The power sector in india

2. INTRODUCTION
 The power sector in India has undergone
significant progress after Independence. When India
became independent in 1947, the country had a
power generating capacity of 1,362 MW.
 After 1947, all new power generation, transmission
and distribution in the rural sector and the urban
centers (which was not served by private utilities)
came under the purview of State and Central
government agencies.

3.  Development of Power Sector is the key to the economic
development. The power Sector has been receiving adequate
priority ever since the process of planned development began
in 1950. The Power Sector has been getting 18-20% of the
total Public Sector outlay in initial plan periods.
 Over the years (since 1950) the installed capacity of
Power Plants (Utilities) has increased to 89090 MW (31.3.98)
from meagre 1713 MW in 1950, registering a 52d fold
increase in 48 years. Similarly, the electricity generation
increased from about 5.1 billion units to 420 Billion units – 82
fold increases

4. 2003 onwards
Growth Era
1991–2003
Liberalisation Era
1956–1991
Nationalisation
Stage Electricity Act (2003)
National Tariff Policy (2006)
Elimination of licensing for
generation projects
Increased competition through
international competitive bidding
engaged in power generation,
transmission and distribution
Launch of UMPP scheme Various
schemes and initiatives such as
Jawaharlal Nehru National
Solar Mission to promote renewable
energy
Civil nuclear agreement with the US
for nuclear technology and fuel Fuel
supply agreement of power
companies with Coal India Ltd (CIL)
Private equity investments in the
sector have surged since 2010
•
•
•Legislative and policy
initiatives (1991)
Private sector
participation in
generation
Fast-track clearing
mechanism of private
investment proposals
Electricity Regulatory
Commissions Act
(1998) for establishing
Central and State
Electricity Regulatory
Commissions and
rationalisation of tariffs
•
Before 1956
Introductory
Stage
• •
Industrial Policy
Resolution (1956)
Generation and
distribution of power
under state
ownership
Power losses,
subsidies,
infrastructure
bottlenecks and
resource constraints
•
• •
•
•• Electricity
(Supply) Act
1948
• Establishment
of semi-
autonomous
State Electricity
Boards (SEBs)
•
•
•
•
•
Source:; WWW..NPTI.IN
POWER

5. POWER
India as a power
Producer and
Consumer globally
• With a production of 1,102.9 TWh, India is the third largest producer and fifth largest
consumer of electricity in the world
• The per capita electricity consumption in 2012-13 is -917.18 kWh.
• As per census, only 55% of rural households have access to electricity.
Large-scale government
initiated expansion
plans
• The government targets capacity addition of 89 GW under the 12th Five-Year Plan (2012–
17) and around 100 GW under the 13th Five-Year Plan (2017–22)
• Investments of around USD223.9 billion are planned for the power sector during the 12th
Plan Five-Year Plan
Robust growth in
Renewable sector
• Renewable energy capacity additions of 30 GW are planned in the next five years to meet
the growing energy demand
• Wind energy is estimated to contribute 15 GW, followed by solar power at 10 GW
Source:; WWW..CEA..nic.inC

6. POWER
The power sector in India is mainly governed by the Ministry of Power. There are three major pillars
of power sector these are Generation, Transmission, and Distribution
PRESENT POWER SCENARIO OF INDIA
INSTALLED
CAPACITY
(248509.63MW)
ANNUAL
GENERATION
(1102.9 TWh)
SUPPLY
DEMAND GAP
(4.1% PEAK)
PER CAPITA
CONSUMPTION
(917.18)
PLF
(68.15)
ELECTRIFIED
VILLAGES
(95.60%)

7. POWER
GENERATION
39375.36
248509.64
31692.14
171376.09
4780
40661.41
0
50000
100000
150000
200000
250000
300000
CAPTIVE TOTAL RES THERMAL NUCLEAR HYDRO
CAPTIVE TOTAL RES THERMAL NUCLEAR HYDRO
All India Installed Capacity (MW) as on 31-05-2014 Region -wise
68255.9
93290.7
86962.99 CENTRAL
STATE
PRIVATE
All India Installed Capacity(MW) as on
31-5-2014(Sector-Wise)

8. 68
%
Source: Ministry of Coal,
Gas
India’s proven natural gas reserves measure about
1,074 billion
cubic metres
Thermal
Coal
India has large reserves of coal. As of April 2012, total coal
reserves
stood at 293.5 billion tonnes; of this, 118.1 billion
tonnes were
proven reserves
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. Thermal power accounts for 69 % in total energy production.
Thermal power is produced from coal oil and natural gas. Total installed capacity of thermal power is 171376.09 MW
Thermal fuel maintains a leading position among the fuel used for power generation
RES,
31692.14,
13%
THERMAL,
171376.09,
69%
NUCLEAR,
4780, 2%
HYDRO,
40661.41,
16%
RES
THERMAL
NUCLEAR
HYDRO
coal,
147568.39,
86%
Gas,
22607.95,
13%
Diesel,
1199.75, 1%
coal
Gas
Diesel

9. ISSUES AND CHALLENGES
• Fuel quality & availability
 Coal quality & availability constraints
• Coal beneficiation
• Power generation technology
• Clean coal based technologies
• Land accusation Problem
• Logistic route Rail/ Road, pipelines, port etc (for fuel, water, ash etc)
• Power evacuation route (Electricity Grid)

10. Hydro Power
 Hydropower is a renewable, non-polluting and environment
friendly source of energy. Oldest energy technique known to
mankind for conversion of mechanical energy into electrical
energy. Contributes around 22% of the world electricity
supply generated .
 In India, Jamshed ji Tata built the first hydroelectric
power dam in the Western Ghats of Maharashtra in the early
1900s to supply power to Bombay’s Cotton and Textile Mills
 Out of the total power generation installed capacity in
India of 2,48,509.64MW (June, 2014), hydro power
contributes about 16% i.e. 40661.41 MW.

