Abstract
PurposeIn India, the frequency regulation (FR) service has been provided by the generators, operating under free governor mode of operation (FGMO), with certain regulatory basis prescribed by Central Electricity Regulatory Commission in Indian Electricity Grid Code. Many short comings lie with the existing FR mechanism. This paper proposes a capacity linked mechanism to promote the FR service.Design/methodology/approachNo compensation is being provided for the capacity reserved for the FR service, nor are the providers encouraged enough to render its full capacity under FGMO. Therefore, a novel remuneration mechanism, considering the capacity reserved for FR service, has been developed to eradicate these cons.FindingsThe effectiveness of the proposed method has been demonstrated on the Northern Regional Electricity Board data of India.Practical implicationsThe implementation of the proposed mechanism can lead to boost up of participation in the FGMO, which helps to maintain the frequency within a narrow operating band.Originality/valueVery few works have investigated the issues regarding the FR service provision in India. Indeed, no work has proposed any mechanism to enhance the effectiveness of the existing FR service provision.
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