Challenges & Experiences in AMR Application to Support the Philippine WESM

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1 Challenges & Experiences in AMR Application to Support the Philippine WESM Emmanuel M. Sotomil Sr. Dept. Manager & Head Metering Services Group National Transmission Corporation Renato B. Afurong Metering Unit Head Philippine Electricity Market Corporation (PEMC)

2 Presentation Outline Overview of the Philippine WESM Market Structure and Coverage Supply Demand Balancing Metering Requirements Meter Data Processing for Trading Settlements Challenges to TRANSCO as WESM MSP The TRANSCO WESM Metering Project Project Milestones Present State of TRANSCO s Metering/AMR System Birth Pains of the Metering/AMR System Other Valuable Experiences

3 Philippine Wholesale Electricity Spot Market (WESM) Established by the Philippine Department of Energy (DOE) in accordance with the Electric Power Industry Reform Act of 2001 Philippine Electricity Market Corporation (PEMC) was created to develop and operate the WESM.

4 Philippine Wholesale Electricity Spot Market (WESM) WESM is the venue for buyers and sellers engage in the trading of electricity as a commodity. PEMC shall establish, maintain and govern an efficient, competitive, transparent and reliable market for the wholesale trade of electricity.

5 PEMC is the Market Operator (MO) MARKET STRUCTURE OF PHILIPPINE WESM Regulator: Energy Regulatory Commission (ERC) TRANSCO is Transmission Provider, System Operator, & default Metering Service Provider (MSP) Sellers: Buyers: Generation Companies (NPC, others) Suppliers/Supply Aggregators IPP Administrators Distribution Utilities Electricity End-users/Load Customers Suppliers/Supply Aggregators Other entities authorized by ERC according to Law.

6 WESM COVERAGE Initially, only entities connected to the Grids and with a capacity of 1MW and higher are admitted in the WESM. Luzon Commercial Operation June 2006 Visayas Commercial Operation is set to start January 2008 Trial Operation is on-going Mindanao Will follow after Visayas Commercial Operation

7 DEMAND SUPPLY BALANCING Supply Side Generation Companies (GenCo s) Offers Price P=/MWH P Bids Demand Side Customers (DU s, EC s, LC s, Suppliers and/or Aggregators)

8 WESM METERING REQUIREMENTS Meters and Instrument Transformers Accuracy Class. Blondel s Theorem Compliance of metering circuit. Meter Functionalities: Load Profile Meter Data Memory Data Communication Ports for On-site & Remote Data Access using an AMR System or proprietary meter data retrieval software Connectivity to MSP s AMR System for daily meter data retrieval and delivery to the MO Metering Facility Integrity Certification by the MSP Metering Facility Registration with the MO

9 DAILY METER DATA PROCESSING Trading Participants MSP s AMR System 1. Daily retrieval of previous day meter data by AMR: 12AM to 4AM 2. Meter Data Validation 3. Transmit meter data to M.O.: 6-8 AM 15- minute MDEF MO s MDCS MARKET MANAGEMENT SYSTEM 1. Receiving of Meter Data from MSP s AMR System 2. Meter Data undergoes Validation, Estimation & Editing (VEE) 3. SSLA: Translation of Metered Energy to Market Trading Node 4. Posting of Settlement-Ready Meter Data in the Settlement System Settlement Ready Data MTR MO s Settlement System

10 VALIDATION, ESTIMATION & EDITING CHECK FOR: Check or Alternate Meter Values Outside Min/Max Limits Missing meter data CORRECTIVE MEASURE For defective Main Meter, the Check or Alternate meter data is substituted. If value is invalid, a Meter Trouble Report (MTR) is issued to the MSP. ESTIMATION & EDITING Use data from alternate meters or SCADA data Where no alternate meter or SCADA data is available: Estimation based on interpolation between values for short-duration cases of missing data Use historical value for the same hour of the previous day (weekdays) Use historical value for the same day of previous last week (weekends)

11 METER TROUBLE REPORTING & RESOLUTION MO issues an MTR to the MSP for meters that failed the validation process MSP performs the following upon issuance of the MTR: Investigate the problem Perform repairs as required Provide substitute meter data MO estimates remain in place until MSP provides meter data acceptable to MO.

