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The Arunachal Pradesh Extraordinary Gazette, March 16, 2026

The Arunachal Pradesh Gazette

EXTRAORDINARY

PUBLISHED BY AUTHORITY

No. 75, Vol. XXXIII, Naharlagun, Monday, March 16, 2026, Phalguna 25, 1947 (Saka)

ARUNACHAL PRADESH

STATE ELECTRICITY REGULATORY COMMISSION

ITANAGAR

____________

NOTIFICATION

The 16th February, 2026

APSERC (Deviation Settlement Mechanism and Related Matters) Regulations, 2026

No. APSERC/Notification/55/2026.— In exercise of the powers conferred under sub-section (3) of

Section 32, sub-section (4) of Section 33, sub-section (1) of Section 86 and Section 181 of the Electricity

Act, 2003 (36 of 2003), and all other powers enabling it in this behalf and after previous publication, the

Arunachal Pradesh State Electricity Regulatory Commission hereby makes the following regulations, namely

Arunachal Pradesh State Electricity Regulatory Commission (Deviation Settlement Mechanism and

Related Matters) Regulations, 2026.

1.

Short title and commencement :

(i)

These Regulations may be called the Arunachal Pradesh State Electricity Regulatory

Commission (Deviation Settlement Mechanism and Related Matters) Regulations, 2026.

(ii)

These Regulations shall apply to all Intra-State Entities in Arunachal Pradesh State in a manner

as specified in these Regulations.

(iii)

These Regulations except commercial arrangements, Deviation Charges and penal action shall

come into force from the date of Notification in Official Gazette of Arunachal Pradesh.

2.

Objective :

These regulations seek to ensure, through a commercial mechanism, that grid users do not

deviate from and adhere to their schedule of drawal and injection of electricity in the interest of

security and stability of the grid.

3.

Definitions and Interpretation :

In these regulations, unless the context otherwise requires:

(a)

‘Act’ means the Electricity Act, 2003 (36 of 2003);

(b)

‘Actual drawal’ in a time block means the electricity drawn by a buyer, measured by the

interface meters;

(c)

‘Actual injection’ in a time block means the electricity injected by the seller, measured by the

interface meters;

(d)

‘Ancillary Services’ means the Ancillary Services as defined in the Ancillary Services

Regulations notified by CERC;

(e)

‘Area Clearing Price’ or ‘ACP’ means the price of electricity contract for a time-block

transacted on a Power Exchanges after considering all valid buy and sale bids in particular

area(s) after market-splitting;

(f)

‘Available Capacity’ for generating station based on wind or solar or hybrid of wind- solar

resources which are State entities, is the cumulative capacity rating of wind turbines or solar

inverters that are capable of generating power in a given time block and shall be limited to the

quantum of connectivity granted;

(g)

‘Buyer’ means a person purchasing electricity through a transaction scheduled in accordance

with the APSERC State Grid Code (APSEGC);

(h)

‘Central Commission’ means the Central Electricity Regulatory Commission referred to in

sub-section (1) of Section 76 of the Act;

(i)

‘Commission’ means the Arunachal Pradesh State Electricity Regulatory Commission referred

to in sub- section (1) of Section 82 of the Act;

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(j)

‘Connectivity Regulations’ means the provisions of State Grid Code as amended from time to

time and APSERC (Terms and Conditions of Intra-State Open Access) Regulation, 2026 as

amended from time to time.

(k)

‘Contract rate’ means (i) in respect of a WS seller or a MSW Seller or such other entity as

applicable, whose tariff is determined or adopted or approved under Section 62 or Section 63 or

Section 86 (1) (b) of the Act, in Rs/kWh as determined or adopted or approved by the

Commission; or

(ii)

in respect of a WS seller or a MSW Seller or such other entity as applicable, whose

tariff is not determined or adopted or approved under Section 62 or Section 63 or

Section 86 (1) (b) of the Act, and selling power through power exchange(s), the price as

discovered in the Power Exchanges for the respective transaction; or

(iii)

in respect of a WS seller or a MSW seller or such other entity as applicable, selling power

through open access to a third party or in case of captive consumption of a captive

generating plant based on renewable energy sources the weighted average ACP of the

Integrated- Day Ahead Market segments of all Power Exchanges for the respective time

block; or

(iv)

in case of multiple contracts or transactions including captive consumption, the weighted

average of the contract rates of all such contracts or transactions, as the case may be;

(l)

‘Day Ahead Market (DAM)’ means a market where physical delivery of electricity occurs on the

next day (T+1) of the date of transaction (T) and is governed by the Central Electricity

Regulatory Commission (Power Market) Regulations, 2022 (as amended from time to time), the

Rules and Bye-Laws of the Power Exchanges as approved by the Central Commission.

(m)

‘Deviation’ in a time block for a seller of electricity means its total actual injection minus its total

scheduled generation; and for a buyer of electricity means its total actual drawal minus its total

scheduled drawal in that time block and shall be computed as per Regulation 7 of these

regulations;

(n)

‘Deviation Rate or Deviation Charge’ shall mean the charges for deviation for applicable time

block as stipulated under the Regulation 9 of these Regulations.

(o)

‘Full Open Access Consumer’ shall mean Open Access Consumer connected to a

transmission system or distribution system but not having any contract demand with the

distribution licensee within the state.

