1. Discussion of Isolated Small Scale Electrical Power Enterprise Regulations Nay Pyi Taw, March Jakob Schmidt-Reindahl

2. Chapter 10 “Tariffs Rates and Service Charges”, Section 42.
Regulatory authorities granted by the Electricity Law to Regions/States/SAD/SAZ
Relevant Region and State Governments and Leading Bodies of SAD/SAZ shall
grant permission for Small Scale Electric Power Generation and Distribution Projects, which are not connected to the National Grid
prescribe the tariffs rates and service charges for Electric Power Generation and Distribution in their respective regions
Chapter 4 “Authorized Persons and their Responsibilities”, Section 9. (a)
Chapter 10 “Tariffs Rates and Service Charges”, Section 42.

3. Overview of regulatory functions for Isolated Small Scale Electrical Power Enterprises
Protection of interests of Electricity Consumers
Performance standards must be met to ensure safe consumption of electricity
Electricity tariffs must be affordable
Quality of service must meet respective standards
Protection of interests of Electricity Providers
Permitting is simple and predictable
Electricity tariffs allow economic viability
Economically viable exit strategy in case of connection of National Grid

4. Arrangement of Sections
Proposal for Isolated Small Scale Electrical Power Enterprise Regulations
Arrangement of Sections
PART I General
PART II Characteristics of Isolated Small Scale Electrical Power Enterprises
PART III Certificate of Exclusivity
PART IV Permitting
PART V Commissioning
PART VI Compensation Certificate
PART VII Interconnection
PART VIII Reporting Requirements
PART IX Tariff Requirements
PART X Miscellaneous
SCHEDULES

5. Small Scale Electrical Power Enterprise
Definitions
Small Scale Electrical Power Enterprise
means a project wich can generate and/or distribute no more than ten (10) MW of electric power.
Electricity Authority
means the [State/Region/SAZ] authority which may grant permission to conduct a small scale electric power generation or distribution project.
Large Distribution Network (LDN)
means a Distribution Network that is part of the National Grid with peak load exceeding ten (10) MW [e.g. ESE, YESC, MESC]

6. $ SMALL DISTRIBUTION NETWORK (SDN) SMALL ELECTRICITY RETAILER (SER)
SMALL POWER PRODUCER (SPP) $

7. $
MINI-GRID

8. Isolated = not connected to the National Grid
Characteristics of Isolated Small Scale Electrical Power Enterprises (Part II)
Type of Small Scale Electrical Power Enterprises
Abbr.
Generation
Distribution
Sale
Isolated Mini-Grid -
Isolated Small Power Producer
SPP
Isolated Small Distribution Network
SDN
Isolated Small Electricity Retailer
SER
Isolated = not connected to the National Grid

9. Certificate of Exclusivity (CoE) Compensa-tion Certificate
Exclusive rights to carry out project development activities at a specific site
Permitting
Permission to operate systems up to 100 kW (simplified process) or up to 10 MW
Tariff approval
Permission to charge tariffs that allow for economically viable operation
Compensa-tion Certificate
Guarantee to receive financial compensation in the event of national grid arrival
Commis-sioning
Inspection of installations and commencement of operations
optional
optional

10. Certificate of Exclusivity Request Process (§7)
Receive notification of receipt of complete request within 7 days 4
Receive CoE within 30 days from date of receipt of complete request 5
Identification of suitable project site 1
Consumer engagement – signature of No Objection Certificate 2
Submit Request for CoE to Electricity Authority 3
Accompanying documentation:
GPS coordinates of the proposed location of project assets
Description of the project and site details
Proposed maximum power capacity, in kilowatts, to be generated, distributed and/or sold to the Electric Power Consumers
“No Objection Certificate” issued by the relevant Electric Power Consumer Association.
Certificate of Exclusivity:
provides exclusive rights to carry out project preparation activities (e.g. feasibility studies, environmental impact assessments, financial arrangements, land acquisition, etc.) in a designated Service Territory
Request is voluntary
is initially valid for 12 months, but can be extended for a period of up to 6 months at a time.

