Power Tariff in India

Over the period, tariff structure in India has undergone lots of changes.

Some samples:-

APSEB tariff

Domestic tariff ( BMC)

These days all bulk consumers file tariff petritions with SERC or CERC.

NTPC plants in India

Himachal ( Koldam Hydel), Haryana ( Faridabad gas, Badarpur ), UP ( Dadri Coal , NCTPP, Unchahar, Tanda, Singruali, Rihand), Rajasthan ( Anta), Gujarat ( Kawas Gas, Gandhar), MP ( Auraiya, Vindhyanchal ), Bihar ( Kahalgaon, Barh ), Chhatisgarh ( Korba, Sipat), WB( Farakka, Durgapur), Odisha ( Talcher, Rourkela, Bhilai), Andhra Pradesh ( Simhadri , Ramagundam) , Kerala ( Kayamkulam).

Some facts about power sector tagets in India

In a five year plant India targets to add about 40,000 MW.
'Power to all ' target is deadlined for 2012.
Intergrid capacity planned by 2012 is 30,000 MW.
Peaking shortage is estimated to be 11 %.
PLF is estimated to be 72 %
From 1700 MW in 1947, power sector has come up to 130,000 MW today.
Still 80 million rural households are in dark.
Till Aug 06, 44% of rural India had electricity. ( out of 14 Crore households, 6 Crore were electrified).
Cogeneration potential of sugar Industry is estimated to be 5000 MW ( tapped at present: 850 MW).

Thoughts on Electricity Tariff

Industrial , Domestic and Agriculture. Which sector to be billed dearest? World over, domestic tariffs have been highest and Industrial tariffs are lowset. Moreover, Tariff is different for Paek, Normal and Off-peak period.
We know that scenario in India is different.

An interesting fact about agriculture load is that therre are about 15 million pumpsets and they consume 30 billion kwh in a year (most of which is unmetered).

About Nuclear Power

It is said that one kilo of uranium = 25000 kg of coal.
There are bout 15 reactors installed in India.( mostly PHWR)
Major NPP are in Trombay, Kaiga, Kota, Narora, Kakrapar and Kalapakkam ( It has FBTR).
NPC is watched by AERB.
AEC governs DAE.
DAE has 4 parts:- R&D ( BARC Trombay, IGCAR Kalapakkam, CAT, Indore, VECC Kolkata,AMD)., Public Sector( NPCIL,ECIL,IRAL,UCil), Industrial Sector ( HWB,MUmbai,NFC Hyderabad,RAPTB Mumbai) and Servicing ( PS Directorate,CS Group, AMDir, GSO).
In addition to above there are many totally funded organisatios:-
TIFR,Tata Memorial Centre, Saha Inst of Nuc Physics Bhuvaneswar, Mehta research Inst of Maths Allahabad, Inst of Math Sciences Chennai, Atomic En Education Society, National Board of Higher Maths, Mumbai)
Kakrapar near Surat) was commissioned in 1992 . Has had some accidents in past.

Rural electrification ( as per 1991 census )

STATE No of Villages (Villages Electrified )

Arunachal 3600 ( 22000 )
Assam 25000 (20000 )
Bihar 70000 (50000 )
J&K 6500 (6400 )
MP 72000 (70000 )
Manipur 2200 (2000 )
Meghalaya 5500 (2500 )
Mizoram 700 (700 )
Odisha 50000 (35000 )
Rajasthan 38000 (35000 )
Tripura 900 (810 )
UP 1,15,000 (90,000 )
WB 38000 (30000 )

This means that out of total about 6 Lakh villages , 95 % are electrified.

A note on Energy Crisis

• Till 1960's coal was major contributor towards power, By 1970, Oil overtook coal. Production of crude oil rose from 1503 mT ( 1965) to 2850 mT ( 1973) . Then Arab embargo in 1973 Western multinatonal oil companies promoted a wasteful energy consumption pattern for sake of higher profits.
  World's known oil reserves of 700 billion barrel wont last more than 2030 . The developing countries pay an import bill of $150 billion.
  Known reserves of coal are 650 billion mT ( =3100 billion barrels of oil ).
  Known reserves of natural gas are 500 billion barrel. ( 72 % of proven oil reserves and 15 % of proven coal reserves ).
  Oil Shale is another energy resource, but not commercially exploited.
  Forests in developing countries are being consumed @ 1.3 % of total forest area of 15 million hectares a year.
  Dung being burnt annually is = 2 million tons of nitrogen and phosphorus.


