Proceedings of National Conference on Recent Advances in Electronics and Communication Engineering

(RACE-2014), 28-29 March 2014

1

Architecture of ABT Optimization Engine for
Energy Management System
Shivani Sharma
1
, Prof. (Dr.) B. R. Parekh
2
1 PhD Scholar, Power System Engineering, at SICART, Sardar Patel University, Vallabh Vidya Nagar , Gujarat.
2 Prof. & Head, Electrical Engineering Department, BVM Engineering College, Vallabh Vidya Nagar , Gujarat.
1
Email- sharmapshivani@gmail.com ,
2
Email- brp_bvm@yahoo.co.in

Abstract- This paper describes the general architecture for an ABT (Availability Based Tariff) optimization solution to
be deployed for a hydropower generation company. Though it is aimed at a hydropower utility, apart from the inflow
prediction engine, the architecture in its entirety is applicable to a generation utility handling other energy sources (even
multiple energy sources). The tariff structure for power generation utilities has undergone major revision under the ABT
regime. The new tariff structure has been introduced to promote grid discipline by all players (generators and consumers)
as well as to make the power generation domain more viable for private sector participation. As a result, the operation
philosophy employed by power generation utilities also has undergone change under the ABT. The proposed solution
aims to help the end-user (as a large power generation utility) to manage their resources in the most optimal and
economic fashion under the new regime. A component-based architecture has been proposed for the solution architecture.
Besides the time-tested benefits of scalability and ease of maintenance, this framework offers a crucial benefit from the
ABT point of view. As per CERC (Central Electricity Regulatory Commission) the ultimate objective of ABT is to
migrate towards a self-regulating power market regime in a stepby-step fashion. Keeping this objective in view, as and
when the power sector in India matures under a new tariff regime, further changes are to be introduced. These changes
shall progressively move towards the self-regulating power market. A component-based framework will allow for easy
adaptability of the solution under these successive changes, rather than rebuilding the solution framework each time a
revision is announced.
Keywords Architecture, ABT Optimization Engine, Energy Management System
I. INTRODUCTION
Power generation and distribution in India started towards the end of the nineteenth century. However, it was
only after our independence in 1947 that the power sector got the required momentum and power generation was
identified as a key area for our development. With sustained efforts over the decades, the power generation scenario
in India presents a rich and composite mixture of hydro, nuclear, thermal, wind and solar generation. Our installed
capacity across the nation well exceeds 100,000 MW, a major share of which is derived from thermal sources
(coal/lignite, gas, diesel). Though rich and diverse, the thrust on the power generation sector so far has been on
capacity addition and our power sector has not really kept pace with the emerging technologies on the power
management front, especially in leveraging the tremendous potential unleashed by information technology (IT).
Power generation in India has been largely state owned and like so many other public enterprises donned a
traditional outlook and lagged in extracting the benefits offered by digitization and automation owing mainly to a
lack of economy centric approach.
How well we can manage this vast infrastructure and how close it can keep pace with our increasing energy
demands will be a crucial deciding factor in achieving our dream of an annual double digit growth. And in the wake
of opportunities thrown up by liberalization and deregulations, the state machinery started mooting on introducing
these effects to the power sector also. ABT (Availability Based Tariff) along with the Electricity Act of 2003 is
perhaps the most significant and definitive step taken in the Indian power sector so far to bring more efficiency and
focus to this vital infrastructure. The fact that the ABT regime was introduced to replace the Electricity Supplies Act
of 1948 would perhaps be an indicator of how overdue reforms were.
ABT concerns itself with the tariff structure for bulk power and is aimed at bringing about more responsibility
and accountability in power generation and consumption through a scheme of incentives and disincentives. As per
Proceedings of National Conference on Recent Advances in Electronics and Communication Engineering
(RACE-2014), 28-29 March 2014

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the notification, ABT is applicable to only central generating stations having more than one SEB/State/Union
Territory as its beneficiary. Through this scheme, the CERC (Central Electricity Regulatory Commission) looks
forward to improve the quality of power and curtail the following disruptive trends in power sector:
i) Unacceptably rapid and high frequency deviations (from 50 Hz) causing damage and disruption to large scale
industrial consumers
ii) Frequent grid disturbances resulting in generators tripping, power outages and power grid disintegration
This objective is to be brought about by encouraging generators to produce more during peak load hours and curtail
generation adequately during off-peak hours on one hand and discouraging consumers from overdrawing on the
other hand. The new tariff regime aims at inducing this discipline at the generation and consumption end through
adequate monetary incentives.
The most significant aspect of ABT is the splitting of the existing monolithic energy charge structure into three
components viz. capacity charges (fixed), energy charges (variable) and UI (unscheduled interchange) charges. It is
the last component that is expected to bring about the desired grid discipline. Splitting of the tariff into fixed and
variable cost components is meant to act as an incentive for power trading which shall (ideally) conclude in a self-
regulating power market regime. It is also expected to promote the concept of ELD (Economic Load Dispatch)
among power generators. Let us now look at these tariff components in a bit more detail:

Capacity charges: Fixed charges are payable to the generating station, by the intended beneficiaries of the
generation facility (state governments of the region in most cases). In the present tariff regime, capacity charges are
payable against the (deemed) PLF (Plant Load Factor) of the station. Full fixed charges are payable at achieving a
PLF of 68.49%, and incentive is payable for each unit of electricity generated above this PLF. Under the ABT
regime, fixed charges are payable against the availability (declared capacity) of the generating facility. Fixed
charges excluding ROE is payable on a prorated basis for 0-30% availability. Prorated ROE is payable from 30-70%
availability. Incentive is payable to the generating station for availability beyond 70%. The incentive is pegged at
0.4% of equity for each percent increase in availability in the 70-85% range. Thereafter, the incentive falls to 0.3%.
This decrease in incentive after 85% is aimed at discouraging the generating facility from overloading the units at
the cost of maintenance and equipment life. ABT also contains provision for penalizing the generating utility
for over/under declaration of the availability. Fixed charges are payable by the beneficiaries in proportion to the
allocated capacity and does not depend on the actual consumption.

Variable charges: Under the present tariff regime, there is no bifurcation between fixed and variable charges. Both
are bundled together and payable in proportion to the actual energy drawn by the consumer. As we have seen
already, under ABT fixed charges vary with the allocated capacity and has nothing to do with actual energy
consumed. In contrast, variable charges are to be paid against the actual energy consumed. This splitting is expected
to promote power trading.

UI charges: In the present regime, there is no penalty for deviation from the generating/drawal schedule by an
entity. The ABT regime stipulates that UI (Unscheduled Interchange) charges are payable under the following
conditions:
a) A generator generates more/less than the schedule causing grid frequency to deviate upwards/downwards
b) A beneficiary draws more/less than the schedule causing grid frequency to deviate downwards/upwards
The penalty imposed varies with the grid condition at the time of the indiscipline and the magnitude increases with
the severity of the frequency deviation caused. [1]
II. ABT OPTIMIZATION SOLUTION
The tariff structure for power generation utilities has undergone major revision under the ABT regime. The new
tariff structure has been introduced to promote grid discipline by all players (generators and consumers) as well as to
make the power generation domain more viable for private sector participation. As a result, the operation philosophy
employed by power generation utilities also has undergone change under the ABT. The proposed solution aims to
Proceedings of National Conference on Recent Advances in Electronics and Communication Engineering
(RACE-2014), 28-29 March 2014

II.3

help the end user (as a large power generation utility) to manage their resources in the most optimal and economic
fashion under the new regime.
A component-based architecture has been proposed for the solution architecture. Besides the time-tested
benefits of scalability and ease of maintenance, this framework offers a crucial benefit from the ABT point of view.
As per CERC (Central Electricity Regulatory Commission) the ultimate objective of ABT is to migrate towards a
self-regulating power market regime in a stepby-step fashion. Keeping this objective in view, as and when the power
sector in India matures under a new tariff regime, further changes are to be introduced. These changes shall
progressively move towards the self-regulating power market. A component-based framework will allow for easy
adaptability of the solution under these successive changes, rather than rebuilding the solution framework each time
a revision is announced. [2]
Given below is the list of the major components proposed as part of the solution. A general architecture diagram
of the solution is also provided in the Figure1. This diagram aims to depict how the different components are related
to each other. The rest of the document comprises a brief description of the functionality of each of the modules.
1. Tariff modeling module
2. Tariff calculation module
3. Energy scheduling module (Generation schedule optimization)
4. Schedule exchange/communication module
5. Common (user) interface module
6. Data engine (incorporating search functionality and data export)
7. Reports module
8. Inflow prediction calculation engine
9. GTA (Generation Target Achievement) module
10. SCADA
11. Communication bus (for data exchange)
I. ARCHITECTURE DESCRIPTION
An integrated solution to help energy organizations make the transformation to smarter grid, starting with a
foundation of converged IP networks and proven security principles for substation automation is established. From a
technology standpoint