(p)

‘Gaming’ in relation to these Regulations, shall mean an intentional mis-declaration of declared

capacity by any Seller or intentional mis-declaration of drawal schedule by any Buyer in order to

make an undue commercial gain through Charge for Deviations;

(q)

‘General seller’ means a seller in case of a generating station based on other than wind or

solar or hybrid of wind-solar resources;

(r)

‘Grid Code’ means APSERC (State Grid Code) as specified by the Commission under clause

(h) of sub-section (1) of Section 86 of the Act.

(s)

‘Indian Electricity Grid Code’ (or ‘IEGC’) ’ means the Grid Code specified by the CERC

under clause (h) of sub-section (1) of Section 79 of the Act;

(t)

‘Infirm Power’ means electricity injected into the Intra-State Grid prior to the date of commercial

operation of a unit of the generating station in accordance with the APSERC State Grid Code.

(u)

‘Integrated Day Ahead Market’ means a market where Day Ahead Contracts are transacted

on the power exchanges, including collective transactions under Day Ahead Market (DAM),

Green Day Ahead Market (Green DAM), and High Price Day Ahead Market (HP-DAM);

(v)

‘Interface meters’ means interface meters as defined under the Central Electricity Authority

(Installation and Operation of Meters) Regulations, 2006, as amended from time to time and/or

any re- enactment thereof;

(w)

‘MSW seller’ means a seller in the case of a generating station based on Municipal Solid Waste

and includes Refuse Derived Fuel (RDF) based MSW generating station;

(x)

‘NERPC’ means North Eastern Regional Power Committee;

(y)

‘Normal Rate of Charges for Deviation’ means the charges for deviation (in paise/kWh) as

referred to in Regulation 8 of these regulations;

(z)

‘Open Access Regulations’ means the Arunachal Pradesh State Electricity Regulatory

Commission (Terms and Conditions of Intra-State Open Access) Regulation, 2026 as amended

from time to time;

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(aa) ‘Partial Open Access Consumer’ shall means Open Access Consumer connected to

transmission system or distribution system and having part of his contract demand with the

distribution licensee within the state;

(bb) ‘Qualified coordinating Agency (QCA)’ means the agency coordinating on behalf of

Wind/Solar Generators connected to a pooling station. QCA may be one of the generators or

any other mutually agreed agency for the following purposes: -

•

Coordinate for schedules with periodic revisions on behalf of all the Wind/Solar

Generators connected to the pooling station(s).

•

Responsible for coordination with STU/SLDC for metering, data collection/ transmission,

communication.

•

Undertake commercial settlement on behalf of the generators of such charges pertaining

to generation deviations only including payments to the Regional/State Deviation Pool

Accounts through the SLDC.

•

Undertake de-pooling of payments received on behalf of the generators from the State

Deviation Pool Account and settling them with the individual generators.

•

QCA shall be treated as a State Entity and shall be registered with SLDC.

(cc)

‘Reference Charge Rate’ or ‘RR’ means (i) in respect of a general seller whose tariff is

determined or adopted or approved under Section 62 or Section 63 or Section 86(1)(b) of the

Act, Rs/kWh energy charge as determined or adopted or approved by the Appropriate

Commission, or

(ii)

in respect of a general seller whose tariff is not determined or adopted or approved under

Section 62 or Section 63 or Section 86(1) (b) of the Act, and selling power through power

exchange(s), the price as discovered in the power exchange for the respective

transaction; or

(iii)

in case of captive consumption of a captive generating plant based on resources other

than renewable energy sources, the weighted average ACP of the Integrated-Day Ahead

Market segments of all the Power Exchanges for the respective time block; or

(iv)

in case of multiple contracts or transactions including captive consumption, the weighted

average of the reference rates of all such contracts or transactions.

(dd) ‘Regional Entity’ means a person whose metering and energy accounting are done at the

regional level by the Regional Load Despatch Centre;

(ee) ‘Run-of-River Generating Station’ or ‘RoR generating station’ means a hydro generating

station which does not have upstream pondage;

(ff)

‘Scheduled drawal’ for a time block or any period means the schedule of drawal in MW or

MWh ex-bus, including the schedule for Ancillary Services given by the concerned Load

Despatch Centre;

(gg) ‘Scheduled generation’ or ‘Scheduled injection’ for a time block or any period means the

schedule of generation or injection in MW or MWh ex-bus, including the schedule for Ancillary

Services given by the concerned Load Despatch Centre;

(hh) ‘SDSMA’ means State Deviation Settlement Account,

(ii)

‘Seller’ means a person, including a generating station, supplying electricity through a

transaction scheduled in accordance with the APSERC (State Grid Code).

(jj)

‘State Deviation Pool Account’ means the Account to be maintained and operated by the

State Load Despatch Centre as per Regulation 11 of these regulations;

(kk)

‘State Entity’ means such person who is in the SLDC control area and whose metering and

energy accounting is done at the state level;

(ll)

‘State Load Despatch Centre (SLDC)’ means State Load Despatch Centre (SLDC) of

Arunachal Pradesh.

(mm) ‘STU’ means the State Transmission Utility notified by the Government of Arunachal Pradesh

State under Section 39(1) of the Act.

(nn) ‘Time Block’ means the time block as defined in the State Grid Code;

(oo) ‘WS seller’ means a seller in case of a generating station based on wind or solar or hybrid of

wind-solar resources and shall include such solar or wind or hybrid generating station, with or

without storage.

Save as aforesaid and unless repugnant to the context or the subject-matter otherwise

requires, words and expressions used in these Regulations and not defined, but defined in the

Act, or the State Grid Code or the Indian Electricity Grid Code notified by CERC or any other

Regulations of this Commission shall have the meaning assigned to them respectively in the Act

or any other regulation.