12 SITE-SPECIFIC LOSS ADJUSTMENT (SSLA) Load Customer s Metering Points are required to be at the Market Trading Node (MTN) For Metering Points not located at the Market Trading Node: customer meter data measured at the metering point is translated to the MTN. The Adjusted Meter Data is inclusive of Line and Transformer Losses between the MTN and Metering Point. Power Transformer M1 Metering Point 1 MTN M2 Metering Point 2

13 Validation Estimation & Editing Within Within the the limit limit (automatically (automatically approved) approved) Manually Manually Approved Approved Outside the the limit limit

14 Validation, Estimation, & Editing

15 Monthly Meter Data Process Flow START MSP RECONCILED CD CONVERT CD XLS (DEL & REC) TO SQL N DAILY MQ FROM MDCS DAILY MQ FROM MDW DAILY AVE SNAPSHOT (GEN RTU) N EVALUATE MSP CD OK COMPARISON OF MDW, MDCS & CD OK COMPARISON GEN RTU AND GEN CD OK Y Y Y N N N M T R COMPARISON OF SQL AND XLS (QC/SUMMARY) CALCULATE RTU FACTOR THEN CONVERT TO SQL COMPARISON OF SQL AND XLS (QC/SUMMARY) SOURCE DATA PREPARATION FOR SSLA SSLA CALCULATION COMPARISON OF RAW SSLA AND CD (QC/SUMMARY) CONVERT SSLA XLS TO SQL COMPARISON OF SQL AND XLS (QC/SUMMARY) OK OK N OK N OK Y N Y Y Y U P L O A D T O M D W AGGREGATED MQ (FOR MARKET FEES) COMPARISON OF GEN DEL AND CD DEL (QC/SUMMARY) N OK AGGREGATED MQ (NODAL) COMPARISON OF NODAL AND CD (QC/SUMMARY) N OK Y Y ENERGY BALANCE A P P R O V E D F O R S E T T L E M E N T S E T T L E M E N T

16 METERING & AMR CHALLENGES OF PHILIPPINE WESM In 2003, TRANSCO organized the Metering Services Group to perform TRANSCO s role as default WESM Metering Service Provider. No AMR System was in place. TRANSCO had NO AMR EXPERIENCE, but had SCADA experience since the mid-80 s. The NPC Plants, accounting for roughly 60% of total generation capacity, had no revenue metering facilities. Metering facilities of Grid-connected Load Customers and IPP s were equipped with meters with Load Profile Data storage capability but less than 20% were AMR-ready.

17 METERING & AMR CHALLENGES OF PHILIPPINE WESM TRANSCO undertook a WESM Metering Project that started in 2004, with the following components: 1. Automated Meter Data Retrieval (AMR) System for all Gridconnected metering points. 2. Upgrading of revenue metering facilities of Customers: New, AMR-ready electronic meters Meter communication links to the AMR System. 3. Revenue metering equipment for NPC power plants: Instrument transformers AMR-ready electronic meters Meter communication links to the AMR System

18 METERING POINTS BEFORE WESM METERING PROJECT AREAS METERING POINTS AMR-Ready Meters REMARKS A. LUZON 1. Customers 2. NPC Plants 3. IPP Plants B. VISAYAS 1. Customers Most of NPC and IPP Power Plants were served by TRANSCO s PSTN Digital Telephone System. 2. NPC Plants 3. IPP Plants C. MINDANAO 1. Customers 2. NPC Plants 3. IPP Plants PHILIPPINES Customers metering points are in receiving substations that are not served by TRANSCO s phone system. GSM service reaches almost all sites.

19 TRANSCO WESM METERING PROJECT MILESTONES Decision on AMR Strategy was made in mid-2003, to use an industry-tested System designed for a multi-meter vendor situation and dial-up connection via PSTN & GSM links. Tenders for the AMR System and the first batch of AMR-ready electronic meters were issued in November The AMR System: November 2004: Hardware and software components were delivered. June 2005: Vendor completed the Luzon AMR Station installation and testing, and training of AMR Station operating staff. April 2006: Luzon AMR Station was ready for service.

