POWER PURCHASE

AND SALE POSSIBLE

OPPORTUNITIES TO
SCALE UP

STUDY OF POWER
PURCHASE AND SALE FOR
CESC POWER SYSTEM

ALOK RANJAN
3RD YEAR UNDERGRADUATE STUDENT,
ELECTRICAL ENGINEERING DEPARTMENT,
INDIAN INSTITUTE OF TECHNOLOGY, KHARAGPUR

PROJECT GUIDE:
MR. SANDIP PAL
(GENERAL MANAGER, SYSTEM OPERATIONS)

DECLARATION
I, Mr. Alok Ranjan, pursuing the Under Graduate program of B.Tech Electrical Engineering
from Indian Institute of Technology , Kharagpur hereby declare that this report comprises
solely of authentic work carried out by me from the period of 09th May, 2016 to 09th July, 2016
and the facts and findings as well as analysis and suggestions stated in it are true to the best of
my knowledge. I have worked under the guidance of Mr. Sandip Pal ,General Manager, System
Operations, CESC.

Alok Ranjan
3RD Year, Electrical Engineering Department
Indian Institute of Technology , Kharagpur

ACKNOWLEDGEMENT
I, Mr. Alok Ranjan, pursuing the Under Graduate program of B.Tech Electrical Engineering
from Indian Institute of Technology , Kharagpur would like to express my heartfelt gratitude
towards CESC Limited for giving me this opportunity to carry out my summer internship
project here. I would also like to thank Mr. Sandip Pal, General Manager of the System
Operations and Mr. Rahul Chakravarty, DGM , Power -System Control for accommodating me
and giving me the chance to do my internship in their department.
I would also like to take this opportunity to thank Mr. Koushik Banerjee and Mr. Debarshi De,
Managers of the System Control Department who has extended me constant support inspite of
his busy schedule, and without whose guidance I would not have been able to complete this
Project report.
Finally I would extend my heartfelt gratitude towards all the employees of the Power Control
department especially Mr. Arka Roy and Mr Debojyoti Mondal for their constant help and
support that culminated in making this project a success.

Alok Ranjan
3RD Year, Electrical Engineering Department
Indian Institute of Technology , Kharagpur

EXECUTIVE SUMMARY
The project given was a study of power purchase and sale of CESC network.
The first part involves study of the CESC network and understanding how the company imports
and exports power . What are the different sources through which import and export is done.
The second part is case study of the CESC system in six different periods of two month each for
the year 2015-16 and deciding the better option.
The third part involves power flow of peak load during these six periods.
The report has been concluded by suggesting changes that can be done in the network to
improve import/export and also the internal network .

INDEX
TOPIC
INTRODUCTION

PAGE NO.
6

CESC NETWORK

7-9

NEED FOR IMPORT AND EXPORT

10

DIFFERENT SOURCES OF IMPORT/EXPORT

11-13

MERIT ORDER DISPATCH

13-15

CASE STUDY

16-20

POWER FLOW FOR DIFFERENT PERIODS

21-26

CONCLUSION

27

INTRODUCTION
CESC is a distribution company having its own generation which supplies electricity in
the city of Kolkata and part of its adjoining Howrah, Hooghly and 24 Parganas (N) & 24
Parganas(S) districts covering an area of 567 Sq. km.
POWER SYSTEM OF CESC LIMITED:
It has three own generating stations having a total capacity of 1125 MW.
GENERATING STATIONS (No. Of Units)
BUDGE-BUDGE GENERATING STATION (3 units)
SOUTHERN GENERATING STATION (2 units)
TITAGARH GENERATING STATION (4 units)
1125

GENERATION
CAPACITY(MW)
750
135
240

CESC also imports power from HALDIA generating station (which

is a part of RPG group) having generation capacity of 600MW .
Nearly 9% of this total generation is consumed by station auxiliaries and the rest is
released as Sent Out.
GENERATING STATIONS

SENT OUT (MW)

695
BUDGE-BUDGE GENERATING STATION
130
SOUTHERN GENERATING STATION
220
TITAGARH GENERATING STATION
528
HALDIA GENERATING STATION
1573
Average summer peak demand is 1800 MW . It was 2059
MW(maximum) on 27th April 2016 .
So, CESC also imports power from different sources which are
Indian Energy Exchange(IEX) ,Bilateral mode and Banking mode.
When the demand is less than Sent Out, the surplus power can be exported to other
agencies .

