1. N Tenzin*, Y Jamtsho, U Phuentsho, K Pemo and S Norbu
College of Science and Technology, Rinchending, Phuentsholing, Bhutan
*namyeltemzin@gmail.com, ede2011018@cst.edu.bt
COST BENEFIT ANALYSIS FOR IMPLEMENTATION OF GSM/GPRS BASED SMART
METERING FOR ELECTRICAL UTILITIES IN PHUENTSHOLING, BHUTAN
6.Scope
4. Results
1.Introduction
 Smart metering is new technology to BPC and to
the Bhutanese.
 Electricity is becoming an expensive commodity,
minimize and efficient use of electricity.
 Cost Benefit analysis provides quantitative
comparisons; study on feasibility of a project.
 Simple payback period and Net Present Value
analysis.
3.Challenges
2.Methodology
5.Conclusions
International Seminar on Renewable Energy and Sustainable Development, Royal
University of Bhutan, Thimphu, Bhutan
15-17th June, 2015 Bhutan
Datalogger +
20.00
40.00
60.00
80.00
100.00
120.00
0 2 4 6 8
Money(Nu)
Thousands
Increment(%)
NPV
NPV
4.74.99 5.15
4.05
9.1
8.45
5.5
8.778.27
2
4
6
8
10
2004 2006 2008 2010 2012 2014 2016
IRate(%)
Year
I RATE(NSB)
I RATE(NSB) Linear ( I RATE(NSB))
Sl
No
Inflation
Rate (%)
NPV over 5
Years (Nu)
1 6.533 43,939.73
2 8.018 44,597.43
3 8.27 44,710.88
4 13 46,942.65
Sl
No
Cost Esc. % NPV(Nu)
1
1% 23062.89
2
2% 1414.89
3
3% -20233.11
 The simple payback period computed was 4.41 years.
 The NPV was Nu 44710.89 for the period of five years discounted at 4 % annually with inflation of 8.27 percent.
 AMI system can be explored.
 CBA with different discount rates (BPC)
 Multiple Analysis ( Voltage, Load, harmonics
can be performed).
 Lack of Previous Data(Financial) & Inflation Rate
 Justification of costs and Benefits. (Qualitative)
Viable Project according to Simple pay back period , NPV & Sensitivity Analysis.
Annual Maintenance costs is not considered.
Analysis covers only Pasakha Industrial Estate.
Smart meter using AMR is a proven technology, BPC should implement though costly.
Acknowledgement to Mr. C Phuntsho(Manager) and BPC ESD Phuentsholing for their assistance.
Fig.1. Sample Energy Consumption data Fig.2. AMR Network Architecture