IEEMA Journal - April 2015

Page 1

the leading electrical & electronics monthly

VOLUME 6

ISSUE NO. 8

APRIL 2015

ISSN 0970-2946

Rs. 50/-

Cover Story Union Budget 2015-2016

Face2Face Mr Aaditya Dhoot Chairman OC ELECRAMA 2016

SME Talk Mr Ramesh Sobhani, Braco Electricals Pvt. Ltd.

Appointments

ge n ra tio ry e v a t co er us l a n d 8) i ec Ge t In 5, 4 p S er n 4 w me , 42, o P uip . 38 s Eq (Pg


R. N. I. No. MAHENG/2009/29760 Published and Posted on 1st of every month at Mumbai Patrika Channel Sorting Office, Mumbai 400 001. License to post without prepayment WPP Licence No. MR/Tech/WPP-199/West/2015 Postal Regd. No. MCW/120/2015-2017

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April


From the President’s Desk

Dear Friends, The tumult about the much awaited Union Budget 2015-16 is over! It’s plug-and-play time on a green grass for the power sector. Five projects, higher pollution tax on coal and a huge shove to renewable energy sources mark the government’s formula for powering financial augmentation. The provision for power in this budget fits the government’s promise to guarantee 24x7 power supply in the next few years. The five new ultramega power projects and the target of 1,75,000 MW renewable energy capacity by 2022 would help India shine at the global platform. All these measures have been taken keeping the ‘Make in India’ initiative and ease of doing business in the country, which will go a long way in encouraging domestic manufacturing. Also a convergence of two programs, ‘Make in India’ and ‘Skill India’, is a perfect recipe for success as both programs can benefit from one another. With ‘Skill India’ providing the required skill labour and ‘Make in India’ providing the infrastructure and the opportunity for this skilled labour to realise its potential. The Budget’s special emphasis on encouraging entrepreneurs and SME sector by providing funds will foster the culture of innovation and provide a platform to build the next big global companies from India many of which will leverage innovative ideas and technology for growth. Further, I am delighted to share that the online booking process for ELECRAMA 2016 which we started this year has kicked off well and we have received tremendous response from our exhibitors and the electrical industry. On the first day itself nearly 40 percent space of the exhibition was booked. The countdown has already begun for our 5th Eastern Region Summit - ‘Konnect North East & Beyond’ at Guwahati, where we will focus on ‘Capacity Building for Power Sector in NE India’ in terms of the seminar, besides an interactive exhibition spread over 20,000 sq. ft. I urge you to come and witness the power potential in the North Eastern region! Best wishes,

Vishnu Agarwal

8

April July 2015 2014


“Samvaad...

Dear Members,

The ambitious vision of our Leadership for ‘Make in India’ and clarion call to industry to manufacture products with “zero defect” and no environmental effect is need of the hour. The “Make in India” campaign will see vital changes in Policy to make Indian Industry more competitive and also attract FDI in sectors where it is needed along with technology. IEEMA is actively working with the Ministry of Power and Department of Heavy Industry on this subject and is committed to this campaign as an active partner with the Government to realise this dream. IEEMA has collaborated with the Ministry of Commerce to ‘Brand India Engineering’, on a pilot basis in select products in high potential markets to enhance and exploit the export potential. A study to integrate Smart Electricity with Smart Cities is already underway. We are strengthening our membership outreach programs in select States under the umbrella of ‘emPOWERing Make In India’. This will be a key forum to interact with Energy Secrataries of State government and the CMDs of Utilities. The first program in this series will be at Chandigarh on 6th April. While we go through the process of dialogue to influence Policy we need active involvement and valuable inputs from the membership. I will look forward to your communication on various subjects of contemporary importance and of direct value to our Industry, as also challenges which need to be addressed.

Sunil Misra

July 2014 April 2015

9


Contents

the leading electrical & electronics monthly

Volume 6 Issue No. 8 April 2015 CIN U99999MH970GAP014629 Official Organ of Indian Electrical & Electronics Manufacturers’ Association Member: Audit Bureau of Circulation & The Indian Newspaper Society

Contents the leading electrical & electronics monthly

VOLUME 6

ISSUE NO. 8

APRIL 2015

ISSN 0970-2946

8

35

From the President’s Desk

Appointments This new space in the IEEMA Journal will incorporate recent important appointments in the power and related sectors.

Rs. 50/-

9 Samvaad...

22

CoverStory

38

Cover Story

In Depth Advanced Ultra Super Critical Technology for Coal based Power Plants

Cover Story Union Budget 2015-2016

Outlay of ` 61,404 crores to power sector Setting up of 5 new UMPP each of 4000 MW Renewable energy capacity of 1,75,000 MW by 2020 Introduction of GST from April 2016

Face2Face Mr Aaditya Dhoot Chairman Organising Committee ELECRAMA 2016

Interview Mr Rohan Mehta, Prime Meiden Ltd.

Appointments / Vacancies

n on tio try les ra s tic ne du Ar r Ge t In , 48) e en , 45 w m Po uip 8, 42 Eq (3

ndian electrical equipment industry welcomed the Union Budget 2015-16 for numerous encouraging announcements which includes roadmap for accelerating growth, enhancing investments and passing out benefits to trade and industry. Unlike previous year this time the Budget has been presented in an economic environment which is far more positive. The Government has shown its commitment towards the principle of ‘Ease of doing business’, which is noteworthy.

I

- IEEMA Power Generation Division

7.4 per cent in 2014-15. Growth in 2015-16 is expected to remain between 8 and 8.5 per cent, aiming for a double-digit growth rate in near future. The ongoing revival is remarkable against the fact that it happened despite a highly tentative global economic conditions and a below-par domestic agricultural season.

Indian electrical equipment industry welcomed the Union Budget 2015-16 for numerous encouraging announcements which includes roadmap for accelerating growth, enhancing investments and passing out benefits to trade and industry.

Macroeconomic Scenario

X Current Account Deficit of 1.9% of GDP in first-

half of 2014-15

X GDP projected to be 7.4% in 2014-15, aiming

for a double digit growth

X Target to bring down fiscal deficit to 3% by

2017-18

In the recent past the economy faced testing times with issues like lower growth, high level of inflation and widening current account deficit; escalated by unsupportive external environment. The growth is back, with its desirable concomitants of mild inflation and manageable current account deficit (1.9 per cent of GDP in the first half of 2014-15, which is expected to be below 1.3 per cent of GDP) with stable rupee and rising foreign exchange reserves (a record USD 340 billion), signaling macro-economic stability.

The growth rate of economy, which is measured by the growth in GDP, improved from 5.1 per cent in 201213 to 6.9 per cent in 2013-14 and is projected to clock

32

22

Face to Face

The government’s growth agenda has been tethered to revival of manufacturing, unleashed by the ‘Make-in India initiative, accompanied by liberalisation of foreign direct investment, a large array of investment facilitation measures and steps to improve savings.

There has been a decline in inflation of both wholesale price index and consumer price index in the recent months. The steep decline of international crude oil prices, combined with tight monetary policy of Reserve Bank of India and the Government’s commitment towards fiscal prudence may have helped the decline in inflation. The sectors that are estimated to record higher growth in 2014-15 includes; manufacturing, construction, electricity, gas, water supply, financial, real estate, professional services, public administration, defense and other services. The growth in services sector accelerated from 8 per cent in 2012-13 to 9.1 per cent in 2013-14 and as per the advance estimates of Central Statistical Office, the growth in services is increased further to 10.6 per cent in 2014-15.

April 2015

Mr Aaditya Dhoot, Joint Managing Director, IMP Powers and Chairman Organising Committee, ELECRAMA 2016 talks about the uniqueness of this event and getting the energy infrastructure ready for India’s next chapter.

42 In Depth Packaging Concepts for a Large Coal Based Power Plants - Anup K Malhotra

IEEMA Members Helpline No. 022-66605754

12

April 2015


Contents

duce the emissions from plants and fuel consumption due to depleting fossil fuel resources.

56 SME Talks Braco Electricals Pvt. Ltd

58 IEEMA Interaction

60 Interview Mr Rohan Mehta, Managing Director, Prime Meiden Ltd

45 In Focus Taxation Issues on the Power Generation Equipment Industry - Mr GS Sharma

62 IEEMA Activities

66-67 Power Scenario Global Scenario Indian Scenario

68-69 IEEMA Database Around 65 statutory and executive clearances are required for setting up thermal mega power project while the indirect taxation structure adds to the cost and create complication

Basic Prices & Indices Production Statistics

71 ERDA News

73

54 Tech Space Optimization of the Power Cycle for Improved Operating Efficiency - Mr Mahendra S Mehra

CPRI News

75 Seminars & Fairs

78 Product Showcase

In the past few years, there has been tremendous pressure from governments and other organizations around the globe to re-

14

April 2015


Contents

80

86

International News

Corporate News

• Toshiba to supply steam turbines and generators for Vietnam coal plant • GE signs major contract with Egypt to deliver 2.6 GW of power

• ABB wins $900 million order associated with NordLink • BHEL commissions 660 MW of Bihar thermal power project

93

82

Tech Space

National News • Electrical Equipment Grows by 11.47 % in Q3: IEEMA • Smart Cities project likely to be rolled out next month

Super capacitors also named as ultra capacitors, are the latest family members in the capacitor group. Coin-shaped tiny super capacitors are used in billions in portable electronic equipment like mobile phones, tablets, medical equipments and so on

96

Super capacitors - Mr DM Tagare

Index to Advertisers

97

Editorial Board Advisory Committee Founder Chairman Mr R G Keswani

Chairman Mr Vishnu Agarwal

Members Mr Babu Babel Mr Sunil Misra Mr J Pande Mr Narayan Sethuramon Mr Mustafa Wajid

Content Co-ordinator Ms Shalini Singh

Advertisements Incharge Ms Vidya Chikhale

Circulation Incharge Ms Chitra Tamhankar

Statistics & Data Incharge Mr Ninad Ranade Designed by Reflections Processed at India Printing Works Edited, Printed and published by Mr Sunil Kumar Misra on behalf of Indian Electrical and Electronics Manufacturers’ Association, and Printed at India Printing Works, India Printing House, 42, G. D. Ambekar Road, Wadala, Mumbai 400 031 and Published at 501, Kakad Chambers, 132, Dr. Annie Besant Road, Worli, Mumbai 400 018. Website: www.ieema.org

16

Annual Subscription: Inland: ` 300/Foreign: (Airmail) US $ 120/Single Copy ` 50/Articles: Technical data presented and views expressed by authors of articles are their own and IEEMA does not assume any responsibility for the same. IEEMA Journal owns copyright for original articles published in IEEMA Journal. Advertisements: Artworks accepted upto 15th day of previous month of issue. Advertisements published in IEEMA Journal are on good faith basis. Advertisers are solely responsible for contents/ violation of any law in the contents / actions arising from contents. IEEMA Journal does not take responsibility for claims made by advertisers regarding products, ownership, trademarks, logos, patents and other such things. Subscribers can write to the Editor for an extra copy if issue is not received by 15th day of the month. Enquiries & Correspondence: Editor, IEEMA Journal, Regd Office - Mumbai 501, Kakad Chambers, 132, Dr A Besant Road, Worli, Mumbai 400 018. Phones: +91(0) 22 24930532 / 6528 Fax: +91(0) 22 2493 2705 Email: mumbai@ieema.org Corporate Office - New Delhi Rishyamook Building, First floor, 85 A, Panchkuian Road, New Delhi 110001. Phones: +91 (0) 11-23363013, 14, 16 Fax: +91 (0) 11-23363015 Email: delhi@ieema.org Branch Office - Bengaluru 204, Swiss Complex, 33, Race Course Road, Bengaluru 560 001. Phones: +91 (0) 80 2220 1316 / 1318 Fax: +91 (0) 80 220 1317 Email: bangalore@ieema.org

Branch Office - Kolkata 503 A, Oswal Chambers, 2, Church Lane, Kolkata 700 001. Phones: +91 (0) 33 2213 1326 Fax: +91 (0) 33 2213 1326 Email: kolkata@ieema.org Representatives: Guwahati (Assam) - Nilankha Chaliha Email: nilankha.chaliha@ieema.org Mobile: +91 9706389965 Raipur (Chhattisgarh) - Rakesh Ojha Email: rakesh.ojha@ieema.org Mobile:+91 9826855666 Lucknow (U.P. and Uttarakhand) Ajuj Kumar Chaturvedi Email: anuj.chaturvedi@ieema.org Mobile: +91 9839603195 Chandigarh (Punjab & Haryana) Bharti Bisht Email: bharti.bisht@ieema.org Mobile: +91 9888208880 Jaipur (Rajasthan) Devesh Vyas Email: devesh.vyas@ieema.org Mobile: +91 8955093854 Bhubaneshwar (Odisha) Smruti Ranjan Samantaray Email: smrutiranjan.samantaray@ieema.org Mobile: +91 9437189920 Hyderabad (Andhra Pradesh) Jesse A Inaparthi Email: jesse.inaparthi@ieema.org Mobile: +91 9949235153 Srinagar (Jammu & Kashmir) Mohammad Irfan Parray Email: irfan.parray@ieema.org Mobile: +91 9858455509 Posting Date: 1st working day of the month of issue.

April 2015


CoverStory

Outlay of ` 61,404 crores to power sector Setting up of 5 new UMPP each of 4000 MW Renewable energy capacity of 1,75,000 MW by 2020 Introduction of GST from April 2016

I

ndian electrical equipment industry welcomed the Union Budget 2015-16 for numerous encouraging announcements which includes roadmap for accelerating growth, enhancing investments and passing out benefits to trade and industry. Unlike previous year this time the Budget has been presented in an economic environment which is far more positive. The Government has shown its commitment towards the principle of ‘Ease of doing business’, which is noteworthy.

Macroeconomic Scenario XX Current Account Deficit of 1.9% of GDP in first-

half of 2014-15

XX GDP projected to be 7.4% in 2014-15, aiming

for a double digit growth

XX Target to bring down fiscal deficit to 3% by

2017-18

In the recent past the economy faced testing times with issues like lower growth, high level of inflation and widening current account deficit; escalated by unsupportive external environment. The growth is back, with its desirable concomitants of mild inflation and manageable current account deficit (1.9 per cent of GDP in the first half of 2014-15, which is expected to be below 1.3 per cent of GDP) with stable rupee and rising foreign exchange reserves (a record USD 340 billion), signaling macro-economic stability. The growth rate of economy, which is measured by the growth in GDP, improved from 5.1 per cent in 201213 to 6.9 per cent in 2013-14 and is projected to clock

22

7.4 per cent in 2014-15. Growth in 2015-16 is expected to remain between 8 and 8.5 per cent, aiming for a double-digit growth rate in near future. The ongoing revival is remarkable against the fact that it happened despite a highly tentative global economic conditions and a below-par domestic agricultural season. The government’s growth agenda has been tethered to revival of manufacturing, unleashed by the ‘Make-in India initiative, accompanied by liberalisation of foreign direct investment, a large array of investment facilitation measures and steps to improve savings. There has been a decline in inflation of both wholesale price index and consumer price index in the recent months. The steep decline of international crude oil prices, combined with tight monetary policy of Reserve Bank of India and the Government’s commitment towards fiscal prudence may have helped the decline in inflation. The sectors that are estimated to record higher growth in 2014-15 includes; manufacturing, construction, electricity, gas, water supply, financial, real estate, professional services, public administration, defense and other services. The growth in services sector accelerated from 8 per cent in 2012-13 to 9.1 per cent in 2013-14 and as per the advance estimates of Central Statistical Office, the growth in services is increased further to 10.6 per cent in 2014-15.

April 2015


CoverStory

Although the revised estimates of 2014-15 shows a fiscal deficit of 4.1 per cent; the budget 2015-16 has opted for keeping a fiscal deficit target of 3.9 per cent, 3.5 per cent and 3 per cent in the next three years i.e. 2015-16, 2016-17 and 2017-18 respectively. It is remarkable that the fiscal deficit target has been kept range bound, between 3 to 4 per cent levels.

region and ` 510.48 crores for SC sub-plan). The latter mentioned umbrella programme for power sector reforms will comprise of all the existing schemes with a total outlay of ` 2,299.74 crores. Nuclear power got a total outlay of ` 9,795 crores under power sector. Hopefully, the government will take steps to ensure that the allocated funds are fully utilised.

The Budget 2015-16 is a step further in the direction of fiscal consolidation along with fiscal roadmap. However, again the above projections are largely depended on conditions like normal monsoon and agricultural production, reasonably stable prices of petroleum products and rupee stabilisation.

