EPR Magazine February 2015 by I-Tech Media Pvt Ltd

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Vol 3 Issue 4 • Pages 52 • February 1, 2015 • `100/- • www.eprmagazine.com

THE MOST COMPREHENSIVE ANALYSIS ON ELECTRICAL & POWER

Coal block allocation to be total transparent: Coal Secretary

Thermal power is rest with hope

Interview Bratin Roy, TÜV SÜD South Asia Nilesh Karkun, Schneider Electric India Biswaroop Ukil, Crompton Greaves

Global solar sector funding zooms to $26.5 bn An I-Tech Media Publication

Transformers: growing steady

Manufacturers of: + Transformers + VCB / LBS + Compact Sub-Stations + LT Panels + Voltage Controllers / AVR

editorial Light at the end of tunnel

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I-Tech Media Pvt Ltd, 15/2, 2nd Floor, Chandroday Co-Op Society, Swastik Park, CST Road, Chembur, Mumbai - 400071. (India) Tel.: +91-22-32682214 / 15 GROUP EDITOR* Subhajit Roy Email: editor@eprmagazine.com EDITORIAL Dibyendu RoyChowdhury Shahzad Bagwan ADVERTISING Sanjay Poojary Email: sanjay@i-techmedia.com Call: +91-9975097047 SUBSCRIPTION subscribe@eprmagazine.com Telephone: +91-22-3268 2214/15 *responsible for selection of news under PRB Act

Coal-based power plants are going through a tumultuous phase and struggling to meet with daily demand. Many plants are forced to run at a lower capacity due to inadequate supply of coal. Now, with the government’s decision to auction 101 coal blocks in-line with the Supreme Court’s directive is expected to bring cheers, especially for the country’s fuelstarved power industry. In September last year, the Supreme Court had scrapped the allocation of 204 out of 218 coal blocks to various companies since 1993 terming the whole process ‘illegal’. Later, the Cabinet approved re-promulgation of the coal ordinance and necessary guidelines for mine allocations. Experts feel that it is as a consequence of coal ordinance that has enabled us to go ahead with the auction. Otherwise coal block auctions could not have possible. The government is confident of completing the allocation process for these 42 coal blocks by 31st of March. It is understood that auctioning of coal blocks would help ease uncertainty among the thermal power plants. In addition, in order to bring reforms in the power sector and safeguard consumer interest, the Electricity (Amendment) Bill 2014, which aims to bring reforms in the power sector and safeguard consumer interest, was introduced in Parliament recently. This amendment is expected to promote competition, efficiency in operations and improvement in quality of supply of electricity. Also, to meet the increasing need of coal for power generation and reduce import, the government has decided to double the production capacity of state-owned Coal India from the present 500 million tonnes this year to a billion tonnes by 2020. All these positive decisions are expected to come in to the rescue of fuel-starved power industry.

Printed and published by Subhajit Roy on behalf of I-Tech Media Pvt Ltd. and printed at Print, Process Offset Printers, B-23, Royal Industrial Estate, 5-B, Wadala, Mumbai-400031 and published from I-Tech Media Pvt Ltd. 1, Gayatri, Karumari Amman, Chheda Nagar, Chembur (West), Mumbai - 400089. Editor: Subhajit Roy All rights reserved. While all efforts are made to ensure that the information published is correct, Electrical & Power Review holds no responsibility for any unlikely errors that might occur. The information on products and services / technology on offer is being provided for the reference of readers. However, readers are cautioned to make inquiries and take their decisions on purchase or investment after consulting experts on the subject. Electrical & Power Review holds no responsibility for any decision taken by readers on the basis of information provided herein. Tel.: +91-22-32682214/15, +91-9821667357

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Electrical & Power Review

Cover Story

Thermal power is rest with hope A detailed report on thermal power segment and why it needs more than new policies or new private investments

EPR PERSONALITY

Coal block allocation to be total transparent: Coal Secretary

Coal Secretary Anil Swarup on the government’s determination to complete the coal block e-auction by the end of current fiscal

Special Report

Committed to provide affordable and clean power 24/7 for all: Piyush Goyal

28 29 30 6

Best is waiting for transformers market Biswaroop Ukil, Vice President – Direct Sales (India Region), CG, talks how CG is getting ready to meet the future demand

TÜV SÜD: powering certainty Bratin Roy, Vice President – Industry Services TÜV SÜD South Asia, talks about TÜV SÜD philosophy and how it is shaping the Indian power sector fEBRUARY 2015

A market report on global solar power where the total funding has increased astonishingly

Interview

Vikram Solar plans significant market expansion

Moser Baer bets big on solar K N Subramaniam, CEO, Moser Baer Solar, shares why India is capable of generating 15 per cent of renewable energy in energy mix

Waaree brings the power of world-class technology Hitesh Doshi, CMD, Waaree Group, discusses about policies and trends that can push solar generation

‘Make in India’ to spur innovation Nilesh Karkun, Senior Manager, Marketing Transformers, Schneider Electric India, talks about Indian transformer market and how the government can make the “Make In India” mission possible

Global solar sector funding zooms to $26.5 bn

Ivan Saha, President and Chief Technical Officer, Vikram Solar, shares how the new government is taking the right steps to strengthen the renewable energy

A report on how the Narendra Modi-led government is committed to deliver 24-hour power for all

Interview

Green Zone

08 14 40 42 48

Power Update Open Forum Power Brand Event Trading Zone Electrical & Power Review

POWER UPDATE

Accenture to expand smart grid operations through acquisition of Structure

Adani, SunEdison to invest ` 25K Cr in solar PV facility in Gujarat

Accenture has entered into an agreement to acquire Structure, a provider of consulting, system integration and customised solutions and services to energy and utilities clients. The transaction will expand and enhance Accenture’s deep experience and capabilities in smart grid solutions, especially grid operations, as well as energy commodity trading and risk management (CTRM).

Adani Enterprises Ltd, the flagship company of Adani Group, and SunEdison Inc., a solar technology manufacturer and provider of solar energy services, have signed a MoU to establish a joint venture to build an integrated solar PV manufacturing facility in India with an investment of around ` 25,000 crore.

Terms of the transaction were not disclosed, and the acquisition is subject to regulatory review and other customary closing conditions. Omar Abbosh, senior managing director, Accenture Resources operating group said, “Structure’s capabilities in grid operations and power systems engineering, combined with Accenture’s global strengths in information technology (IT), will provide our clients with comprehensive end-to-end solutions and services to support the integration of operational technologies with IT systems, forging a path toward a smarter, more digital grid. This includes the deployment of advanced distribution management systems and automation solutions, as well as improved outage management and grid analytics. He adds, “We also plan to combine Structure’s market operations and commodities trading services with Accenture’s capabilities in digital asset management to help our clients optimise their commercial positions.” “Joining forces with Accenture will provide our clients and our employees with a unique opportunity to extend our capabilities to offer critical business solutions on a global scale,” said Lelon Winstead, Structure managing partner.

“India has embarked on an ambitious program to become a world leader in power generation from renewable technologies, and sees solar as a key part in realizing that goal,” said Vneet S Jaain, Chief Executive Officer of Adani Power Limited, a subsidiary of Adani Enterprises Ltd. “The development of the largest integrated solar manufacturing facility is a step towards the vision of our Prime Minister’s “Make in India” campaign. This facility would further integrate our power – renewable business value chain and would significantly increase the socio-economic benefits,” said Mr. Jaain. The joint venture between SunEdison and Adani will help to accomplish both goals, fueling the growth of solar in India and creating 4,500 direct jobs and over 15,000 indirect jobs in the process, informed Ahmad Chatila, President and Chief Executive Officer of SunEdison Inc. The new facility will be constructed in Mundra, Gujarat over a 3-4 year period. This facility will vertically integrate all aspects of solar panel production on site, including polysilicon refining, ingots, wafers, cells and panels production with a broader ecosystem involving extended supply chain for raw materials and consumables.

Centre approves ` 996-cr capex plan for CPRI The government has approved ` 996-crore investment proposal for capital projects of Bengaluru-based Central Power Research Institute (CPRI). The funds will be utilised to serve the growing needs of R&D in the Indian power sector including development of advanced testing facilities. This will support augmentation of high power short circuit facilities as well as establishment of new test facilities in existing laboratories of CPRI, located at Bengaluru, Hyderabad, Kolkata, Guwahati, Noida and Nagpur. In addition, a new laboratory will also be established in Western Region at Nasik, a statement issued by the Ministry of Power said.

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CPRI, with its headquarters at Bengaluru, is an autonomous society under the aegis of the Ministry of Power. It was set up to serve as a national level laboratory for undertaking applied research in electrical power engineering, besides functioning as an independent test and certification authority for electrical equipment and components for ensuring reliability in the power system. The main facilities proposed to be set up or augmented under the approved projects, include short circuit test facilities, transmission tower test facility, facilities for switchgear testing and development,

relocation and augmentation of thermal research centre at Nagpur, establishment of new unit at Nasik, and establishment of Phasor measurement unit system and smart grid research laboratory. On commissioning of the above facilities, CPRI shall be able to test transformers and other switchgears of higher rating equipment used for 400 KV and above. The smart grid research laboratory will provide necessary support for developing smart grid devices needed for Indian smart grid mission and smart city projects. The Phasor measurement unit system will support the efforts towards grid security.

Electrical & Power Review

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POWER UPDATE

APGDC, GDF SUEZ, Shell and GAIL sign MoUs for floating LNG terminal in AP Andhra Pradesh Gas Distribution Corporation (APGDC), GDF SUEZ, Shell and GAIL announced that they have signed two separate MoUs for a floating LNG terminal in Kakinada Deep Water Seaport in Kakinada, Andhra Pradesh. Both MOUs were signed in the presence of N Chandrababu Naidu, Andhra Pradesh Chief Minister, P Ashok Gajapathi Raju, Union Minister of Civil Aviation, Dharmendra Pradhan, Union Minister of State (IC) for Petroleum and Natural Gas and Y. S. Chowdary, Union Minister of State for Science & Technology and Earth Sciences. The first MoU is between APGDC, GDF SUEZ and Shell and supports the development of the terminal. APGDC, a JV company between the AP government and GAIL), GDF SUEZ and Shell will have 48 per cent, 26 per cent and 26 per cent equity in the project respectively. The second MoU is between GAIL, GDF SUEZ and Shell and covers both the sourcing of LNG and the marketing of the regasified LNG from the terminal. GAIL, GDF SUEZ and Shell will have 48 per cent, 26 per cent and 26 per cent equity in the project respectively. The Kakinada LNG terminal will use a state-of-the-art Floating Storage and Regasification Unit (FSRU) with a peak capacity of 5 mtpa with the provision to double the capacity. The proposed terminal will use high-end technology and will be one of the first of its kind in India. Commenting on the occasion Mr Naidu said, “It is a great opportunity in the development of a project that shall ensure continuous availability of natural gas.”

Mr Pradhan said, “This project would be a significant boost to our economic churning and development.”

Delhi street lights would be replaced by LED within 1 yr: Goyal “All 5 lakh street lights in Delhi would be replaced by LED lights within 1 year, saving over ` 1,000 crore over a 7 year period,” stated Piyush Goyal , union minister of state (IC) for power, coal and new & renewable energy while witnessing the ceremony of signing of MoU between South Delhi Municipal Corp. (SDMC) and Energy Efficiency Services Ltd. (EESL) for replacing 2 lakh conventional street lights in the SDMC area with energy efficient and smart LED lights at no upfront capital cost to SDMC. Earlier Prime Minister Narendra Modi announced the national launch of the LED lighting program on 5th January. Initially 100 cities would be covered by LED lighting. Mr Goyal announced that the nationwide rollout will be completed in 3 years. “SDMC’s street lights today consume 10.7 crore units today, but the twin features of lesser wattage and higher luminescence, the energy consumed can be reduced by upto 70 per cent, thereby saving over ` 500 crore in 7 years i.e. 3 times more than the ` 175 crore required to install LEDs,” the ministry informed. The repayments to EESL will be out of savings in energy and maintenance cost of SDMC over a 7 year contract period. EESL will also provide free replacements and maintenance of lights at no additional cost.

