The National Energy Administration prints the Measures for the Entry and Exit of Generating Units from Commercial Operation

On June 12, the National Energy Administration issued a notice on the Measures for the Entry and Exit of Generating Units from Commercial Operation. The document States that the generating units should be within 3 months of the completion of the start-up commissioning of the project (except for wind power,

completion of the start-up and trial operation of the whole set of equipment (within six months after the wind and photovoltaic power generation projects are connected to the grid), the market entities with generating units and independent new energy storage have the commercial operation conditions of Article 7 and Article 8 respectively, and submit relevant materials to the grid enterprises with official documents. It will automatically enter commercial operation from the time point of starting and commissioning of the whole set of equipment. If the conditions for commercial operation are not met

at that time, due to the reasons of the grid-connected entity itself, the commercial operation shall be started from the time point when the conditions for commercial operation are met. If the reasons are not due to the reasons of the grid-connected entity itself, the commercial operation shall be started from the time point when the whole set of equipment is started and commissioned. The

original text is as follows:

Notice

of the National Energy Administration on Printing and Issuing the Measures for the Entry and Exit of Generating Units from Commercial Operation Guo Neng Fa Regulatory Regulation [2023] No.

48 The dispatched offices of the National Energy Administration, China Nuclear Industry Group Co., Ltd., State Grid Co., Ltd., China Southern Power Grid Co., Ltd., China Huaneng Group Co., Ltd., China Datang Group Co., Ltd., China Huadian Group Co., Ltd., State Power Investment Group Co., Ltd., China Three Gorges on Yangtze River Group Co., Ltd., State Energy Investment Group Co., Ltd. China Development Investment Group Co., Ltd., China Resources (Group) Co., Ltd., China General Nuclear Power Group Co., Ltd., Beijing Electric Power Trading Center Co., Ltd., Guangzhou Electric Power Trading Center Co., Ltd., Inner Mongolia Electric Power (Group) Co., Ltd. Relevant power enterprises and trading centers:

In order to further regulate the management of the entry and exit of generating units and independent new energy storage from commercial operation, safeguard the legitimate rights and interests of market entities, and promote the safe and stable operation of the power system, we have revised the Measures for the Management of the Entry and Exit of Generating Units from Commercial Operation (Dian Jian Shi Chang [2011] No.32). The revised Measures for the Entry and Exit of Generating Units from Commercial Operation are hereby printed and distributed to you for implementation.

Appendix:

Article 2 These Measures are applicable to generating units and independent new energy storage dispatched by provincial and above power dispatching agencies approved or filed by the competent departments of the state or local governments in accordance with the relevant provisions of the state. Generating units and independent new energy storage dispatched by power dispatching agencies below the provincial level shall be implemented with reference to these Measures. Article

3 The principles of openness, fairness, impartiality and efficiency shall be adhered to in the work related to the entry and exit of generating units and independent new energy storage from commercial operation. Chapter

II Working Conditions and Procedures

for Grid-connected Commissioning Article 4 The grid-connected commissioning and operation of generating units and independent new energy storage shall comply with the relevant provisions of the Code for Power Grid Operation. Article

5 The following working procedures shall be followed for the first grid-connected commissioning:

(1) Market entities with generating units and independent new energy storage shall sign grid-connected dispatching agreements and power purchase and sale contracts with power dispatching agencies and power grid enterprises.

(2) Power users with self-contained units and independent new energy storage sign high-voltage power supply contracts with power grid enterprises.

(3) Generating units and independent new energy storage shall submit applications for grid-connected operation and relevant information to power dispatching agencies in accordance with the time requirements specified in the Guidelines for Power Grid Operation.

(4) Power dispatching agencies shall arrange grid-connected commissioning and operation within 10 working days after receiving the application from power generation enterprises. In principle, the relevant tests involving the safe and stable operation of the power grid shall be completed within 60 days from the date of approval by the power dispatching authority for pumped storage units, and within 30 days from the date of approval by the power dispatching authority for other generating units. If the power dispatching organization fails to arrange or complete the grid-connected commissioning and operation on time for some reason, it shall explain the reasons in writing to the grid-connected subject and report them to the dispatched office of the National Energy Administration for the record.

(5) Generating units and independent new energy storage related power projects shall comply with relevant regulations and pass supervision and inspection by qualified quality supervision agencies. Xcept for electrical works which meet the exemption conditions.

