National Agency for Energ. gy Regulation (ANRE)

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1 National Agency for Energ gy Regulation (ANRE) Monitoring Qua ality of Service Lilian Barcaru Chisinau, June 21-25

2 General informat tion on power system in Moldova Four enterprises are active in the Moldovan energy system: One transport and the state company Three distribution system operators (DSO): RED Union Fenosa; RED Nord ; RED Nord-Vest; system operator (TSO) MOLDELECTRICA ;

3 General informat tion on power system in Moldova Distribution System Operators RED Union Fenosa a private company, which serves 63,51% of the total number of consumers from Moldova and supply 73,94% of total volume of electricity; RED Nord a state company, which serves 22,93% of the total number of consumers from Moldova and supply 17,17% of total volume of electricity; RED Nord-Vest a state company, which serves 13,56% of the total number of consumers in Moldova and supply 8,89% 89% of total volume of electricity;

4 General informat tion on power system in Moldova , ,6 330, RED Union Fenosa RED Nord RED Nord-Vest Distributed Energy in 2009, million kwh

5 General informat tion on power system in Moldova RED Union Fenosa RED Nord RED Nord-Vest Length of Network, km

6 General informat tion on power system in Moldova RED Union Fenosa RED Nord RED Nord-Vest Number of customers

7 General informat tion on power system in Moldova Tarrifs for energy, supplied dto final customers (cent/kwh) 13,00 12,00 12,36 11,63 11,00 10,00 9,00 8,00 7,00 6,00 5,00 4,00 3,00 5,22 5,16 4,67 4,17 5,15 5, ,50 4,52 5,04 4, ,66 4, ,53 4,96 6,26 5,61 9,59 8,35 8,71 7,93 6,08 5,93 5,46 5,33 11,33 10, RED Nord şi Nord d-vest RED Union Fenosa

8 General informat tion on power system in Moldova Energy production and consumption, ,0 3500,0 3000,0 3316,9 2939,0 3826,9 3860,1 3194, ,0 3364,0 3465,1 3660,3 3799,6 3254,7 2500,0 2000,0 2356,4 2074,0 1500,0 1000,0 1159,2 973,5 886,6 719,7 1042,9 952, ,3 830,7 999,8 957,7 903,7 905,0 866,0 500,00 0, Producţia energiei electrice Consumul energiei electrice

9 General informat tion on power system in Moldova Structure of energy consumption, , % 100% 80% 29,4 32,33 36,5 40,3 40,0 2 35,6 34,8 32,2 28,3 Industry 60% 40% 20% 0% 38,0 93 9,3 7,6 14,0 34,0 12,3 7,0 5,4 9,0 35,3 11,1 6,3 5,7 5,1 36,3 38,3 7,9 5,2 8,8 1,5 7,3 4,9 8,1 1,4 38,8 40,8 8,0 4,9 10,9 1,8 8,9 2,6 11,3 1,7 42,4 45,1 8,7 2,4 12,8 1,6 8,2 2,6 14, ,7 Householders o s Budget customers agriculture Commercial

10 Legal framework Law on electric energy The regulation on quality of services of electricity supply and distribution Bilateral contracts of electricity supply The interstate standard on voltage quality (GOST )

11 Continuity of supply Reliability indexes that are systematically monitored by ANRE are SAIDI, SAIFI andcaidi. These indexes are calculated for unplanned interr uptions, longer than 3 minutes, which take place in the medium voltage (10 kv) networks.

12 Continuity of supply According to the regulation on quality of services, approved by ANRE, all the DSO need to improve the level of SAIDI every year. The established levels of SAIDI for the period are the next: hours, hours, hours, hours, hours. In case if a DSO doe es not achieve the established level l of SAIDI, ANRE has the right to apply penalties by reducing the tariff.

13 Continuity of supply Unplanned interruptions are divided into 4 groups, depending on the cause of interruption: FM interruptions, caused by special meteorological conditions (the wind speed is more than 30 m/s and/or the ice deposit is more than 20 mm) or force majeure; IC interruptions, caused by incidents in consumer s installations; AT caused by actions of a third party (traffic accidents, fires in the protection zones of electric lines and other distribution installations, damages of TSO s equipment etc.) AC - other causes failures in the distribution network, which the DSO is responsible for. Reliability indexes, which DSO may be penalized for, are calculated for interruptions, marked with AC.