Siemens showcases smart city solutions at Vibrant Gujarat Gujarat as a base for manufacturing and business operations has witnessed unparalleled success in the past decade, and Vibrant Gujarat has been making crucial contributions to the state’s economic progress. With increasing globalisation and urbanisation, it is essential that India develops sustainable and smart cities as envisaged by the Government of India. This makes the theme ‘Sustainable Cities – Smart Future’ highly relevant, along with Make in India and 24/7 Power. Siemens has of integrated

showcased its range solutions for building

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sustainable, smart cities at the recently concluded Vibrant Gujarat Summit 2015. Globally, Siemens provides technology solutions for setting up intelligent (smart), sustainable cities. With solutions for smart grid, building technologies, mobility and power distribution, Siemens has set up smart cities in Vienna and New York, and is already involved in the Restructured Accelerated Power Development and Reforms Programme (R-APDRP) Program of the Government of India for installing smart grid solutions in multiple cities in India. It has also been a technology solution provider for the Indian Railways for close to six decades. Over the

years, it has further built capabilities in the areas of metros, integrated mobility platforms, airport links, passenger coaches, rail services and maintenance, urban traffic control, rail signalling and other state-ofthe-art transportation solutions. Siemens is present in Gujarat through its two factories in Vadodara – for steam turbines and laboratory diagnostics. The company has also signed a MoU with the Gujarat government to set up Centres of Competence. Siemens is also in the process of upgrading and Faculty development of Industrial Training Institutes of the Commissionerate of Employment and Training (CET), Gujarat.

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POWER UPDATE

Suzlon to develop upto 3,000 MW of clean energy projects in Gujarat Global wind turbine maker Suzlon Group has expressed intent to develop clean energy projects in Gujarat of 3,000 over the next five years. Suzlon took up the challenge put forth by PM Narendra Modi of establishing 2,000 MW wind energy in Gujarat and till date has already generated 1,800 MW thus accounting for 20 per cent of Suzlon’s total pan-India capacity of over 8,250 MW. The wind energy projects will attract investments with an aim to create sustainable economic growth for the state in addition to reinforcing the “Make in India” campaign initiated by the Indian government. As part of the ‘Make in India’ campaign, the project has the potential to create 6,000 direct and 75,000 indirect jobs in the state, a statement issued by Suzlon said. Speaking on the occasion Suzlon Group Chairman Tulsi Tanti said, “With the Central government’s goal of “Make in India”, Vibrant Gujarat is poised to attract investments and establish linkages across various the value chain participants. This will reinforce Gujarat’s position as India’s leading market in renewable energy and illustrate the state’s commitment to power a low-carbon economy.”

Welspun to invest ` 83k Cr in Gujarat Welspun Renewables has signed two MoUs for setting up 500 MW wind and 600 MW solar capacities with Gujarat Urja Vikas Nigam (GUVNL). The company will invest ` 8,300 crore to develop over 1 GW capacities in Gujarat. The IPP made these commitments during the Vibrant Gujarat summit.

Vineet Mittal, Vice Chairman, Welspun Renewables said, “Welspun Renewables started its journey with Gujarat by commissioning its first clean energy project in Anjar. Gujarat has always been our natural choice in building projects not just for conducive climatic conditions but because of its investor friendly environment.” Welspun Renewables has commissioned 308 MW solar capacities so far. It has been aggressively working to build its wind portfolio. The organisation envisions developing power projects pan India with existing projects located in other high radiation zones like Gujarat, Rajasthan, Madhya Pradesh, Maharashtra, Andhra Pradesh, Tamil Nadu and Punjab.

Sanghi Industries to invest `150 Cr in renewable energy Sanghi Industries Limited, one of the major cement players in western India, plans to invest ` 150 crore over next couple of years for developing 15 MW Waste Heat Recovery System (WHRS). The company has signed a contract for installation of WHRS at its cement plant in Kutch, Gujarat whereby 15 MW power will be generated from the waste gases released in the air. “With this technology, the valuable fossil fuel will be saved, foreign exchange will be saved and there will be a significant reduction in the emission of pollutant gases viz. carbon dioxide and sulphur dioxide,” the company informed. “Sanghi will recover more than 70 per cent of waste heat generated from its cement manufacturing plant.”

Govt brings ordinance on mines The government has promulgated the ordinance amending the Mines and Minerals (Development & Regulation) (MMDR) Act, 1957, the MMDR Amendment Ordinance, 2015 to allow auction policy in grant of mining leases for both bulk minerals and notified minerals. “The promulgation of Ordinance became necessary to address the emergent problems in the mining industry. In the last few years, the number of new Mining Leases granted in the country has fallen substantially. In addition, second and subsequent renewals have also been affected by Court judgements. As a result, the output in the

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mining sector has come down drastically, leading to import of minerals by users of those minerals,” the Ministry of Mines said.

Essentially, the government intended to remove discretion in grant of mineral concessions. “All mineral concessions are granted by the respective State Governments. They will continue to do so but all grants of mineral concessions would be through auctions, thereby bringing in greater transparency and removing of discretion. This should also mean that the government will get an increased share from the mining sector,” the Ministry noted.

Unlike in the 1957 Act, there would be no renewal of any mining concession. The tenure of the mineral concession has been increased from the existing 30 years to 50 years. Thereafter, the mining lease would be put up for auction and not for renewal as in the earlier system. In order to bring a check on illegal mining, the penal provisions have been made further stringent. Higher penalties and jail terms have been provided in the ordinance. Further, a provision has been made for constitution of special courts by the state govt for fast-track trial of cases related to illegal mining.

Electrical & Power Review

OPEN FORUM How is the facilitating e-auction of coal clocks going to reform the power sector? The Government of India has adopted coal auctions as a transparent, objective route for private sector participation in development of the coal sector. This has become necessary given the supply shortages in meeting a fast-growing demand that has led to imports rising from 8 per cent to over 20 per cent (2014) over the past 7 years. The auction process and the legislative framework, however, provide a robust foundation for deregulation of the sector at least in terms of permitting new private investments, implementing optimisation measures for better use of resources and potentially permitting commercial trade for domestic use. This will help deploy technology and mining practices of economic scale, improve safety and working conditions, and ensure conservation in extraction of our natural resources. Kameswara Rao, Leader — Energy, Utilities and Mining; PricewaterhouseCoopers India

I would like to be optimistic. Many power plants that are not working at the moment would kick-off. If you see Prime Minister Narendra Modi’s recent statement, it says how energy moves up and how we could provide energy across the country. This will kick-off power projects, and we will have more energy and more development on the progress trajectory. Latish Babu, Director, Utilities and Power Generation, Schneider Electric India Pvt. Ltd.

Current form of coal block auctions is creating discrimination within the power sector, i.e. IPP having PPA with state utilities, IPP without PPA and CPP. While reverse auction for IPP with PPA will decrease coal cost, forward auction process increases coal cost for CPP and others. Hence, it may not be in the best interest of competitive development of power sector. To justify forward auction, it is argued that the natural resources can’t be cornered cheap by industry but than why to allow cornering of blocks even by IPP and allow them to sell up to 50 per cent extra coal. The only solution is to follow only reverse-auction process for all sectors to bring-down energy cost and equitable distribution of coal. We submitted detailed process-design to the Coal Ministry for allowing only 50-60 per cent of each block for captive consumption that works with the provisions of ordinance. The bidder has to quote minimum price for balance 40-50 per cent coal for transfer to the nation thus creating lowering benchmarks. Rajiv Agrawal, Secretary, Indian Captive Power Producers Association

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Electrical & Power Review

EPR PERSONALITY

Coal block allocation to be total transparent: Coal Secretary

“We hope that there will be no allegations or counter allegations in the auction process,” says Anil Swarup, Coal Secretary

In an exclusive interview with Subhajit Roy, Coal Secretary Anil Swarup says there will be transparency in whatever coal ministry is doing. He also said the government is determined to complete the coal block e-auction by the end of current fiscal.

“It is as a consequence of coal ordinance that has enabled us to go ahead with the auction. Otherwise we could not have coal block auctions.”

You came in to the Coal Ministry in October last year. What were the key objectives for your ministry? The ministry’s objective was to undertake the auction as a consequence from the Supreme Court’s orders. So we had got down to the business of getting these auctions going.

Apart from the allocation process, what are the other challenges you face? Fundamentally, the coal production has to increase in the country. For this to happen, we are working with Coal India to see how their production could be doubled from the present 500 million tonnes likely this year to a billion tonnes by 2020. This is what we are really working on.

What is the current status? We are now in the process of auctioning and proceeding ahead. The auction process should be over by 31st of March. As the deadline is 31st March, how far have you achieved so far? We are going as per our schedule. Will you be able to meet the Supreme Court’s directive? Supreme Court directive didn’t say for the auction. It said by 31st of March the previous allottee of 42 mines will be allowed to mine. Thereafter, there has to be somebody to continue the mining operations otherwise mining will come to a halt. So consequently, we have to finish the allocation process for these 42 coal blocks by 31st of March. As per the present timeline, we should be able to complete the process of 42 mines by 23rd of March. What are your efforts to make the coal blocks allocation more transparent? Here, what we are trying to do is get the entire auction process to be shared with everyone so the stakeholders know what we are doing. Then the auction itself will be on an e-platform. So there will be transparency in whatever we are doing. We hope that there will be no allegations or counter allegations in the auction process.

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What kind of support you are getting from the power ministry? We have all the co-operation. In fact, whatever we decide, we discuss first and take a joint decision in most of the cases. How will the reverse auction be beneficial for the power sector? The reverse auction will ensure that the tariff don’t go up. If anything, the tariffs will come down because the price of coal that they (the bidders) indicate will get transferred to tariff. Since there is a ceiling price and they have to do below the ceiling, the amount that they bid below the ceiling price will get transferred to tariff and the tariff will come down. How do you look at the Cabinet’s decision on the Coal Ordinance? The Cabinet has supported the Coal Ordinance that is how the Coal Ordinance came after the cabinet decided. How will it help the power and coal sectors? But for this Ordinance, we couldn’t have gone ahead with the auction of coal blocks. It is as a consequence of coal ordinance that has enabled us to go ahead with the auction. Otherwise, we could not have coal block auctions. Electrical & Power Review

COVER STORY

Thermal power is rest with hope New government, several new policies and promising private investments, yet the thermal power needs new rays of shining light India has been experiencing rapid economic growth, but the power sector continues to lag behind. The policy makers have introduced several progressive measures, but the growth isn’t still progressive. Tariffs and the dependence on imported fuels are on the rise and the poor health of T&D continues to inhibit the inflow of investments. The nor-so-powerful sector needs to fix these challenges in pursuit of becoming powerful.

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Coal-based thermal power Coal-based thermal power generation is the best option for India due to the supposedly abundant indigenous availability of coal with proved reserves of about 123 billion tonnes. The installed capacity in India has increased from 756 MW in 1947 to about 125,000 MW in 2012, with coal-based capacity contributing 58 per cent of India’s power generation capacity and 71 per cent of total electricity generation in 2012.

In the next 10 years, India’s power demand is likely to cross 300 GW. Meeting this demand means, we need a fivefold to tenfold increase in the capacity addition, and coal contributes 69 percent of India’s primary commercial energy. Coal is considered as the best option for commercial use.

However, India’s per-capita electricity consumption — 900 kWh per year — is very low. It is one-third of world’s average. Then there are about 32 per cent of the population without electricity access and poor quality of supply in rural areas. In the 12th Plan, the government has proposed about 63GW of coal based-capacity added by 2017.