• 1% saving in T&D loss is = 1000 MW capacity added.


• 80% of the power capacity is with states.


• By the inputs needed to produce 1 MW, it is possible to conserve 3 MW power.

Time Line of Power Sector Reforms in India

1991 Generation privatised.
1992 Electricity Regulatory Commission ( ERC) Act enacted.
1994 Accelerated Power Development Program launched.
1996 National Electricity Policy and National Tariff policy notified.
1998 Electricty Act , 1998 enacted.
1999 NTPC Tripartite Agreement to securitise SEB dues.
2000 Availability based tariff announced , APDRP launched.
2001 Electricity Act 2001 passed.
2003 New Electricity Act 2003, enacted.
2004 Multi year tariff announced.
2005 National Electricity Policy and National Tariff policy announced.
2006 Ultra Mega Power Projects launched.

Some more rapid fire

Q) This $3-billion, 2000 MW power plant , idle since 2001, was given life by NTPC in the name of Ratnagiri Power in 2008 . It fires Qatar LNG from Petronet . Name it.
Ans ) Dabhol.
Q) Who has promoted the 4000 MW Mundhra Power Project ( this is another UMPP, concieved after Sasan in MP) ?
Ans) Tata Power.

Q) What are Mahanadi, Magadh, Gevra, Dipka and Amrapali ?

Ans) Coalfields of Coal India Ltd.

Q) What are Kawas and Gandhar ?

Ans) NTPC projects.

Q) Where are Naying and Ketehr Hydel projects?

Ans) In Arunachal and Himachal respectively.
Q) Who are top 5 countries to use Nuclear Power for Electricity?

Ans) France ( 80%), Lithuania ( 70%), Slovakia ( 55%), Belgium ( 55%), Ukraine (50%).

Q) How much is energy growth rate in India?

Ans) 1.5 % p.a.

Q) Formed in 1975, this Rs 6000 Crore equity organisation earns a profit of 400 Crore produces 35 billion units of electricity employing 2000 people.Name the organisation.

Ans ) NTPC

Was AP able to turnaround in 2008?

AP transco claimed in 1998 that it has drastically reduced its AT&C losses ( from 37% in 1999-2000 to 15.8 % in 2005-06). demand of 12000 MW. Yet to analyse the situation today.

Other than Andhra Pradesh, Chhattisgarh, Himachal , Karnataka and Orissa have signifacntly reduced their AT&C losses.

Almost all states have unbundled utilities.

Guarantee of returns for power producers

GOI had announced that 16% returns on euity invested would be guaranteed to power producers. And this will need a certain PLF.
Some facts in this regard are :-

• IPPs equity is 30% of total project cost and for PSUs like NTPC it is 50 % .


• Incentives for PSUs like NTPC become about Rs1000 Crore.

Some Rapid Fire Questions on Power Sector

Q) Where is "Electricity " listed in Indian constitution?
Ans) In the concurrent list. ( Entry #38, list III of schedule VII).

Q) Who headed the committee on Power Policy?
Ans) N K Singh.

Q)Which two state boast of non-loss making SEBs?
Ans) Himachal and Maharashtra.

Q)Where do you find world's highest ever night peak load?
Ans) Haryana !

Q)How much is per capit per day electricty consumption in India?
Ans) India is 1 unit/day, China - 5 units/day, USA - 40 Units per day !

Q) How many households are deprived of electricity in INdia?
Ans) 69 %.

Q) Formed in 1989, this organisation had turnover of Rs 1000 Crore in 1996, with aprofit of Rs300 Crore. ( operating 30,000 ckt Km of EHV lines, 30,000 MVa of transformers and handled 30% of total power available in the country.) Whats the name?

Ans) POWERGRID.

Two decades of reforms in Power Sector

• Despite two years of reforms, scenario in power sector is not veri optimistic. SEBs ( now corporations) owe over Rs 10,000 crore to Caoal India and their total annual losses are huge ( More than Rs 40,000 Crore ).



• Escalations in Hydel projects ( thanks to anti-dam activists ) have caused poor hydel:thermal ratio ( which is 60:40 world over as compared to 25:75 in India)



• DISCOMs have not been able to reduce losses despite reforms and power remains most demanded Infrastructure in the Country.


• Out of total generated power only 40 % is billed,

How much coal is burnt to make electricty in India?

Well, the answer is ...HUGE . About 600 million Tonnes of Coal is gulped by TPPs in India. About 100 million Tonne of this is imported.

