PAPER NO.
:
EMC/RCP/92/2017/06
SUBJECT
:
RULES CHANGE PANEL WORK PLAN 2017/18
FOR
:
DISCUSSION AND DECISION
PREPARED BY
:
LOH LUCIA
SENIOR ECONOMIST
REVIEWED BY
:
PAUL POH LEE KONG
EVP, MARKET ADMINISTRATION
DATE OF MEETING
:
07 MARCH 2017
Executive Summary
This paper presents the proposed update of the 2-year Rules Change Panel (RCP) work
plan, incorporating feedback from 9 January 2017 to 15 February 2017.
EMC recommends that the RCP discuss and agree on an updated work plan, and task EMC
to monitor the progress of the approved work plan. The approved work plan is presented in
Table 4 of section 6 of this paper.
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EMC/RCP/92/2017/06
1.
Introduction
This paper takes stock of the progress made in the previous work plan approved in March 2016.
It then presents the list of existing and new issues raised during the work plan consultation
exercise, together with the corresponding rankings and comments made by various
stakeholders. The proposed issues to be tackled over the next 2 years are then tabled for RCP’s
discussion and approval.
2.
RCP’s Achievements: April 2016 – March 2017
2.1
Overview
At its 85th meeting in March 2016, the RCP agreed on the 2016/17 work plan and tasked EMC to
monitor its progress. This work plan comprises 35 issues, with 12 to be addressed within the first
12 months (i.e. by March 2017).
Of the 12 issues, the RCP has completed work on 8 of them, including:
 Removal of Market Assessment Unit (MAU)’s Obligation to Provide Information to the
EMA under Section 4.3.10 of Chapter 3 of the Market Rules
 Price Assignment for Islanded Generation Facilities
 Enhancement to the existing process of releasing security limit advisories to market
participants
 Enhancement to the existing process for releasing AGOP to market participants
 Update of Settlement Market Manual (Chapter 7 Market Rules)
 Publication of Half-Hourly Total Solar Export1
 Provision of real-time estimates of HEUC
 Review of methodology for the recovery of EMC’s and PSO’s fees
At the same time, significant progress has been made on 4 of the remaining issues:
 Combining Primary Reserve and Secondary Reserve into a single class of Reserve –
The PSO had published a consultation paper in March 2015 on the “Enhancement to the
Spinning Reserve Requirements for the Singapore Power System”, and was evaluating
whether to direct a rule change, or to go through the RCP work plan process. On 20 April
2016, the PSO informed EMC to proceed with the latter. EMC then sent a draft paper to
PSO for inputs. On 9 February 2017, the PSO informed EMC of the PSO’s intention to
proceed with a directed rule change.
 Review of Automatic Financial Penalty Scheme (AFPS) – On 11 May 2016, EMC sought
industry feedback on the additional issues to be addressed. EMC is currently analysing
the issues received, which pertains to (i) expansion of exempted cases, (ii) minimum
penalty value, and (iii) treatment of embedded generators’ must-run quantity.
 Review of Mechanisms to Mitigate Credit Default – This proposal was tabled at the 91st
RCP meeting and the RCP supported the proposed amendment to the calculation of
Estimated Average Daily Exposure of new market participants and the revision to the
deadline for submission of bilateral contract quantities, and tasked EMC to draft the
relevant rule modifications. EMC is drafting the rule modifications.
 Review of Market Participants’ Classification and Rules Change Panel’s Composition –
This proposal was published for comments on 24 February 2017.
In addition to the agreed work plan, during the financial year, the RCP also addressed the
following rule change:
 Lead Time For Extension Of Commissioning Generation Facility's Registration
1
The issue culminated into RC340: Publication of Half-hourly Metered Generation by Facility Type.
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Further, the EMA also directed EMC under Section 46(2)(b) of the Electricity Act to undertake the
following rule change in the past year:
 Rules Modification for EMA’s “Implementing Demand Response in the National Electricity
Market of Singapore (NEMS)” – This rules modification which took effect on 28 April 2016
is to give effect to the EMA’s policy decision to allow loads to be able to submit energy
bids for the purposes of providing load curtailment, and to correspondingly receive
incentive payment if the curtailments were deemed to have lowered USEP.
3.
RCP Work Plan Prioritisation Exercise 2017
3.1
List of Issues for Prioritisation
Prior to the consultation meetings, EMC presented stakeholders with a list of 51 issues
comprising 28 that were carried over from the previous work plan, 1 which was raised during the
mid-year review, and 22 that were newly raised by stakeholders. The 23 new issues are
summarised below:
(1)
Invalid load ramping constraints in the Rules Modification for EMA’s “Implementing
Demand Response in the NEMS – Currently, in the market clearing engine’s model, the
ramp rates of a load registered facility (LRF) constrain only the quantities in its energy bid,
which represents the dispatchable portion of the LRF’s load. It is proposed, however, that
the ramp rates constraint be applied to the entire load (i.e. aggregate of energy bid quantity
and non-dispatchable load) of the LRF. (Proposed by: DNV GL and NTU)
(2)
Review of Net Metering Treatment for Embedded Intermittent Generation Sources
(IGS) – Low tension consumers with embedded IGS pay grid charges on a net basis. This
issue suggests changing the net metering treatment given to such consumers to avoid the
under-recovery of grid charges or higher cost burden on remaining consumers. (Proposed
by: Tuas Power Generation)
(3)
Reduction of Gate Closure during Forced Outage Events – This proposal suggests
allowing a GRF to offer within the 65-minute gate closure following the GRF’s forced
outage, so as to increase the supply available in the system more promptly. (Proposed by:
PacificLight Power)
(4)
Calculation Methodology for Probability of Failure – This proposal suggests reviewing
the calculation methodology for the probability of failure (POF) to ensure fair and
consistent treatment across both single shaft and multi shaft plants, given that a partial trip
of a multi-shaft plant does not count towards that plant’s POF. (Proposed by: PacificLight
Power)
(5)
Publication of high/low price scenarios in the short term schedule – This proposal
suggests extending the high and low load scenarios of the pre-dispatch scenario and
market outlook scenario to the short-term schedule as well. (Proposed by: PacificLight
Power)
(6)
Review of Costs of Appeal under the Automatic Financial Penalty Scheme (AFPS) –
This proposal suggests providing greater clarity on the costs that an MP would incur when
they appeal to the Market Surveillance and Compliance Panel for a refund of penalty
imposed under the AFPS, and that such costs should commensurate with the level of
penalty in question. (Proposed by: Senoko Waste-to-Energy)
(7)
Review of the minimum penalty amount under the AFPS – This proposal suggests
removing the minimum penalty of $5000 under the AFPS, as it could be overly punitive.