The Government has set a target of electrification of remaining 20,000 villages in the country by year 2020, including by off-grid solar power. Rural electrification is critical in terms of socio-economic development of rural areas. This move is expected to bring incremental infrastructure requirement for power transmission and distribution.

Allocation to Power Sector XX Outlay of ` 61,404 crores to power sector XX Target to electrify remaining 20,000 villages

by 2020 XX Setting up of 5 new ultra mega power projects,

each of 4000 MW, in ‘plug-and-play’ mode XX Additional 20% depreciation on new plant

& machinery for power generation & distribution A total outlay of ` 61,404.47 crores has been allocated to power sector. Out of which, ` 6,799.74 crores is the budgetary support for 2015-16. This is more or less the same as last year’s total outlay of ` 60,384 crores. However, the revised estimates of Budget 2014-15 stood at ` 56,442 crores, showing under ― utilisation of allocated funds. This time the entire budgetary support is under two umbrella schemes, namely, Deen Dayal Upadhyay Gram Jyoti Yogna for rural electrification & feeder separation and the umbrella programme for power sector reforms. The former will comprise components of subsidy for rural electrification under erstwhile RGGVY Scheme. The total allocation for this umbrella scheme is ` 4,500 crores (including an amount of ` 180 crores for north-eastern

The budget proposed to set up 5 new ultra mega power projects, each of 4000 MW, to be installed and operated in ‘plug-and-play’ mode, entailing investments of ` 1 lakh crores. Under the plug and play system coal blocks will be auctioned after they are granted various clearances to speed up and simplify mining and get better valuation. The minister, however, did not announce the States where these projects are proposed to be set up. The Government is considering similar plug and play mode in other infrastructure projects, such as, roads, ports, rail lines, airports etc. Time elapsed in acquiring different permits and clearances was always a major challenge in any power and infrastructure project. With this move, government has made its intent clear that it will work towards improving the ease

Source: Press Information Bureau

April 2015

23


CoverStory

Promotion of Renewable Energy and Energy Efficient Products XX Budget Outlay of ` 6,160 crores in 2015-16 XX Renewable

energy capacity 1,75,000 MW by 2020

XX Rationalisation

of duties on renewable energy equipment

addition

of

inputs

for

The Ministry of New and Renewable Energy has scaled up its target of renewable energy capacity addition to 1,75,000 MW till 2020 (comprising of 1,00,000 MW solar; 60,000 MW wind; 10,000 MW bio-mass and 5000 MW small hydro), which is noteworthy and a big positive for this sector.

of doing business in India and such legislation will have a significant positive bearing on the outlook of investors and private sectors towards power sector projects and other infrastructure sector likewise. Also the pre-clearance would play a critical role in ensuring timeliness of projects. It was also announced that Kudankulam Nuclear Power Plant Unit 2 of 1000 MW capacity will be commissioned in FY 2016. This will increase the overall installed capacity of power generation in the country. The Budget has increased clean energy cess from ` 100 per tonne to ` 200 per tonne. Doubling of clean energy cess will have a bearing on the price of power, coal and steel. This will also lead to hike in thermal power tariff indirectly (approximately 6 paisa per unit) which will be passed to discoms and then to consumers, who will end up paying more per unit of electricity. Nearly 75 per cent of power in India is generated through coal fired power plant.

This sector has got a total outlay of ` 6,160.73 crores in 2015-16 to develop and utilise new and renewable resources of energy for supplementing energy requirements of the country in an eco-friendly and sustainable manner. This is a big positive for renewable energy sector and will create confidence among the investors. The Government has already been emphasizing on renewable energy generation and the sector is looking forward to investment around USD 200 Billion. The exemption of special additional duty and reduction in excise duty from 12 per cent to 6 per cent on LED drivers and MCPCB for LED lights, fixtures

The periodicity of bank guarantee of fixed deposit to be submitted by mega power projects availing the exemption from payment of duty, increased from 36 months to 66 months. An additional depreciation at the rate of 20 per cent is allowed on new plant and machinery installed by a manufacturing unit or a unit engaged in generation and distribution of power. However, if the asset is installed after 30th September of the previous year, only 10 per cent of the additional depreciation is allowed. It is proposed to allow the remaining 10 per cent of the additional depreciation in the subsequent previous year.

24

April 2015


CoverStory

and LED lamps is a clarion call to boost domestic LED lighting and electronics industry. Further, excise duties were reduced to NIL on Pig Iron SG Grade and Ferro-silicon-Magnesium for use in the manufacture of cast components of wind operated electricity generators (subject to certification by MNRE); Solar Water Heater and System without CENVAT Credit (12.5 per cent with CENVAT Credit) and Round Copper Wire and Tin Alloys for use in the manufacture of solar PV ribbon for manufacture of solar PV cells (subject to certification by Department of Electronics and Information Technology). The basic customs duty on Active Energy Controller for use in manufacture of renewable power system inverters has been reduced to 5 per cent, subject to certification by Ministry of New and Renewable Energy.

Encouraging Domestic Manufacturing XX Reduction in corporate tax from 30% to 25%

over next four years XX Rationalisation of duties and removal of

inverted duty structure XX Focus

on Make-in-India programmes

&

Skill

India

XX Online tax registration and digitalization of

invoices and records The proposal of phased reduction of corporate tax from 30 per cent to 25 per cent (the same as China) over the next four years; starting from the next financial year, is a welcome step for the industry. However, the corporate tax burden will be higher in 2015-16 due to a 2 per cent surcharge for companies with income over ` 10 crores. This process of reduction will be accompanied by rationalisation and removal of various kinds of tax exemptions and incentives for corporate taxpayers, which incidentally account for a large number of tax disputes. Despite low operating costs, India currently has one of the highest corporate tax rates in Asia that make its’ domestic industry uncompetitive. The budget also proposes a reduction in taxes on royalty and fees for technical services from 25 per cent to 10 per cent. This is to encourage foreign companies / individuals to provide their expertise in the Indian market. In order to encourage manufacturing and Make-inIndia, the Finance Minister reduced the rates of basic customs duty on certain inputs and raw materials, so as to, minimise the impact of duty inversion and reduce the manufacturing cost. In this context the

April 2015

basic customs duty on ‘Metal Parts’ for use in the manufacture of electrical insulators and ‘EthylenePropylene-non-conjugated-Diene Rubber’; ‘Water Blocking Tape’ and ‘Mica Glass Tape’ for use in the manufacture of insulated wires and cables, was reduced from 10 per cent to 7.5 per cent. These reductions were recommended by IEEMA in its PreBudget Memorandum. The other laudable initiative towards harnessing skills was the announcement to launch a National Skills Mission, through a new Ministry of Skill Development and Entrepreneurship. The Mission will consolidate skill initiatives spread across several Ministries and allow a standardize procedures and outcomes across 31 Sector Skill Councils. Currently, less than 5 per cent of potential workforce gets formal skill training to be employable and stay employable. The Finance Minister announced that online registration for both central excise duty and service tax will be provided in two working days. Additionally, in order to cut down on red tape and paperwork, businesses will be able to issue digitally signed invoices and maintain electronic records. Further, a special fund of ` 150 crores was allocated for creation of a new innovation platform, namely Atal Innovation Mission; which will encourage research and development and promote a network of innovation hubs across the nation. It was heartening to note that the Government believes that the youth of India should be ‘job creators’ and not ‘job seekers’ and thus has introduced these steps to spur the youth.

25


CoverStory

With a view to give effect to the provisions of section 94 of Andhra Pradesh Re-Organisation Act, 2014, it is proposed to provide an additional investment allowance at the rate of 15 per cent and additional depreciation at the rate of 15 per cent to new manufacturing units set-up during the period 01.04.2015 to 31.03.2020 in notified areas of Andhra Pradesh and Telangana. All these measures have been taken keeping the ‘Make in India’ initiative and ease of doing business in the country, which will go a long way in encouraging domestic manufacturing. Also a convergence of two programs, ‘Make in India’ and ‘Skill India’, is a perfect recipe for success as both programs can benefit from one another. With ‘Skill India’ providing the required skill labour and ‘Make in India’ providing the infrastructure and the opportunity for this skilled labour to realise its potential.

Boost to Infrastructure and Funding XX Investments in infrastructure to go up by `

70,000 crores in the year 2015-16

XX Establishment of National Investment and

Infrastructure Fund

XX Multiple prior permissions to be replaced by a

pre-existing regulatory permission

XX Revisiting PPP framework XX Ports in public sector to be corporatized to

attract investments & leverage land resources

With a view to incentivise development of infrastructure, the Budget has proposed a number of welcome measures which would provide a fillip to infrastructure development and its long term financing.

The Finance Minister has increased outlays on both the roads and the gross budgetary support to the railways, by ` 14,031 crores, and ` 10,050 crores respectively. All investments in infrastructure will go up by ` 70,000 crores in the year 2015-16, over the year 2014-15 from the Centre’s Funds and resources of CAPEX of Public Sector Enterprises. This in turn is likely to improve the demand for capital goods in the country. The Government also intends to establish a National Investment and Infrastructure Fund (NIIF), and find monies to ensure an annual flow of ` 20,000 crores to it. This will enable the Trust to raise debt, and in turn, invest as equity, in infrastructure finance companies such as the IRFC and NHB. The infrastructure finance companies can then leverage this extra equity many fold. It is also proposed to permit tax free infrastructure bonds for the projects in the rail, road and irrigation sectors. The Government will revisit the Public Private Partnership (PPP) framework wherein the sovereign will be bearing the major part of the project risks. In a country where majority of the PPP projects were not perceived as ‘successful’, this measure is expected to boost private investor confidence to a large extent. Apart from plug and play mode in infrastructure projects, the Government intended to appoint an expert committee to prepare a legislation, by which the need for multiple prior permissions can be replaced with a pre-existing regulatory permission. Ports in public sector are encouraged to corporatize and become companies under the Companies Act to attract investments as well as leverage the huge land resources lying unused with them.

SME Sector XX Creation of Micro Units Development Refinance

Agency (MUDRA) Bank XX Establishment of electronic Trade Receivables

Discounting System (TReDS) The Government recognised the immense potential of small and medium enterprises and announced wide-ranging measures in the Budget for accelerating growth of this sector. Realising the difficulties of small business units in access to formal systems of credit, the budget proposed to create a Micro Units Development Refinance Agency (MUDRA) Bank, with a corpus of ` 20,000 crores, and credit guarantee corpus of ` 3,000 crores. MUDRA Bank will refinance MicroFinance Institutions through a Pradhan Mantri Mudra

26

April 2015


CoverStory

in the budget speech, it did contain important new changes in digital tax filing procedures contained within GST. The movement towards GST is evident from the fact that the Education Cess and the Secondary and Higher Education Cess were subsumed in Central Excise Duty. In effect, the general rate of central excise duty of 12.36 per cent, including the Cesses, is being rounded off to 12.5 per cent. The ad-valorem rates of excise duty lower than 12 per cent and those higher than 12 per cent with a few exceptions are not being increased.

Yojana. These measures will greatly increase the confidence of young, educated or skilled workers who will be able to aspire to become first generation entrepreneurs; existing small businesses too, will be able to expand their activities. This is a major step in encouraging MSMEs and will have positive impact on this sector. A significant part of the working capital requirement of an MSME arises due to long receivables realisation cycles. The Government is in the process of establishing an electronic Trade Receivables Discounting System (TReDS) financing of trade receivables of MSMEs, from corporate and other buyers, through multiple financiers. This is a positive move and should improve the liquidity in the MSME sector significantly.

Changes in Tax Laws XX Introduction of Goods & Services Tax from

April 1, 2016 XX Rounding-off Central Excise rate at 12.5%

subsuming Education Cess & SHE Cess XX Increase of service tax rate from 12.36% to 14%

subsuming Education Cess & SHE Cess XX Time

limit for claiming CENVAT increased from 6 months to 1 year

Credit

XX GAAR postponed till April 2017 XX Rationalisation of CENVAT Credit Rules

The Finance Minister announced in his speech that the Government is all set to introduce the Goods & Services Tax (GST) regime from April 1, 2016. The Government had tabled a bill in parliament on December 19, 2014 to change India’s burdensome indirect tax regime by introducing GST. Although a comprehensive roadmap to GST was not provided

April 2015

To facilitate a smooth transition to levy of tax on services by both the Centre and the States, it is proposed to increase the present rate of service tax plus education cesses from 12.36 per cent to a consolidated rate of 14 per cent. It is also proposed to levy Swachh Bharat Cess at a rate of 2 per cent or less on all or certain services if need arises. This Cess will be effective from a date to be notified. Resources generated from this Cess will be utilised for financing and promoting initiatives towards Swachh Bharat. Introduction of Swachh Bharat Cess will make the effective service tax rate to 16 per cent. Introduction of GST has been eagerly awaited by Trade and Industry for many years. It will add buoyancy to Indian economy by developing a common Indian market and reducing the cascading effect on the cost of goods and services. The Finance Minister also proposed to revise the specific rates of central excise duty in certain commodities. Budget postpones the implementation of General Anti-Avoidance Rules (GAAR) to April 2017, as there are certain contentious issues relating to these which need to be resolved. GAAR – a tax avoidance mitigation regulation which applies to tax treaty benefits had previously been scheduled to apply from April 2015. The Finance Minister has also stated that GAAR will not apply to investment made up to March 31, 2017 and that clears a big uncertainty for investors. Since most of the provisions of the Direct Tax Code (DTC) have already been included in the Income Tax Act and some of the left out provisions have been addressed in the present Budget; the Government finds no merit in going ahead with the DTC, as it exists today.

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CoverStory

It is proposed that donations (other than the CSR contributions made in accordance with section 135 of the Companies Act, 2013) made to Swachch Bharat Kosh (by both resident and non-resident) and Clean Ganga Fund (by resident) shall be eligible for 100% deduction under section 80G of the Income-tax Act. The education cess on income-tax at the rate of 2 per cent for fulfillment of the commitment of the Government to provide and finance universalised quality based education and 1 per cent of additional surcharge called the Secondary and Higher Education Cess’ on tax and surcharge is proposed to be continued for the financial year 2015-16 for all taxpayers. There is no change in general rate of customs duty of 10 per cent. However, the effective rate of customs duty is increased from 28.85 per cent to 29.44 per cent due to increase in effective rate of CVD (equivalent to excise duty) from 12 per cent to 12.5 per cent. Finance Minister assured of maintaining a stable, predictable and investor friendly tax regime. Several administrative and legislative measures were proposed in this direction, which are: The time limit for taking CENVAT Credit on inputs and input services has been increased from six months to one year. This was also pushed by IEEMA through its Pre-Budget Memorandum. The CENVAT Credit Rules 2004 are being amended to allow credit of service tax paid under partial reverse charge by the service receiver, without linking it to the payments of value of service to service provider as a trade facilitation measure. IEEMA had represented, through its PreBudget Memorandum, the difficulties of the industry in availing CENVAT Credit while sending the inputs to job workers for further processing, testing, repairing, re-conditioning or for the manufacturer of intermediate goods necessary for the manufacture of final products. These difficulties of the industry have been addressed in the Budget 2015-16. Now, credit shall also be allowed even if any inputs are directly sent to a job worker without there being first brought to the premises of the manufacturer or the provider of output service, as the case may be, and in such a case, the period of 180 days shall be counted from the date of receipt of the inputs by the job worker. Also, the time limit for receiving back the capital goods by a manufacturer from a job worker has been extended from 180 days to two years.

