POWER SCENARIO IN INDIA

Power Scenario in India SEMINAR REPORT ON POWER SCENARIO IN INDIA SUBMITTED TO SAVITRIBAI PHULE UNIVERSITY OF PUNE FOR PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF BACHELOR OF ENGINEERING IN ELECTRICAL ENGINEERING BY PATIL VAIBHAV RAVINDRA ROLL NO.59 UNDER THE GUIDANCE OF PROF.MRS .S.S.PITRE DEPARTMENT OF ELECTRICAL ENGINEERING STES’s NBN SINHAGAD TECHNICAL INSTITUTE CAMPUS NBN SINHAGAD SCHOOL OF ENGINEERING 10/1, AMBEGAON (BK) PUNE-411041 2014-15 Power Scenario in India Department of electrical engineering NBN Sinhagad School of Engineering, Pune-41 CERTIFICATE This is certify that the seminar report on POWER SCENARIO IN INDIA Has been successfully completed by PATIL VAIBHAV RAVINDRA Towards the partial fulfillment of the degree of bachelor of engineering in electrical engineering as awarded by the university of pune, at NBN Sinhagad school of engineering during the academic year 2014-15 - - PROF.S.S.PITRE PROF V.S.DESHPANDE PROF.S.D.MARKANDE Guide H.O.D Principal Electrical Engg Dept Electrical Engg Dept Electrical Engg Dept NBN Sinhgad school NBN Sinhgad school NBN Sinhgad School of Engg Pune of Engg Pune of Engg Pune Power Scenario in India ACKNOWLEDGEMENT I am immensely glad to represent this seminar report entitled, “Power Scenario in India” I take this opportunity to express my profound gratitude and deep regards to my guide Prof.Mrs.S.S.Pitre and our H.O.D.Prof.Ms.V.S.Deshpande for their exemplary guidance, monitoring and constant encouragement throughout the course of this thesis The blessing, help and guidance given by them time to time shall carry me a long way in the journey of life on which I am about to embark Patil Vaibhav Ravindra (Roll No-59) Power Scenario in India INDEX SR.NO TITLE PAGE NO Abstract Introduction of Energy 1.1 Overview 1.2 Demand The 17th electric power survey of India Electricity in India 3.1 Electricity Consumption 3.2 Electricity Generation 3.3 Electricity Transmission and Distribution Types of Energy Sources 12 15 17 19 24 4.1 Conventional Sources 4.2 Non-Conventional Sources 25 30 Resources availability 38 39 5.1 Resource potential in electricity sector 5.2 Electricity as substitute to imported LPG and Kerosene Problems with India’s Power sector 40 Role of Government in power sector 7.1 Electricity trading with neighbour countries 7.2 Rural Electrification 7.3 Government owned power companies 42 43 43 Regulation and administration 8.1 Human Resources management 8.2 Funding of power infrastructure 44 45 Conclusion 46 References 47 Power Scenario in India Abstract India is a country with more than 1.2 billion people accounting for more than 17% of world’s population It is the seventh largest country in the world with total land area of 3,287,263 sq kilometers India measures 3214 km from north to south and 2993 km from east to west It has a land frontier of 15,200 km and coastline of 7,517 km India has 28 states and union territories It faces a formidable challenge in providing adequate energy supplies to users at a reasonable cost It is anticipated that India’s nominal GDP will exceed US $ trillion by March 2012 India’s nominal GDP crossed the US $ trillion mark in 2007-2008 which means that the annual growth rate of nominal GDP during the period is stupendous 18 percent Thus the energy challenge is of fundamental importance In the last six decades, India’s energy use has increased 16 times and the installed electricity capacity by 84 times In 2008, India’s energy use was the fifth highest in the world Nevertheless, India as a country suffers from significant energy poverty and pervasive electricity deficits In recent years, India’s energy consumption has been increasing at a relatively fast rate due to population growth and economic development, even though the base rate may be somewhat low With an economy projected to grow at 8-9% per annum, rapid urbanization and improving standards of living for millions of Indian households, the demand is likely to grow significantly As per the estimates made in the Integrated Energy Policy Report of Planning Commission of India, 2006, if the country is to progress on the path of this sustained GDP growth rate during the next 25 years, it would imply quadrupling of its energy needs over 2003-04 levels with a sixfold increase in the requirement of electricity and a quadrupling in the requirement of crude oil The supply challenge is of such magnitude that there are reasonable apprehensions that severe shortages may occur Keywords:Demand, Demand Trends, Generation, Transmission, Distribution, Electricity Trading, Regulation and Administration Power Scenario in India List of Tables Table No Name Page No 1.1 Growth of Installed Capacity in India 12 1.2 All India Power Supply Position 2014-15 14 3.1 Growth of Electricity Consumption in India 17 3.2 Per-Capita Electricity Consumption ( 2011-12 ) 18 3.3 Reported Data ( October 2012 ) 20 3.4 All India Installed Capacity ( State wise ) 20 3.5 All India Installed Capacity ( Sector wise ) 23 3.6 Installed Transmission and Distribution Capacity 24 4.1 ( Jun 2014 ) Renewal Energy Installed Capacity India ( Jan 2014 ) 30 Chapter Power Scenario in India Introduction to Energy In recent years availability of power in India has both increased and improved but demand has consistently