INTERCONNECTION, WHEELING AND POOLING

Inter-State Transmission, Inter-State, Regional and Inter-Regional Transmission

53. The Union Government may make region-wise demarcations of the country and, from time to time, make such modifications therein as may be necessary for the efficient, economical and integrated transmission and supply of electricity, and in particular to facilitate voluntary inter-connections and co-ordination of facilities for the inter-state, regional and inter-regional generation, transmission and distribution of electricity.

National Load Despatch Centre

54. The Union Government may establish a National Load Despatch Centre for the efficient and economic despatch of electricity among Regional Load Despatch Centres, and the member pools, if any, at the national level. The constitution and functions of the National Load Despatch Centre shall be as prescribed by the Union Government

Constitution of the Regional Transmission Centre

55. (1) The Union Government shall set up a Centre for each region, to be known as the Regional Centre for Transmission of Electricity (the "Regional Transmission Centre"), having territorial jurisdiction as determined by the Union Government in accordance with section 53 for the purposes of exercising the powers and discharging the functions provided under this part.

(2) The Regional Transmission Centre shall be a body corporate, and its constitution and appointment of the chief executive officer, other officers and staff shall be subject to such terms and conditions as may be prescribed by the Union Government.

(3) The Regional Transmission Centre shall consist of the following Members, namely-

(a) An experienced and qualified engineer to be appointed by the Union Government in consultation with the Central Commission-Chairperson;

(b) The Chief Executive Officer or a Director of the Central Transmission utility to be nominated by the Utility - Member;

(c) Chief Executive Officer of the State Transmission Utility of each State in the region - Members;

(d) The Chief Executive Officers or Directors of any thee inter-state Generating Companies to be nominated by the Union Government - Members;

(e) The Chief Executive Officer of any three Area Distributors to be nominated by the Union Government - Members;

(f) Upto five other Members, to be nominated by the Union Government to represent different sections of the electricity industry having interest in regional transmission; and

Functions of the Regional Transmission Centre

56. (1) The Regional Transmission Centre shall be responsible for co-ordinating the regulation and control of, and optimum scheduling and despatch of electricity within the region, to be known as regional grid operations, in accordance with the contracts that it shall enter into with the Authorised Person operating in the region and shall establish a Regional Load Despatch Centre for this purpose.

Provided that the Union Government may, by notification from time to time, direct that the Central Transmission Utility shall discharge the functions of the Regional Load Despatch Centre under this Part, for such period and subject to such conditions as may be stipulated therein.

(2) The Regional Transmission Centre shall comply with the Grid Standards and with such principles and guidelines as the Central Electricity Regulatory Commission may specify with regard to the wheeling and optimum scheduling and despatch of electricity within the region.

(3) The Regional Transmission Centre shall:

(a) monitor grid operations;

(b) co-ordinate grid planning and expansion; and

(c) conciliate in dispute resolution relating to grid operations.

Functions of the Regional Load Despatch Centre

57. (1)The Regional Load Despatch Centre shall, under the control and direction of the Regional Transmission Centre, be responsible for carrying out real time operations for grid control and despatch of electricity within the region through secure and economic operation of the regional grid in accordance with the Grid Standards and the Regulations of the Central Commission by-

(a) operational regulation of the technical aspects of operation and despatch of the integrated electricity system in order to ensure the technical stability of the inter-connected systems and the most economically efficient despatch of generating facilities;

(b) inter-connection business facilitating various transactions and agreements of trading in electricity with neighbouring or remote systems involving the administration of such contractual agreements;

(c) electricity pool operations and matters incidental or consequential thereto; and

(d) such other functions as may be directed by the Regional Transmission Centre in this behalf.

Compliance of directions

58. (1) The Regional Transmission Centre shall comply with such directions as the Central Commission may, from time to time, give for enabling efficient and economical utilisation of electricity resources within the region and to promote safe, secure and integrated operation of the regional grid.

(2) The Regional Load Despatch Centre shall comply with the directions of the Regional Transmission Centre and shall give instructions within the framework of these directions to the Authorised Person engaged in inter-state transmission and supply of electricity. The Regional Load Despatch Centre shall submit to the Regional Transmission Centre such data, information and reports in such manner as may be required by the Regional Transmission Centre from time to time.