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Under CENVAT Credit (Amendment) Rules 2015, a manufacturer or provider of output service would not be required to pay interest in cases where CENVAT Credit has been wrongly availed but not utilised. For the purpose of recovery of wrongly utilised CENVAT Credit, the manner of determining the utilisation of credit is prescribed. Tariff rate on iron & steel and articles of iron or steel, falling under Chapters 72 and 73 of the Customs Tariff has been increased from 10 per cent to 15 per cent. However, the Finance Minister claims that there will be no change in the existing effective rates of basic customs duty on these goods. Under service tax, an enabling provision is being made to exclude all services provided by the Government or local authority to a business entity from the negative list. This means, all service provided by the Government to business entities, unless specifically exempt, shall become taxable. Transport of goods for export by road from the factory to a land customs station is being exempted from levy of service tax. As a means for rationalisation of abatement measures, a uniform abatement is being prescribed for transport by rail, road and vessel to bring parity in these sectors. Now, service tax shall be payable on 30 per cent of the value of such service, subject to a uniform condition of non-availment of CENVAT Credit on inputs, capital goods and input services. Currently, service tax is payable on 30 per cent of the value in case of rail transport, 25 per cent in case of road transport and 40 per cent in case of transport by vessels. Another issue of difficulty in availing central excise exemption under International Competitive Bidding (ICB), which was represented by IEEMA to the Ministry of Finance, was addressed in the budget. The Government has simplified excise duty exemption under ICB and de-linked it to Customs Tariff Act. Further, several amendments were made in the Finance Act, 1994 to rationalise penal provisions with a view to increase compliance and reduce litigation. The Budget speaks of quick change, faster growth and high levels of transparency for augmenting economic growth of the country. While the Finance Minister has not gone overboard to make some populist announcements; yet he did his best to strike a balance between short-term growth and sustainable economic gains and also created some investor and market friendly measures. Now, it is the time to see how many wishes are fulfilled. - Sudeep Sarkar, IEEMA

April 2015


CoverStory

“Industry Reaction” pool of quality technical talent that will enable India’s journey to be a scientific power. The IET’s vision is also to build a strong engineering ecosystem in India that contributes to the society in resolving critical societal challenges. We are happy to note that the budget is aligned with our vision and we see immediate opportunity from each section of the society – government, corporate and academia to collaborate for economic development.

Mr Shekhar Sanyal Director and Country Head, the Institution of Engineering and technology, India. The Union  budget  for the year 2015-16 is termed as a ‘make or break’ fiscal exercise primarily focused on pro-common man measures and one step further to strengthen ‘Make in India’ campaign. The commitment to achieve 8-8.5% economic growth in this year and making Indian economy as the fast growing economy in the world heralds to the optimism in the economy. To achieve higher growth, the government is riding on the core sectors – infrastructure, manufacturing, power which is much needed to revive the sluggish economy. We, at The IET, are very positive about the fiscal prudence reflected in this budget. Government’s all-inclusive focus on MNREGA activities to providing strong infrastructure with an additional investment of 700 billion is a way towards attaining India’s next phase of growth.  The government’s move to establish more AIIMS and IIMs and launch a National Skills Mission to enhance employability of rural youth is great to strengthen the

April 2015

The budget’s special emphasis on encouraging entrepreneurs and SME sector by providing funds will foster the culture of innovation and provide a platform to build the next big global companies from India, many of which will leverage innovative ideas and technology for growth. Significant fund allocation to the solar and power sector is a positive step towards a result oriented transition to a more sustainable energy independent country. A strong focus on building infrastructure,driving manufacturing through Make in India and support of R&D and innovation through schemes will encourage the startup sector and innovation in the technology sector.  To sum up, the budget is certainly for the common masses and a step towards the government’s vision to transform India. With investment boost in each sector, it will definitely bring together a holistic growth and the IET, being a professional body to streamline engineering and technology can partner with the government to play a critical role in bringing the change.

Mr. Dinesh Aggarwal Jt. Managing Director, Anchor Electricals Pvt. Ltd. “Though there was no specific announcement on reducing Import duty on project imports or encouragement of energy saving products, we at Anchor believe that the overall direction of the budget was consistent with the government’s commitment to strengthen the confidence in the Indian economy. The macro indicators are positive and there is a direction set to strengthen the governance of financial markets and move towards global standards, commitment towards investment directly by the government and through public participation in Infrastructure development. The reduction in tax on Royalty will encourage technology infusion and manufacturing of technology products in India. The phased reduction in corporate tax, reduction of customs duty in specific raw materials and inputs will support the “Make in India” initiative further. Clearly, the Government’s intention is to empower the poor and the old in recognition of the rising health care costs and aging population. Overall, the budget has set a positive direction and its for the businesses to react in support now. “

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CoverStory

Mr Samit Jain

Mr Sunil Mathur

Mr Ratul Puri

Managing Director, Pluss Polymers

MD & CEO, Siemens Ltd

Chairman, Hindustan Powerprojects

“After a long time , we have had a wholesome budget, replete with fresh ideas. Providing jobs to the population is the toughest challenge being faced by the government today. With the focus on manufacturing, and the excessive commitment to infrastructure – there is bound to be a growth in jobs. The timeline for GST being set as 2016 and online excise and service tax registrations within 2 days, will give an impetus to the industry. Focus on skilling the youth seems evident – this is much needed to enable a successful Make in India campaign.” “With ` 70,000 crores allotted to infrastructure – there is going to be a surge in allied activities – means more jobs and more money in the hands of the people.

“We welcome the growth-oriented Budget 2015. It is consistent with the stated objectives of the Government, reinforcing its commitment to realisation of infrastructure projects. With the Budget, the Government seems inclined to follow its bold path of building infrastructure and improve ease of doing business. Its intention to increase public investments while decreasing Corporate Taxation over a period of time are also steps in the right direction, and we are sure these steps will further improve the confidence of investors and industry alike. We also welcome the Government’s decision to defer GAAR by two years and the introduction of GST in April 2016.”

“The budget is a very positive and balanced one as it addresses the requirements of multiple stakeholders and creates platform to take the economy on a high growth trajectory. The proposed national investment fund can open up massive amount of capital to help finance India’s one trillion dollar infrastructure sector and could be a potential game changer for the  industry.  The doubling of coal cess will provide incremental ` 10,000 crores a year to help push renewable energy and will bring the cost of solar power to grid parity. The proposed ` 70,000 crores investments in the infrastructure sector along with the plug and play 4 ultra mega power projects could be the enablers to kick start finance for the sector.”

Much needed to revive growth and give India the necessary wings to fly. Ease of doing business seems to have been focussed on the large sector. Some more could have been done for easing of rules for the MSME sector. This still remains the biggest  hurdle, considering MSME is the largest contributor the economy.

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April 2015


Face2Face

‘Make in India’ can be successful only if the T&D sector is given priority:

Aaditya R Dhoot Chairman - Organising Committee ELECRAMA 2016

LECRAMA a global business medium created by IEEMA in 1990, has grown from strength to strength and has emerged as the single largest exhibition in the world. With ‘Make in India’ being the new mantra of the country, Elecrama 2016 will witness the preparedness of the Indian electrical equipment industry to make this mantra successful. Mr Aaditya R Dhoot, Managing Director, IMP Powers and Chairman Organising Committee ELECRAMA 2016 spoke about the uniqueness of this event and getting the energy infrastructure ready for India’s next chapter.

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electrical equipment manufacturer’s, generation companies from across the world, grappling with unique challenges to power the world. This is an event which does straddle segments beyond electricity, significantly impacting businesses conforming to oil & gas, steel, textiles, renewables and cement industries.

To start with, the exhibition space booking has now moved on to the digital domain where the exhibitors can conveniently click through to the space of their choice. This website hosts a comprehensive space booking engine optimised for the exhibitors business needs.

Since its inception, ELECRAMA has followed a single minded pursuit of being relevant to the Industry and ELECRAMA 2016 Chairman Mr. Aaditya R Dhoot the needs of its constituencies. In consonance, as says, “We always wanted to make the booking an evolution, now ELECRAMA is the single biggest process more transparent, as you know in every forum capturing this rich diversity of globally relevant event the earlier you book the better you get. challenges and solutions in Now with the world the electricity ecosystem. adopting the IT & “Simultaneously with the “Make in India” technology the Organising Today, the ELECRAMA campaign taking shape, we are expecting Committee thought of brand serves into the a significant rise in international taking the step forward and business needs of the utilities, government, EPC doing the booking process exhibitors this time in ELECRAMA.” online. The response was consultants, contractors,

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April 2015


Face2Face

tremendous as on the first day itself we booked 40% space of the exhibition.” He explains, “Every ELECRAMA gives something different. This time it’s World Utility Forum which is a unique concept where we will try to get the top utilities of the world to come and choose relevant topics with regard to what the world is facing in terms of power generation, transmission and distribution, cost of Energy and Future of it.”

online space booking system, exhibitor and visitor engagement portal. In addition, the experience quotient will definitely be accentuated and a host of business opportunities are in the offing. More global participation is guaranteed in all aspects of ELECRAMA.” Another first time in ELECRAMA 2016, would be concept called “NETWORK TO NETWORTH’’ we are trying to organize to get the Financial market in ELECRAMA. This includes Banks, FI’s, Private Equity, Fund managers to come and see the entire industry under one roof. To raise funds at cheaper costs, has been the a challenge especially for MSME and new concept this would provide an opportunity for the exhibitors and equity investors to network amongst each other.

There is a huge export opportunity waiting to be tapped for Indian manufacturers of electrical equipment. Developing countries across the globe are focusing on electrification to meet rising aspirations of their people. Even in developed countries, there is an increasing demand for electrical equipment for renovation and modernization of their ageing electricity networks. Another first time in ELECRAMA 2016, “Simultaneously with the would be concept called “NETWORK TO “Make in India” campaign NETWORTH” we are trying to organize to taking shape, we are get the Financial market in ELECRAMA. expecting a significant rise This includes Banks, FI’s, Private in international exhibitors Equity, Fund managers to come and see this time in ELECRAMA,” the entire industry under one roof. opines Mr Dhoot. The Chairman is optimistic about getting 4000 international visitors this time. He says, “We intend to spread our wings not only in Africa, Middle East or South East but in SAARC nations United States & Europe also. As in the past, I am sure that ELECRAMA-2016 will continue to provide an excellent opportunity to Indian manufacturers to showcase their products and technologies & manufacturing capabilities to a global audience.” India is a large and important market for the electrical industry and ELECRAMA as always is a window to this market. This event offers a platform for the electrical industry globally to showcase capabilities, to meet customers and to network with the various industry players. He informs, “Since our theme for ELECRAMA 2016 is ‘World Electricity Forum’, global leaders, movers and makers of the power fraternity will come together to find answers to the rapidly evolving scenario in that of sustainable generation, transmission, distribution, consumption and conservation. Operationally, the shift would be towards keeping an agile, technology led approach, starting with an

April 2015

Talking about the power sector reforms in the country, Mr Dhoot says, “The recently announced power sector reforms by the Indian government are a step in the right direction as easier and assured access to power will help boost productivity of the manufacturing sector.”

But the main problem of Indian power sector lies with Transmission and Distribution. He articulates, “In India power sector is a victim of state politics. Our PM’s vision of ‘Make in India’ can be successful only after the T & D sector is given priority. The debt burden of these discoms has risen to Rs 3 lakh crore in the last financial year. We suggest that all state utilities should follow a common central policy inpolicy in totality.” “India’s electricity sector has high transmission and distribution losses. But with recent initiatives from the government the AT&C losses have come down from 40 % to 24-26 % and this is due to new HVDC lines coming in. The real challenge in the power sector in India lies in managing the up-grading of the transmission, distribution efficiently. The use of better materials in electrical equipment will definitely enhance power efficiency. Moreover the AT&C losses are mainly due to theft. Thus there should be regular and strict checking of energy meters and extension lines and high penalties may be imposed on thefts,” concludes Mr Dhoot. - Shalini Singh, IEEMA

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Appointments

APPOINTMENTS

Mr Tapan Mishra

PESB recommends Mr IS Jha

Eminent scientist Mr Tapan Mishra has taken over as the Director of Space Applications Centre (SAC) of Indian Space Research Organisation (ISRO) at Ahmedabad. Mishra who was serving as Deputy Director of Microwave Remote Sensing Area of SAC. A graduate in Electronics and Telecommunication Engineering from Jadavpur University, Calcutta, he has been responsible for system design, planning and development of Microwave Remote Sensing Payloads of ISRO.

takes over as ISRO Director

as new CMD of PowerGrid The Public Enterprises Selection Board has recommended the name of Mr I S Jha, director (projects), Power Grid Corporation of India (PGCIL), for the post of Chairman and Managing Director (CMD) of PGCIL. Mr Jha was selected from eight candidates who were interviewed by PESB on Friday. The other candidates included two other directors and four executive directors from PGCIL, and one advisor from the rail ministry. The appointment will be announced by the Appointments Committee of Cabinet, which is under the Department of Personnel and Training (DoPT). It is likely to come by August after necessary scrutiny on the recommended candidate is done.

Mr KK Sharma takes charge as Delhi chief secretary Mr KK Sharma, an IAS officer from the 1983 AGMUT cadre, took over as Delhi’s new Chief Secretary. Sharma was the Chief Secretary of Goa before being called to the capital. Sharma has held various posts including that of secretary of the Public Works Department in 2009 and was then promoted as principal secretary, PWD. From 2011 to 2014, he served as advisor to the administrator, Chandigarh, an additional secretary-rank post.

Dr. Kshatrapati Shivaji appointed as CMD, SIDBI Dr Kshatrapati Shivaji, IAS, has been appointed as Chairman & Managing Director of Small Industries Development Bank of India. An IAS officer of Maharashtra cadre, Dr Shivaji, prior to the present assignment, was working as Principal Secretary, Finance (Expenditure), Government of Maharashtra. An Engineer by profession, Dr Shivaji has also added many financial qualifications to his credit and has vast experience of working in the areas related to finance.

Mr Arun Singh appointed India’s ambassador to US Mr Arun Singh 1979-batch IFS officer has been appointed as India’s ambassador to the US succeeding S Jaishankar, who was named the Foreign Secretary in January. Mr Singh, who has been joint secretary in-charge of Pakistan, Iran and Afghanistan division in MEA, has done postings in Japan and Israel among other countries. He has also served as Deputy Chief of Mission in Washington for nearly five years and is seen as an expert on Indo-US strategic ties.

Mr Arvind Kumar appointed Secretary to Government, Energy Department Mr Arvind Kumar, IAS (1991), who is waiting for posting, is posted as Secretary to Government, Energy Department, Telangana in the existing vacancy.

Mr Ankit Anand appointed Managing Director, CSPDCL Ankit Anand has been appointed as Managing Director of Chhattisgarh State Power Distribution Company Ltd (CSPDCL).Before assuming charge as CSPDCL MD, Anand was the Collector of the Bastar District. Earlier, Anand has served as Assistant Collector in South Bastar, Dantewada and CEO of Kanker and Raipur Zila Panchayat. He also held positions of District Collector of Jashpur and Bastar.

Mr TV Somanathan

Mr RN Misra appointed as CMD, SJVNL

appointed Joint Secretary in Prime Minister’s Office

Mr RN Misra has been appointed as Chairman & Managing Director of public sector SJVN Limited. Prior to this Misra was holding the post of Director (Civil), SJVN since 21st May, 2010. He has about 35 years of experience in the power sector. He has varied experience in Planning, Project Appraisal, Environmental issues related to Hydro Power Projects, Project Monitoring, Contract Management and Execution of Large Hydro Power Projects.

Senior IAS officer T V Somanathan has been appointed as Joint Secretary in the Prime Minister’s Office. Somanathan, a 1987 batch IAS officer of Tamil Nadu cadre, is working as Director, Joint Secretary level, in the World Bank in Washington since May 12, 2011. He has been appointed in place of B V R Subrahmanyam till August 5, 2017, an order issued by Department of Personnel and Training (DoPT) said.

April 2015

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Appointments

Nine Executive Directors appointed to various public sector banks The Centre has elevated as many as nine general managers to the post of executive directors in various public sector banks (PSBs). The nine general managers who have been appointed as executive directors are Ravindra Marathe ( from Bank of Baroda to Bank of India); K.V.R. Moorthy (Bank of Baroda); Harideesh Kumar ( from Vijaya Bank to Canara Bank); Kharat Kishore Piraji (Bank of Baroda to Union Bank); N.K.Sahoo (from Canara Bank to Allahabad Bank); Ravishankar Pandey (from Union Bank to Syndicate Bank); Rishab Lodha ( from Union Bank to Central Bank of India); Pawan Kumar Bajaj (from Bank of India to Indian Overseas Bank); and Charan Singh (Bank of India). A panel headed by the Reserve Bank of India Governor Raghuram Rajan had interviewed 35 candidates on December 25 last year in New Delhi. Interestingly, all the 33 General managers who had appeared for the interviews a year ago, again attended the interview in December also.

Ms Sanjeevanee Kutty

a 1983 batch IAS officer of Himachal Pradesh cadre. She was working at the same designation in Information and Broadcasting Ministry.

Mr AP Sawhaney appointed Additional Secretary, Petroleum & Natural Gas Ministry Mr AP Sawhaney, who is presently in the cadre, has been appointed as Additional Secretary, Ministry of Petroleum and Natural Gas. He is a 1984 batch IAS officer of Andhra Pradesh cadre.

