CERC revises inter-state power access rulesBS Reporter / New Delhi December 20, 2007Electricity regulator CERC has revised the existing regulations for open access in inter-state electricity transmission for collective trading by utilities through upcoming power exchanges.The first power exchange in the country - the Indian Energy Exchange, promoted by Financial Technologies India and Multi Commodity Exchange (MCX) - is likely to become operational in the beginning of 2008 while the second one, proposed by NTPC-NCDEX led consortium is yet to take off.A power exchange (PX) functions on the lines of commodity exchanges and provides a platform for buyers, sellers and traders of electricity to enter into spot and forward contracts.It is imperative that issues related to transmission charges, losses and availability of capacity are sorted before the trading starts on the energy exchange.According to the draft regulation, in case of the collective transactions on the power bourses, the national load despatch centre, would be the nodal agency. For bilateral transactions the nodal agency would be the regional load despatch centre (RLDC). The RLDC would also remain the nodal agency for overseeing trading between a buyer and a seller."Any person or the power exchange (on behalf of buyers and sellers) intending to avail of open access for use of the transmission lines or associated facilities for such lines on the inter-state transmission system, shall make an application to the nodal agency in accordance with these regulations," CERC said.In case a state utility or an intra-state entity wants to participate in trading through a power exchange, it will have to obtain clearance from the state load despatch centre.Also, in the new regulations, emphasis is laid on
