The two departments appropriately relax the market price limit and guide the realization of the peak

Mondo Technology Updated on 2024-02-09

Original title:

The two departments appropriately relax the market price limit and guide the realization of the peak regulation function

CCTV*** National Development and Reform Commission and National Energy Administration issued a notice on establishing and improving the market mechanism for power auxiliary services. The details are as follows:

Notice of the National Development and Reform Commission and the National Energy Administration on establishing and improving the market mechanism for power auxiliary services.

Development and Reform Commissions and Energy Administrations of all provinces, autonomous regions, municipalities directly under the Central Government, Xinjiang Production and Construction Corps, dispatched agencies of the National Energy Administration, State Grid of China Southern Power Grid Co., Ltd., Inner Mongolia Electric Power (Group) Co., Ltd., China Nuclear Industry Corporation, China Huaneng Group, China Datang Group, China Huadian Group, State Power Investment Group, China Three Gorges Corporation, China Energy Investment Group Co., Ltd., and National Development and Investment Group*** China Resources (Group)**China General Nuclear Power Corporation***

The power ancillary services market is an important part of the electricity market system. In recent years, various localities have promoted the construction of power auxiliary service markets, and established market mechanisms for auxiliary services such as peak regulation, frequency regulation, and standby, which have played a positive role in ensuring power quality and the safe and stable operation of the power system and promoting the consumption of new energy. In order to implement the decision-making and deployment on deepening the reform of the power system and accelerating the construction of a new power system, further improve the formation mechanism of electric power, enhance the comprehensive regulation capacity of the power system, and promote the consumption of clean energy and green and low-carbon transformation, the following notice is hereby given on the establishment and improvement of the electric power auxiliary service market mechanism.

First, the general idea.

To meet the needs of the development of new power systems, we will continue to promote the construction of the power auxiliary service market. Strengthen the overall connection between the power auxiliary service market and the medium and long-term market and the spot market, scientifically determine the market demand for auxiliary services, reasonably set up paid auxiliary service varieties, and standardize market rules such as the pricing of auxiliary services. In accordance with the overall principle of "who serves, who profits, who benefits, who bears", we will continuously improve the formation mechanism of auxiliary services, promote the standardized and orderly transmission and sharing of auxiliary service costs, and fully mobilize flexible adjustment resources to actively participate in the enthusiasm of system regulation. Strengthen policy coordination and support, and standardize the management mechanism of auxiliary services.

2. Optimize the transaction and mechanism of peak shaving auxiliary services.

1) Improve the trading mechanism of the peak shaving market. In areas where the electricity spot market is running continuously, improve the rules of the spot market, appropriately relax the market price limit, and guide the realization of peak regulation functions, and markets with similar functions such as peak regulation, peak regulation, and peak regulation capacity will no longer operate。 In areas where the electricity spot market is not in continuous operation, in principle, wind power and photovoltaic generating units are not used as the main body of peak regulation services, and research and promote the participation of hydropower units in paid peak regulation in a timely manner. Transactions such as regional peak shaving and regional standby where there is an electric energy exchange shall be converted into electric energy trading in a timely manner。

2) Reasonably determine the upper limit of peak shaving services. All localities shall coordinate factors such as peak regulation demand, resource cost adjustment and new energy consumption, and reasonably determine the upper limit of peak regulation services in accordance with the principle that the consumption cost of new energy projects is not higher than the value of power generation, and the upper limit of peak regulation services shall not be higher than the feed-in tariff of local parity new energy projects in principle。

3. Improve the transaction and mechanism of frequency modulation auxiliary services.

3) Standardize the trading mechanism of the FM market. In principle, the FM market adopts a unitary system based on FM mileage. Each unit shall independently declare the frequency modulation capacity and the first time in the time period according to the rules, and determine the clearing and winning frequency modulation capacity through market competition. The FM fee is calculated based on the product of clearance**, FM mileage, and performance factor.

4) Reasonably determine the upper limit of FM services. The frequency modulation performance coefficient is determined by the product or weighted average of the three sub-parameters of regulation rate, regulation accuracy and response time, and the sub-parameters are converted based on the design parameters corresponding to the main engine of the local coal-fired power unit with the best performance (excluding the thermal storage unit). In principle, the maximum performance coefficient shall not exceed 2, and the upper limit of FM mileage shall not exceed 0 per kilowatt015 yuan.

Fourth, improve the standby auxiliary service transaction and the best mechanism.

5) Standardize the trading mechanism of the alternate market. In principle, the standby market adopts a unitary system** mechanism based on the capacity and time of winning bids. The demand for reserve capacity shall be determined by the power dispatching agency according to the safety and economic requirements of the system and the actual situation, and each unit shall declare the reserve capacity and the best capacity and the best through market competition, and determine the clearing, winning capacity and time through market competition. The standby cost is calculated according to the product of clearing**, bid-winning capacity, and bid-winning time, and if the actual standby capacity is lower than the bid-winning capacity, it will be settled according to the actual standby capacity.

6) Reasonably determine the upper limit of standby services**. Taking into account factors such as the opportunity cost of providing standby services (losses due to reserved standby capacity and non-power generation), the upper limit of standby services shall be reasonably determined, and in principle, the upper limit of standby services shall not exceed the upper limit of the local electric energy market.

