Вы находитесь на странице: 1из 47

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


STESs 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
Abstract

PAGE NO.
5

Introduction of Energy
1.1 Overview
1.2 Demand

7
12

The 17th electric power survey of India

Electricity in India
17
19
24

3.1 Electricity Consumption


3.2 Electricity Generation
3.3 Electricity Transmission and Distribution
Types of Energy Sources

25
30

4.1 Conventional Sources


4.2 Non-Conventional Sources
Resources availability
5.1 Resource potential in electricity sector
5.2 Electricity as substitute to imported LPG and
Kerosene

15

38
39

6
Problems with Indias Power sector
7

Role of Government in power sector


7.1 Electricity trading with neighbour countries.
7.2 Rural Electrification.
7.3 Government owned power companies.

40

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 worlds 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 7 union territories. It faces a formidable challenge in providing adequate energy supplies
to users at a reasonable cost. It is anticipated that Indias nominal GDP will exceed US $ 2
trillion by March 2012. Indias nominal GDP crossed the US $ 1 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,
Indias energy use has increased 16 times and the installed electricity capacity by 84 times. In
2008, Indias 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,
Indias 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 six-fold 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

( Jun 2014 )
4.1

Renewal Energy Installed Capacity India ( Jan 2014 )

30

Power Scenario in India

Chapter 1
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 1 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 5 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

Power Scenario in India

placing enormous demand on its energy resources. The demand and supply imbalance in
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. 3. Indias 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 2 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 8 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. Indias 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 Indias

Power Scenario in India

domestic energy resource base is substantial, the country relies on imports for a considerable
amount of its energy use, particularly for Crude Petroleum.
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 2 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

Power Scenario in India

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
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

10

Power Scenario in India

demand and supply of energy. Improving energy efficiency is one of the most desirable
options for bridging the gap in the short term.
The first demonstration of electric light in Calcutta was conducted on 24 July 1879 by
P W Fleury & Co. On 7 January 1897, Kilburn & Co secured the Calcutta electric lighting
license as agents of the Indian Electric Co, which was registered in London on 15 January
1897. A month later, the company was renamed the Calcutta Electric Supply Corporation.
The control of the company was transferred from London to Calcutta only in 1970. Enthused
by the success of electricity in Calcutta, power was thereafter introduced in Bombay.
Mumbai saw electric lighting demonstration for the first time in 1882 at Crawford Market,
and Bombay Electric Supply & Tramways Company (B.E.S.T.) set up a generating station in
1905 to provide electricity for the tramway. The first hydroelectric installation in India was
installed near a tea estate at Sidrapong for the Darjeeling Municipality in 1897. The first
electric train ran between Bombay's Victoria Terminus and Kurla along the Harbour Line, in
1925. In 1931, electrification of the meter gauge track between Madras Beach and Tambaram
was started.

11

Power Scenario in India

Table no.1.1:- Growth of Installed Capacity in India [ 4 ]


Thermal (in MW)
Installed
Capacity
as on
31-Dec1947
31-Dec1950
31-Mar1956
31-Mar1961
31-Mar1966
31-Mar1974
31-Mar1979
31-Mar1985
31-Mar1990
31-Mar1997
31-Mar2002
31-Mar2007
31-Mar2012
30-June2014

Renewable (in MW)

%
Growth
(on
yearly
basis)

Coal

Gas

Nuclear
Total
Sub(in
Other
Sub-Total (in
Diesel Total
MW) Hydel Renewable Renewable MW)
Thermal

756

98

854

508

508

1,362

1,004

149

1,153

560

560

1,713

8.59%

1,597

228

1,825

1,061 -

1,061

2,886

13.04%

2,436

300

2,736

1,917 -

1,917

4,653

12.25%

4,417

137

352

4,903

4,124 -

4,124

9,027

18.80%

8,652

165

241

9,058

640

6,966 -

6,966

16,664 10.58%

14,875 168

164

15,207

640

10,833 -

10,833

26,680 12.02%

26,311 542

177

27,030

1,095

14,460 -

14,460

42,585 9.94%

41,236 2,343 165

43,764

1,565

18,307 -

18,307

63,636 9.89%

54,154 6,562 294

61,010

2,225

21,658 902

22,560

85,795 4.94%

62,131 11,163 1,135 74,429

2,720

26,269 1,628

27,897

105,046 4.49%

71,121 13,692 1,202 86,015

3,900

34,654 7,760

42,414

132,329 5.19%

112,022 18,381 1,200 131,603 4,780

38,990 24,503

63,493

199,877 9.00%

148,478 22,608 1,200 172,286 4,780

40,730 31,692

72,422

249,488 10.35%

1.2 Demand
Some 800 million Indians use traditional fuels fuel wood, agricultural waste and
biomass cakes for cooking and general heating needs. These traditional fuels are burnt in
cook stoves, known as chulah or chulha in some parts of India. Traditional fuel is inefficient
source of energy, its burning releases high levels of smoke, PM10 particulate matter, NOX,
12

