Philippine Grid Code 2016 Edition PDF

Summary

This document is the 2016 edition of the Philippine Grid Code. It outlines the rules, procedures, requirements and standards for the operation, maintenance, and development of the high-voltage backbone transmission system in the Philippines. It includes details of the Grid Management Committee (GMC) and Energy Regulatory Commission (ERC).

Full Transcript

PHILIPPINE GRID CODE 2016 Edition Drafted by: Grid Management Committee Reviewed and Approved by: Energy Regulatory Commission Rules Revision Subcommittee: Chairman: Carlito C. Claudio Vice-Chairma...

PHILIPPINE GRID CODE 2016 Edition Drafted by: Grid Management Committee Reviewed and Approved by: Energy Regulatory Commission Rules Revision Subcommittee: Chairman: Carlito C. Claudio Vice-Chairman: Valentin S. Saludes III Members: Reynaldo B. Abadilla Arthur T. Evangelista Henry V. Alcalde Edgardo G. Dimaliwat Grid Management Committee: Chairman: Arthur T. Evangelista Vice-Chairman: Reynaldo B. Abadilla Secretary: Primo P. Alonzo, Jr. Treasurer: Carlito C. Claudio Members: Henry V. Alcalde Edgardo G. Dimaliwat Valentin S. Saludes III Dadelio C. Corpuz Gonzalo B. Julian, Jr. Reynold B. Felix Leonardo B. Gumalal Loliano E. Allas Edgard D. Diaz Crisanto C. Sotelo Giovanni Randolfo A. Galang Cesar D. Sacdal* Robinson P. Descanzo* Alfredo V. Collado* Loreto A. Marcelino* Joseph Allan C. Baltazar* Noel P. Garbo* Cecilio U. Sumaoy* Irwin C. Pagdalian* Wilfred L. Billena* Godofredo N. Guya* Government Representatives: Floresinda B. Digal – ERC-ROS Debora Anastacia T. Layugan – ERC-MOS Rodel S. Limbaga - DOE Bienvenido D. Valeros - TransCo Ferdinand P. Villareal – NEA * - Contributors ERC Commissioners and Executive Director: Jose Vicente B. Salazar - ERC Chairperson Alfredo J. Non - ERC Commissioner Gloria Victoria C. Yap- Taruc - ERC Commissioner Josefina Patricia A. Magpale- Asirit - ERC Commissioner Geronimo D. Sta. Ana - ERC Commissioner Neil Simon S. Silva - ERC Executive Director ERC Contributors: Legario L. Galang, Jr. - ERC-ROS Nestor V. Padilla - ERC-MOS Rey Wilson P. Abesamis - ERC-CAS GMC Technical Staff: Tomas B. Vivero - Executive Director Ronaldo T. Garcia - Technical Director Arturo D. Villaraza - Principal Engineer Jake C. Binayug - Principal Engineer Joana Joy N. Abonalla - Principal Engineer Catherine M. Erquiza - Senior Engineer Hanzel M. Cubangbang - Senior Engineer Raphael Aaron F. Orlina - Senior Engineer Glynn Andy O. Gayman - Senior Engineer Patrick Jason C. Pineda - Senior Engineer Nielson M. Asedillo - Senior Engineer Jerome S. Sacramento - Senior Engineer Gustav Brandon T. Cruz - Senior Engineer Abigail Kristine Paola P. Bukis - Engineer Marjorie Ann S. Pamplona - Engineer Maureen Zara P. Javier - Engineer Jhon Jhon M. Balandra - Engineer Mark Alvin Dave L. Soriano - Engineer Rikka Anne E. Dimaano - Engineer Rouel M. Vitug - Engineer Marilou P. Fernandez - Legal Research Specialist Ma. Janice R. Tejano - Legal Counsel Christine Suzanne C. Refrima - Engineering Assistant GMC Admin Staff: Jose Miguel D. Acosta, Jr. - Finance and Administrative Director Maria Dolores L. Garcia - Personnel Service Officer Lorenete I. Companero - Finance Officer Peter John O. Espiritu - IS/IT Officer Marnelli Ann L. Obispo - Secretary Juvencio O. Timogan - Utility /Office Messenger Republic of the Philippines ENERGY REGULATORY COMMISSION San Miguel Avenue, Pasig City 22 , S· RESOLUTION NO. __ erres 0f 2016 A RESOLUTION APPROVING THE PUBLICATION OF THE APPROVED PHILIPPINE GRID CODE 2016 EDITION WHEREAS, on 02 March 2002, pursuant to the mandate of Section 43 (b) of Republic Act No. 9136, otherwise known as the Electric Power Industry Reform Act of 2001 (EPIRA) and Section 4 (g), Rule 3, of its Implementing Rules and Regulations, the Energy Regulatory Commission (ERC) promulgated the Philippine Grid Code (PGC), which established the basic rules, procedures, requirements and standards that would govern the operation, maintenance, and the development of the high-voltage backbone transmission system in the country; WHEREAS, subsequent to the promulgation of the PGC, the ERC created the Grid Management Committee (GMC) to act as its technical arm in the enforcement and monitoring of compliance of grid users to the PGC; WHEREAS, paragraph 2. 2. 1 (f) of the PGC charges the GMC to "[ljnitiate and coordinate revisions of the Grid Code and make recommendations to the ERC"; WHEREAS, paragraph 4.0 of the Rules and Procedures in the Revision of the Grid Code provides that "the amended PGC shall be published and presented every three (3) years counting from the last date of publication and printing." The latest amendment to the PGC denominated as "Philippine Grid Code Amendment No. 1", took effect on 02 April 2007; WHEREAS, on 23 August 2010, the GMC sent invitations to different power industry stakeholders to submit proposals f~ proposed second amendment to the PGC. Based on the c.omments received, the GMC perceived the necessity of engaging, as it rightly did, the services of a third party consultant in order to keep the proposed second amendment of the PGC abreast with international standards and practices; WHEREAS, the proposed second amendment to the PGC was divided into two (2) phases, viz: ! Phase I The integration of the Variable Renewable Energy eVRE) provisions In the PGC denominated as "Addendum to Amendlnentl No. 1of the Philippine Grid Code, Establishing] the Connection and Operational I Requirements for Variable Renewable Energy Generating Facilities", and Phase 11 The review and amendment of the entire PGC Amendment NO.l, now the PGC 2016 Edition. I ; WHEREAS, on 12 September 2013, the GMC approved the proposed draft of the Phase II of the second amendment to the PGC, which was thereafter posted at the ERC and GMCjDMC2 websites for comment. Accordingly, public consultations were held on 30 October 2013 and 05 November 2013, for Luzon, Visayas, and Mindanao stakeholders, respectively; WHEREAS, at the public consultations, issues as to the values of adequate levels of frequency response in Luzon, Visayas, and Mindanao grids were raised, which necessitated the conduct of simulation studies in order to determine the appropriate frequency response requirement of the Philippine Grids ; WHEREAS, in a Memorandum of 19 October 2015, the GMC endorsed the final draft of the proposed amendments to the PGC for final approval of the ERe; WHEREAS, several coordination meetings between,the ~/ 1 2 Approved by the ERe on 18 February 2013 Distribution Management Committee J 3 Referring to Luzon, Visayas and Mindanao Grids WHEREAS, in the Commission meeting held on January 21, 2016, the GMC presented the revision of proposed PGC 2016 Edition which was duly approved by the ERC; WHEREAS, GMC conducted meetings to evaluate proposed Run-of-River Forecast Accuracy Standards of the PEMC to be adopted to the approved PGC 2016 Edition; WHEREAS, GMC approved the concomitant provisions necessary for the integration of run-of-river in the PGC 2016 Edition as an intermittent renewable energy source and endorse such to the Energy Regulatory Commission (ERC) for final approval; WHEREAS, GMC presented the proposed ROR Forecast Accuracy Standards to the Energy Regulatory Commission (ERC) to be incorporated to the approved PGC 2016 Edition for final approval before publication of the PGC; WHEREAS, after a thorough deliberation, the ERC resolved to approve the final draft of the proposed amendments to the PGC herein denominated as the "Philippine Grid Code 2016 Edition"; NOW, THEREFORE, the ERC hereby RESOLVES to approve the Philippine Grid Code 2016 Edition, hereto attached as Annex "A" and made an integral part hereof; RESOLVED FURTHER, that the PGC 2016 Edition shall take effect fifteen (15) days after its publication in a newspaper of general circulation; Let copies of this Resolution be furnished the University of the Philippines Law Center - Office of the National Administrative Register (UPLC-ONAR), the Department of Energy (DOE), the National Transmission Corporation (TRANSCO), the National Grid Corporation of the Philippines (NGCP), the Philippine Electricity Market Corporation CPEMC)and all the other parties concerne y SO ORDERED. Pasig City, October 5, 2016. 'iRf;ChairFnan - zcac::::: ---...-. _ _ _ _ 1111111111111111111111 JOSE VlCENTE B. S.I1I....l~~'- J-2016-021-0C-05591 Chairperson At" ALF DOJ.NON y O. rx , JL6iUX'VICTO Lt r.~!t£./'. C. YAP-TARDC Commissioner Comm sioner (On official travel) JOSEFINA PATRICIAA. MAGPALE-ASIRIT ,// dkrno ')/ !~- D. STA. ANA Commissioner / Commissioner PHILIPPINE GRID CODE FOREWORD FOREWORD The Philippine Grid Code The Philippine Grid Code (PGC) establishes and documents the basic rules, requirements, procedures and standards that govern the operation, maintenance and development of the high- voltage backbone transmission system of the Philippines. The Philippine Grid Code identifies and recognizes the responsibilities and obligations of three (3) key independent functional groups, namely (a) Transmission Network Provider, (b) System Operator and (c) Market Operator. These functional groups and all Users of the Grid must comply with all the provisions of the Philippine Grid Code. The Philippine Grid Code is intended to be used along with the Market Rules of the Wholesale Electricity Spot Market to ensure the safe, reliable and efficient operation of the Grid. Republic Act No. 9136, also known as the “Electric Power Industry Reform Act of 2001,” mandated the creation of the Energy Regulatory Commission (ERC). Section 43(b) of the Act mandates the ERC to promulgate and enforce a National Grid Code and a Distribution Code which shall include, but not limited to: (a) Performance Standards for TRANSCO O & M Concessionaire, Distribution Utilities and suppliers, and (b) Financial Capability Standards for the Generating Companies, the TRANSCO’s Concessionaire, Distribution Utilities and Suppliers. The Act also mandates the ERC to enforce compliance to the Philippine Grid Code, the Philippine Distribution Code and the Market Rules and to impose fines and penalties for violations of their provisions. The Philippine Grid Code was prepared using a functional rather than an organizational format so that it will remain robust and require minimum changes as the Philippine electric power industry is transformed to its new organizational structure. The safe, reliable and efficient operation of the Grid requires the cooperation of all industry participants. It is important that all Grid Users follow the instructions and orders of the System Operator to ensure the reliable operation of the