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India Smart Grid Summit

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Presentation on theme: "India Smart Grid Summit"— Presentation transcript:

1 India Smart Grid Summit
12 February 2014

2 India’s Energy Sector is evolving significantly
National Priorities Current Situation Implications Meeting Demand Shortage Chronic power shortages Rapid demand growth Inadequate energy access Augmentation of generation capacity Power evacuation and grid access Clean Energy Deployment RE capacity increasing ~ MW added each year Require smarter systems for power balancing to deal with variability & unpredictability Operational Efficiency Improvement Poor operational efficiency High system losses R-APDRP has provided much needed support Need for ability to control and monitor power flow till customer level Enhancing Consumer Service Standards Poor system visibility Lack of reliability Real time system to enable better system visibility and consumer participation Smart Grids can transform the existing grid into a more efficient, reliable, safe and enable address sector challenges. Evolution has already started.

3 Several Application areas have emerged
Key Application Areas Electricity Distribution Electricity Markets Environmental Markets Renewable Energy Energy Storage Transport Industrial Energy Efficiency Building Energy Efficiency Source:

4 Development potential & issues across various application areas
(Current Status) Business Issues Potential/Importance of Smart Grids Distribution Inefficient Huge Theft Poor customer service & reliability Lack of measurements and controls Antiquated technologies Poor business orientation High (can bring rapid technological upgradation) Supports loss reduction and demand response Markets >10% of overall electricity sale Affected efficiency gains Send price signals to consumption (distribution) Poor networks. Problems in open access Inadequate Business Processes and Controls Poor cost signaling High (Open access and controls can be very effectively supported) Industrial Energy Efficiency Improving rapidly Signalled by environmental market Lack of awareness High (SG enables better load management through DSM and DR)

5 Potential/Importance of Smart Grids
Development potential & issues across various application areas Application Area (Current Status) Business Issues Potential/Importance of Smart Grids Environmental Markets (REC, PAT) Nascent, developing fast Closely linked to energy efficiency & renewables Nascent, does not provide confidence to investments Baseline definition issues in (PAT) and monitoring Trading system needs refinement High (SG can provide a strong information and controls base and also enable response to price signals) Renewable Energy Fast developing Fills India’s Energy void Variability management & storage Transmission networks and controls Very High (SG can assist in grid integration, forecasting, balancing and storage) Energy Storage Nascent in India Closely linked to RE & EE Expensive Technological up-gradation Space requirements High (Has applications in energy storage, enabling provision for balancing power & islanding during blackouts)

6 Development potential & issues across various application areas
(Current Status)` Business Issues Potential/Importance of Smart Grids Transport Largest energy sub-sector after electricity Pollution a significant issue Only Hybrid Vehicles (fossil fuel + EV) available Current focus only on mobility and associated environmental issues EVs are expensive Inadequate infrastructure for deployment and proliferation Regulatory Issues High SG can integrate with grid and reduce short term power purchase; use as balancing resource; peak load management) Building Energy Efficiency Fastest growing energy consuming sector Widely varying energy efficiency levels Lack of awareness among builders and consumers High initial cost of EE appliance High. Smart Grid can enable real time consumption monitoring and control;, enabling reduction of wasteful consumption

7 Smart Grid Roadmap provides several targets to be met
In 2013, Government of India (GoI) has adopted a National Smart Grid Vision for India with following objective: "Transform the Indian power sector into a secure, adaptive, sustainable and digitally enabled ecosystem that provides reliable and quality energy for all with active participation of stakeholders” Key Targets and Highlights are as follows: 12th Plan 13th Plan 14th Plan Completion of ongoing smart grid pilots Augmentation of data centres and communication network for AMI Roll out Distribution Automation & GIS/Automated distribution s/stns. Development of indigenous smart meter Dynamic tariffs, Sustainability Initiatives –promoting distributed generation Nationwide AMI roll out for customers >10KW load Mandatory Roof Top Solar for large establishments Total Renewable integration of 80GW; EV charging infrastructure Development of micro grids in total villages Distribution Automation Development of 50 Smart cities. Mandatory roof top solar Total Renewable integration of GW; 10% EV penetration Nationwide AMI roll out for customers Continuous Research &Development ; Choice of electricity supplier Stable 24X7 power supply