Power Scenario in India

SOX, PAHs, polyaromatics, formaldehyde, carbon monoxide and other air pollutants. Some
reports, including one by the World Health Organization, claim 300,000 to 400,000 people in
India die of indoor air pollution and carbon monoxide poisoning every year because of
biomass burning and use of chullahs. Traditional fuel burning in conventional cook stoves
releases unnecessarily large amounts of pollutants, between 5 to 15 times higher than
industrial combustion of coal, thereby affecting outdoor air quality, haze and smog, chronic
health problems, damage to forests, ecosystems and global climate. Burning of biomass and
firewood will not stop, these reports claim, unless electricity or clean burning fuel and
combustion technologies become reliably available and widely adopted in rural and urban
India. The growth of electricity sector in India may help find a sustainable alternative to
traditional fuel burning.
In addition to air pollution problems, a 2007 study finds that discharge of untreated
sewage is single most important cause for pollution of surface and ground water in India.
There is a large gap between generation and treatment of domestic wastewater in India. The
problem is not only that India lacks sufficient treatment capacity but also that the sewage
treatment plants that exist do not operate and are not maintained. Majority of the governmentowned sewage treatment plants remain closed most of the time in part because of the lack of
reliable electricity supply to operate the plants. The wastewater generated in these areas
normally percolates in the soil or evaporates. The uncollected wastes accumulate in the urban
areas cause unhygienic conditions, release heavy metals and pollutants that leaches to surface
and groundwater. Almost all rivers, lakes and water bodies are severely polluted in India.
Water pollution also adversely impacts river, wetland and ocean life. Reliable generation and
supply of electricity is essential for addressing India's water pollution and associated
environmental issues.
Other drivers for India's electricity sector are its rapidly growing economy, rising
exports, improving infrastructure and increasing household incomes.
Demand trends
In a May 2014 report, India's Central Electricity Authority anticipated, for 201415
fiscal year, a base load energy deficit and peaking shortage to be 5.1% and 2% respectively.

India also expects all regions to face energy shortage up to a maximum of 17.4% in North
Eastern region.

13

Power Scenario in India

Table No.1.2:- All India (Anticipated) Power Supply Position in FY2014-15 [ 4 ].


Energy

Peak Power

Region

Requirement Availabilit
Deman Supply
Surplus(+)/Deficit(-)
Surplus(+)/Deficit(-)
(MU)
y (MU)
d (MW) (MW)

Northern

328,944

318,837

-3.1%

47,570

46,899 -1.4%

Western

288,062

289,029

+0.3%

45,980

52,652 +14.5%

Southern

298,180

260,366

-12.7%

41,677

32,423 -22.2%

Eastern

118,663

114,677

-3.4%

17,608

17,782 +1.0%

NorthEastern

14,823

12,248

-17.4%

2,543

2,215

All India

1,048,672

995,157

-5.1%

147,815

144,78
-2.0%
8

-12.9%

Gujarat has the highest power surplus of any Indian state, with about 1.8 GW more
power available than its internal demand. The state was expecting more capacity to become
available. It was expecting to find customers, sell excess capacity to meet power demand in
other states of India, thereby generate revenues for the state. Andhra Pradesh leads in the
greatest power deficit with peak power being less by 3.2 GW against demand.
Despite an ambitious rural electrification programed, some 400 million Indians lose
electricity access during blackouts. While 80% of Indian villages have at least an electricity
line, just 52.5% of rural households have access to electricity. In urban areas, the access to
electricity is 93.1% in 2008. The overall electrification rate in India is 64.5% while 35.5% of
the population still lives without access to electricity.
According to a sample of 97,882 households in 2002, electricity was the main source
of lighting for 53% of rural households compared to 36% in 1993.

14

Power Scenario in India

Chapter 2
The 17th Electric Power Survey of India
Over 201011, India's industrial demand accounted for 35% of electrical power
requirement, domestic household use accounted for 28%, agriculture 21%, commercial 9%,
public lighting and other miscellaneous applications accounted for the rest.
The electrical energy demand for 201617 is expected to be at least 1,392 Tera Watt
Hours, with a peak electric demand of 218 GW.
The electrical energy demand for 202122 is expected to be at least 1,915 Tera Watt
Hours, with a peak electric demand of 298 GW.
If current average transmission and distribution average losses remain same (32%),
India needs to add about 135 GW of power generation capacity, before 2017, to satisfy the
projected demand after losses.
McKinsey claims that India's demand for electricity may cross 300 GW, earlier than
most estimates. To explain their estimates, they point to four reasons:

India's manufacturing sector is likely to grow faster than in the past

Domestic demand will increase more rapidly as the quality of life for more Indians
improve

About 125,000 villages are likely to get connected to India's electricity grid

Currently blackouts and load shedding artificially suppresses demand; this demand
will be sought as revenue potential by power distribution companies.
A demand of 300 GW will require about 400 GW of installed capacity, McKinsey

notes. The extra capacity is necessary to account for plant availability, infrastructure
maintenance, spinning reserve and losses.
In 2010, electricity losses in India during transmission and distribution were about
24%, while losses because of consumer theft or billing deficiencies added another 1015%.