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4.

Scope :

(i)

These Regulations shall apply to the transactions of conveyance of electricity for all buyers

including distribution licensee, deemed distribution licensee including open access consumer

using intra-state transmission system and / or distribution system of distribution licensee.

(ii)

Deviation Settlement Mechanism under these Regulations shall also be applicable for all

Seller(s) having installed generating capacity 1 MW and above, including renewable energy

generators, open access generators, captive generators (excluding in-situ captive generators)

connected to intra-state transmission/ distribution system as the case may be.

Provided that, the revision in the threshold capacity limit shall be separately notified by

the Commission in stages over the period considering implementation aspects and based on

report to be submitted by SLDC.

5.

Adherence to Schedule and Deviation :

(i)

For a secure and stable operation of the grid, every grid connected Intra-State entity shall

adhere to its schedule as per the State Grid Code and shall not deviate from its schedule.

(ii)

Any deviation shall be managed by the State Load Despatch Centre and the computation,

charges and related matters in respect of such deviation shall be dealt with as per the given

provisions in these regulations.

6.

Duties of State Load Despatch Centre and State Entities :

(i)

These Regulations aim to govern the functioning of various State Entities in a way that

discipline is maintained with regard to the injection and drawal of energy by such State Entities

and the reliability and integrity of the power system is maintained.

(ii)

To meet these objectives, the necessary preconditions and covenants for participation by the

State Entities shall be as under:

(a)

The State Entities shall provide details of all contracts, along with the contract rate, to

SLDC that they have entered into for the exchange of energy.

(b)

The State Entities shall operate their equipment and loads in a manner that is consistent

with the provisions of the applicable regulations specified by the Central Electricity

Authority, Indian Electricity Grid Code, 2023 as amended from time to time and the

Arunachal Pradesh state Grid Code, as amended from time to time and shall include any

re-enactment thereof.

(c)

The State entities shall enter into Connection Agreement/Open Access Agreement with

the concerned transmission licensee, which shall specify physical and operational

requirements for reliable operation and gain physical access and connection to the intra-

State transmission system (In STS) or enter into Connection Agreement/Open Access

Agreement with concerned Distribution Licensee for use of distribution system, as the

case may be in accordance with the APSERC (Terms and Conditions of Intra-State Open

Access) Regulations, 2026 as amended from time to time and shall include any re-

enactment thereof and the provisions of the APSERC State Grid Code.

(d)

The State Transmission Utility (STU) shall make necessary arrangements for putting up

suitable meters along with Automated Meter Reading (AMR) facility as per the provisions

of the metering code under the State Grid Code, capable of recording energy flows at

15-minute intervals or any other time interval as specified by the Commission, at the

points of injection and drawal. The time synchronization of the metering system shall be

through the Global Positioning System with counter check from the State Energy

Accounting Centre within the SLDC.

(e)

SLDC shall take all decisions regarding the despatch of stations after evaluating all the

possible network parameters, constraints, and congestions in the transmission network

and in the eventuality of any such network aberration, the instructions by the SLDC

relating to despatch and drawal shall be binding on all State Entities.

(iii)

SLDC shall publish all such information as required for all other State Entities to be aware of the

energy exchanges taking place within the pool as well as exigency conditions, if any with regard

to despatch of power.

7.

Computation of Deviation :

(i)

Deviation in a time block for general sellers shall be computed as follows:

Deviation-general seller (DGS) (in MWh)=[(Actual injection in MWh)– (Scheduled generation

in MWh)].

Deviation-general seller (DGS) (in %) = 100 x [(Actual injection in MWh)–(Scheduled generation

in MWh)] / [(Scheduled generation in MWh)].

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(ii)

Deviation in a time block for WS sellers shall be computed as follows:

(a)

For the period from the date of commencement of these regulations to 31.03.2026

Deviation-WS seller (DWS) (in MWh) = [(Actual Injection in MWh) – (Scheduled

generation in MWh)];

Deviation-WS seller (DWS) (in %) = 100 x [(Actual Injection in MWh) – (Scheduled

generation in MWh)] / [(Available Capacity)];

(b)

For the period from 01.04.2026 onwards

Deviation-WS seller (DWS) (in MWh) = [(Actual Injection in MWh) – (Scheduled

generation in MWh)];

Deviation-WS seller (DWS) (in %) = 100 x [(Actual Injection in MWh) – (Scheduled

generation in MWh)] / [(X% of Available Capacity) + (100-X) % of Scheduled Generation]:

Provided ‘X’ shall be stipulated by the Commission through separate order(s) after public

consultation if need arises.

(iii)

Deviation in a time block for buyers shall be computed as follows:

Deviation- buyer ((DBUY) (in MWh) = [(Actual drawal in MWh) – (Scheduled drawal in MWh)].

Deviation- buyer ((DBUY) (in %) = 100 x [(Actual drawal in MWh) –

(Scheduled drawal in MWh)] / [(Scheduled drawal in MWh)].

(iv)

Scheduling Period : The scheduling period shall comprise 96-time blocks [or such other

number of time blocks as may be stipulated through separate order from time to time], each of

15-minute duration [or such other time duration as may be stipulated through separate order

from time to time] starting from 00:00 hours (IST) ending with 24:00 hours (IST). The first-time

block of scheduling period shall commence from 00:00 hours (IST) to 00:15 hours (IST), second

time block of scheduling period shall commence from 00:15 hours (IST) to 00:30 hours (IST)

and so on or such other period as may be specified by the Commission.