(Proposed by: Senoko Waste-to-Energy)
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(8)
Treatment of forced outages under the AFPS – This issue suggests extending the
exemptions under the AFPS to include partial outages of GRFs. (Proposed by: Senoko
Waste-to-Energy)
(9)
Compensation for generators adversely affected by Type 2 Price Revision – This
proposal suggests re-examining the issue of providing compensation for gencos that
received a lower market energy price as a result of ex-post price revision that is attributed
to the MCE using erroneous input data. (Proposed by: Senoko Energy and Senoko Energy
Supply)
(10) Introduction of an inertia adjustment factor to reserve requirements for enhanced
power system security with increased solar generation – This proposal suggests
adjusting the primary reserve requirements for inertia, such that more primary reserve are
scheduled when solar generation is high, so as to maintain power system security.
(Proposed by: Diamond Energy Managers)
(11) Alignment of market rules with transmission code in relation to reserves level – The
Transmission Code stipulates the minimum reserve capability of GRFs. This proposal
suggests that the MCE schedule primary and secondary reserves at levels which are at
least the aggregate minimum reserve capability across all GRFs. (Proposed by: Diamond
Energy Merchants)
(12) Remove or amend conflicting methodology that is referred to in Chapter 6 sections
5.2.5B and 5.2.5C – Under Chapter 6 sections 5.2.5B and 5.2.5C, the metered withdrawal
of embedded generation facilities’ (EGFs’) associated load in a given settlement interval is
compared with the EGF’s declared quantity in its energy offers, which is given priority in
dispatch by being priced at -$4750/MWh, for the corresponding dispatch period. If the
EGF’s metered withdrawal is lower than its declared quantity less a 5MWh tolerance, the
EMC will report the case to the MSCP for investigation. The proposal suggests removing
the above check, given that Chapter 2 section 5.5.9 of the market rules separately requires
that the associated load be at least half of that EGF’s generation. (Proposed by: Shell
Eastern Petroleum)
(13) Earlier release of delayed offer stack – This proposal suggests bringing forward the
publication of the energy offer, which is currently published with a 28-day lag. (Proposed
by: PacificLight Power)
(14) Earlier release and higher level of granularity of delayed offer stacks – This proposal
suggests bringing forward the publication of energy offer stacks from a 28-day lag to a 1day lag, and in a non-aggregated manner. (Proposed by: I Switch)
(15) Improvement of real-time information flow regarding unplanned outages and return
to service – This issue suggests improving the reporting of real-time generator availability,
especially information on when generators have returned to service. (Proposed by: I
Switch)
(16) Streamline metering requirements for consumers with embedded intermittent
generation sources (IGS) under 1MWac who wishes to sell excess electricity into the
grid – This proposal suggests alternative metering arrangements for consumers with
embedded IGS that are less than 1MWac and who wishes to be paid for their export of
electricity into the grid, for the settlement of market charges, so as to avoid the need to
install costly M1 meters. (Proposed by: LYS Genco Beta)
(17) Streamline metering requirements for high tension and above consumers with
embedded intermittent generation sources (IGS) – This proposal suggests alternative
metering arrangements for consumers with embedded IGS that are connected at high
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tension and above, for the purposes of settling market and/or grid charges, so as to avoid
the need to install costly M1 meters. (Proposed by: LYS Genco Beta)
(18) Settlement of generation meters for IGS to NEMS – This proposal suggests allowing an
MP which is a generation licensee to install, maintain and operate a generation meter, and
to register that meter with EMC for settlement. (Proposed by: Sun Electric Power and Sun
Electric Energy Assets)
(19) Direct metering of generation services – This issue proposes that MPs be allowed to
submit the metered quantities for their generation facilities, instead of having meter reading
done by the market support services licensee. (Proposed by: Sun Electric Power and Sun
Electric Energy Assets)
(20) Clarification on the determination of 1MWac threshold for IGS – This issue seeks
clarification on how the capacity of IGS is to be determined. (Proposed by: LYS Genco
Beta)
(21) Raising the nameplate rating threshold of embedded IGS required to register in the
market – This proposal suggests raising the current 1MWac threshold for embedded IGS
that is required to hold a Wholesale (Generation) Licence and register as an MP with EMC
to 5MWac or 10MWac. This would avoid downsizing of solar installations in order to avoid
registration. (Proposed by: LYS Genco Beta)
(22) Online meter data access by Demand Response and Interruptible Load providers,
and electricity retailers – This proposal suggests that Demand Response and
Interruptible Load providers and electricity retailers be given access to consumers’ realtime meter data online, to facilitate demand-side management and optimise the use of the
existing metering infrastructure. (Proposed by: Red Dot Power)
(23) Amending Connection Agreement Requirements – This proposal suggests allowing two
separate connection agreements to be signed for EGFs whose load and generation are
owned and operated by different entities. This is especially so for embedded IGS, where
the solar facility could be owned and operated by a third party and the load facility owner
may not want to be liable for that solar facility. (Proposed by: Sunseap Leasing)
3.2
Consultation Process
Over a six-week period from 9 January 2017 to 15 February 2017, EMC met up with various
market participants2 , the PSO, SP Services and SP PowerAssets to refine the scope of the
issues, and rate each issue according to its importance and urgency. Stakeholders could also
vote to remove issues from the list, and provide their qualitative comments. Section 4 below
summarises stakeholders’ ranking.