outstripped supply and substantial energy and peak shortages prevailed in 2009-10 There are also various estimates of 25000 to 35000 MW of power being produced by diesel generation to meet the deficits Electricity shortage is not the only problem Its spread is anequally serious issue In the past, the selection of an energy resource for electricity generation was dominated by finding the least expensive power generating plant Although such an approach is essential, there is growing concern about other aspects of power generation such as social, environmental and technological benefits and consequences of the energy source selection Figure shows a comparison of different energy sources for life cycle emissions It can be observed that coal has the maximum global warming potential followed by Natural Gas and others Further, it needs to be re-emphasized that for India, like most developing countries, the cost of producing electricity is of paramount concern while planning for the type of plant to be installed and commissioned and more so with abundant supply of coal However, in the long run if we take the effect of the pollutants on human health and environment and cost as well as efforts needed to improve or alter the path of degradation, the initial higher cost of using renewable resources for producing energy may not be too big A high degree of caution is also needed as emerging economies like India may not at present have financial resources to leapfrog directly to cleaner mechanisms of energy Since global warming is an international phenomenon and it has no boundaries there is an urgent need for the transfer of technology and development of appropriate financial instruments from developed the world to nations who are still trying to find their rightful places No argument is needed to understand that the world is today facing the problem of global warming due to rapid industrialization and urbanization followed by the western world In terms of per capita equity India is 145th in the world with a release of 1.25 t CO2 per annum 1.1 Overview The Indian economy has experienced unprecedented economic growth over the last decade Today, India is the ninth largest economy in the world, driven by a real GDP growth of 8.7% in the last years (7.5% over the last 10 years) In 2010 itself, the real GDP growth of India was the 5th highest in the world This high order of sustained economic growth is placing enormous demand on its energy resources The demand and supply imbalance in Power Scenario in India energy is pervasive across all sources requiring serious efforts by Government of India to augment energy supplies as India faces possible severe energy supply constraints A projection in the Twelfth Plan document of the Planning Commission indicates that total domestic energy production of 669.6 million tons of oil equivalent (MTOE) will be reached By 2016-17 and 844 MTOE by 2021-22 This will meet around 71 per cent and 69 per cent of expected energy consumption, with the balance to be met from imports, projected to be about 267.8 MTOE by 2016-17 and 375.6 MTOE by 2021-22 India’s energy basket has a mix of all the resources available including renewables The dominance of coal in the energy mix is likely to continue in foreseeable future At present India's coal dependence is borne out from the fact that 54 % of the total installed electricity generation capacity is coal based and 67% of the capacity planned to be added during the 11 Five year Plan period 2007-12, is coal based Furthermore, over 70 % of the electricity generated is from coal based power plants Other renewables such as wind, geothermal, solar, and hydroelectricity represent a percent share of the Indian fuel mix Nuclear holds a one percent share The share of Coal and petroleum is expected to be about 66.8 per cent in total commercial energy produced and about 56.9 per cent in total commercial energy supply by 2021-22 The demand for coal is projected to reach 980 MT during the Twelfth Plan period, whereas domestic production is expected to touch 795 MT in the terminal year (2016-17) Even Though the demand gap will need to be met through imports, domestic coal production will also need to grow at an average rate of per cent compared to about 4.6 per cent in the Eleventh Five Year Plan The share of crude oil in production and consumption is expected to be 6.7 per cent and 23 per cent respectively by 2021-22 In 2011-12, India was the fourth largest consumer in the world of Crude Oil and Natural Gas, after the United States, China, and Russia India’s energy demand continued to rise in spite of slowing global economy Petroleum demand in the transport sector is expected to grow rapidly in the coming years with rapid expansion of vehicle ownership While India’s domestic energy resource base is substantial, the country relies on imports for a considerable amount of its energy use, particularly for Crude Petroleum Power Scenario in India Combustible renewables and waste constitute about one fourth of Indian energy use This share includes traditional biomass sources such as firewood and dung, which are used by more than 800 million Indian households for cooking CE India faces a significant challenge in providing access to adequate, affordable and clean sources of energy, especially cooking fuel