(v)

Guiding Principles for Scheduling and Despatch : All the General Sellers, RoR hydro

sellers, MSW Sellers, WS Sellers and Buyers under these Regulations shall be guided by the

scheduling and despatch code and procedure formulated by the SLDC in accordance with the

provisions of applicable APSERC State Grid Code and amendment thereof. The MoD principles

as specified in the State Grid Code and the scheduling and despatch procedure thereon shall

be governed by following principles:

(a)

For the purpose of load generation balance during day ahead scheduling, Buyer/Utility-wise

MoD principle shall be followed.

(b)

Wheeling transactions of captive users and open access consumers shall be despatched as

contracted subject only to transmission constraints and system emergency conditions.

(c)

During real time operation, in case the grid parameters including frequency, voltage parameters

and transmission line loading and substation loading conditions deviate beyond permissible

operating range specified in the State Grid Code or IEGC, SLDC shall take suitable measures in

the interest of reliable and safe grid operations or to ensure compliance of RLDC instructions in

conformity with the provisions of the CERC (Deviation Settlement Mechanism and Related

Matters) Regulations, 2024 and its amendments thereof. Accordingly, SLDC shall issue

necessary despatch or curtailment instructions in accordance with MoD principles for the state

as whole, so as to maintain the load- generation balance and comply with conditions stipulated

under IEGC and State Grid Code.

(d)

SLDC shall maintain and publish separate accounts of such actions initiated by SLDC in the

interest of grid operation or in compliance of RLDC instructions in conformity with CERC

(Deviation Settlement Mechanism and Related Matters) Regulations, 2024 as amended from

time to time. SLDC shall publish weekly reports of exchange of power capacity, if any, amongst

the State Entities resulting on account of such SLDC interventions.

(e)

The time block wise settlement of such power exchange on account of such action initiated by

SLDC shall be settled at the applicable Energy Charge rate of concerned generating station, for

the respective time block.

8.

Normal Rate of Charges for Deviations :

(i)

The Normal Rate (NR) of charges for deviation for a particular time block shall be the highest of

(a), (b) or (c); where (a), (b) and (c) are as follows:

(a)

the weighted average ACP (in Paise /kWh) of the Integrated-Day Ahead Market

segments of all the Power Exchanges;

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(b)

the weighted average ACP (in Paise /kWh) of the Real Time Market segments of all the

Power Exchanges;

(c)

the sum of:

1/3 [ Weighted average ACP (in paise/kWh) of the Integrated-Day Ahead Market

segments of all the Power Exchanges];

1/3 [ Weighted average ACP (in paise/kWh) of the Real-Time Market segments of

all the Power Exchanges]; and

1/3 [Ancillary Service Charge (in paise/kWh) computed based on the total quantum

of Ancillary Services (SRAS UP and TRAS UP) deployed and the net charges

payable to the Ancillary Service Providers for all the Regions]:

Provided further that in case of non-availability of ACP for any time block on

a given day, ACP for the corresponding time block of the last available day shall be

considered.

(ii)

The normal rate of charges for deviation shall be rounded off to the nearest two decimal places.

9.

Charges for Deviation :

1.

Charges for Deviation, in respect of a general seller (other than an RoR generating station

and a generating station based on municipal solid waste) shall be as under:

Deviation by way of over injection

(Receivable by the Seller)

Deviation by way of under injection

(Payable by the Seller)

(I) For Deviation upto [10% DGS or 50 MW, whichever is less] and f within f band

[f=System frequency and f band = [49.90Hz ≤ f ≤50.05 Hz]

(i) @ RR when [49.97 Hz ≤ f ≤50.03 Hz]

(i) @ RR when [49.97 Hz ≤ f≤50.03 Hz]

(ii) When [50.03 Hz < f ≤50.05 Hz], for every

increase in f by 0.01 Hz, charges for

deviation for such seller shall be reduced

by 25% of RR so that charges for deviation

become 50% of RR when f = 50.05Hz

(ii) When [50.03 Hz < f ≤50.05 Hz],

for every increase in f by 0.01 Hz, charges

for deviation for such seller shall be

reduced by 7.5% of RR so that charges for

deviation become 85% of

RR when f = 50.05Hz

(iii) When [49.97 Hz > f ≥ 49.90 Hz],

for every decrease in f by 0.01 Hz,

charges for deviation for such seller shall

be increased by 2.15% of RR so that

charges for deviation become 115% of

RR when f = 49.90Hz

(iii) When [49.97 Hz > f ≥ 49.90Hz],

for every decrease in f by 0.01 Hz,

charges for deviation for such seller shall

be increased by 7.15% of RR so that

charges for deviation becomes 150% of

RR when f=49.90Hz

(II) For Deviation up to [10% DGS or 50 MW, whichever is less] and f outside f band

(i) @ zero when [ 50.05 Hz < f < 50.10 Hz]:

Provided that such seller shall pay @ 10%

of RR when [ f ≥ 50.10 Hz]

(i) @ zero when [ 50.05 Hz < f < 50.10 Hz]:

Provided that such seller shall pay @ 10%

of RR when [ f ≥ 50.10 Hz]

(ii) @ 115 % of RR when [f < 49.90 Hz]

(ii) @ 115 % of RR when [f < 49.90 Hz]

(III) For Deviation beyond [10% DGS or 50 MW, whichever is less] and f within and

outside f band

(i) @ zero when (f < 50.10 Hz):

Provided that such seller shall pay @ 10%

of RR when [ f ≥ 50.10 Hz]

(i) @ zero when (f < 50.10 Hz):

Provided that such seller shall pay @ 10%

of RR when [ f ≥ 50.10 Hz]

2.

