PHILIPPINE DISTRIBUTION CODE 2017 EDITION

PDC 2017- Background Revised the PDC 2001 Starts of revision in 2010 April 18 and 24, 2012 conducted a series of expository presentation for Visayas and Mindanao For Luzon May 29, 2012 For VRE 2016 For approval by ERC

Significant Changes in the PDC Additional Members to the DMC Board One Representative from the Largest Distribution Utility One Representative from the Market Operator (CRB)

2.2.2 Membership of the DMC 2.2.2.1 The DMC shall be composed of the following members who shall be appointed by the ERC: (a) Three members nominated by private and local government Distributors, one each from Luzon, Visayas, and Mindanao; (b) Three members nominated by the Electric Cooperatives, one each from Luzon, Visayas, and Mindanao; (c) One member nominated by the largest Distribution Utility; (d) One member nominated by Embedded Generators; (e) One member nominated by industrial Customers; (f) One member nominated by commercial Customers; (g) One member nominated by residential consumer groups; (h) One member nominated by the Transmission Network Provider; (i) One member nominated by the System Operator; (j) One member nominated by the Market Operator; and (k) One member nominated by a government-accredited professional organization of electrical engineers. (IIEE)

Transmission Network Provider Grid Owner replaced by TNP Transmission Network Provider. The party that is responsible for maintaining adequate Grid Capacity in accordance with the provisions of the Philippine Grid Code.

Government Representatives DOE ERC NEA To provide guidance on government policy and regulatory frameworks and directions Cannot participate in any decision-making in the formulation of recommendations to the ERC

Significant Changes in the PDC Restructuring of DMC Subcommittees Distribution Technical Standards Subcommittee Distribution Reliability and Protection Subcommittee Distribution Tariff and Framework Subcommittee Distribution Metering and Settlements Subcommittee Rules Revision Subcommittee Distribution Planning Subcommittee Distribution Reliability and Protection Subcommittee Distribution Operations Subcommittee Rules Review Subcommittee Compliance Subcommittee

Subcommittees The Distribution Technical Standards Subcommittee will be separated into two new subcommittees, the Distribution Planning Subcommittee and the Distribution Operations Subcommittee which will then cover the functions of the Distribution Metering and Settlements Subcommittee. The Distribution Reliability and Protection Subcommittee is retained and will be given additional functions. The Distribution Tariff Frameworks Subcommittee will be dissolved and replaced by a new subcommittee, the Compliance Subcommittee. A permanent Rules Review Subcommittee is proposed.

Distribution Planning Subcommittee (a) Reviewing and revising the Distribution System planning procedures and standards; (b) Evaluating and making recommendations on the Distribution Development Plan (DDP); and (c) Evaluating and recommending actions on the proposed major Distribution System reinforcement and expansion projects Compliance Subcommittee (a) Implementing rules and regulations pertaining to the compliance of Distribution Utilities with the Philippine Distribution Code; (b) Evaluating and making recommendations on the Distributor s compliance monitoring report with the Philippine Distribution Code; and (c) Conducting actual assessment of Distributor s compliance with the Philippine Distribution Code. Rules Review Subcommittee (a) Initiating proposals for appropriate revisions to the Philippine Distribution Code; (b) Evaluating and making recommendations on the proposed revisions to the Philippine Distribution Code; and (c) Evaluating and making recommendations on any rules and regulations to be issued by the ERC and/or other agencies.

Distribution Operations Subcommittee (a) Reviewing and revising the Distribution System operation technical standards, such as: (1) Equipment standards; (2) Standard operating procedures; (3) Performance standards; and (4) Metering standards. (b) Reviewing and revising the Distribution System operating procedures, such as: (1) Joint purchases of common Equipment; (2) Sharing of parts inventories; (3) Mutual assistance; and (4) Emergency response. (c) Evaluating and making recommendations on Distribution System operation reports; (d) Evaluating and making recommendations on Significant Incidents; and (e) Monitoring the implementation of the Philippines Small Grid Guidelines. Distribution Reliability and Protection Subcommittee (a) Reviewing and revising Distribution System reliability and protection procedures and standards; (b) Evaluating and making recommendations on Distribution reliability reports; (c) Evaluating and making recommendations on significant Distribution System events or incidents caused by the failure of protection; (d) Reviewing and recommending reliability performance standards; and (e) Managing reliability data.