Grid. The System Operator will work closely with the Market Operator to Dispatch day-ahead pool schedules and provide the necessary support in satisfying the technical and operational requirements of real time control of the Grid. The policies and decisions of the Transmission Network Provider, System Operator and Market Operator on matters involving the operation, maintenance and development of the Grid will affect all industry participants and End-Users. It is important, therefore, that all affected parties have a voice in making decisions and policies involving the operation, maintenance and development of the Grid. The Philippine Grid Code provides this mechanism through the Grid Management Committee (GMC) that will relieve the Energy Regulatory Commission of the tedious task of monitoring day-to-day operations of the Grid. The Philippine Grid Code is organized into ten (10) Chapters. These are: Chapter 1 - General Conditions (GC) which cites the legal and regulatory framework for the promulgation and enforcement of the Philippine Grid Code. It also specifies the general provisions that apply to all the chapters of the PGC and contains a section on the definition of terms and abbreviations used in the PGC. Chapter 2 - Grid Management (GM) which provides the requirements and guidelines on the required GMC governance. Chapter 3 - Performance Standards for Transmission (PST) which provides standards, requirements, guidelines and monitoring on the requirements to promote i 2016 Edition FOREWORD PHILIPPINE GRID CODE Reliability of the Grid. (Related to Performance Incentive Scheme (PIS) of the Transmission Network Provider) Chapter 4 - Grid Connection Requirements (GCR) which provides standards, requirements, measurements and guidelines required to secure a Connection Agreement. (Related to Connection Agreement to NGCP) Chapter 5 - Grid Planning (GP) which provides standards, requirements, measurements, guidelines and monitoring on the required system planning studies such as load flows, short circuit, Stability, etc. (Related to OATS/SIS) Chapter 6 - Grid Operations (GO) which provides standards, requirements, measurements, guidelines and monitoring on the requirements to maintain system Reliability, Adequacy and Security of the grid during normal and contingent conditions. (Related to ASPP) Chapter 7 - Grid Protection (GPr) which provides standards, requirements, guidelines and monitoring on the requirements to maintain system Stability and Security of the Grid during a contingent Event. (Related to OATS/SIS) Chapter 8 - Scheduling and Dispatch (SD) which provides standards, requirements, measurements and guidelines to define the linkage between the Adequacy (supply) and Reliability (delivery) cognizant to the requirements of the Market, and System Operator. Chapter 9 - Grid Revenue Metering (GRM) which provides standards, requirements and guidelines to ensure accuracy of the measurements/recording of Energy delivered/ absorbed by the Grid. Chapter 10 – Transitory Provision (TP) which specifies the rules pertaining to the compliance of the Users of the Grid, Market Operator, System Operator and Transmission Network Provider with the provisions of the PGC during the transition period from the existing industry structure to the new industry structure. Appendix I – specifies the financial capability standards in the generation and transmission sectors to safeguard against the risk of financial non-performance, ensure the affordability of electric power supply, and to protect the public interest. This is included due to the requirement set by the by the Rule 5, Section 4 (ii) IRR of the EPIRA. Other Appendices are included to provide supplemental illustrations for connection and for information purposes. Objectives of the Philippine Grid Code 2016 Edition The Philippine Grid Code 2016 Edition was developed: (a) To refine the existing provisions of the Philippine Grid Code Amendment No. 1; (b) To be responsive to the latest developments, standards, and recent practices in the electric power industry, both local and international; (c) To adopt and fully implement the connection and operational requirements for Variable Renewable Energy (VRE) Generating Facilities consistent with the Renewable Energy Act; and (d) To be in harmony with and complementary to existing Rules and Regulations issued by the DOE and the ERC. 2016 Edition ii PHILIPPINE GRID CODE FOREWORD Role of the Transmission Network Provider and System Operator F.3.1 The National Grid Corporation of the Philippines (NGCP) F3.1.1 The NGCP is the concessionaire which assumed the power transmission functions of the National Transmission Corporation (TRANSCO) pursuant to Republic Act No. 9136, otherwise known as the “Electric Power Industry Reform Act of 2001” or the EPIRA. F3.1.2 Under Republic Act No. 9511 (R.A. 9511) or “An Act Granting the National Grid Corporation of the Philippines A Franchise to Engage in the Business of Conveying or Transmitting Electricity Through High Voltage Backbone System of Interconnected Transmission Lines, Substations and Related Facilities, and For Other Purposes”, it has the responsibility to operate, manage and maintain the nationwide Grid of the Republic of the Philippines, for a term of fifty (50) years. F3.1.3 In the interest of delineating specific roles, responsibilities and accountabilities of the NGCP and until the franchise granted to NGCP is amended, altered or repealed, the Philippine Grid Code 2016 Edition outlines the distinct functions of the NGCP as Transmission Network Provider and NGCP as the System Operator, as well as their joint undertakings. F3.1.4 For clarity, requirements imposed upon Grid Users to coordinate, inform or submit data or reports to the Transmission Network Provider, or the System Operator, or both, are deemed substantially complied with upon coordination, information or submission of data or reports to the NGCP, unless the franchise granted to NGCP is amended, altered or repealed by law. F3.1.5 The Philippine Grid Code 2016 Edition requirements imposed upon, and responsibilities assigned to the Transmission Network Provider, or the System Operator, or both, shall be delivered, performed and complied with by the Transmission Network Provider or the System Operator, respectively, or both Transmission Network Provider and System Operator, as may be provided in the provisions of the Philippine Grid Code 2016 Edition, unless the franchise granted to NGCP is amended, altered or repealed by law. Consignment of the Connection and Operational Requirements for Embedded Generators to the Philippine Distribution Code (PDC) As directed by the ERC, the GMC handed over all the requirements pertaining the Connection and Operational Requirements for the Embedded Generators (EG) to the Distribution Management Committee Inc. (DMC). The PGC will no longer preserve the requirements associated with the EG however the term is still used for citation in the provisions of this code. For clarity, all Generation Companies seeking connection for Generating Units as Embedded Generator shall be ruled and governed by the Philippine Distribution Code (PDC). Connection and Operational Requirements for the Variable Renewable Energy Generating Facilities Pursuant to Republic Act No. 9513 known as the “Renewable Energy Act of 2008”, and Section 9.9 of Amendment No. 1 to the Philippine Grid Code, ERC Resolution No. 7, Series of 2013 approved “The Addendum to the Philippine Grid Code Amendment No. 1, Establishing the Connection and Operational Requirements for Variable Renewable Energy (VRE) Generating Facilities” on 18 February 2013, which has been incorporated to this PGC 2016 Edition. iii 2016 Edition FOREWORD PHILIPPINE GRID CODE Introduction of Frequency Response The current problem lies to the fact that PGC Amendment No. 1 has no “requirements” for Frequency Response. It deals primarily with Frequency Bias, which relates more in determining regulation and Secondary Control, rather than Frequency Response. The portions of provisions regarding Speed Governors carry no force in the existing PGC Amendment No. 1. This explains why Frequency Response is declining. The Grid, which presents some new and different technical challenges, continues to grow. A continued downward trend of Frequency Response for past several years produced credible contingencies that encroach on the first step of Under-Frequency Load Shedding (UFLS) which triggered undesirable reactions from different stakeholders and/or Grid partners in electric power industry. Altogether, it is clear that the Grid does not preclude the need of Frequency Response as this poses a significant challenge for maintaining system Reliability. GMC’s activities have taken place over the past few years in an effort to understand the observed steady decline in Frequency Response of the Luzon, Visayas and Mindanao Grids. While some significant insights had been gained, a deeper and more dedicated effort was needed. A third party consultant was hired to simulate the Frequency Response of Luzon, Visayas and Mindanao Grids. Through it, the myriad of efforts underway in standards development and performance analysis have achieved a better understanding of the factors influencing Frequency performance across the Philippine Grids. The new PGC provided additional provisions highlighting the role of Frequency Response and Frequency Control in order to: Comprehensively understand and address the issues related to Frequency Response; and, Develop a clearer and more specific statement of Frequency-related Reliability factors, including better definitions for ‘ownership’ of responsibility for Frequency Response. Difference between Frequency Control and Ancillary Services in the form of Reserves The PGC 2016 Edition intends to provide a clear description of the role and function of Frequency Control in maintaining the Grid’s Reliability. This is so to understand that Generating Units connected to the Grid needs to be controlled and monitored for secure and high-quality operation of the Synchronous Areas. The generation control, the Ancillary Services as reserves and the corresponding performance measurements are essential to allow SO to perform daily operational business. The actions of Frequency Control such as Primary Control, Secondary Control and Tertiary Control are performed in different successive steps, each with different characteristics and qualities, and all depending on each other. Primary Control starts within seconds as a joint action of all Synchronized Generating Units involved. Secondary Control replaces Primary Control after minutes and is put