JSC ELECTRICITY SYSTEM COMMERTIAL OPERATOR ACTIVITY REPORT YEAR 2016
BALANCING ELECTRICITY TRADE GUARANTEED CAPACITY TRADE ELECTRICITY IMPORT AND EXPORT SUPPORT OF CONSTRUCTION OF NEW HYDRO POWER PLANTS METERING CONTROL
BALANCING ELECTRICITY TRADE BALANCING ELECTRICITY TRADE REMAINS AS ONE OF THE MAIN DIRECTIONS OF THE ESCO S ACTIVITIES; IN 2016, THE SHARE OF BALANCING ELECTRICITY IN THE WHOLESALE TRADE WAS 11.76%. 11.76% BALANCING ELECTRICITY SOLD BY DIRECT CONTRACT 88.24%
BALANCING ELECTRICITY SUPPLIERS IN 2016, THE BALANCING ELECTRICITY, PURCHASED BY THE ESCO CONSISTED OF THE ENERGY, GENERATED BY THE THERMAL AND HYDRO POWER PLANTS AS WELL AS THE ELECTRICITY, IMPORTED BY THE ESCO. THEIR QUANTITATIVE INDICATOR (BY MONTHS) IS GIVEN IN THE DIAGRAM. 200.00 Mln KWh 160.00 120.00 80.00 40.00 0.00 1 2 3 4 5 6 7 8 9 10 11 12 IMPORTER 93.13 91.92 128.49 24.72 2.73 0.94 5.31 10.46 24.18 16.85 12.72 33.49 THERMO POWER PLANT 21.20 12.40 21.91 23.70 0.00 4.39 1.24 2.68 2.03 17.21 78.89 132.24 HYDRO POWER PLANT 46.74 46.69 60.00 106.19 15.60 20.16 19.44 17.18 69.87 68.07 68.88 90.59
PARTICIPATION OF THE ELECTRICITY SUPPLIERS IN THE PROCESS OF BALANCING ELECTRICITY FORMATION ELECTRICITY SELLERS YEAR 2016 KWH SHARE, % HYDRO POWER PLANT 629 401 999 45% THERMAL POWER PLANT 317 890 574 23% IMPORTER 444 946 121 32% TOTAL 1 392 238 694 100% SHARE OF HPPS, TPPS AND IMPORT IN BALANCING ELECTRICITY IN 2016 32% 45% 23% HYDRO POWER PLANTS THERMAL POWER PLANTS IMPORTER
BALANCING ELECTRICITY BUYERS IN 2016, THE DISTRIBUTION ENERGY COMPANIES, DIRECT CUSTOMERS AND EXPORTERS WERE THE MAIN BUYERS OF BALANCING ELECTRICITY FROM THE ESCO. BESIDES, IN 2016, THE LOSSES HAVE BEEN BOUGHT BY THE DISPATCH LICENSEE (ITS SHARE IN BALANCING ELECTRICITY PURCHASE IS 0.6%) FOR THE PURPOSE OF ENSURING TRANSIT. QUANTITATIVE INDICATORS (BY MONTHS) OF BALANCING ELECTRICITY BUYERS ARE GIVEN IN THE DIAGRAM. 240.00 200.00 160.00 Mln KWh 120.00 80.00 40.00 0.00 1 2 3 4 5 6 7 8 9 10 11 12 GSE (TO PROVIDE FOR THE TRANSIT LOSSES) -.58.51.93 -.49 -.29-2.59 2.35 1.14 EXPORTER.01 -.00.00 7.18 1.15.63 - - - - - DISTRIBUTION ENERGY COMPANY 158.9 148.0 207.7 151.9 3.07 21.12 22.44 26.15 92.81 97.57 151.9 222.1 DIRECT CUSTOMER 2.07 2.40 2.17 1.77 8.09 2.73 2.91 3.88 3.27 1.98 6.22 33.04