15

Power Scenario in India

According to two studies published in 2004, theft of electricity in India amounted to


a nationwide loss of $4.5 billion. This led several states of India to enact and implement
regulatory and institutional framework; develop a new industry and market structure; and
privatize distribution. The state of Andhra Pradesh, for example, enacted an electricity reform
law; unbundled the utility into one generation, one transmission, and four distribution and
supply companies; and established an independent regulatory commission responsible for
licensing, setting tariffs, and promoting efficiency and competition. Some state governments
amended the Indian Electricity Act of 1910 to make electricity theft a cognizable offence and
impose stringent penalties. A separate law, unprecedented in India, provided for mandatory
imprisonment and penalties for offenders, allowed constitution of special courts and tribunals
for speedy trial, and recognized collusion by utility staff as a criminal offence. The state
government made advance preparations and constituted special courts and appellate tribunals
as soon as the new law came into force. High quality metering and enhanced audit
information flow was implemented. Such campaigns have made a big difference in the Indian
utilities' bottom line. Monthly billing has increased substantially, and the collection rate
reached more than 98%. Transmission and distribution losses were reduced by 8%.Power
cuts are common throughout India and the consequent failure to satisfy the demand for
electricity has adversely effected India's economic growth.

16

Power Scenario in India

Chapter 3
Electricity in India

3.1 Electricity Consumption


Table No:-3.1 Growth of Electricity Consumption in India [ 4 ]
% of Total
Consumptio Total
n
(in
as on
GWh)

PerCapita
Consump
Agricult
Domestic Commercial Industrial Traction
Misc. tion
(in
ure
kWh)

31-Dec-1947 4,182

10.11%

4.26%

70.78%

6.62%

2.99%

5.24% 16.3

31-Dec-1950 5,610

9.36%

5.51%

72.32%

5.49%

2.89%

4.44% 18.2

31-Mar-1956 10,150

9.20%

5.38%

74.03%

3.99%

3.11%

4.29% 30.9

31-Mar-1961 16,804

8.88%

5.05%

74.67%

2.70%

4.96%

3.75% 45.9

31-Mar-1966 30,455

7.73%

5.42%

74.19%

3.47%

6.21%

2.97% 73.9

31-Mar-1974 55,557

8.36%

5.38%

68.02%

2.76%

11.36%

4.13% 126.2

31-Mar-1979 84,005

9.02%

5.15%

64.81%

2.60%

14.32%

4.10% 171.6

31-Mar-1985 124,569 12.45%

5.57%

59.02%

2.31%

16.83%

3.83% 228.7

31-Mar-1990 195,098 15.16%

4.89%

51.45%

2.09%

22.58%

3.83% 329.2

31-Mar-1997 315,294 17.53%

5.56%

44.17%

2.09%

26.65%

4.01% 464.6

31-Mar-2002 374,670 21.27%

6.44%

42.57%

2.16%

21.80%

5.75% 671.9

31-Mar-2007 525,672 21.12%

7.65%

45.89%

2.05%

18.84%

4.45% 559.2

31-Dec-2011 710,673 21.56%

8.96%

45.23%

1.88%

18.16%

4.21%

813.3Provisi
onal

17

Power Scenario in India

Table No.3.2 Per-Capita Electricity consumption (kWh) (in 201112) [ 4 ]

State / Union Territory

Region

Dadra & Nagar Haveli


Daman & Diu
Goa
Gujarat
Chhattisgarh
Maharashtra
Madhya Pradesh
Western Region
Pondicherry
Tamil Nadu
Andhra Pradesh
Karnataka
Kerala
Lakshadweep
Southern Region
Punjab
Haryana
Delhi
Himachal Pradesh
Uttarakhand
Chandigarh
Jammu & Kashmir
Rajasthan
Uttar Pradesh
Northern Region
Odisha
Sikkim
Jharkhand
West Bengal
Andaman & Nicobar Islands
Bihar
Eastern Region
Arunachal Pradesh

Western
Western
Western
Western
Western
Western
Western
Southern
Southern
Southern
Southern
Southern
Southern
Northern
Northern
Northern
Northern
Northern
Northern
Northern
Northern
Northern
Eastern
Eastern
Eastern
Eastern
Eastern
Eastern
North Eastern

Per-Capita
(kWh)
13,766.6
7,785.2
2,025.5
1,663.2
1,319.6
1,204.4
671.5
1,201.2
2,124.7
1,276.6
1,156.5
1,081.4
593.8
1,098.0
938.88
1,799.0
1,628.3
1,586.7
1,289.4
1,232.2
1,217.4
1,015.2
927.4
449.9
833.2
1,145.8
886.4
790.2
563.8
501.4
133.6
521.2
683.1

Consumption

18

Power Scenario in India

Meghalaya
Mizoram
Nagaland
Tripura
Assam
Manipur
North Eastern Region
NATIONAL

North Eastern
North Eastern
North Eastern
North Eastern
North Eastern
North Eastern

657.6
506.7
257.2
253.8
249.8
235.9
257.98
883.6

The per capita electricity consumption is lower compared to many countries


despite cheaper electricity tariff in India.