PESB recommends Mr SK Acharya as CMD, Neyveli Lignite Corp The PESB has recommended the name of Mr Sk Acharya presently serving as Director (HR) for the post of Chairman and Managing Director, Neyveli Lignite Corporation Limited (NLC).

VACANCIES

appointed AS and FA, Home Ministry

Heavy Engineering Corporation Limited

Ms Sanjeevanee Kutty, Chief Vigilance Officer of Indian Oil Corporation, has been appointed as Additional Secretary (AS) and Financial Adviser (FA) in the Home Ministry in place of S C Panda. Ms. Sanjeevanee Kutty has been the Chief Vigilance Officer of Indian Oil Corporation Limited since March 22, 2014. She is the 1983 Maharashtra cadre IAS officer.

The Public Enterprises Selection Board (PESB) is seeking qualified candidates for the post of DIRECTOR (MKTG), HEAVY ENGINEERING CORPORATION LIMITED. The incumbent should be a graduate from a recognized university with good academic

Mr Ajay Kumar Dwivedi appointed Director (Exploration) of ONGC Mr Ajay Kumar Dwivedi has been appointed as Director (Exploration) in the Maharatna Board of India’s flagship explorer ONGC. Dwivedi is a post-graduate from Kanpur University and has a distinguished career of more than 34 years in ONGC, holding key exploration-related assignments at different work centres starting from Mumbai, moving to Dehradun in North, Chennai in South, Jorhat in east, Vadodara in the west and MBA Basin in Kolkata, before taking over Western Offshore as Basin Manager.

Ms Bharti Sihag appointed Additional Secretary, Steel Ministry Ms Bharti S Sihag has been appointed as Additional Secretary and Financial Adviser, Ministry of Steel. She is

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Post: Director (MKTG)

record and having at least two years of cumulative marketing experience during the last ten years in an organization of repute.The last date for filing the application to PESB is May 27, 2015

Hindustan Petroleum Corpn. Ltd.

Post: Chairman And Managing Director The Public Enterprises Selection Board (PESB) is seeking qualified candidates for the post of CMD, HINDUSTAN PETROLEUM CORPN. LTD. (HPCL). The applicant should be a graduate with good academic record from a recognized university/institution. He should possess adequate experience at a senior level of management in a large organization of repute. The last date for filing the application to PESB is May 27, 2015.

April 2015


InDepth

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early 60% of electricity generated in India come from Coal fired Thermal Power Plants (TPPs). It is also the predominant fuel used for power generation world-wide. India having abundant coal reserves, and having its own industries matured in producing power plant equipment specially designed for coal from both Indian origin and from abroad, will continue to use coal as the primary fuel for power generation for few more decades. The ingress of renewable energy into the grids will still take some more time to make a significant share of total power generation. While power generated from coal fired TPPs may be the cheapest, the negative effects on the environment is very clearly visible to all. Each MW of power generated from a conventional (Sub Critical) coal fired TPP releases~900kg/MW-hr CO2 in the environment. The only way to reduce carbon emissions and coal consumption is to increase the efficiency of TPPs by moving over to advanced technologies. Today, we have more than 600 power plants with installed capacity of 135 GW working with the Sub Critical Technology. The equipment at such power plants operate with 540 Deg C temperature and 170 ata pressure of steam giving an efficiency of around 36-38%.

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While emphasising on reducing CO2 emission as well as coal consumption, world-wide R&D efforts led to the development of Super Critical Technology for coal fired TPPs raising the efficiency to 41% and reducing both coal consumption and CO2 emission by about 11% as compared to Sub Critical Technology. Super Critical Steam Turbine Generators (STG) sets of capacities 600 MW and higher have been introduced world-wide over the last decade and India too has started commissioning 660 MW and 800 MW units with Super Critical Technologies over the last few years. These equipment works with steam parameters of 590-600 Deg C temperature and 250 ata pressure. The main challenges in adapting this technology are in the areas of advanced class high chromium steel used in the high temperature and pressure parts of boiler, steam turbines and valves. The machining, heat treatment and welding technologies associated with the new alloys have now been well adapted and matured for smooth supply and commissioning of the Super Critical sets. The initial efforts in India have been towards stabilizing the Super Critical Technology and observing the operational feedback of the large size (660 MW and above) power plants recently commissioned or under

April 2015


InDepth

commissioning. However, if the same technology can be adapted for midsize STG sets, there is a good potential market in the Government and IPP sector.

The most difficult challenges faced in designing and developing the Boilers and Turbines for AUSC parameters come from the basic material to be used in the systems and sub-systems experiencing the steam with elevated temperature and pressure.

Companies and research groups around the world are continuing their efforts to develop still higher efficiency turbines and boilers for reducing coal consumption as well as CO2 emission. Equipment designed to operate with 600+ Deg C temperature and 275-280 ata pressure are classified as Ultra Super Critical (USC) and those being designed to operate with 700+ Deg C temperature and 300+ ata pressure are classified as Advanced Ultra Super Critical (AUSC) sets. As of now, there is no plant in the world installed with AUSC technology. It is still in R&D stages in many countries, including India. The most difficult challenges faced in designing and developing the Boilers and Turbines for AUSC parameters come from the basic material to be used in the systems and sub-systems experiencing the steam with elevated temperature and pressure. Even the high Chromium Steel used in Super Critical (SC) technology equipment will not withstand the operating conditions. Hence, development of new alloys (primarily Nickel based) and associated technologies like machining, polishing, welding, heat treatment etc. become the first and one of the most important stages in developing AUSC technology based power generation equipment. These alloys are not only much costlier, there are no facilities available yet for casting/ forging of large sizes required for making the large capacity equipment. The R&D efforts for AUSC, thus involves optimisation of material content as well as developing facilities for the adequate capacity manufacturing as well as testing in parallel. The R&D for AUSC technology is being carried out through consortium approach, where different companies and R&D institutes have pooled in talent and infrastructure required for such a massive and long term development activity. Five main consortiums are working on AUSC in USA, Europe, Japan, China and India. Each of the consortiums has set in their individual targets for both efficiency as well as operating parameters of the power plant. However, all of these are for unit capacity of 800 MW or more. The operating parameters range from 700 to 760 Deg

April 2015

C temperature and 300 to 350 ata pressure of steam.

While the progress of the work in different countries have been influenced by local issues, mainly the environmental regulations, funds availability or nonavailability of suitable test platforms, the consortiums are targeting for a demonstration power plant to be built not earlier than 2022. The R&D efforts of the USA consortium comprising of renowned manufacturers like GE, Alstom, B&W, Foster Wheeler and laboratories like ORNL, EPRI and NETL have been hit by the uncertain future of coal based power plants in the domestic market. Increased regulations on Carbon capture and sequestration for new power plants coinciding with reduction in the price of Shale Gas, as an alternate fuel, have cast their shadow on the USA team’s R&D efforts for AUSC technology development and demonstration. For their ambitious plan of designing the power plant with 760 Deg C and 350 ata pressure using IN740H and Haynes 230 & Haynes 282 material, both funds availability and availability of suitable test platform in USA have become uncertain. Hence, the team is looking for alternate test locations outside of USA, which includes India. Currently their most optimistic estimate for a demo power plant to come is only by 2025. The European consortium of Alstom, Hitachi Power Europe, SIEMENS, EON, VGB and others started their efforts back in 1998 and at different stages the operating parameters have been upgraded and now targeting for 700/720 Deg C temperature and 300 ata pressure. Several alloy materials, manufacturing technologies have been developed and partially tested. However, the progress is slowed down due to huge economical challenges combined with rapid growth of renewable in Europe. The Japanese consortium of NIMS, Hitachi Toshiba, Mitsubishi and others started with the material development program in 2005. It got a boost in 2008 with the Government funded project “Cool Earth Innovative Energy Technology Program�. It is targeting at 700/720 Deg C and 350 ata pressure of steam and slated for development and testing of components till 2020.

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InDepth

The Chinese consortium of 18 partners including Steel and Power equipment manufacturers, Power Research Institutes, Power Finance Companies and coordinated by National Energy Administration started its project in 2010. It is funded by the Chinese Government. Targeting at steam parameters of 700/720 Deg C and 350 ata pressure. They are planning for a demonstration plant by 2021. In India, the development of AUSC technology and demonstration of an 800 MW plant has been taken up by a consortium of BHEL, IGCAR and NTPC. The idea was mooted by the Principal Scientific Advisor (PSA) to the Government of India in 2011 and after a series of discussion with Industries, Academia, R&D institutions and experts on Climate Change, it was decided to go for indigenously developed technology by combining the pool of talent and research & manufacturing capabilities available within the country.The project is planned to be executed in two phases. The first phase being the R&D for development of the materials, material characterisation, and manufacturing technologies associated with the new materials, design of the power plant and all its systems and sub-systems, manufacturing of prototypes and testing of the same, preparation of complete design and manufacturing documents, testing procedures etc. The second phase is for manufacturing and commissioning of an 800 MW Thermal Power Plant with this developed technology for demonstration of the same. IGCAR, premium R&D organisation under the Department of Atomic Energy (DAE) having the experience of design, development and commissioning of several nuclear reactors and a highly talented pool of scientists in metallurgy area was inducted into the consortium for development, testing and characterisation of special Nickel based alloy material. IGCAR will also contribute in developing the manufacturing technologies like drawing of tubes, welding, machining, casting, forging and long term testing of all new composition of alloys being used in this project. BHEL, an integrated power plant equipment manufacturer and one of the largest engineering and manufacturing company of its kind in India the experience of commissioning Super Critical sets has been taken as the lead member of the consortium for the R&D phase of the project. BHEL is responsible for the total design of the power plant, all the equipments like boiler, turbines and valves along with tubing etc.

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which are subjected to steam of higher operating parameters, manufacturing and testing of all the equipment, supply and commissioning of the demo power plant. NTPC, the largest power generating company, with the experience of operation and maintenance of Super Critical power plants is the third member in the consortium. NTPC will be responsible for providing the test platforms for prototypes developed in the R&D phase, which need to be field tested and evaluated. NTPC will also be associated in all stages of development as a continuous guide to keep the focus of the project and preparation of all documents in a manner, which is implementable. The experience of O&M of large power plants especially that of Super Critical power plants will be highly useful in the R&D phase of the project. NTPC will have a greater role in the second phase of the project when the demo plant is planned to be set up. While the detailed proposal for the first phase of the project is under final stages of approval by the Govt of India, preliminary work involving long cycle of testing etc. have already commenced under the aegis of the office of the PSA, which granted five smaller projects with direct funding. Two of these projects for development of Nickel based super alloy for Boiler tubes and the design of six stages of turbine blades have been successfully completed. Three more projects addressing the challenges of dissimilar metal welding, super heater header in the boiler and the high pressure by-pass valve are in advanced stages of completion. India hopes to be the first country to develop and demonstrate the AUSC power plant of its own by 2022-23. Author

IEEMA Power Generation Division

April 2015


InDepth

A

large sized Coal Based Power Plant has huge scope in terms of Design, Engineering, Manufacture, Supply, Construction, Erection, Testing and Commissioning of large number of Equipment and Systems, Civil works, Structural steel works, Cabling and other miscellaneous works . The typical scope would broadly consist of the following:

Auxiliary Boiler

Steam generators and auxiliaries including;

}} Low Pressure Chemical Dosing system.

• Complete pressure parts, structures, platforms, stairs, piping, valves, supports etc.

}} Boiler Feed Pumps and Booster pumps with drives

• Soot blowing system with piping, valves, controls etc. • Coal feeder and complete milling system • Coal combustion system including coal / oil burners & scanners. • Air and flue gas ductwork. • Primary air fans. • Forced draft fans. • Induced draft fans. • Aux PRDS and piping • Start up & circulation system, • Air heaters & SCAPH. • Chemical dosing systems as applicable.

Turbo Generators including, }} Steam turbines. }} Condensing plant and Air evacuation system. }} Complete Regenerative Feed system. }} HP-LP Bypass system. }} Condensate Extraction Pumps with drives. }} Condensate transfer pumps }} Turbine hall E.O.T. crane. }} Power cycle piping }} Low pressure piping. }} Equipment cooling water system }} Boiler fill system

Water Treatment Plant Including; }} DM plant and CW chemical treatment. }} Pre treatment and effluent treatment plant }} Reverse osmosis plant for waste water }} Condensate polishing unit including regeneration

facility }} Laboratory equipment

• Electrostatic Precipitators.

Cooling Water System including

• Fuel oil pressurizing system

• Circulating water system including CW pumps.

• Elevators for Steam generators

• Cooling towers for Circulating water system

• Other systems like tools & tackles etc.

• Aux water system

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April 2015


InDepth

Plant Utilities including • Compressed air system

like civil works, mechanical BOP packages like CHP, AHP, make-up water system etc.

Material Handling System including;

• There are many areas where the bidders having expertise in key power plant equipment have little or no control. Owner or some local contractors have more control and they can undertake these responsibilities in a more cost effective manner.

• Mill Reject Handling system.

• All project related risks are with only one agency.

• Air conditioning and ventilation system • Fire detection and protection system • Hydrogen Generation Plant

• Coal Handling Plant, • Ash Handling system • Fuel Oil Handling Plant

Elevators, Cranes and Hoisting equipments Workshop and workshop equipments Electrical Equipments including • Main generator and associated equipment. • All Transformers. • Bus ducts. • Medium and low-voltage switchgear, motor control centres. • Motors & Cables etc.

• From the project execution schedule point of view this is not the best option.. • Owner has to interface with just one bidder who is the single point responsibility for the entire plant.

Option-2 EXTENDED BTG This would mean that bidders for extended BTG shall be responsible for complete Turbine Island, Steam Generator & Auxiliaries, ESP, Civil Works relating to Turbine Island & Boiler and Control & Electrical within the Power Block Area. The owner will have the choice to package the remaining BOP packages in different ways. This option will have following key points :

• Illumination, Earthing, Lightning protection, DG sets, Batteries, Battery Chargers, Overhead lines etc.

• The OEMs will be able to concentrate on the Power Block which is their main domain.

• Switchyard Equipment.

• OEMs will have no engineering interfacing issues with external partners except the civil execution agency working in the power block area.

• Electrical systems as required. • Control and Instrumentation system along with accessories and Instrument Cables. • Civil and Structural steel works for the complete plant. • Make-up water System.

• All performance related packages shall be under direct control of OEMs • From the project execution schedule point of view this may be a better option.

• Ash Pond

Option-3

For a utility to build a large coal based power plants, there are several options available for packaging and these are listed below;

Breaking down the entire scope into various packages like turbine island, boiler & auxiliaries, ESP, control & instrumentation, various BOP packages, various civil packages, various electrical packages, various control & instrumentations packages. The key points for this option are the following:

Option-1 FULL EPC This would mean that bidders would be required to Design, Engineer, Manufacture, Supply, Construct, Erect, Test & Commission the whole scope on a turnkey basis with utility (owner) only providing land and full filling a few other owner- specific obligations. The key points for this option are the following : • OEMs, who specialize in main equipment and systems of the power plant like boiler, steam turbine and steam turbine generator, some key Turbine Island equipment and systems , ESP, some key auxiliaries and controls have to take responsibilities of the work which is not their forte

April 2015

• This would involve maximum number of agencies to execute the entire scope and owner will require huge resources to deal and interact with various agencies. • Inter-facing issues become complex and Division of responsibilities become complicated . • Risks are widely spread. Author

IEEMA Power Generation Division

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InDepth

Plant Utilities including • Compressed air system • Air conditioning and ventilation system • Fire detection and protection system • Hydrogen Generation Plant

Material Handling System including; • Mill Reject Handling system. • Coal Handling Plant, • Ash Handling system • Fuel Oil Handling Plant

Elevators, Cranes and Hoisting equipments Workshop and workshop equipments Electrical Equipments including • Main generator and associated equipment. • All Transformers. • Bus ducts. • Medium and low-voltage switchgear, motor control centres. • Motors & Cables etc. • Illumination, Earthing, Lightning protection, DG sets, Batteries, Battery Chargers, Overhead lines etc.

like civil works, mechanical BOP packages like CHP, AHP, make-up water system etc. • There are many areas where the bidders having expertise in key power plant equipment have little or no control. Owner or some local contractors have more control and they can undertake these responsibilities in a more cost effective manner. • All project related risks are with only one agency. • From the project execution schedule point of view this is not the best option.. • Owner has to interface with just one bidder who is the single point responsibility for the entire plant.