to a large section of the population, most of who live in rural areas As per the 2011 Census, almost 85% of rural households were dependent on traditional biomass fuels for their cooking energy requirements National Sample Survey2009-10 reveals the continued dependence on firewood in rural areas for cooking, with percentage of households depending on firewood remaining at 76.3% in 200910 – a drop of only percentage points since 1993-94 – even though the percentage using LPG has increased from about 2% to 11.5% over the same period On the other hand, the incidence of dependence on firewood for cooking in urban areas has fallen from about 30% to 17.5%between 1993-94 and 2009-10 – a drop of more than 12 percentage points – and the incidence of dependence on kerosene has plunged from 23.2% to 6.5% during the same period – a 72%fall, while the percentage of urban households using LPG has more than doubled from under b30% to 64.5% In other words, the growth in prevalence of use of LPG in urban areas has-been balanced by a decline in use of kerosene, in the first place, and firewood and chips, in the second In rural areas, the rise in LPG use has been mainly at the expense of dung cake, followed by kerosene and ‘other’ sources Further, as per the NSSO Reports (55th, 61st and66th Rounds), there has been an increase in biomass fuel use in terms of absolute quantity consumed over the past decade among rural households This is an area of concern given the considerable health impacts of burning biomass fuels apart from being hindrance to achieving developmental goals, i.e ensuring a minimum standard of living and provisioning of basic minimum needs Thus, a transition to cleaner forms of energy in terms of access to electricity and other modern energy forms would have implications not only on energy security, but also with respect to enabling gender equality and bring about greater development and social progress The state of preparedness of the country for generation of the energy it requires and the quality or efficiency of the technology used in the generation can be well analyzed by the indicators of installed capacity and capacity utilization, respectively The power sector in India had an installed capacity of 236.38 Gigawatt (GW) as of March 2012 recording an increase of 14% over that of March 2011 Captive power plants generate an additional 36.5 Power Scenario in India GW Thermal power plants constitute 66% of the installed capacity, hydroelectric about 19% and rest being a combination of wind, small hydro-plants, biomass, waste-to-electricity plants, and nuclear energy India generated about 855 BU electricity during 2011-12 fiscal As of March 2012, the per capita total consumption in India was estimated to be 879 kWh India's electricity sector is amongst the world's most active players in renewable energy utilization, especially wind energy As of March 2012, India had an installed capacity of about 24.9 GW of new and renewable technologies-based electricity During the Eleventh Five Year Plan, nearly 55,000 MW of new generation capacity was created, yet there continued to be an overall energy deficit of 8.7 per cent and peak shortage of 9.0 per cent Resources currently allocated to energy supply are not sufficient for narrowing the gap between energy needs and energy availability As per the 2011 Census, 55.3% rural households had access to electricity However, NSS results shows that in the year 1993-94, 62% households in rural India were using kerosene as primary source of energy for lighting In 2009-10, on the other hand, 66% households were found using electricity for lighting Thus electricity has, during the intervening years, evidently replaced kerosene as the most common fuel used for lighting by rural households This substitution of kerosene by electricity appears to have been most rapid during 1993-94 to 1999-2000, when about 11% households seem to have switched to electricity The substitution appears to have slowed down since then, with 8% more households switching over to electricity during the seven or eight years after 1999-2000, and picked up pace again thereafter, with another 9% of rural households added to the category of electricity users since 2006-07 Indeed, this may widen as the economy moves to a higher growth trajectory India's success in resolving energy bottlenecks therefore remains one of the key challenges in achieving the projected growth outcomes Further, India's excessive reliance on imported crude oil makes it imperative to have an optimal energy mix that will allow it to achieve its long-run goal of sustainable development Energy exploration and exploitation, capacity additions, clean energy alternatives, conservation, and energy sector reforms will, therefore, be critical for energy security Energy conservation has also emerged as one of the major issues in recent years Conservation and efficient utilization of energy resources play a vital role in narrowing the gap between demand and supply of energy Improving energy efficiency is one of the most desirable options for bridging the gap in the short term Power Scenario in India 4.2.2 Wind power India has the fifth largest installed wind power capacity in the world In 2010, wind power accounted for 6% of India's total installed power capacity, and 1.6% of the