(3) The State Load Despatch Centres shall comply with the directions of the Regional Load Despatch Centre in respect of inter-state operations of transmission lines or in cases of regional grid disturbances, so long as they continue and are restored to normalcy.

(4) Every Authorised Person connected to Regional Load Despatch Centre shall comply with the directions of its Regional Transmission Centre and shall conduct his operation in accordance with the instructions of the Regional Load Despatch Centre for the purpose of ensuring safe, secure and integrated grid operations.

(5) If any dispute arises with reference to the quality of electricity and safe, secure and integrated operation of the regional grid or in relation to any direction given under sub-sections (1), (3) or (4), it shall be referred to the Central Commission so, however, that pending the decision of the Central Commission, the directions of the Regional Transmission Centre or the Regional Load Despatch Centre, as the case may be, shall be complied with by the State Load Despatch Centre or by the Authorised Person, as the case may be.

Intra-State Transmission

Transmission within a State

59. (1) The State Commission shall regulate and promote wheeling, inter-connection and polling arrangements within its jurisdiction (by making area wise demarcations within the State if necessary) as provided for in this Part, in order to improve and develop the supply of electricity within the State by the most economical and efficient utilisation of the electricity system and co-ordination of the Authorised Person operating within the State.

Constitution of the State Transmission Centre-

60. (1) The State Government shall set up a Centre to be known as the State Centre for Transmission of Electricity (the "State Transmission Centre") for the purposes of exercising the powers and discharging the functions provided under this part.

(2) The State Transmission Centre shall be a body corporate, and its constitution and appointment of the chief executive officer, other officers and staff shall subject to such terms and conditions as may be prescribed by the State Government.

(3) The State Transmission Centre shall consist of the following Members, namely -

(a) An experienced and qualified engineer to be appointed by the State Government in consultation with the State Commission - Chairperson;

(b) Chief Executive Officer of the State Transmission Utility - Member;

(c) The Chief Executive Officer or a Director of the Central Transmission Utility to be nominated by the Utility - Member;

(d) The Chief Executive Officers or Directors of any three Generating Companies to be nominated by the State Government - Members;

(e) The Chief Executive Officer of any five Area Distributors to be nominated by the State Government - Members;

(f) Upto five other Members, to be nominated by the State Government to represent different sections of the electricity industry having interest in transmission; and

(g) Chief Executive Officer of the State Load Despatch Centre - Conveyor - Member.

(4) For the purposes of this Part, a Joint Commission established under section 82 for more than one State or Union Territory may exercise the powers and functions under this Part for setting up of a Joint Transmission Centre and the provisions of this Part shall apply mutatis mutandis to such Joint Transmission Centre.

Functions of the State Transmission Centre

61. (1) The State Transmission Centre shall be responsible for the regulation and control of, and optimum scheduling and despatch of electricity within the State, to be known as State grid operations, in accordance with the contracts that it shall enter into with the Authorised Persons operating in the State and shall establish a State Load Despatch Centre for this purpose.

Provided that the State Government may, by notification from time to time, direct that the State Transmission Utility shall discharge the functions of the State Load Despatch Centre under this Part for such period and subject to such conditions as may be stipulated therein.

(2) The State Transmission Centre shall comply with the Grid Standards and with such principles and guidelines as the State Commission may specify with regard to the wheeling and optimum scheduling and despatch of electricity within the State.

(3) The State Transmission Centre shall:

(a) monitor grid operations;

(b) co-ordinate grid planning and expansion; and

(c) conciliate in dispute resolution relating to grid operation.

(4) The State Transmission Centre may levy and collect such fee and changes from the Authorised Person engaged in intra-state transmission of electricity as may be prescribed by the State Government

Functions of the State Load Despatch Centre

62. The State Load Despatch Centre shall, under the control and direction of the State Transmission Centre, be responsible for carrying out real time operations for grid control and despatch of electricity within State through secure and economic operation of the State grid in accordance with the Grid Standards and the Regulations of the State Commission by -

(a) operational regulation of the technical aspects of operation and despatch of the integrated electricity system in order to ensure the technical stability of the inter-connected systems and the most economically efficient despatch of generating facilities;

(b) inter-connection business facilitating various transactions and agreements of trading in electricity with neighbouring or remote system involving the administration of such contractual agreements;

(c) electricity pool operations and matters incidental or consequential thereto; and

(d) such other functions as may be directed by the State Transmission Centre in this behalf.

