gcc interconnection authority · 2015. 10. 27. · 15: 00 16: 00 17: 00 18: 00 19: 00 20: 00 21: 00...
TRANSCRIPT
GCC Interconnection AuthorityInterconnecting Our World
3rd Power Trade Forum
Beyond the GCC Beyond the GCC Power Market 2015-2020
Establishing The Interconnection
2005-2011
Initiating a GCC Power
2010-2015
Initiating a GCC Power Market
2010-2015
�Platform to facilitate power trade
opportunities (EMMS)
�Workshops and training to raise
awareness of the issues and benefits of
power trade.power trade.
�Visits to policy makers to get their views
and support for power trade initiatives.
�Policy changes to promote power
trading through the Interconnector
(White paper).
�Regional forums to address issues that relate
to promoting power trading.1st Forum on Power Trade Dec 2010
Power Power MarketMarket initiation Road initiation Road mapmap
Interconnecter
YES
• Auctioning
• Grid Security
• Fine tune NTC
calculation
• Tarriff structure
• EMMS
• Automated
system
• Sophisticated
tarriff models
• …2a
3 FULL MARKET
IMPLEMENTATION
Needs drivenby limitedcapacity
congested ?
Tradingpartners
?
Shareholders only
NO
• Time-2-market focus
• Processes
• People nominations
and authorizations
• Simple tools
• Decide on NTC
• Automation
• Settlement
• Tarriff
structure
Shareholders +
others (IPP, PP
etc)
1PETA process 1.0 « INCUBATION » or « learn by doing »
2b
Needs drivenby tradingparties
500,000
600,000
700,000
800,000
900,000
0
100,000
200,000
300,000
400,000
500,000
20102011
20122013
308 46000
0
0
Unsceduled Exchanges
Traded Energy
�Absence of visibility and awareness ofelectricity costs and the benefits that can beachieved by power trading;
�Energy price distortion due to varying levels ofsubsidies in GCC countries;subsidies in GCC countries;
�Differences in national energy policies;
�Differences in local regulations towards cross-border power trading;
�Differences in national power sector structure;
�Low number of market participants.
GCC MSs National Markets Status
Bahrain Kuwait Qatar Saudi Arabia UAE Oman
Regulator No No No ECRA Bureau AER
Electricity Law No No Yes Yes Yes Yes
Transmission Grid Code
No No Yes Yes Yes Yes
Distribution Grid Code No No Yes Yes Yes Yes
Sector Structure/reform
Single Buyer
Partially
unbundling exists
Vertically
Integrated
Single Buyer
Partially unbundling
exists
Principle Buyer
Partially unbundling
exists
Single Buyer
Partially
unbundling exists
Single Buyer
Partially
unbundling exists
Subsidies Issue Yes Yes Yes Yes Yes YesSubsidies Issue Yes Yes Yes Yes Yes Yes
Authority to Trade Yes No Yes Need Permission Yes Yes
Price for Trade Not ready Not readyNeed update from
QP
Need declaration from Ministry of
EnergyAs per request
They prices based on
subsided fuel
Wheeling Charges GCCIA 5$ GCCIA 5$ GCCIA 5$ GCCIA 5$
UAE Summer = 34$ Winter = ? $GCCIA = 5$
UAE Summer = 34$ Winter = ? $GCCIA = 5$
Power Offered As per request Not DeclaredFull line capacityPrice up on Time and quantities
Not Declared As per requestNot Ready
successfullysuccessfully used used for stability and for stability and support in support in
Not used Not used for for economic gains economic gains through through support in support in
around around 1100 1100 incidentsincidents
through through economical economical trade of energytrade of energy
Utilization Factor around
8%
Value of Economic Gains that can be Value of Economic Gains that can be Value of Economic Gains that can be Value of Economic Gains that can be Value of Economic Gains that can be Value of Economic Gains that can be Value of Economic Gains that can be Value of Economic Gains that can be
Attained through Economic TradingAttained through Economic TradingAttained through Economic TradingAttained through Economic TradingAttained through Economic TradingAttained through Economic TradingAttained through Economic TradingAttained through Economic Trading
Optimal Energy Exchanges between the Member States
through the GCC interconnection leads to a global
reduction of operation and maintenance costs. The
corresponding Present Value of the Energy Exchanges
Revenues is of 1.8 Billion US$.Revenues is of 1.8 Billion US$.