Though the Power Ministry is working hard to increase the share of renewable energy, the coal-based power is likely to remain India’s most important source of energy for the coming decade or two.

Challenges The Indian thermal power sector is facing a gamut of challenges like inefficient planning, lack of private investments, inadequate maintenance, low plant load factor and erratic Electrical & Power Review

COVER STORY supply to consumers. The biggest challenge in power sector is transmission and distribution losses. There are some states like Bihar lose almost half of its power even before it reaches to the consumers.

In the first phase, 41 producing mines are being offered for allocation and auctions. On February 15, the Centre will put 24 blocks on auction. In that round, both public and private sector players can participate.

These losses are due to inefficiency in transmission sector and have mainly occurred due to feeder metering in the past. Then there is theft of electricity which primarily gets attributed to agricultural consumption.

The industry is hoping that e-auction most of the 214 coal mines will boost investor confidence due to transparency in the process and reduce fuel availability risks. According to Kameswara Rao, Partner and Energy, Utilities and Mining Leader, PricewaterhouseCoopers India, “The auction process and the legislative framework, however, provide a robust foundation for deregulation of the sector at least in terms of permitting new private investments, implementing optimisation measures for better use of resources, and potentially permitting commercial trade for domestic use. This will help deploy technology and mining practices of economic scale, improve safety and working conditions, and ensure conservation in extraction of our natural resources.”

Coal and present scenario The coal production in India in the recent years has slowed down due to planning and governance issues, inefficiency of coal mining and issues with environmental clearances, to name a few. Then last August, the Supreme Court has cancelled all but four of 218 coal block allocations. These all have forced the power players to import coal with higher price. Total coal imports increased by about 2.7 times in last 5 years from 50 tonnes in 2007-08 to 137 tonnes in 2012-13. Coal block e-auction On December 24, a day after the conclusion of the winter session of Parliament, the Union Cabinet had approved re-promulgation of the Coal Ordinance. The re-promulgation of ordinance on coal will facilitate e-auction of coal blocks for private companies for captive use and allot mines directly to state and central PSUs. Though the existing allottees needed to pay an additional levy of ` 295 per tonne by December 31 for the coal they mined till September 24, 2014. They are also supposed to pay, the additional levy for the coal mined between September 2014 and March 2015, irrespective of their success in bidding process. On January 21, the coal ministry has kick-started the offering de-allocated coal blocks to stateowned entities. The companies will need to pay a fixed reserve price of Rs 100 per tonne, payable as per the actual production. The yearly escalation of the reserve price will be based on the formula spelt out in the Standard Bid Documents. In addition, the PSUs will also be required to pay the statutory royalty and the upfront payment (to compensate the previous allocattee) as per the allotment document. Electrical & Power Review

The future India continues to grow at an average rate of 8 per cent for the next 10 years. India’s demand for power is likely to rise to 315-335 GW by 2017. In order to fulfil the power requirement of 315 to 335 GW by 2017, India needs a generation capacity of 415 to 440 GW. Not only that, India needs an investment of $600 billion across the value chain. About $300 billion will be necessary for generation, about $110 billion for transmission, and the rest $190 billion for distribution. In order to have am efficient and profitable power sector, the government needs look at reducing AT&C losses which should be come down to 15 per cent by 2017. The government should implement a series of distribution reforms, including separating agricultural feeders that allow SEBs to distinguish agricultural from non-agricultural supply. The ministry can also privatise distribution circles in Tier-1 and Tier-2 cities. Above all, the state electricity boards need to learn to be disciplined in raising tariffs and curbing transmission and distribution losses. Added to that, all the state boards should modernise their facility and equipment. Together, the sector is surely going shine like never before. fEBRUARY 2015

Special Report

Committed to provide affordable and clean power 24/7 for all: Piyush Goyal “The action plan for doubling production of Coal India to 1 billion tonnes in 5 years is ready”

Narendra Modi-led government is committed to deliver 24x7 power for all, said Union minister of state for power, coal and new and renewable energy, Piyush Goyal. He adds, “This requires significant augmentation of energy generation, effective transmission and distribution system and finally efficient consumption.” At the same time, he reiterated that commitment to economic development and concern for environment, go hand in hand. Speaking at a seminar ‘sustainable energy for all’ on Vibrant Gujarat, in Gandhinagar, the minister said enormously energy starved, since average per capita just a tinge over 900 units per year versus Gujarat at developed countries at 15,000 a year.

the sidelines of the country is consumption is 1,800 units and

“280 million people in 56 million homes are bereft of any electricity whatsoever,” he observed. “Further, a large number of people who are connected to the grid, receive sporadic and inconsistent electricity in many states of India.” He hoped to make a long-lasting, transformative impact on the lives of millions of fellow Indians.

february 2015

Electrical & Power Review

Special Report

He said that the government was going for compulsory crushing and washing of coal, to further minimise ash transportation, and taking up afforestation programs at scale. In addition, it is initiating studies to ensure that rivers stay perennial, wherever a hydro project has been planned or is already in operation.

In the last 7 months, since assuming office, the govt. has focused on increasing production of key inputs for power generation. The action plan for doubling production of Coal India to 1 billion tonnes in 5 years is ready, he informed. His ministry is trebling exploration, investing $ 1 billion for 250 additional rakes and expediting evacuation particularly, 3 critical railway lines which can evacuate 200 million tonnes. Highlighting the steps taken by his government the minister said, “Within a month of the Supreme Court`s judgment cancelling 204 coal blocks, the centre promulgated an ordinance and the auction process has already begun in the most transparent e-bidding format. This will help in augmentation of domestic production and go a long way in eliminating the need to import thermal coal, at great cost to the exchequer.” The government has also initiated a coal linkage rationalisation exercise to link plants with their nearest coal mines to ensure minimum transportation of coal, unclog railway network, reduce ash related damage to the environment and pass-on the savings of approximately $1 billion to the consumers. The first swap has already been completed between Gujarat and NTPC-Sipat in Chhattisgarh, saving the consumers, particularly Gujarat, $50 million. Electrical & Power Review

The minister said the centre was laying unprecedented thrust on renewable sources of energy for the long-term energy security of India to meet our commitment to preserve the environment. The government has quintupled the solar energy target to 100,000 MW by 2022 and has a clear roadmap to achieve this ambitious target he said. Of this, 40,000 MW will be rooftop solar, where millions of people will become micro-entrepreneurs and sell to the grid, thereby augmenting their income and reducing power bills, since they will only have to pay the “net” amount. Similarly, the government is trebling wind power generation capacity to 60,000 MW. “India will become one of the principal markets for renewable energy development in the near future,” he said. The government foresees an investment of over $150 billion in renewables over the next few years. Mr Goyal said, “While generation is obviously important, a strong infrastructure in transmission and distribution is equally essential. Unfortunately, this sector has remained historically under-invested.” The government has launched two flagship schemes – the Deen Daya Upadhyay Gram Jyoti Yojana (DDUGJY) and Integrated Power Development Scheme (IPDS), with central government grants of $18 billion. DDUGJY will focus on feeder segregation in rural areas, proper metering of usage and strengthening sub-transmission and distribution infrastructure including replacement of suboptimal and burnt out transformers. So that farmers receive adequate power and rural homes and small-scale industries receive 24/7 power. Moreover, remote villages with small population will also be connected to the grid, where feasible, or will be provided power through off-grid and micro-grid solutions powered by renewable energy. february 2015

Special Report

Cheap crude is positive for downstream companies: ICRA The 55 per cent slump in global oil prices will result in material decline in profits of crude oil producers like Cairn India, but will help oil marketing companies cut their fuel losses, ratings agency ICRA said

Global crude oil prices have declined by 55 per cent from $ 112/bbl (Brent) in June 2014 to US$ 50/bbl now primarily due to significant increase in supply with US crude oil production at a 25 year high due to shale oil boom; growth slowdown in Europe, Japan and China and cut in speculative positions. According to a recent study by ICRA, “The crude oil prices are expected to remain at low levels in the near-term, although oil prices could marginally recover over the next 1-2 years with slower production growth and demand recovery (aided by lower prices).” Lower crude oil prices would materially impact profits of crude oil producers. It said the operating profit of Cairn India could decrease by about 35 per cent in 2014-15. According to K. Ravichandran, Senior Vice-President and CoHead, Corporate Ratings, ICRA, “The impact on ONGC and OIL would be limited with around 15 per cent hit on operating profit in FY15 as their subsidy burden will likely go down with fall in under-recovery levels. We expect the decline in underrecovery sharing discount to decline from $ 59 /bbl in FY14 to $ 40-45/bbl in FY15.” ICRA observed, “If crude oil prices sustain in the range of $ 5055 /bbl, the extent of discount for upstream companies would be a key driver of profits in FY16. Further, cash generation of overseas ventures of ONGC Videsh Ltd, OIL and Reliance Industries Ltd (RIL) would decrease significantly.”

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The significant decline in crude oil prices, if sustained, will lead to reduction of capital spending of global E&P companies due to lower realisations and deferment of development of complex fields due to poor economics, it said. This could lead to increase in idling assets of service providers, which could put pressure on the service providers to reduce rates leading to lower Finding and Development (F&D) costs for the upstream companies. On the other hand, the oilfield services industry, especially offshore drillers would be adversely impacted by low oil prices and significant increase in supply globally in the near-to-medium term. While exploration activity in India is not expected to witness material decline, significant fall in day rates would lead to weakening of the financial profiles of the domestic oilfield services companies, except for companies with long-term contracts or those with sufficient liquidity to tide over the downcycle. Gross under recoveries or revenue losses on fuel sales of downstream companies are expected to decline sharply from ` 139,900 crore in FY14 to around ` 78,800 crore in FY15 (estimated at Indian Basket crude oil price of $ 65 per barrel and Rupee-US Dollar exchange rate of 62.5 for H2 FY15) and ` 45,000 crore in FY16 (at crude price of $ 60 and Rupee-$ of 64). Mr Ravichandran said, “On account of the lower crude prices, the working capital requirements of downstream oil companies would reduce leading to lower working capital debt levels. Additionally lower under-recoveries on the sale of sensitive products would also improve the profitability and liquidity of oil marketing companies. Nevertheless the sharp decline of about 40 per cent in crude oil prices during Q3 FY15 would lead to large inventory valuation losses for the downstream companies. Consequently GRMs are expected to be negative or remain subdued in Q3 FY15 on account of large inventory valuation losses, though partly offset by higher crack spreads witnessed during the quarter for several products.” Industries like paint, FMCG and tyres could be the major gainers due to fall in the prices of raw materials. Further, the industrial units consuming liquid fuels or RLNG for power and fuel would witness material fall in costs. Electrical & Power Review

Interview

ElectroMech: evolving to offer the best ElectroMech is one the largest industrial crane manufacturers in India in volumes as well as value. It has also managed to successfully buffet itself against economic headwinds. In a conversation with EPR, Tushar Mehendale shares how power sector is generating demand generator for material handling as well as construction equipment.

