Figure 35: The bifurcated DSM account penalties

( ` ) DSM Penal es

3000000 2700000 2400000 2100000 1800000 1500000 1200000 900000 600000 300000 0 -300000 -600000

Daily DSM payable/receivable by CESC

Penalty for cont. one dir. Dev. (`) Addl. Charge of Dev. (`) Charge of Dev. (`)

3.20 19 11 .0 3.20 19 12 .0 3.20 19 13 .0 3.20 19 14 .0 3.20 19 15 .0 3.20 19 16 .0 3.20 19 17 .0 3.20 19 18 .0 3.20 19 19 .0 3.20 19 20 .0 3.20 19 21 .0 3.20 19 22 .0 3.20 19 23 .0 3.20 19 24 .0 3.20 19 25 .0 3.20 19 26 .0 3.20 19 27 .0 3.20 19 28 .0 3.20 19 29 .0 3.20 19 30 .0 3.20 19 31 .0 4.20 19 01 .0 4.20 19 02 .0 4.20 19 03 .0 4.20 19 04 .0 4.20 19 05 .0 4.20 19 06 .0 4.20 19 07 .0

FIGURE 35: The bifurcated DSM account penalties

Control Logic for Operating Battery Energy Storage System to Reduce Deviation Settlement Mechanism Penalties

To analyse the BESS action on the impact on DSM penalties, a BESS was assumed to act in realtime block-wise. The constraints such as forecasted demand regulations as per CERC Fourth and Fifth amendments of DSM which mention frequency-related dynamic slope for the discovery of daily block-wise DSM penalty price are being considered while arriving at idle operations of BESS. Overdrawl: As mentioned in Table 18, assumed mandatory discharging time blocks are the instances where the DSM penalties are higher either due to prevailing grid frequency (C1), due to the case of sign reversal (C9), or a violation occurring below 49.85 Hz frequency (C3). This ensures that most of the penalties are reduced in such periods. However, C9 and C3 are given much higher preference. C3 condition ensures partial discharging. Underdrawl: In the case of underdrawl, CERC mentions a cap on rebate in the operating frequency range of 49.85–50 Hz at 12% of the scheduled demand for the time block. Hence C5 and C7 are those instances where no rebate is provided which are assumed for mandatory charging. C10 time block again follows continuous power under drawl which is given a higher preference, hence associated with a mandatory charging. Further C8 is associated with a high penalty for underdrawing above 50.05 Hz. Hence C8 & C10 get first preference in charging. C4 and C6 are associated with Idle SOC to avail rebate in operating range of 12% of the scheduled demand.