- Grid-India has released a consultation paper on AGC for solar, BESS, and PSPs to improve grid frequency regulation and flexibility.
- The proposal includes technical frameworks, compensation models, and expanded participation opportunities for plants with a capacity of 100 MW and above.
Grid Controller of India Ltd. (Grid-India), through the National Load Despatch Centre (NLDC), invited stakeholder feedback on Automatic Generation Control (AGC) for Renewable Energy Generating Stations (REGS), Battery Energy Storage Systems (BESS), and Pumped Storage Plants (PSP) across India. The consultation paper complies with directives from the Central Electricity Regulatory Commission. It also builds on lessons learned from pilot projects. Consequently, the paper provides a clear technical and commercial framework. This framework enables emerging resources to support grid frequency regulation effectively.
Notably, the paper demonstrates that AGC operation of solar power plants is technically feasible. A 180 MW pilot project at Devikot successfully tested solar AGC. Solar plants work well for SRAS-Down operations because they can reduce generation during high-frequency events. While accurate Measurement, Protection, and Testing (MPT) signals are ideal, Grid-India allows reasonable estimations. Regarding compensation, the paper proposes three models: zero marginal cost settlement, partial tariff-based settlement with refunds to the pool, and performance-based incentives. Grid-India recommends that all solar plants with a capacity of 100 MW and above adopt AGC and SRAS readiness.
BESS is one of the most effective resources for AGC. This is due to fast response, high ramp rates, and bidirectional operation, proven in a 20 MW/40 MWh pilot. The paper recommends standardised protocols for State of Charge (SOC) and cycle management. It also removes mandatory cooling-off periods between charge and discharge cycles. Grid-India proposes two compensation approaches: a declared charge with mileage-based incentives, including premiums for superior performance, or a fixed weekly reserve charge. Additionally, value stacking allows BESS to earn revenue from SRAS participation and energy market operations.
PSPs are compatible with AGC in both generation and pumping modes, although some operational constraints remain. Therefore, the paper proposes zero marginal cost settlement, exclusion of AGC energy from availability calculations, and eligibility for existing SRAS incentives. It also suggests extending the Beta factor incentive for primary frequency response in pumping mode and permitting AGC in safe overload zones.
For conventional hydro stations, Grid-India notes that AGC-based down-regulation is commercially unattractive due to notional energy charge rates. Hence, the paper suggests zero marginal cost treatment for hydro down-regulation to unlock flexibility without financial penalties.
The consultation paper encourages greater participation from intra-state generators. Currently, approximately 6,800 MW of power is active in regional SRAS. State Load Despatch Centres (SLDCs) must facilitate broader engagement. This approach paves the way for future state-level AGC once EMS upgrades are complete.