(6) Independent new energy storage shall complete relevant formalities in accordance with relevant national regulations on quality, environment and fire control. Chapter

III Conditions

for Commercial Operation Article 6 The following work shall be completed before the generating unit is put into commercial operation: The thermal generating unit shall complete the trial operation of parts and the whole set in accordance with the requirements of the Code for Start-up, Trial Operation and Acceptance of Thermal Power Construction Projects (DL/T5437). The hydropower generating unit shall complete the continuous and reliable operation with load according to the requirements of Code for Acceptance of Hydropower Projects (NB/T35048). The wind power generation project shall complete the whole set of startup and trial operation according to the requirements of Code for Acceptance of Wind Power Plant Construction Project (GB/T31997). The photovoltaic power generation project shall complete the startup and trial operation of the whole set according to the requirements of Code for Acceptance of Photovoltaic Power Generation Project (GB/T50796). The pumped-storage unit has completed all test items and passed the 15-day trial operation assessment in accordance with the requirements of the Code for Start-up and Trial Operation of Reversible Pumped-storage Units (GB/T18482). Other types of generating units and independent new energy storage complete the whole set of start-up and trial operation in accordance with the corresponding project acceptance specifications. Article

7 The following conditions shall be met for the generator unit to enter commercial operation:

(1) Sign the unit startup acceptance handover letter or appraisal letter.

(2) Complete the necessary test items for grid-connected operation, and the power dispatching organization has confirmed that the generating units and access system equipment (devices) meet the technical requirements for safe and stable operation of the power grid and the requirements for dispatching management.

(3) Signing grid-connected dispatching agreements and power purchase and sale contracts.

(4) Obtain a power business license (power generation). The generating units shall obtain the power business license (power generation) within 3 months after the completion of the start-up and trial operation of the project (wind power and photovoltaic power generation projects shall be connected to the grid within 6 months), or change the licensing items according to the regulations, and the power generation projects put into operation in batches shall be applied for in batches. Except for units that meet the licensing exemption policy.

(5) The dams of large and medium-sized hydropower stations with a total installed capacity of 50000 kilowatts or more, which mainly generate electricity, have been registered or registered for the record by institutions recognized by the state. Article

8 The following conditions shall be met for independent new-type energy storage to enter commercial operation:

(1) Sign the project start-up acceptance handover letter or appraisal letter.

(2) Complete the necessary test items for grid-connected operation, and the power dispatching organization has confirmed that the equipment (devices) connected to the system meet the technical requirements for safe and stable operation of the power grid and the requirements for dispatching management.

(3) Signing grid-connected dispatching agreements, power purchase and sale contracts or high-voltage power supply and consumption contracts. Article

9 Power grid enterprises shall be responsible for the collection, handling and filing of materials related to commercial operation. Chapter

IV Entering the Commercial Operation Procedure

Article 10 Within three months after the completion of the start-up and trial operation of the whole set of equipment (within six months after the wind power and photovoltaic power generation projects are connected to the grid), the market entities with generating units and independent new energy storage have the commercial operation conditions of Article 7 and Article 8 respectively. The relevant materials will be submitted to the power grid enterprises with official documents, and will automatically enter the commercial operation from the time point of starting the trial operation of the whole set of equipment. If the conditions for commercial operation are not met at that time, due to the reasons of the grid-connected entity itself, the commercial operation shall be started from the time point when the conditions for commercial operation are met. If the reasons are not due to the reasons of the grid-connected entity itself, the commercial operation shall be started from the time point when the whole set of equipment is started and commissioned. Article

11 Thermal power and hydropower generating units shall participate in the cost sharing of power ancillary services from the date of grid-connected power generation, and shall be formally incorporated into the scope of power grid-connected operation and ancillary service management from the time point of completion of the start-up and trial operation of the whole set, and shall participate in the assessment, compensation and sharing of power grid-connected operation and ancillary service management. The nuclear power unit shall be incorporated into the power grid-connected operation and auxiliary service management from the time point of the completion of the whole set of start-up and trial operation. Renewable energy generating units other than hydropower and independent new energy storage shall be included in the management of grid-connected operation and ancillary services from the date of grid-connected power generation of the first unit or inverter.Chapter

V Settlement

of On-grid Electricity during Commissioning and Operation Period Article 12 If the generating units and independent new energy storage automatically enter commercial operation within the specified time, the commissioning and operation period shall be from the time point of grid connection to the time point of completion of the start-up and trial operation of the whole set of equipment. If it fails to enter commercial operation automatically within the specified time, the commissioning operation period shall be from the time point of grid connection to the time point of commercial operation. Article

