1. Asia Pacific Partnership on Clean Development & Climate Brown Coal ( Lignite ) Best Practices Work Shop India - Country Perspective 23-27 th June2008

2. THE INDIAN DELEGATION NTPC Delegates : NTPC Delegates : I.K.Rajdeva, Additional General Manager, NTPC Ltd. I.K.Rajdeva, Additional General Manager, NTPC Ltd. A.Nagasundaram, Dy. Gen. Manager, NTPC Ltd. A.Nagasundaram, Dy. Gen. Manager, NTPC Ltd. Saju K Sebastian, Dy. Gen. Manager, NTPC Ltd. Saju K Sebastian, Dy. Gen. Manager, NTPC Ltd. P.S.Chatterjee, Chief Design Engineer, NTPC Ltd. P.S.Chatterjee, Chief Design Engineer, NTPC Ltd. CESC Delegates : CESC Delegates : Souvik Dutta, Station Manager, Southern generating Station, CESC Ltd. Souvik Dutta, Station Manager, Southern generating Station, CESC Ltd. Kushal Bhowmick, Senior Manager ( Environment), CESC Ltd. Kushal Bhowmick, Senior Manager ( Environment), CESC Ltd.

3. Robust Economic Growth – THE DRIVER  THE GDP GREW AT 9.6% DURING FISCAL 2007, AVERAGE RATE OF GROWTH OVER LAST 4 YEARS IS 8.6%.  GDP GROWTH DURING 2008-09 IS EXPECTED TO BE around 9%.  GDP GROWTH TARGET OF 9% SET BY GOVT. DURING XI PLAN (2007-2012).  ELECTRICITY IS AN IMPORTANT INPUT TO THE MARCH OF PROGRESS OF ANY COUNTRY TODAY.  IT IS THEREFORE NATURAL THAT THE GROWTH IN ELECTRICITY GENERATION & AVAILABILITY, BE COMMENSURATE WITH GROWTH IN GDP.

4. Existing Generating Capacity- March 2008 Fuel wise break-up (MW) (Excluding captive capacity of 14636 MW connected to grid)Thermal92,42663.8%Hydro 36,033 36,03324.9% Nuclear 4,120 4,1202.8% Renewable12,1948.5% TOTAL144,773100.0% Sector wise break-up (MW) Total generation in 2007-08 – 704.45 BU (All figures provisional from CEA)

5. ALL INDIA PLANT LOAD FACTOR (%) - COAL FIRED THERMAL POWER STATIONS

6. Energy Shortage 7.8% 7.5% 8.8% 7.1% 7.3% 8.3% 9.6% DURING 2007-08, PEAKING SHORTAGES WERE 16.6% 9.8%

7. Per capita Consumption remains low In 2006 Figures in kwh Source: UNDP Human Development Report 2007-08 – Data for 2004 NATIONAL ELECTRICITY POLICY TARGETS PER CAPITA AVAILABILITY OF 1000 KWH BY 2012

8. Projected Capacity Requirements Source: Integrated Energy Policy GOI 132 GW 220 GW 425 GW 778 GW Large Capacity addition required to meet the demand

9. CAPACITY ADDITION EXPECTED DURING 11th PLAN (2007-12) (Conventional) – 78,520 MW Thermal – 59,513MW ( Coal – 51,890 MW, Gas- 5343 MW, Lignite- 2280 MW) Additional capacity expected: New Renewables – 14,000 MW : Captive – 12,000 MW

10. 11TH PLAN PROGRAMME (2007-2012) (Thermal+Hydro+Nuclear)  Proposed : 78,577 MW  Expected : 78,520MW  9,263 MW capacity already commissioned  60,214 MW (77%) under construction  10,950 MW - Letter of awards yet to be placed  Fuel Availability for 96% of coal based stations – tied up  88% hydro capacity under construction /commissioned  All gas based projects under execution or gas tied up from local sources  Additional 13,000 MW gas based projects identified – subject to gas availability

11.   Installed Capacity (as on 31.03.2008)- 11125 MW   11th Plan target- 14,000 MW consisting of Wind Power - 10,500 MW Biomass Power Baggasse Co-generation - 2,100 MW Small Hydro (up to 25 MW) - 1,400 MW 11TH PLAN PROGRAMME NON-CONVENTIONAL ENERGY PLANTS

12. CAPACITY ADDITION DURING XIITH PLAN (2012 - 2017) PLAN TOTAL CAPACITY ADDITION PLANNED (MW)THERMAL (MW) (MW)HYDRO NUCLEAR(MW) XII TH 82200402003000012000