Charges for Deviation, in respect of a general seller being an RoR generating station, shall

be without any linkage to grid frequency, as under:

Deviation by way of over injection

(Receivable by the Seller)

Deviation by way of under injection

(Payable by the Seller)

(i)

@ RR for deviation up to [15% DRoR or

2 MW, whichever is less];

(ii) @ Zero for deviation beyond [15% D

RoR or 2 MW, whichever is less]

(i)

@ RR for deviation upto [15% DRoR or

2MW, whichever is less];

(ii) @ 105% of RR for deviation beyond [15%

D RoRor2 MW, whichever is less] and

upto [20% D RoR or 4MW, whichever is

less];

(iii) @ 110% of RR for deviation beyond [20%

D RoR or 4 MW, whichever is less].

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3.

Charges for Deviation, in respect of a general seller being a generating station based on

municipal solid waste, shall be without any linkage to grid frequency, as under:

Deviation by way of over injection

(Receivable by the Seller)

Deviation by way of under injection

(Payable by the Seller)

(i)

@ contract rate for deviation upto [20%

DGS];

(ii) @ Zero for deviation beyond [20%

DGS];

(i)

@ contract rate for deviation upto [20%

DGS];

(ii) @ 110% of contract rate for deviation

beyond [20% DGS]

4.

Charges for Deviation, in respect of a WS Seller, including such generating stations aggregated

at a poolling station through QCA shall be without any linkage to grid frequency, as under:

Deviation by way of over injection

(Receivable by the Seller)

Deviation by way of under

injection (Payable by the Seller)

(i) for VLwS (1) @ contract rate;

(ii) for VLwS (2) @ 90% of contract rate

(iii) beyond VLwS (2) @ Zero;

(i) for VLwS (1) @ contract rate;

(ii) for VLwS (2) @ 110% of contract rate;

(iii) beyond VLwS (2) @ 200% of contract rate’

(i)

Note-1: Volume Limits for WS Seller (VLwS): Volume limits of a WS Seller for the period

from the date of commencement of these regulations to 31.03.2026 shall be as under:

WS Seller)

Volume Limit

A generating station based on solar or a

hybrid of wind –solar resources

VLwS (1) = Deviation upto 10% DWS

VLwS (2) = Deviation beyond 10% DWS and

upto 15% DWS

A generating station based on wind resource

VLwS (1) = Deviation upto 15% DWS

VLwS (2) = Deviation beyond 15% DWS and

upto 20% DWS

(ii)

Volume limit of a WS Seller for the period from 01.04.2026 onwards:

WS Seller)

Volume Limit

A generating station based on solar or a

hybrid of wind –solar resources

VLwS (1) = Deviation upto 5% DWS

VLwS (2) = Deviation beyond 5% DWS and

upto 10% DWS

A generating station based on wind resource

VLwS (1) = Deviation upto 10% DWS

VLwS (2) = Deviation beyond 10% DWS and

upto 15% DWS

(iii)

Note-2: In case of aggregation of WS sellers at a pooling station through QCA:

(a)

the contract rate for the purpose of deviation shall be equal to the weighted

average of the contract rates of all individual WS seller(s) opting for aggregation at

the pooling station;

(b)

Available Capacity shall be equal to the cumulative capacity rating of wind turbines

or solar inverters that are capable of generating power in a given time block;

(c)

de-pooling of deviation charges for WS seller(s) connected to the pooling station

shall be as per the methodology mutually agreed upon between the QCA and such

individual WS seller(s).

5.

Charges for Deviation, in respect of a Standalone Energy Storage System (ESS), shall be the

same as applicable to a general seller (other than an RoR generating station and a generating

station based on municipal solid waste) as specified in Clause (1) of this Regulation:

Provided that in the charging mode, deviation by way of over drawal shall be treated as

under injection and deviation by way of under drawal shall be treated as over injection and the

charges for deviation shall be settled accordingly:

Provided further that the charges for deviation including the formula for computation of

Deviation, in respect of charging of a standalone ESS being pumped hydro storage plant shall

be the same as applicable to a WS seller being a generating station based on solar resources.

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6.

Charges for Deviation including the formula for computation of Deviation, in respect of a WS

Seller with ESS connected at the same interconnection point shall be the same (i) as applicable

to a WS seller of respective category during the period solar or wind or hybrid generating station

is injecting power, (ii) as applicable to a standalone ESS as per sub- clause (5) of this

Regulation, when only ESS is injecting power and (iii) as applicable to a standalone ESS for

drawl by ESS based on drawal schedule from the grid as per sub-clause (5) of this Regulation.

Note: Each generator and ESS shall be metered with Special Energy Meter (SEM) so that

individual actual injection/drawal can be captured.

7.