13 The on-grid electricity of generating units and independent new energy storage during commissioning and operation period shall be purchased by power grid enterprises and incorporated into the source of electricity purchased by agents. Generating units and independent new energy storage will continue to be purchased by power grid enterprises from the time point of start-up and trial operation of the whole set of equipment to the time when the conditions for direct participation in electricity market transactions are met, and will be included in the source of electricity purchased by agents. Article

14 During the period of commissioning and operation of generating units and independent new energy storage, the amount of electricity on the grid shall be settled according to the average price of market-oriented purchase of electricity purchased by local agents of the same type of units in the same month. If the same type of unit does not form the market purchase of electricity purchased by agency in the same month, the settlement shall be made according to the average price of the latest monthly market purchase of electricity purchased by agency for the same type of unit. The current electricity price policy shall be implemented for generating units and independent new energy storage from the time point of commercial operation. Article

15 The dispatched agencies of the State Energy Administration shall determine the cost sharing standards for generating units and independent new energy storage during commissioning and operation, as well as for generating units (excluding emergency standby power supply for coal-fired power) and independent new energy storage ancillary services that can still be connected to the grid after withdrawing from commercial operation, which shall, in principle, be higher than those for commercial operation. However, it shall not exceed 10% of the electricity fee income during the commissioning period of the current month, and the shared expenses shall be settled monthly. Chapter

VI Procedures

for Withdrawal from Commercial Operation Article 16 If a generating unit meets one of the following conditions, it shall automatically withdraw from commercial operation:

(1) If the power business license is cancelled in accordance with the relevant documents of the State, it shall be cancelled from

the time of cancellation.

(2) If a generating unit or an independent new type of energy storage is expanded or rebuilt and the network is released

according to the regulations, it shall start from the time of network release.

(3) If the dam safety registration certificate of a large or

medium-sized hydropower station with a total installed capacity of 50000 kilowatts or more is invalid or cancelled or revoked within the time limit, it shall be invalid or cancelled or revoked within the time limit; If the dam has completed the registration and filing but has not gone through the safety registration within the time limit required by the supervision and management department, it shall be from the overdue time. If the dam safety registration grade is downgraded and fails to reach the Grade A standard within one year, it shall start from the next day after the downgrade for one year; if the dam safety registration grade is Grade B or Grade C for two consecutive times and fails to reach the Grade A standard within one year, it shall start from the next day after the second registration is Grade B or Grade C for one year.

Among them, if the generating unit withdraws from commercial operation but can still generate electricity on the grid due to the reasons that the dam registration of the hydropower station fails to go through the safety registration within the time limit, the safety registration level is downgraded, and the safety registration level is Grade B or Grade C for two consecutive times, it shall not apply for re-entry into commercial operation before the relevant problems are rectified. If a

generating unit withdraws from commercial operation, the power generation enterprise shall promptly inform the relevant power grid enterprises, power dispatching agencies and power trading agencies. Article

17 Before the generating units and independent new energy storage withdraw from commercial operation, in principle, the liquidation and termination of relevant contracts and agreements shall be completed with the parties concerned. Where generating units that have withdrawn from commercial operation and independent new energy storage re-enter commercial operation, relevant procedures shall be carried out and relevant settlement provisions shall be implemented in accordance with these Measures. Chapter

7 Supplementary Provisions

Article 18 Where disputes arise between generating units and independent new energy storage and power grid enterprises, power dispatching agencies and power trading agencies over the entry and exit of commercial operations, they shall be settled through consultation on the principle of equality, voluntariness and good faith. If no consensus can be reached, the dispatched agencies of the National Energy Administration shall coordinate and solve the problem in accordance with the relevant provisions of these Measures, or solve the problem through judicial procedures on their own. Article

19 The dispatched offices of the State Energy Administration may, in accordance with these Measures and in light of the actual situation of their jurisdictions, refine relevant provisions or formulate detailed rules for their implementation. Article

20 These Measures shall come into force as of the date of issuance and shall be valid for 5 years. The Measures for the Administration of the Entry and Exit of Generating Units from Commercial Operation (Dianjian Market [2011] No.32) and the Notice of the State Energy Administration on Cancellation of the Examination and Approval of the Entry of New Generating Units into Commercial Operation (Guoneng Supervision [2015] No.18) shall be abolished at the same time. Where the documents issued are inconsistent with these Measures, these Measures shall prevail.