CESC NETWORK

HE
L

400 KV
220 KV
132 KV
33 KV

CESC generating stations are synchronised with the Eastern Grid at WBSETCL
KASBA Substation through EMSS . (Synchronising path is shown in yellow colour in the
next page) .

SYNCHRONISING PATH (in yellow)

Since CESC remains synchronised with Eastern Grid which in turn is connected with
other regional grids, any small disturbance within this system will not significantly affect
the frequency or voltage of CESC system.
IMPORT points are shown in dotted line .

IMPORT POINTS

CONNECTIVITY TO WBSETCL SUBSTATIONS

HOWRAH
LILOOAH
TITAGARH
RISHRA
KASBA

SOUTHERN AND BOTANICAL

BELUR
TITAGARH
WBRS
EMSS
SUBHASHGRAM
Imports are of two types- RADIAL and SYNCHRONISING import.
SYNCHRONISING IMPORT means this import feeds the load in the
synchronizing path and any disturbance in the synchronizing
path will affect it.
RADIAL IMPORT means this import feeds the loads in the radial
path. If any disturbance happens in the synchronizing path ,
radial loads are not affected.
There is some limit on the quantum of power which can be imported
at each point (which is mentioned in the table below) due to
ampacities of transmission lines and ratings of transformers .

IMPORT POINTS

SOUTHERN AND BOTANICAL

BELUR
TITAGARH
WBRS
EMSS
SUBHASHGRAM

TYPE OF IMPORT
UPTAKE

CONTRACTUAL

(MVA)
RADIAL
185
RADIAL
145
RADIAL
40
RADIAL
100
SYNCHRONISING
RADIAL

Import from Subhasgram point should ideally be below 550MW.

235
-

10

Export can be done from the synchronizing point EMSS and also from
SGSS substation(which is Power Grid substation).

NEED FOR POWER IMPORT AND

EXPORT
NEED FOR IMPORT
CESC own generation is not sufficient to meet the power demand
throughout the year.
Peak demand met by CESC in 27th April 2016= 2059MW. So in order to
meet the demand , CESC imports power from other agencies.
NEED FOR EXPORT
During winters and night hours, CESC sent out from different
generating stations is more than the power demand .So the generation
needs to be back down. This available power can be exported to
increase the PLF of stations.

Generating Stations

Maximum S/O

Minimum S/O

BUDGE-BUDGE
SOUTHERN
TITAGARH
HALDIA

700
130/65
220/55
528/264

360
80/40
160/40
236/118

* Format is: Maximum (Minimum) for all units/ for one unit.

11

DIFFERENT SOURCES OF
IMPORT/EXPORT
The different sources are

INDIAN ENERGY EXCHANGE

BANKING
BILATERAL
WBSEDCL(import for contingency power)

INDIAN ENERGY EXCHANGE

The Indian Energy Exchange (IEX) is an automated electronic trading exchange
regulated by the Central Electricity Regulatory Commission (CERC).
There are two types of market in IEX1. DAM(Day Ahead Market)
2. TAM(Term Ahead Market)
Intra-day
Day Ahead Contingency
Day-Ahead Market

Closed , Double-sided Auction

10-12 am bidding
Each 15-min block , 0.1 MW min NOC required

12

Term-Ahead Market

Day-Ahead Contingency Another window for DayAhead. Trading window 15:00-23:00 Hours
Intra-Day -Trading window 00:30 20:00 Hrs
for same day delivery, with delivery starting at 04:00 Hours