“Each of our products is designed to suit our customers’ applications, working environment and usage cycles,” says Tushar Mehendale, Managing Director, ElectroMech

Indian material handling and construction equipment industry is becoming stronger. How is it important for power sector? Infrastructure growth in the country drives demand for material handling and construction equipment directly through requirements at project sites as well as indirectly through growth in allied industries such as cement, steel and so froth. Power projects are a key demand generator for both material handling as well as construction equipment. For the power sector, material handling equipment is required both at the project execution stage as well as to be installed in the power plant itself for various applications. Are the products currently offered meeting customer needs, or is additional development required? ElectroMech has a wide product range that includes electric wire rope hoists, single girder and double girder electric overhead travelling (EOT) cranes, wall travelling cranes, goliath cranes, underslung cranes, as well as special purpose cranes such as stacker cranes and tunnel mucking systems. How will the market structure change with time? The Indian market will evolve on the lines of the markets that today exist in developed countries. We can see the shift already underway. Initially, in India, the industry-wide affliction caused people to focus only on the price, while disregarding everything else. A lot of emphasis is now being put by the customers on technology, technical specifications, quality of the product as well as timely execution of

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the project. The customers have started looking at the equipment as being something that will be a part of their project for years to come and have started becoming more discernible. Even construction companies, which typically consider writing off equipment over a single project, have now woken up to the possibility of using high-quality and high-productivity equipment that has minimum downtime and hence a minimal depreciation rate that allows them to use the equipment across several projects, thus sweating their assets that allows them to maximise their profit. What is your opinion on PM Narendra Modi’s ‘Make In India’ mission? “Make In India” is a rallying call for the global manufacturing industry and definitely is being marketed well. If the “Make In India” campaign succeeds, we are potentially looking at a substantial ramp up in the domestic consumption of capital goods. This will definitely lead to good economies of scale which are currently missing in India. India desperately needed a shot in its arm to boost the manufacturing sector. Hence the “Make In India” campaign will definitely have an accretive effect on the Indian economy. Where should you position ElectroMech in current market scenario? ElectroMech has the distinction of being the largest industrial crane manufacturer in India in volumes as well as value and has managed to successfully buffet itself against economic headwinds. As a result, ElectroMech is the most financially stable major crane manufacturer in the Indian crane industry and has not been plagued by the ills of the slowdown which seem to have affected the competition. When customers place orders on ElectroMech for their crane requirements, they are assured of quick and efficient order execution. This coupled with our technologically superior products ensures that the customer gets maximum value for his money. Electrical & Power Review

Industry Analysis

Transformers: growing steady The transformer market in India is on the verge of bringing a lot of private players and creating a completely different revenue model The global market for power and distribution transformers is projected to cross $51.2 billion revenues in 2019, and Asia-Pacific region is going to dominate the market revenues. AsiaPacific transformer market is to grow at a CAGR of 6.77 per cent during the period of 2014-2019. The demand for electricity in the fast-growing Asia-Pacific region is one of the key drivers of the market. This increased demand for electricity is mainly driven by the industrial, residential, commercial and transportation sectors. The only point to ponder is the costs of raw materials which have increased and is hindering market growth. India and transformers The Indian transformer industry, which is more than five-decade old, has witnessed a CAGR of 11 per cent for last 10 years. The industry has evolved over the years to meet the growing demand in the country. As the national network is gaining maturity, need for new products and

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technologies are being envisaged which the Indian industry is working towards with their indigenous R&D initiatives. Key vendors Schneider Electric, ABB Ltd., Siemens AG, Alstom and Crompton Greaves are likely to dominate the market over the forecast period, holding over 40 per cent share in market revenues in 2019. Major factors driving revenue growth in global market include rising global population, increasing power demand, expansion of power generation infrastructure, development in power transmission network including implementation of smart grid and super grid. Companies are also developing smart transformers featuring advanced online monitoring system for remote evaluation and detection of latent defects. Schneider Electric Schneider manufactures a vast range of mediumvoltage as well as low-voltage transformers which can be supplied in many configurations. Electrical & Power Review

Industry Analysis It also specialises in manufacturing fluidfilled transformers and cast resin transformers. Schneider is confident that the transformers market is anticipated to witness healthy growth rates and empowering demand for the impending years. “The Indian Government’s initiatives alongside the need of substitution of transformers introduced in the previous years are relied upon to drive development in the Indian transformers market,” explains Nilesh Karkun, Senior Manager, Marketing Transformers, Schneider Electric India. “Rapid urbanisation and development of roads, metros and other infrastructure projects across the country are expected to generate huge demand for transformers as power generation, and maintenance is required in all manufacturing sectors.” ABB ABB has one of the pioneering technologies in the market. Its short circuit record in the industry is one among the best. Its power transformers are key components in power networks. ABB ensures that its every unit has undergone rigorous full-acceptance testing. The company offers a complete range of power transformers and related components and parts. It has delivered more than 14,500 power transformers (over 17,000,000 MVA), including over twenty 800 kV UHVDC and over five hundred 735 - 765 kV AC units, to all major global markets. Alstom Power Alstom is one of the leaders in energy and transportation infrastructure. Its transformers have tremendous potential to withstand overloads. Alstom has supplied step-up generator transformers up to 1,100 MVA 420 kV (threephase) and 245 MVA 765 kV. Over and above standard transformers, it can provide hermetic transformers, boasting a substantially longer service life. Its transformers can be filled with biodegradable vegetable oil on request. According to Laurent Schmitt, Vice President, Smart Grid Solutions, Alstom, the company has also the ability to improve urban energy management at the distribution level with ICT (information and communication technologies). Siemens Energy In more than 100 countries and for more than 100 years, transformers from Siemens are synonymous of top quality. Whether for infrastructure systems, industry or households Electrical & Power Review

– its transformers play a key role for a reliable power supply. Siemens offers a complete product range, including generator step-up transformers, system interconnecting transformers, phase shifters, reactors, transformers for HV, line feeding transformers and traction transformers. Crompton Greaves CG is among the top 10 transformer manufacturers in the world, and one of the very few companies worldwide that designs and manufactures a wide range of power and distribution transformers and reactors. The range of power transformers offered is from 25 kVA to 600 MVA, and 11 kV to 765 kV class, and Reactors from 10 MVAr to 125 MVAr, and 33 kV to 765 kV class. These products are conforming to IEC, ANSI, IS, BS and other international standards. It has recently made a foray in the manufacture of 765 kV transformers with the execution of its maiden order for Power Grid Corporation of India. It has pioneered the technology for manufacture of compact, reliable SLIM transformers with high overload capacity in collaboration with Dupont’s Nomex thermal insulating technology. “CG is witnessing demand upswing and new opportunities in the market place,” claims Biswaroop Ukil, Vice President – Direct Sales (India Region), CG. “It expects this to gain further momentum in the coming financial year and is strategically aligned to leverage these opportunities.” Steady tomorrow The future of transformer industry looks pretty promising as the country’s installed generating capacity is set increase from the present level of 228 GW to over 700 GW by 2030. The government has also approved Rs. 32,000 crore for integrated power development scheme to reduce AT&C losses for strengthening subtransmission network in the urban areas. Then there is “Deendayal Upadhyaya Gram Jyoti Yojana” which will further drive the distribution equipment business. “Transmission sector is also witnessing a change in business model from its erstwhile nomination-based construction of transmission system, to tariff based bidding on BOOT/BOOM basis,” explains Biswaroop Ukil. “This will bring a lot of private players in the transmission segment and will create a completely different revenue model.” fEBRUARY 2015

Interview

Best is waiting for transformers market The future of transformer industry is promising. India’s installed generating capacity is set increase from the present level of 228 GW to over 700 GW by 2030. In an interview with EPR, Biswaroop Ukil talks how CG is getting ready to meet the future demand.

“CG is witnessing demand upswing and new opportunities in the market place,” says Biswaroop Ukil, Vice President – Direct Sales (India Region), CG

Factors influencing transformer market Historically growth of transformer market has been driven by the generation, transmission and distribution segments. The last decade witnessed phenomenal growth in the transmission segment across the voltage class, i.e. EHV and UHV for evacuation of power from one end of the country to the other. This has driven the demand for power transformers. The present focus is on improvement of distribution network which is driving the demand of distribution transformers. On the whole, the transformer industry has witnessed a CAGR of 11 per cent for last 10 years. While the market for transformer remained stagnant for last couple of years, with clear policy framework in place, one expects this market to grow fast. The future of transformer industry looks pretty promising as the country’s installed generating capacity is set increase from the present level of 228 GW to over 700 GW by 2030. Addition in generating capacity, strengthening transmission lines for evacuation, creating a national grid interconnecting the five regions of the country through “Transmission Super Highways” and smart city initiative are expected to drive the demand for transformers in the Indian market. Required R&D Indian electrical equipment industry is fully equipped to meet the domestic demand on the back of its strong technology, manufacturing base and robust supply chain management. The industry has evolved over the years to meet the growing demand in the country. As the national network is

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gaining maturity, need for new products and technologies are being envisaged which the Indian industry is working towards with their indigenous R&D initiatives. Changing T&D trends The government has approved Rs. 32,000 crore for integrated power development scheme to reduce AT&C losses for strengthening sub-transmission network in the urban areas. This will fuel the growth of distribution equipment. With Rs. 40,000 crore of funds approved, there is special focus on rural electrification through “Deendayal Upadhyaya Gram Jyoti Yojana” which will further drive the distribution equipment business. Transmission sector is also witnessing a change in business model from its erstwhile nomination-based construction of transmission system, to tariff based bidding on BOOT/BOOM basis. This will bring a lot or private players in the transmission segment and will create a completely different revenue model. Mission ‘Make In India’ “Make in India” is a mission by the prime minister aimed at making the Indian industry competitive to take on the global competition with world-class quality. Various industry associations are working with government department to create a framework which will benefit the Indian industry. Once implemented, this will give new impetus to the Indian economy by attracting fresh investments and creating better manufacturing environment. Further focus on “Make in India” will foster innovation and technological advancement as well as enhance skill level of the domestic industry. CG and current market scenario CG is witnessing demand upswing and new opportunities in the market place. It expects this to gain further momentum in the coming financial year and is strategically aligned to leverage these opportunities. Electrical & Power Review

Interview

‘Make in India’ to spur innovation India has a proven innovation and ability to manufacture a variety of power transformers, distribution transformers and different sorts of special transformers for furnace, traction, converter duty and so on. In an exclusive interview with EPR, Nilesh Karkun talks about Indian transformer market and how the government can make the “Make In India” mission possible.

“Today, around 85 per cent of the transformers introduced in the Indian power network are of indigenous source,” claims Nilesh Karkun, Senior Manager, Marketing Transformers, Schneider Electric India

Driving factors for Indian transformer market The transformer market in India has been in a sound state for a few years now. The market is further anticipated to witness healthy growth rates and empowering demand for the impending years. The Indian government’s initiatives alongside the need of substitution of transformers introduced in the previous years are relied upon to drive development in the Indian transformers market. Rapid urbanisation and development of roads, metros and other infrastructure projects across the country are expected to generate huge demand for transformers as power generation, and maintenance is required in all manufacturing sectors. Technological advancement The transformer business in India has advanced and now has a generally developed engineering base that prompts excellent completed products. India has a proven innovation and ability to manufacture a variety of power transformers, distribution transformers and different sorts of special transformers for furnace, traction, converter duty and so on. Today, around 85 per cent of the transformers introduced in the Indian power network are of indigenous source. Energy-efficient transformer can be manufactured in India to meet international requirements. Staying ahead of the competition The Indian transformer industry is more than five-decade old and is considered to

Electrical & Power Review

be a very mature, efficient industry. Local producers have developed capabilities to produce equipment to take care of the nation’s demand for transformers up to 800 kV and heading off up to 1,200 kV. The business enjoys a good reputation, regarding quality, cost and conveyance in the residential market. T&D trends Energy demand is growing at rapid pace in most of developing countries. This means more focus will be on power generation, transmission and distribution sectors. Thus, we can see a significant growth in transformer industry worldwide. Mission ‘Make In India’ With new government assuming control under administration of Narendra Modi, everyone is expecting that nation should be on a growth trajectory. Power sector, in particular, would be one of the prime beneficiaries to fulfil the nation’s aspirations for round-the-clock supply. The sector can also be an impetus for the industry and agriculture output which in turn will lead to prosperity of the nation. PM Modi’s “Make in India” initiative is the first of its kind in the country. If implemented successfully, it would be one of the biggest success stories in history of Indian economy. The initiative is a welcome emphasis in our foreign investment policy as efficient, competitive domestic manufacturing will serve multiple objectives. Besides, it will enhance job opportunities within the nation. The mission will also minimise the imports of a number of products into the country, subsequently mitigating the pressure on our trade deficit. Then over the long haul, it will help increase and broaden our fares from the manufacturing segment. Above all, the mission will help in bringing most recent innovations into our backyard. fEBRUARY 2015

EPR PERSONALITY

TÜV SÜD: powering certainty TÜV SÜD is a name to be reckoned with in providing end-to-end “owner’s engineer” services in gas-based power sector. The company has revolutionised the power industry. Though TÜV SÜD has started its journey in gas power sector in India 5 years back, it has already positioned itself as one among the leaders. In an exclusive interview with EPR, Bratin Roy talks about TÜV SÜD philosophy and how it is shaping the Indian power sector.