into action by the SO only. Tertiary Control frees Secondary Control by re-scheduling generation and is put into action by the responsible undertakings/ SO. GO 6.6 summarizes the rules relating to Frequency Control and performance issues in a new structure with additional items describing the practice to be accounted, and explanations and/or interpretations of the provisions as footnotes. Furthermore, the new PGC describes the function of the Frequency Control as it encompasses Ancillary Services. Ancillary Services are services necessary to support the Capacity and transmission of Energy from Resources to Loads while maintaining reliable operation of the 2016 Edition iv PHILIPPINE GRID CODE FOREWORD Grid. These Ancillary Services are in the form of Reserve Services, Reactive Power Support Service and Black Start Service New Classification of Reserves The classification of the reserves is changed from Contingency Reserve, Regulating Reserve and Dispatchable Reserves into Primary Reserve, Secondary Reserve and Tertiary Reserve, respectively. The reason being is to set hierarchy of deployment of reserves for specific Events. The operational provisions for the new classification of the reserves are provided in the GO 6.6. Introduction of the Frequency Reserve Obligation (FRO) The Frequency Reserve Obligation (FRO) is prescribed to obligate the SO to contract Generating Plants especially those base plants which cannot participate immediately to Frequency Response due to some limitations (e.g. type of technology, etc.) to provide for Ancillary Service in the form of Reserve. The need of sufficient reserve to arrest the Frequency decline so as to prevent it from hitting the highest setting of the Under-Frequency Load Shedding (UFLS) has been observed and raised by Grid Users and stakeholders over several years. The UFLS is intended to be the last resort of arresting Frequency but seemed to become the first action taken in preventing the system Frequency decline. The UFLS is a safety net to prevent system collapse from severe contingencies. Conceptually, that safety net should not be violated for Frequency Events that happen on a relatively regular basis. As such, the Resource Contingency Protection Criteria were selected through the Frequency Response analysis to avoid violating approved UFLS settings. The FRO provisions are provided under the case of penalty so that SO will be forced to contract out Generating Plants for the Reserve. If the Generating Plant is fully contracted (e.g. under bilateral contracts, or has no contract to the NGCP, etc.), the Generating Plant is not expected to deliver MW for the Primary Reserve. However, the Generating Plant will be expected to help mitigate the Frequency excursion in the Grid by providing Primary Response. If the Generating Units cannot comply with the provision, the Generation Company should apply for derogation. Also, the FRO is provided since issues pertaining to the requirement of the Generating Units about the Governor Control arose and no penalty has been imposed to NGCP of buying Ancillary Services to ensure the Frequency Response of the Grid. Once there is a Reserve Market, issues in the Ancillary Services will be corrected, Generating Plants will no longer be required to have an Ancillary Service contract with NGCP to be able to provide Ancillary Service for Reserve, and all need to do is for the Generating Plants to be accredited by NGCP in order to compete in the Reserve Market. Until and unless Reserve Market is put in place, definition of each reserve classification for the Generating Plants will still become a commercial issue. Definition of “Large Generating Plant” For clarity, the definition of the Large Generating Plant in the Philippine Grid Code (PGC) is not the same as “Large Generator” defined in the Philippine Distribution Code (PDC). This is due to the fact that the Connection Point is different. The Connection Point in the PGC refers to the connection of the Generating Plant to the Grid including the 69-kV sub-transmission lines owned and maintained by the NGCP while the PDC refers to the connection of the Generating Plant to the Distribution System. Regardless of its capacity, a Generating Plant (to be) connected to the Grid shall be governed by the PGC. On the other hand, a Generating Plant (to be) connected to the Distribution System v 2016 Edition FOREWORD PHILIPPINE GRID CODE shall abide by Philippine Distribution Code (PDC), specifically with the connection and operational requirements for the Embedded Generators (EGs). The connection of a Generating Plant is typically locational and dictated by the nearest facility either to the Grid or Distribution System. Likewise, the Connection Agreement is either through the Transmission Network Provider (formerly Grid Owner) and in accordance with the Open Access Transmission Service (OATS) or the Distribution Owner and in accordance with the Distribution Services and Open Access Rules (DSOAR). It cannot be both. Should a Large Generating Plant intend to connect to a 69-kV sub-transmission line not yet acquired by a DU, the conduct of a System Impact Study (SIS) will be required. However, a Non-Large Generating Plant intending the same is exempted from the SIS requirement under ERC Resolution No. 18, Series of 2015, “A Resolution Adopting the Grid Management Committee’s Recommendations to Exempt Certain Power Plants from the Conduct of System Impact Study and Clarifying and Expanding the Requirements for a Thorough Conduct of Facilities Study”. Further, if the proponent decides to connect an aggregated capacity to the Distribution Utility’s 69 kV line, it’s in the DU’s discretion should a conduct of Distribution Impact Study (DIS) be needed. After all, EG’s connection and operational requirements are governed and ruled by the PDC. 2016 Edition vi PHILIPPINE GRID CODE TABLE OF CONTENTS TABLE OF CONTENTS FOREWORD....................................................................................................................................... i The Philippine Grid Code............................................................................................. i Objectives of the Philippine Grid Code 2016 Edition................................................. ii Role of the Transmission Network Provider and System Operator............................ iii Consignment of the Connection and Operational Requirements for Embedded Generators to the Philippine Distribution Code (PDC).............................................. iii Connection and Operational Requirements for the Variable Renewable Energy Generating Facilities................................................................................................... iii Introduction of Frequency Response.......................................................................... iv Difference between Frequency Control and Ancillary Services in the form of Reserves...................................................................................................................... iv New Classification of Reserves................................................................................... v Introduction of the Frequency Reserve Obligation (FRO).......................................... v Definition of “Large Generating Plant”....................................................................... v TABLE OF CONTENTS................................................................................................................... vii LIST OF TABLES.............................................................................................................................. xv LIST OF FIGURES............................................................................................................................ xv CHAPTER 1 GENERAL CONDITIONS (GC)................................................................................ 1 GC 1.1. PURPOSE AND SCOPE........................................................................................... 1 GC 1.1.1 Purpose........................................................................................................ 1 GC 1.1.2 Scope of Application.................................................................................. 1 GC 1.2. AUTHORITY AND APPLICABILITY.................................................................. 1 GC 1.2.1 Authority..................................................................................................... 1 GC 1.2.2 Applicability............................................................................................... 1 GC 1.3. ENFORCEMENT AND SUSPENSION OF PROVISIONS.................................. 1 GC 1.3.1 Enforcement................................................................................................ 1 GC 1.3.2 Suspension of Provisions............................................................................ 2 GC 1.4. DEROGATIONS....................................................................................................... 2 GC 1.4.1 Grounds for Derogation.............................................................................. 2 GC 1.4.2 Request for Derogation............................................................................... 2 GC 1.5. DATA, NOTICES AND CONFIDENTIALITY..................................................... 3 GC 1.5.1 Data and Notices......................................................................................... 3 GC 1.5.2 Confidentiality............................................................................................ 3 GC 1.6. CONSTRUCTION OF REFERENCES.................................................................. 3 GC 1.6.1 References................................................................................................... 3 GC 1.6.2 Cross-References........................................................................................ 3 GC 1.6.3 Definitions.................................................................................................. 4 GC 1.6.4 Foreword, Table of Contents and Titles..................................................... 4 GC 1.6.5 Mandatory Provisions................................................................................. 4 GC 1.6.6 Singularity and Plurality............................................................................. 4 GC 1.6.7 Gender......................................................................................................... 4 GC 1.6.8 “Include” and “Including”.......................................................................... 