country's power output The development of wind power in India began in the 1990s by Tamil Nadu Electric Board near Tuticorin, and has significantly increased in the last few years Suzlon is the leading Indian company in wind power, with an installed generation capacity of 6.2 GW in India Vestas is another major company active in India's wind energy initiative As December 2011, the installed capacity of wind power in India was 15.9 GW, spread across many states of India The largest wind power generating state was Tamil Nadu accounting for 30% of installed capacity, followed in decreasing order by Maharashtra, Gujarat, Karnataka, and Rajasthan It is estimated that GW of additional wind power capacity will be installed in India by 2012 In Tamil Nadu, wind power is mostly harvested in the southern districts such as Kanyakumari, Tirunelveli and Tuticori.The state of Gujarat is estimated to have the maximum gross wind power potential in India, with a potential of 10.6 GW 4.2.3 Biomass power In this system biomass, bagasse, forestry and agro residue & agricultural wastes are used as fuel to produce electricity  Biomass gasifier India has been promoting biomass gasifier technologies in its rural areas, to utilise surplus biomass resources such as rice husk, crop stalks, small wood chips, and other agroresidues The goal was to produce electricity for villages with power plants of up to MW capacities During 2011, India installed 25 rice husk based gasifier systems for distributed power generation in 70 remote villages of Bihar The Largest Biomass based power plant in India is at SIrohi, Rajasthan having the capacity of 20 MW.i.e Sambhav Energy Limited In addition, gasifier systems are being installed at 60 rice mills in India During the year, Power Scenario in India biomass gasifier projects of 1.20 MW in Gujarat and 0.5 MW in Tamil Nadu were successfully installed  Biogas This pilot programed aims to install small scale biogas plants for meeting the cooking energy needs in rural areas of India During 2011, some 45000 small scale biogas plants were installed Cumulatively, India has installed 4.44 million small scale biogas plants In 2011, India started a new initiative with the aim to demonstrate medium size mixed feed biogas-fertilizer pilot plants This technology aims for generation, purification/enrichment, bottling and piped distribution of biogas India approved 21 of these projects with aggregate capacity of 37016 cubic meters per day, of which projects have been successfully commissioned by December 2011 India has additionally commissioned 158 projects under its Biogas based Distributed/Grid Power Generation programed, with a total installed capacity of about MW India is rich in biomass and has a potential of 16,881MW (agro-residues and plantations), 5000MW (bagasse cogeneration) and 2700MW (energy recovery from waste) Biomass power generation in India is an industry that attracts investments of over INR billion every year, generating more than 5000 million units of electricity and yearly employment of more than 10 million man-days in the rural areas As of 2010, India burnt over 200 million tons of coal replacement worth of traditional biomass fuel every year to meet its energy need for cooking and other domestic use This traditional biomass fuel – fuel wood, crop waste and animal dung – is a potential raw material for the application of biomass technologies for the recovery of cleaner fuel, fertilizers and electricity with significantly lower pollution Biomass available in India can and has been playing an important role as fuel for sugar mills, textiles, paper mills, and small and medium enterprises (SME) In particular there is a significant potential in breweries, textile mills, fertilizers plants, the paper and pulp industry, solvent extraction units, rice mills, petrochemical plants and other industries to harness biomass power Power Scenario in India 4.2.4 Geothermal energy Geothermal energy is thermal energy generated and stored in the Earth Thermal energy is the energy that determines the temperature of matter India's geothermal energy installed capacity is experimental Commercial use is insignificant India has potential resources to harvest geothermal energy The resource map for India has been grouped into six geothermal provinces  Himalayan Province – Tertiary Orogenic belt with Tertiary magmatism  Areas of Faulted blocks – Aravalli belt, Naga-Lushi, West coast regions and SonNarmada lineament  Volcanic arc – Andaman and Nicobar arc  Deep sedimentary basin of Tertiary age such as Cambay basin in Gujarat  Radioactive Province – Surajkund, Hazaribagh, Jharkhand  Cratonic province – Peninsular India India has about 340 hot springs spread over the country Of this, 62 are distributed along the northwest Himalaya, in the States of Jammu and Kashmir, Himachal Pradesh and Uttarakhand They are found concentrated along a 30-50-km wide thermal band mostly along the river valleys Naga-Lusai and West Coast Provinces manifest a series of thermal springs Andaman and Nicobar arc is the only place in India where volcanic activity, a continuation of the Indonesian geothermal fields, and can be good potential sites for geothermal energy Cambay graben geothermal belt is 200 km long and 50 km wide with Tertiary sediments Thermal springs have