“We continue to witness exponential growth in South Asia driven by the increasing demand for quality and standardisation services across all sectors,” shares Bratin Roy, Vice President – Industry Services TÜV SÜD South Asia

For more than 150 years, TÜV SÜD has presented itself as one of the world’s leading technical service organisations. How would you define your journey? TÜV SÜD started operations as a privatesector regulatory body set up by the first steam boiler inspection association in 1866 in Mannheim, Germany. We started with the purpose of protecting people, the environment and property, against the ill-effects of technology. Over the years, we have steadily worked towards fulfilling our vision of delivering premium quality, safety and sustainability solutions to industries by catering to their testing, certification, auditing and training requirements. In the last decades, we have witnessed consistent progress in the internationalisation of activities in the European Market, North America and Asia Pacific. We continue to witness exponential growth in South Asia — India, Bangladesh and Sri Lanka — driven by the increasing demand for quality and standardisation services across all sectors. Our portfolio today consists of auditing and system certification, inspection, knowledge services, testing and product certification and training. Over the past two decades in India, we have added value to processes and systems of various companies by assisting them

to achieve global standards and stay competitive in a highly globalised economy such as ours. How do you like to describe TÜV SÜD philosophy, “Choose certainty. Add value.”? “Choose certainty. Add value.” is the core philosophy behind everything that we do in TÜV SÜD. As process partners with comprehensive industry knowledge, our teams of specialists provide timely consultation and consistent guidance, thus achieving the optimisation of technology, systems and expertise. Our services add tangible economic value to our clients’ operations which in turn adds certainty to holistic business profitability. United by the belief that our services should protect mankind from the ill effects of technology, we work alongside our customers to optimise their operations, enable them to access global markets, enhance their competitiveness and at the same time ensure operational safety. The global gas gen-set market has risen to prominence in the recent years due to stricter emission laws and lower gas prices. Where do you want to place India in the gas gen-set market? The Indian power sector is still dominated by coal contributing to 72 per cent of national power generation of 253 GW. Coal is the natural choice in India considering the available reserves (among top 5 in world), low cost, low CAPEX, super critical technology and large size of single units. In recent years, however, the MoEF, CPCB and state pollution control boards have revised the emission limits for all power plants including thermal power plants. This further puts pressure on thermal power plants to monitor and limit their emissions. On the other hand, India has a very low share of global gas power plants. It has an installed capacity of about 22 GW of gas32

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Electrical & Power Review

EPR PERSONALITY 30

based power plants, which operate with varied PLF due to the volatile conditions of price and availability in the global gas market.

TÜV SÜD South Asia, headquartered in India, is now the global competence centre for whole TÜV SÜD group for the power plant services.

Considering the fact that the emissions due to gas-based power plants are much lower than coal-based power plants, India should make attempts to operate its gas-based power plants (which can operate at about 85 per cent PLF) to their maximum potential.

Name some of the gas projects you have worked on in India, and what make them special? TÜV SÜD started its journey in gas power sector in India in 2009 and has worked on many gas power plants which include plants from Essar Power, GAIL, BSES Pragati Power, APGCL and GMR Group (Vemagiri Plant), to name a few.

What kind of consulting and support services does TÜV SÜD provide for gas-based energy? TÜV SÜD provides end-to-end “owner’s engineer” services in gas-based power sector. This includes services at planning stage such as feasibility studies, project reports, TEVs, bid management and so forth. During construction stage, we support review of designs, QAP review, TPI, project management, site supervision, field quality assurance and quality control, final acceptance tests and performance guarantee test. Additionally, we provide high-end technical services for existing gas-based power plants, such as performance evaluation test, energy assessment as per CEA guidelines and PTC test codes, to name a few.

We have provided a wide range of services for these gas-based power plants that include energy-efficiency assessment, performance evaluation, owner’s engineer services, construction supervision and third-party inspections. Apart from power sector, we have a dominant position in other industrial gas-based projects with ONGC, Indraprastha Gas, Sabarmati Gas and PNGRB amongst others. Some of our prestigious international clients in gas sector are EnBWAG (450 MW), Stadtwerke Dusseldorf AG Germany, Grosskraftwerk Mannheim AG and Vattenfall Europe Generation.

ICA conducts seminar on distribution transformers ICAI join hands with BIS, ITMA and IEEMA to establish mandatory and voluntary programmes to conserve energy on standardisation, certification and quality control of distribution transformers to proliferate sustainable development in India. The workshop was conducted in association with Bureau of Indian Standards (BIS), Indian Transformer Manufacturers Association (ITMA) and Indian Electrical and Electronics Manufacturers Association (IEEMA).

Seminar on Standardisation, Certification and Quality Control of Distribution Transformers, Delhi, by ICA India

Transformers plays a crucial role in the power distribution network, and many countries have taken policy initiatives to establish mandatory and voluntary programmes to conserve

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energy and to help the domestic markets by adopting energy-efficient transformers. International Copper Association India (ICA India) has conducted a workshop

The objective of the seminar was to create awareness on the standard – IS1180 (Part 1), certification and quality control of distribution transformers and enhance the operational efficiency, incorporate global practices, testing, failure analysis, and improvement in design and performance of distribution transformers. Electrical & Power Review

Green Zone The total funding in the solar sector increased globally, with VC funding doubling, thanks to a strong public market, debt financing and IPO activity

Global solar sector funding zooms to $26.5 bn Corporate funding in the solar sector encompassing venture capital or private equity (VC), debt and public market financing increased 175 per cent in 2014 with $26.5 billion, compared to $9.6 billion in 2013. Mercom Capital Group, llc, a global clean energy communications and consulting firm, in its report for the solar sector in 2014 said global VC investments more than doubled to $1.3 billion in 85 deals in 2014, compared to $612 million in 98 deals in 2013. Revival & Growth â&#x20AC;&#x153;The big story coming out of 2014 was the revival of capital markets - solar companies were able to access funding through multiple avenues like VC, public markets, IPOs and debt in record numbers, while the quest for lower cost of capital continued with Yieldcos and securitisation deals. The solar sector has come a long way from being perceived as a speculative high risk investment to attracting investors based on low risk attractive dividend yields,â&#x20AC;? said Raj Prabhu, CEO of Mercom Capital Group. Solar downstream companies saw the largest amount of VC funding in 2014 with $1.1 billion in 44 deals, Company

Terms/ Amount

Acquirer

Hanwha Q CELLS Investment

1,200

Hanwha SolarOne

China

REC Solar

637

Bluestar Elkem

Norway

SMA Solar Technology

416

Danfoss

Germany

Silevo

350

Solar City

USA

Grapp Energies (Majority Stake)

200

Solargise

1,895

Solar VC funding 2011-2014 (US$ in Million)

1,343 992 612

Solar Top 5 M&A transactions in 2014

february 2015

Top 5 VC companies According to Mercom Capital, the top 5 VC funded companies in 2014 were Sunnova Energy, a provider of residential solar service to homeowners through its network of local installation partners offering leases and PPAs, which raised a total of $505 million in three separate deals; followed by Sunrun, a provider of residential solar-power systems and third party finance, raising $150 million; Renewable Energy Trust Capital, a finance platform established to acquire and own solar projects and provide a single equity capital source, brought in $125 million; Sungevity, a provider of residential solar installations and third party finance, raised $72.5 million; and GlassPoint Solar, a provider of solar steam generators to the oil and gas industry for applications such as Enhanced Oil Recovery (EOR), raised $53 million.

Country

Source: Mercom Capital Group, IIc

accounting for 85 per cent of venture funding. Investments in PV technology companies reached $75 million in 12 deals and Balance of Systems (BoS) companies were close behind with $73 million in seven deals. Concentrated Solar Power (CSP) companies came in at $59 million in three deals, followed by thin film companies with $52 million in nine deals.

2011

2012 2013 2014 Source: Mercom Capital Group, IIc

Electrical & Power Review

Green Zone Company/ Project Development

Project Name

Country

Funding Type

Amount (SM)

Investors

China Wind Power

China Solar Projects

China

Loan

942 (800 MW)

China Development Bank

Kuni Umi Asset Management, GE Energy Financial Services, Toyo Engineering

Setouchi Solar Project

Japan

Syndicated Loan

867(231 MW)

Bank of Tokyo-Mitsubishi UFJ, Mizuho Bank, Sumitomo Mitsui Banking Corporation

Megalim Solar Power

Ashalim Solar CSP Project

Israel

Project Funding

820 (121 MW)

European Investment Bank, Bank Hapoalim

Moroccan Solar Energy Agency (MASSN)

NoorOuarzazate Phase II CSP Projects

Morocco

Loan

519 (350 MW)

World Bank

Samsung Renewable Energy

Kingston Solar Project

Canada

Term Loan

507 (100MW)

Royal Bank of Canada, National Bank of Canada Finance, Rabobank, Bank of Tokyo-Mitsubishi UFJ, Natixis, CCD Financing ULC, Desjardins Group, Connor, Clark & Lunn Infrastrueture, Regime de rentes de rentes du Mouvement Desjardins, CAAT Pension Plan, Industrial Alliance

Source: Mercom Capital Group, IIc Solar Top 5 announced large-scale projects funded by dollar amount 2014

A total of 119 VC investors were active in 2014, with 12 investors participating in more than one round in 2014 including: Acero Capital, Acumen Fund, DBL Investors, E.ON, Ecosystem Integrity Fund, Novus Energy Partners, Omidyar Network, SolarCity, Sustainable Development Technology Canada, Trident Capital, Vision Ridge Partners and Vulcan Capital. Public market financing increased considerably to $5.2 billion in 52 deals in 2014, up from just $2.8 million in 39 deals in 2013. In 2014 seven IPOs brought in more than $2 billion combined including, Vivint Solar, Scatec Solar, Thai Solar Energy and Sky Solar. Yieldcos accounted for three of the IPOs for $1.5 billion going to Abengoa Yield, Terraform Power and NextEnergy Solar Fund. Announced debt financing in 2014 totalled almost $20 billion in 58 deals, compared to $6.2 billion in 38 deals in 2013. China accounted for $15.8 billion of the debt activity. Large-scale project funding announced in 2014 totalled $14.2 billion in 144 deals. The largest project funding deal announced in 2014 was the $942 million loan raised by China WindPower Group for a portfolio of projects totalling 800 MW. Top investors in large-scale projects were Mizuho Bank with 12 projects and Bank of Tokyo-Mitsubishi UFJ with 10 projects. Residential and commercial funds showed strong growth in 2014 with 34 announced funds totalling $4 billion. SolarCity, SunPower, Vivint Solar, SunEdison and Syncarpha Capital were top fundraisers in 2014 Electrical & Power Review