Interestingly, coal comes under APM ( Administrative Pricing Mechanism)

Coal availability has been discussed a lot recently in view of capacity addition plans failing year after year.

Power Sector Updates

• How much energy India gulps in a year ? Thats good 450 MTOe. ( 1 MW is equivalentto 2000 TOe).


• What is PAT ? That,s Perform Achieve and Trade guidelines issued by BEE for 8 industrial sectors.


• How much Wind+Hydro+Biomass can generate in India according to WB? That's 68000 MW.


• How much amount India is investing in PV and CSP under NSM ? That's Rs.90,000 Crore.


• 9900 MW Jaitpur ( MH) NPP is likely to be delayed in wake of Fukushima. This was being executed by Areva od France.


• CAG has pulled up which state for losses after reforms.


• GAIL is planning to foray into power generation. It is tying up with NTPC to set up gas based plants.

Some important Safety Rules from I.E.1956

A) Rule:60 Where supply line for use at low medium voltage has been disconnected from a system for the purpose of repair, line shall not be reconnected to the system until the supplier or the owner has applied the test prescribed (such as I.R and HV test.)
B) Neutral conductors of 3 phase, 4 wire system and the middle conductor of a 2 phase, 3 wire system shall be earthed by not less than two separate and distinct connections with a minimum of two different earth electrodes or such large number as may be necessary to bring the earth resistance to a satisfactory value both at the generating station and at the sub station. The earth electrodes so provided may be inter connected to reduce earth resistance. It may also be earthed at one or more points along the distribution system or service line in addition to any connection with earth which may be at the consumer’s premises.
C) In the case of system comprising electric supply lines having concentric cables, the external conductors shall be the one to be connected with earth.

D) Where a supplier proposes to connect with earth an existing system for use at high or extra high voltage which has not higher to been so connected with earth, he shall give not less than fourteen days notice in writing together with particulars to the telegraphic authority of the proposed connection with earth.

E) Where the earthling load and earth connection are used only in connection with earthling guards erected under high or extra high voltage overhead lines where they cross a telecommunication line or a railway line and where such lines are equipped with earth leakage relays of type and setting approved by the Inspector the resistance shall not exceed 25 Ohms.

F) If so far as the provisions of rule 61 are consistent with the provisions of this rules, all connections with earth shall also comply with the provisions of that rule.

Rule 69 Pole type sub stations:- Where platform type construction is used for a pole type sub station and sufficient space for a person to stand on the platform is provided, substantial hand rail shall be built around the said platform and if the hand rail, is of metal. It shall be connected with earth.

Provided that in the case of pole type sub station on wooden support and wooden platform the metal hand rail shall not be connected with earth.

Rule 74:- Material and strength :- (1) All conductors of overhead lines other than those specified in sub rule (1) of rule 86 shall have a breaking strength of not less than 317. 51 Kg (700 1bs)

3) Where the voltage is low and the span is of less than 15.24 meters and is on the owner’s consumer’s premises a conductors having an actual breaking strength of not less than 136.08 Kg (300 1bs) shall be used.

Rule- Clearance above ground of the lowest conductor:-

1) No conductor of an overhead line, including service lines, erected across a street shall at any part thereof be at a height less than

a) for low and medium voltage lines 5.791 meters.
b) for high voltage lines 6.096 meters


2) No conductor of an overhead line, including service lines erected along any street shall at any part thereof be at a height less than.

a) for low and medium voltage lines 5.485 meters
b) for high voltage lines 5.791 meters

3) No conductor of an overhead line including service lines erected elsewhere than along or across any street shall be at a height less than.

a) for low, medium and high voltage lines upto and including 11,000 volts, if bare 4.572 meters.

b) for low, medium and high voltage lines upto and including 11,000 volts, if insulated 3.963 meters.

c) for high voltage lines above 11,000 volts 5.182 meters.

4) for extra high voltage lines the clearance above ground shall not be less than 5.2 meters plus 0.305 meters for every 33,000 volts or part thereof by which the voltage of the line exceeds 33,000 volts.

Provide that the minimum clearance along or across any street shall not be less than 6.1 meters.

Rule: 78: Clearance between conductors and trolley wires

Rule: 79. clearance from building of low and medium voltage line and services lines.
1) Where a low or medium voltage overhead line passes above or adjacent to or terminates near any building, the following minimum clearance from any accessible point on the basis of maximum sag shall be observed.