Significant Changes in the PDC Addition of Derogatory Provisions in Chapter 1: Philippine Distribution Code General Conditions; Inclusion of Customer Average Interruption Duration Index or CAIDI in the Distribution Reliability Indices imposed upon all Distribution Utilities; Exclusion of Major Events in the calculation of Reliability Indices; Chapter 4: Financial and Capability Standards for Distribution Supply is transferred as an Appendix to the PDC;

3.3.2 Distribution Reliability Indices 3.3.2 Distribution Reliability Indices 3.3.2.1 The following distribution Reliability indices shall be imposed on all Distribution Utilities: (a) System Average Interruption Frequency Index (SAIFI); (b) System Average Interruption Duration Index (SAIDI); (c) Customer Average Interruption Duration Index (CAIDI); and (d) Momentary Average Interruption Frequency Index (MAIFI). 3.3.2.2 The System Average Interruption Frequency Index indicates how often the average customer experiences a Sustained Interruption over a predefined period of time. 3.3.2.3 The System Average Interruption Duration Index indicates the total duration of interruption for the average customer during a predefined period of time. It is commonly measured in customer minutes or customer hours of interruption. 3.3.2.4 The Customer Average Interruption Duration Index represents the average time required to restore service. 3.3.2.5 The Momentary Average Interruption Frequency Index indicates the average frequency of Momentary Interruptions.

Significant Changes in the PDC Deletion of the section on Distribution Code Dispute Resolution, and inclusion of a new section entitled Application and Interpretation of Distribution Code Provisions ; References to Grid Owner has been replaced with Transmission Network Provider ; and Inclusion of Section 33 of the Republic Act 7920 known as the New Electrical Engineering Law as an additional compliance in the PDC 2017 Edition;

Significant Changes in the PDC Addition of Formulas and Sample Computation as Appendices in the PDC 2016 Edition; and Redrafting of Chapter 7: Distribution Revenue Metering Requirements.

Significant Changes in the PDC Inclusion of VRE Embedded Generators In addition to the existing requirements for conventional embedded generators, connection and operational requirements for variable renewable energy embedded generators.

Embedded Generating Plants Categories Embedded Generators categories Type Power Limits Comments Large Medium Intermediate + Conventional Usually connected to HV networks P VRE Consistency with the PGC Usually Connected to MV or, eventually, to HV networks. No distinction is made between conventional and VRE generators Connected to MV Usually Connected to MV No distinction made between conventional and VRE generators. Connected to LV (eventually in MV) Small P < 100 Partially covered (in the case of RES) by net metering regulations Micro P No distinction made between conventional and VRE generators. Connected inside LV customer premises. Covered (in the case of RES) by net metering regulations No distinction made between conventional and VRE generators

Frequency Withstand Capability for Large Generators Frequency Withstand Capability Large Generators Same requirements for Conventional and VRE Large Generators Conventional VRE Hz Frequency P.u. Time Automatic disconnection allowed, is so decided > 62.4 > 1.04 by the VRE Operator > 61.8 62.4 > 1.03 1.04 5 minutes 58.2 61.8 0.97 -.03 57.6 - < 58.2 0.96 - < 0.97 <57.6 < 0.96 Continuous Operation 60 minutes 5 seconds 14

Frequency Withstand Capability for Medium, Small and Frequency Micro Withstand Capability Medium, Intermediate and Small Generators Medium & Intermediate Small & Micro Frequency Hz P.u. Time > 62.4 > 1.04 Automatic disconnection > 61.8 62.4 > 1.03 1.04 5 minutes 58.2 61.8 0.97 -.03 Continuous Operation 57.6 - < 58.2 0.96 - < 0.97 5 minutes <57.6 < 0.96 5 seconds Frequency Hz P.u. 58.2 61.8 0.97 -.03 Time Continuous Operation

Reactive Power Capability and Control Reactive Power Capability and Control Large Medium Intermediate Small & Micro 1,2 1 0,8 0,6 0,4 Conventional VRE Power Factor at the Connection Point within the range of 0.98 leading 0.98 lagging Power factor not less than 0.85 lagging 0,2 0-0,6-0,4-0,2 Reactive 0 Power 0,2 0,4 0,6 0,8 Reactive power decided by the Distributor Controlled by the Developer

20 Performance under Network Disturbances Performance under Network Disturbances Large Medium - Intermediate Small - Micro

Protection Requirements Protection Requirements Large, Medium & Intermediate Small & Micro Agreed and Coordinated with the DU Anti-islanding requirements for Medium and Intermediate generators 23

26 Procedures for connection for Large Generators In case of Large Generators Procedures for connection Large Generators The User shall inform the Transmission Network Provider, about the application for connection. The Transmission Network Provider will evaluate the application and it will decide if: It can be accepted; It can be accepted subject to certain conditions or special requirements; or It can t be accepted, clearly indicating in this case the reasons for the rejection. The results shall be formally informed to the User The TNP may include in its recommendation any Grid or system potential restriction or network congestion, which may significantly influence the dispatch of the Large Embedded Generating Plant.