Cashing on Merger & Acquisition Corporate M&A activity in solar totalled $4 billion in a record 116 transactions compared to $12.7 billion in 81 transactions in 2013. Consolidation activity continued among solar downstream companies with 57 transactions followed by manufacturers and equipment companies with 35 transactions. In a bid to vertically integrate, SolarCity has made the most acquisitions in the last five years with seven, followed by First Solar and SunPower with six apiece. The largest M&A transaction in 2014 was the $1.2 billion acquisition of Hanwha Q CELLS Investment by Hanwha SolarOne, followed by Bluestar Elkemâ&#x20AC;&#x2122;s acquisition of REC Solar for approximately $637 million. Danfoss acquired a 20 per cent stake in SMA Solar Technology for $416 million; SolarCity acquired Silevo for $350 million and Solargise acquired a majority stake in Grapp Energies for $200 million. Large-scale solar project acquisitions totalled $3.2 billion in 2014, compared to $1.7 billion in 2013. Transaction activity was up 46 per cent year-over-year, with 163 deals in 2014. A total of 6.4 GW of large-scale solar projects were acquired in 2014. Good solar projects with solid returns continue to be in heavy demand and are being acquired at a record pace. Competition to acquire quality projects intensified with the emergence of Yieldcos. Projects on radar The fourth quarter of 2014 was active for large-scale project development around the globe. Mercom tracked 241 project announcements totalling almost 9.5 GW for the quarter and 736 project announcements totalling 34.4 GW for 2014 in various stages of development globally. february 2015

Interview

Vikram Solar plans significant market expansion Vikram Solar has positioned itself as a dominant player in the various aspects of solar power plant projects. It is the first solar PV module manufacturer in India to introduce PID resistant modules which can prevent modules from degrading under any high-voltage stress in the field. In an interview with EPR, Ivan Saha talks on solar power, how the new government is taking the right steps to reform the sector and the future of renewable energy

“We are adding large module (1 GW) and cell capacities (500 MW) over the next 5 years,” says Ivan Saha, President and Chief Technical Officer, Vikram Solar

Government initiatives Some of the measures taken by the new Union Government include announcing of ultra mega solar projects or massive solar parks, setting a target of 40,000 MWp of such grid-interactive rooftop solar PV plants during the next 5 years across India. This is part of the revised target of 100 GW under JNNSM scheme by 2022. Decision of not imposing anti-dumping duty, DCR clause of JNNSM by the central government, pilot-cum-demonstration project for development of grid-connected solar PV power plants on canal banks and canal tops to achieve gainful utilisation of the unutilised area on top of canals and vacant government land along the banks of canals wherever available and allocation of 100,000 of solar pumps under Solar Pumping Programme are some of the steps in the right direction. Abolishment of import duties on raw materials is also considered to be an appropriate step taken by the new government.

India’s first floating solar power plant at New Town, Kolkata

fEBRUARY 2015

Vikram Solar in solar power Vikram Solar established its presence as a dominant player in the various aspects of manufacturing and solar power plant projects. In module manufacturing, it offers multi and mono crystalline modules ranging from 10 Wp to 335 Wp for a range of applications starting from low-cost off-grid solutions for rural areas to state-of-the-art high-efficiency and high-performing modules for largegrid connected plants. Vikram Solar has very recently entered into several new application areas like BIPV, power optimiser modules, solar power products (solar pumps, solar power packs, solar-powered light). These products are under various stages of technological development to commercialisation. In projects, the company provides EPC turnkey solutions and O&M services to a range of customers like developers, large IPPs, corporate houses and individuals. Its solar power project portfolio includes large-scale grid connected power plants, kW projects on rooftops (grid connected and off-grid both), rural mini grid projects and diesel hybrid systems, and floating solar power plant. Mission ‘100 smart cities’ This is a very encouraging announcement that Vikram Solar would like to endorse wholeheartedly. As an established solar EPC player and ranking among the top module manufacturers in India, Vikram Solar, with its state-of-the-art EPC and engineering team and top quality R&D facilities, wants to be part of this initiative. Currently, Vikram Solar is involved in few large-scale MW solar projects of cumulative capacity of almost 80 MWp. These projects are scattered around the states like Rajasthan, Madhya Pradesh, Kerala and West Bengal, to name a few. All these projects are scheduled to be completed by the second quarter of this year. Beside these large-scale MW solar projects, its projects team are involved in lots of kW solar projects and rooftop solar projects across India. So Vikram Solar has all the Electrical & Power Review

EPR PERSONALITY inherent skill sets and resources to build large solar cities. It is adding large module (1 GW) and cell capacities (500 MW) over the next 5 years to address the expanding solar markets in India. Technological advancement Vikram Solar has always been the torch bearer in technology. The stage gate approach is employed in developing new products and all the products are thoroughly tested before they are launched to ensure product success. Vikram Solar, as a responsible module manufacturer, always uses technologies on its products that are internationally approved and established. It is the first

solar PV module manufacturer in India to introduce PID resistant modules which can prevent modules from degrading under any high-voltage stress in the field. The company operates on DMAIC process and constantly strives to improve existing process to reduce defects and variations. Recently, it has completed the construction, installation and commissioning of India’s first floating solar power plant in New Town, Kolkata. The installation is completely flexible and can be adapted to any pond or water body, consist of 10 1-kW-fibre-glass modules, which make up the floating platform itself. This platform is designed from the scratch to guarantee a suitable floatability,

supporting the photovoltaic modules, inverter, connection boxes, lighting arrestor and O&M activities. Reaching renewable energy goal The goal of generating 15 per cent of its energy from renewable sources by 2020 is very much attainable. But Vikram Solar feels, it will ultimately depend upon the key enablers which should be in sync with each other like the finance, speeding up decision making process, proper placing of the proposal with incorporating all technical advices and requirements, loosening the red tape procedure, keep in place appropriate policy and infrastructure, and strategise and prioritise the sector.

Moser Baer bets big on solar Moser Baer Solar is one of the earlier entrants in solar power way back in 2007-08. As a manufacturer of solar PV cells and modules, the company continues to look at becoming a leader in India. In an interview with EPR, K N Subramaniam shares why India is capable of generating 15 per cent of renewable energy in energy mix.

“Our vision is to deliver clean power to the needy and over 250 mn people untouched by the benefit of power so far,” remarks K N Subramaniam, CEO, Moser Baer Solar

Electrical & Power Review

Government initiatives The first thing the Power Ministry and MNRE have done is to articulate with a clear vision for 100,000 MW of solar installations by 2022. For any business to succeed, one needs clear demand visibility and how the solar sector will span out. Also the ministry has clearly outlined its vision for renewable energy and how they plan to increase its share in the energy mix of the country. PM Narendra Modi has outlined his commitment to achieve 24/7 power for all by the end of the decade. This gives immense measure of confidence and great deal of optimism on progress of both renewable and traditional power sectors. Moser Baer and solar Moser Baer Solar is one of the earlier entrants with big focus on solar way back in 2007-08 and continues to look at becoming a leader in this sector in India as a manufacturer of solar PV cells and modules and EPC. Its vision is to deliver clean

power to the needy and over 250 million people untouched by the benefit of power so far. Technological advancement It is important to have good cell efficiency and module wattage. Since technology for 240 W or 260 W is the same, Moser Baer feels this should not come in the way of solaristion of India. It is like having new models of cell phones being released regularly but without disturbing any major function or utility delivered to the customers. Higher wattage is always welcome but that will not come in the way of progress. The industry needs to look for new breakthrough technologies which will substantially change the efficiency of solar cells. Moser Baer & ‘Make in India’ Reiterating its commitment to ‘Make in India’ campaign, Moser Baer Solar manufacturing arm recently commenced operations of its upgraded solar cell manufacturing line. This upgraded cell line operations will allow Moser Baer to participate and supply to DCR projects. The solar manufacturing unit of Moser Baer has been recognised with various certifications including 5-Star Rating TUV Rheinland, JET & JIS (Japan), MCS (UK), CEC (Australia), ITCOL (Bangladesh) and DGS&D (India) for processes adopted in manufacturing of PV modules. fEBRUARY 2015

Interview

Waaree brings the power of world-class technology Waaree Group has the largest module manufacturing capacity of 250 MW in India. The company provides one of the core components of solar power. In an exclusive interview with EPR, Hitesh Doshi discusses about policies and trends that can push solar generation.

“Waaree is currently present in the value chain from module manufacturing to being an independent power producer,” says Hitesh Doshi, CMD, Waaree Group

Govt intiatives Addressing gap in power supply and demand Many steps are being taken by power ministry to address the gap in power supply and demand in India — increasing the installation goal to 100 GW by 2022, announcement to set up ultra-mega solar plants and development of solar parks. The ministry is on track to release fresh bids for procuring 3,000 MW of solar power which would be pooled with grid power. Furthermore, CERC in its circular has revised the REC prices, and MNRE has almost withdrawn the subsidy programme for roof top installations which is a step in right direction. Both these measures are going to push solar generation. Waaree in solar power Waaree is currently present in the value chain from module manufacturing to being an independent power producer. With the largest module manufacturing capacity of 250 MW in India, Waaree provides one of the core components of solar power. It also plays the role of a knowledge partner by helping investors identify projects under various schemes. Waaree helps them with bidding for those projects. It has been in solar business from 2007 and a good understanding of how projects are to be bid which makes financial sense. The company shares this knowledge when it gets into pre-bid alliance. Mission ‘100 smart cities’ This is a very forward looking initiative to develop cities and help usher in growth and increase employment opportunities. Smart cities will intelligently use resources and should focus on solar energy as an option.

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Waaree is creating cities right from scratch so the company has a chance to do it right. Solar is non-polluting and modular. These two features make it a right fit for smart cities. Waaree will look at partnership with smart developers and provide solutions which are customised for these smart cities. Technological advancement Waaree is always on lookout for cuttingedge products and new developments. A lot of research and development is happening outside India. Rather than inventing the wheel again, Waaree tries to get those technologies here by technical collaboration. The company had recently tied up with GTAT for its Merlin module technology which would help increase the efficiency and more robust modules. Waaree has also tied up with IIT Mumbai. Its in-house R&D and engineering team work on innovation in system designs to increase the yield and reliability. Achieving energy from renewable sources With the integration of coal, power and renewable energy under him, Power Minister Piyush Goyal has been able to take some quick decisions. In India, the ministry has to fix two areas: power generation and distribution infrastructure. The industry has already seen bidding of 2 GW of solar projects in India. Then there are the 25 UMPPs which have been announced last year and the nation has a target of 100 GW of solar power by 2022. In order to ensure 24/7 power supply, an investment of ` 3 lakh crore to develop power transmission lines across the country has been announced. Net metering is being implemented in various states which will give a definite boost to the rooftop solar segment. Electrical & Power Review

Interview

Enriching solar PV power in every way Within a very short time, Enrich Energy has successfully position itself as a respectable name associated with solar PV power projects. In an interview with EPR, Pradeep Patil talks about solar PV market and how they are going add value to this industry.

â&#x20AC;&#x153;We have already established ourselves as one of the pioneers in providing turnkey solar services,â&#x20AC;? says Mr. Pradeep Patil Head - Business Development Enrich Energy Pvt. Ltd.

Electrical & Power Review

Please brief us on the solutions and services you offer. We provide turnkey solar project solutions, right from concept-to-commissioning of solar PV power projects, including land identification, acquiring all approvals required for the project from various government offices and nodal agencies, design, engineering, procurement, installation and commissioning of the project and further operation and maintenance for lifetime of the project. We also offer customised EPC services for ground-mount and rooftop solar PV projects. Enrich, through its associate companies, also provides value-added services such as REC consultancy and facilitates in power sale arrangements. Enrich Energy has achieved tremendous success within a very short span of time. How did it really happen? We have devised well-proven, costeffective and efficient business models for corporate, high net-worth individuals and firms, and small investors, based on our unique solutions for Indian solar industry, comprising of comprehensive turnkey solar PV solutions, EPC solutions and rooftop solutions. Enrich Energy introduced an innovative method for development of solar PV power projects, through setting up of solar parks. Our solar parks are first-of-their-kind in India, which provide all required services under one roof. Getting all approvals for the solar park is easier because of large capacity, which is beneficial for small investors looking for smaller project capacities. This gives Enrich a unique advantage over its contenders.