BANKING
As electricity has to be consumed when it is produced , Banking was introduced for better
utilization of the resources of the country.
If an agency has surplus power , it can export power to some other agency which is
deficit in power. Similarly, when an agency has deficit , it can import from other which
has surplus power.
This process can be described as If any company is importing power from some other company , then after sometime, it
has to return back the same amount of power to that company as per the negotiations
done .
If any company is exporting power from some other company , then after sometime, it
has to import the same amount of power from that company as per the negotiations done .
Presently , CESC is doing banking with Manipur , Meghalaya and Uttar Pradesh.
BILATERAL
In this mode, a company purchases or sell power from another through power traders .
The company purchases the power at the rate specified by the other company .

13

14

SOURCES

AVAILABLE
TIMING

ADVANTAGES

DISADVANTAGES

DAM

24 HOURS
NEXT DAY

POWER
AVAILABILITY
CONFIRMED THE
NEXT DAY

INCORRECT PREDICTION
ON DAY-AHEAD BASIS

TAM
Intra Day

00:30-20:00
(DELIVERY
STARTING AT
04:00)

AVAILABLE SOURCE
DURING THE DAY IN
CASE OF WRONG
FORECASTING
/SYSTEM
ABNORMALITIESUNIT TRIPING

POWER RECEIVED AFTER 3 HO

Day Ahead
Contingency

15:00-23:00
Hours
(AVAILABLE 24
HOURS NEXT
DAY)

AVAILABLE SOURCE
IN CASE OF
INCORRECT
SCHEDULING / UNIT
OUTAGE

REAL TIME MONITORING NOT

POSSIBLE ON DAY-AHEAD BAS

BILATERAL

24 HOURS

MORE
AVAILABILITY OF
POWER IN CASE OF
EMERGENCY

BANKING

24 HOURS

WBSEDCL

24 HOURS

COSTLIER POWER
POWER RECEIVED AFTER 2-3 H

REDUCE IMPORT
BILL
NO IMMEDIATE
FINANCIAL
TRANSACTION
REQUIRED
INCREASE PLF OF
HEL

TO FIND OTHER AGENCIES WH

READY TO BANK.

INSTANT
ALLOCATON IN
CASE OF
EMERGENCY

VERY COSTLY

15

PRICE COMPARISON
Generating stations

Approximate Price (RS./Kwh)

Budge- Budge
Southern
Titagarh
Haldia

CONFIDENTIAL DATA

INDIAN ENERGY EXCHANGE

MONTH

AVERAGE PRICE(RS./kWh)

APR-MAY
JUNE-JULY
AUG-SEPT
OCT-NOV
DEC-JAN
FEB-MAR

2.90
3.00
3.30
3.20
2.20
2.40

BILATERAL
From the data available in MARKET MONITORING REPORT at CERC website, it is
observed that the price lies between Rs. 3.50-5.00 /Kwh .

16

Based on the prices , the preferrable merit order isBudge-budge > Haldia > Import >Southern > Titagarh
where Import includes IEX-DAM and Banking.
Bilateral is always the last choice for import as its price is very high .

17

CASE STUDY
The system demand met in 2015 2016 is used for the study
The year is divided into six periods of two months each.
Three cases are considered.
Study done for one week day and one Sunday in each period.
Export MU, Import MU, HEL PLF and net PPC from IEX calculated
Conclusion drawn by multiplying the results with the number of sundays and weekdays
in those periods.
Bilateral cost is much higher than IEX and Banking -> only IEX and Banking
considered.

CASE 1 : NO BANKING

Import/export is done only through IEX.