Procedures for connection Intermediate / Medium Size Generators Procedures for connection for Intermediate/Medium Size Generators Total installed capacity of the Embedded Generating Plant + all other existing capacity, shall not exceed 30% of the thermal capacity of the MV feeder. Total installed capacity connected to the substation shall not exceed the Minimum Load in a year of the HV/MV transformer. In case there are no registers it will be estimated as 25% of the transformer thermal capacity. The maximum Voltage changes at the Connection Point due to the switching operation shall not exceed 2% of the nominal voltage. a MV substation Total installed capacity connected to the substation shall not exceed the Minimum Load in a year of the HV/MV transformer at the substation. In case there are no registers of such minimum load, the value will be estimated as 25% of the transformer thermal capacity.

Procedures for connection for Medium and small generators Procedures for connection Intermediate / Medium Size Generators Intermediate/Medium Size Generators Allowed Not Allowed

Procedures for connection for Small and Micro Generators ` Procedures for connection Small and Micro Generators Small - Connected to LV feeders or at the MV/LV Transformer Micro The total installed capacity plus the aggregated capacity of all other Plants connected to the feeder shall not exceed 30% of the thermal capacity of the LV feeder. The total installed capacity at the busbar of the MV/LV substation shall not exceed one third of the thermal capacity of the MV/LV transformer. The maximum Voltage changes at the Connection Point due to the switching operation of the Medium or Intermediate Embedded Generating Plant shall not exceed 2% of the nominal voltage. The equipment has to be Type Tested to assure it is safe and to cause no unwanted disturbance to the distribution system. The Project Proponent shall submit to the Distribution Utility the Type Tests Report. 30

Procedures for connection Distribution Impact Studies Evaluate the impact of the proposed connection on the Distribution System: Power flows, both in Normal State and in case of contingencies; Voltage control studies; Impact of short circuit infeed; Definition and coordination of protection System; Impact on Power Quality.

Large VRE Embedded Generating Plants Frequency Withstand Capability

Large VRE Embedded Generating Plants Reactive Power Capability The Large VRE Embedded Generating Plant shall be capable of supplying Reactive Power output, at its Connection Point, within the following ranges: (a) ±20% of its Embedded Generating Plant Capacity as specified in the Generation Company s Declared Data, if its Active Power Output depending on the availability of the primary resource, is equal to or above 58% of the Embedded Generating Plant Installed Capacity; (b) Any Reactive Power value within the limits of 95% Power Factor lagging to 95% Power Factor leading, if its Active Power Output depending on the availability of the primary resource, is within the 10% and 58% of the Embedded Generating Plant Installed Capacity; (c) No Reactive Power interchange if the Active Power Output depending on the availability of the primary resource, is equal to or less than 10% of the Embedded Generating Plant Installed Capacity.

Large VRE Embedded Generating Plants Reactive Power Control

Large VRE Embedded Generating Plants Performance During Disturbances

Medium Embedded Generating Plants Frequency Withstand Capability

Intermediate Embedded Generating Plants Frequency Withstand Capability

Small and Micro Embedded Generating Plants Performance Under Disturbances

Protection Requirements Large, Medium & Intermediate Small & Micro Agreed and Coordinated with the DU Anti-islanding requirements for Medium and Intermediate generators

Small and Micro Embedded Generating Plants Protection Arrangement

Classification of Embedded Generators Large Medium Intermediate Small Micro Capacity P>10MW* 1MW>P> 10MW 100kW>P> 1MW OR P<100kW (MV network) 10kW>P> 100kW (LV network) P<10kW (LV network) Connection Point Frequency Withstand Connected to a Voltage Level agreed between the Embedded GenCo and the DU based on the DIS, and controlled by a CB 57.6-62.4 Hz 58.2 61.8 Hz Protection To be agreed with the Distribution Utility In accordance with PDC 4.9.5 Information Interchange RTU is required RTU required will be based on the DIS conducted Not required

Distribution Impact Studies (1) Power flows, both in Normal State and in case of contingencies; (2) Voltage control studies; (3) Impact of short circuit infeed to the Distribution Equipment are not exceeded; (4) Definition and coordination of protection System; and (5) Impact of User Development on Power Quality.

Significant Changes in the PDC Classification of Embedded Generators Capacity P>10MW* 1MW>P> 10MW 100kW>P> 1MW OR P<100kW (MV network) 10kW>P> 100kW (LV network) P<10kW (LV network) Freq. Withstand 57.6-62.4 Hz 58.2 61.8 Hz Protection To be agreed with the Distribution Utility In accordance with PDC 4.9.5 Info Interchange RTU is required RTU required will be based on the DIS conducted Not required

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