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Energy Alert – December 2024

ALERT – ENERGY

The publication of the draft amendment to section 6.2.2 of the Technical Standard for the Coordination of Real-Time Operation of Interconnected Systems (“NTCOTR”) is authorized

On November 27, 2024, Ministerial Resolution No. 444-2024-MINEM/DM was published, which authorizes the publication of the draft Directorial Resolution that modifies sub section 6.2.2 of section 6.2 of the Sixth Title of the Directorial Resolution No. 014-2005-EM-DGE, NTCOTR.

The purpose of the draft regulation is to establish as an obligation of all generation plants, without exception, to provide the Primary Frequency Regulation (“RPF”) service.

The most relevant aspects of the draft legislation are:

1. Mandatory RPF for all Renewable Energy Resources Generation Plants (“RER Plants”): The exemption that solar, wind and tidal generation plants currently have from providing the Primary Frequency Regulation service is eliminated from section 6.2.2 (Art. 1).

2. Effective date: The Directorial Resolution would come into force the day after the publication of the resolution approving the modification of the relevant COES Technical Procedures (Final Supplementary Provisions).

3. Adequacy periods: Adequacy periods are established for RER Plants with Definitive Generation Concession Contracts: (i) 12 months for plants with Commercial Operation as of the effective date; and, (ii) 6 months for plants that do not have Commercial Operation as of the effective date. The plants with RER Contracts resulting from the RER Auctions must provide the service as from the expiration date of the term of their RER Contract (Transitional Supplementary Provisions).

In the following link you can find the draft regulation and its explanatory memorandum.

Opinions, comments and/or suggestions will be received until December 20, 2024.


For further information, please contact Veronica Sattler (vsattler@estudiorodrigo.com), Alejandro Manayalle (amanayalle@estudiorodrigo.com) and/or Margarett Matos (mmatos@estudiorodrigo.com).