4 vii 2016 Edition TABLE OF CONTENTS PHILIPPINE GRID CODE GC 1.6.9 “Written” and “In Writing”......................................................................... 4 GC 1.6.10 Repealing Clause........................................................................................ 4 GC 1.7. DEFINITIONS........................................................................................................... 5 GC 1.8. ACRONYMS............................................................................................................ 26 CHAPTER 2 GRID MANAGEMENT (GM).................................................................................. 28 GM 2.1. PURPOSE................................................................................................................. 28 GM 2.2. GRID MANAGEMENT COMMITTEE............................................................... 28 GM 2.2.1 Functions of the Grid Management Committee........................................ 28 GM 2.2.2 Membership of the GMC.......................................................................... 28 GM 2.2.3 Terms of Office of the GMC Members.................................................... 29 GM 2.2.4 GMC Support Staff and Operating Cost................................................... 29 GM 2.2.5 GMC Rules and Procedures...................................................................... 29 GM 2.3. GRID MANAGEMENT SUBCOMMITTEES..................................................... 30 GM 2.3.1 Grid Planning Subcommittee.................................................................... 30 GM 2.3.2 Grid Operations Subcommittee................................................................. 30 GM 2.3.3 Grid Reliability Subcommittee................................................................. 30 GM 2.3.4 Grid Protection Subcommittee.................................................................. 31 GM 2.3.5 Grid Code Compliance Subcommittee..................................................... 31 GM 2.3.6 Rules Revision Subcommittee.................................................................. 31 GM 2.3.7 Other Grid Subcommittees....................................................................... 32 GM 2.4. APPLICATION AND INTERPRETATION OF PHILIPPINE GRID CODE PROVISIONS........................................................................................................... 32 GM 2.5. PHILIPPINE GRID CODE ENFORCEMENT AND REVISION PROCESS.. 32 GM 2.5.1 Enforcement Process................................................................................. 32 GM 2.5.2 Fines and Penalties.................................................................................... 33 GM 2.5.3 Unforeseen Circumstances........................................................................ 33 GM 2.5.4 Philippine Grid Code Revision Process.................................................... 33 GM 2.6. RULES AND PROCEDURES FOR PHILIPPINE GRID CODE REVISION.. 34 GM 2.6.1 Notification............................................................................................... 34 GM 2.6.2 Submission of Proposals........................................................................... 34 GM 2.7. SIGNIFICANT INCIDENT.................................................................................... 34 GM 2.7.1 Kinds of Significant Incidents.................................................................. 34 GM 2.7.2 Submission of Significant Incident Reports............................................. 35 GM 2.8. GRID MANAGEMENT REPORTS...................................................................... 35 GM 2.8.1 Quarterly and Annual Report.................................................................... 35 GM 2.8.2 Special Reports......................................................................................... 35 CHAPTER 3 PERFORMANCE STANDARDS FOR TRANSMISSION (PST)......................... 36 PST 3.1. PURPOSE................................................................................................................. 36 PST 3.2. POWER QUALITY STANDARDS....................................................................... 36 PST 3.2.1 Power Quality Problems........................................................................... 36 PST 3.2.2 Frequency Variations................................................................................ 36 PST 3.2.3 Voltage Variations.................................................................................... 37 PST 3.2.4 Harmonics................................................................................................. 37 PST 3.2.5 Voltage Unbalance.................................................................................... 38 PST 3.2.6 Voltage Fluctuation and Flicker Severity................................................. 38 PST 3.2.7 Transient Voltage Variations.................................................................... 39 PST 3.3. RELIABILITY STANDARDS............................................................................... 39 PST 3.3.1 Criteria for Establishing Transmission Reliability Standards................... 39 2016 Edition viii PHILIPPINE GRID CODE TABLE OF CONTENTS PST 3.3.2 Transmission Reliability Performance Indicators..................................... 40 PST 3.3.3 Inclusions and Exclusions of Interruption Events..................................... 40 PST 3.3.4 Submission of Reliability Reports and Performance Targets................... 40 PST 3.4. SYSTEM LOSS STANDARDS.............................................................................. 41 PST 3.4.1 System Loss Classifications...................................................................... 41 PST 3.4.2 System Loss Cap....................................................................................... 41 PST 3.4.3 Company Use............................................................................................ 41 PST 3.5. SAFETY STANDARDS.......................................................................................... 41 PST 3.5.1 Adoption of PEC and OSHS..................................................................... 41 PST 3.5.2 Measurement of Performance for Personnel Safety................................. 42 PST 3.5.3 Submission of Safety Records and Reports.............................................. 42 PST 3.6. CONGESTION PERFORMANCE........................................................................ 42 PST 3.6.1 Measurement of Congestion Performance................................................ 42 PST 3.6.2 Reporting of Congestion Performance...................................................... 43 PST 3.7. OTHER PERFORMANCE INDICATORS.......................................................... 43 PST 3.7.1 New Performance Indicators..................................................................... 43 PST 3.7.2 Calculation Methodologies and Reporting............................................... 43 CHAPTER 4 GRID CONNECTION REQUIREMENTS (GCR)................................................. 44 GCR 4.1. PURPOSE................................................................................................................. 44 GCR 4.2. GRID TECHNICAL, DESIGN, AND OPERATIONAL CRITERIA................ 44 GCR 4.2.1 Power Quality Standards.......................................................................... 44 GCR 4.2.2 Frequency Variations................................................................................ 44 GCR 4.2.3 Voltage Variations.................................................................................... 44 GCR 4.2.4 Power Factor............................................................................................. 44 GCR 4.2.5 Harmonics................................................................................................. 45 GCR 4.2.6 Voltage Unbalance.................................................................................... 45 GCR 4.2.7 Voltage Fluctuation and Flicker Severity................................................. 45 GCR 4.2.8 Transient Voltage Variations.................................................................... 45 GCR 4.2.9 Grounding Requirements.......................................................................... 45 GCR 4.2.10 Equipment Standards................................................................................ 45 GCR 4.2.11 Maintenance Standards............................................................................. 46 GCR 4.3. PROCEDURES FOR GRID CONNECTION OR MODIFICATION............... 46 GCR 4.3.1 Connection Agreement............................................................................. 46 GCR 4.3.2 Amended Connection Agreement............................................................. 46 GCR 4.3.3 Impact Studies........................................................................................... 46 GCR 4.3.4 Application for Connection or Modification............................................ 47 GCR 4.3.5 Processing of Application......................................................................... 47 GCR 4.3.6 Submittals Prior to the Commissioning Date............................................ 48 GCR 4.3.7 Commissioning of Equipment and Physical Connection to the Grid....... 49 GCR 4.4. REQUIREMENTS FOR LARGE GENERATING PLANTS............................. 49 GCR 4.4.1 GENERIC REQUIREMENTS FOR ALL LARGE GENERATING PLANTS 49 GCR 4.4.1.1 Requirements Relating to the Connection Point....................................... 49 GCR 4.4.1.2 Unbalance Loading Withstand Capability................................................ 49 GCR 4.4.1.3 Transformer Connection and Grounding.................................................. 50 GCR 4.4.1.4 Integration in the SCADA of the Grid...................................................... 50 GCR 4.4.2 SPECIFIC REQUIREMENTS FOR CONVENTIONAL LARGE GENERATING PLANTS....................................................................................... 50 GCR 4.4.2.1 Generating Unit Power Output................................................................. 50 GCR 4.4.2.2 Frequency Withstand Capability............................................................... 50 ix 2016 Edition TABLE OF CONTENTS PHILIPPINE GRID CODE GCR 4.4.2.3 Voltage Control......................................................................................... 51 GCR 4.4.2.4 Speed-Governing System......................................................................... 51 GCR 4.4.2.5 Excitation Control System........................................................................ 