Option-2 EXTENDED BTG This would mean that bidders for extended BTG shall be responsible for complete Turbine Island, Steam Generator & Auxiliaries, ESP, Civil Works relating to Turbine Island & Boiler and Control & Electrical within the Power Block Area. The owner will have the choice to package the remaining BOP packages in different ways. This option will have following key points : • The OEMs will be able to concentrate on the Power Block which is their main domain.

• Electrical systems as required.

• OEMs will have no engineering interfacing issues with external partners except the civil execution agency working in the power block area.

• Control and Instrumentation system along with accessories and Instrument Cables.

• All performance related packages shall be under direct control of OEMs

• Civil and Structural steel works for the complete plant.

• From the project execution schedule point of view this may be a better option.

• Make-up water System.

Option-3

• Switchyard Equipment.

• Ash Pond For a utility to build a large coal based power plants, there are several options available for packaging and these are listed below;

Option-1 FULL EPC This would mean that bidders would be required to Design, Engineer, Manufacture, Supply, Construct, Erect, Test & Commission the whole scope on a turnkey basis with utility (owner) only providing land and full filling a few other owner- specific obligations. The key points for this option are the following : • OEMs, who specialize in main equipment and systems of the power plant like boiler, steam turbine and steam turbine generator, some key Turbine Island equipment and systems , ESP, some key auxiliaries and controls have to take responsibilities of the work which is not their forte

April 2015

Breaking down the entire scope into various packages like turbine island, boiler & auxiliaries, ESP, control & instrumentation, various BOP packages, various civil packages, various electrical packages, various control & instrumentations packages. The key points for this option are the following: • This would involve maximum number of agencies to execute the entire scope and owner will require huge resources to deal and interact with various agencies. • Inter-facing issues become complex and Division of responsibilities become complicated . • Risks are widely spread. Author

Anup K Malhotra Alstom Power

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InFocus

E

lectricity fuels the growth engine of a country’s economy while the per capita consumption of electricity is also one of the important indicators of Economic growth of a country. Thus developing countries today are primarily focusing on increasing the installed Power Generation capacity. The Mega Power Policy is a step in this direction and was formulated to articulate a quantum jump in electricity generation by having the Power Projects of more than 1000 MW (Thermal) on the coal pit head itself. The results of this policy in India have been very encouraging as the gross power generation by various utilities till October 31, 2014 stood at 2,54,649 MW. Although considerable thrust is being laid on to maximize generation from other conventional and non-conventional sources but coal based generation is destined to remain the main source of electricity generation as the gas availability scenario is not that encouraging to sustain new addition to the generation capacity. The main plan by the government in years to come for the growth of GDP would thus be availability of power from coal fields and generation plants. Around 65 statutory and executive clearances are required for setting up thermal mega power project while the indirect taxation structure adds to the cost and create complications. Indirect Taxes include Customs Duty (CD), Countervailing Duty CVD, Education Cess, Special Additional Duty (SAD) on imports, whereas Excise Duty, Central Sales Tax

April 2015

(CST), VAT, Works Contract Tax (WCT), Octroi, Entry Tax, Labour Welfare Cess taxes on services and other local Taxes on the domestic supplies. Also the Power Project developer has to undergo tedious process for import of necessary materials and components like that of registering under Project Import for availing the import duty concession. Furthermore for sourcing capital goods for Power Project from domestic sources requires cumbersome formalities so that the domestic supplier can avail benefits under Deemed export Scheme under Foreign Trade Policy (FTP). But these process helps to cut down the costs attributable to indirect tax regime and passing on the benefits to the public by way a reduced power tariff. Paradoxically here is dichotomy as the Government fiscal policy manifests itself; on one hand the Government proposed to auction the coal blocks to fetch more revenue to bring down the fiscal deficit, whereas the power generated through costly coal is accorded fiscal benefits by way of duty exemption/ concession to make power available to the public under the slogan “Power to all at affordable Price”. Coming back to Indirect Tax regime, though the Government’s endeavor is to accord relief in taxes, like that of imposing import duty through Customs Tariff, or through eligibility of Advance Authorization Scheme to the domestic suppliers under International Competitive Bidding (ICB) process, or to the Power Projects, where supply of Power is tied up through

45


InFocus

competitive tariff bidding. There are number of Indirect Taxes, outside Central Government’s purview which being unavoidable increases the project cost. Most of the time either it is difficult or tricky to decide as to whether; it is cost –efficient to source the goods from the State or outside the State. On the other side the processing of material at the Project site for the purpose of manufacturing becomes a matter of interpretation and thus prone to litigation. The introduction of GST would eliminate the complexity which is inevitable due to multiplicity of tax jurisdictions. Till that happens, Power Sector in particular and Indian economy will continue to remain saddled with the complications connected to the present Indirect Taxation regime. High taxes have a cascading and adverse impact on the growth potential of the economy, as it affects affordability. Therefore the government needs to rework at the fiscal framework. It should rely more on greater volume of tax collection generated

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by correspondingly expanded economic activity which comes from affordable, rational fuel prices. Government may also consider exempting Service Tax on Power Projects in line with the exemption available on other Infrastructure development Projects like road, airport, dams, tunnels etc. as Power Generation Projects are also infrastructure development projects. Author Mr GS Sharma Consultant Taxation, L&T-MHPS Boilers Pvt. Ltd. Former General Manager (Finance)-BHEL

April 2015


TechSpace

T

he modern power plant thermodynamic cycle has continued to improve over decades and technology has reached a mature stage. In the past few years, there has been tremendous pressure from governments and other organizations around the globe to reduce the emissions from plants and fuel consumption due to depleting fossil fuel resources. Due to this thrust from various organizations and the evident benefits, OEMs’ are putting a lot of efforts in developing new technologies for improving performance and particularly materials to achieve higher steam parameters. In parallel, efforts are being made to best utilize the thermodynamic cycle for optimum performance. Thermodynamic cycle optimization is the first step after which steam turbine module efficiency improvements are being taken up.

Thermodynamic Cycle Optimization The efficiency of thermal power plant can be expressed as the product of the efficiencies of its sub-systems

The thermal cycle efficiency is lowest among all the efficiencies and is governed by the laws of thermodynamics. In order to get highest plant efficiency, it is imperative that thermal cycle efficiency

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should be as high as possible and it has the most potential for improvement. Thermodynamic cycle optimization is the first step in the direction of improving the cycle efficiency. Several cycle parameters are optimized in thermodynamic cycle optimization some of the important cycle parameters will be discussed in this paper.

Increased Turbine Inlet Parameters Increasing the main steam inlet pressure and temperature and reheat temperature gives significant improvement in performance. The improvement in steam conditions is mainly achieved through the development of high temperature resistant materials. The ferritic steel containing 9%-12% chromium is most commonly used for ultra-supercritical (USC) conditions. With steam parameters 28 MPa / 600 OC / 620 OC (main steam pressure / main steam temperature / reheat steam temperature) in existing USC cycles, upper temperature limit of chromium based material has reached. For further increase in the steam parameters, new nickel-based materials would be required. Nickel-based alloys are costly therefore to pay off its cost, improvement in heatrate should be significant. With the high heat rate improvement as target, 700 OC / 720 OC (main steam / reheat steam) temperatures resistant materials are being researched and are under development. Figure 1 shows the improvement in net plant efficiency with increased steam parameters.

April 2015


TechSpace

Figure 1: plant efficiency improvement with increased steam parameters

Figure 3: Double reheat cycle

From numerous assessments on impact of these parameters, it has been established that each 5% increase in main steam pressure improves the heat rate by approximately 0.18%, each 10 OC increase in main steam temperature improves heat rate by approximately 0.30% and increase in 10 OC reheat temperature improves heat rate by approximately 0.20%. Figure 2 below shows the impact of inlet parameters on heat rate.

of thermodynamic cycle improves due to increased mean heat addition temperature. A double reheat cycle is shown in figure 3. Double reheat systems have an additional return flow of the main steam path back to the boiler compared to single reheat. An important advantage of the double reheat design is that it can be implemented using existing materials. The double reheat cycle can provide increase in efficiency similar to range of advanced ultra-supercritical (A-USC) cycle.

Increase in main steam and reheat steam temperature gives greater gain in heat rate but to avoid Low pressure (LP) exhaust without or with low moisture, main steam pressure should also be increased. The increased main steam pressure required to increase the reheat steam temperature or use double-reheat to avoid inadmissibly high wetness at the LP exhaust. Therefore all three parameters are interlinked and individual optimization can lead to sub-optimized cycle and problems with moisture at LP exhaust.

An optimized double reheat Cycle improves heat rate in the range of 4 percent (or an efficiency improvement in the range of 2 percentage points) at an economically viable capital cost compared with a single reheat cycle. Furthermore, there is no impact on the thermal flexibility of the plant and the erosion and corrosion problems of the last stages of the LP turbines disappear as shown in figure 3. Research work is going on further improve efficiency in double reheat cycle by utilizing energy of excessive superheated IP extractions in tuning turbines, which may be used as BFP drives.

Double Reheat The double reheat concept is one of the techniques being used to increase the efficiency of the thermodynamic cycle. Reheating increases the efficiency by raising the mean temperature of the heat addition. Similarly with double reheat, efficiency

Double reheat cycle was developed five decades ago but now there is renewed interest shown by OEMs in its development. Thermodynamic cycle calculation shows that a seawater-cooled higher output plant using double reheat technology can achieve a net efficiency of 49.3%.

Selection Of Optimum Crh Pressure And Ffwt

a

b

Figure 2: Impact of inlet parameters change on heat rate a) MS pressure, b) MS & HRH temperature

April 2015

Plant efficiency can be improved by increasing the final feed water temperature (FFWT). However, there are constraints on selection of

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TechSpace

and number of stages in HP and intermediate pressure (IP) sections. A schematic of HP steam path is shown in figure 6 with green arrow highlighting the possible change in steam path due to optimized CRH pressure.

Figure 4: Typical schematic diagram of a double reheat machine

optimum cold reheat (CRH) pressure and FFWT due to concerns about maximum allowable wetness of the exhaust steam from the LP turbines. For given main steam conditions, there is an optimum CRH pressure and FFWT, which gives best performance at optimal cost. A curve of improvement in heat rate is created by plotting heat rate versus CRH pressure with varying FFWT as illustrated in figure 5. Within a certain range of CRH pressure from the optimum value, change in heat rate is not significant thus leaving room for designer to vary the CRH pressure to address other design constraints. Total main steam flow entering the turbine is directly proportional to the CRH pressure as illustrated in figure 7. The reason is, as CRH pressure increases, energy added in reheater reduces and therefore to generate the same power output, additional main steam flow is required. To reduce the main steam flow and hence the sizes of high pressure (HP) feed water heater (FWH) equipment like FWHs, boiler feed pump (BFP), boiler feed pump turbine (BFPT), a CRH pressure lower than optimum pressure is selected without compromising on performance. Selected CRH pressure also defines the expansion

With increasing FFWT, heat rate improves (decreases) but this improvement diminishes with incremental value of FFWT as illustrated in figure 5. The quantity of main steam flow entering the turbine increases with increased final feed water temperature. Each 5 OC temperature rise in FFWT causes approximately 1.5% increase in main steam flow as illustrated in figure 7. After certain value of FFWT, increase in FFWT does not give enough gain in heat rate to compensate for cost increase of HP FWH cycle components. Therefore, there lies an optimum for final feed water temperature and CRH pressure which yields the best heat rate with cost effectiveness.

Optimum Lp Lsb Selection With Floating Vacuum The selection of last stage blades (LSB) is very critical for overall efficiency of power plant as the last stage generates approximately 10% of total output of turbine. Last stage blades selection also decides the turbine train configuration, including number of LP cylinders. Improper last stage blade selection can cause huge performance loss. The exhaust loss consists of four components, namely leaving loss, gross hood loss, turn-up loss and annulus restriction loss. There exists a volume flow condition where exhaust loss is at its minimum as illustrated in figure 8. Turbine performs at its best efficiency if exhaust loss for turbine is at its minimum value therefore it is important to select the LP last stage blade with lowest possible exhaust loss at given cold end condition. It is also important to define appropriate cold end condition to select appropriate last stage blade to have minimum exhaust loss and maximum performance of turbine. In figure 8, impact of specifying different condenser pressures on turbine performance is illustrated.

Figure 5: Selection of CRH pressure and FFWT for given cycle

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In figure 8, exhaust loss curves for two different LSBs are shown. Exhaust loss is plotted against exhaust volumetric flow. LSB2 is bigger than LSB1 and therefore has larger volume flow passing capability. Consider a scenario where specified condenser

April 2015


TechSpace

Figure 6: HP steam path layout

pressure LSB selection is higher than actual operation condition. In this case, LSB1 will perform better at higher condenser pressure i.e. lower volume flow. This is evident from figure 8 where exhaust loss for LSB1 is lower compared to LSB2 on left side of lowest point of the curve. If performance guarantee is to be given at higher condenser pressure then, LSB1 will be selected in turbine train. But selected LSB1 turbine train will have more exhaust loss at actual operating condenser pressure, which is lower and volume flow through LSB is large. If actual operating condition is specified as condition for performance guarantee then, LSB2 will perform better and can be selected for turbine train, which will give lower exhaust loss as observed in right side of the lowest point of exhaust loss curve. Above example clearly demonstrates how important cold end condition is in selecting the turbine train and for extracting the best performance from the selected LSB.

utilities where the units are required to be operated at low loads thereby making it imperative to not only have maximum performance at full load but also good performance at part loads. As per CEA directive, 80% TMCR (part load) heat rate is also a guarantee point under category-I for which calls LDs are applicable. Because most of the design and optimization of cycle is done for full load condition, therefore there is a very limited scope in part load operation to optimize performance, few of them are discussed in this paper.

3.1 Use of Overload Valve for Gird Response Indian grid code requirement is to provide 5% load jump for frequency support. This 5% load jump can be provided by various means like main control valve MCV throttling, LP FWHs off and use of overload valve. If MCV throttling is used then, plants run on modified sliding pressure mode of operation, which is an

An improper cold end condition can cause selection of an inefficient LSB, which can lead to heat rate loss as high as 0.4%. Alstom has variety of LSBs available in its offering and can be utilized to cater range of output and cold end conditions.

3 Part Load Performance While, utilities are made to operate machines at rated capacity thereby obtaining maximum efficiency, there are instances beyond the control of generating

Figure 7: Change in main steam flow with respect to CRH pressure and FFWT

April 2015

Figure 8: Exhaust loss curve and LSB selection

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TechSpace

Overload valve should also be used at part load for grid response and main control valve should be kept full open thereby achieving PSP mode of operation as illustrated in figure 9 (a), which is the most efficient way of operation.

3.2 Staggered Extraction for Top Heater It is well known that increasing the final feed water temperature by regenerative heating improves the heat rate. But increase in final feed water temperature also increases (a) (b) the turbine inlet steam flow as Figure 9: Pure and modified sliding pressure operation illustrated in figure 7, which can cause increase in cost of HP feed water heaters, BFP inefficient way of operation. Depending on amount of and BFPT components. throttling, heat rate can degrade by as high as 0.3%. The overload valve in the turbine is provided to enable a load jump required by grid. This overload valve helps in avoiding throttling losses in main control valve as shown in figure 9 (a) and thereby improves the performance at full load. Depending on amount of throttling in the valve heat rate goes worse. An illustration of heat rate difference between pure sliding pressure (PSP) operation and modified sliding pressure (MSP) operation is shown in figure 9 (b).

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At part load, when the extraction pressure slides down, the final feed water temperature also reduces. To improve heat rate at part load an additional extraction line above existing top extraction can be taken from HP steam path keeping existing top extraction line closed as illustrated in figure 10 (a) and (b). This will increase the extraction pressure in top feed water heater and will increase the final feed water temperature. With increase final feed water temperature, heat rate gets better at part load. Heat

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TechSpace

rate improvement up to 0.25% can be achieved at part load using this scheme.

4 Conclusions Due to an increasing cost of fuel and environmental concerns, coal fired plants are moving towards USC and advanced USC parameters to achieve higher plant efficiency. In order to improve heatrate with given steam parameters, it is equally important to optimize the cycle for optimum CRH pressure and final feed water temperature. LSB selection plays an important role in turbine train finalization and overall performance of the plant. LSB selection, if not specified properly can degrade the plant heat rate by as high as 0.4%. Part load operation for significant time cannot be ruled out with dynamic market conditions therefore it is also critical to have higher part load performance. As discussed in this paper, proper selection cycle parameters is important for plant efficiency and

April 2015

should be optimized considering global impact on performance. An isolated attempt of optimization like LSB selection based on escalated pressure than design one can negatively impact the performance. REFERENCES 1.