Import is done at specified prices at IEX.
Banking is not involved.
Export is done only when IEX price is more than Rs. 2.54/kWh ( Haldias sent out cost).
The calculation obtained in this case are tabulated belowPLF HEL
DEC-JAN
FEB-MAR
APR-MAY
JUN-JULY
AUG-SEPT
OCT-NOV

83.11
65.63
82.90
80.26
81.71
69.06

IEX
IEX
IMPORT(MU) EXPORT(MU)
56.91
17.06
82.68
2.09
346.42
23.05
277.63
11.23
189.88
33.78
155.73
143.09

NO. OF UNITS OF
SRS,TRS AND HEL
SRS(0)+TRS(0)+HEL(1)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)

18

CASE 2 : 100 MW BANKING

Banking is involved .
Maximum amount of power to be banked is 100 MW.
Export is done through banking upto 100 MW .
If export availability is more than 100 MW and IEX price is more than Rs. 2.54/kWh
,then rest amount of power is exported through IEX.
The calculation obtained in this case are tabulated below-

PLF HEL
DEC-JAN
FEB-MAR
APR-MAY
JUN-JULY
AUG-SEPT
OCT-NOV

97.93
79.01
88.98
87.46
90.96
81.36

IEX
IEX
IMPORT EXPORT
(MU)
(MU)
4.28
0.00
9.61
0.49
304.90
17.18
228.62
5.46
131.01
27.09
86.59
137.94

BANKING
EXPORT
(MU)
53.08
77.08
39.99
43.78
56.99
69.44

NO. OF UNITS OF
SRS,TRS AND HEL
SRS(0)+TRS(0)+HEL(1)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)

CASE 3 : 200 MW BANKING

Same as the previous case , only maximum power to be banked is 200 MW.
PLF HEL
DEC-JAN
FEB-MAR
APR-MAY
JUN-JULY
AUG-SEPT
OCT-NOV

93.98
87.60
91.35
89.85
92.95
89.94

IEX
IEX
IMPORT EXPORT
(MU)
(MU)
1.26
0.00
3.52
0.01
279.32
9.94
198.98
2.00
87.95
21.00
31.08
122.40

BANKING
EXPORT
(MU)
56.74
141.15
64.40
40.10
98.83
125.02

NO. OF UNITS OF
SRS,TRS AND HEL
SRS(0)+TRS(0)+HEL(1)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)
SRS(1)+TRS(1)+HEL(2)

19

APR-MAY WEEKDAY SCHEDULING CALCULATION STEPS

For each period , a sample system demand has been chosen and scheduling based
on merit order dispatch has been done.
Finding out the import requirement and export availability for each time block..
Calculation of export MU.
Multiplying with IEX price in those time-blocks to get the import cost and export
cost.
Finally, it has been approximated for the whole period by multiplying it with the
number of weekdays/no. of Sundays .
In case banking is considered, the available quantum for banking first analyzed
and banking MU and IEX MU is calculated separately .(For analysis , IEX export
is considered only when the price is more than Rs.2.54/kWh)
Finding out the total import requirement for the day
PLF of HEL is calculated by dividing total sent out MU by total available MU.

Similarly, it has been done for rest of the time-blocks and same has been repeated for the other
periods .

20

OBSERVATIONS

INFERENCES

PLF OF HEL INCREASING

AS BANKING INCREASING

Some amount of HEL surplus power can be exported

through banking irrespective of IEX price

In case 1, PLF of HEL very low in some

periods as IEX price less than Rs. 2.54/kWh

In case 1, HEL surplus power cannot be exported

reducing the PLF of HEL

IEX IMPORT DECREASING

WITH INCREASE IN BANKING

REDUCTION IN IMPORT BILL

WITH INCREASE IN BANKING

NET EXPORT INCREASING

WITH INCREASE IN BANKING

EXPORT ENHANCED
WITH INCREASE IN BANKING

ANNUAL SUMMARY
CASE 1:
NO BANKING
77.19

CASE 2:
100 MW BANKING
84.61

CASE 3:
200 MW BANKING
89.78

IMPORT REQUIRED
THROUGH IEX(MU)

1109.24

765.01

543.16

PAY OUT(Rs.)

