1. Optimize plant efficiency and availability with an integrated solution Bratin Roy Vice President - Industry Service TÜV SÜD South Asia TÜV SÜD Slide 1 Optimizing plant efficiency with an integrated solution05/10/15

2. Overview 1 Background 2 Steps to provide integrated solution 3 Benefit TÜV SÜD Group – Conventional Power Plant Solution 4 TÜV SÜD Slide 2 Optimizing plant efficiency with an integrated solution05/10/15

3. Background  In today’s changing environment, fossil-fuel plant owners face significant lifecycle management challenges  Along with existing issues like fuel availability, price pressures due to market liberalization, new concerns of climate change and other environmental issues have further impacted the industry  Operation and maintenance cost reductions are needed along with performance improvements along the entire lifecycle  As a result, fossil fuel power plants need to be more flexible, reliable and efficient, while cutting emissions. In some countries, government has initiated fuel-saving or energy efficiency program, which constitutes further Market Based Instruments(MBI) for plant operators to improve efficiency and reduce their fuel consumption  Coal, Gas and oil power plant upgrades and retrofits are focused on improved efficiency, greater power generation capacity and better emission control systems TÜV SÜD Slide 3 Optimizing plant efficiency with an integrated solution05/10/15

4. Overview 1 Background 2 Steps to provide Integrated solution 3 Benefit TÜV SÜD Group – Conventional Power Plant Solution 4 TÜV SÜD Slide 4 Optimizing plant efficiency with an integrated solution05/10/15

5. Steps to provide integrated solution Taking an integrated approach from beginning delivers greater benefits than the traditional project stage specific approach Integrated solutions focus on operational and implementation synergies with due consideration of plant and market needs and demand, which often get missed in traditional component/ equipment specific approach  Condition Assessment  Operation & Maintenance – status assessments  Performance Measurement  Energy Assessment/Audit  Integrated plant retrofits along with comprehensive Renovation & Modernisation Program TÜV SÜDSlide 5 Optimizing plant efficiency with an integrated solution05/10/15

6. Condition Assessment Condition Assessment These evaluations focus on establishing the current condition of assets for more precise planning of refurbishment or optimisation.  Condition assessments provide a comprehensive review of the status of all plant equipment  Risk assessments review factors influencing the operational reliability of plant components and assist in planning of refurbishment activities  Damage assessments are used after an incident to identify affected equipment and guide repair efforts  Component assessments provide an up-to-date condition status of all components and systems TÜV SÜD Slide 6 Optimizing plant efficiency with an integrated solution05/10/15

7. Modern maintenance and retrofit techniques  Preventive and Predictive maintenance  Condition-oriented maintenance –Inspection planning –NDT program –Monitoring methods –Calculation methods (e.g. fracture mechanics calc.) –Remaining life assessment –Repair/replacement of damaged components Full up time of the plant ensuring 100% productivity, avoiding unnecessary force shut down Operation & Maintenance – status assessment 13-01-31 Benefits Plant status assessment TÜV SÜD Slide 7 Optimizing plant efficiency with an integrated solution05/10/15

8. CPP solutions: Performance test for power plants and energy systems Performance test for power plants and energy systems Achieve guaranteed performance and maximise efficiency  Independent assessment of technical condition of plant, e.g. at the end of O & M Contract; during operation before taking decision of retrofitting or renovation  Identification of shortfall/deficiencies in the efficiency and capacity of plant  Follow international practice and test procedure like ASME, VDI  Assess results and prepared detail plan of implementation for technical mediation and moderation to attain maximum efficiency and reduce operation costs TÜV SÜD Slide 8 Optimizing plant efficiency with an integrated solution05/10/15

9. Performance Testing – Background  Power Output at dedicated loads  Heat Rate (GJ/GWh) ⇨ Indication of power plant efficiency  Electrical Characteristics, e.g. Auxiliary power, Operation test within voltage and frequency limits, Power factor range prescribed  Water / Steam Parameters  Emissions (Air, Sound Pressure)  Vibrations  Consumption of Water and Chemicals  Treatment of water and waste water Technical contents of Contract / Guarantees Desired Condition Heat Rate Air and Noise Emissions Fuel demand Consumption (Auxil. Water, Chemicals) Vibrations Power Output 05/10/15 TÜV SÜD Slide 9 Optimizing plant efficiency with an integrated solution