51 GCR 4.4.2.6 Black Start Capability............................................................................... 51 GCR 4.4.2.7 Fast Start Capability.................................................................................. 52 GCR 4.4.3 SPECIFIC REQUIREMENTS FOR LARGE WIND FARMS........................... 52 GCR 4.4.3.1 Generating Unit Power Output................................................................. 52 GCR 4.4.3.2 Frequency Withstand Capability............................................................... 52 GCR 4.4.3.3 Reactive Power Capability........................................................................ 53 GCR 4.4.3.4 Performance During Network Disturbances............................................. 53 GCR 4.4.3.5 Voltage Control System............................................................................ 55 GCR 4.4.3.6 Active Power Control System................................................................... 56 GCR 4.4.3.7 Power Quality........................................................................................... 57 GCR 4.4.4 SPECIFIC REQUIREMENTS FOR LARGE PHOTOVOLTAIC GENERATION SYSTEMS.................................................................................... 58 GCR 4.4.4.1 Generating Unit Power Output................................................................. 58 GCR 4.4.4.2 Frequency Withstand Capability............................................................... 58 GCR 4.4.4.3 Reactive Power Capability........................................................................ 59 GCR 4.4.4.4 Performance During Network Disturbances............................................. 59 GCR 4.4.4.5 Voltage Control System............................................................................ 60 GCR 4.4.4.6 Active Power Control System................................................................... 60 GCR 4.4.4.7 Power Quality........................................................................................... 61 GCR 4.5. REQUIREMENTS FOR NON-LARGE GENERATING PLANTS................... 62 GCR 4.5.1 Requirements for Conventional Non-Large Generating Plant Connected to the Grid............................................................................... 62 GCR 4.5.2 Requirements for Non-Large VRE Generating Facilities Connected to the Grid............................................................................... 62 GCR 4.6. REQUIREMENTS FOR DISTRIBUTION UTILITIES AND OTHER USERS OF THE GRID......................................................................................................... 62 GCR 4.6.1 Requirements Relating to the Connection Point....................................... 62 GCR 4.6.2 Transformer Connection and Grounding.................................................. 63 GCR 4.6.3 Under-Frequency Relays for Automatic Load Dropping......................... 63 GCR 4.6.4 Power Quality Requirements.................................................................... 63 GCR 4.7. COMMUNICATION AND SCADA EQUIPMENT REQUIREMENTS........... 64 GCR 4.7.1 Communication System for Monitoring and Control............................... 64 GCR 4.7.2 SCADA System for Monitoring and Control........................................... 64 GCR 4.7.3 Information Exchange for VRE Generating Facilities.............................. 65 GCR 4.7.4 Recording Instruments.............................................................................. 65 GCR 4.8. FIXED ASSET BOUNDARY DOCUMENT REQUIREMENTS....................... 65 GCR 4.8.1 Fixed Asset Boundary Document............................................................. 65 GCR 4.8.2 Accountable Persons................................................................................. 66 GCR 4.8.3 Preparation of Fixed Asset Boundary Document..................................... 66 GCR 4.8.4 Signing and Distribution of Fixed Asset Boundary Document................ 67 GCR 4.8.5 Modification of an Existing Fixed Asset Boundary Document................ 67 GCR 4.9. ELECTRICAL DIAGRAM REQUIREMENTS.................................................. 68 GCR 4.9.1 Responsibilities of the Transmission Network Provider and Users.......... 68 GCR 4.9.2 Preparation of Electrical Diagrams........................................................... 68 GCR 4.9.3 Changes to Electrical Diagrams................................................................ 68 GCR 4.9.4 Validity to Electrical Diagrams................................................................ 69 GCR 4.10. CONNECTION POINT DRAWING REQUIREMENTS................................... 69 GCR 4.10.1 Responsibilities of the Transmission Network Provider and Users.......... 69 2016 Edition x PHILIPPINE GRID CODE TABLE OF CONTENTS GCR 4.10.2 Preparation of Connection Point Drawings.............................................. 69 GCR 4.10.3 Changes to Connection Point Drawings................................................... 70 GCR 4.10.4 Validity of the Connection Point Drawings.............................................. 70 GCR 4.11. GRID DATA REGISTRATION............................................................................. 70 GCR 4.11.1 Data to be Registered................................................................................ 70 GCR 4.11.2 Stages of Data Registration....................................................................... 71 GCR 4.11.3 Data Forms................................................................................................ 71 CHAPTER 5 GRID PLANNING (GP)............................................................................................ 72 GP 5.1. PURPOSE................................................................................................................. 72 GP 5.2. GRID PLANNING RESPONSIBILITIES AND PROCEDURES...................... 72 GP 5.2.1 Grid Planning Responsibilities................................................................. 72 GP 5.2.2 Submission of Planning Data.................................................................... 73 GP 5.2.3 Consolidation and Maintenance of Planning Data.................................... 73 GP 5.2.4 Evaluation of Grid Expansion Project...................................................... 74 GP 5.2.5 Evaluation of Proposed User Development.............................................. 74 GP 5.2.6 Transmission Planning Manual................................................................. 74 GP 5.2.7 Preparation of TDP................................................................................... 74 GP 5.3. GRID PLANNING STUDIES................................................................................. 75 GP 5.3.1 Grid Planning Studies to be conducted..................................................... 75 GP 5.3.2 Load Flow Study....................................................................................... 76 GP 5.3.3 Short Circuit Study................................................................................... 76 GP 5.3.4 Transient Stability Study.......................................................................... 76 GP 5.3.5 Steady-State Stability Analysis................................................................. 77 GP 5.3.6 Voltage Stability Analysis........................................................................ 77 GP 5.3.7 Electromagnetic Transient Analysis......................................................... 77 GP 5.3.8 Reliability Analysis................................................................................... 77 GP 5.3.9 Power Quality Analysis............................................................................ 78 GP 5.3.10 Congestion Analysis................................................................................. 78 GP 5.4. STANDARD PLANNING DATA........................................................................... 78 GP 5.4.1 Historical Energy and Demand................................................................. 78 GP 5.4.2 Energy and Demand Forecast................................................................... 78 GP 5.4.3 Generating Unit Data................................................................................ 79 GP 5.4.4 User System Data...................................................................................... 80 GP 5.5. DETAILED PLANNING DATA............................................................................ 82 GP 5.5.1 Generating Unit and Generating Plant Data............................................. 82 GP 5.5.2 User System Data...................................................................................... 85 CHAPTER 6 GRID OPERATIONS (GO)...................................................................................... 86 GO 6.1. PURPOSE................................................................................................................. 86 GO 6.2. GRID OPERATING STATES AND OPERATING CRITERIA........................ 86 GO 6.2.1 Single Outage Contingency (N-1) Criterion............................................. 86 GO 6.2.2 Grid Operating States................................................................................ 87 GO 6.2.3 Grid Operating Criteria............................................................................. 88 GO 6.2.4 Operation of VRE Generating Facilities................................................... 89 GO 6.3. OPERATIONAL RESPONSIBILITIES............................................................... 90 GO 6.3.1 Operational Responsibilities of the System Operator............................... 90 GO 6.3.2 Operational Responsibilities of the Transmission Network Provider....... 91 GO 6.3.3 Operational Responsibilities of Generation Companies........................... 92 GO 6.3.4 Operational Responsibilities of Other Users of the Grid.......................... 93 GO 6.4. GRID OPERATIONS NOTICES AND REPORTS............................................. 93 xi 2016 Edition TABLE OF CONTENTS PHILIPPINE GRID CODE GO 6.4.1 Grid Operations Notices........................................................................... 93 GO 6.4.2 Grid Operations Reports........................................................................... 94 GO 6.5. GRID OPERATING AND MAINTENANCE PROGRAMS.............................. 94 GO 6.5.1 Grid Operating Program........................................................................... 94 GO 6.5.2 Grid Maintenance Program....................................................................... 