3,57,16,15,861

3,17,32,01,992

2,90,26,10,582

EXPORT THROUGH
IEX(MU)

230.3

188.16

155.35

EXPORT THROUGH
BANKING (MU)

345.69

564.44

PAY IN(Rs.)

68,27,56,775

34,11,98,732

13,40,11,646

NET PPC(Rs.)

2,88,88,59,086

2,83,20,03,260

2,76,85,98,936

PLF HEL(%)

21

OBSERVATIONSWith increase in BANKING PLF(Plant Load Factor) of HALDIA is increasing.

PAYOUT is decreasing.
PPC(Power Purchase Cost) is decreasing.
Net Export increasing
INFERENCE BANKING helps in increasing PLF of HALDIA and thus , generating units work more
efficiently.
BANKING reduces import bill.
BANKING enhances export .

22

POWER FLOW FOR DIFFERENT PERIODS

Power flow of peak system for different periods has been done.
APRIL-MAY
SYSTEM
-2059 MW
SENT OUT -775 MW
IMPORT -1284 MW

One unit of SGS and TGS has to be run for safe network operation.
One circuit of SRS-MAJ is on generation and other is on import.
Import from all import points is reaching their maximum limit.
EMSS-NCSS circuit reaching its maximum ampacity limit.
SGSS import is reaching its maximum limit.

23

JUNE-JULY
SYSTEM
-2015 MW
SENT OUT -775 MW
IMPORT -1240 MW

One unit of SGS and TGS has to be run for safe network operation.
One circuit of SRS-MAJ is on generation and other is on import.
Import from all import points is reaching their maximum limit.
EMSS-NCSS circuit reaching its maximum ampacity limit.
SGSS import is reaching its maximum limit.

24

AUGUST-SEPTEMBER
SYSTEM
-1730 MW
SENT OUT -775 MW
IMPORT -955 MW

One unit of SRS and TRS has to be run for safe network operation.
Both circuits of SRS-MAJ is on generation .
Import from all import points is high.
EMSS-NCSS circuit reaching its maximum ampacity limit.
SGSS import is very high.

25

OCTOBER-NOVEMBER
SYSTEM
-1793 MW
SENT OUT -775 MW
IMPORT -1018 MW

One unit of SRS and TRS has to be run for safe network operation.
Both circuits of SRS-MAJ is on generation .
Import from all import points is high.Mainly import from TRS and WBRS is
reaching its maximum limit.
EMSS-NCSS circuit reaching its maximum ampacity limit.
SGSS import is very high.

DECEMBER-JANUARY

26

SYSTEM
-1292 MW
SENT OUT -695 MW
IMPORT -597 MW

No unit of SRS and TRS is running as peak demand is less so costlier generations
are reduced.
Both circuits of SRS-MAJ is on generation .
Import from all import points is within limits.

27

FEBRUARY-MARCH
SYSTEM
-1653 MW
SENT OUT -775 MW
IMPORT -878 MW

Both circuits of SRS-MAJ is on generation .

Import from all import points is high.Mainly import from TRS and WBRS is
reaching its maximum limit.
EMSS-NCSS circuit carrying high current

28

CONCLUSION
OBSERVATIONS

INFERENCES

Over dependency on SGSS import during

summer season..

More off-take points may be thought off from

WBSETCL/additional circuits from PGCIL
Subhashgram substation.

Import points at TRS and WBRS are reaching

maximum limit.

Circuit capacities of import lines from

WBSETCL Titagarh and Rishra substation can
be increased / more off-take points may be
thought off.

Most import points viz Howrah substation,

Titagarh substation, Rishra substation ,
Subhasgram are being utilized to their
maximum limit .

Network strengthening needs to be done.

SGS is synchronized with only one circuit in

summer. SGS will be isolated in case that
circuit fails.

Additional circuits can be installed between

SRS and MAJ.
Costlier SGS generation then can be
substituted with cheaper exchange power.
Additional circuit can be installed between
EMSS-NCSS

220KV EMSS-NCSS circuit is running to its

maximum capacity .