been reported from the belt although they are not of very high temperature and discharge During oil and gas drilling in this area, in recent times, high subsurface temperature and thermal fluid have been reported in deep drill wells in depth ranges of 1.7 to 1.9 km Steam blowout have also been reported in the drill holes in depth range of 1.5 to 3.4 km The thermal springs in India's peninsular region are more related to the faults, which allow down circulation of meteoric water to considerable depths The circulating water acquires heat from the normal thermal gradient in the area, and depending Power Scenario in India upon local condition, emerges out at suitable localities The area includes Aravalli range, Son-Narmada-Tapti lineament, Godavari and Mahanadi valleys and South Cratonic Belts In a December 2011 report, India identified six most promising geothermal sites for the development of geothermal energy These are, in decreasing order of potential:  Tattapani in Chhattisgarh  Puga in Jammu & Kashmir  Cambay Graben in Gujarat  Manikaran in Himachal Pradesh  Surajkund in Jharkhand  Chhumathang in Jammu & Kashmir India plans to set up its first geothermal power plant, with 2–5 MW capacity at Puga in Jammu and Kashmir 4.2.5 Tidal wave energy Tidal energy technologies harvest energy from the seas The potential of tidal wave energy becomes higher in certain regions by local effects such as shelving, funnelling, reflection and resonance India is surrounded by sea on three sides; its potential to harness tidal energy is significant Energy can be extracted from tides in several ways In one method, a reservoir is created behind a barrage and then tidal waters pass through turbines in the barrage to generate electricity This method requires mean tidal differences greater than meters and also favorable topographical conditions to keep installation costs low One report claims the most attractive locations in India, for the barrage technology, are the Gulf of Khambhat and the Gulf of Kutch on India's west coast where the maximum tidal range is 11 m and m with average tidal range of 6.77 m and 5.23 m respectively The Ganges Delta in the Sunderbans, West Bengal is another possibility, although with significantly less recoverable energy; the Power Scenario in India maximum tidal range in Sunderbans is approximately m with an average tidal range of 2.97 m The report claims, barrage technology could harvest about GW from tidal energy in India, mostly in Gujarat The barrage approach has several disadvantages, one being the effect of any badly engineered barrage on the migratory fishes, marine ecosystem and aquatic life Integrated barrage technology plants can be expensive to build In December 2011, the Ministry of New & Renewable Energy, Government of India and the Renewable Energy Development Agency of Govt of West Bengal jointly approved and agreed to implement India's first 3.75 MW Durgaduani mini tidal power project Indian government believes that tidal energy may be an attractive solution to meet the local energy demands of this remote delta region Another tidal wave technology harvests energy from surface waves or from pressure fluctuations below the sea surface A report from the Ocean Engineering Centre, Indian Institute of Technology, Madras estimates the annual wave energy potential along the Indian coast is between MW to 15 MW per meter, suggesting a theoretical maximum potential for electricity harvesting from India's 7500 kilometre coast line may be about 40 GW However, the realistic economical potential, the report claims, is likely to be considerably less A significant barrier to surface energy harvesting is the interference of its equipment to fishing and other sea bound vessels, particularly in unsettled weather India built its first seas surface energy harvesting technology demonstration plant in Vizhinjam, near Thiruruvananthpuram The third approach to harvesting tidal energy consists of ocean thermal energy technology This approach tries to harvest the solar energy trapped in ocean waters into usable energy Oceans have a thermal gradient, the surface being much warmer than deeper levels of ocean This thermal gradient may be harvested using modified Rankine cycle India's National Institute of Ocean Technology (NIOT) attempted this approach over the last 20 years, but without success In 2003, with Saga University of Japan, NIOT attempted to build and deploy a MW demonstration plant However, mechanical problems prevented success After initial tests near Kerala, the unit was scheduled for redeployment and further development in the Lakshadweep Islands in 2005 The demonstration project's experiences have limited follow-on efforts with ocean thermal energy technology in India Power Scenario in India Chapter Resources available 5.1 Resource potential in electricity sector According to Oil and Gas Journal, India had approximately 38 trillion cubic feet (Tcf) of proven natural gas reserves as of January 2011, world's 26th largest United States Energy Information Administration estimates that India produced approximately 1.8 Tcf of natural gas in 2010, while consuming roughly 2.3 Tcf of natural gas The electrical power and fertilizer sectors account for nearly three-quarters of natural gas consumption in India Natural gas is expected to