India takes one more step in integration of RE

25 February 2020 |

Eight of the proposed 11 Renewable Energy Management Centres (REMCs) have commenced operations. REMCs were proposed to be set up by the Ministry of Power back in 2017 to aggregate renewable energy forecasts and dispatch schedules. They are expected to help optimise scheduling of conventional power plants and maintain grid balance.

In late-2018, 11 REMC contracts were awarded by Power Grid Corporation. Contracts for a national and six northern and southern REMCs were awarded to a joint venture of OSI Systems and Chemtrols while Siemens was awarded the western region REMC contract. Subsequently, eight state and regional-level REMCs in western and southern regions were partially operationalised in mid-2019. REMCs in northern region are still believed to be facing real-time data acquisition problems.

In December 2019, the Ministry of Power also approved establishment of REMCs for Telangana and South Andaman. More REMCs may be set up in other states as renewable power penetration increases.

Figure: Current REMC structure

Source: BRIDGE TO INDIA research

REMCs complement existing scheduling and dispatch system available to grid operators. To achieve high forecasting accuracy, the REMCs seek weather and generation forecasts from multiple service providers. Generation forecasts are made on intra-day, day-ahead and week-ahead basis.

Through REMCs, India expects to catch-up with developed markets like Germany, Australia and the United States in balancing and deviation settlement mechanism for renewable energy projects. Grid operators in these countries are responsible for regional forecasts while individual developers settle project-level generation deviation through open market instruments with or without penalties depending on regulations.

A major beneficiary of REMC initiative would be thermal power projects. These projects will be able to schedule their generation and source fuel more efficiently.

Establishment of REMCs is yet another step to integrate large-scale renewable energy in the grid. A logical next step in this direction would be to link renewable power project generation deviation charges to grid frequency and day-ahead market prices, as is the case for conventional power plants and DISCOMs.


Recent reports

India Solar Compass Q1 2021   

This report provides a detailed update of all sector trends and developments in the quarter –capacity addition, leading players, tender and policy a...

Buy Report Download Executive Summary

India Solar Rooftop Map | December 2020

India Solar Rooftop Map is an infographic report providing a snapshot of rooftop solar market in India - capacity addition across states and consumer ...

Download

India Solar Map | December 2020

India Solar Map 2020 is an infographic report that provides a state-wise break-up of utility scale solar commissioned and pipeline capacity. It also s...

Download

India Solar Compass Q4 2020   

Coronavirus-induced hardships persisted in Q4 2020, pulling installation numbers down. Solar capacity addition in 2020 was at a five-year low. 1,298 M...

Buy Report Download Executive Summary

Smart meters: market update and growth outlook   

With a target to reduce AT&C losses to 15% and improve overall financial performance of DISCOMs, the Indian government is pushing for universal ro...

Buy Report Download Executive Summary

India Solar Compass Q3 2020   

India added just 351 MW of solar power generation capacity in Q2 2020 taking total installed capacity to 38,377 MW by 30 June 2020....

Buy Report Download Executive Summary
Award winnig research
We use cookies to offer you an optimal user experience and collect information on website usage.