Alexander S. Leyzerovich, Steam Turbine for Modern Fossil Power Plants

2.

“Challenges of power engineering and environment – Volume 1”, Proceeding of the international conference on power engineering 2007

3.

Sven Kjaer, Frank Drinhaus, A Modified Double Reheat Cycle, PWR2010-2736, ASME

4.

Feng Weizhong, 1000MW Ultra-Supercritical Turbine Steam Parameter Optimization, Front. Energy Power Eng. China 2008, 2(2): page 187-193

Author Mahendra S Mehra Alstom Bharat Forge Power Limited – India mahendra.mehra@power.alstom.com

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SMETalks

Automation is the most crucial factor of our vision: Mr Ramesh Sobhani Established in 1977 by a talented and visionary electrical engineer Mr. Ramesh Sobhani, Braco Electricals Pvt. Ltd today is shaped into a company that is renowned for its quality, consistency and trust. All these elements are found in every product of Braco, like cable glands and terminals. Braco shares its vision for the future in a brief rendezvous with IEEMA Journal.

Overview of Upcoming Projects Our upcoming projects are an opportunity for us to shape the future for our company and for the industry. All our upcoming projects are based on company’s nucleus philosophy. Automation is the most crucial factor of our vision. To be in sync with the future has always been our priority. Hence we are looking forward on manufacturing all our terminal products on completely automatic machines. Also, we aim to add impressive figures to our balance sheets by adding new products for connecting purpose, into our profile. This expanding vision will be supported by our growing number of branch offices in the metro cities of India. Starting from the metros of India, we will strive to reach every patron in the industry and serve them with the best. The immediate upcoming project that we are most excited about is launching of all types of Aluminium Glands for domestic as well as international market.

Priority Area to Focus The focus of ‘Braco’ has made all its achievements possible. Today, we are focused on three areas viz. steady growth, standardisation and trust. We have been registering consistent growth from last few decades. This legacy will continue and will be our focus area in every future planning. To complement this growth story, we aim to meet international standards of electrical industry, across the globe. This standardisation of products is a step towards earning the trust of the clients and the industry alike.

Expansion Plans Owing to its success and illustrious journey, Braco is in its full vigour to deliver exceptional results. Our expansion plans encompass various factors like automatic manufacturing of products and nationwide presence. Braco will be seen in

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almost every metro city of India in the near future. The futuristic growth of the company is also on the radar. Manufacturing of products and equipments will be done with help of latest technology. Projects in Pipeline We have been manufacturing cable glands and terminal products for the electrical industry. We will be expanding the existing segment by adding new products to it, the products that will serve the industry and will be produced by the use of latest technology.

Challenges Faced by Power Sector The IT boom has created new challenges for many industries. The electrical industry is no exception to it. The demand for electrical supply and its products has grown beyond imagination. Hence, meeting these demands is the biggest challenge for every player in this industry. While meeting the demands of the client, quality becomes the most fragile factor. Quality maintenance is never compromised by Braco. And therefore, delivering quality products at competitive prices becomes a major challenge to overcome. Yet, Braco has successfully managed to create a balance between these extreme factors.

5 year plan To increase our sales fourfold with the expansion of our factory infrastructure & producing on fully automated machinery. To raise our export revenue up to 50% of our current turnover through advertising & marketing of our product profile, to all the electrical markets around the world.

April 2015


IEEMAInteraction

One Mission - Electricity for All

Members of Parliament discussing issues with IEEMA officials

IEEMA organised an interactive session on the complex issue of electricity, policy matters and how it impacts the common man. A select group of MPs and MLAs from Delhi interacted with the senior official of IEEMA. Present at the occasion were Members of Parliament – Shri Tarun Vijay (BJP), Shri Anand Bhaskar Rapolu (INC), Shri Jagdambika Pal (BJP), Shri A.P. Jithender Reddy (TRS) and Shri Vinod Kumar Boinapally (TRS). Among the MLAs from Delhi present were – Smt Bhavna Gaur, Shri Rajesh Rishi, Shri Imran Hussain, Shri Anil Kumar Bajpai, Shri Vishesh Ravi and Shri Manoj Kumar. On the sidelines, the world acclaimed short documentary film Katiyabaaz (Powerless) was played which set the pace for further deliberations, eliciting the harsh realities of the deplorable power situation in the city of Kanpur.

Micro, Small and Medium Enterprises Interaction with Shri Arun Kumar Jha, Director General, National Institute for Entrepreneurship & Small Business Development (NIESBUD) The National Institute for Entrepreneurship and Small Business Development is an apex organisation under the Ministry of MSME engaged in Training, Consultancy, Research and Publication, in order to promote entrepreneurship. The major activities of the institute consist of Training of Trainers (ToT), Management Development Programmes (MDP), Entrepreneurshipcum-Skill Development Programmes (ESDP) and Entrepreneurship Development Programmes (EDP), etc. The Institute has trained more than 2.60 lakh trainees including 2,600 persons from more than 125 countries till date. Shri Jha interacted with the IEEMA official and members and brought out interesting points for the benefit of IEEMA:

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The Central Government under MSME Act 2006 is under a process of revision. For MSMEs, availing benefits from the Facilitation Council helps in resolution of issues pertaining to primarily delayed payments, which is applicable for both PSUs and the Private sector. Shri Jha reiterated that IEEMA’s SMEs should go into the detail of these benefits and utilize various schemes related to Funding and Credits and processes thereof. In fact these are in full vogue with other sectors like Handicrafts. More than Rs 15 lakh Crore of Government sanctions are being utilised by other SME sectors benefiting 15 lakh entrepreneurs of various sectors.

Shri Vinod Bihari, CEO of Power Sector Skill Council Interacting with IEEMA, Shri Bihari mentioned that the Power Sector Skill Council takes into account the future skill requirements and various job roles pertaining to the power sector. He further added that it will indeed be important to map the national skill and occupation standards of power and equipment industry too which is where IEEMA members should come ahead with their expectations in a structured manner. The PSSC is being promoted by CEA on behalf of Ministry of Power, MNRE & IEEMA and is supported by various PSUs, organisations and Industry players in the power sector, renewable energy sector and power equipment manufacturing sector.

Shri Satendra Jain, Minister of Power, Government of Delhi Interacting with Shri Satender Jain, issues regarding DELHI TRANSCO were discussed. It was also discussed as to how the mistrust between consumer and distribution companies can be minimised by using modern technology particularly in Metering. The Minister welcomed IEEMA to continue its dialogue with the Delhi Power ministry.

(3rd from left) Shri Satendra Jain, Minister of Power, Government of Delhi Interacting with IEEMA members

April 2015


Interview

Creating an innovation driven industry Prime Meiden Ltd (PML) is an Indo-Japanese joint venture company with over 28 years in the field of high technology equipments & systems covering the entire spectrum of power sector including generation, distribution and transmission. Mr. Rohan Mehta, Managing Director, Prime Meiden Ltd speaks to IEEMA Journal about his vision of adaptation and diffusion of hitech innovations in the Indian environment, which will contribute to increased productivity and economic growth of the country.

What is your perception about the transformer market in 2015? The transformer market is growing both nationally and internationally. EHV Power transformer market is growing rapidly along with the growth of economy of our country. As a thumb rule for power installation of per 1mw, there is a requirement for approximately 7MVA of transformers and this translates the demand for transformer to a huge number considering that the transformers are required in Power Generation, Transmission and Distribution segments as also for replacement market in huge numbers.

With your vast experience in power sector how do you see it emerging in the changed scenario of power in India? The new government has already recognised the importance of this sector as the key driver to the economic growth of the country. They have initiated the process of reviving the so far stalled power projects to achieve the targets capacity addition. This is surely going to trigger the demand of power transformers which we expect to start showing up from mid of coming financial year.

Could you detail about product range and services as well as your manufacturing facility? Prime Meiden Ltd (PML) is one of the leading players in the field of Power Transformer having the most modern and state-of-the-art factory for supply of EHV Power Transformer up to 765 kV located in Special Economic Zone (SEZ), Naidupeta, district Nellore, Seemandhra the Southern State of India, spread over 100 acre of land. A fully integrated plant with an annual capacity 15,000 MVA and manufacturing capability upto 765 kV, which is proposed to be expanded to 35000 MVA per annum & upto 1200 kV makes. It has the latest and the most advanced EHV static test system from High Volt of Germany the world leaders in the field of EHV testing of power transformer since

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1904 and it can test the transformers at 50 Hz as well as 60 Hz frequency systems. Fully air – conditioned and moisture controlled, the manufacturing facility also includes core lifting platform, coil up ender, horizontal and vertical winding machines, ISO static press for sizing of the coils, vapor phase drying for final dry out etc. from the world class manufacturers. PML also has Automatic core Slitting machine with de-burring attachment for burr-free laminations– from Georg GmbH, Germany Automatic core cutting machine with v-notch cutting, hole piercing, step-lap joints and stacking facilities - from Georg GmbH, Germany with dedicated 10 MT EOT Crane. It also has Brockhaus test system from Germany for testing magnetic characteristics and insulation resistance of CRGO steel sheets.

Could you share features of the order procured for 90 MVA 400/132 KV single phase making 270 MVA in 3 phase bank? These are auto transformers meant to evacuate power from a hydel plant being set up at Dickhu in Sikkim. The total quantity is 4 Nos. and the scope includes supply and installation.

What is your vision for PML in the next two years? Our vision is to see Prime Meiden Limited as a leading Transformer manufacturer and EPC Project solution company in India with its export business expanded more particularly to the west of India, especially to the Middle East and Africa. .

Do you recall any of the best projects which involved challenges towards completion? There are many challenging projects we have executed in terms of short delivery and complex specifications. Our supply to Ukraine of 2 Nos. 40 MVA,132 kv class transformer was to cater to an environment at -32ºC and complying to GOST standards. Both the transformers are in operation to its full capacity for the past more than one year.

April 2015


IEEMAActivities

ceremony of ELECRAMA 2016, in Bangalore, India on 13 February 2016.

IEEMA Activities

MD & CEO of DEWA receives IEEMA delegation HE Saeed Mohammed Al Tayer, MD and CEO of Dubai Electricity and Water Authority (DEWA) received in his office the delegation from the Indian Electrical and Electronics Manufacturers’ Association (IEEMAA), and representatives of top Indian companies in these areas. The delegation was headed by Sanjeev Sardana, Chairman – Mission Plan 20122022 of IEEMA and a number of CEOs of top Indian companies. The meeting was attended by Dr. Yousef Al Akraf, Executive Vice President of Business Support and Human Resources, Abdul Syed Abdul Hameed, Senior Manager of Contracts, Ahmad Abdulla, Senior Manager of External Communications, and Saeed Beljafla, Acting Senior Manager of Government Relations. Al Tayer welcomed the delegation, emphasising the importance of enhancing collaboration between DEWA and Indian electricity and electronics companies. He invited the delegation to take part in the Water, Energy, Technology, and Environment Exhibition (WETEX) 2015. Over 1,500 international companies have registered in WETEX 2015 so far. The exhibition is expected to attract a record number of visitors, following the success of WETEX 2014, which drew over 23,000 visitors. The delegation invited Al Tayer to deliver a keynote speech at the inauguration

4 th ERC Meeting held in Kolkata Vice Chairman ERC, Mr. R. K. Shah welcomed the members to the 4th ERC Meeting of 201415. The meeting took place in Kolkata on 20th February, 2015, at Tata Steel Room, The Bengal Chamber of Commerce and Industry. The meeting was also graced by Cdr Parijat Sinha - Head (Operations & Admin) IEEMA. Mr. Sinha updated the members about forthcoming ELECRAMA 2016 online booking and payment procedures and its advantages for them. It was followed by the update on the upcoming ER Summit- “Konnect North-East & Beyond”. There was a discussion regarding State of Industry in which Members actively took part in the discussion. The Vice-Chairman closed the meeting by thanking all members for their valuable inputs. The meeting was followed by dinner and networking session.

IEEMA Representations }} Representation submitted to Department of Commerce and Department of Industrial Policy & Promotion, under Ministry of Commerce & Industry, Government of India, on 16th March 2015, regarding reported surge in imports during 2013-14 from China.

}} Representation submitted to Ministry of Communication and Information Technology, Government of India, on 13th March 2015 for UPS (5kVA and below) as per the IS 16242:2014 (part-1), regarding extension of implementation of notified standard for a period of 6 months from the current notified date.

}} Representation submitted to Bureau of Indian Standards on 20th February 2015, regarding extension in the implementation date after necessary corrections in the IS 694:2010 by ETD and notified by BIS.

}} Representation submitted to Bureau of Indian Standards on 19th February 2015, regarding the discrepancies in the Standard IS: 694 (2010).

IEEMA VISION

‘Electricity for All and Global Excellence Leading to Human Enrichment’

62

April 2015


IEEMAActivities

}} Representation submitted to Department of

Commerce, Government of India, on 10th February 2015, regarding Non-Tariff Measures (SPS and TBT) being faced by Indian exporters for raising in forthcoming WTO SPS / TBT Committee Meetings.

Interface With Government And Agencies In Western Region On 20th February 2015, Department of Heavy Industry, Government of India, conducted the 3rd Meeting of Inter-Ministerial Group of Mission Plan for Electrical Equipment Industry with all stakeholders. The meeting was chaired by Mr. R. K. Singh, Joint Secretary. Mr. Sunil Misra, Director General, Mr. J Pande, Senior Director, Mr. Sudeep Sarkar, Deputy Director and Mr. Jayant Chopra, Executive Officer, attend the meeting from IEEMA. A presentation was made by IEEMA on the action taken on decisions of previous meeting and other recommendations of the Mission Plan. On 24th February 2015, Mr. Sunil Misra, Director General, Cdr. Parijat Sinha, Head Operations & Administration and Mr. Uttam Kumar, Executive Officer, IEEMA, attended a meeting chaired by Mr. Shri Devendra Chaudhary, Special Secretary, Ministry of Power, regarding follow-up action of Make in India Workshop held with Hon’ble Prime Minister of India. Ms. Jyoti Arora, Joint Secretary, Ministry of Power, was also present. The Ministry of Power wanted to know from the industry about the mechanism to extend ‘Supplier Credit’ to Indian Manufacturers similar to Chinese / US Model for exports. The other important Agenda point was to define transparent criteria to include ‘Economic Value’ instead of L1 in Public Procurement Policy. IEEMA has sought inputs from members in this regard to give its feedback in the next meeting with the M inistry of Power. On 25th February’ 2015, Mr. Uttam Kumar, Executive officer, IEEMA attended the meeting of ET-33 of Bureau of Indian Standards on winding wires. The meeting was chaired by Dr. J. Sundara Rajan of Central Power Research Institute, wherein he expressed his concerns for more participation and subsequently requested IEEMA for taking up the issues with the division members of taking license from BIS. On 4th March’2015, IEEMA Transformer Division Members, led by Mr. Vikrant Joshi, Mr. J Pande, Senior Director, and Mr. Uttam Kumar, Executive Officer, IEEMA had a meeting with REC on remote monitoring of Distribution Transformers with an aim at ensuring optimal/ least cost IT based

April 2015

solutions for new transformers and retrofitting in existing transformers. The meeting was chaired by Mr. P J Thakkar, Director (Tech) and Mr. S K Gupta, Executive Director, REC. The meeting was also attended by representatives of PFC, PGCIL, EME (Army) and TPDDL. On 13th March’ 2015, a delegation of IEEMA Transformers Division led by Mr. B Ukil, Chairman; Mr. J Pande, Senior Director, and Mr. Uttam Kumar, Executive Officer, from IEEMA Secretariat attended a meeting with Central Electricity Authority, chaired by Mr. Major Singh, Chairperson (I/C), CEA to discuss and address problems arising in implementation of the CEA Regulation notified in the Gazette of India, dated 20 August’ 2010. Mr. K K Arya, Chief Engineer, CEA and representatives of various utilities and PSUs/ CPSUs like NTPC, Power Grid, NHPC, BBMB, UPPCL, WBSEDCL, APTRANSCO, TNEB, KPTCL, CPRI and NHPTL were present in the meeting. On 17th March 2015, Mr. Sunil Misra, Director General; Mr. Ajay Mahajan, Head (Trade Fair and Marketing) and Mr. Uttam Kumar, Executive Officer, IEEMA attended a meeting called by Mr. Pankaj Batra, Chief Engineer, CEA to discuss about organising an Global Investors Meet to promote Make in India in the Electrical Equipment sector. A preliminary discussion on the subject was also held with Mr. Major Singh, Chairperson (I/C), CEA on the modalities and requirements of organising this meet. On 04th March, 2015, Cdr. Parijat Sinha, Suhas Nawathe and Rajesh Parab had a meeting with Shri. Mukesh Khullar, IAS (1985), Principal Secretary– Energy – Government of Maharashtra. The meeting was mainly to introduce IEEMA to principal secretary. The interactions worked around discussing scaling up product line, quality readiness to address the distribution losses, human losses, security, energy conservation, energy efficiency, Innovations, technical advancement and the best practices used in power sector worldwide. (a) - Should engage with newly formed governments and newly appointed bureaucrats with a ready reckoner document on pain, pleasure, analysed data, ways ahead, alignment to policy thought process, be neutral, become the spokesperson and remain engaged on a quarterly basis. In fact he is very keen to meet our think tanks earliest with an analysed report on these lines. Production capacity of existing facilities, transmission losses, accidents, factors affecting per MW cost for the consumer, how industry can improve consumer satisfaction

63


IEEMAActivities

and reduce T&D losses, immediate steps with the government’s declarations in the backdrop, but all with quantified data. (b) IEEMA as a government advisory body- Monthly analysis of power situations, energy solutions, renewable, industry indulgence and involvement in a nutshell. He was keen to have a think tank from within the industry leaders as advisory to the department and in addition a monthly/ quarterly non-technical actionable newsletter that could be agency neutral but addressing concerns of all stakeholders. He has agreed to be there for the next Utility Outreach Programme in Maharashtra.