5. Standardize the transmission of auxiliary services.

7) Reasonably determine the demand for ancillary services. All localities should aim to ensure the safe and stable operation of the power system, and scientifically calculate and determine the demand for auxiliary services in accordance with the principle of standardization and transparency. Ancillary service mechanisms such as ramp-up can be explored in combination with local conditions, and the bid-winning units and bid-winning capacity can be determined through market competition, and the upper limit can be reasonably arranged. Methods such as adjusting the settlement formula after the fact shall not be used to determine the scale and standard of ancillary service fees. Power grid enterprises should strengthen fine management and improve the level of economic dispatching.

8) Complete the transmission mechanism for ancillary service fees. All localities should standardize the management of ancillary service costs, and the ancillary service costs borne by the user side should be the losses caused by the failure to generate electricity due to the provision of ancillary services that cannot be compensated by the electric energy market. In areas where the electricity spot market is not in continuous operation, in principle, ancillary service fees will not be channeled to the user side。 In areas where the electricity spot market operates continuously, the cost of frequency modulation and standby auxiliary services that meet the above requirements (excluding the electricity cost generated in the process of providing auxiliary services) shall be shared by the electricity consumption of the user and the on-grid electricity that has not participated in the electricity market transaction, and the sharing ratio shall be determined by the provincial competent authority。 Other ancillary service fees that need to be borne by the business entity shall be submitted for approval in accordance with the procedures.

9) Standardize the settlement of ancillary service fees. The ancillary service fees borne by the users are included in the system operation costs and settled together with the electricity charges, and the "daily clearing and monthly settlement" mode is adopted in areas where the electricity spot market is continuously operated. The compensation, apportionment and assessment costs of each variety of auxiliary services shall be calculated separately and listed separately in the statement of accounts.

6. Strengthen policy support.

10) Promote the fair participation of all types of business entities in the ancillary services market. When determining the access requirements for participation in the ancillary services market in accordance with relevant state provisions, all localities shall implement fair access, and must not designate specific entities or make discriminatory provisions against specific entities. Business entities that have obtained capacity electricity charges shall participate in the ancillary service market**。 For business entities that have the identities of both power generation and consumption, they shall participate in the ancillary service market according to the power generation entity and the electricity consumption entity respectively when discharging and charging (using), and shall accept all kinds of assessments equally.

11) Strengthen the coordination and connection between the ancillary services market and the medium and long-term market and the spot market. All localities should coordinate the formulation of rules for the auxiliary service market, the medium and long-term market, and the spot market, accelerate the construction of the auxiliary service market, and realize the standardized and efficient operation of the auxiliary service market such as frequency modulation and standby as soon as possible, so as to meet the system security needs of large-scale grid-connected new energy. In areas where the spot market operates continuously, promote the joint clearing of the ancillary services market and the spot market. The amount of electricity generated in the process of providing ancillary services shall be settled in accordance with the spot market** or medium and long-term trading rules.

12) Improve the management mechanism of auxiliary services. The National Development and Reform Commission and the National Energy Administration have strengthened top-level design and work guidance, and formulated policies related to ancillary services; The rules for the power ancillary services market shall be formulated separately by the National Energy Administration in conjunction with the National Development and Reform Commission。 The dispatched agency of the National Energy Administration, in conjunction with the provincial-level competent department, in accordance with the relevant provisions of the state, shall propose the implementation plan of auxiliary service varieties, demand determination mechanism, ** mechanism, market price limit standard, cost guidance method and other implementation plans within the jurisdiction, and solicit the opinions of local energy, power operation and other departments, and report to the National Energy Administration for implementation after approval by the National Development and Reform Commission.

All localities should refer to the requirements of this notice, systematically sort out the operation and charging of auxiliary services market, pay close attention to improving auxiliary service policies and transaction rules, etc., and re-clarify the mechanism and level of auxiliary services in accordance with procedures within six months after the issuance of this notice.

13) Strengthen market monitoring and supervision and inspection. All localities should strengthen the operation of the power auxiliary service market and the tracking and monitoring of the best mechanism, as well as the use of auxiliary service funds and policy implementation; Strengthen policy interpretation to help business entities better understand and implement. Local power grid enterprises shall regularly report the paid ancillary service transactions, fees, key parameters of pricing, income and sharing of various entities to the National Development and Reform Commission (** Division), the National Energy Administration (Market Supervision Department), the local National Energy Administration, and the provincial ** competent authorities, and simultaneously disclose them to the relevant business entities. The provincial-level competent authorities should strengthen the management of electricity prices, do a good job in the calculation and impact analysis of auxiliary services, and report them in a timely manner. The National Development and Reform Commission, the National Energy Administration and other departments will strengthen market supervision and inspection, promptly correct and standardize the auxiliary service policies and trading rules that do not meet the relevant national regulations, supervise and guide all localities to improve the mechanism, and promote the reasonable formation of auxiliary services.

This notice will be implemented from March 1, 2024, and if the relevant provisions of the current policy are inconsistent with this notice, the provisions of this notice shall prevail.

*: CCTV.

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