3.2 Electricity Generation


Power development in India was first started in 1897 in Darjeeling, followed by
commissioning of a hydropower station at Sivasamudram in Karnataka during 1902. Thermal
power stations which generates electricity more than 1,000 MW are referred as Super
Thermal Power Stations.
India's electricity generation capacity additions from 1950 to 1985 were very low
when compared to developed nations. Since 1990, India has been one of the fastest growing
markets for new electricity generation capacity. India's electricity generation capacity has
increased from 179 TW-h in 1985 to 1053 TW-h in 2012.
India's Power Finance Corporation Limited projects that current and approved
electricity capacity addition projects in India are expected to add about 100 GW of installed
capacity between 2012 and 2017. This growth makes India one of the fastest growing
markets for electricity infrastructure equipment. India's installed capacity growth rates are
still less than those achieved by China, and short of capacity needed to ensure universal
availability of electricity throughout India by 2017.
The table below presents the electricity generation capacity, as well as availability to
India's end user and their demand. The difference between installed capacity and availability
is the transmission, distribution and consumer losses. The gap between availability and

19

Power Scenario in India

demand is the shortage India is suffering. This shortage in supply ignores the effects of
waiting list of users in rural, urban and industrial customers; it also ignores the demand gap
from India's unreliable electricity supply.
Table No.3.3 Reported data [ 4 ]
Item

Value

Date reported ( Ref.No.4 )

Total installed capacity (GW)

209.27

October 2012

Available base load supply (MU)

893371

October 2012

Available peak load supply (GW)

125.23

October 2012

Demand base load (MU)

985317

October 2012

Demand peak load (GW)

140.09

October 2012

State-owned and privately owned companies are significant players in India's


electricity sector, with the private sector growing at a faster rate. India's central government
and state governments jointly regulate electricity sector in India.
Major economic and social drivers for India's push for electricity generation include
India's goal to provide universal access, the need to replace current highly polluting energy
sources in use in India with cleaner energy sources, a rapidly growing economy, increasing
household incomes, limited domestic reserves of fossil fuels and the adverse impact on the
environment of rapid development in urban and regional areas.
Table No.3.4 State-wise All India installed capacity [ 4 ]
Thermal (in MW)
State / Union
Territory
Coal Gas

Renewable (in MW)


Nucle
Total
SubSubar
Other
(in
Total
Total
(in
Diesel
Hydel Renewa
Therma MW)
Renewa MW)
ble
l
ble

20,2
3,475.9
Maharashtra 39.2
3
7

%
of
National
Installed
Capacity

23,715.2 690.1 3,331.8


32,505.9
4,768.80 8,100.64
13.90%
0
4
4
8

Gujarat

15,7
4,978.9
20,734.7 559.3
26,269.1
38.2
17.48
772.00 4,203.06 4,975.06
11.23%
9
4
2
2
7

Madhya

8,50 257.18 -

8,761.07 273.2 3,223.6 644.38

3,868.04 12,902.3 5.52%

20

Power Scenario in India

Pradesh

3.89

Chhattisgarh

6,38
8.49

4
-

Dadra
& 1,62
196.91 Nagar Haveli 2.35
326.
48.00
17

Goa
Daman
Diu

& 36.7
4.20
1

6,388.49 47.52 120.00 308.90

428.90

6,864.91 2.93%

1,819.26

228.1
4

2,047.40 0.88%

374.17

25.80 -

0.05

0.05

400.02

0.17%

40.91

7.38

48.29

0.02%

1,819.26

228.1
4

2,047.40 0.88%

Central
- 1,62
196.91 Unallocated 2.35

52,8
8,988.3
61,905.3 1,840. 7,447.5
17,372.6 81,117.9
99.5
17.48
9,925.19
34.68%
1
0
00
0
9
9
1

Western

10,6
Uttar Pradesh 82.9 549.97 5

11,232.9 335.7 1,859.4


846.48
2
2
5

2,705.93

14,274.5
6.10%
7

Rajasthan

7,67
775.03 9.72

8,454.75

573.0 1,548.3
14,059.1
3,483.05 5,031.37
6.01%
0
2
2

Haryana

6,08
560.29 3.92
2.03

6,646.24

109.1 1,373.2
123.20
6
1

1,496.41 8,251.81 3.53%

Punjab

3,79
288.92 0.88

4,079.80

208.0 3,029.5
297.58
4
3

3,327.11 7,614.95 3.26%

Delhi

4,55 2,116.0
6.37 1

6,672.38

122.0
690.33 16.00
8

706.33

Himachal
Pradesh

152.
61.88
02

3.92

214.03

34.08

2,950.9
625.91
4

3,576.85 3,824.96 1.64%

Uttarakhand

300.
69.35
50

369.85

22.28

2,006.0
189.87
1

2,195.88 2,588.01 1.11%

642.40

77.00

1,658.0
147.53
3

1,805.56 2,524.96 1.08%

47.86

8.84

52.88

52.88

109.58

1,267.54

129.8
524.05 0

524.05

1,921.39 0.82%

Jammu
Kashmir
Chandigarh

& 329.
304.14 8.94
32
32.5
15.32
4

Central
- 977.
290.35 Unallocated 19

7,500.79 3.21%

0.05%

Northern

34,5
5,031.2
39,627.7 1,620. 15,692.
21,422.3 62,670.1
83.5
12.99
5,729.62
26.79%
6
5
00
75
7
2
0

