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Analysis Of Suitability Of
Micro Grids And Individual Systems
Vikshut Mundkur Felix Varghese Ana Gajarales
• Objectives
• Methodology
• Suitability Factors
Technical
Operational Sustainability
Financial
Impact
• End User Costs
• Conclusions
• Recommendations
Outline
Objectives
• To explore the possibilities of co-existence of
micro grids and individual systems for energy
access.
• To evaluate the following notions
1. Either micro grids or individual systems are better or more
suitable than their counterpart.
2. Micro grids support livelihoods.
3. Micro grids face prohibitive costs and there is no sustainable
business model.
Methodology
• Literature Review
• Interactions with
Practioners
• Interactions with
Policy Makers
Micro Grid (solar PV): A power system
where produced electricity (200W – 10kW) is
fed into a small distribution network that
provides a number of end users with
electricity in their premises. For analysis we
have considered models catering up to 100
households.
Individual Systems: A stand-alone system
that is capable of providing energy for
households, institutions and powering
equipments without a transmission network.
This includes solar home systems, standalone
systems for institutions, enterprises and
livelihood activities.
Suitability Factors
Technical
• Flexibility for the End User
• Scalability
• Scope for Grid Integration
Operational Sustainability
• Operation and Maintenance
• Ownership Models
Financial Factors
• Demonstration of Viable Business Models
• End User Financing
Impact
• Towards Cost/Service
• Livelihood Impact
Monthly cost for the end user
0
50
100
150
200
250
300
10 35 100
RupeesperMonth
Household size
2Lights + Cell Phone - Monthly Costs to Household
SHS MG
Life time costs for the end user
0.00
500.00
1,000.00
1,500.00
2,000.00
2,500.00
3,000.00
3,500.00
4,000.00
4,500.00
5,000.00
0 1 2 3 4 5 6 7 8 9 10
AnnualExpenditure,INR
Lifetime, Years
2Lights+Cellphone, Lifetime End-User Costs
SHS
MG - 10h
MG - 35h
MG - 100h
Conclusions
• Micro grids and individual systems provide comparable
services in the present energy access scenario.
• Considering the lifetime costs for the end user, micro grids are
costly owing to operator and an entrepreneur.
• Currently both micro grids and individual systems are facing
challenges to support livelihoods – behavioral changes, non
availability of vendors and technology providers , lack of
financial support for innovative products.
Recommendations
Policy Makers
• Clarity regarding aspects of grid integration.
• Flexibility for using different DRE models for energy access in
government schemes.
• Focus on human resource development for the sector.
Financial Institutions & Funding Agencies
• Extending Financial support for innovations in the sector.
• Financing for micro enterprise development along with
energy access for ensuring sustainability.(Soft Funds)
• Leveraging on existing MFIs and other micro credit institutions
for carrying out tariff collection
Entrepreneurs
• Making use of wide spectrum of technologies and business
models for energy access according to the suitability factors.
• Assuring proper follow up and maintenance services by
building local capacities and constant up gradation of skills.

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MES 2015 -SELCO Foundation

  • 1. Analysis Of Suitability Of Micro Grids And Individual Systems Vikshut Mundkur Felix Varghese Ana Gajarales
  • 2. • Objectives • Methodology • Suitability Factors Technical Operational Sustainability Financial Impact • End User Costs • Conclusions • Recommendations Outline
  • 3. Objectives • To explore the possibilities of co-existence of micro grids and individual systems for energy access. • To evaluate the following notions 1. Either micro grids or individual systems are better or more suitable than their counterpart. 2. Micro grids support livelihoods. 3. Micro grids face prohibitive costs and there is no sustainable business model.
  • 4. Methodology • Literature Review • Interactions with Practioners • Interactions with Policy Makers Micro Grid (solar PV): A power system where produced electricity (200W – 10kW) is fed into a small distribution network that provides a number of end users with electricity in their premises. For analysis we have considered models catering up to 100 households. Individual Systems: A stand-alone system that is capable of providing energy for households, institutions and powering equipments without a transmission network. This includes solar home systems, standalone systems for institutions, enterprises and livelihood activities.
  • 5. Suitability Factors Technical • Flexibility for the End User • Scalability • Scope for Grid Integration Operational Sustainability • Operation and Maintenance • Ownership Models
  • 6. Financial Factors • Demonstration of Viable Business Models • End User Financing Impact • Towards Cost/Service • Livelihood Impact
  • 7. Monthly cost for the end user 0 50 100 150 200 250 300 10 35 100 RupeesperMonth Household size 2Lights + Cell Phone - Monthly Costs to Household SHS MG
  • 8. Life time costs for the end user 0.00 500.00 1,000.00 1,500.00 2,000.00 2,500.00 3,000.00 3,500.00 4,000.00 4,500.00 5,000.00 0 1 2 3 4 5 6 7 8 9 10 AnnualExpenditure,INR Lifetime, Years 2Lights+Cellphone, Lifetime End-User Costs SHS MG - 10h MG - 35h MG - 100h
  • 9. Conclusions • Micro grids and individual systems provide comparable services in the present energy access scenario. • Considering the lifetime costs for the end user, micro grids are costly owing to operator and an entrepreneur. • Currently both micro grids and individual systems are facing challenges to support livelihoods – behavioral changes, non availability of vendors and technology providers , lack of financial support for innovative products.
  • 10. Recommendations Policy Makers • Clarity regarding aspects of grid integration. • Flexibility for using different DRE models for energy access in government schemes. • Focus on human resource development for the sector. Financial Institutions & Funding Agencies • Extending Financial support for innovations in the sector. • Financing for micro enterprise development along with energy access for ensuring sustainability.(Soft Funds) • Leveraging on existing MFIs and other micro credit institutions for carrying out tariff collection
  • 11. Entrepreneurs • Making use of wide spectrum of technologies and business models for energy access according to the suitability factors. • Assuring proper follow up and maintenance services by building local capacities and constant up gradation of skills.