The Karnataka Electricity Regulatory Commission (KERC) has introduced a comprehensive Framework for Resource Adequacy to address the evolving challenges in the state’s power sector.

The framework aims to ensure a reliable electricity supply for consumers while adapting to the changing energy landscape.

KERC defines resource adequacy as the power system’s ability to meet the aggregate electrical demand and energy requirements of consumers at all times with a specified degree of reliability.

This definition encompasses both the ability to meet peak demand and maintain sufficient energy resources throughout the year.

The framework establishes a Planning Reserve Margin (PRM) of 15% above the forecasted peak demand. This margin accounts for uncertainties in demand forecasts, generator outages, and other system reliability factors.

KERC has outlined specific accreditation methodologies for different types of resources:

• Thermal Resources: Accredited based on their Unforced Capacity, which considers both their installed capacity and forced outage rates.
• Variable Renewable Energy Resources: Accredited using the Effective Load Carrying Capability methodology, which assesses their contribution to system reliability.
• Energy Storage Systems: Accredited based on their power capacity and duration, with higher accreditation for longer-duration storage.

KERC will conduct yearly assessments to evaluate the state’s resource adequacy. These assessments will consider factors such as load forecasts, resource portfolios, and transmission constraints.

Load serving entities in Karnataka are required to demonstrate that they have procured sufficient resources to meet their share of the system-wide PRM.

This can be achieved through various means, including owned generation, power purchase agreements, or capacity market purchases.

The framework includes a robust compliance mechanism with penalties for entities that fail to meet their resource adequacy obligations. These penalties are designed to incentivize compliance and ensure system reliability.

KERC’s framework emphasizes the importance of long-term planning to address future reliability challenges. It also incorporates flexibility to adapt to changing market conditions, technological advancements, and evolving regulatory requirements.

By implementing the resource adequacy framework, KERC aims to maintain a reliable electricity supply for Karnataka’s consumers while promoting a diverse and resilient energy portfolio.

The framework’s adaptability ensures that it can evolve alongside the rapidly changing energy landscape, addressing both current and future challenges in the state’s power sector.

In February, he Ministry of Power wrote to all states and union territories to adhere to the Resource Adequacy Guidelines to ensure sufficient growth in power generation capacity in line with the rapidly increasing electricity demand in the country.

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