Tamil Nadu

8,72 1026.3 411.6 10,014.3 524.0 2,182.2 7,946.13 10,128.3 20,666.6 8.83%

21

Power Scenario in India

6.40 0

Andhra
Pradesh

8,57 3,370.4
11,980.6 275.7 3,734.5
17,285.4
36.80
1,294.49 5,029.02
7.39%
3.48 0
8
8
3
8

Karnataka

6,15
8.39

Kerala

914.
256.4
1881.5
533.58
1,704.58 95.60
193.52
56
4
0

2,075.02 3,875.20 1.66%

Pondicherry

230.
32.50
09

Central
- 1,32
Unallocated 9.58

234.4
254.8 3,599.8
13,940.6
6,392.81
3,693.19 7,292.99
5.96%
2
6
0
6

262.59

19.28 -

281.87

0.12%

1,329.58

150.4
8

1,480.06 0.82%

Southern

25,9
4,962.7 939.3 31,834.6 1,320. 11,398. 13,127.3 24,525.3 57,679.9
32.5
24.66%
8
2
0
00
03
3
6
6
0

West Bengal

7,21
100.00 12.20 7,329.07 6.87

1,248.3
131.45
0

1,379.75 8,708.82 3.72%

Odisha

5,11
5.06

5,115.06 -

2,166.9
99.80
3

2,266.73 7,381.79 3.16%

DVC

6,55
90.00
5.60

6,645.60 -

193.26 -

193.26

6838.86 2.92%

Jharkhand

2,35
8.88

2,358.88 -

200.93 20.05

220.98

2,579.86 1.10%

Bihar

1,95
4.70

1,954.70 -

129.43 114.00

243.43

2,198.13 0.94%

Assam

60.0
598.52 20.69 679.21
0

429.72 31.11

460.83

1,140.04 0.49%

Meghalaya

65.61

67.66

356.58 31.03

387.61

455.27

0.19%

Tripura

349.84 4.85

354.69

62.37

78.38

433.07

0.19%

Sikkim

82.6
1

5.00

87.61

174.27 52.11

226.38

313.99

0.13%

Arunachal
Pradesh

32.05

15.88 47.93

97.57

103.91

201.48

249.41

0.11%

Manipur

46.96

45.41 92.37

80.98

5.45

86.43

178.80

0.08%

Mizoram

27.28

51.86 79.14

34.31

36.47

70.78

149.92

0.06%

Nagaland

32.84

2.00

34.84

53.32

28.67

81.99

116.83

0.05%

1,509.56 -

127.15 -

127.15

1,636.71 0.70%

5,355.1 670.06

6,025.18 32,381.5 13.84%

Central
- 1,45
55.40
Unallocated 4.16
Eastern

2.05

24,7 1,398.5 159.9 26,356.3 -

16.01

22

Power Scenario in India

97.8 0
8

Andaman &
Nicobar

60.05 60.05

10.35

10.35

70.40

0.03%

Lakshadweep -

9.97

9.97

0.00%

Islands

70.02 70.02

10.35

10.35

80.37

0.03%

TOTAL

138,
20,380. 1,199. 159,793.
39,893. 29,462.5 69,355.9 233,929.
213.
4,780
100.00%
85
75
99
40
5
5
94
39

9.97

Table No.3.5 Sector-wise All India installed capacity [ 4 ]

Sector

Thermal (in Hydel


MW)
MW)

(in Nuclear (in Renewable (in Total


MW)
MW)
MW)

(in %
total

of

Central
Govt.

52,500.54

9,717.4

4,780.00

66,997.94

28.64%

State
Govt.

59,627.93

27,482.00

3,726.77

90,836.70

38.83%

Private

47,665.52

2,694.00

25,735.78

76,095.30

32.53%

TOTAL

159,793.99

39,893.40

4,780

29,462.55

233,929.94

100.00%

In 2010, the five largest power companies in India, by installed capacity, in


decreasing order, were the center-owned NTPC, center-owned NHPC, followed by three
privately owned companies: Tata Power, Reliance Power and Adani Power.
In India's effort to add electricity generation capacity over 20092011, both
central government and state government owned power companies have repeatedly failed to
add the capacity targets because of issues with procurement of equipment and poor project
management. Private companies have delivered better results.

23

Power Scenario in India

3.3 Electricity transmission and distribution


Table No.3.6 Installed transmission (circuit km) and distribution capacity (Jun 2014)
Capacity

Substations
(MVA)

Transmission
(c.km)

lines

500 kV HVDC

13,500

9,432

0.699

765 kV

88,500

12,367

0.140

400 KV

180,872

127,261

0.704

200 KV

258,444

145,561

0.563

c.km / MVA ratio#

The all-time maximum peak load is not exceeding 151,000 MW in the unified
grid whereas the all-time peak load met is 136,000 MW on 30/6/2014. The maximum
achieved demand factor of substations is nearly 61.91% at 200 KV level. The operational
performance of the huge capacity substations and the vast network of high voltage
transmission lines with low demand factor are not satisfactory in meeting the peak electricity
load. Detailed forensic engineering studies are to be undertaken and system inadequacies
rectified to evolve in to smart grid for maximizing utility of the existing transmission
infrastructure with optimum future capital investments.

