Cross-Border Power Trade and Grid Interconnection in SAARC Region: Technical Standardization and Power Pool Model

Cross-border power trading through grid interconnection has gained significant attention in South Asia to support energy deficit states of the South Asian Association for Regional Cooperation (SAARC) region. Nonetheless, cross border grid interconnection requires technical standardization and grid code synchronization to ensure technically feasible, reliable, safe and economical power exchange among the SAARC states. Importantly, grid code harmonization necessitates the uniformity of technical data and codes among the member states. In this paper, we investigate the relevant factors such as regional barriers, trade potential, a gap in the grid codes, standardization of technical data, energy pricing, load profile, the load factor of different states, and regulatory framework of different states. All these factors are found to be helpful in formulating a set of recommendations for seamless power grid interconnections and power trading. We have developed a power pool model for the SAARC region with an objective to effectively realize the objectives of cross-border power trade in the region. The presented model takes account of transparency in market-clearing price, bidding of data, season-wise load profile, market volume, best case practices, institutional setup and rigorous case studies to ensure seamless grid interconnection and reliable power trading within the region.