11. Share of Hydropower in Electricity Generation
57
39.6
16.1 16.1
12.7
8.8 6.5
82.8
98.8
0
20
40
60
80
100
120
Norw ay Brazil Canada Sw eden China World
average
India Japan USA
During April-Feb 2007, share of
hydropower generation in India was
higher at about 17%

12. ISSUES AND CHALLENGES
• Geological surprises
• Land acquisition
• Rehabilitation & Resettlement
• Forest clearance
• Environment clearance
• 75% of hydro project costs are for civil, whereas only 10- 15%% project costs
of thermal projects are for civil
• Construction period 4 years for thermal, but 6 to 8 years for hydro. ROE not
allowed during construction: Low IRR
• Many projects have to pay upfront charges to States, which carry no return
• Project preparation longer and more expensive than in thermal (DPR, Land
acquisition, R & R etc)

13. NUCLEAR POWER
 Nuclear power is the fourth-largest source of electricity in India
after thermal, hydroelectric and renewable sources of
 electricity. As of 2012, India has 20 Nuclear reactors in operation in six nuclear
power plants, having an installed capacity
 of 4780 MW and producing a total of 29,664.75 GWh of electricity while seven
other reactors are under construction and are expected to generate an additional
6,100 MW.
There are two nuclear corporation in India
1.The Nuclear Power Corporation of India Limited (NPCIL) is a government-
owned corporation of India based in Mumbai. NPCIL was created in September
1987.Nuclear Power and electricity generation and distribution
2. The Bharatiya Nabhikiya Vidyut Nigam Limited(BHAVINI) is a government-
owned corporation of India based in Chennai. Bhavani was established on
2004.Nuclear Power and electricity generation and distribution

14. INDIAN NUCLEAR POWER INDUSTRY

15. ISSUES AND CHALLENGES
• Economics
• Poor management
• Low net yield of energy of the nuclear fuel cycle
• Safety concerns
• Concerns of transporting uranium
• Environmental costs not included in market price
• Risk of catastrophic accidents

16. Solar power
 India is endowed with a vast solar energy potential. India
receives one of the highest global solar radiation - an 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
grid-based solar power, 2 GW of off-grid solar power and
cover 20 million square metres 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.

17. SOLAR PROJECTS IN INDIA

19. Wind energy
 Wind Energy, like solar is
a free energy resource. But
is much intermittent than
solar. Wind speeds may
vary within minutes and
affect the power generation
and in cases of high
speeds- may result in
overloading of generator.
Energy from the wind can
be tapped using turbines.

20. WIN ENERGY
Productive wind speeds will range between 4
m/sec to 35 m/sec. The minimum prescribed
speed for optimal performance of large scale
wind farms is about 6 m/s. Wind power
potential is mostly assessed assuming 1% of
land availability for wind farms required @12
ha/MW in sites having wind power density
exceeding 200 W/sq.m. at 50 m hub-height.
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.

21. Current problem of power
sector
•The most important cause of the problems being faced in the power sector is the
irrational and unremunerative tariff structure
•Power Supply to agriculture and domestic consumers is heavily subsidized.
•The SEBs, in the process, have been incurring heavy losses.
• If the SEBs were to continue to operate on the same lines, their internal resources
generation during the next ten years will be negative, being of the order of Rs.(-) 77,000
crore.
•This raises serious doubts about the ability of the States to contribute their share to
capacity addition during the Ninth Plan and thereafter
•This highlights the importance of initiating power sector reforms at the earliest and the
need for tariff rationalization.

22. CONCLUSION
Technology up gradation:
Clean coal technologies
Clean coal technologies offer the potential for significant reduction in the environmental emissions
when used for power generation. These technologies may be utilized in new as well as existing plants
and are therefore, an effective way of reducing emissions in the coal fired generating units. Several of
these systems are not only very effective in reducing SOx and NOx emissions but, because of their
higher efficiencies they also emit lower amount of CO2 per unit of power produced. CCT’s can be used
to reduce dependence on foreign oil and to make use of a wide variety of coal available.
Blending of various grades of raw coal along with beneficiation shall ensure consistency in quality of
coal to the utility boilers. This approach assumes greater relevance in case of multiple grades of coals
available in different parts of the country and also coals of different qualities being imported by IPPs.
Ministry of Environment and Forests vide their notification dated 30th June 1998 had stipulated the use
of raw or blended or beneficiated coal with an ash content not more than 34% on an annual average
basis w. e. f. 1st June 2001.

23. •Continuous deterioration in performance of thermal power stations had been
observed during early 80′s. Therefore, Renovation and Modernization Schemes(R&M
Schemes) were drawn and executed for improving the performance of existing
thermal power stations.
•Pollution control measures in these power stations being a capital-intensive activity,
it accounted for major portion-around 40% of Rs. 12 Billion kept for R&M schemes
under phase-I. During phase-I, 163 units of 34 thermal power stations covered.
•As a result of R&M schemes these achieved 10,000 million units of additional
generation per annum against the target of 7000 million units. Encouraged by the
results achieved, R&M phase-II programme is presently under progress.
Refurbishment of existing thermal power stations

24. Prepared by- BARKAM VAMS
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