24

Power Scenario in India

Chapter 4
Types of Conventional Sources

4.1 Conventional Source


4.1.1 Thermal power:
Thermal power plants convert energy rich fuel into electricity and heat. Possible fuels
include coal, natural gas, petroleum products, agricultural waste and domestic trash / waste.
Other sources of fuel include landfill gas and biogases. In some plants, renewal fuels such as
biogas are co-fired with coal.
Coal and lignite accounted for about 57% of India's installed capacity. However,
since wind energy depends on wind speed, and hydropower energy on water levels, thermal
power plants account for over 65% of India's generated electricity. India's electricity sector
consumes about 80% of the coal produced in the country.
India expects that its projected rapid growth in electricity generation over the next
couple of decades is expected to be largely met by thermal power plants.
4.1.2 Fuel constraints
A large part of Indian coal reserve is similar to Gondwana coal. It is of low calorific
value and high ash content. The iron content is low in India's coal, and toxic trace element
concentrations are negligible. The natural fuel value of Indian coal is poor. On average, the
Indian power plants using India's coal supply consume about 0.7 kg of coal to generate a
kWh, whereas United States thermal power plants consume about 0.45 kg of coal per kWh.
This is because of the difference in the quality of the coal, as measured by the Gross Calorific
Value (GCV). On average, Indian coal has a GCV of about 4500 Kcal/kg, whereas the quality
elsewhere in the world is much better; for example, in Australia, the GCV is 6500 Kcal/kg
approximately.

25

Power Scenario in India

The high ash content in India's coal affects the thermal power plant's potential
emissions. Therefore, India's Ministry of Environment & Forests has mandated the use of
beneficiated coals whose ash content has been reduced to 34% (or lower) in power plants in
urban, ecologically sensitive and other critically polluted areas, and ecologically sensitive
areas. Coal benefaction industry has rapidly grown in India, with current capacity topping 90
MT.
Thermal power plants can deploy a wide range of technologies. Some of the major
technologies include:

Steam cycle facilities (most commonly used for large utilities);

Gas turbines (commonly used for moderate sized peaking facilities);

Cogeneration and combined cycle facility (the combination of gas turbines or internal
combustion engines with heat recovery systems); and

Internal combustion engines (commonly used for small remote sites or stand-by
power generation).
India has an extensive review process, one that includes environment impact

assessment, prior to a thermal power plant being approved for construction and
commissioning. The Ministry of Environment and Forests has published a technical guidance
manual to help project proposers and to prevent environmental pollution in India from
thermal power plants.
Installed thermal power capacity
The installed capacity of Thermal Power in India, as of 31 October 2012, was
140206.18 MW which is 66.99of total installed capacity.

Current installed base of Coal Based Thermal Power is 120,103.38 MW which comes
to 57.38% of total installed base.

Current installed base of Gas Based Thermal Power is 18,903.05 MW which is 9.03%
of total installed capacity.

Current installed base of Oil Based Thermal Power is 1,199.75 MW which is 0.57%
of total installed capacity.

The state of Maharashtra is the largest producer of thermal power in the country.

26

Power Scenario in India

4.1.3 Hydro power


In this system of power generation, the potential of the water falling under
gravitational force is utilized to rotate a turbine which again is coupled to a Generator,
leading to generation of electricity. India is one of the pioneering countries in establishing
hydro-electric power plants. The power plants at Darjeeling and Shimsha (Shivanasamudra)
were established in 1898 and 1902 respectively and are among the first in Asia.
India is endowed with economically exploitable and viable hydro potential assessed to
be about 84,000 MW at 60% load factor. In addition, 6,780 MW in terms of installed capacity
from Small, Mini, and Micro Hydel schemes have been assessed. Also, 56 sites for pumped
storage schemes with an aggregate installed capacity of 94,000 MW have been identified. It
is the most widely used form of renewable energy. India is blessed with immense amount of
hydro-electric potential and ranks 5th in terms of exploitable hydro-potential on global
scenario.
The present installed capacity as of 31 May 2014 is approximately 40,661.41 MW
which is 16.36% of total electricity generation in India. The public sector has a predominant
share of 97% in this sector. National Hydroelectric Power Corporation (NHPC), Northeast
Electric Power Company (NEEPCO), Satluj jal vidyut nigam (SJVNL), Tehri Hydro
Development Corporation, NTPC-Hydro are a few public sector companies engaged in
development of hydroelectric power in India
Bhakra Beas Management Board (BBMB), illustrative state-owned enterprise in north
India, has an installed capacity of 2.9 GW and generates 12000-14000 MU per year. The cost
of generation of energy after four decades of operation is about 20 paise/kWh [citation
needed] (=0.2 rupee/kWh = approx. 0.3 US cents/kWh). BBMB is a major source of peaking
power and black start to the northern grid in India. Large reservoirs provide operational
flexibility. BBMB reservoirs annually supply water for irrigation to 12.5 million (12.5
million) acres of agricultural land of partner states, enabling northern India in its green
revolution.