be an increasingly important component of energy consumption as the country pursues energy resource diversification and overall energy security Until 2008, the majority of India's natural gas production came from the Mumbai High complex in the northwest part of the country Recent discoveries in the Bay of Bengal have shifted the Centre of gravity of Indian natural gas production The country already produces some coal bed methane and has major potential to expand this source of cleaner fuel According to a 2011 Oil and Gas Journal report, India is estimated to have between 600 to 2000 Tcf of shale gas resources (one of the world’s largest) Despite its natural resource potential, and an opportunity to create energy industry jobs, India has yet to hold a licensing round for its shale gas blocks It is not even mentioned in India's central government energy infrastructure or electricity generation plan documents through 2025 The traditional natural gas reserves too have been very slow to develop in India Power Scenario in India because regulatory burdens and bureaucratic red tape severely limit the country's ability to harness its natural gas resources After the enactment of Electricity Act 2003 budgetary support to power sector is negligible State Electricity Boards get initial financial help from Central Government in the event of their unbundling 5.2 Electricity as substitute to imported LPG and Kerosene The net import of LPG is 6.093 million tons and the domestic consumption is 13.568 million tons with Rs 41,546 corers subsidy to the domestic consumers in the year 2012-13 The LPG import content is nearly 40% of total consumption in India The affordable electricity retail tariff (860 Kcal/Kwh at 90% heating efficiency) to replace LPG (lower heating value 11,000 Kcal/Kg at 75% heating efficiency) in domestic cooking is 6.47 Rs/Kwh when the retail price of LPG cylinder is Rs 1000 (without subsidy) with 14.2 kg LPG content Replacing LPG consumption with electricity reduces its imports substantially The domestic consumption of Kerosene is 7.349 million tons with Rs 30,151 corers subsidy to the domestic consumers in the year 2012-13 The subsidized retail price of Kerosene is 13.69 Rs/litre whereas the export/import price is 48.00 Rs/litre The affordable electricity retail tariff (860 Kcal/Kwh at 90% heating efficiency) to replace Kerosene (lower heating value 8240 Kcal/litre at 75% heating efficiency) in domestic cooking is 6.00 Rs/Kwh when Kerosene retail price is 48 Rs/litre (without subsidy) In the year 2013-14, The plant load factor (PLF) of coal fired thermal power stations is only 65.43% whereas these stations can run above 85% PLF comfortably provided there is adequate electricity demand in the country The additional electricity generation at 85% PLF is nearly 240 billion units which is adequate to replace all the LPG and Kerosene consumption in domestic sector The incremental cost of generating additional electricity is only their coal fuel cost which is less than Rs/Kwh Enhancing the PLF of coal fired stations and encouraging domestic electricity consumers to substitute electricity in place of LPG and Kerosene in household cooking, would reduce the government subsidies and idle capacity of thermal power stations can be put to use economically The domestic consumers Power Scenario in India who are willing to surrender the subsidized LPG / Kerosene permits or eligible for subsidized LPG / Kerosene permits, may be given free electricity connection and subsidized electricity tariff During the year 2014, IPPs are offering to sell solar power below 5.50 Rs/Kwh to feed in to the high voltage grid This price is close to affordable electricity tariff for the solar power to replace LPG and Kerosene use (after including subsidy on LPG & Kerosene) in domestic sector Chapter Problems with India's power sector India's electricity sector faces many issues Some are:  Government giveaways such as free electricity for farmers, partly to curry political favor, have depleted the cash reserves of state-run electricity-distribution system This has financially crippled the distribution network, and its ability to pay for power to meet the demand This situation has been worsened by government departments of India that not pay their bills  Shortages of fuel: despite abundant reserves of coal, India is facing a severe shortage of coal The country isn't producing enough to feed its power plants Some plants not have reserve coal supplies to last a day of operations India's monopoly coal producer, state-controlled Coal India, is constrained by primitive mining techniques and is rife with theft and corruption; Coal India has consistently missed production targets and growth targets Poor coal transport infrastructure has worsened these problems To expand its coal production capacity, Coal India needs to mine new deposits However, most of India's coal lies under protected forests or designated tribal lands Any mining activity or land acquisition for infrastructure in these coalrich areas of India has been rife with political demonstrations, social activism and public interest litigations  Poor pipeline connectivity and infrastructure to harness India's abundant coal bed methane and shale gas potential Power Scenario in India  The giant new offshore natural gas