What are your major achievements in the solar sector? Enrich Energy has established itself as the first in India to develop a private solar park. Our innovative concepts of developing solar projects led us to become the first Indian solar power company to be awarded the prestigious Global Green Award 2014, amidst stiff competition from over 75 countries across five continents. We have also bagged a series of prestigious awards on national and international level for our outstanding contributions to solar sector like Bharat Udyog Samman Puraskar 2014, Asia Pacific Achievers Award 2014, Udyog Rattan Award & Excellence Award 2014, India Leadership Award for Industrial Development 2014, BIZZ 2014 Award and Leading SMEs of India 2014 Award. As the government plans to set up 100 smart cities across the country, what sort of role you foresee for the solar power sector? The solar industry is expected to prosper under the new government. The development of 100 smart cities will attract huge foreign direct investments and the industrial sector will flourish. The main hurdle will be provision of uninterrupted power for the cities. With a disciplinary visionto reduce GHG emissions, aim of the government will be to promote renewable energy projects. The best option is solar power which is abundantly available and the power plant can be installed in the vicinity of these smart cities. Hence, we expect to see animpetus for development of large-scale solar power projects in the upcoming years. What are your long- and short-term strategies? We currently have our presence mainly in Maharashtra, Telangana, Karnataka and Andhra Pradesh. We plan to have a pan-India presence in the near future. Enrich Energy has already established itself as one of the pioneers in providing turnkey solar services and is striving to maintain our pace and become the industry leader. fEBRUARY 2015

Power Brand

DEIF’s solar solutions: a boon to power sector DEIF Automatic Solar Controller (ASC) enables to share the load between solar PV cell and diesel/gas genset with maximum solar penetration, thus results in maximised savings even during utility failure DEIF ASC

Solar Power – The need of the hour Across the world, the need to make the energy portfolio environment friendly is a pressing need. Among the renewable sources, solar power is gaining momentum in India with the push given by government and the abundant solar potential in India. The increasing demand is driving down the cost of solar energy which is attracting more and more investment in this sector.

to have efficient controls that will enable solar penetration to maximum possible extent including the possibility of exporting the excess power back to the grid. Challenge with solar In a contemporary system, solar power can only be utilised as long as the utility supply is available. In the absence of utility, solar power can no longer deliver the power and the diesel generators come in to deliver the backup power. The Solar systems are not geared up to supply power along with the diesel or

While the investment and increasing of solar share in the energy sources is fully justified, it is also equally important

gas genset as the load sharing between the two groups is a challenge. This leads to burning the fuel (diesel/gas) for the genset to take the entire load for the duration for which the utility is absent, in spite of solar power source being available. DEIF’s answer to the challenge DEIF has come up with an innovative solution to this challenge. DEIF introduces the Automatic Solar Controller (ASC), a solution that provides integrated solution for systems with utility, diesel and solar power source.

Display mains

Mains

Busbar

Mains breaker Display 1

Display 2

Display 3

Display 4

CANbus Busbar Generator breaker (GB 1)

Diesel genset 1

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Generator breaker (GB 2)

Generator breaker (GB 3)

Diesel genset 2

Inverter breaker (GB 4)

Diesel genset 3

Automatic Solar Controller, ASC

Solar inverter

Electrical & Power Review

Power Brand The system provides an interface between the diesel/gas genset and solar, with or without presence of utility power - a solution that enables you to share the load between solar PV cell and diesel/gas genset with maximum solar penetration, thus resulting in maximised savings even during utility failure. DEIF solutions being cost-effective balance your economy and conserve the environment as they are highly efficient. A solar system consists of series of PV cells connected to their respective inverters. DEIF’s solar controller is connected to the master inverter of the group of inverters and interconnected among utility and genset controllers through CAN bus communication. DEIF’s solar controller serves as an interface between solar source and the diesel genset controllers/ utility power, namely Advanced Genset Controllers (AGC), over the CAN bus to adjust power output to meet the load requirement with solar system taking the maximum load share. When the

utility fails, genset start up to provide the reference and provide minimum load that will let it run efficiently and let the solar meet the rest of the demand. If the solar power output decreases due to bad sunlight, the deficit will be met by diesel/gas genset through the intelligent interface, thus ensuring reliable supply of power in all conditions. If the export of power from Solar is not demanded then the Advanced Solar Controller will restrict the solar generation to the desired limit. How much can you save? On an average, considering power loss of up to 20 hours per week implies that in a year you can have almost 1,000 hours of lack of utility power. Considering that the diesel consumption normally is of 125 litres per hour and assuming 1.5 $/ litre as cost of diesel, for 1,000 hours of no utility power, $ 187.5 per hour is the cost for running a diesel genset for one hour. For 1,000 hours you would spend $ 1,87,500 and for running two gensets,

the total spending will be $ 3,75,000 on fuel cost alone. In addition, the cost for handling the fuel, managing resources, maintenance of genset, gas emissions, and environmental setbacks add to the overheads. DEIF’s solar solution enables to use solar power even in the absence of utility with high solar penetration. For example, with a 60 per cent solar penetration one can run just one genset and save on fuel cost of the other in the period of utility failure which implies a saving of $ 1,87,500. Using solar for the additional period of the year can make that period also further green and help maximise the project’s overall return on investment. DEIF’s solar solution can be a boon to India’s evolving solar sector.

For more information about DEIF products and solutions, call on +91- 224245 2000 or mail at india@deif.com.

Megger PVM 210: ideal kit for solar testing The Megger PVM210 provides the solar or photovoltaic engineer a compact, pocket size instrument that is easy to use. It is a pocket size instrument that has both solar detector and meter combined in one unit that permits single handed use, ideal for working at height and on sloping roofs. The unit has a 3¾ digit display and a maximum range of 1,999 W/m². A hold function allows easy measurements of solar power. Single handed operation is possible because the solar detector and meter being housed in one neat unit. This feature is ideal when using the instrument on a sloping roof or at the top of a ladder.

Megger PVM 210

Electrical & Power Review

With the easy to read display and measurement hold feature the meter gives fast, accurate readings of solar power for

initially choosing optimum position for the photovoltaic panel. In addition the meter can provide the vital measurement for the calculation of short circuit current in conjunction with a suitable ammeter to verify the stated short circuit current provided by the manufacturer of the panel. In addition to W/m² measurements, a selectable BTU (British Thermal Unit) measurement range is also featured. To prolong battery life the PVM210 has an auto power off. On the rear of the meter is a universal camera thread that allows mounting for precise readings if required. A protective pouch is included with each instrument.

For further details visit www.megger. com or mail to india.sales@megger.com fEBRUARY 2015

Event

Infineon’s influence on IMaRC 2014 Infineon drew appreciations with the demonstration of its 24 GHz radar transceiver for industrial and automotive applications at the recently held International Microwave and RF Conference

Infineon Technologies, Germany’s leading semiconductor company, aims to enhance lives while protecting the environment through its innovative semiconductor and system solutions, focussing on energy efficiency, mobility and security. But how many of us know that the company also has more than 60 years of experience in developing RF products? Not only that, Infineon is one of the market leaders in this segment with high performance, yet cost-effective products going into myriad applications. Recently, IMaRC 2014 (International Microwave and RF Conference) concluded in Bangalore, the Silicon Valley of India at Hotel Taj Vivanta. This is a premier annual event in India for technologists involved in all aspects of microwave theory and practice. The very first IMaRC was held in New Delhi in December of 2013. The full program included technical paper presentations, workshops, tutorials and a range of social events along with a commercial exhibition. In its debut appearance in the 2nd year of the event, Infineon Technologies participated with a booth at the exhibition area, running in parallel to the conference sessions. A complete team of technical experts and product marketing professionals from India, Singapore, Germany and USA attended the event for faceto-face dialogues with the customers at the booth. In addition, the company’s formidable presence dominated the exhibition area, as visitors from all spheres — PSUs, research labs, high-ranking government officials, professors, PhD scholars and post graduates — flocked the booth to either get a glimpse of the demos displayed, or to get to know more about Infineon solutions. It was heartening to see the curiosity and enthusiasm among the student community. They got themselves thoroughly involved in discussions with its technical experts and checking how their research in this space can be leveraged into the products.

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Electrical & Power Review

event

Curious visitors getting their queries answered through the technical experts from USA and Germany

Display of future technologies are much appreciated at such shows, and so was the case with Infineon’s demonstration of 24 GHz radar transceiver for industrial and automotive applications and millimetre wave backhaul transceiver ICs. 24 GHz is an unlicensed ISM band in most parts of the world and the radar IC finds its use in numerous applications like intruder alarms, street lighting, door openers, tank level measurements and automotive short range radar for blind spot detection.

Visitors engaged in deep discussions with Infineon team from India and Singapore

The event was a three-day affair, and watching a lot of visitors coming back to the booth for further questions and clarifications was indeed a pleasant surprise. An array of products and demos were displayed, and some of them made their maiden appearance in the country. Demo boards of Infineon’s highly robust and high-performance RF LDMOS transistors came in handy for the customers to get a feel of the small form factors that can be achieved with stateof-the-art devices even for an amplifier with output power as high as 1 kW. They also got an understanding of Infineon’s approach towards optimal circuit design. Infineon’s RF LDMOS carries a proud heritage with satisfied customers all over the world, comprising various markets including telecom, radar and avionics. Electrical & Power Review

The mm-wave ICs include single chip transceivers for 60, 70 and 80GHz bands (V- and E-bands). With every growing demand for video and data services with the onslaught of LTE, there is high demand on the capacity of base stations. The solution is high-speed wireless backhaul connectivity, which can be achieved only at aforementioned bands due to the abundant bandwidth availability which can offer more than 1 GBPS wireless data rate. Infineon had set out to generate awareness and position itself as a complete provider of Microwave and RF solutions. But looking at the audience reaction and feeling their pulse, it felt that the company has achieved a lot more. For more details on Infineon Technologies, mail at Archita.Deb@infineon.com or visit www.infineon.com Contributed by— Archita Deb, Manager, MarCom, Infineon Technologies, India Deepak Bachu, Director, RF Horizon (Infineon Design House Partner)

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Event

ADVERTISERS INDEX Advance Cooling Towers Pvt Ltd............................................5

Megger (India) Pvt. Ltd........................................................IBC

Anchor Electricals Pvt. Ltd..............................................13, 31

MTU India Private Limited .................................................... 11

Deif India Pvt. Ltd ...................................................................9

OBO Bettermann India Pvt. Ltd.............................................15

ElectroMech Material Handling Systems (India) Pvt. Ltd...... 23

Precision Wires India Ltd ......................................................33

Indian Oil Corporation Ltd.....................................................17

Sivananda Electronics...........................................................25

Indian Energy Exchange Limited..........................................BC

Torishima Pumps India Pvt. Ltd...............................................7

Indian Transformers & Electricals............................................3

UL India Pvt. Ltd.................................................................. IFC

BHEL appoints Veeraraghavan as Director (Engineering and R&D) T.N. Veeraraghavan has been elevated to the position of Director (Engineering and R&D) at BHEL. Prior to this, he was heading the company’s Boiler Auxiliaries Plant at Ranipet as Executive Director since July, 2011. Starting his career in BHEL as an Engineer Trainee at Bangalore in 1977, he was involved in production of control equipment and engineering of controls for combined cycle plants. Mr Veeraraghavan was instrumental in setting up facilities for manufacturing and testing of Electronic Automation Systems for steam turbines at Bengaluru. He was also involved in establishing the manufacturing and testing facilities at Bangalore for speedtronic Mark-IV controls for gas turbines.