PARTICIPATION OF ELIGIBLE ENTERPRISES IN THE PURCHASE OF BALANCING ELECTRICITY ELECTRICITY BUYERS YEAR 2016 KWH SHARE, % DIRECT CUSTOMER 70 515 961 5.1% DISTRIBUTION ENERGY COMPANY 1 303 864 489 93.7% EXPORTER 8 975 018 0.6% GSE (TO PROVIDE FOR THE TRANSIT LOSSES) 8 883 226 0.6% TOTAL 1 392 238 694 100.0%
EQUITY ENDICES OF DIRECT CUSTOMERS, DISTRIBUTION LICENSEES AND EXPORTERS IN BALANCING ELECTRICITY PURCHASE, 2O16 0.6% 0.6% 5.1% DIRECT CUSTOMER DISTRIBUTION ENERGY COMPANY EXPORTER 93.7% GSE (TO PROVIDE FOR THE TRANSIT LOSSES)
PRICE FORMATION OF BALANCING ELECTRICITY FOR SALE BALANCING ELECTRICITY SALE PRICE (ESCO WILL PURCHASE) IS FORMED BASED ON THE WEIGHTED AVERAGE PRICE. 18.00 WEIGHTED AVERAGE PRICE OF BALANCING ELECTRICITY TO BE SOLD BY THE ESCO, 2016 16.00 14.00 13.43 13.61 TETRI/KWH 12.00 10.00 8.00 6.00 8.21 10.57 10.25 10.62 9.30 10.00 10.12 11.02 10.68 11.23 4.00 2.00 0.00 1 2 3 4 5 6 7 8 9 10 11 12
BALANCING ELECTRICITY PRICE OF DEREGULATED SMALL CAPACITY HYDRO POWER PLANTS, 2016 ESCO BUYS THE BALANCING ELECTRICITY FROM THE DEREGULATED SMALL CAPACITY HYDRO POWER PLANTS: -THE UPPER MARGIN TARIFF OF TPPS, FOR WHICH THE COMMISSION HAS ESTABLISHED THE HIGHEST TARIFF SHALL APPLY DURING THE PERIOD BETWEEN SEPTEMBER AND MAY; -THE TARIFF (1.17 TETRI/KWH) OF REGULATORY HYDRO POWER PLANTS, WHICH HAVE THE LOWEST GENERATION TARIFF SHALL APPLY DURING THE PERIOD BETWEEN MAY - SEPTEMBER. 18.00 16.00 TETRI/KWH 14.00 12.00 10.00 8.00 11.303 11.303 11.303 11.303 11.303 11.303 11.303 11.303 6.00 4.00 2.00 0.00 1.170 1.170 1.170 1.170 1 2 3 4 5 6 7 8 9 10 11 12
GUARANTEED CAPACITY GUARANTEED CAPACITY SERVES TO THE STABILITY, SAFETY AND RELIABLE FUNCTIONING OF THE COUNTRY S UNIFIED ENERGY SYSTEM; GEORGIAN GOVERNMENT DETERMINES THE GUARANTEE CAPACITY SOURCE AND MINIMUM QUANTITY OF GUARANTEED CAPACITY, FOR EACH GUARANTEED CAPACITY SOURCE; GEORGIAN NATIONAL ENERGY AND WATER REGULATORY COMMISSION DETERMINES PROVISION PERIODS AND PRICE OF GUARANTEED CAPACITY, FOR EACH GUARANTEED CAPACITY SOURCE ON DAILY BASIS; GUARANTEED CAPACITY TRADE IS TAKING PLACE ONLY THROUGH THE ESCO, BASED ON THE STANDARD CONDITIONS OF DIRECT CONTRACT.