95 GO 6.6. FREQUENCY CONTROL..................................................................................... 96 GO 6.6.1 Methods of Frequency Control................................................................. 96 GO 6.6.2 Frequency Response................................................................................. 97 GO 6.6.3 Frequency Response Obligation (FRO).................................................... 98 GO 6.6.4 Ancillary Services in the form of Reserves.............................................. 99 GO 6.6.5 Primary Reserve........................................................................................ 99 GO 6.6.6 Secondary Reserve.................................................................................... 99 GO 6.6.7 Tertiary Reserve...................................................................................... 102 GO 6.6.8 Demand Control...................................................................................... 102 GO 6.6.9 Automatic Load Dropping (ALD).......................................................... 103 GO 6.6.10 Manual Load Dropping (MLD).............................................................. 104 GO 6.6.11 Voluntary Load Management................................................................. 104 GO 6.7. VOLTAGE CONTROL........................................................................................ 105 GO 6.7.1 Methods of Voltage Control................................................................... 105 GO 6.8. EMERGENCY PROCEDURES........................................................................... 105 GO 6.8.1 Preparation for Grid Emergencies.......................................................... 105 GO 6.8.2 Significant Incident Procedures.............................................................. 106 GO 6.8.3 Black Start Procedures............................................................................ 106 GO 6.8.4 Re-Synchronization of Islanding............................................................ 107 GO 6.9. SAFETY COORDINATION................................................................................ 107 GO 6.9.1 Safety Coordination Procedures............................................................. 107 GO 6.9.2 Safety Coordinator.................................................................................. 108 GO 6.9.3 Safety Logs and Record of Inter-System Precautions............................ 108 GO 6.9.4 Location of Safety Precautions............................................................... 109 GO 6.9.5 Implementation of Safety Precautions.................................................... 109 GO 6.9.6 Authorization of Testing......................................................................... 110 GO 6.9.7 Cancellation of Safety Precautions......................................................... 110 GO 6.10. SYSTEM TEST...................................................................................................... 110 GO 6.10.1 System Test Requirements...................................................................... 110 GO 6.10.2 System Test Request............................................................................... 111 GO 6.10.3 System Test Group.................................................................................. 111 GO 6.10.4 System Test Program.............................................................................. 112 GO 6.10.5 System Test Report................................................................................. 113 GO 6.11. CONVENTIONAL GENERATING UNIT CAPABILITY TESTS.................. 113 GO 6.11.1 Test Requirements.................................................................................. 113 GO 6.11.2 Test to be Performed............................................................................... 114 GO 6.12. VRE GENERATING FACILITY TESTS........................................................... 115 GO 6.12.1 Test Requirements.................................................................................. 115 GO 6.12.2 Tests to be Performed............................................................................. 116 GO 6.13. SITE AND EQUIPMENT IDENTIFICATION.................................................. 118 GO 6.13.1 Site and Equipment Identification Requirements................................... 118 GO 6.13.2 Site and Equipment Identification Label................................................ 118 CHAPTER 7 GRID PROTECTION (GPR).................................................................................. 119 GPR 7.1. PURPOSE............................................................................................................... 119 2016 Edition xii PHILIPPINE GRID CODE TABLE OF CONTENTS GPR 7.2. GENERAL REQUIREMENTS............................................................................ 119 GPR 7.3. TRANSMISSION PROTECTION SCHEMES.................................................. 119 GPR 7.3.1 Protection Schemes................................................................................. 119 GPR 7.3.2 Transmission Line Protection Selection................................................. 120 GPR 7.3.3 Redundancy and Backup Considerations................................................ 121 GPR 7.3.4 Transmission Line Protection Requirements.......................................... 121 GPR 7.3.5 Transmission Line Protection Requirements for VRE Generation......... 122 GPR 7.3.6 Review and Monitoring of Transmission Protection System................. 122 GPR 7.4. GRID USER PROTECTION REQUIREMENTS.............................................. 122 GPR 7.4.1 Large Generating Plant Protection Arrangements.................................. 122 GPR 7.4.2 Distribution Utility and Other Users Protection Arrangements.............. 123 GPR 7.5. GENERATING PLANT CONTROL AND PROTECTION............................. 124 GPR 7.6. GRID PROTECTION OPERATIONS................................................................ 124 GPR 7.7. SYSTEM INTEGRITY PROTECTION SCHEME (SIPS)............................... 125 CHAPTER 8 SCHEDULING AND DISPATCH (SD)................................................................. 126 SD 8.1. PURPOSE............................................................................................................... 126 SD 8.2. SCHEDULING AND DISPATCH RESPONSIBILITIES................................. 126 SD 8.2.1 Responsibilities of the Market Operator................................................. 126 SD 8.2.2 Responsibilities of the System Operator................................................. 126 SD 8.2.3 Responsibilities of the Transmission Network Provider......................... 127 SD 8.2.4 Responsibilities of Conventional Generation Company excluding ROR Hydroelectric Generation Company.............................................................................. 127 SD 8.2.5 Responsibilities of VRE Generation Companies.................................... 128 SD 8.2.6 Responsibilities of Distribution Utilities and Other Users...................... 129 SD 8.3. CENTRAL DISPATCH........................................................................................ 129 SD 8.3.1 Central Dispatch Principles..................................................................... 129 SD 8.3.2 Dispatch Scheduling............................................................................... 130 SD 8.3.3 Dispatch Implementation........................................................................ 130 SD 8.3.4 Market Suspension/Intervention............................................................. 131 SD 8.4. CENTRAL DISPATCH PROCESS WITHOUT WESM.................................. 131 SD 8.4.1 Central Dispatch Principles without WESM.......................................... 131 SD 8.4.2 Dispatch Scheduling without WESM..................................................... 132 SD 8.4.3 Dispatch Implementation without WESM.............................................. 133 CHAPTER 9 GRID REVENUE METERING (GRM)................................................................. 134 GRM 9.1. PURPOSE AND SCOPE....................................................................................... 134 GRM 9.1.1 Purpose.................................................................................................... 134 GRM 9.1.2 Scope of Application.............................................................................. 134 GRM 9.2. METERING REQUIREMENTS......................................................................... 134 GRM 9.2.1 Metering Point Location......................................................................... 134 GRM 9.2.2 Metering Facility..................................................................................... 134 GRM 9.2.3 Requirements for the Revenue Metering Equipment............................... 136 GRM 9.2.4 Responsibilities Relative to the Grid Revenue Metering Facilities........ 139 GRM 9.2.5 Requirements for Commissioning, Testing and Maintenance of Metering Facilities and Equipment......................................................... 140 GRM 9.2.6 Off-schedule Tests of Metering Equipment Accuracy and Integrity...... 141 GRM 9.2.7 “Referee” Tests by the ERC of Metering Equipment Accuracy and Integrity............................................................................ 141 GRM 9.2.8 Operation and Maintenance of Metering Facilities and Equipment....... 141 xiii 2016 Edition TABLE OF CONTENTS PHILIPPINE GRID CODE GRM 9.3. METER READING AND METERING DATA.................................................. 142 GRM 9.3.1 Requirements for Metering Data............................................................ 142 GRM 9.3.2 Meter Data Collection and Delivery....................................................... 142 GRM 9.3.3 Meter Register Reading.......................................................................... 142 GRM 9.3.4 Validation and Substitution/Editing of Metering Data........................... 142 GRM 9.3.5 Storage and Availability of Metering Data............................................. 143 GRM 9.3.6 Persons or Entities Authorized to Receive Metering Data..................... 143 GRM 9.3.7 Resolution of Metering Data Defects..................................................... 143 GRM 9.3.8 Security of Metering Facilities, Equipment and Data............................. 144 CHAPTER 10 PHILIPPINE GRID CODE 2016 EDITION TRANSITORY PROVISIONS (TP)........................................................................................................................... 