The following themes/messages emerged from the consultation process:
a) While some of the issues raised are not within the purview of the RCP, and hence
proposed to be removed, they reflect concerns and issues faced by the industry. EMC
2
A total of 39 market participants were involved, namely Air Liquide Singapore, Best Electricity Supply, Buri
Energy, Charis Electric, CGNPC Solar-Biofuel Power (Singapore), Diamond Energy Managers, Diamond Energy
Merchants, ECO Special Waste Management, Environmental Solutions (Asia), Exxonmobil Asia Pacific, Hyflux
Energy, I Switch, Keppel Electric, Keppel Merlimau Cogen, Keppel Seghers Tuas Waste-To-Energy Plant, LYS
Genco Beta, Nanyang Technological University, National Environment Agency, PacificLight Energy, PacificLight
Power, Red Dot Power, Sembcorp Cogen, Sembcorp Power, Senoko Energy, Senoko Energy Supply, Senoko
Waste-To-Energy, Seraya Energy, Shell Eastern Petroleum, Singapore District Cooling, Singapore LNG
Corporation, Sun Electric Energy Assets, Sun Electric Power, Sunseap Energy, Sunseap Leasing, TP Utilities,
Tuas Power Supply, Tuas Power Generation, Tuaspring and YTL PowerSeraya.
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proposes that the RCP refer these issues to the EMA for the EMA to deal with the issues
with relevant inputs from SPPG/SP Services where required, and remove these issues
from the RCP’s work plan. Such issues comprises:
Table 1: Issues proposed to be referred to the EMA
Relevant
Agency
Relevant
Legislation
Issue No. (Issue Title)
EMA
Electricity Act and
Electricity
(Electricity
Generation
Licence)
(Exemption) (No.
2) Order
 Issue 18 (Waiver of registration for embedded
generation facilities which would not produce more
than 1MW, regardless of nameplate rating)
 Issue 37 (Clarification on the determination of 1
MW AC threshold for intermittent generation
sources)
 Issue 38 (Raising the nameplate rating threshold of
embedded IGS required to register in the market)
EMA
EMA’s Policy
Decision
 Issue 28 (Review of Net Metering Treatment for
Embedded IGS)
EMA/ SP
Services
Metering Code
 Issue 24 (Enabling more than a single retailer for
single off-take premise)
EMA/ SP
Services
Metering Code
 Issue 33 (Streamline metering requirements for
consumers with embedded IGS under 1MWac who
wishes to sell excess electricity into the grid)
 Issue 34 (Streamline metering requirements for
consumers with embedded IGS that are connected
at High Tension (HT) and above)
EMA/ SP
Services
Metering Code
 Issue 35 (Settlement of Generation meters for IGS
to NEMS)
 Issue 36 (Direct metering of generation services)
EMA/ SP
Services
MSS Code
 Issue 39 (Online meter data access by DR and IL
providers and electricity retailers)
EMA/
SPPG
Transmission
Code/ SPPG’s
Connection
Agreements
 Issue 40 (Amending
requirements)
connection
agreement
Note that the proposer requests for this issue to be
removed as the change has been effected.
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b) Various issues can be meaningfully grouped together given their inherent synergies and
similar topic. As such, EMC generally recommended combining these issues for ranking
during the consultation process. Table 2 below indicates the list of similar issues that
should be grouped together. An average of the average scores of issues under each
topic is used for ranking3 (in Table 3).
Table 2: Grouping of similar issues
Issue No. / Topic
Sub-issues
Issue 11
11A) Differentiation in probability of failure computation for
multi-shaft plants and single-shaft plants
Probability of Failure
Methodology
Issue 17
Provisions regarding
settlement bank and
settlement account
Issue 20
Proposed
adjustments to
reserve requirements
11B) Calculation methodology for probability of failure
17A) Introduction of settlement account
settlement bank diversification
flexibility
and
17B) Allowing MPs without embedded generators to have
multiple settlement accounts
20A) Establishment of a new class of reserve to cater for
intermittent generation
20B) Reserve requirements to reflect the largest contingency
in the interconnected system
20C) Introduction of an inertia adjustment factor to reserve
requirements for enhanced power system security with
increased solar generation
20D) Alignment of market rules with transmission code in
relation to reserves level
Issue 21
Offer publication
21A) Publication of supply bidding behaviour (for reserve and
regulation)
21B) Earlier release of delayed offer stack
21C) Earlier release and higher level of granularity of delayed
offer stacks)
Issue 25
Publication of
different load
scenarios
3
25A) Publication of price sensitivities to demand or
requirement changes for the reserve, regulation and
energy services)
25B) Publication of high and low price scenarios in the short
term schedule
Issue 30
30A) Review of the costs of appeal under the AFPS
Automatic Financial
Penalty Scheme
(AFPS) Issues Raised in RC
Prioritisation 2017
30B) Review of the Minimum Penalty Amount under the AFPS
30C) Treatment of forced outages under the AFPS
30D) Remove or amend conflicting methodology that is
referred to in Chapter 6 sections 5.2.5B and 5.2.5C
For example, the score of Issue 11 is the average of the average scores of Issues 11A and 11B.
