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Hydropower Investment Promotion Project (HIPP) TRAINING SUMMARY REPORT WORKSHOP ON REACTIVE POWER AND IMPORTANCE TO THE POWER SYSTEM November 1, 2012 This publication was produced for review by the United States Agency for International Develop- ment. It was prepared by Deloitte Consulting

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Hydropower Investment

Promotion Project (HIPP)

TRAINING SUMMARY

REPORT

WORKSHOP ON REACTIVE POWER AND IMPORTANCE TO THE

POWER SYSTEM

November 1, 2012

This publication was produced for review by the United States Agency for International Develop-

ment. It was prepared by Deloitte Consulting

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TRAINING SUMMARY

REPORT

WORKSHOP ON REACTIVE POWER AND IMPORTANCE TO THE

POWER SYSTEM

September 4, 2012

USAID HYDROPOWER INVESTMENT PROMOTION PROJECT

(HIPP)

CONTRACT NUMBER: EEM-I-00-07-00005-0

DELOITTE CONSULTING LLP

USAID/CAUCASUS OFFICE OF ENERGY AND ENVIRONMENT

THURSDAY, SEPTEMBER 4, 2012

DISCLAIMER:

The author’s views expressed in this publication do not necessarily reflect the views of the United

States Agency for International Development or the United States Government.

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TABLE OF CONTENTS

LIST OF ACRONYMS ..................................................................................................... 2

1.0 EXECUTIVE SUMMARY ........................................................................................... 3 Introduction ............................................................................................................ 3

Goals 3

Results ................................................................................................................... 3

Annexes ................................................................................................................. 4

ANNEX I .......................................................................................................................... 5 List of Attendants ................................................................................................... 5

ANNEX II: ....................................................................................................................... 6

Presentation on reactive Power and its Importance to the Power

System ........................................................................................................ 6

ANNEX II: ..................................................................................................................... 13

Presentation on Production and Absorption of Reactive Power .......................... 13

ANNEX III ...................................................................................................................... 20 Presentation on International Experience ............................................................ 20

ANNEX IV ..................................................................................................................... 24

Questions from the workshop: ............................................................................. 24

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LIST OF ACRONYMS

GNERC Georgian National Energy And Water Supply Regulatory Commission

HIPP Hydropower Investment Promotion Project

ENTSO-E European Network of Transmission System Operators for Electricity

USAID United State Agency for International Development

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1.0 EXECUTIVE SUMMARY

Introduction

This report summarizes the training on Reactive Power and its importance for func-

tioning of the Power System provided by HIPP to the Georgian National Energy and

Water Supply Regulatory Commission. The workshop was conducted by Valeriy

Vlatchkov, HIPP Power Market Advisor, on September 4, 2012.

Goals

The primary goal of the workshop was capacity building of the Georgian Energy and

Water Supply Regulatory Commission as well as HIPP staff in Reactive Power is-

sues as a necessary tool for Georgian Power System for voltage and reactive power

control and reduction of losses in the power transmission and distribution networks,

improving the quality and continuity of supply. The main focus of the presentation

was on the critical task that lies before them: i.e. training the Georgian Regulator on

what kind of regulations and mechanisms exist in other countries for reactive power

control and what methodologies for calculation, what equipment and metering devic-

es are necessary for physically metering of the reactive power. Also focused on was

the question as to whether methodologies for control on reactive power are applica-

ble for Georgia.

Results

The participants were very interested in the topic and actively participated in discus-

sions about physical processes in transportation of electricity through transmission

and distribution networks and how reactive power impacts these networks. The par-

ticipants were interested also on what methods and mechanisms exists in reactive

power control and experience from other countries: USA, European Union and other

countries. GNERC representatives noted that it was the first time they looked at the

reactive power process in networks critically that would help them to perform their

regulatory tasks of the measures for eliminating existing discrepancies in the voltage

control and quality of services and quality of supply in Georgia.

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The participants obtained a basic knowledge of the concepts of reactive power, the

need for implementation in Georgia methodologies for control of the reactive power

and it was agreed that standards for reactive power must be mandatory for all licen-

sees and they should be obliged to follow the standards for reactive power control

and to reduce the losses and to increase the quality of services and quality of supply.

The participants were pleased with the workshop, with many stating they had

learned concepts and information they had not been previously aware of or had not

adequately considered. The commissioner attending the seminar stated that the

GNERC should receive deeper knowledge of the concepts of reactive power and the

methodologies used in other regulators for creation and control the quality standards.

Annexes

1. List of Attendants

2. Power Point Presentation (English)

3. Questions from the workshop

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ANNEX I

List of Attendants

No. Name Department Organization

1 Gocha Shonia Commissioner GNERC

2 Nugzar Beridze Head of Electricity Depart-

ment GNERC

3 Zoia Gurielidze Senior Specialist GNERC

4 Alexandre

Chokhinelidze

Senior Specialist GNERC

5 Ilya Kherodinashvili Senior Specialist GNERC

6 Iulon Zarnadze Senior Specialist GNERC

7 Giorgi Didebashvili Senior Specialist GNERC

8 Nato Japaridze Senior Specialist GNERC

9 Maka Sulkhanish-

vili

Legal Dep GNERC

10 Tiko Sakhelashvili Specialist GNERC

11 Mamuka Chitanava Senior Specialist GNERC

12 Mamuka

Chikhladze

Specialist GNERC

13 David Chakhvadze Senior Specialist GNERC

14 Demur Chomakhi-

dze

Consultant GNERC

15 Zoia Gurielidze Senior Specialist GNERC

16 Ilia Nakashidze Head of Division GNERC

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ANNEX II:

Presentation on reactive Power and its Importance to the Power

System

g

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ANNEX II:

Presentation on Production and Absorption of Reactive Power

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ANNEX III

Presentation on International Experience

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ANNEX IV

Questions from the workshop:

1. How the reactive power is metered?

2. How is the reactive power calculated and how it impacts on the electricity bill-

ing?

3. Does it exists in international practice reactive power compensating entities

and can we license it like a business?

4. How does ENTSO-E regulate Reactive Power problem?

5. In Georgia there are many transformers which are loaded by 10-15 %. How

should we regulate this issue?

6. Example of Kobuleti: One big transformer is working during all year- In Sum-

mer it is over-loaded and in winter it is under-loaded.

7. The big transformers are reactive power consumers when they are under

loaded. Can we replace them with small transformers?

8. Is it written in regulations how much reactive power is needed to transfer 1

kWh?

9. Example of Zahesi: Zahesi was obliged by Dispatch to produce reactive pow-

er without any compensation.

10. Can you provide legal basis or Reactive power regulation?

11. Can you provide information on methodology on reactive power regulation?

Signature (required if any action is being requested)

________________________________________________

Please submit your comments to the Instructor at course end, or if you prefer, you

can mail this form either directly to HIPP Office at ______________________, c/o

Communications Specialist.

Thank you for your participation!

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USAID Hydropower Investment Promotion Project (USAID-HIPP)

Deloitte Consulting Overseas Projects - HIPP

11 Apakidze Street, Tiflis Business Center,

Tbilisi 0171, Georgia