27

Power Scenario in India

4.1.4 Nuclear power

Fig.4.1 Nuclear Power Reactors in operation and under construction


As of 2011, India had 4.8 GW of installed electricity generation capacity using
nuclear fuels. India's Nuclear plants generated 32455 million units or 3.75% of total
electricity produced in India.
India's nuclear power plant development began in 1964. India signed an agreement
with General Electric of the United States for the construction and commissioning of two
boiling water reactors at Tarapur. In 1967, this effort was placed under India's Department of
Atomic Energy. In 1971, India set up its first pressurized heavy water reactors with Canadian

28

Power Scenario in India

collaboration in Rajasthan. In 1987, India created Nuclear Power Corporation of India


Limited to commercialize nuclear power.
Nuclear Power Corporation of India Limited is a public sector enterprise, wholly
owned by the Government of India, under the administrative control of its Department of
Atomic Energy. Its objective is to implement and operate nuclear power stations for India's
electricity sector. The state-owned company has ambitious plans to establish 63 GW
generation capacity by 2032, as a safe, environmentally benign and economically viable
source of electrical energy to meet the increasing electricity needs of India.
India's nuclear power generation effort satisfies many safeguards and oversights,
such as getting ISO-14001 accreditation for environment management system and peer
review by World Association of Nuclear Operators including a pre-start up peer review.
Nuclear Power Corporation of India Limited admits, in its annual report for 2011 that its
biggest challenge is to address the public and policy maker perceptions about the safety of
nuclear power, particularly after the Fukushima incident in Japan.
In 2011, India had 18 pressurized heavy water reactors in operation, with another
four projects of 2.8 GW capacity launched. The country plans to implement fast breeder
reactors, using plutonium based fuel. Plutonium is obtained by reprocessing spent fuel of first
stage reactors. India successfully launched its first prototype fast breeder reactor of 500 MW
capacities in Tamil Nadu, and now operates two such reactors.
India has nuclear power plants operating in the following states: Maharashtra,
Gujarat, Rajasthan, Uttar Pradesh, Tamil Nadu and Karnataka. These reactors have an
installed electricity generation capacity between 100 to 540 MW each. New reactors with
installed capacity of 1000 MW per reactor are expected to be in use by 2012.
In 2011, The Wall Street Journal reported the discovery of uranium in a new mine
in India, the country's largest ever. The estimated reserves of 64,000 tones could be as large
as 150,000 tones (making the mine one of the worlds largest). The new mine is expected to
provide India with a fuel that it currently imports. Nuclear fuel supply constraints had limited
India's ability to grow its nuclear power generation capacity. The newly discovered ore,
unlike those in Australia, is of slightly lower grade. This mine is expected to be in operation
in 2012.India's share of nuclear power plant generation capacity is just 1.2% of worldwide

29

Power Scenario in India

nuclear power production capacity, making it the 15th largest nuclear power producer.
Nuclear power provided 3% of the country's total electricity generation in 2011. India aims to
supply 9% of its electricity needs with nuclear power by 2032. India's largest nuclear power
plant project under implementation is at Jaitapur, Maharashtra in partnership with Areva,
France.

4.2

Non-Conventional Sources

Renewable energy in India is a sector that is still in its infancy.


As of 31 January 2014, India had an installed capacity of about 31.15 GW of nonconven tional renewable technologies-based electricity, about 13.32% of its total. For
context, the total installed capacity for electricity in Switzerland was about 18 GW in 2009.
Table No.4.1 Renewal Energy Installed Capacity in India (as of 31 January 2014) [ 4 ]

Type

Technology

Installed capacity
(in MW)

Wind
Small Hydel Power Projects
Bagasse Cogeneration

20,298.83
3,774.15
2,512.88

Grid Connected Power

Total - Grid Connected Power


Off-Grid / Captive Power

Solar
2,208.36
Biomass Power & Gasification 1,285.60
Waste to Power
99.08
30,177.90
Bagasse Cogeneration
SPV Systems (>1 kW)
Biomass Gasifiers Industrial
Waste to Power
Biomass Gasifiers Rural
Water Mills/Micro Hydel
Aerogenerator / Hybrid Systems