145 TP 10.1. Purpose.................................................................................................... 145 TP 10.2. Compliance to the Philippine Grid Code 2016 Edition.......................... 145 APPENDIX 1 FINANCIAL STANDARDS FOR GENERATION AND TRANSMISSION (FS)........................................................................................................................... 146 FS.A 1.1 PURPOSE AND SCOPE....................................................................................... 146 FS.A 1.1.1 Purpose.................................................................................................... 146 FS.A 1.2 DEFINITION OF TERMS.................................................................................... 146 FS.A 1.3 FINANCIAL STANDARDS FOR GENERATION COMPANIES.................. 147 FS.A 1.3.1 Financial Ratios...................................................................................... 147 FS.A 1.3.2 Leverage Ratios...................................................................................... 147 FS.A 1.3.3 Liquidity Ratios...................................................................................... 148 FS.A 1.3.4 Financial Efficiency Ratios..................................................................... 148 FS.A 1.3.5 Profitability Ratios.................................................................................. 149 FS.A 1.3.6 Submission and Evaluation..................................................................... 149 FS.A 1.4 FINANCIAL STANDARDS FOR THE TRANSMISSION NETWORK PROVIDER AND THE SYSTEM OPERATOR................................................ 149 FS.A 1.4.1 Financial Ratios...................................................................................... 149 FS.A 1.4.2 Leverage Ratios...................................................................................... 150 FS.A 1.4.3 Liquidity Ratios...................................................................................... 150 FS.A 1.4.4 Financial Efficiency Ratios..................................................................... 151 FS.A 1.4.5 Profitability Ratios.................................................................................. 151 FS.A 1.4.6 Submission and Evaluation..................................................................... 152 APPENDIX 2.................................................................................................................................. 153 APPENDIX 3.................................................................................................................................. 154 APPENDIX 4.................................................................................................................................. 155 APPENDIX 5 TAP CONNECTION OPTIONS AT 69 kV........................................................... 157 2016 Edition xiv PHILIPPINE GRID CODE LIST OF TABLES LIST OF TABLES TABLE 3.1 FREQUENCY SCALE............................................................................................................. 36 TABLE 3.2 LONG DURATION VOLTAGE VARIATIONS.......................................................................... 37 TABLE 3.3 MAXIMUM HARMONIC VOLTAGE DISTORTION FACTORS.................................................. 38 TABLE 3.4 MAXIMUM HARMONIC CURRENT DISTORTION FACTORS.................................................. 38 TABLE 3.5 MAXIMUM FLICKER SEVERITY........................................................................................... 39 TABLE 4.1 REQUIREMENTS FOR DIFFERENT FREQUENCY RANGES..................................................... 52 TABLE 4.2 RAMP RATE LIMITS FOR WIND FARMS............................................................................... 56 TABLE 4.3 REQUIREMENTS AT DIFFERENT FREQUENCY RANGE......................................................... 59 TABLE 6.1 FREQUENCY RESPONSE OBLIGATION................................................................................. 98 TABLE 8.1 REQUIRED PERFORMANCE OF VRE GENERATION FORECAST (SYSTEM OPERATOR)......................................................................................................... 127 TABLE 8.2 REQUIRED PERFORMANCE OF WIND AND PVS GENERATION FORECAST........................ 129 TABLE 8.3 REQUIRED PERFORMANCE OF ROR HYDROELECTRIC GENERATION FORECAST............. 129 TABLE 5.1 GRID STANDARDS — NORMAL AND CONTINGENCY........................................................ 155 LIST OF FIGURES FIGURE 4. 1 REACTIVE POWER REQUIREMENT – WIND FARMS.......................................................... 53 FIGURE 4. 2 LOW VOLTAGE WITHSTAND CAPABILITY – WIND FARMS............................................... 54 FIGURE 4.3 ALLOWED GENERATION OF REACTIVE POWER DURING VOLTAGE SAGS......................... 55 FIGURE 4.4 LOW VOLTAGE WITHSTAND CAPABILITY – PVS.............................................................. 60 FIGURE 6.1 TYPICAL FREQUENCY EXCURSION................................................................................ 100 FIGURE 6.2 ILLUSTRATION OF THE PRIMARY AND SECONDARY RESPONSE..................................... 101 FIGURE 6.3 CONTROL SCHEME AND ACTIONS STARTING WITH THE SYSTEM FREQUENCY.............. 101 xv 2016 Edition CHAPTER 1 PHILIPPINE GRID CODE GENERAL CONDITIONS (GC) CHAPTER 1 GENERAL CONDITIONS (GC) GC 1.1. PURPOSE AND SCOPE GC 1.1.1 Purpose (a) To cite the legal and regulatory framework for the promulgation and enforcement of the Philippine Grid Code; (b) To specify the general rules pertaining to data and notices that apply to all Chapters of the Philippine Grid Code; (c) To specify the rules for interpreting the provisions of the Philippine Grid Code; and (d) To define the common and significant terms and abbreviations used in the Philippine Grid Code. GC 1.1.2 Scope of Application Unless specifically provided otherwise in the succeeding Chapters, this Philippine Grid Code applies to the following entities: (a) Transmission Network Provider; (b) System Operator; (c) Market Operator; (d) Generation Companies; (e) Distribution Utilities; (f) Suppliers; and (g) Any other entity with a User System connected to the Grid. GC 1.2. AUTHORITY AND APPLICABILITY GC 1.2.1 Authority The Act provides the Energy Regulatory Commission (ERC) the authority to promulgate the Philippine Grid Code. GC 1.2.2 Applicability The Philippine Grid Code applies to Luzon, Visayas, and Mindanao Grids. GC 1.3. ENFORCEMENT AND SUSPENSION OF PROVISIONS GC 1.3.1 Enforcement GC 1.3.1.1 The Act assigns to the ERC the responsibility of enforcing the Philippine Grid Code. GC 1.3.1.2 The ERC shall establish the Grid Management Committee (GMC) to monitor Philippine Grid Code compliance at the planning and operations level and to submit regular and special reports pertaining to Grid planning and Grid operations. GC 1.3.1.3 The GMC shall also initiate an enforcement process for any perceived violations of Philippine Grid Code provisions and recommend to the ERC the appropriate fines and penalties for such violations. 1 2016 Edition CHAPTER 1 GENERAL CONDITIONS (GC) PHILIPPINE GRID CODE GC 1.3.2 Suspension of Provisions Any provision of the Philippine Grid Code may be suspended, in whole or in part, when the Grid is not operating in the Normal State or pursuant to any directive given by the ERC or the appropriate government agency. GC 1.4. DEROGATIONS GC 1.4.1 Grounds for Derogation GC 1.4.1.1 If a User, the Transmission Network Provider, the System Operator or Market Operator finds that it is, or will be, unable to comply with any provision of the Philippine Grid Code, then it shall, without delay, report such non-compliance to the ERC through the GMC and shall make such reasonable efforts as are required to remedy such non-compliance as soon as reasonably practicable. GC 1.4.1.2 When a User, the Transmission Network Provider, the System Operator or the Market Operator believes either that it would be unreasonable (including on the grounds of cost and technical considerations) to require it to remedy such non- compliance or that it should be granted an extended period to remedy such non-compliance, the User, Transmission Network Provider or System Operator shall promptly submit to the ERC through the GMC a request for derogation from such provision. GC 1.4.2 Request for Derogation GC 1.4.2.1 A request by a User, the Transmission Network Provider, System Operator or the Market Operator for derogation from any provision of the Philippine Grid Code shall contain: (a) The reference number of the Philippine Grid Code provision against which the non-compliance or predicted non-compliance was identified; (b) The reason for the non-compliance or expected non-compliance; (c) Proposed remedial actions, if any; and (d) The date by which compliance could be achieved (if remedy of the non- compliance is possible). GC 1.4.2.2 On receipt of any request for derogation, the Grid Management Committee shall promptly review such a request, provided that it considers that the grounds for the derogation are reasonable. The ERC through the GMC’s recommendation shall grant such derogation unless the derogation would, or is likely to: (a) Have a material adverse impact on the Security and/or Stability of the Grid; or (b) Impose unreasonable costs on the operation of the System. GC 1.4.2.3 To the extent of any derogation granted in accordance with GC 1.4.2.2, the System Operator and/or the Transmission Network Provider and/or Market Operator and/or User, as the case may be, shall be relieved from any obligation to comply with the applicable provision of the Philippine Grid Code and shall not be liable for failure to so comply, but shall comply with any alternative provisions identified in the derogation. 