2) for any flat roof, open balcony, verandah roof and loan to roof.

Standard

i) When the line passes the building a vertical clearance of 2.439 meters from the nearest point and

ii) when the line passes adjacent to the building a horizontal clearance of 1.219 meters from the nearest point and

iii) for pitched roof:-

i) when the line passes above the building a vertical clearance of 2.439 meters immediately under the line and

ii) when the line passes adjacent to the building horizontal clearance of 1.219 meters.

2) Any conductor so situated as to have a clearance less than that specified in sub rule shall be adequately insulated and shall be attached by means of metal clips at suitable intervals to a bare earthed bearer wire having a breaking strength of not less than 317.51 kg.

3) The horizontal clearance shall be measured when the line is at maximum deflection from the vertical due to wind pressure.

Rule 80: Clearance from building of high and extra high voltage lines:-

1) Where a high extra – high voltage overhead line passes above or adjacent to any building or part of a building it shall have on basis of maximum sag a vertical clearance above the highest part of the building immediately under such line or not less than:-

a) for high voltage lines upto and including 33,000 volts 3.658 meters.

b) for extra high voltage line 3.600 meters plus 0.305 meters for every additional 33,000 volts or part thereof.

2) The horizontal clearance between the nearest conductor and, any part of such building shall on the basis of maximum deflection due to wind pressure, be not less than:-

a) for high volt age lines above 11,000 volts. and up to and including 33,000 volts 1.829 meters.

b) for high voltage, lines upto and including 11,000 volts 1.219 meters

c) for extra high voltage line 1.829 meters plus 0.305 meters for every additional 33,000 volts or part thereof.

Rule 81: Conductors at different voltage on same supports- where conductors forming parts of systems at different voltage are erected on the same supports, the owner shall make

standard
adequate provisions to guard against danger to lineman and other from the lower voltage system being charged above its normal working voltage by leakage from or contact with the higher voltage system and the methods of construction and the clearance between the conductress of the two systems shall be subject to the prior approval of the inspector.

Rule 88: Guarding:-
1) Where guarding is required under these rules the provision of sub rule (2) to (4) shall apply.

2) Every guard wire shall be connected with earth at each point at which its electrical continuity is broken.

3) Every guard wire shall have an actual breaking strength of no less then 635 kg and if made of iron or steel shall be galvanized.

Construction of 33KV substation

IE rule permits following limits of service voltage :-


LV........................ -6 to +6 %


Upto 33 KV......... -9 to +6 %


Above 33 KV....... -12.5 to +10 %


132 KV transformers have on load tap changers with -15 % to +5 % tap range. Tap changing is not provided in 33 KV distribution transformers.


Protection Scheme:-


132 KV:- Busbars ( Not protected ), Transformers ( Biased diff. with harmonic restraint for HV/LV windings, Inst. REF for LV windings, Overfluxing , IDMT OC and EF for backup,Buccholz, WT, OT), Feeders ( Dist with accelerated zone2, PLCC backup IDMT OC and EF).


33 KV:- Busbars (Not protected), Transformers 7.5 and 12.5MVA ( Biased diff., Inst REF, IDMT OC and EF), Feeders(IDMT OC and EF).

Then the system layout is designed in which ring main ( main and transfer bus) is decided for HV and LV side of 132 KV substation and single bus open ring for 33KV and double bus on 11 KV side ( indoor switchgear ) is decided for 33 KV substation. 11 KV line is erected on 9m PCC poles.

Service connection of 132 KV is given for 5MVA+ consumers. For 1.5 to 5 MVA consumers, 33 KV and for upto 1.5 MVA, 11 KV connection is given.

Fault level:- 11 KV:- S.C.Current ( 18KA), S.C.MVA ( 350MVA), 33 KV:- S.C.Current (18KA), S.C.MVA (1000MVA), 132 KV:- S.C.Current ( 32 KV ) , S.C. MVA ( 7200 MVA)

The transformer rating on 132/33 KV are 12.5, 20 and 25 MVA , on 132/11 KV are 6, 10, 12.5, 31.5 MVA and on 33/11 KV are 0.63, 1.6, 3.15, and 5 MVA .

The switchgear ratings for 132 KV are 1250 A or 2000 A with S.C. current rating of 12.5 KA to 31.5 KA ( i.e. rupturing capacity 2500 MVA to 7200 MVA). For 33 KV side, CBs are of rating 630 A to 1250 A with S.C. current rating of 12.5 KA to 18 KA.( i.e. rupuring capacity of 660 MVA and 750 MVA). 11 KV CBs are rated 400, 800 and 1250 A with rupturing capacity 250 MVA and 500 MVA.