Data layer
Data layer acts as a single unit that deals with all data manipulation operations for the solution. To all external
modules the data layer acts as a single unit that provides an XML interface to access, manipulate and modify data.
Internally the data layer consists of the following submodules:

Data storage- Data storage shall consist of a robust and scalable RDBMS like Oracle or MS SQL Server. The
RDBMS shall be responsible for data storage, back up and restore. Data archiving and restore utility as required by
end-user shall be handled through the back-up/ restore mechanism provided with the database. Replication and
networking mechanism provided by the RDBMS can also be used in case the data at one location needs to be
reproduced at another.

Data layer- Data layer shall control all access to the data stored by the RDBMS. Data layer may be embedded
within RDBMS or can be a separate module outside it. Data layer shall be responsible for handling all the meta-data
related to the data storage. This shall include audit trails for data modifications, version management for data,
timestamps for storage and modification, life span management of data and generation of data logs. All requirements
of end-user related to data management shall be handled in this layer.

Proceedings of National Conference on Recent Advances in Electronics and Communication Engineering
(RACE-2014), 28-29 March 2014

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Figure 1. General Architecture daigram of solution
Access control- Access control layer shall be the security mechanism for the solution. This layer will control
access to the data based on access control levels and other security constraints that are implemented in the system.
Similar to data layer, access control may also be a part of the RDBMS or external to it.

XML layer - Irrespective of the RDBMS used, all external modules will be provided an XML interface for accessing
and manipulating data. To the greatest extend possible the XML interface will conform to available international
standards relevant to the particular domain. All mechanisms provided for querying and manipulating data through
XML will use standard packages available. Though the XML interface may slightly compromise the performance
compared to directly accessing the data in the RDBMS, this will be more than offset by the benefits of portability,
scalability and ease of migration, upgradation and maintenance offered by an XML interface. Besides the XML
interface can ensure that the system can interface with any number of external modules in the future without any
rework.
(1) Forecast engine-
The forecast engine shall act as the look-ahead mechanism for the whole solution. The purpose of this engine
is to provide a best possible forecast of the demand and generation capacity of the system. This forecast will then
enable the operator to plan the optimal course of operation that will maximize revenue within the framework of
generation targets and ABT regime.
(2) ABT engine-
ABT engine is the most crucial part of the whole solution. All aspects of the solution that relates to the
provision of the ABT are to be handled here. Considering the subsequent revisions anticipated for ABT, this
Proceedings of National Conference on Recent Advances in Electronics and Communication Engineering
(RACE-2014), 28-29 March 2014

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component needs to be the most dynamic and scalable part of the whole solution. While other aspects of the system
such as the forecast engine may remain more or less stable, the ABT engine (and perhaps the XML interface) may
need to undergo multiple revisions during the lifetime of the solution.

Data presentation layer-
The data presentation layer shall perform the function of translating data from the data layer to a form suitable
for display to the user. The data presentation layer works inline with the user interface layer. It is the user interface
layer that provides data to the user through a browser and the look and feel of the interface is also decided at the
user interface layer. The data presentation layer is responsible for deciding what data the user requires and how the
data shall be formatted before presentation to the user.
IV CONCLUSION
The basic concept of ABT is explained. A component-based architecture has been proposed for the solution
architecture. Besides the time-tested benefits of scalability and ease of maintenance, this framework offers a crucial
benefit from the ABT point of view. As per CERC (Central Electricity Regulatory Commission) the ultimate
objective of ABT is to migrate towards a self-regulating power market regime in a stepby-step fashion. Keeping this
objective in view, as and when the power sector in India matures under a new tariff regime, further changes are to be
introduced. These changes shall progressively move towards the self-regulating power market. A component-based
framework will allow for easy adaptability of the solution under these successive changes, rather than rebuilding the
solution framework each time a revision is announced.

V REFERENCE

[1] Introduction to Availability Based Tariff- A White Paper, Revision 1.0, Version 1.0, Kalki Communication Technologies Private Limited
[2] Energy Management System With ABT Optimization Engine Technical Architecture, ABT Optimization for Hydro power generation, ,
Kalki Communication Technologies Private Limited
[3] www.cercind.gov.in
[4] www.cea.nic.in
[5] www.powermin.gov.in