GUARANTEED CAPACITY SOURCES AND MINIMUM QUANTITY OF GUARANTEED CAPACITY, DETERMINED BY THE GOVERNMENT OF GEORGIA, 2016 AIR TURBINE POWER PLANT GARDABANI THERMAL POWER PLANT ENERGY UNIT 3 GARDABANI THERMAL POWER PLANT ENERGY UNIT 4 GARDABANI THERMAL POWER PLANT ENERGY UNIT 9 GARDABANI COMBINED CYCLE POWER PLANT 65 MW (TILL 01.04) 80 MW (FROM 01.04) 100 MW 100 MW 180 MW 162 MW
PRICE AND PROVISION PERIODS DETERMINED FOR THE GUARANTEED CAPACITY SOURCES BY THE NATIONAL REGULATORY COMMISSION AIR TURBINE POWER PLANT GARDABANI THERMAL POWER PLANT ENERGY UNIT #3 GARDABANI THERMAL POWER PLANT ENERGY UNIT #4 GARDABANI THERMAL POWER PLANT ENERGY UNIT #9 GARDABANI COMBINED CYCLE POWER PLANT 41 671 GEL/DAY 22 979 GEL/DAY 26 421 GEL/DAY 59 957 GEL/DAY 366 173 GEL/DAY 336 DAYS 301 DAYS 276 DAYS 304 DAYS 361 DAYS (01.11.2015-31.12.2016) ACCORDING TO THE REGULATORY COMMISSION RESOLUTION, THE PROVISION PERIODS (NUMBER OF DAYS) FOR AIR TURBINE POWER PLANT AND GARDABANI THERMAL POWER PLANT UNITS #3, 4 AND 9 WERE DETERMINED BASED ON THE CALENDAR YEAR, FOR 12 MONTH: FROM JANUARY 1, 2016 TILL DECEMBER 31, 2016 (INCLUDING), WHEREAS FOR THE GARDABANI COMBINED CYCLE POWER PLANT, THIS PERIOD WAS DETERMINED FOR 14 MONTHS: FROM NOVEMBER 1, 2015 TILL DECEMBER 31, 2016 (INCLUDING).
FUNDS RECEIVED FOR THE GUARANTEED CAPACITY PROVIDED BY THE SOURCES, 2016 ESCO COMPENSATES THE COST OF GUARANTEED CAPACITY ONLY TO THOSE SOURCES OF GUARANTEED CAPACITY, READINESS AND STANDBY PERIOD OF WHICH IS CONFIRMED BY THE DISPATCH LICENSEE. THE COST OF PROVIDED GUARANTEED CAPACITY, 2016 LTD MTKVARI ENERGY ENERY UNIT #9 LTD GEORGIAN INTERNATIONAL ENERGY CORPORATION ENERY UNIT #3 ENERY UNIT #4 LTD G-POWER AIR TURBINE POWER PLANT LTD GARDABANI TPP COMBINED CYCLE POWER PLANT PROVISION PERIOD (NUMBER OF DAYS) 304 301 276 336 300 GUARANTEED CAPACITY COST (MLN GEL) 18.23 6.92 7.29 14.00 109.85
GUARANTEED CAPACITY BUYERS DISTRIBUTION ENERGY COMPANY DIRECT CUSTOMER EXPORTER THE GUARANTEED CAPACITY BUYER ELIGIBLE ENTREPRICE IS LIABLE FOR THE COMPENSATION OF GUARANTEED CAPACITY COST, IN PROPORTION WITH ITS ACTUAL SHARE OF CONSUMPTION AND EXPORT IN TOTAL ACTUAL CONSUMPTION OR EXPORT.
PURCHASE SHARE OF GUARANTEED CAPACITY BUYER ELIGIBLE ENTREPRICES IN TOTAL PURCHASE, 2016 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% January 88.29% 11.70% 0.002% February 87.11% 12.89% March 84.63% 15.37% 0.0001% April 82.94% 17.06% 0.0001% May 65.04% 14.14% 20.82% June 64.85% 12.97% 22.18% July 73.57% 12.30% 14.13% August 86.50% 10.16% 3.34% September 90.62% 9.36% 0.01% October 89.90% 10.08% 0.02% November 89.52% 10.48% 0.0005% December 86.42% 13.57% 0.01% DISTRIBUTION ENERGY COMPANIES DIRECT CUSTOMERS EXPORTERS
IMPORT AND EXPORT CARRIED OUT BY THE ESCO IN 2016, THE QUANTITY OF ELECTRICITY IMPORTED BY THE ESCO WAS 478.96 MLN KWH, WHICH IS 100% OF THE ENERGY TOTALLY IMPORTED INTO THE COUNTRY. THE ELECTRICITY WAS IMPORTED FROM RUSSIAN FEDERATION (369.16 MLN KWH) AS WELL AS THE REPUBLIC OF AZERBAIJAN (109.8 MLN KWH). SIGNIFICANT SHARE IN THE IMPORT CARRIED OUT BY THE ESCO WAS THROUGH THE ELECTRICITY TRANSMISSION LINES CONNECTED WITH RUSSIAN FEDERATION. IN 2016, THE ESCO EXPORTED 222.1 MLN KWH OF ELECTRICITY, WHICH IS 39.7%-OF ACTUAL EXPORT (559.01 MLN KWH) FROM THE COUNTRY. THE EXPORT WAS CARRIED OUT TO THREE NEIGHBOURING COUNTRIES: RUSSIAN FEDERATION (147.6 MLN KWH), TURKEY (69.0 MLN KWH) AND REPUBLIC OF AZERBAIJAN (5.5 MLN KWH).