Total - Off-Grid / Captive Power


TOTAL

517.34
159.77
146.40
119.63
17.63
10.18
2.18
973.13
31,151.03

30

Power Scenario in India

As of August 2011, India had deployed renewal energy to provide electricity in


8846 remote villages, installed 4.4 million family biogas plants, 1800 microhydel units and
4.7 million square meters of solar water heating capacity. India anticipates adding another 3.6
GW of renewal energy installed capacity by December 2012.India plans to add about 30 GW
of installed electricity generation capacity based on renewal energy technologies, by
2017.Renewable energy projects in India are regulated and championed by the central
government's Ministry of New and Renewable Energy.
4.2.1 Solar power
India is endowed with a vast solar energy potential. India receives one of the highest
global solar radiations - energy of about 5,000 trillion kWh per year is incident over India's
land mass with most parts receiving 4-7 kWh per m2 per day. Under Solar Mission, a central
government initiative, India plans to generate 1 GW of power by 2013 and up to 20 GW gridbased solar powers, 2 GW of off-grid solar power and cover 20 million square meters with
solar energy collectors by 2020. India plans utility scale solar power generation plants
through solar parks with dedicated infrastructure by state governments, among others, the
governments of Gujarat and Rajasthan.
The Government of Gujarat taking advantage of the national initiative and high solar
irradiation in the state, launched the Solar Power Policy in 2009 and proposes to establish a
number of large-scale solar parks starting with the Charanka Solar Park in Patandistrict in the
sparsely populated northern part of the state. The development of solar parks will streamline
the project development timeline by letting government agencies undertake land acquisition
and necessary permits, and provide dedicated common infrastructure for setting up solar
power generation plants largely in the private sector. This approach will facilitate the
accelerated installation of private sector solar power generation capacity reducing costs by
addressing issues faced by stand-alone projects. Common infrastructure for the solar park
include site preparation and leveling, power evacuation, availability of water, access roads,
security and services. In parallel with the central government's initiative, the Gujarat
Electricity Regulatory Commission has announced feed-in tariff to mainstream solar power
generation which will be applied for solar power generation plants in the solar park. Gujarat
Power Corporation Limited is the responsible agency for developing the solar park of 500
MW and will lease the lands to the project developers to generate solar power. Gujarat
Energy Transmission Corporation Limited will develop the transmission evacuation from the
identified interconnection points with the solar developer. This project is being supported, in
part, by the Asian Development Bank.

31

Power Scenario in India

The Indian Solar Loan Programmed, supported by the United Nations Environment
Programmed has won the prestigious Energy Globe World award for Sustainability for
helping to establish a consumer financing programed for solar home power systems. Over the
span of three years more than 16,000 solar home systems have been financed through 2,000
bank branches, particularly in rural areas of South India where the electricity grid does not
yet extend. Launched in 2003, the Indian Solar Loan Programmed was a four-year
partnership between UNEP, the UNEP Risoe Centre, and two of India's largest banks, the
Canara Bank and Syndicate Bank.
Installation of solar power plants require nearly 2.4 hectares (6 acres) land per MW
capacity which is similar to coal fired power plants when life cycle coal mining, consumptive
water storage & ash disposal areas are also accounted and hydro power plants when
submergence area of water reservoir is also accounted. 1.33 million MW capacity solar plants
can be installed in India on its 1% land (32,000 square km). There are vast tracts of land
suitable for solar power in all parts of India exceeding 8% of its total area which are
unproductive barren and devoid of vegetation. Part of waste lands (32,000 square km) when
installed with solar power plants can produce 2000 billion Kwh of electricity (two times the
total generation in the year 2013-14) with land productivity/yield of 1.5 million Rs per acre (6
Rs/kwh price) which is at par with many industrial areas and many times more than the best
productive irrigated agriculture lands. Moreover these solar power units are not dependent on
supply of any raw material and are self-productive. There is unlimited scope for solar
electricity to replace all fossil fuel energy requirements (natural gas, coal, lignite and crude
oil) if all the marginally productive lands are occupied by solar power plants in future. The
solar power potential of India can meet perennially to cater per capita energy consumption at
par with USA/Japan for the peak population in its demographic transition.
Land acquisition is a challenge to solar farm projects in India. Some state
governments are exploring means to address land availability through innovation; for
example, by exploring means to deploy solar capacity above their extensive irrigation canal
projects, thereby harvesting solar energy while reducing the loss of irrigation water by solar
evaporation. The state of Gujarat was first to implement the Canal Solar Power Project, to use
19,000 km (12,000 mi) long network of Narmada canals across the state for setting up solar
panels to generate electricity. It was the first ever such project in India.

32

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 6 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 2 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,

33

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 2 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 2 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
6 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.

34

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
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.

35

Power Scenario in India

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 25 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 4 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 8 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
maximum tidal range in Sunderbans is approximately 5 m with an average tidal range of 2.97
m. The report claims, barrage technology could harvest about 8 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.

36

Power Scenario in India

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 5 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 1 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.

37

Power Scenario in India

Chapter 5
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 worlds
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 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.

38

Power Scenario in India

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 3 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
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.

39

Power Scenario in India

Chapter 6
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 do 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 do
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.

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 equipments like transformers.

40

Power Scenario in India

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 (CO2) 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.

The July 2012 blackout, affecting the north of the country, was the largest power grid failure
in history by number of people affected.

41

Power Scenario in India

Chapter 7
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), 9 mcmd and 118 mcmd out of which 20 mcmd, 1.4 mcmd and 34
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.

42

Power Scenario in India

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.
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.

43

Power Scenario in India

Chapter 8
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 2 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
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 .

44

Power Scenario in India

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.

45

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
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.

46

Power Scenario in India

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

47

Вам также может понравиться