On 13th January, 2015, Director General Sunil Misra, Cdr. Parijat Sinha and Rajesh Parab, met with Shri. Subhash Desai, Hon’ble Minister for Industries, Govt. of Maharashtra. During the meeting, Minister emphasised on creating a vendor development cluster, helping activities in Make in Maharashtra Programme and future prospects and ways ahead on how IEEMA membership can help Department of Industries to create common

64

facilities centre under this cluster development. On 14th January, 2015, Director General Sunil Misra and Cdr. Parijat Sinha had a meeting with Smt. Chandra Iyengar, Chairperson, Maharashtra Electricity Regulatory Commission (MERC) to discuss distribution losses and tariff structure impacting our member interest and technological innovations to reduce these losses. Also she emphasised on solid waste management, renewable energy and efficient use of natural resources in conceptualising future conferences and exhibition of IEEMA. On 5th Dec 2014, Cdr. Parijat Sinha, Ms. Shalini Singh and Rajesh Parab had a Meeting with Mr. K. C. Purohit, CMD, NPCIL The interaction worked around discussing scaling up product line and quality readiness to address NPCIL requirements. The innovations and technical advancements used by NPCIL in the energy sector, were discussed and the CMD has agreed to speak to members on an appropriate occasion.

April 2015


PowerStatistics

Total Carbon Dioxide Emissions from the Consumption of Energy (Million Metric Tons)

Electricity Generation * - Terawatt-hours

2013

2013 over

share

2000

2005

2009

2013

2012

of total

North America

4794.1

5113.4

5000.1

5180.8

0.008

0.22

S. & Cent. America

800.3

934.5

1069.3

1236.5

0.018

0.05

Europe & Eurasia

4693.4

5126.9

5120.5

5324.1

-0.007

0.23

Middle East

461.6

624.8

802.5

1012.8

0.053

0.04

Africa

439.0

561.9

624.0

703.0

0.012

0.03

Asia Pacific

4219.1

5971.6

7512.7

9669.7

0.051

0.42

World

15407.5

18333.1

20129.0

23127.0

0.025

1.00

Of which: OECD

9747.4

10604.8

10476.7

10817.2

-0.001

0.47

Non-OECD

5660.1

7728.3

9652.4

12309.8

0.048

0.53

European Union #

3050.1

3324.0

3232.9

3259.9

-0.009

0.14

Former Soviet Union

1267.4

1398.1

1431.7

1548.5

-0.003

0.07

* Based on gross output. w Less than 0.05%. # Excludes Slovenia prior to 1991. Note: Growth rates are adjusted for leap years.

2000 27%

North America S. & Cent. America

31%

Europe & Eurasia Middle East

3% 3%

5%

Africa Asia PaciďŹ c

31%

2013 23%

North America S. & Cent. America

42%

Europe & Eurasia

5% Middle East Africa

3% 4%

23% Asia PaciďŹ c

source: BP-statistical review 2014

66

Change

April 2015


PowerStatistics

Growth of Transmission Sector Since 6th Plan

Tran sm issio n System Type

Voltage (KV) level

Unit

Ach. At the end of 6th Plan

Ach. At the end of 7th Plan

Ach.

Ach. At the At the end of end of 8th Plan 9th Plan (as on (as on 31.3. 31.3. 2002) 1997)

Ach. as on 31.03. 2007 (End of 10th Plan)

Ach. as on 31.03. 2012 (End of 11th Plan)

Ach. as on 31.1. 2015

Target 31.03. 2017 (End of 12th Plan)

765

ckm

0

0

0

1160

2184

5250

16292

32250

AC Transmission lines

400

ckm

6029

19824

36142

49378

75722

106819

134114

144819

AC Transmission lines

220

ckm

46005

59631

79600

96993

114629

135980

148146

170980

Total

ckm

52034

79455

115742

147531

192535

248049

298552

348049

HVDC

ckm

0

0

1634

4738

5872

9432

9432

16872

Total (AC+HVDC)

ckm

52034

79455

117376

152269

198407

257481

307984

364921

765

MVA

0

0

0

0

0

25,000

103500

174000

400

MVA

9330

21580

40865

60380

92942

1,51,027

191792

196027

220

MVA

37291

53742

84177

116363

156497

2,23,774

265683

299774

Total AC

MVA

46621

75322

125042

176743

249439

399801

560975

669801

MW

0

0

0

5200

8200

9750

13500

22500

46621

75322

125042

181943

257639

409551

574475

692301

14050

27750

46450

65550

AC Substations Transformation Capacity AC Substations Transformation Capacity HVDC AC+HVDC Inter-reg ional transmission Capacity

MW

* Inter-regional transmission Capacity at the end of 12th Plan excludes 600 MW of 132 / 110 kV lines operated in radial mode time to time

Growth of Installed Capacity Since 6th Plan Thermal

Plan / Year Plan / Year

Nuclear

Hydro

RES (MNRE)

Total

Coal

Gas

Diesel

Total

Nuclear

Hydro

RES (MNRE)

Total

End of 6th Plan

26310.83

541.5

177.37

27029.7

1095

14460.02

0

42584.72

End of 7th Plan

41237.48

2343

165.09

43745.57

1565

18307.63

18.14

63636.34

End of 8th Plan

54154.48

6561.9

293.9

61010.28

2225

21658.08

902.01

85795.37

End of 9th Plan

62130.88

11163.1

1134.83

74428.81

2720

26268.76

1628.39

105045.96

End of 10th Plan

71121.38 13691.71 1201.75

86014.84

3900

34653.77

7760.6

132329.21

End of 11th Plan

112022.38 18381.05 1199.75 131603.18

4780

38990.4

24503.45

199877.03

End of Janury ‘15

156190.89 22971.25 1199.75 180361.89

5780

40867.43

31692.14

258701.46

Captive Generation Capacity in Industries having demand of 1 MW and above, grid interactive (as on 31-03-13) = 40, 726 MW

April 2015

67


IEEMADatabase

Rs/MT

BASIC PRICES AND INDEX NUMBERS Unit

as on 01.01.15

IRON, STEEL & STEEL PRODUCTS

OTHER RAW MATERIALS

BLOOMS(SBL) 150mmX150mm

`/MT

30850

BILLETS(SBI) 100MM

`/MT

30850

CRNGO Electrical Steel Sheets M-45, C-6 (Ex-Rsp)

`/MT

30850

CRGO ELECTRICAL STEEL SHEETS a) For Transformers of rating up to 10MVA and voltage up to 33 KV

`/MT

b) For Transformers of rating above 10MVA or voltage above 33 KV

`/MT

as on 01.01.15

Unit

Epoxy Resin CT - 5900

`/Kg

330

Phenolic Moulding Powder

`/Kg

81

PVC Compound - Grade CW - 22

`/MT

122500

PVC Compound Grade HR - 11

`/MT

123500

`/KLitre

61731

Transformer Oil Base Stock (TOBS)

OTHER IEEMA INDEX NUMBERS

186503

IN-BUSDUCTS (Base June 2000=100) for the month September 2014

226164

NON-FERROUS METALS

235.12

IN - BTR - CHRG (Base June 2000=100)

300.50

Electrolytic High Grade Zinc

`/MT

165500

IN - WT (Base June 2000=100

215.06

Lead (99.97%)

`/MT

140900

IN-INSLR (Base: Jan 2003 = 100)

233.93

Copper Wire Bars

`/MT

390202

Copper Wire Rods

`/MT

402594

Aluminium Ingots - EC Grade (IS 4026-1987)

`/MT

160883

Aluminuium Properzi Rods EC Grade (IS5484 1978)

`/MT

166467

Aluminium Busbar (IS 5082 1998)

`/MT

Wholesale price index number for ‘Ferrous Metals (Base 2004-05 = 100) for the month September 2014 Wholesale price index number for’ Fuel & Power (Base 2004-05 = 100) for the month September 2014

155.30

200.10

All India Average Consumer Price Index Number for Industrial Workers (Base 2001=100) September 2014

214800

253.00

# Estimated, NA: Not available 170000

Aluminium Ingots - EC Grade (IS 4026-1987)

165000 160000

RS./MT

155000 150000 145000 140000 135000 130000 `01-15

`12-14

`11-14

`10-14

`09-14

`08-14

`07-14

`06-14

`05-14

`04-14

`03-14

`02-14

`01-14

`12-13

`11-13

`10-13

`09-13

`08-13

`07-13

`06-13

`05-13

`04-13

`03-13

`02-13

February 2013 - January 2015

The basic prices and indices are calculated on the basis of raw material prices, exclusive of excise/C.V. duty wherever manufactures are eligible to obtain MODVAT benefit. These basic prices and indices are for operation of IEEMA’s Price Variation Clauses for various products. Basic Price Variation Clauses, explanation of nomenclature can be obtained from IEEMA office. Every care has been taken to ensure correctness of reported prices and indices. However, no responsibility is assured for correctness. Authenticated prices and indices are separately circulated by IEEMA every month. We recommend using authenticated prices and indices only for claiming price variation.

68

April 2015


IEEMADatabase

800

H.T. Motors

750 700 650 600 550

000' KVA

500 450 400 350 300 250 200 150 100 50 4

6

8 10 12 2

4

6

8 10 12 2

4

6

- 10 12 2 8

4

6

8 10 12 2

4

6

8 10 12

April 2010 December 2014

Name of Product

Accounting Unit

Production For the Month ‘From Jan 14 to Highest Annual December-14

December 14

Production

Electric Motors* AC Motors - LT

000' KW

942

9931

11217

AC Motors - HT

000' KW

359

3037

4647

DC Motors

000' KW

30

335

618

000' KVA

927

10562

10426

Contactors

000' Nos.

777

8396

8505

Motor Starters

000' Nos.

175

1776

1909

Nos.

52024

544371

947878

000' Poles

11249319

112233611

116151

Circuit Breakers - LT

Nos.

201894

1775072

1815007

Circuit Breakers - HT

Nos.

7190

70077

72155

Custom-Build Products

Rs. Lakhs

22775

199682

265267

HRC Fuses & Overload Relays

000' Nos.

1385

14027

16875

KM

38157

420429

434967

000' KVAR

4977

50705

53417

Distribution Transformers

000' KVA

4382

42143

43346

Power Transformers

000' KVA

18547

145459

178782

Current Transformers

000' Nos.

67

640

660

Voltage Transformers

Nos.

11085

100895

114488

000' Nos.

2629

19161

22645

000' MT

95

1176

1250

AC Generators Switchgears*

Switch Fuse & Fuse Switch Units Miniature Circuit Breakers

Power Cables* Power Capacitors - LT & HT* Transformers

Instrument Transformers

Energy Meters* Transmission Line Towers* * Weighted Production

April 2015

69


ERDANews

1.1.1 On-line • Partial Discharge (PD) using Acoustic Emission Analysis • Partial Discharge (PD) using Transient Earth Vo l t a g e (TEV)&Airborne Acoustic (AA)Sensors • Thermography

1.1.2 Off-Line • C & Tan Delta Measurement

Transformer Assembly Inspection

• Sweep Frequency Response Analysis (SFRA)

Electrical & mechanical diagnostics and RLA services

• Dielectric Response Analysis (DIRANA)

A Capability Profile

• Insulation Resistance & Polarization Index

ERDA’s Electrical &Mechanical diagnostics and Residual Life Assessment (RLA) group have vast experience base of carrying out risk and reliability centered condition assessment of transformers, motors, generators, switchyard equipment, boilers, turbines, reactors, and piping in private and public sector utilities and industries. ERDA is recognized by Central Boiler Board (CBB), Government of India as “well known Remnant Life Assessment Organization” under Indian Boiler Regulations 1950 and is also Empanelled with Central Electricity Authority (CEA) in association with amultinational company as consultants for preparation of DPR for R&M of thermal power plants.

1. Electrical Diagnostic Techniques for Transformers, Generators, Motors, and Switchyard Equipment 1.1 Transformers:

• Off-Line Partial Discharge (PD) Testing of HV Equipment • Transformer Oil

1.2 Motors / Generators (Rotating Electrical Machines) : [Assessment completed on more than 1000 motors & 75 generators]

1.2.1 On-line • Partial Discharge (PD) using High Frequency Current Transformer (HFCT) and TEV & AA Sensors • Partial Discharge (PD) Measurement • Motor Current Signature Analysis(MCSA) • Acoustic Emission Analysis • Vibration Analysis • Thermography

1.2.2 Off-line • C & Tan Delta Measurement • Insulation Resistance & Polarization Index • ELCID (Electromagnetic Core Imperfection Detection)

[Assessment completed on more than 350 transformers]

Diagnostic Testing of 200 MVA Transformer in a 400 kV Switchyard

On-line Condition Monitoring of Lightning Arrester

April 2015

• Motor Circuit Analysis (MCA) • Non-Linear Analysis

ELCID Test on Generator Stator

PD Survey of Switchyard Equipment

71


ERDANews

Off-line PD Measurement of Generator Stator

DPT of Super Heater Header

2. Mechanical Diagnostics Techniques for Condition Monitoring & Residual Life Assessment of Boilers, Turbines, Piping, & Reactors of Power and Process Plants (Assessment completed on more than 150 boilers and 75 turbines)

2.1 On-line • Thermography • Noise & Sound Analysis (NSA)

2.2 Off-line • Visual Inspection (VI)–also done online • Dimensional Measurement (DIM)

72

• Dye Penetrant Testing (DPT) • Magnetic Particle Inspection (MPI) • Ultrasonic Flaw Detection (UT-F) • Ultrasonic Thickness Measurement (UT-T) • Ultrasonic Hydrogen Embitterment (UT-H) • Radiography (RT) • Eddy Current Testing (ECT) • In-Situ Metallography (RPL) • Hardness Measurement (HT) • Remote Visual Inspection by Fibroscopy, • Boroscopy and Videoscopy (RVI-F)/(RVI-B)/(RVI-VS) • In-situ Chemical Analysis (CA) • Natural Frequency Test for Turbine Blades (NFT)

3. Customer Base • Private and Public Sector Power Plants • Process Industries • Substations upto 400 kV

Dr G S Grewal, Deputy Director (MTD)

Phone: 0265-3048027, Mobile: 09978940951 E-mail: gurpreet.grewal@erda.org Website: www.erda.org

April 2015


CPRINews

Award for “Best Power Research Institute” during CBIP Day 2015. The award was presented on 1st January 2015 in New Delhi by CBIP.

six degrees of freedom, which is capable of performing a diverse range of Seismic

Accolades to CPRI

Qualification of equipment /

Central Power Research Institute (CPRI) with its stateof-art facilities has been offering dedicated services to the Indian Power Sector for over five decades. In recognition of its contribution to the Power Sector, the Institute has recently received two Prestigious Awardsduring 8th ENERTIA Awards 2014 and CBIP Day. Shri.N.Murugesan, Director General, CPRI received the Awards during the events.

structures for Industries and

Seismic Qualification of 245 kV Single Pole SF6 Circuit Breaker

Transformers,

Substation equipment are observed from the past earthquake data, as Seismically-weak and prone to service failure due to earthquakes. A need for reliability of electrical equipment against vibrational hazards due to earthquakes has become prime importance. In order to meet the basic requirements regarding Seismic qualification of equipment and thereby to ensure reliable power transmission, Earthquake Engineering laboratory capable of performing a diverse range of Seismic qualification requirements on equipment, sub-assemblies and components as per National and International standards has been established at CPRI, Bangalore. Earthquake Engineering and Vibration Research Centre of CPRI is equipped with a Triaxialshaker system with

Award for “World Class National Institution in the Power Sector” during 8thENERTIA Awards 2014. The award was presented on 27th November 2014 to CPRI in New Delhi.