field has delivered less fuel than projected India faces a shortage of natural gas  Hydroelectric power projects in India's mountainous north and north east regions have been slowed down by ecological, environmental and rehabilitation controversies, coupled with public interest litigations  Theft of Power  Losses in the connector systems/service connections leading to premature failure of Capital equipment’s like transformers  India's nuclear power generation potential has been stymied by political activism since the Fukushima disaster in Japan  Average transmission, distribution and consumer-level losses exceeding 30% which includes auxiliary power consumption of thermal power stations, fictitious electricity generation by wind generators & independent power producers (IPPs), etc  Over 300 million (300 million) people in India have no access to electricity Of those who do, almost all find electricity supply intermittent and unreliable  Lack of clean and reliable energy sources such as electricity is, in part, causing about 800 million (800 million) people in India to continue using traditional biomass energy sources – namely fuel wood, agricultural waste and livestock dung – for cooking and other domestic needs Traditional fuel combustion is the primary source of indoor air pollution in India, causes between 300,000 to 400,000 deaths per year and other chronic health issues  India's coal-fired, oil-fired and natural gas-fired thermal power plants are inefficient and offer significant potential for greenhouse gas (CO 2) emission reduction through better technology Compared to the average emissions from coal-fired, oil-fired and natural gas-fired thermal power plants in European Union (EU-27) countries, India's thermal power plants emit 50% to 120% more CO2 per kWh produced Power Scenario in India The July 2012 blackout, affecting the north of the country, was the largest power grid failure in history by number of people affected Chapter Role of Government in Power Sector 7.1 Electricity trading with neighbor countries Despite low electricity per capita consumption in India, the country is going to achieve surplus electricity generation during the 12th plan (2012 to 2017) period provided its coal production and transport infrastructure is developed adequately Surplus electricity can be exported to the neighbor countries in return for natural gas supplies from Pakistan, Bangladesh and Myanmar Bangladesh, Myanmar and Pakistan are producing substantial natural gas and using for electricity generation purpose Bangladesh, Myanmar and Pakistan produce 55 million cubic meters per day (mcmd), mcmd and 118 mcmd out of which 20 mcmd, 1.4 mcmd and 34 Power Scenario in India mcmd are consumed for electricity generation respectively Whereas the natural gas production in India is not even adequate to meet its non-electricity requirements Bangladesh, Myanmar and Pakistan have proven reserves of 184 billion cubic meters (bcm), 283 bcm and 754 bcm respectively There is ample opportunity for mutually beneficial trading in energy resources with these countries India can supply its surplus electricity to Pakistan and Bangladesh in return for the natural gas imports by gas pipe lines Similarly India can develop on BOOT basis hydro power projects in Nepal, Myanmar and Bhutan Already, India has constructed few hydro projects in Bhutan totalling to nearly 2600 MW Most of the electricity generated by Bhutan from these hydro projects is presently exported to India India can also enter into long term power purchase agreements with China for developing the hydro power potential in Brahmaputra River basin of Tibet region India can also supply its surplus / imported electricity to Sri Lanka by undersea cable link There is ample trading synergy for India with its neighbor countries in securing its energy requirements 7.2 Rural electrification India's Ministry of Power launched Rajiv Gandhi GrameenVidyutikaranYojana as one of its flagship programed in March 2005 with the objective of electrifying over one lakh (100,000) un-electrified villages and to provide free electricity connections to 2.34 corer (23.4 million) rural households This free electricity programed promises energy access to India's rural areas, but is in part creating problems for India's electricity sector 7.3 Government owned power companies India's Ministry of Power administers central government owned companies involved in the generation of electricity in India These include National Thermal Power Corporation, Damodar Valley Corporation, National Hydroelectric Power Corporation and Nuclear Power Corporation of India The Power Grid Corporation of India is also administered by the Ministry; it is responsible for the inter-state transmission of electricity and the development of national grid Power Scenario in India The Ministry works with various state governments in matters related to state government owned corporations in India's electricity sector Examples of state corporations include Telangana Power Generation Corporation, Andhra Pradesh Power Generation Corporation Limited, Assam Power Generation Corporation Limited, Tamil Nadu Electricity Board, Maharashtra State Electricity Board, Kerala State Electricity Board, and Gujarat UrjaVikas Nigam Limited Chapter Regulation and administration