The distribution transformers are of 500 KVA ( urban) and 40 KVA ( rural).

For conductors and cables, 125 sq.mm ACSR or 300 sq.mm XLPE cable is used for 33 KV. For 11 KV, 80 sq.mm. ACSR or 185 sq.mm XLPE cable is used. 50 sq.mm ACSR or 3 1/2 core PVC cable of 70 to 300 sq.mm is used on 415 V side.

Indian Power Sector buzzing with activities

• India has a large generation capacity . (4 % of the world capacity). Not bad, isn't it ? But thanks to our teeming billions, this is really little. Our per capita consumption is not even 1000 KWH/year. World average is close to 3000 KWH/year.
• Transmission scenario is even more worrysome than generation. Only 13 % of the generated power can be transmitted at present. Plan is to increase this to 20% by 2012.
• Tough time ahead for Chinese suppliers? With majority of orders in recent past going to China, govt has proposed 10% import duty, just to bail out BHEL. But one govt body is protesting this import duty. Guess whom? Competition Commision of India ( CCI) ! Here the catch is India can't survive without China as Indian power equipment suppliers dont have the capacity to serve massive orders coming for UMPPs.
• So, its official now. Govt alone cant take ahead nuke power projects. But being a sensitive issue, we now hear what is termed as "minor" private partnership in nuke power sector.
• The new baseline for CO2 emmission has come. CEA has declared it as 0.82 t CO2 / MWh.
• One of our neighbours has realised that they depend upon us for power sector growth. Yes, its the Bangladesh.We are poised to hear more Indo-Bangla power transmission agreements.
• This five year plan could add only 62000 MW against the target of 78000 MW. But current year was super duper hit. Compared to not even 10,000 MW added in each of the last 3 years, this year added good 22,000 MW.
• Despite above, 57 % of our rural houses and 12 % of urban houses are dark. Reason? I think its coal shortage. 75 of our power plants run on coal which consume most of 400 mT produced by CIL. What about gas? Well, picture is even more grim there. Only 144 mscmd is produced in India. So, coal is, and will remain king fuel in Indian power sector.

What's hot in Indian power sector?

• Power trading is "ON" in India. Companies such as Jindal Power and states like Chhattisgar, J&K and MP have sold power on short term basis through the grid.
• India is the 6th largest consumer of power. That is roughly 4 % of global consumption.
• Solar India is shining bright:- Karnataka Power Corp. has set up 3 MW solar power plant. This is just the begining.
• Private power players have cropped up in Hydel sector. KSK of Karnataka has bagged 2000MW contract from Arunachal govt., ousting....guess? ( NHPC !!)
• What happens in multibillion dollar procurements in Indian power sector ? NTPC's bulk order of boilers is yet to be finalised as L&T was decalred invalid in round#1. NTPC plans to add 32000 MW in 12th plan.
• Chinese power sector manufacturers have hit the first road block as Power Grid has put up a condition that they must have set up manufacturing facility in India !
• Guess which neighbor of India is being helped this time? Its Afghanista ! Their engineers first batch completed Transformer training in Ahmedabad.
• How much Indian metros consume? A back of envelop calculation goes like this:- Assuming 7 metros like Delhi ( @ 5000MW each) , our metros only need 35000 MW power. Imagine how much is left for rest of the country !
• Boom boom time. Thats it for power sector in India. You know who is coming up with mega projects? Reliance,Aditya Birla and Hirananadanis. Jobseekers, be ready !
• Many a slip between the cup and the lip. Dismal Indian nuke power generation plan is again in limbo after initial hopes generated after Indo-US civil nuke deal. This time Ministry of Environment has returned 4 new proposals of NPCIL.

Power Sector Snippets

• Large hydro potential is available in India. ( In north and north-east of the country). 25 GW is already used, 20 GW is under implementation and further 66 GW is still available.



• Purnea and Gorakhpur are Indias biggest FACTS projects.



• HTSC ( High Temperature Super Conduction) is stioll to come to India.


• At present only 3 % of the total volume of electricity handled by grid ( = 15000 GWh) is traded in India. Power trading is growing @ 6 % per annum.


• Power trading improves capacity utilisation, reduces unit costs, raises farm and industrial output and cuts down need for new projects.