Charges for Deviation, in respect of a Buyer, shall be receivable or payable as under:

Deviation by way of under drawal

(Receivable by the Buyer)

Deviation by way of over drawal

(Payable by the Buyer)

(I) For VLB (1) and f within fband

[VLB= Volume limit for Buyer]

(i) @ 90% of NR whenf =50.00 Hz;

(i) @ NR when f =50.00 Hz;

(ii) When 50.00 Hz < f ≤50.05 Hz , forevery

increase in f by 0.01 Hz, charges for

deviation for such buyer shall be

decreased by 8% of NR so that

charges for deviation become 50% of

NR when f = 50.05Hz;

(ii) When 50.00 < f ≤ 50.05 Hz , for every

increase in f by 0.01 Hz, charges for

deviation for such buyer shall be

decreased by 5% of NR so that

charges for deviation become 75% of

NR when f = 50.05Hz;

(iii) When [50.00 Hz > f ≥ 49.90 Hz], for

every decrease in f by 0.01 Hz,

charges for deviation for such buyer

shall be increased by 1 % of NR so that

charges for deviation become100% of

NR when f = 49.90Hz;

(iii) When [50.00 Hz > f ≥ 49.90 Hz], for

every decrease in f by 0.01 Hz,

charges for deviation for such buyer

shall be increased by 5% of NR so that

charges for deviation become150% of

NR when f = 49.90Hz.

(II) For VLB (1) and f outside fband

(i) @ zero when [ 50.05 Hz < f < 50.10

Hz]: Provided that such buyer shall pay

@ 10% of NR when [ f ≥ 50.10 Hz];

(i) @ 50% of NR when [ 50.05 Hz < f<

50.10 Hz]:@ zero when [f ≥ 50.10 Hz];

(ii) @ NR when [f < 49.90 Hz];

(ii) @ 150 % of NR when [f < 49.90 Hz].

(III) For VLB (2) and f within and outside fband

(i) @ 80% of NR when f ≤ 50.00 Hz;

(ii) @ 50% NR when [50.00 Hz < f ≤ 50.05

Hz];

(iii) @ zero when [50.05 Hz < f <50.10 Hz]:

Provided that such buyer shall pay@ 10% of

NR when [ f ≥50.10 Hz];

(i) @ 150% of NR when f < 50.00 Hz;

(ii) @ NR when [50.00 Hz ≤ f ≤ 50.05 Hz];

(iii) @ 75% NR when [50.05 Hz <f<

50.10@ zero when [ f ≥ 50.10 Hz].

(IV) For VLB (3) and f within and outside f band

(i) @ zero when f < 50.10 Hz: Provided such

buyer shall pay @ 10% of NR when

[ f ≥ 50.10 Hz];

(i)

@ 200% of NR when f <50.00 Hz;

(ii)

@ NR when [50.00 Hz ≤ f < 50.10 Hz]

@ 50% of NR when [ f ≥ 50.10 Hz].

Volume Limits for Buyer:

Buyer

Volume Limit

Buyer (with a schedule upto 400 MW ).

VLB (1) = Deviation [20% DBUY or 40 MW,

whichever is less]

VLB (2) = Deviation beyond [20% DBUY or

40 MW, whichever is less

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The Arunachal Pradesh Extraordinary Gazette, March 16, 2026

8.

Charges for injection of infirm power :

(a)

The charges for deviation by way of injection of infirm power shall be zero:

Provided that if infirm power is scheduled after trial run as specified in the State

Grid Code, the charges for deviation over the scheduled infirm power shall be as

applicable for a general seller or WS seller, as the case may be.

(b)

Notwithstanding the provisions of clauses (1) and (4) of this Regulation, when the system

frequency, f > 50.05Hz, the charges for injection of infirm power or for deviation of

scheduled infirm power after the successful trial run by way of over injection by a general

seller or WS seller, as the case may be, shall be zero.

9.

Drawal of Start-up Power before COD by a generating unit shall be treated as deviation for the

purpose of commercial settlement. The charges for deviation for drawal of start-up power before

the COD of a generating unit or for drawal of power to run the auxiliaries during the shut-down

of a generating station shall be payable at the reference charge rate or contract rate or in the

absence of reference charge rate or contract rate, the weighted average ACP of the Day Ahead

Market segments of all Power Exchanges for the respective time block, as the case may be.

10.

Notwithstanding anything contained in Sub-Regulation (1) to (9) of this Regulation, in case of

forced outage or partial outage of a seller, the charges for deviation shall be @ the reference

charge rate for a maximum duration of eight (8) time blocks or until the revision of its schedule,

whichever is earlier.

10.

State DSM Account (SDSMA) :

The State Load Despatch Centre shall prepare and issue (to all Sellers/Buyers) SDSMA

charges to all Sellers/ Buyers as per the modalities and timelines as under:

(i)

Billing Cycle: The SDSMA billing cycle for all Sellers/ Buyers shall be monthly (calendar

month wise).

(ii)

Meter Reading: Meter Reading shall be automatically read and communicated to SLDC.

(iii)

Implemented Schedule: For preparation of SDSMA Statement, the SLDC shall consider

implemented schedule as available in the NERLDC and SLDC websites and

implemented schedule received from Power Exchanges through E-Mail. SLDC shall be

responsible for timely (as per APSERC State Grid Code) updating and uploading of the

implemented schedule in respect of all Sellers/ Buyers in the SLDC website.

(iv)

Frequency: For preparation of SDSMA Statement, SLDC shall consider frequency as

considered by NERPC in the DSM Statement issued to Distribution licensee, as available

in NERPC or as declared by NERLDC in its website.