The Ministry of Power is India's apex central government body regulating the electrical energy sector in India This ministry was created on July 1992 It is responsible for planning, policy formulation, processing of projects for investment decisions, monitoring project implementation, training and manpower development, and the administration and enactment of legislation in regard to thermal, hydro power generation, transmission and distribution It is also responsible for the administration of India's Electricity Act (2003), the Energy Conservation Act (2001) and to undertake such amendments to these Acts, as and when necessary, in conformity with the Indian government's policy objectives Electricity is a concurrent list subject at Entry 38 in List III of the seventh Schedule of the Constitution of India In India's federal governance structure, this means that both the central govern1ment and India's state governments are involved in establishing policy and laws for its electricity sector This principle motivates central government of India and Power Scenario in India individual state governments to enter into memorandum of understanding to help expedite projects and reform electricity sector in respective state 8.1 Human resource development Rapid growth of electricity sector in India demands that talent and trained personnel become available as India's new installed capacity adds new jobs India has initiated the process to rapidly expand energy education in the country, to enable the existing educational institutions to introduce courses related to energy capacity addition, production, operations and maintenance, in their regular curriculum This initiative includes conventional and renewal energy A Ministry of Renewal and New Energy announcement claims State Renewable Energy Agencies are being supported to organize short-term training programmer for installation, operation and maintenance and repair of renewable energy systems in such places where intensive RE programed are being implemented Renewable Energy Chairs have been established in IIT Roorkee and IIT Kharagpur Education and availability of skilled workers is expected to be a key challenge in India's effort to rapidly expand its electricity sector 8.2 Funding of power infrastructure India's Ministry of Power administers Rural Electrification Corporation Limited and Power Finance Corporation Limited These central governments owned public sector enterprises provide loans and guarantees for public and private electricity sector infrastructure projects in India Power Scenario in India Conclusion Energy is vital for development and this means that if India is to move to a higher growth trajectory than is now feasible, it must ensure the reliable availability of energy The present energy scenario in India is not satisfactory The power supply position prevailing in the country is characterized by persistent shortages and unreliability and also high prices for industrial consumers There is also concern about the position regarding petroleum products India depends to the extent of 70-80percent on imported oil, and this naturally raises issues about energy security These concerns have been exacerbated by recent movements in international oil prices Electricity is produced domestically but its supply depends upon the availability of coal, exploitation of hydro power sources and the scope for expanding nuclear power, and there are constraints affecting each source These analyses have shown that India will have to plan for the fulfillment of its energy needs based on a judicious mix of the natural resources endowed to it, keeping sustainable development in focus and having a minimum carbon foot print Developed Power Scenario in India countries of the world also need to understand that climate change is phenomenon which has no boundaries and the world is facing this threat because of skewed policies followed by them and they are also duty bound to help India attain the goal of achieving energy security for its population by the transfer of clean [energy] technology and by making available appropriate funding mechanisms India, with its vast population and limited natural resources for meeting its energy requirements, needs to maintain its momentum of growth and this can be made possible only with clear strategy for use of best possible energy options available India needs to have a long term strategy for meeting its energy needs by 2050 and a short term goal of 2020 which can be small steps towards attaining energy security by 2050 References 1] http://www.cea.nic.in/ 2] http://www.coal.nic.in (accessed April 7, 2011) 3] http://www.energyliteracy.org/ (accessed February 4, 2011) 4] http://www.powermin.nic.in ... India Power Scenario in India 4.2.2 Wind power India has the fifth largest installed wind power capacity in the world In 2010, wind power accounted for 6% of India' s total installed power capacity,.. .Power Scenario in India Department of electrical engineering NBN Sinhagad School of Engineering, Pune-41 CERTIFICATE This is certify that the seminar report on POWER SCENARIO IN INDIA Has... Power Scenario in India Other drivers for India' s electricity sector are its rapidly growing economy, rising exports, improving infrastructure and increasing household incomes Demand trends In