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c) The RCP should consider removing issues that have remained on the list for several
years but which has consistently not been ranked high enough for work to be carried out.
This would keep the list of issues concise, and facilitate stakeholders’ prioritisation.
4.
Ranking Methodology Adopted
Two methods to determine the overall ranking of each issue are presented for the RCP’s
consideration:
(1) Simple Average Methodology: Averages scores for ‘importance’ and ‘urgency’ of each
issue across all stakeholders.
(2) Group-Weighted Methodology: Averages scores for ‘importance’ and urgency’ of each
issue across each of the 4 groups of representatives/stakeholders (generation licensees,
retail licensees, wholesale trader licensees and service providers). The average of these
4 scores is then calculated.
Table 3 below summarises the ranking results under each of these methodologies, together with
an indication of whether work has commenced and the number of stakeholders who proposed to
remove the issue, with a detailed breakdown of the ranking results shown in Annex 1.
As mentioned in section 3.2(b), issues pertaining to similar topics (as set out in Table 2) are
grouped together, resulting in a total of 40 issues.
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Table 3: Work Plan Issues by Rank4
Issue
No.
1
2
30
3
4
5
29
4
Issue Title
Rank
(Simple
Average)
Combining
Primary
Reserve
and
Secondary Reserve into a single class of
Reserve
Review of Automatic Financial Penalty
Scheme (AFPS)
Automatic Financial Penalty Scheme
(AFPS) Issues - Raised in RC
Prioritisation 2017
30A) Review of the costs of appeal
under the AFPS
30B) Review of the Minimum Penalty
Amount under the AFPS
30C) Treatment of forced outages under
the AFPS
30D) Remove or amend conflicting
methodology that is referred to in
Chapter 6 sections 5.2.5B and
5.2.5C
Review of methodology for recovery of
EMC/PSO fees
Review of Mechanisms to Mitigate Credit
Default
N.A.
Review
of
Market
Participants’
Classification and Rules Change
Panel’s Composition
Reduction of gate closure during forced
outage events
N.A.
Rank
Work Started?
(GroupWeighted)
On-going Issues
N.A.
Y
(EMA will direct
a rule change)
N.A.
Y
Propose
to
Remove
Summary of Reasons for Removal
N.A.
N.A.
N.A.
N.A.
9
14
Y
30A) 0
30B) 2
30C) 2
30D) 4
30B
- Policy matter under EMA’s purview
30C
- Consider with Issue No. 2 (Review of
AFPS)
30D
- Methodology is not conflicting
EGs should not be required to participate in
SWEM
N.A.
N.A.
Y
N.A.
N.A.
N.A.
N.A.
Y
N.A.
N.A.
N.A.
N.A.
Y
N.A.
N.A.
Other Issues
4
N
1
1
-
A shorter gate closure could reduce
reaction time and introduce greater
dispatch uncertainty
th
Arising from the RCP’s decision at its 78 meeting, ongoing issues need not be ranked. The remaining issues where work has not started are arranged by their ranking based
on the simple average method.
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Issue
No.
31
28
Issue Title
Compensation for generators adversely
affected by Type 2 Price Revision
Review of Net Metering Treatment for
Embedded IGS
Rank
(Simple
Average)
2
Rank
(GroupWeighted)
3
Work Started?
N
Propose
to
Remove
1
3
2
N
12
Summary of Reasons for Removal
-
21
12
25
6
32
7
Could result in market bearing additional
costs
Net metering is EMA’s directive; should
refer issue to EMA instead
Not under the purview of the market
rules
Support retaining the existing net
metering treatment
Offer publication
21A) Publication of supply bidding
behaviour
(for
reserve
and
regulation)
21B) Earlier release of delayed offer
stack
21C) Earlier release and higher level of
granularity of delayed offer stacks
Removal of redundant FSC settlement
provisions
4
7
N
21A) 2
21B) 2
21C) 2
21A
- Not so useful
21B/ 21C
- 28 days’ delay is the EMA’s policy
decision; should refer issue to EMA
instead
5
1
N
2
Publication of different load scenarios
25A) Publication of price sensitivities to
demand or requirement changes
for the reserve, regulation and
energy services)
25B) Publication of high and low price
scenarios in the short term
schedule
Load restoration command from PSO to
be in sync with the periods for which
loads offered to provide reserve
Improvement of real-time information flow
regarding unplanned outages and return
to service
Period-based minimum demand forecast
by day types
6
10
N
25A) 0
25B) 0
7
5
N
4
-
Proposal may pose system security risk
Panel removed this item in 2015
8
13
N
5
-
Already considered under CP67 at the
st
91 RCP meeting
10
6
N
3
-
Should be addressed operationally or by
improving accuracy of data submitted by
Issue resulted from EMA’s directive;
should refer issue to EMA instead
- Money might be spent for removal
N.A.
-
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Issue
No.
Issue Title
Rank
(Simple
Average)
Rank
(GroupWeighted)
Work Started?
Propose
to
Remove
Summary of Reasons for Removal
PSO
Proposal may make it difficult to
ascertain accuracy of demand forecast
used in the MCE
N.A.