MONITORING OF METERING SYSTEMS In 2016, the auditors of Metering Control Department (in cooperation with the parties concerned according to the approved schedule) have inspected 1049 electricity settlement metering nodes, aimed at the monitoring of electricity settlement metering points. They have drawn up the inspection act of wholesale (commercial) metering per each metering node; When registering an eligible enterprise or amending its registration as the participant of wholesale trade, the Commission had inspected and put into service 54 new settlement metering nodes (intended for the wholesale trade) and drawn up the inspection acts of metering nodes, intended for the wholesale trade; Business trip was organized to Gardabani 500kV Substation together with the representatives of JSC Georgian State Electricity System. This trip was dedicated to giving the settlement status to the electricity trans-border meter of Gardabani 330 kv interstate (intersystem) Energy Transmission Line and the Customs Department sealing this meter. Another business trip was arranged with the representatives of JSC Georgian State Electricity System to 500 kv Samukhi Substation (Azerbaijan) and 500 kv Gardabani Substation, dedicated to the connection of 500kV Intersystem Energy Transmission Line Mukhranis veli and putting into operation the metering nodes.
Settlement metering nodes of the Ltd Georgian Water & Power have been inspected in cooperation with the parties concerned (EPG and GSE) and appropriate acts have been composed; In 2016, totally, 45 business trips have been carried out, including the following: 14 business trips were carried out based on the schedule of electricity settlement metering points inspection, approved by the JSC Electricity System Commercial Operator for the Year 2016; 27 business trips were dedicated to the registration or amendments introduced to the registration of eligible enterprises to participate in wholesale trade; one business trip was aimed at the inspection of settlement metering nodes of Ltd Georgian Water & Power ; one business trip carried out at 500 kv Gardabani Substation was dedicated to giving the settlement status to the electricity trans-border meter of Gardabani 330 kv Substation and the Customs Department sealing this meter; one business trip was arranged to visit 500 kv Samukhi Substation (Azerbaijan) and one business trip was aimed at launching 500kV Intersystem Energy Transmission Line Mukhranis veli and putting into operation the metering nodes at 500 kv Gardabani Substation; The JSC Electricity System Commercial Operator has reacted according to the legislation, with regards to every error, discovered during the inspection; The Unified database of metering nodes, intended for the wholesale trade has been updated.
COMMENSURATE TO THE MEMORANDUM CONCLUDED BETWEEN THE GOVERNMENT AND THE INVESTOR, IN 2016 SEVEN CONTRACTS WERE SIGNED BETWEEN THE MARKET OPERATOR AND THE INVESTOR ON THE OBLIGATORY POWER PURCHASE: GOVERNMENT ESCO LTD MTKVARIHESI GOVERNMENT ESCO JCS ONI CASCADE GOVERNMENT ESCO LTD GEORGIAN INVESTMENT GROUP GOVERNMENT ESCO LTD ENERGO-ARAGVI GOVERNMENT ESCO LTD SAKNAKHSHIRI (GIG GROUP) GOVERNMENT ESCO LTD KARTLI WIND POWER PLANT GOVERNMENT ESCO LTD ERA GEORGIA
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