20 AMR-Ready Electronic Meters: TRANSCO WESM METERING PROJECT MILESTONES February 2005: First Batch of 582 Meters delivered. April 2005: Installation of AMR-Ready Meters on the 476 metering points in Luzon completed. April 2007: Second batch of 225 Meters delivered, to complete all the requirements for AMR-ready meters. Telephone Links: June 2006: Connectivity of Luzon metering facilities to the AMR System was achieved using PSTN and GSM links (80 PSTN GSM). September 2007: A batch of 325 GPRS-capable GSM Modems have been delivered.

21 THE TRANSCO AMR SYSTEM Remote Metering Points Luzon Visayas/Mindanao PEMC Market Operator GSM GSM DTS DTS TELCO TELCO Workstations Serve r Switc h Rout er Firewal l GSM GSM DTS DTS TELCO TELCO GSM GSM DTS DTS TELCO TELCO Via dial-up Switch Switch Workstations Server Firewall Central AMR Station Router Router Firewall Server Workstations VisMin AMR Station NPC TOU Billing Via WAN Backup AMR Station Firewall Router TransCo Billing System Workstations Server Switch

22 Present State of the TRANSCO AMR System AMR Station 1. Luzon AMR Station TransCo Head Office Status/On-going Work In service to the WESM since April ECD N/A 2. Vis/Min AMR Station TransCo-Visayas Regional Office, Cebu 3. National Back-up AMR Station Already tested and in service since April Tested and ready for installation. Installation to commence after construction of AMR Station Building. N/A March 2008

23 PRESENT STATE OF WESM METERING POINTS AREAS METERING POINTS w/amr-ready Meters W/Tel. Link Read by AMR A. LUZON 1. Customers NPC Plants IPP Plants B. VISAYAS 1. Customers NPC Plants IPP Plants C. MINDANAO 1. Customers NPC Plants IPP Plants

24 BIRTH PAINS OF TRANSCO s WESM METERING PROJECT High Failure Rate of AMR-ready Electronic Meters. Meters would fail within a few days from installation. A recall program that lasted at least 9 months was done by the meter manufacturer to change meters/modify meter electronics. AMR System Meter Compatibility Issues Significant Meter Data Drop-out cases were initially experienced. Proprietary meter software was temporarily used for remote meter data retrieval until a new AMR Driver was developed by the AMR Supplier for the meter.

25 OTHER VALUABLE EXPERIENCES Comparison of Telephone Connection between AMR System and Meters Availability, Reliability and Cost AVAILABILITY RELIABILITY CAPEX COST OPEX TRANSCO PSTN Serves NPC Power Plants & most IPP s GOOD LOW Not quantified PRIVATE PSTN Service limited to urban areas BETTER THAN TRANSCO s $35 Fixed Subscription + Approx. 15c/min. GSM Cell Phone Service Practically everywhere VERY GOOD $ per Meter Approx. 8c/min.

26 OTHER VALUABLE EXPERIENCES Duration for retrieving 4 Channels of Meter Data: KWH Delivered, KWH Received, KVARH Delivered & KVARH Received at 15-Minute Interval: For first-time retrieval, the operation can take as long as 30 minutes and even longer for some meters. Succeeding retrieves last 2 6 minutes for 24-hour s meter data depending on meter make. AMR Workstation Loading: For a 5-hour meter data retrieval window, 80 Meters/Workstation, with a 25% allowance for retries. Data Reject & Retrieval Failure Rate is down to <5% from 20-25% when the System was deployed in 2006.

27 CONCLUSIONS AMR System Meter Compatibility is critical to avoid surprises in getting the system to work. Go with tried and tested meters whose bugs with an AMR System have been corrected. The meter s load profile data log set-up can greatly affect duration and cost of meter data retrieval. Doing the work in-house preserves knowledge. With knowledge gained, TRANSCO and PEMC are better prepared to handle the metering and AMR challenges of the next phases of the WESM.

28 End of Presentation. Thank you!

EXHIBIT A: PROJECT SCOPE AND SCHEDULE The Project consists of the activities and delivery dates identified in this Exhibit A, implemented in accordance with the Agreement. The Parties have included a schedule

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