10. Performance Testing – Key Parameters Equipment : Measurement system Accuracy Class of Instruments  RTD (PT100) up to 150 °C< 0.1 K  Differential pressure sensors < 1 mbar  Gauge and absolute pressure sensors < 0.1 %  Powermeter < 0.1 % Accredited Calibration / QA 05/10/15 TÜV SÜD Slide 10 Optimizing plant efficiency with an integrated solution

11. Fact  Around 70% of the world’s power plants use coal, natural gas, oil, biomass or solid waste to generate electrical energy.  7 -15 % of the power generated at fossil-fuel plants is consumed by the plant’s auxiliary systems.  Auxiliary systems are a major part of a power generation facility. They include all the drive power applications (pumps, fans, motors, drives), electrical balance of plant and instrumentation, control and optimization systems.  Much of this energy could be saved or sold to generate higher plant revenues. By improving the efficiency of each auxiliary, energy consumption of an existing facility can be reduced by 10-30% Energy Efficiency assessment/Audit Success Factor Energy efficiency, productivity, reliability and stability – are intimately connected. TÜV SÜD Slide 11 Optimizing plant efficiency with an integrated solution A successful energy efficiency program would require a detail technical and independent evaluation of power plant and related system evaluation, and a cost vs. benefit analysis to obtain reliable cost estimates for the options under consideration, taking into account site- specific conditions 05/10/15

12.  Fuel Handling Plant  Boiler  Thermal Insulation  Ash Handling  Water Pumping  Fans  Steam Turbine  Condenser Cooling  Compressor Air System  Motors  Air Conditioning  Lighting  ESP  Process optimization  Operational improvements  Advance maintenance to reduce wastage  Capital investment ( up- gradation; retrofitting ; renovation & modernization)  To conduct energy analysis of the overall plant and determine the efficiencies and energy losses of all the major components on the power plant.  Select and develop the areas where energy losses are being experienced.  Determine the costs and payback periods for the new technologies suggested for efficiency improvement. Energy Audit/Assessment – steps Scope Energy assessment is key to decide a successful solution ObjectiveExpected Goal TÜV SÜD Slide 12 Optimizing plant efficiency with an integrated solution05/10/15

13. Integrated Retrofitting Integrated retrofitting Optimise availability and reliability over the long term.  Component/part retrofitting is not sufficient specially when ultimate goal is total asset optimisation and highest possible generation  By organising, an integrated program that incorporates various upgrades across the plant, matching the  capabilities of any combination of main components and associate parts it delivers maximum efficiency in most cost effective life extension solution  With limited budget and timeline integrated retrofit solutions are a great way to explore hidden potential without the involvement of huge capital 13-01-31 TÜV SÜD Slide 13 Optimizing plant efficiency with an integrated solution05/10/15

14.  Achieve rated output/higher than rated Output  Better availability of generating equipment  Improved performance / efficiency and life extension of unit  Facilitate adoption of improved operations and maintenance practices.  Improvement in emission levels from thermal power plants  Life Extension for another 15 to 20 years is possible  Increase of rated capacity 4% - 8%  Increase of efficiency 8%-10%  Review /Study of Design basics, Erection, first commissioning and O & M record/reports  Energy Audit  Performance testing  Hot and cold walk-down survey of the plant  Interaction with O & M staff  Non-destructive tests (Mechanical tests and Electrical tests on critical components, Dynamic behavior tests)  Evaluation and analysis of test results  Preparation of R & M proposal &  Cost benefit analysis Rehabilitation & Modernization Objective Every R & M project is unique, requiring adaptation and system expertise that depends on extensive experience. MethodsExpected Goal TÜV SÜDSlide 14 Optimizing plant efficiency with an integrated solution05/10/15

15. Background Steps to provide Integrated solution Benefit TÜV SÜD Group – Conventional Power Plant Solution TÜV SÜD Slide 15 Optimizing plant efficiency with an integrated solution 1 2 3 4 05/10/15

16. Tangible benefits from integrated life cycle management TÜV SÜD Slide 16 Optimizing plant efficiency with an integrated solution05/10/15 Key Success Factors Maximum yield over the entire life cycle Designed performance Controlled risks Return of investment Lower costs, lesser risksStable cash flow Peace of Mind

17. Overview Background Steps to provide Integrated solution Benefit TÜV SÜD Group – Conventional Power Plant Solution TÜV SÜD Slide 17 Optimizing plant efficiency with an integrated solution 1 2 3 4 05/10/15