13. NATIONAL THERMAL POWER CORPORATION LTD. - A PROFILE Energy Efficiency GOVERNMENT’S STRAGTEGY / INITIATIVE FOR EFFICIENCY IMPROVEMENT Setting the Scene today for a future- oriented Sustainable Energy production

14. INDIA’s ENERGY PROGRAMS AND POLICIES   Improving energy efficiency   Promoting Hydro and renewable energy   Power sector Reforms   Promotion of Clean coal technology   Energy infrastructure Development   Coal Washing   Environmental Quality Management

15. DRIVERS FOR HIGHER PLANT EFFICIENCY   Demand of power is set to grow with growing economy   Large capacity needs to be added to meet the projected growth in demand   With Electricity Act 2003 coming into vogue, the power market is set to attract a lot of investors and competition   With tariff based bidding becoming a norm, utilities have to bring down their cost of generation to remain competitive   Increased emphasis on Environmental considerations for clean technology   CDM opportunities arising out of global warming concerns   Fuel, Land & Water availability becoming more and more difficult   Efficiency enhancement feasible in future plants as well as existing plants

16. Major Initiatives ……  Improvement in efficiency and performance of existing generating units through :  Renovation and Modernisation schemes with emphasis on Energy Efficiency  Partnership in excellence.  Establishment of Energy Efficiency cells at thermal power stations ( 37 cells in operation)  Energy Conservation through legislation  Thermal Power Stations notified as Designated consumers  Promotion of Renewable Energy Sources  15,627 MW Capacity of Hydro Power planned in XIth Plan  30,000 MW Capacity of Hydro Power planned in XIIth Plan  Retiring 5000 MW old capacity with low efficiency in 11 th Plan

17. Energy Conservation Act 2003 (EC Act)  Designated Consumers Notified  Thermal Power Station  Appoint Energy Manager  Get Energy Audits conducted by Accredited Energy Auditors  Implement techno-economic viable recommendations given by Accredited Energy Auditor  Comply with norms of specific energy consumption fixed  Submit report on steps taken Major Initiatives …..

18. Adoption of Clean Coal Technologies Adoption of Clean Coal Technologies –Supercritical / Ultra supercritical Technology –Circulating fluidized bed combustion (CFBC) –Integrated Gasification Combined Cycle (IGCC) Suitable for Indian Coal  Presently Working to develop a Demonstration Project for IGCC along with suitable Partner, development of core technologies for gasifier & Gas cleaning systems suitable for High Ash Indian Coal. Major Initiatives……

19.  Ultra Mega Power Projects(4000MW capacity) based on Supercritical Technology at various pithead and coastal locations. Envisaging Mandatory Higher size thermal units (660/800 MW ) with Supercritical Parameters.  It is estimated to commission  10 Nos. units of 660MW (XIth Plan)  2 Nos. units of 800MW (XIth Plan)  12 Nos. units of 660MW (XIIth Plan)  31 Nos. units of 800MW (XIIth Plan) Major Initiatives …..

20. Supercritical Units of 660 MW Rating under constructionSupercritical Units of 660 MW Rating under construction Supercritical Units of 800 MW Rating with higher steam temperature conditions under considerationSupercritical Units of 800 MW Rating with higher steam temperature conditions under consideration Parameter660MW800MW Main Steam Pressure Kg/cm2 247247 Main Steam Temperature o C 535/565565 Reheat Temperature o C 565/593593 Major Initiatives …..

21. The Efficiency Roadmap 247/537/565 (660 MW) 170/537/537 (500 MW) ‘02 ‘07 ‘22‘17‘12X th Plan XI th Plan XII th Plan XIII th Plan ‘00 247/565/593 (660/800 MW) 280/600/620 (800-1000 MW) 320/600/620 (800-1000 MW) Gross Efficiency, GCV Basis 38% 39% 43% 42% 41% 40%

22. Lower Plant Efficiency in India The reported efficiency of Indian power plants is generally lower as compared to efficiency of plants abroad, primarily due to : Poorer condenser vacuum due to hot climatic conditions Higher unburnt carbon losses in boiler due to low grade high ash Indian coal Efficiency is reported on HHV basis of coal (same as the practice followed in USA) as against LHV used elsewhere. Typical variation due to above = 3.0 to 4.0 % points (Approx.)