14 Continuity of supply RED Union Fenosa S.A. 18,1 16,8 RED Nord S.A RED Nord-Vest S.A Regulated level (12 hours) ,1 21, , ,72 5, ,53 13,53 6, Reliability index SAIDI (hours), ca alculated for the period

15 Continuity of supply , ,21 8 7, ,18 5,17 6,2 3 3, , Union Fenosa RED Nord RED Nord-Vest Reliability index SAIFI

16 Continuity of supply 4 3,5 3, ,34 3 2,77 2,95 2,5 2,27 2 2,03 2,1 1,91 1,5 1,68 1 0, Union Fenosa RED Nord RED Nord-Vest Reliability index CAIDI

17 Continuity of supply RED Union Fenosa RED Nord RED Nord-Vest AC 11,82 5,67 6,52 IC 1,10 0,20 0,05 AT 1,47 0,20 2,79 FM 0 0,42 0,22 Level of SAIDI (hours), depending on the causes of interruptions (2009)

18 Continuity of supply Guaranteed standards for final customers Duration of one pla anned interruption Duration of one un planned interruption Annual number of unplanned interruptions Annual duration of unplanned interruptions

19 Continuity of supply Duration of one planned interruption: 24 hours (interruptions, linked with overhaul of the distribution networks); 12 hours (other planned interruptions); Duration of one unplanned interruption: 24 hours (in case of difficult accidents); 16 hours (interruptions, whichh take place during the night, due to failures in the medium voltage (10 kv) networks); 6 hours (urban area), 8 hours (rural area) other incidents;

20 Continuity of supply Annual number of unplanned interruptions: for consumers, connected in the urban area 6 in the rural area - 9 for consumers, connected in the urban area 9 in the rural area 12 to medium voltage level (10 kv): to low voltage level (0.4 kv): Annual duration of unplanned interruptions: in the urban area 36 hours in the rural area - 48 hours

21 Continuity of supply 30,00 25,00 20,00 15,00 17,66 10,00 5,00 6, ,00 Union Fenosa Rural area 17,66 Urban area 6,28 3,14 6,31 4,09 0,60 RED Nord RED Nord-Vest 6,31 3,14 0,60 4,09 The percentage of final customers, for whom the guaranteed standards were not respected by DSO

22 Voltage quality For measuring the voltage quality, in Moldova is used the standard d GOST- Electromagnetic Power quality. compatibility of technical equipment. Power quality limits in public electrical systems. This is an interstate standard, used in the former USSR, that establishes the quality parameters of electric energy.

23 Voltage quality According to the Regulation on quality of services, approved by ANRE, in case of consumers complains, regarding the voltage quality, DSO has a limited period of time to r estore the voltage quality: Consumers calls: 24 hours after the call, in case of overvoltage or repeated voltage dips; Written complains: 5 days after receiving the complain if for restoring the quality it is necessary to execute some simple activities, like redistributing of electric load on phases, regulating the voltage from power transformers etc.; 30 days in case of increasing of existent networks capacity or the necessity to replace a power transformer etc; 60 days in case of necessity to elaborate projects and building new line sectors; If DSO does not solve 10% of customers complains in fixed terms, ANRE can reduce the tariff.

24 Commercial quality ANRE monitors the following situations, regarding commercial quality: Notifying of planned interruptions (3 days before interruption for small customers and d7d days before interruption i for customers with power more than 100 kw). Issuing of prior connection approvals (15 calendar days) Contracting of electricity supp ply (2 working-days for householders and 5 working-days for other consumers); Connecting to distribution network (3 calendar days). If DSO doesn t respect this term, the consumer can demand a compensation (25% of the connection fee for every overdue day). Reconnecting of a customers installation to the network (2 workingdoesn t respect this term, the consumer can demand a compensation (25% of the reconnection fee for every days). If the supplier (DSO) overdue day). Proceeding of consumers written petitions (not more than 30 calendar days)

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