Harshavardhan becomes CEO of Philips Lighting Solutions South Asia Philips announced the appointment of Harshavardhan Chitale as CEO of Philips Lighting solutions, South Asia. In his new role, Harsh will be based in Gurgaon and will be responsible for driving and building the Lighting Solutions business for Philips in India. He will report to the Market Group Leader, Lighting Solutions, Philips Growth Markets. Harsh brings with him extensive experience of leading successful organisations in the services and solutions space. He joins from HCL Infosystems, where he was the MD and CEO, leading a multiple set of businesses including IT Products, solutions & services and distribution of IT/telecom and Consumer Electronics products. He was also a member of the team that founded HCL’s new venture in Healthcare delivery called HCL Healthcare Ltd and was a Director on the Board of that company. After graduating in Engineering from IIT- Delhi, Harsh joined the Tata Administrative Services and spent significant time with Tata Honeywell. Subsequently he moved to Honeywell Inc. as the MD and CEO of Honeywell Automation, which is Honeywell’s Public listed entity in India for the business of Automation & Control Solutions; and then to other global roles in Honeywell International. At Honeywell international, Harsh lead on a worldwide basis, Strategy, Marketing & Business Development for Honeywell process Solutions, before becoming the leader (VP and GM) of Honeywell’s Process Solution’s business for North America and South America. Harsh left Honeywell in 2010 and moved back to India as the CEO of HCL Infosystems.

fEBRUARY 2015

Electrical & Power Review

PEOPLE Azure Power appoints Diane Farrell as Director Azure Power announced the induction of Diane Farrell as the Director of the Azure Power Board. This appointment comes shortly after the company appointed Robert Kelly as the Director on Azure Power Board in early December. “Reinforcing Azure Power’s leadership in the Indian solar Industry, Diane’s appointment will help in strengthening Azure Power’s policy making, advocacy and government relations expertise,” the company said. Currently, Diane Farrell is also serving as the Acting President at U.S.-India Business Council (USIBC) after being appointed as the Executive Vice President in July 2011. During her tenure as Executive VP, she led business advocacy and membership service for Financial Services, Real Estate, and Infrastructure Development. Prior to USIBC, she served on the Board of Directors at the Export Import Bank of the United States (U.S. Ex-Im Bank), where she was responsible for voting on transactions exceeding $10 million as well as imparting expertise on significant policy matters.

Dassault Systemes appoints Gian Paolo Bassi CEO of SOLIDWORKS Dassault Systèmes, the 3DEXPERIENCE company, announced that Gian Paolo Bassi has been appointed Chief Executive Officer of its 3D design software brand SOLIDWORKS. Bassi will spearhead the development of SOLIDWORKS’ future product and technology strategies designed for the desktop and the cloud and the continued collaboration with the brand’s user community. He replaces Bertrand Sicot, who is promoted Vice President Sales of Dassault Systèmes’ Value Solutions sales channel. Bassi has been instrumental in the growth of SOLIDWORKS since joining Dassault Systèmes in 2011 as SOLIDWORKS Vice President Research and Development. He led the development of the brand’s cloud applications, SOLIDWORKS Mechanical Conceptual and SOLIDWORKS Industrial Conceptual, to provide users with an instinctive powerful 3D modelling environment with online data storage and social collaboration on Dassault Systèmes’ 3DEXPERIENCE platform.

Electrical & Power Review

fEBRUARY 2015

Trade Zone

t o psh

a n S et

k r a M

IEX & PXIL Price and Volume Day Ahead Market-Decâ&#x20AC;&#x2122;14 Delivery day

"IEX Avg MCP (Rs./kWh)"

"PXIL Avg MCP (Rs./kWh)"

"IEX MCV (MWh)"

"PXIL MCV (MWh)"

Delivery day

"IEX Avg MCP (Rs./kWh)"

"PXIL Avg MCP (Rs./kWh)"

"IEX MCV (MWh)"

"PXIL MCV (MWh)"

1-Dec-14

3.39

2.70

58,440

376

16-Dec-14

2.79

3.07

63,726

510

2.74

2.83

67,099

510

2-Dec-14

3.43

3.23

58,956

285

17-Dec-14

3-Dec-14

3.23

2.85

63,353

596

18-Dec-14

2.93

2.82

68,739

1,038

4-Dec-14

3.44

2.90

61,779

419

19-Dec-14

2.83

2.75

77,131

1,563

3.33

2.73

72,709

687

5-Dec-14

3.08

3.11

64,932

2,285

20-Dec-14

6-Dec-14

3.12

2.94

63,092

1,901

21-Dec-14

2.96

3.02

73,793

1,182

3.38

3.04

74,231

850

7-Dec-14

2.78

2.66

57,575

1,349

22-Dec-14

8-Dec-14

2.90

2.80

56,369

746

23-Dec-14

3.50

3.11

75,379

1,282

9-Dec-14

3.07

2.61

62,414

909

24-Dec-14

3.51

3.07

82,533

1,503

10-Dec-14

3.11

2.91

66,320

900

25-Dec-14

3.45

3.07

78,935

1,475

11-Dec-14

3.29

3.12

73,851

832

26-Dec-14

3.69

2.87

76,003

1,582

12-Dec-14

3.24

3.25

76,698

838

27-Dec-14

3.70

3.19

74,876

1,199

28-Dec-14

3.36

3.01

79,781

1,058

29-Dec-14

3.65

3.24

76,381

1,297

30-Dec-14

3.63

3.09

79,821

1,018

31-Dec-14

3.57

3.28

79,914

691

13-Dec-14

3.07

2.93

69,766

899

14-Dec-14

2.42

2.74

66,842

915

15-Dec-14

2.89

2.79

72,118

552

IEX & PXIL Price & Volume in Day Ahead Market-Dec'14 IEX & PXIL Price & Volume in Day Ahead Market-Dec'14 IEX MCV PXIL MCV IEX Avg MCP PXIL Avg MCP

90,000

(MWh) IEX MCV (MWh)

90,000 80,000

(MWh) PXIL MCV (MWh)

(Rs./kWh) IEX Avg MCP (Rs./kWh)

4.00

(Rs./kWh) PXIL Avg MCP (Rs./kWh)

4.00 3.50 3.50 3.00

70,000 60,000

3.00 2.50

60,000 50,000

2.50 2.00

50,000 40,000

2.00 1.50

40,000 30,000

1.50 1.00

30,000 20,000 20,000 10,000

1.00 0.50

10,000 0

0.50 0.00

01-Dec-14

4-Dec-14

7-Dec-14

10-Dec-14

13-Dec-14

16-Dec-14

19-Dec-14

22-Dec-14

25-Dec-14

28-Dec-14

31-Dec-140.00

1-Dec-14

4-Dec-14

7-Dec-14

10-Dec-14

13-Dec-14

16-Dec-14

19-Dec-14

22-Dec-14

25-Dec-14

28-Dec-14

31-Dec-14

Average Daily MCV : IEX- 70,115 MWH | PXI- 1008 MWh Average Daily MCV : IEX- 70,115 MWH | PXI- 1008 MWh

february 2015

| |

Average Daily MCP : IEX- 3.21 kWH | PXI- 2.96 kWh Average Daily MCP : IEX- 3.21 kWH | PXI- 2.96 kWh

MCPMCP (Rs/kWh) (Rs/kWh)

Cleared Volume (MWh) Cleared Volume (MWh)

80,000 70,000

Source: IEX

Electrical & Power Review

Trade Zone

IEX Non-solar REC Trade Details

IEX Non Solar REC Trade Details

800

1,000

1,500

100 10

8,994

1,500

4,766,941

36,411

1,500Jan'14

93,100

4,946,763

93,100

1,500

177,960

5,313,974

177,960

1,500

400

1,200

400

0 Jan'14

Feb'14

Mar'14

Apr'14

May'14

June'14

July'14

June'14

Aug'14

Sep'14

July'14

Oct'14

Aug'14

Nov'14

Sep'14

Dec'14

Oct'14

Nov'14

Dec'14

235,972

1,500

1,600

800

241,063

100

177,960 5,313,974 177,960

78,955

4,946,763

Dec'14

1,200

10,000

1,500

1,000

93,100

Nov'14

1,600

Cleared Price (Rs/REC)

36,411

93,100

Oct'14

4,766,941

4,342,307

177,960 36,411 5,313,974 177,960

8,994

4,946,763 93,100 36,411

Sep'14

4,342,307

15,736

4,766,941

3,949,016

36,411

15,736

36,411

Aug'14

8,994

13,609

3,949,016 4,342,307

4,241,244

15,736

13,609

8,99415,736

July'14

10,000

8,994

50,743

4,241,244

3,166,863

3,949,016

50,743

13,609

June'14

100,000

15,736

3,615,695

Cleared Price (Rs/REC)

15,736

16,142

1,000,000

4,241,244

May'14

16,798 100,000 1,500 16,142 1,500

13,609 13,609

2,924,976

13,609

16,798

50,743 3,166,863 3,166,863 50,743

Apr'14

Cleared Volume

50,743

361,842 1,500 10,000,000 1,000,000

Cleared Volume

50,743

2,893,896

3,615,695 3,615,695

361,842

Sale Bid

16,142

Mar'14

Buy Bid

16,142 16,142

176,107 1,500 10,000,000

16,142

2,015,377

2,924,976 16,7982,924,976

176,107

16,798

Feb'14

16,798

1,500

16,798

78,955

361,842

2,557,666

361,842 2,893,896 361,842

78,955

Jan'14

Sale Bid

IEX Non Solar REC Trade Details

93,100

Buy Bid

8,994

Cleared Price (Rs/ REC) 176,107 361,842 2,015,377 176,107 2,893,896

Cleared Volume

176,107

Sale Bid

78,955 2,015,377 2,557,666 78,955 176,107

Buy Bid

2,557,666

Month

IEX Solar REC Trade Details

9,300

232

187,483

232

9,300Jan'14

245

241,063

245

9,300

Electrical & Power Review

3,000

366

245

366

232

366

232

245

6,000

9,0 366

187,483

235,972

241,063

161,260

187,483

150,091

179,581

147,026

161,260150,091

179,581

147,026

178,986178,986

147,937

12,

12,000

Cleared Price (Rs/REC)

264

Nov'14

161,260

245

Oct'14

264

10 9,300

232

Sep'14

367

232

150,091

100

367

9,300

264

Aug'14

100

264367

498

179,581

367

498

1,000

Cleared Price (Rs/REC)

367

July'14

9,300

498

636

Cleared Price (Rs/REC)

9,000 498

147,026

636 498

636

June'14

9,300

1,000

636

469

Cleared Volume

636

178,986

469

May'14

10,000

469 469

823

100,000

823

147,937

5,517

823

9,300

10,000 9,300

Cleared Volume

Sale Bid

823

7,211

823

131,759

1,000,000

823

7,211

100,000

Sale Bid

IEX Solar REC Trade Details

Buy Bid 131,759

Mar'14

9,300

7,211

7,816

7,211

114,539

7,211

7,816

131,759

Feb'14

114,539 7,211

5,517 1,000,0009,300

7,816

88,895

7,816

5,517

Buy Bid 114,539

Jan'14

Apr'14

IEX Solar REC Trade Details

Cleared Price (Rs/ REC)

7,816

Cleared Volume

5,517 7,816 88,895 5,517

Sale Bid

88,895

Buy Bid

5,517

Month

6,0

3,0

0 Jan'14

Feb'14

Mar'14

Apr'14

May'14

June'14

July'14

June'14

Aug'14

July'14

Sep'14

Aug'14

Oct'14

Nov'14

Sep'14

Dec'14

Oct'14

february 2015

Nov'14

Dec'14

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