(v)

Confirmation of Meter-reading and Schedule: Since meter reading and implemented

schedule data are received in encrypted softcopy, so to minimize the possibility of error,

before processing of the SDSMA bill, SLDC shall again verify data of schedule and

energy injection/drawal from the concerned Sellers/ Buyers and concerned metering

Division of Transmission licensee and Distribution licensee. The Sellers/ Buyers and the

concerned metering Division of Transmission licensee and Distribution licensee shall

verify and confirm the required information within 2 (two) working days from the date of

receipt of such data from SLDC through email.

(vi)

Processing of SDSMA Bill: SLDC shall prepare SDSMA bill within five (5) working days

after the receipt of all related data from all concerned as above. Further, SLDC shall

issue the SDSMA bill to all concerned through hardcopy and softcopy. The softcopy of

the SDSMA bill shall be made available by publishing it on the SLDC website from the

date of issue of SDSMA bill. The soft copy of the SDSMA shall broadly contain the

following information:

(a)

Details of Deviation Settlement Method Tariff Structure currently in force;

(b)

Details of Block-wise,Day-wise and total Deviation transactions for each Entity

(details shall include Scheduled Energy, actual Energy, Charges for Deviation

along with net amount payable/receivable by them);

(c)

Details of transmission constraints and Grid disturbances;

(d)

Any other details which State Load Despatch Centre feels necessary to complete

the Deviation Settlement Method Account.

11.

Accounting of Charges for Deviation Pool Account :

(i)

A statement of Charges for Deviations including Additional Charges for Deviation levied under

these Regulations shall be prepared by the SLDC on weekly basis by the Thursday of the week

and shall be issued to all constituents by Tuesday, for seven-day period ending on the

penultimate Sunday mid-night.

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The Arunachal Pradesh Extraordinary Gazette, March 16, 2026

(ii)

All payments on account of Charges for Deviation including Additional Charges for Deviation

levied under these Regulations and Interest, if any, received for late payment shall be credited

to the funds called the “State Deviation Pool Account”, which shall be maintained and operated

by the SLDC in accordance with the provisions of these Regulations.

Provided that—

(a)

The Commission may by Order direct any other entity to operate and maintain respective

“State Deviation Pool Account”.

(b)

Separate books of accounts shall be maintained for the Principal component and Interest

component of Charges for Deviation and Additional Charges for Deviation by the SLDC.

(c)

The State entities shall comply with statutory requirements for payment of applicable

statutory levies, including but not limited to Goods and Service Tax (GST), Tax deduction

at source (TDS).

(d)

The State entities shall facilitate SLDC in meeting with the reporting requirements of

Statutory Authorities, as necessary.

(iii)

The State Deviation Pool Account shall receive credit for:

(a)

Payments on account of charges for deviation referred to in Regulation 9 of these

regulations and the late payment surcharge as referred to in Regulation 11 of these

regulations.

(b)

Receipt, from Deviation and Ancillary Services Pool Account- Regional, towards Reactive

energy exchange, DSM etc. issued for the State by NERPC in accordance with

IEGC/CERC DSM Regulations.

(c)

Such other charges as may be notified by the Commission.

(iv)

The State Deviation Pool Account shall be charged for:

(a)

Any cost of expense or other charges incurred on recovery of Charges for Deviation.

(b)

Over dues or penal Interest, if applicable

(c)

Normal Interest

(d)

Regional Deviation Pool Account

(e)

Charges for Deviation and Additional Charges for Deviation.

(f)

Such other charges as may be notified by the Commission.

(v)

The Settlement Account for Inter-State Deviation of the State as well as that for Intra-State

Deviation shall be maintained separately by SLDC.

(vi)

The surplus amount in the State Deviation Pool Account at the end of the financial year shall be

utilised for the purpose of improvements in power system operations, for undertaking such

measures and studies for improvement in reliability, security and safety of grid operations,

undertaking capacity building and training programs related to system operations and market

operations and for such other purposes as may be specified by Commission with prior approval

of the Commission. The SLDC shall prepare Scheme(s) and shall submit annual plan to the

Commission before utilization of surplus fund. The Commission, if so desire, may invite

proposals/suggestions from various stakeholders for utilization of such surplus amount in the

State Deviation Pool Account.

Provided that, the short fall in funds in the State Deviation Pool Account; if any, at the end

of the weekly settlement period shall be recovered by levy of additional charge from the State

Entities in proportion to Net Deviation Charges Payable by concerned State Entity for the

applicable weekly settlement period through supplementary bills.

Provided that SLDC shall submit the Annual statement of SDSM Account to Commission

for information.

12.

State Energy Accounting :

(i)

A detailed energy accounting procedure shall be prepared by the SLDC as per Regulation 9

along with methodologies for the computation of Charges for Deviation for each state entity in

line with the provisions of these Regulations within three months of notification of these

Regulations and shall be submitted to the Commission for approval.

(ii)

Provided that, SLDC shall undertake stakeholder consultation by uploading the draft procedure

and methodology on SLDC’s website before submission of procedure to the Commission for

approval.

(iii)

The SLDC shall prepare a statement of State Energy Account including Reactive Energy

Account for each time block for the Buyers and Sellers on a monthly basis. Data required for the

billing of partial open access consumers shall be passed on to the billing center of the

distribution licensee by SLDC.

(iv)

The charges for over-drawal/under-injection and under-drawal/over-injection of electricity

shall be computed by the SLDC in accordance with the methodology used for preparation of

“State Energy Accounts”.

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The Arunachal Pradesh Extraordinary Gazette, March 16, 2026

(v)

The SLDC shall, on weekly basis, prepare and publish on its website the records of the

Deviation Accounts, specifying the quantum of over-drawal/under-injection and the

corresponding amount of Charges for Deviation payable/receivable for each Buyer and Seller

for all the time-blocks.

