ discoms is shared in proportion to their final schedule in the generating stations covered under SCED pilot on a monthly basis as per the Regional Energy Account (REA) issued by RPCs. 
• The generators share (i.e. 50% of the net savings accrued in the pool) is allocated to SCED Up and SCED Down generators in the ratio of 60:40 respectively for each time block. 
• According to the report, fifty-two (52) coal and lignite based thermal ISGS, consisting of 135 generating units and having a total installed capacity of 58,060 MW, are participating in the pilot on SCED
• Post 1st October, 2019, while five generating stations with 6540 MW capacity have opted out from the SCED pilot, two generating stations with 1460 MW capacity have joined the SCED pilot. 
• The report has brought out that SCED has eased the generators’ operations. There has been 29% decrease in the number of instructions (counting each change in the schedule of the generator by the RLDC as one instruction) in the injection schedules of participating generators and 42% decrease in the cumulative MW schedule change
• The report brings out that pit-head generation with lower variable cost is being increased in Western Region and Eastern Region, whereas generation with higher variable cost is being decreased in Southern Region and Northern Region
• This has led to the optimisation of generation across the country, thereby reducing the generation cost. 
• The report points out that there has been a marginal increase in transmission losses due to the SCED pilot. Simulation analysis for two months has revealed a 0.4% increase in transmission losses (approximately 0.013% of total all India transmission losses) with SCED, compared to losses without SCED. 
• The reduction in fuel cost due to SCED is largely attributed to the system level visibility of available cheaper generation at the National level. Similarly, utilization of available transmission capability towards Northern Region, North Eastern Region and Southern Region since the implementation of SCED pilot showcases the utilisation of available cheaper generation to their full capacity, within and across the regions. 
• Most of the suggestions, for instance, the suggestions for consideration of the heat rate information (incremental heat rate curves) for dispatch decision; further lowering of the current technical minimum norm of 55%; 
• Currently only those thermal ISGS are participating who are regional entities and whose tariff is determined or adopted by the Commission for their full capacity
• The cap of 7 paise/kWh shall, however, not be applicable in respect of ‘untied capacity’ of merchant generators as well as generators with part capacity tied, for its untied capacity. 
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