Compliance of directions

63. (1) The State Transmission Centre shall comply with such directions as the State Commission may, from time to time, give for enabling efficient and economical utilisation of electricity resources with the State and to promote safe, secure and integrated operation of the State grid.

(2) The State Load Despatch Centre shall comply with the directions of the State Transmission Centre and shall give instructions within the framework of these directions to the Authorised Person engaged in transmission and supply of electricity within the State. The State Load Despatch Centre shall submit to the State Transmission Centre such data, information and report in such manner as may be required by the State Transmission Centre from time to time.

(3) Every Authorised Person connected to State Load Despatch Centre shall follow the directions of its State Transmission Centre and shall conduct his operation in accordance with the instructions of the State Load Despatch Centre for the purpose of ensuring safe, secure and integrated grid operations.

(4) If any dispute arises with reference to the quality of electricity and safe and secure operation of the State grid or in relation to any direction given under sub-sections (1), (3) or (4), it shall be referred to the State Commission so, however, that pending the decision of the Commission, the directions of State Transmission Centre or the State Load Despatch Centre, as the case may be, shall be complied with by the Authorised Person.

Other provisions relating to Transmission

The Grid Standards

64. (1) The Central Electricity Authority shall specify the Grid Standards to regulate the technical standards of operation and maintenance of transmission lines.

(2) Any person who violates the provisions of the Grid Standards shall be liable, on summary inquiry by the Competent Commission to a penalty not exceeding a sum equal to the fair market value of the electricity received in violation of the Grid Standards and where the actual quantum of such electricity received can not be reasonable determined, then the maximum electricity that could be received in violation of the Code through the electric line or electric plan in question shall be deemed to be the electricity received for the purposes of this sub-section.

Pooling arrangements

65. (1) The Central Commission shall promote and encourage arrangements for pooling and co-ordination in inter-state, regional or inter-regional transmission of electricity and for this purpose, frame such Regulations as it may deem necessary.

(2) The State Commission shall promote and encourage arrangements for pooling and co-ordination in intra-state transmission of electricity and for this purpose, frame such Regulations as it may deem necessary.

Voluntary Pooling

66. (1) The Central Commission shall, suo moto or on application by any Authorised Person, allow the voluntary co-ordination of the electric utilities through any agreements, bilateral or regional, for inter-state, regional, inter-regional or national level scheduling and despatch of electricity and for the purposes of this section, the Commission shall satisfy itself that such pooling arrangements is-

(a) designed to protect and mitigate fuel shortages;

(b) designed to improve the conservation of electricity and environment;

(c) designed towards optimisation of use of the electricity system and the natural resources;

(d) designed to increase reliability and performance standards of the participating Authorised Person; or

(e) leading to optimal despatch of electricity, efficient electricity accounting and settlement administration.

(2) The State Commission shall perform the functions referred to in sub-section (1) insofar as they relate to voluntary pooling of intra-state transmission.

Intervening Transmission Facilities

67. The Competent Commission may, on an application by any Authorised Person, by order require any other Authorised Person having intervening transmission facilities, to provide such services to the extent of surplus capacity available with such Authorised Person, in order to facilitate the voluntary pooling referred to in section 66. For purposes of this Part, intervening transmission facilities mean any electrical lines operated by an Authorised Person where such electric lines can be utilised for transmitting electricity for and on behalf of another Authorised Person at its request and on payment of tariff or charge.

Charges for Intervening Transmission Facilities

68. In compliance of an order made under section 67, the Authorised Person shall provide its transmission facilities at rates, charges, terms and conditions as mutually agreed, or which permit the recovery by such Authorised Person of all the costs incurred in connection with the transmission and associated services, including an appropriate share, if any, of verifiable and economic costs and the costs of any enlargement, if made, of such facilities by the Authorised Person. Such rates, charges, etc., shall be fair and reasonable, and may be proportionately allocated to the provision of such facilities.

Powers of the Union and State Governments

69. The Competent Government may, in a situation of emergency or if public interest so requires, issue directions to the Regional or State Transmission Centres, as the case may be, to take such measures as may be stipulated in such direction for maintaining the transmission and supply of electricity to any region, State or area.

Provided that the Competent Government shall lay a copy of such direction before each House of the Parliament or the State Legislature, as the case may be, as soon as may be.