Economic Energy Exchanges require:
development of a electricity market
Process through the GCC interconnection
Coordination of power production
between the Member States
8000
8500
9000
9500
10000
10500
11000
1:0
0
2:0
0
3:0
0
4:0
0
5:0
0
6:0
0
7:0
0
8:0
0
9:0
0
10:0
0
11:0
0
12:0
0
13:0
0
14:0
0
15:0
0
16:0
0
17:0
0
18:0
0
19:0
0
20:0
0
21:0
0
22:0
0
23:0
0
0:0
0
Demand (MW)
Time (Hrs)
KSA 4
4800
5000
5200
5400
5600
Demand (MW)
KUW Demand
1000
1100
1200
1300
1400
Demand (MW)
BA4
GCC Member
States Demand
During Winter
Time
4000
4200
4400
4600
1:0
0
2:0
0
3:0
0
4:0
0
5:0
0
6:0
0
7:0
0
8:0
0
9:0
0
10:0
0
11:0
0
12:0
0
13:0
0
14:0
0
15:0
0
16:0
0
17:0
0
18:0
0
19:0
0
20:0
0
21:0
0
22:0
0
23:0
0
0:0
0
Demand (MW)
Time (Hrs)
2000
2200
2400
2600
2800
3000
3200
3400
1:0
0
2:0
0
3:0
0
4:0
0
5:0
0
6:0
0
7:0
0
8:0
0
9:0
0
10:4
11:4
12:4
13:4
14:4
15:4
16:4
17:4
18:4
19:4
20:4
21:4
22:4
23:4
0:0
0
Demand (MW)
Time (Hrs)
QAT Demand
800
900
1000
1:0
0
2:0
0
3:0
0
4:0
0
5:0
0
6:0
0
7:0
0
8:0
0
9:0
0
10:0
0
11:0
0
12:0
0
13:0
0
14:0
0
15:0
0
16:0
0
17:0
0
18:0
0
19:0
0
20:0
0
21:0
0
22:0
0
23:0
0
0:0
0
Demand (MW)
Time (Hrs)
3600
3800
4000
4200
4400
4600
4800
5000
1:0
0
2:0
0
3:0
0
4:0
0
5:0
0
6:0
0
7:0
0
8:0
0
9:0
0
10:0
0
11:0
0
12:0
0
13:0
0
14:0
0
15:0
0
16:0
0
17:0
0
18:0
0
19:0
0
20:0
0
21:0
0
22:0
0
23:0
0
0:0
0
Demand (MW)
UAE Demand
Variation in the Fuel Mix
and Price
Trading Opportunities
in Winter to buy energyBelow is the variation in the marginal cost of generation during the winter
time period for the member states.
15
UAE QAT
Trading Opportunities
in Summer to buy energy
Shown below the variation in the marginal cost of generation during the
winter time period for the member states.
16
BAH KSA KUW
Comparison of Average
Marginal Costs
Economic Imports in a Peak day of High Season
Shown below the estimated energy to be imported from the GCCIA grid
base on the marginal cost of generation during the winter time period
for the member states.
Economic Exports in a Peak day of High Season
Shown below the estimated energy to be exported from the GCCIA grid
base on the marginal cost of generation during the winter time period
for the member states.
Exchange during the High Season
Phase I
Phase II
Phase III
Electricity Exchange Opportunity 2012-2030
Exchange
Consultant Results • The Consultant has estimated the total theoretical
benefit of both countries from economic electricity exchanges between Saudi Arabia and UAE-Abu Dhabi during the period 2012-2030 of about 2,935 MUSD or 154.5 MUSD/yr. considering a link utilization factor of 50% of NTC.
22
Electricity Exchange Opportunity 2012-2030
Exchange
Consultant Results
23
� The Consultant has estimated the total theoretical benefit of both countries from economic electricity exchanges between Saudi Arabia and Bahrain during the period 2012-2030 of about 2,024 MUSD or 106.5 MUSD/yr. considering a link utilization factor of 50% of NTC.
Electricity Exchange Opportunity 2012-2030
Exchange
Consultant Results
24
� The Consultant has estimated the total theoretical benefit of
both countries from economic electricity exchanges
between Saudi Arabia and Kuwait during the period 2012-
2030 of about 720 MUSD or 37.9 MUSD/yr. considering a
link utilization factor of 50% of NTC.
Electricity Exchange Opportunity 2012-2030
Exchange
Consultant Results
25
� The Consultant has estimated the total theoretical
benefit of both countries from economic electricity
exchanges between Saudi Arabia and Qatar during the
period 2012-2030 of about 3,448 MUSD or 181.5
MUSD/yr. considering a link utilization factor of 50% of
NTC.
Study
• Make a feasibility Study for capturing Power Trading opportunities between Member States
• Create a model where all MS’s agree to the proposed model and price structure.
• Reflect outcome of the study and the proposed Market model in the revision of the GA & PETA agreement.
GA & PETA
model in the revision of the GA & PETA agreement.
• MS to make any necessary adjustment to harmonize the market model proposed with their internal regulations.
Implement the market model
• All Member States and GCCIA shall work together to implement the proposed market model.