11. Permitting of Isolated Small Scale Electrical Power Enterprises (Part IV)
The Electricity Law, Chapter 12, Section 44: No person shall engage in Electricity Related Business without having a permit.
A Permit means the permission granted by the Electricity Authority to any local or foreign individual or entity to engage in Electricity Related Business.
Capacities up to 100 kW
Capacities up to 10 MW
The Permit Holder is authorized to engage in electricity generation, distribution and/or retail with capacities up to kW
Simplified permitting procedure
The Permit Holder is authorized to engage in electricity generation, distribution and/or retail with capacities up to 10 MW
Full permitting procedure

12. Permitting Application and Approval Procedure for projects ≤ 100 kW (§15)
Receive notification of receipt of complete Application within 14 days 5
Notification is equivalent to issuance of a Permit 5
Identification of suitable project site 1
Consumer engagement – signature of No Objection Certificate 2
Carry out system design 3
Submit Application for a Permit to Electricity Authority 4
Accompanying documentation:
Prescribed fee
Description of the project
“No Objection Certificate“ issued by the respective Electric Power Consumer Association
For Mini-Grid, Isolated SPP/SDN projects, a certified copy of the CoE, if any
Evidence that the applicant meets minimum environmental, health, and safety standards
Permit for projects ≤ 100 kW:
The Permit Holder is authorized to engage in electricity generation, distribution and/or retail with capacities up to and including 100 kW

13. Permitting Application and Approval Procedure for projects > 100 kW and ≤ 10 MW (§15)
Receive notification of receipt of complete Application within 14 days 5
Receive Permit within 30 days from date of receipt of complete request 6
Identification of suitable project site 1
Consumer engagement – signature of No Objection Certificate 2
Carry out system design and obtain permits/approvals 3
Submit Application for a Permit to Electricity Authority 4
Accompanying documentation:
All documents for Application ≤ 100 kW, plus
Evidence that the applicant meets statutory requirements
Certified copies of the business registration documents, if applicable
Business plan
Proof of the financial capability for the proposed electricity related business
Additional documents depending on the type of project developer (Mini-Grid/Isolated SPP/SDN/SER)
Permit for projects > 100 kW and ≤ 10 MW:
The Permit Holder is authorized to engage in electricity generation, distribution and/or retail with capacities larger than 100 kW and up to and including 10 MW

14. Tariff Requirements (Part IX)
The Electricity Law, Chapter 10, Section 41.: Region or State Governments, Leading Body of SAD or SAZ, may, through coordination with the Ministry, prescribe the tariffs rates and services charges for Electric Power Generation and Distribution for Regional Electric Power System.
A Retail Tariff means any charge, fee, price or rate that must be paid by Electric Power Consumers to purchase electricity
Determination of Retail Tariffs for Permit Holders (§28)
Allowing for reasonable return on investment
Tariffs may be adjusted for inflation and changing fuel prices

15. Application Process for Compensation Certificate (§25)
Receive notification of receipt of complete Application within 7 days 4
Obtain Permit 1
Receive Certificate within 60 days from date of receipt of complete request 5
Carry out engineering studies 2
Submit Application for Compensation to Electricity Authority 3
Accompanying documentation:
Prescribed fee
Description of the project, site details
Engineering design specifications of the electrical portions of the project
Engineering studies such as load flow or fault studies, if applicable
Compensation Certificate:
provides the right to receive financial compensation in the event of the arrival of the Large Distribution Network to the Permit Holder‘s Service Territory.

16. Arrival of LDN to Service Territory of Permit Holder (§26)
Transfer all assets to LDN for compensation
Convert to grid connected SPP, SDN or SER*
Decomission and remove all assets
With Compensation Certificate
Without Compensation Certificate
*as per Union Ministry of Electricity and Energy Grid Connected Small Scale Electric Power Enterprise Regulations, 2018

17. Feedback from State/Region consultation workshop
Proposed Isolated Electrical Power Enterprise Regulations are highly welcomed by State/Region representatives
Proposed Regulations shall be used as template to be adapted to respective policy and legislative frameworks in the States/Regions/ SAD/SAZ
In some States/Regions/SAD/SAZ, electricity laws are already existing or in preparation, in others support for the development of respective frameworks would be welcomed
Once finalized, the States/Regions Governments will submit the Regulations to their parliaments for ratification, after which they will be signed and enacted by the Chief Minister

18. Guiding questions for group discussion
Would you agree to the proposed thresholds for simplified permitting (≤100kW) and normal permitting (>100kW and ≤1MW)?
1. Thresholds
Do you consider the proposed application processes (for Certificate of Exclusivity, Permit, Compensation Certificate) appropriate?
2. Application processes
Do you consider the proposed Compensation Certificate a feasible protection measure for private investors?
3. Compensation Certificate
What are the protection measures you would want to see in these regulations to cover the main risks for private investors?
4. Other protection measures

19. Thank you for your attention!
Q&A