18. Our heritage: 149 years of business success Establishment of a Mannheim-based steam boiler inspection association by 21 operators and owners of steam boilers, with the objective of protecting man, the environment and property against the risk emanating from a new and largely unknown form of technology 1866 First vehicle periodic technical inspection (PTI) 1910 1958 Development of a Bavaria-wide network of vehicle inspection centres in the late 1950s 1926 Introduction of the “TÜV mark / stamp” in Germany 1990s Conglomeration of TÜVs from the southern part of Germany to form TÜV SÜD and the expansion of business operations into Asia TÜV SÜD continues to pursue a strategy of internationalisation and growth Today 2006 Expansion of services in ASEAN by acquiring Singapore-based PSB Group 2009 Launch of Turkey-wide vehicle inspection by TÜVTURK TÜV SÜD Slide 18 Optimizing plant efficiency with an integrated solution05/10/15

19. TÜV SÜD in numbers: Growing from strength to strength 1 One-stop Technical Solution Provider 800 Locations Worldwide Employees Worldwide 20,200 Million Euro in Sales Revenue 2013 1,900 150 Years of Experience Note: Figures have been rounded off. TÜV SÜD Slide 19 Optimizing plant efficiency with an integrated solution05/10/15

20. Global expertise. Local experience. TÜV SÜD Slide 20 Optimizing plant efficiency with an integrated solution05/10/15 Global Headquarters: Munich, Germany INTERNATIONAL 750 € mio 9,800 staff GERMANY 1,190 € mio 10,400 staff Countries with TÜV SÜD offices Regional headquarters

21. Holistic solutions across the value chain TÜV SÜD Slide 21 Optimizing plant efficiency with an integrated solution05/10/15 From feasibility and planning through to procurement, construction, commissioning, operation, maintenance, and decommissioning, TÜV SÜD conventional power services ensure improved operational safety, reliability and overall performance of power plants for investors, engineering, procurement and construction contractors and operators.

22. Advisory services along the capital value chain TÜV SÜD Slide 22 Optimizing plant efficiency with an integrated solution Feasibility & Planning Refurbishment & Decommission Procurement Construction Commission In-service INVESTMENTOPERATION Component certification Component certification Component certification Component certification ISO 9001 ISO 14001 ISO 9001 ISO 14001 Feasibility study Feasibility study Risk analysis Risk analysis EIA Calculation Simulation Calculation Simulation Construction supervision Construction supervision Welding surveillance Welding surveillance HSE inspections HSE inspections Expediting NDT Code compliance Code compliance Supplier evaluation Supplier evaluation Vendor quality assurance Vendor quality assurance Final acceptance test Final acceptance test NDT LTA F4S Repair supervision Repair supervision O & M management O & M management AIM / RBI Regulated Non-regulated ISO 50001 IEE plant certification Rehabilitation/ modernization management Rehabilitation/ modernization management QA/QC Claim management Compliance certification Design review Design approval Design review Design approval Licensing & consenting Licensing & consenting Staff training / qualification Technical due diligence Performance tests Owner’s engineer Tender & contract management Tender & contract management Technical advisor Plant optimization Plant optimization Plant status assessment Pre-qualification Failure analysis (RCFA) Failure analysis (RCFA) In-service inspection In-service inspection Efficiency consultancy Efficiency consultancy Noise / vibration / emissions testing Due diligence (TDD - technical, EDD - environmental) Due diligence (TDD - technical, EDD - environmental) Site assessment 05/10/15

23. Increase availability, optimize performance TÜV SÜD’s experts help you obtain professional advice in performance optimization to reduce outage time and increase your return on investment. Promote efficiency, reduce emissions Our experts’ impartial perspective fosters cost efficiency in your organisation, while their comprehensive knowledge contributes to your emissions goals. Minimise risk, improve reliability We help you to reduce the risk of conventional power plant incidents, enhance safety for people and the environment, increase process transparency and eliminate interface problems. Strengthen your competitive edge Leverage on our expertise in safety and statutory compliance for legal certainty. Third-party certification by TÜV SÜD demonstrates your commitment to quality. Your Business Benefits: Maximise Profits 13-01-31 TÜV SÜD Slide 23 Optimizing plant efficiency with an integrated solution05/10/15

24. Contact us today. www.tuv-sud.in Bratin.Roy@tuv-sud.in TÜV SÜD Slide 24 Optimizing plant efficiency with an integrated solution05/10/15