13.

Schedule of Payment of charges for deviation :

(i)

The payment of charges for deviation shall have a high priority and the concerned State entity

shall pay the due amounts within 10 (ten) days of the issue of Statement of charges for

deviation by the SLDC, failing which late payment surcharge @ 0.04% shall be payable for each

day of delay.

(ii)

All Payment to the entities entitled to receive any amount on account of Charges for Deviation

shall be made within two working days of the receipt of payments in the “State Deviation Pool

Account”.

Provided that –

In case of delay in the payment of Charges for Deviations into the State Deviation Pool

Account and Interest there on if any, beyond 12 days from the date of issue of the Statement of

Charges for Deviations, the State Entities receiving payment for Deviation or Interest thereon

shall be paid from the balance available in the State Deviation Pool Account. In case the

balance available is not sufficient to meet the payment to the State Entities, the payment from

the State Deviation Pool Accounts shall be made on pro rata basis from the balance available in

the State Deviation Pool Account.

(iii)

If, any State entity, at any time during the previous financial year, fails to make payment of

charges for deviation within the time specified in these regulations, shall be required to open a

Letter of Credit (LC) equal to 110% of its average payable weekly liability for deviations in the

previous financial year in favour of the State Load Despatch Centre within a fortnight from the

start of the current financial year.

(iv)

In case of failure to pay into the State Deviation Pool Account within 10 (ten) days from the date

of issue of Statement of charges for deviation, the State Load Despatch Centre shall be entitled

to encash the LC of the concerned State entity to the extent of the default and the concerned

State entity shall recoup the LC amount within 3 days.

Provided that, if the entity is defaulting continuously, for delay/ non-payment of DSM

charges, after encashing the LC, the SLDC shall approach the Commission with the

recommendation for initiating the penal action against the default entity for the persistence

default, under Section 142 of EA 2003.

14.

Reactive Energy Management and Accounting :

SLDC will be responsible for managing the Reactive Energy Requirement as per the Clause 10.7 of

Arunachal Pradesh State Electricity Regulatory Commission (State Grid Code) Regulations, 2025 as

amended from time to time. The settlement of Reactive Energy Pool Account shall be in accordance

with the procedures defined in State Grid Code.

Provided that, till the time the separate Reactive Energy Pool Account for the intra state entities

are created and operationalized by the SLDC, the amount available in the State Deviation Pool

Account may also be utilized by SLDC for payment to the Regional Pool account on temporary basis.

15.

Compliance with the Instructions of State Load Despatch Centre :

Notwithstanding anything specified in these Regulations, the Sellers and the Buyers shall strictly follow

the instructions of the SLDC on injection and drawl in the interest of grid security and grid discipline.

16.

Transition Period for implementation of these Regulations :

(i)

The Regulations shall come into force from the date of its publication in the Official Gazette and

remain in force unless amended, varied, altered, or modified by the Commission.

(ii)

SLDC shall develop and submit detailed procedures in accordance with these regulations within

3 months of the notification of these regulations.

(iii)

SLDC shall prepare the required software and shall run mock trial within six months in

accordance with these regulations.

(iv)

The State Power Committee constituted under State Grid Code shall provide necessary support

to SLDC in finalizing the procedures mentioned under these Regulations and also support the

Commission for suitable modifications/issuance of operating procedures, practice directions and

amendment to the provisions of this Regulations, as may be necessary, time to time.

17.

Treatment of Gaming :

(i)

The Commission, either suo-motu or on a Petition made by the SLDC, or any affected party,

may initiate proceedings against any General Seller or any Buyer on charges of gaming and if

required, may order an enquiry to be made by such officer of the Commission or such other

party as the Commission may deem fit. The enquiry officer or such other party so appointed

shall submit the findings after enquiry in the matter within such time as may be fixed by the

Commission and such investigating officer or such other party shall exercise all powers as

envisaged under Section 128 of the Act.

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The Arunachal Pradesh Extraordinary Gazette, March 16, 2026

(ii)

If in the proceedings initiated by the Commission or in the enquiry made in this regard under

Clause (1) above, it is proved that any General Seller or any Buyer has indulged in gaming, the

Commission may without prejudice to any other action under the Act or Regulation made

thereunder, disallow any Charges for Deviation to such Seller or Buyer during the period of such

gaming.

18.

Power to Relax :

The Commission may by general or special order, for reasons to be recorded in writing and after

giving an opportunity of hearing to the parties likely to be affected, may relax any of the provisions of

these regulations on its own motion or on an application made before it by the affected party.

19.

Power to Amend :

The Commission, recording the reasons in writing, may, at any time, vary/ alter/ modify/ amend any of

the provisions of these Regulations through an amendment.

20.

Power to Remove Difficulty :

If any difficulty arises in giving effect to these regulations, the Commission may on its own motion or

on an application filed by any affected party, issue such practice directions as may be considered

necessary in furtherance of the objective of these regulations.

21.

Interpretation :

If a question arises relating to the interpretation of any provision of these Regulations, the decision of

the Commission shall be final.

By the Order of the Commission

Dibyatanu Sengupta

Secretary (i/c),

Arunachal Pradesh State Electricity Regulatory Commission

Itanagar.

___________

Published and printed by Directorate of Printing and Stationery, Naharlagun.- 201/2026-DoP-250+Secy. i/c (APSERC)-50-3-2026.