-
15
39
13
33
11
37
20
Review of sections 9.1.2.2 and 9.1.3 of
Chapter 5
Online meter data access by DR and IL
providers and electricity retailers
Proposed
Amendment
to
Sample
Bankers’ Guarantee Format
11
11
N
0
12
15
N
12
13
18
N
5
-
Streamline metering requirements for
consumers with embedded IGS under
1MWac who wishes to sell excess
electricity into the grid
Probability of failure methodology
11A) Differentiation in probability of
failure computation for multi-shaft
plants and single-shaft plants
11B) Calculation
methodology
for
probability of failure
Clarification on the determination of 1 MW
AC threshold for intermittent generation
sources
Proposed Adjustments to Reserve
Requirements
20A) Establishment of a new class of
reserve to cater for intermittent
generation
20B) Reserve requirements to reflect the
largest
contingency
in
the
interconnected system
20C) Introduction
of
an
inertia
adjustment factor to reserve
requirements for enhanced power
14
16
N
14
-
15
24
N
11A) 4
11B) 5
-
Rules on forced outages and the impact
on GRFs’ probability of failure are
already in place
16
19
N
16
-
Policy matter under EMA’s purview, not
that of the market rules
17
21
N
20A) 10
20B) 8
20C) 0
20D) 5
Not under purview of the market rules
Should be referred to the EMA/ SPS
MPs may need to request re-issuance of
bankers’ guarantee
Proposal has been on the list since 2013
Policy matter under EMA’s purview, not
that of the market rules
20A
- Policy matter under EMA’s purview. The
EMA has stated that current reserve
arrangements are sufficient for IGS up to
600MW
- Proposal not necessary given Issue 1
suggests combining reserve classes
instead
20B
- Not possible to know Malaysia’s
schedule
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EMC/RCP/92/2017/06
Issue
No.
Issue Title
Rank
(Simple
Average)
Rank
(GroupWeighted)
Work Started?
Propose
to
Remove
system security with increased
solar generation
20D) Alignment of market rules with
transmission code in relation to
reserves level
8
14
16
34
9
23
19
38
40
Review CVP associated with violation of
Type 2 Artificial Lines
Review of the timeline for meter data
investigation and adjustments after notice
of dissent has been raised
Review composition of the market
surveillance and compliance panel
(MSCP)
Streamline metering requirements for
consumers with embedded IGS that are
connected at High Tension (HT) and
above
Regulation Effectiveness Factor
Removal of the first-approach of
Constraint Violation Penalties (CVP) rerun
Removal of price warning advisory
notices
Raising the nameplate rating threshold of
embedded IGS required to register in the
market
Amending
connection
agreement
requirements
Summary of Reasons for Removal
-
18
17
N
2
Proposal will lead to over-procurement
of reserve. Interconnection agreement
already requires respective parties to
provide sufficient reserve within the
respective power systems.
20D
- Capability of machine is different from
reserve requirements
- Not of substantial importance at present
19
8
N
2
-
Do not think proposal is required
20
20
N
9
-
MSCP do not have jurisdiction over
futures market
21
25
N
16
-
Policy matter under EMA’s/Metering
Code purview, not that of the market
rules
22
23
12
30
N
N
0
2
N.A.
- Current process works well
24
22
N
4
-
25
23
N
18
-
26
28
N
19
-
18
Waiver of registration for embedded
generation facilities which would not
27
26
N
20
-
Prefer retaining price warning advisory
notices
Policy/licensing matter under EMA’s
purview, not that of the market rules
The proposer suggests removing this
issue as the change had been
effected.
Policy
matter
under
EMA’s/SP’s
purview, not that of the market rules
Policy/licensing matter under EMA’s
purview, not that of the market rules
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Issue
No.
10
35
26
17
22
36
Issue Title
produce more than 1MW, regardless of
nameplate rating
Adjustment for regulation charges and
price neutralisation after final settlement
Settlement of Generation meters for IGS
to NEMS
Removal of Singapore Government
Treasury bills as acceptable credit
support
Provisions regarding settlement bank and
settlement account
17A) Introduction of settlement account
flexibility and settlement bank
diversification
17B) Allowing MPs without embedded
generators to have multiple
settlement accounts
Modelling of on-site ambient temperature
into the MCE such that GTs/CCPs’
maximum
capacity
are
adjusted
dynamically
Direct metering of generation services
Rank
(Simple
Average)
Rank
(GroupWeighted)
Work Started?
Propose
to
Remove
Summary of Reasons for Removal
-
Expected output is subjective, unlike
name-plate rating
Should be discussed between EMA and
SPS
Policy matter under EMA’s purview
28
9
N
1
-
29
29
N
17
-
30
33
N
6
-
31
32
N
17A) 2
17B) 4
32
27
N
4
-
Proposal has not been prioritised high
enough for too long
32
31
N
17
-
Policy/Metering Code matter under
EMA’s purview
Any party with a MSSL Licence can
perform the role
Not operationally feasible
Outcome can be resolved via financial
arrangements
Suggest simplifying the DR penalty
scheme instead
Proposal has not been prioritised high
enough for too long
T-bill can remain as an option
17A
- Would more costs be incurred by EMC?
17B
- May complicate settlement
24
Enabling more than a single retailer for
single off-take premise
34
34
N
17
-
27
Invalid load ramping constraints in the
Rules
Modification
for
EMA’s
“Implementing Demand Response in the
National Electricity Market of Singapore”
35
35
N
1
-
Page 13 of 23
EMC/RCP/92/2017/06
5.
Approach to Prioritisation
EMC recommends that the RCP consider the following in its prioritisation process:

Ranking received from stakeholders – The ranking by stakeholders indicates which
issues are likely to provide the most impact in enhancing the performance of the market.

On-going issues – As considerable amount of effort were already invested in the ongoing issues, it would be sensible to continue with these work streams.

Issues to be referred to the EMA – Issues listed in Table 1 (also shaded in purple in
Table 3) are not under the purview of the RCP and should be referred to the EMA.

Stakeholders had proposed that certain issues be removed from the work plan, along
with their reasons. It would be useful for the RCP to deliberate if these issues should be
removed from the work plan.