23. Heatrate Improvement over the Years

24.  Member of Carbon Sequestration Leadership Forum (CSLF)  Participating in FutureGen Project of USA  275 MW coal fired Zero Emission power plant  India contributing US$10 Million  Participating in Asia Pacific Partnership (APP) for Clean Development and Climate  The Indian Project Proposals in the TF Action plan  Inputs like case studies & contact details of experts in areas of India’s interest.  Work on Efficiency improvement of two thermal power plants namely Ropar and Kolaghat thermal Power station already started with support of USAID. Major Initiatives Contd …..

25.  Mapping of Thermal Power Stations under Indo-German Programme  33 thermal units mapped ( 31 thermal stations)  85 Thermal Power Stations targeted  Energy Conservation Awards  National Award for improving performance of Thermal Power Stations  Awards for reducing T & D losses. Major Initiatives …..

26. Efficiency Improvement through Renovation and Modernization A COST EFFECTIVE APPROACH …… CONTINUE GETTING THE BEST OUT OF EXISTING FLEET

27. NEED FOR R&M – EXISTING UNITS  Improvement in performance parameters – PLF, Availability, heat rate/efficiency, auxiliary power consumption, partial loading & forced outage.  Restore derated capacity  Extension of economic life.  Obsolescence & non availability of spares (eg C&I)  Environmental issues/other statutory requirements.  Safety requirements.

28. A large number of 200/250 MW & some 500 MW Units are in operation for more than 15/20 years and have considerable potential for life extension & efficiency improvement A large number of 200/250 MW & some 500 MW Units are in operation for more than 15/20 years and have considerable potential for life extension & efficiency improvement POTENTIAL FOR EFFICIENCY INTEGRATED R&M Total No. of Units Nos. of Units as potential Candidate Age >15 years >20 years 200/210 MW Units (LMZ design) 53--53 200/210 MW units (KWU design) 883712 500 MW units 35122

29. FUTURE APPROACH TOWARDS R&M  Shift in focus from ‘Generation Maximization to ‘Plant Performance Optimization’ – Older units have many more opportunities to reduce heat rate than newer units.  Retirement of very old small size low efficiency units and replacement with higher efficiency units.  Use of high end technology solutions for efficiency enhancement to manage rising costs & reduce carbon, foot prints, e.g.,  Steam flow path modification  Steam turbine and boiler upgrades  Improved plant control

30. FUTURE APPROACH TOWARDS R&M …  Additionality in efficiency improvement  Efficiency improvement as a result of normal R&M, aims at to minimising losses ( to approach design values)  Efficiency improvement through technology intervention/enhanced R&M, targeting efficiency enhancement even beyond design value.

31. Parameters For Performance Monitoring  Unit Heat Rate  Unit Auxiliary Power consumption  Unit Specific secondary fuel oil consumption  Unit Specific coal consumption  Plant Load Factor (PLF)  Planned Maintenance, Forced outage and Operating availability

32. Projects for the Task Force Sl. No. Project Title Proposing Country 1 Best Practices for Power Generation Activity Plan USA, JAPAN, KOREA 2 Best Practices for Transmission and Distribution Activity Plan USA 3 Best Practices for Demand Side Management Activity Plan USA 4 Energy Regulatory & Market Development Forum AUSTRALIA 5 Trade Exhibitions/Conferences and Trade Missions USA 6 Hydroelectric Generation Best Practices USA 7 Combustion Optimization in Coal Based Power Plants INDIA 8 Implementation of Artificial Intelligent Soot Blowing System for Improving the Steam Generator Efficiency by Increasing the Effectiveness of Soot Blowers. INDIA 9 SOx Reduction Technologies in Flue Gas INDIA 10 Risk Evaluation and Prioritization (REAP) for Maintenance and Renovation & Modernization (R&M) of Power Plants INDIA 11 Life Extension & Remaining Life Assessment Of Power Plants INDIA 12 Site visit of energy conservation and environment protection technology— Application of Plasma Ignition Technology in Power generation CHINA 13 Generator Transformer Programs (Inspection Procedures, Diagnostic Tools and Maintenance) INDIA

33. Fly Ash Utilization Record – NTPC AS A SAMPLE CASE ONLY

34. Afforestation Efforts – A Priority for sustenance of HUMANITY!! Forest Banks concept NTPC has created a Green wealth of 18.2 Million Trees by Summer 2007 Plantation of 1.25 Million trees around Ramagundam Project has resulted in Summer Peak temperature reduction by 3 deg C Ash Mound Reclamation and Dry ash disposal system