8 India Smart Grid Task Force (ISGTF) India Smart Grid Forum (ISGF)
Existing initiatives and activities will need to be scaled up India Smart Grid Task Force (ISGTF) India Smart Grid Forum (ISGF) 14 Pilot Projects Created under the Ministry of Power (MoP) to provide policy direction to the Smart Grid initiatives in the country PPP initiative of MoP to support ISGTF, responsible for helping the stakeholders in the deployment of smart grid technologies and undertaking research work for promotion of such technologies 14 smart grids pilots have been proposed to be implemented across various stages through support from the GoI. There are utilities like BESCOM, Tata Power Delhi Distribution Limited, CESC etc. who have started their own initiatives There are also several additional initiatives that various entities have been undertaking working in their domain for smart grid support and implementation in India- CEA, BIS, CPRI, BEE etc. National Smart Grid Mission aims to further strengthen the above initiatives

9 A conducive regulatory framework will also be critical
Smart Grids cannot evolve without dynamic, flexible regulation The regulator will be a facilitator to smart grids business Discoms need to demonstrate clear positive benefits to consumers Regulators more than ever need to protect the interests of the consumers Delivering policy objectives. Ensuring value and protection to customers Investment Approval Recovery through Tariff Promoting end use Providing Incentives

10 Regulations will need to deal with multiple aspects

11 Scope of Smart Grid Regulations
Approval of Smart Grids investments consistent with the objectives 1 Tariff design for enabling consumers, prosumers and utilities to derive benefits of the SG investments 2 Incentive/dis-incentive design for promoting deployment 3 Scope of Smart Grid Regulations Protection of consumer privacy, maintaining integrity of data 4 Integration of Renewable/Distributed Generation for better grid visibility and efficiency 7 Security of network operations, particularly with respect of cyber security 6 Adoption of relevant equipment, communication and interoperability standards and codes 5 Entities may be required to demonstrate adherence to the requirements stipulated herein through appropriate reporting structures (preferred through automated means with minimum human intervention)

12 Initiative on this has already started
Mr. B N Sharma, Joint Secretary (Distribution), MoP (Chairman) Mr. Pravinbhai Patel, Member (Technical), GERC Mr. Alok Gupta, Member, MPERC Mr. Pankaj Batra, Chief Engineer, I/C, CEA Mr. S A Soman, Professor, IIT-Mumbai Mr. N. S. Sodha, Executive Director, PGCIL Ltd. (Convenor) Draft regulations validated by the Committee has been presented to the Forum of Regulators A facilitative regulatory framework for promoting smart grid investments and applications is being laid out in India. Through the Ministry of Power and the Forum of Regulators in India, model smart grid regulations are under development. A Technical Committee constituted by MoP for development of SG Regulations has been formed

13 Thank You Anish De, Chief Executive Officer
Mercados Energy Markets India Private Limited 1202, Tower B, Millennium Plaza, Sector 27 Gurgaon, Haryana , India Tel: | Mobile: | Fax: | |

14 Functionalities of SG Utility pilots aim to address several issues plaguing the distribution segment
National Priorities Smart Grid Interventions proposed under the 14 GOI Pilots Power Demand Shortage Demand Side Management Demand Response Peak Load Management Clean Energy Renewable Energy Integration Demand Response (for balancing) Loss Reduction/ Operational Efficiency Improvement Theft Management & Tamper Detection Asset Monitoring Meter Data Management System Substation Automation AMI Consumer Service Standards Power Quality Work Force/Crew Management Outage Management Automatic Billing Consumer portal

15 Smart Grid Cell and Nodal Officer
Smart Grid Regulations Coverage Review and Approval of Smart Grid Investments Recovery of Costs Role of Smart Grid Consultation Committee (SG- CC) Evaluation, Measurement & Verification Investment Implement specific Tariff Structure to promote deployment Process of tariff setting Tariff Design Product Standards System Standards Performance Standards Network and Communication Standards Customer Data Protection Standards Safety and Standards Awareness and Capacity Building Customer Participation and Incentives Consumer or Prosumer Dispute Redressal Process Customer Engagement Constitution of Smart Grid Cell Appointment of Nodal Officer Smart Grid Cell and Nodal Officer While the regulations provides details of various themes, in certain cases it interfaces with the developments/standards and process already laid out in various documents

16 Objective of Smart Grid Regulations
By greater technology adoption across the value chain in electricity sector (especially in T&D) Efficiency in generation and licensee operations Manage T&D network effectively Enhance network security Integrate renewable and clean energy into the grid Enhance network visibility and access Improve customer / prosumer service level 1 Takes into consonance the National & State Roadmaps, and aims to propagate investments in SG and allied technologies in accordance with these roadmaps 2 Considering early stages of development, provides flexibility to experiment with new technologies and applications while duly protecting the legitimate interests of consumers and prosumers 3

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