EMC proposes that 12 issues be addressed in the next 12 months (i.e. from April 2017 to March
2018).
6.
Conclusions and Decisions at the 92nd RCP Meeting
The Panel, having considered the 395 issues and EMC’s recommendations, made the following
decisions:
(i)
Issues to be referred to the EMA (Table 1)
The Panel unanimously agreed to refer the issues set out in Table 1 to the EMA, for the EMA to
deal with the issues with relevant inputs from SPPG and/or SP Services, since those issues are
not within the RCP’s purview.
In addition, the Panel also tasked EMC to write to the proposers to inform them that their
respective proposals have been referred to the EMA.
(ii)
Issues to be combined (Table 2)
The Panel generally agreed with the proposed grouping of similar issues set out in Table 2. In
addition, Issue 30 (AFPS Issues – Raised in RC Prioritisation 2017) will be combined with Issue
2 (Review of AFPS) as a single issue given the similar scope of both issues.
(iii)
Updated Work Plan 2017/18
Since the EMA/PSO intends to issue a directed rule change for Issue 1 (Combining Primary
Reserve and Secondary Reserve into a single class of Reserve), it will be removed from the work
plan.
Mr. Dallon Kay suggested including Issue 20 (Proposed Adjustments to Reserve Requirements)
in the list of issues for commencement within the first 12 months. Mr. Soh Yap Choon, on the
other hand, felt that Issues 20B, 20C and 20D should be removed for the following reasons:
5
While a total of 40 issues (after combining) were presented in Table 3, 1 of the issues (i.e. Issue 3: Review of
nd
Methodology for the Recovery of EMC’s and PSO’s fees) was tabled and completed by the RCP at its 92
meeting, prior to the work plan discussion.
Page 14 of 23
EMC/RCP/92/2017/06

Issue 20B (Reserve requirements to reflect the largest contingency in the interconnected
system) – The interconnection agreement specifically requires the respective interconnected
systems to provide sufficient reserve for the largest unit operating in the respective power
systems.

Issue 20C (Introduction of an inertia adjustment factor to reserve requirements for enhanced
power system security with increased solar generation) – Already work in progress for the
PSO. PSO is monitoring the effect of solar PV on reserve requirement and plans to update
the reserve requirement formulation in the SOM accordingly. PSO will consult the industry
when changes to the SOM are made.

Issue 20D (Alignment of market rules with transmission code in relation to reserves level) –
The Transmission Code stipulates the reserve capability of a generating unit, which is
different from reserve requirement.
The Panel decided to monitor and consider whether Issue 20 should be removed at the Panel’s
mid year review of the work plan.
The RCP generally agreed with EMC’s recommendation to place the top 12 issues that remained
on the updated work plan for commencement within the next 12 months, with subsequent issues
slated for commencement within 13-24 months. However, since the analytical effort required by
EMC should be minimal for Issue 12 (Removal of redundant FSC settlement provisions), one
more issue was agreed to be included for commencement within the next 12 months, bringing
the total number of issues slated for commencement by March 2018 to 13 issues.
Given the above resolutions, the RCP agreed on the updated work plan in Table 4 below, and
tasked EMC to monitor the progress of this work plan:
Table 4: Updated Rules Change Work Plan from April 2017 to March 2019
Expected
Commencement/
Completion
Within next 12
months (i.e. by
March 2018)
Issue
No.
Issue Title
2, 30
Review of Automatic Financial Penalty Scheme (AFPS) &
Automatic Financial Penalty Scheme (AFPS) Issues - Raised in
RC Prioritisation 2017
30A) Review of the costs of appeal under the AFPS
30B) Review of the Minimum Penalty Amount under the AFPS
30C) Treatment of forced outages under the AFPS
30D) Remove or amend conflicting methodology that is referred
to in Chapter 6 sections 5.2.5B and 5.2.5C
Review of Mechanisms to Mitigate Credit Default
Review of Market Participants’ Classification and Rules Change
Panel’s Composition
Reduction of gate closure during forced outage events
Compensation for generators adversely affected by Type 2 Price
Revision
Offer publication
21A) Publication of supply bidding behaviour (for reserve and
regulation)
21B) Earlier release of delayed offer stack
21C) Earlier release and higher level of granularity of delayed
offer stacks
Removal of redundant FSC settlement provisions
Publication of different load scenarios
25A) Publication of price sensitivities to demand or requirement
changes for the reserve, regulation and energy services)
4
5
29
31
21
12
25
Page 15 of 23
EMC/RCP/92/2017/06
Expected
Commencement/
Completion
Issue
No.