2016 Edition 2 CHAPTER 1 PHILIPPINE GRID CODE GENERAL CONDITIONS (GC) GC 1.4.2.4 The Grid Management Committee shall: (a) Keep a register of all requests for derogations, including those denied and those which have been granted, and in the latter case, identifying the name of the person and User to whom derogation has been granted, the relevant provision of the Philippine Grid Code and the period of derogation; and (b) On request from any User, provide a copy of such register of derogations to such User. GC 1.4.2.5 The ERC may on its own initiative or at the request of the GMC, Transmission Network Provider, System Operator, Market Operator or a User: (a) Review any existing derogations; and (b) Review any derogation under consideration, and establish whether the ERC considers such a request is justified. GC 1.5. DATA, NOTICES AND CONFIDENTIALITY GC 1.5.1 Data and Notices GC 1.5.1.1 The submission of any data under the Philippine Grid Code shall be done through electronic format or any suitable format agreed upon by the concerned parties. GC 1.5.1.2 Written notices under the Philippine Grid Code shall be served either by hand delivery, registered first-class mail, or facsimile transfer. GC 1.5.2 Confidentiality GC 1.5.2.1 All data submitted by any User of the Grid to the Transmission Network Provider, System Operator or Market Operator in compliance with the data requirements of the Philippine Grid Code shall be treated by the Transmission Network Provider, System Operator, or Market Operator as confidential. These include data requirements for connection to the Grid and those that are required in the planning, operation, and maintenance of the Grid. GC 1.5.2.2 Aggregate data shall be made available by the Transmission Network Provider or the System Operator when requested by a User. These data shall be used only for the purpose specified in the request and shall be treated by the User as confidential. GC 1.6. CONSTRUCTION OF REFERENCES GC 1.6.1 References Unless the context otherwise requires, any reference to a particular Chapter, Article, Section, Subsection, or Appendix of the Philippine Grid Code shall be applicable only to that Chapter, Article, Section, Subsection, or Appendix to which the reference is made. GC 1.6.2 Cross-References A cross-reference to another document shall not in any way impose any condition or modify the material contained in the document where such cross-reference is made. 3 2016 Edition CHAPTER 1 GENERAL CONDITIONS (GC) PHILIPPINE GRID CODE GC 1.6.3 Definitions Terms which are capitalized shall be interpreted according to the definition in GC 1.7. When a word or phrase that is defined in the Definitions Article is more particularly defined in another Article, Section, or Subsection of the Philippine Grid Code, the particular definition in that Article, Section, or Subsection shall prevail if there is any inconsistency. GC 1.6.4 Foreword, Table of Contents and Titles The Foreword was added to present the historical background of the Philippine Grid Code 2016 Edition and highlight the significant changes introduced therein. The Table of Contents and Titles were added as a guide, for the convenience of the Users of the Philippine Grid Code. The Table of Contents, the Foreword, and the titles of the Chapters, Articles, and Sections shall be ignored in interpreting the Philippine Grid Code provisions. GC 1.6.5 Mandatory Provisions The word “shall” refers to a rule, procedure, requirement, or any provision of the Philippine Grid Code that requires mandatory compliance. GC 1.6.6 Singularity and Plurality In the interpretation of any Philippine Grid Code provision, the singular shall include the plural and vice versa, unless otherwise specified. GC 1.6.7 Gender Any reference to a gender shall include all other genders. Any reference to a person or entity shall include an individual, partnership, company, corporation, association, organization, institution, and other similar groups. GC 1.6.8 “Include” and “Including” The use of the word “include” or “including” to cite an enumeration shall not impose any restriction on the generality of the preceding words. GC 1.6.9 “Written” and “In Writing” The words “written” and “in writing” refer to the hardcopy of a document that is generally produced by typing, printing, or other methods of reproducing words in a legible format. GC 1.6.10 Repealing Clause All existing rules and regulations, orders, resolutions, and other similar issuances, or parts thereof, which are inconsistent with the provisions of the Philippine Grid Code 2016 Edition and its Appendices are hereby repealed or modified accordingly. 2016 Edition 4 CHAPTER 1 PHILIPPINE GRID CODE GENERAL CONDITIONS (GC) GC 1.7. DEFINITIONS In the Philippine Grid Code, the following words and phrases shall, unless more particularly defined in an Article, Section, or Subsection of the Philippine Grid Code, have the following meanings: Accountable Person. A person who has been duly authorized by the Transmission Network Provider (or a User) to sign the Fixed Asset Boundary Documents on behalf of the Transmission Network Provider (or the User). Act. Republic Act No. 9136 also known as the “Electric Power Industry Reform Act of 2001”, which mandated the restructuring of the electricity industry, the privatization of the National Power Corporation, and the institution of reforms, including the promulgation of the Philippine Grid Code and the Philippine Distribution Code. Active Energy. The integral of the Active Power with respect to time, measured in Watthour (Wh) or multiples thereof. Unless otherwise qualified, the term “Energy” refers to Active Energy. Active Power. The time average of the instantaneous power over one period of the electrical wave, measured in Watts (W) or multiples thereof. For AC circuits or Systems, it is the product of the root- mean-square (RMS) or effective value of the voltage and the RMS value of the in-phase Component of the current. In a three-phase system, it is the sum of the Active Power of the individual phases. Adequacy. The ability of the Power System to supply the aggregate electrical Demand and Energy requirements of the Customers at all times, taking into account scheduled and reasonably expected unscheduled Outages of system elements. Adverse Weather. A weather condition that results in abnormally high rate of Forced Outages for exposed Components while such condition persists, but does not qualify as a Major Storm Disaster. An Adverse Weather condition can be defined for a particular System by selecting the proper values and combinations of the weather conditions reported by the Weather Bureau including thunderstorm, wind velocity, precipitation, and temperature. Alert Warning. A notice issued by the System Operator, including Yellow Alert, Blue Alert, and Red Alert, to notify the Users of the Grid that an alert state exists. Amended Connection Agreement. An agreement between a User and the Transmission Network Provider (or the Distribution Utility), which specifies the terms and conditions pertaining to the renovation or Modification of the User System or Equipment at an existing Connection Point in the Grid (or the Distribution System). Ancillary Service. Support services such as Primary Reserve, Secondary Reserve, Tertiary Reserve, Reactive Power support, and Black Start Capability which are necessary to support the transmission capacity and Energy that are essential in maintaining Power Quality and the Reliability of the Grid. Apparent Power. The product of the root-mean-square (RMS) or effective value of the current and the root-mean-square value of the voltage. For AC circuits or systems, it is the square root of the sum of the squares of the Active Power and Reactive Power, measured in volt-ampere (VA) or multiples thereof. Automatic Generation Control (AGC). It is an Equipment that automatically adjusts the generation to maintain its generation Dispatch, interchange schedule plus its share of Frequency regulation. AGC is a combination of Secondary Control for a Control Area /Control Block and real-time operation of 5 2016 Edition CHAPTER 1 GENERAL CONDITIONS (GC) PHILIPPINE GRID CODE the generation Dispatch function (based on generation scheduling). Secondary Control is operated by the SO while generation scheduling is operated by the respective Generation Companies. Automatic Load Dropping (ALD). The process of automatically and deliberately removing pre- selected Loads from a Power System in response to an abnormal condition in order to maintain the integrity of the Power System. It can be classified as: 1) Under-Frequency Load Shedding (UFLS); and 2) Under-Voltage Load Shedding (UVLS). Availability. The long-term average fraction of time that a Component or system is in service and satisfactorily performing its intended function. Also, the steady-state probability that a Component or system is in service. Available Capacity. The Dependable Capacity, modified for Equipment limitation at anytime. Available Generating Capacity. The sum of the Available Capacity of all operating Generating Units connected to the Grid plus the capacity of standby but readily available Generating Units. Available Generation. The energy that could have been produced by a unit in a given period if operated continuously at its Available Capacity. Backup Protection. A form of protection that operates independently of the specified Components in the primary protective system. It may duplicate the primary protection or may be intended to operate only if the primary protection fails or is temporarily out of service. Black Start. The process of recovery from Total System Blackout using a Generating Unit with the capability to start and synchronize with the Power System without an external power supply. Black Start Capability. The ability of a Generating Unit to go from a shutdown condition to an operating condition, within a specified period of time, without feedback power from the Grid and to start delivering power to the sections of the Grid and provide power to other Generating Plants and other critical loads. Blue Alert. A notice issued by the System Operator when a tropical disturbance is expected to make a landfall within 24 hours. Business Day. Every day except a Saturday, Sunday or National or local holiday. Capability and Availability Declaration. Refers to the data submitted by the Generation Company for its Scheduled Generating Unit, which is used by the Market Operator in preparing the day-ahead Dispatch Schedule. It includes declaration of capability and Availability, Generation Scheduling and Dispatch Parameters, and Price Data. Cascading Outage. The uncontrolled successive loss of system Components triggered by an incident at any location. Central Dispatch. The process of scheduling generation facilities and issuing Dispatch Instructions to industry participants, considering the energy demand, operating reserve requirements, Security Constraints, Outages and other Contingency plans to achieve economic operation while maintaining Power Quality, Stability, Reliability, and Security of the Grid. Circuit Breaker. A mechanical switching device, which is capable of making, carrying, and breaking current under normal circuit conditions and also capable of making, carrying for a specified time, and breaking current under specified abnormal circuit conditions, such as a short circuit. 2016 Edition 6 CHAPTER 1 PHILIPPINE GRID CODE

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