6
32
Within 13-24
months (i.e. by
March 2019)
7
15
13
11
20
8
14
16
9
23
19
10
26
17
22
27
Issue Title
25B) Publication of high and low price scenarios in the short term
schedule
Load restoration command from PSO to be in sync with the
periods for which loads offered to provide reserve
Improvement of real-time information flow regarding unplanned
outages and return to service
Period-based minimum demand forecast by day types
Review of sections 9.1.2.2 and 9.1.3 of Chapter 5
Proposed Amendment to Sample Bankers’ Guarantee Format
Probability of failure methodology
11A) Differentiation in probability of failure computation for multishaft plants and single-shaft plants
11B) Calculation methodology for probability of failure
Proposed Adjustments to Reserve Requirements
20A) Establishment of a new class of reserve to cater for
intermittent generation
20B) Reserve requirements to reflect the largest contingency in
the interconnected system
20C) Introduction of an inertia adjustment factor to reserve
requirements for enhanced power system security with
increased solar generation
20D) Alignment of market rules with transmission code in relation
to reserves level
Review CVP associated with violation of Type 2 Artificial Lines
Review of the timeline for meter data investigation and
adjustments after notice of dissent has been raised
Review composition of the market surveillance and compliance
panel (MSCP)
Regulation Effectiveness Factor
Removal of the first-approach of Constraint Violation Penalties
(CVP) rerun
Removal of price warning advisory notices
Adjustment for regulation charges and price neutralisation after
final settlement
Removal of Singapore Government Treasury bills as acceptable
credit support
Provisions regarding settlement bank and settlement account
17A) Introduction of settlement account flexibility and settlement
bank diversification
17B) Allowing MPs without embedded generators to have
multiple settlement accounts
Modelling of on-site ambient temperature into the MCE such that
GTs/CCPs’ maximum capacity are adjusted dynamically
Invalid load ramping constraints in the Rules Modification for
EMA’s “Implementing Demand Response in the National Electricity
Market of Singapore”
Page 16 of 23
EMC/RCP/92/2017/06
Annex 1: Ranking Results by Key Stakeholders
Each stakeholder was asked for his view on the importance and urgency of each of the issues
where work has not started. A score of 3 corresponds to “High”, 2 corresponds to “Medium”, and
1 corresponds to “Low”.
In the Grand Total column, the number in front of the bracket shows the ranking score and the
number in the bracket gives the number of stakeholders providing that ranking score. For
example, 1(7) means 7 stakeholders have ranked this item as 1 or “Low”.
The overall average score6 arising from each method is represented in the last 2 columns of
Table 5.
Table 5: Scoring of issues by stakeholders
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
6
Load restoration command from PSO
to be in sync with the periods for
which loads offered to provide reserve
Importance
Urgency
7
Period-based
minimum
forecast by day types
1.611
1.667
1(20), 2(11), 3(4)
1(22), 2(12), 3(1)
1.471
1.468
1(23), 2(9), 3(5)
1(29), 2(4), 3(4)
1.419
1.544
1.363
1.565
1.485
1.375
Regulation Effectiveness Factor
Adjustment for regulation charges and
price neutralisation after final
settlement
Importance
Urgency
11A
1(17), 2(14), 3(5)
1(20), 2(12), 3(4)
Review CVP associated with violation
of Type 2 Artificial Lines
Importance
Urgency
10
1.702
demand
Importance
Urgency
9
1.694
1(19), 2(6), 3(11)
1(21), 2(8), 3(7)
Importance
Urgency
8
Overall Score
(Group-weighted
Average)
1(27), 2(9), 3(4)
1(31), 2(6), 3(3)
Differentiation in probability of failure
computation for multi-shaft plants and
single-shaft plants
Importance
1(20), 2(7), 3(6)
6
To simplify representation, the “Average Total” column for the group-weighted method is not represented in the
table.
Page 17 of 23
EMC/RCP/92/2017/06
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
Urgency
11B
1(25), 2(3), 3(5)
Calculation
methodology
probability of failure (POF)
for
Importance
Urgency
12
Proposed Amendment to
Bankers’ Guarantee Format
1.786
1(18), 2(10), 3(4)
1(19), 2(9), 3(4)
1.547
1.446
1.467
1.588
1.574
1.558
1.457
1.411
1.363
1.273
1.284
1.251
1(20), 2(6), 3(4)
1(20), 2(6), 3(4)
1(16), 2(13), 3(5)
1(23), 2(6), 3(5)
1(23), 2(7), 3(5)
1(23), 2(9), 3(3)
Introduction of settlement account
flexibility
and
settlement
bank
diversification
Importance
Urgency
17B
1.730
Review composition of the market
surveillance and compliance panel
(MSCP)
Importance
Urgency
17A
1(19), 2(8), 3(10)
1(19), 2(10), 3(8)
Review of sections 9.1.2.2 and 9.1.3 of
Chapter 5
Importance
Urgency
16
1.410
Review of the timeline for meter data
investigation and adjustments after
notice of dissent has been raised
Importance
Urgency
15
1.507
Sample
Importance
Urgency
14
1(19), 2(7), 3(6)
1(23), 2(3), 3(5)
Removal of redundant FSC settlement
provisions
Importance
Urgency
13
Overall Score
(Group-weighted
Average)
1(30), 2(3), 3(7)
1(32), 2(4), 3(4)
Allowing MPs without embedded
generators to have multiple settlement
accounts
Importance
Urgency
1(28), 2(6), 3(3)
1(30), 2(5), 3(2)
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EMC/RCP/92/2017/06
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
18
Waiver of registration for embedded
generation facilities which would not
produce more than 1MW, regardless of
nameplate rating
Importance
Urgency
19
1(26), 2(11), 3(2)
1(24), 2(13), 3(2)
Establishment of a new class of
reserve to cater for intermittent
generation
Introduction of an inertia adjustment
factor to reserve requirements for
enhanced
power
system
with
increased solar generation
1.410
1.292
1.263
1.656
1.542
Alignment of market
transmission code in
reserves level
1.483
1.417
1.417
1.379
2.069
1.876
1(12), 2(15), 3(5)
1(17), 2(13), 3(2)
rules with
relation to
1(17), 2(8), 3(4)
1(19), 2(8), 3(2)
Publication of supply bidding
behaviour (for reserve and regulation)
Importance
Urgency
21B
1.461
.
1(24), 2(9), 3(3)
1(33), 2(0), 3(3)
Importance
Urgency
21A
1.404
Reserve requirements to reflect the
largest
contingency
in
the
interconnected system
Importance
Urgency
20D
1.410
1(23), 2(11), 3(4)
1(26), 2(8), 3(4)
Importance
Urgency
20C
1.369
Removal of price warning advisory
notices
Importance
Urgency
20B
1.386
1(27), 2(2), 3(6)
1(28), 2(1), 3(6)
Importance
Urgency
20A
Overall Score
(Group-weighted
Average)
1(22), 2(7), 3(7)
1(30), 2(3), 3(3)
Earlier release of delayed offer stack
Importance
1(11), 2(7), 3(18)
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EMC/RCP/92/2017/06
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
Urgency
21C
1.417
1.309
1.257
1.203
1.568
1.460
1.833
1.657
1.333
1.229
1.200
1.186
1(17), 2(12), 3(1)
1(19), 2(11), 3(0)
1(30), 2(3), 3(4)
1(31), 2(4), 3(2)
1(19), 2(12), 3(6)
1(22), 2(12), 3(3)
1(11), 2(16), 3(9)
1(16), 2(14), 3(6)
Removal of Singapore Government
Treasury bills as acceptable credit
support
Importance
Urgency
27
1.359
Publication of high/low price scenarios
in the Short Term Schedule (STS)
Importance
Urgency
26
1.294
1(23), 2(10), 3(1)
1(27), 2(6), 3(1)
Publication of Price Sensitivities to
Demand/ Requirement Changes for the
Reserve, Regulation, and Energy
Services
Importance
Urgency
25B
1.652
Enabling more than a single retailer for
single off-take premise
Importance
Urgency
25A
1.743
Removal of the first-approach of
Constraint Violation Penalties (CVP)
rerun
Importance
Urgency
24
1(18), 2(5), 3(12)
1(19), 2(9), 3(7)
Modelling
of
on-site
ambient
temperature into the MCE such that
GTs/CCPs’ maximum capacity are
adjusted dynamically
Importance
Urgency
23
1(14), 2(10), 3(12)
Earlier release and higher level of
granularity of delayed offer stacks
Importance
Urgency
22
Overall Score
(Group-weighted
Average)
Invalid load ramping constraints in the
Rules
Modification
for
EMA’s
1(26), 2(3), 3(4)
1(26), 2(3), 3(4)
Page 20 of 23
EMC/RCP/92/2017/06
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
Overall Score
(Group-weighted
Average)
“Implementing Demand Response in
the National Electricity Market of
Singapore”
Importance
Urgency
28
1(23), 2(7), 3(0)
1(25), 2(5), 3(0)
Review of Net Metering Treatment for
Embedded IGS
Importance
Urgency
29
Reduction of gate closure
forced outage events
1.728
1.694
1.510
1.964
1.753
1.519
1.406
1.313
1.233
1.889
1.737
1(15), 2(11), 3(5)
1(15), 2(10), 3(6)
1(11), 2(6), 3(11)
1(11), 2(8), 3(9)
1(18), 2(3), 3(6)
1(18), 2(5), 3(4)
Remove
or
amend
conflicting
methodology that is referred to in
Chapter 6 sections 5.2.5B and 5.2.5C
Importance
Urgency
31
1.959
Treatment of Forced Outages under
the Automatic Financial Penalty
Scheme (AFPS)
Importance
Urgency
30D
1(11), 2(13), 3(13)
1(16), 2(10), 3(11)
Review of the Minimum Penalty
Amount under the Automatic Financial
Penalty Scheme (AFPS)
Importance
Urgency
30C
1.767
Review of the Costs of Appeal under
the Automatic Financial Penalty
Scheme (AFPS)
Importance
Urgency
30B
1.758
during
Importance
Urgency
30A
1(18), 2(3), 3(12)
1(20), 2(3), 3(10)
1(24), 2(6), 3(2)
1(24), 2(6), 3(2)
Compensation
for
generators
adversely affected by Type 2 Price
Revision
Importance
Urgency
1(15), 2(9), 3(12)
1(16), 2(9), 3(11)
Page 21 of 23
EMC/RCP/92/2017/06
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
32
Improvement of real-time information
flow regarding unplanned outages and
return to service
Importance
Urgency
33
35
1.386
1.353
1.333
1.294
1.293
1.484
1.427
1.406
1.396
1.561
1.471
1(23), 2(6), 3(4)
1(23), 2(6), 3(4)
1(26), 2(4), 3(4)
1(26), 2(4), 3(4)
1(27), 2(4), 3(3)
1(27), 2(4), 3(3)
1(23), 2(2), 3(7)
1(24), 2(1), 3(7)
Raising the nameplate rating threshold
of embedded IGS required to register
in the market
Importance
Urgency
39
1.424
Clarification on the determination of 1
MW AC threshold for intermittent
generation sources
Importance
Urgency
38
1.470
Direct metering of generation services
Importance
Urgency
37
1.541
Settlement of Generation meters for
IGS to NEMS
Importance
Urgency
36
1.500
1(24), 2(6), 3(7)
1(24), 2(6), 3(7)
Streamline metering requirements for
consumers with embedded IGS that
are connected at High Tension (HT)
and above
Importance
Urgency
1.643
1(20), 2(6), 3(9)
1(21), 2(7), 3(7)
Streamline metering requirements for
consumers with embedded IGS under
1MWac who wishes to sell excess
electricity into the grid
Importance
Urgency
34
Overall Score
(Group-weighted
Average)
Online meter data access by DR and IL
providers and electricity retailers
1(25), 2(1), 3(6)
1(25), 2(1), 3(6)
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EMC/RCP/92/2017/06
Issue
No.
Issue Title
Grand Total
Overall
Score
(Simple
Average)
Importance
Urgency
40
Amending
connection
requirements
Importance
Urgency
Overall Score
(Group-weighted
Average)
1(22), 2(3), 3(8)
1(22), 2(4), 3(7)
agreement
1(21), 2(9), 3(3)
1(23), 2(10), 3(1)
1.404
1.355
Page 23 of 23