April 2015

Utilities as per National and International standards. More than one hundred fifty Seismic Qualification tests have been conducted

on

substation

equipments like Instrument Switchgears,

Isolators, Transformer

Bushings, Electrical Panels etc. 245 kV Single Pole SF6

Recently a 245 kV Single Pole Circuit Breaker mounted SF6 Circuit Breaker was tested on Tri-axial Shake table for Seismic Qualification as per IEC TR 62271 – 300 at CPRI.

Forthcoming CPRI Technical Programmes http://www.cpri.in/events.html Sl No

Name of the Event

Dates

1

Tutorial on Vibration and Shock Testing

Feb 26 2015

2

Two days Workshop on Grounding Practices

3

Tutorial on Seismic Design and Testing

Feb 27 2015

4

National Conference on Power System Protection

Feb 27-28 2015

5

Two days workshop on Smart Transmission Grid

Mar 9-10 2015

6

Workshop on Metering Technology

Mar 12-13 2015

Feb 26-27 2015

For details, contact: Shri Prabhakar Hegde, Joint Director (Information and Publicity Division) CPRI, Bangalore. Tel: 080 23602329 Email: hegde@cpri.in

73


Seminars&Fairs

gas and water. It is a sister event to European Utility Week which is the largest utility event in the world. It is focused on the technology strategies behind ASEAN’s largest utilities, in particular the distribution and retail sectors and the integration of distributed generation assets within the grid. The event has a long history in metering and smart grid strategies, clean energy, T&D, and Billing/CRM. While the conference itself is strategically focused on issues relevant to senior management decision makers, the exhibition hosts a separate event series called the Technical Q&A (focusing on key engineering problem areas) and the Innovation Showcases (focusing on new hot products and technology strategies) to add value for our trade visitors. These sessions are designed to be highly technical and are ideal for vendors to promote their services to the key influencers.

4 Power & Energy Africa 2015 Th

The Fourth edition of Power & Energy Africa is an imposing demonstration of its importance for the successful development of power and energy sector in Kenya. The expectations with the first show were not only fulfilled, but clearly surpassed.

The conference is designed for strategic level decision makers and runs for 2 days within 4 tracks. It covers all the key issues raised by the utilities during one-to-one research discussions and as suggested by our Program Advisers comprising utility leaders from across the region. We anticipate no less than 80 speakers sourced from across ASEAN utilities, leading vendors as well as international experts.

The 4th Power & Energy Africa is being held from the 27th to the 29th of April, 2015 at Kenya’s prime international venue; the Kenyatta International Conference Centre in Nairobi.

Asian Utility Week 2015 will be held from June 9 to 10 at Centara Grand & Bangkok Convention Centre at Centralworld.

Exhibiting at the largest power event in the industry will allow you to showcase your products and services to the industry’s largest gathering of qualified decision-makers.

Roderic McLauchlan Phone: +65 6590 3970 Email: info@clarionevents.asia

Trade visitors from all over East & Central African countries are being invited directly and in collaboration with several regional trade bodies in Kenya, Tanzania, Ethiopia, Uganda, Somalia, Mozambique & Congo. Though Kenya by itself is one of the biggest markets in Africa, major emphasis is being laid upon attracting traders and importers from neighboring countries For contact details: S K Singh, CEO Mobile : +91 98860 50823, +91 95900 50236 EXPOCONSULT - Team Expo Group

Asian Utility Week 2015 Asian Utility Week 2015 is a large scale exhibition and conference series focused on the technology strategies behind ASEAN’s largest utilities - power,

April 2015

For contact details:

GREEN Summit 2015 GREEN Summit (Global Renewable Energy Summit) organized by FKCCI will take place from 23rd April, 2015 to 25th April, 2015 with Event Partner MM Activ, is an annual Renewable Energy event supported by the Government of Karnataka and envisaged as a platform to showcase the immense business & transformational opportunities in renewable energy, across all segments. The Summit brings together leading policy makers, global experts, industry captains, investors and SMEs and other stakeholders and is a unique opportunity to network, meet, learn, build business and chart the future of Renewable Energy in Karnataka and India. Be a part of the event to explore unlimited opportunities in Renewable Energy sector.

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ProductShowcase

due to improper Earthing. Leakage current passes through human body and fatality occurs. MECO Introduce Model 4680BL & 4680BLC at very Low Price having Jaw opening of 65mm x 32mm, which is suitable to take measurement from Earthling Strip or Conductor of Φ 65mm x 32mm approx. This testers are capable of measuring Ground Resistance from 0.010 Ohms to 1000 Ohms (4680BL) and Leakage Currents in TRMS mode from 0.80mA to 30A AC (4680BLC). Data hold, Data Storing Memory, Configurable Alarm, Auto power off & Continuity Loop Test are Key features of 4680BL / 4680BLC. Standard Resistance Calibration Plate provided to verify the calibration check of tester. Substantial time saving and easy operating justify the investment in these instruments.

Power & Harmonics Analyzer Under BEE’s PAT Scheme (Perform, Achieves & Trade) for Eight Industrial Sectors mandated to compulsorily improve their Energy Efficiency by adopting all the available measures including replacement of their old Equipments with New and Energy Efficient Equipments MECO “POWER & HARMONICS ANALYZER – Model 5850” is a state of art versatile instrument using micro controller technology, Ideal to carry out Vigilance checks, Surveys, Audits and Periodic Visits for checking at Industrial and Consumers end. The measurements can be done on Live loads. Useful to Analysis for 1 & 3 Phase Quality Power System. Large Dot Matrix LCD Display with Backlight of 35 Parameters in screen to monitor Energy, Active Power, Apparent Power & Reactive Power, Power Factor, Energy, TRU RMS Value, AC Current, and Average & Maximum Demand with Programmable Time Interval & CTR & PTR. Displays Individual Harmonics of Voltage & Current upto the 99th Order, THD with Waveform & Peak value. For details please visit : website www.mecoinst.com

Clamp-On Earth / Ground Resistance & Leakage Current Tester Every Electrical Equipment’s, appliance, system must be Earthed or grounded to obtain a low resistance path for dissipation of current into the earth. Earthing plays an important role for safe and proper operation of any Electrical installation. Ground fault current directly has an impact on human safety. Major accidents happen

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For contact details Haren Shah – Senior Marketing Executive (Mobile : 09820093232)

Helicase Solar Junction Box TE Connectivity (TE), a world leader in connectivity, today announced the launch of its Helicase TM solar junction box. The junction box has been tested and certified by TUV Rheinland for the highest degree of safety as per EN 50548:2011+A1 and appropriate IEC Standards. TE’s industrial engineering team in India used significant research and customer feedback to innovate the Helicase, which was specifically developed for India to tap opportunities such as solar rooftop systems, water pumping, street lighting, traffic/railway signaling, etc. The product is efficient, long lasting, compact and safe. Helicase provides the following benefits for customers: • TUV certified, global standard quality • Reliability and extended life • Thermal and electrical efficiency leading to increased ROI • TE is a global leader with more than 20 years of experience in the solar market with strong manufacturing presence in India. This gives the company a competitive advantage to make quality products for customers at low cost. Helicase, TE Connectivity and the TE connectivity (logo) are trademarks of the TE Connectivity Ltd. family of companies.

April 2015


InternationalNews

generation equipment for large coal-fired thermal power plants in Vietnam. Power demand in Vietnam is also increasing steadily, with the development of economy sector in the country. The government is focusing on Southern Vietnam putting more efforts to develop the power capacity, where supply and demand is facing challenges right now.

International News

GE signs major contract with Egypt to deliver 2.6 GW of power Toshiba to supply steam turbines and generators for Vietnam coal plant Toshiba has secured a contract with Japan’s Sumitomo Corporation to supply 688 MW super-critical steam turbine and generator (STG) for Duyen Hai 3 Extension Coal-fired Power Plant. The plant located in the Duyen Hai district of Tra Vinh Province of Vietnam will be developed by Sumitomo under the EPC contract. Toshiba will deliver the turbines and generators in 2016 and the plant will start operation in 2018. Duyen Hai 3 Extension Project is one of three urgent projects, developed by Vietnam Government with an aim to enhance the power generation in the country. In the last six years, the company has been awarded orders for Vung Ang 1 Thermal Plant, Thai Binh 2 Thermal Plant and Vinh Tan 4 Thermal Plant, another of the three urgent projects. Toshiba is specialized in supplying electric

GE has signed major contracts with the government of Egypt to deliver 2.683 GW of electricity at the Egypt Economic Development Conference held here. GE will supply 46 turbines out of which 34 will be aero-derivative gas turbines and 12 will be heavyduty gas turbines. The delivery of turbines is expected to start from May 2015. The produced power will be sufficient to power more than 2.5 million homes. The announced contracts were signed in December of 2014 and construction is currently underway. In December 2014, soon after the signing contracts were finished with the government of Egypt, GE dispatched its advanced gas turbine technology to construction sites. Currently, GE’s advanced gas turbines help generate more than 9.5 GW of electricity in Egypt, nearly 30 percent of the country’s total installed capacity. According to the Oxford Business Group, Egypt’s power generating capacity need to be boosted up to 50 GW by 2025, nearly double the capacity today, with demand growing at an annual 10 to 12 percent. Recently, GE supplied China’s Huaneng Corporation with 55 units of 2.75-120 brilliant wind turbines, to be installed at the Huaneng Dali Longquan wind project in the Yunnan province of China. The project will provide 151 MW of power, making it GE’s largest wind order in China to date.

Singapore firm completes 660 MW thermal power project in India Singapore firm Sembcorp Industries announced its first power project in India has commenced commercial operation. The firm announced completion of the first 660-megawatt unit of the Thermal Powertech Corporation India (TPCIL) plant in Nellore district of Andhra Pradesh. The 1,320 MW coal-fired power plant in the coastal town of Krishnapatnam comprises

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April 2015


InternationalNews

two units of 660 MW each, with the second unit expected to begin commercial operation in the third quarter of 2015. The approximately $1.5 billion power plant utilises supercritical technology, which allows for enhanced efficiency and reduced emissions compared to other conventional coal-fired power plants, the company said in a statement. With the completion of this first unit, the plant has begun supplying power to the states of Andhra Pradesh and Telangana, helping to meet the increasing power demand in the southern region and supporting its economic growth. TPCIL has already secured power purchase agreements for 900 MW, or almost 70 percent of the plant’s capacity, of which 500 MW will be sold under a 25-year agreement with the Andhra Pradesh and Telangana power distribution companies. Sembcorp owns a 65 stake in TPCIL through its wholly-owned subsidiary, Sembcorp Utilities, while Gayatri Energy Ventures, a wholly-owned subsidiary of Gayatri Projects, owns the remaining 35 percent.

Germany to give 1 bn euro loan to India for strengthening power sector Germany has also agreed to provide technical assistance of two million euros for forecasting, balancing, market design and network management. Minister of State (Independent Charge) for Coal, Power and Renewable Energy Piyush Goyal has said that a development bank owned by the German government, the Kreditanstalt fur Wiederaufbau (KfW), has agreed to provide a concessional loan of a billion euros over the next six years to augment and strengthen the nation’s renewable power transmission infrastructure.

Tata Power’s global collaboration for power project in Georgia Tata Power has completed the financial closure to develop a hydel-power project in the Adjaristsqali river in the southwestern European nation of Georgia alongwith two other companies. “The Shuakhevi plant aims to satisfy Georgia’s electricity demand during winter, reducing dependence on imported fuel and increasing renewable energy output. It will also foster cross-border electricity trading at other times of the year by exporting electricity to Turkey through a transmission line financed by EBRD,” the company said in a statement. As per the company, International Finance Corporation (IFC), part of World Bank, along with Asian Development Bank (ADB) and European Bank for Reconstruction and Development (EBRD) has arranged the largest-ever private hydropower investment in the former Soviet republic amounting to $400 million through project financing. “Adjaristsqali Georgia is a joint venture between Tata Power and Norway’s Clean Energy Invest (40 percent each), and IFC (20 percent). This project will help Georgia achieve energy self-sufficiency,” it said.

Jordan signs $10 billion nuclear power plant deal with Russia Jordan signed an agreement with Russia worth $10 billion that sets the legal basis for building the kingdom’s first nuclear power plant with a total capacity of 2,000 megawatt. Jordan imports nearly 98 percent of its energy from oil products and crude and is struggling to meet electricity demand which is growing by more than 7 percent annually due to a rising population and industrial expansion.

Germany has also agreed to provide technical assistance of two million euros for forecasting, balancing, market design and network management in connection with grid integration of renewable power. Goyal said the synchronisation of power from renewable sources under the Green Energy Corridor project, with soft loan assistance from KfW have not begun yet because it is at different stages of implementation in different states.

The deal, signed with Russia’s state-owned nuclear firm Rosatom, envisages the construction of a twounit power plant at Amra in the north of the kingdom by 2022. “The Russian technology we chose in a very competitive process suits Jordan’s needs in terms of power generation and the ability to produce electricity at very competitive prices,” Khaled Toukan, chairman of the Jordan Atomic Energy Commission (JAEC), told a news conference.

The minister further said that the Green Energy Corridor project will be helpful in grid stability, as it will evacuate renewable power from the generation points to load centres with creation of additional and adequate transmission capacity.

The deal provides for a feasibility study, site evaluation process and an environmental impact assessment. Jordan hopes that eventually nuclear power could provide almost 40 percent of its total electricity generating capacity.

April 2015

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NationalNews

Electrical Equipment Grows by 11.47 % in Q3: IEEMA

National News

Protecting Domestic Industry will support Make In India Campaign The electrical and industrial electronics industry has witnessed a 11.47 % growth in Q3 of FY 2014-15. The overall industry has grown by 8.95% in nine months of this fiscal. Although higher imports still plague the industry but policy changes and various initiatives undertaken by the industry and government are eventually showing signs of revival for the sector. The data is compiled by the Indian Electrical and Electronics Manufacturers’ Association (IEEMA), the apex Indian industry association of manufacturers of electrical, industrial electronics and allied equipment. The production and sales data is collected from its member organisations, which represent 95 percent of the entire sector. Although the major drivers in this growth are cable, LV and HV switchgear, Power transformers and LT Motors continue to show declining trend. Conductors and Energy meters have registered a tremendous growth in their volume with 44.9 percent and 28.2 percent respectively. The reason for this growth in conductors is the procurement of these products by major PSUs and utilities as their inventories are being utilised. As the consumers are opting for Smart and Energy efficient products, growth is also observed in transformer operational meter and single phase multi functional meters with smart features. Also, the growth in LV product and FHP motors indicates some industrial activity. Mr Vishnu Agarwal, President, IEEMA says, “There is a positive momentum in sub transmission and distribution of 66kV products and below. The growth in turnover of MCB, Energy Meters and Cables is a good sign as it indicates a vivid pace of development taking place in Power, Infrastructure and Reality sectors of the Country.”

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Mr Sunil Misra, Director General, IEEMA is of the view that “We still need to watch out for the high rate of imports of EHV transformers, reactors, cables and insulators, which harm domestic production. Indian manufacturers are well equipped and have the capacity to manufacture these products.” Rotating Machines continue to show negative growth as there is low awareness in consumers for energy efficient motors even though IS 12615/2011 is in place. There is a surge in import of RM from ` 400 crore in 2010 to over ` 2000 crore in 2014.

Smart Cities project likely to be rolled out next month The much awaited Smart Cities project is likely to be rolled out next month as the extensive consultation process with all stakeholders has concluded. “We are close to launching the much awaited Smart Cities initiative on ground. Prolonged and extensive consultations on this new concept and initiative have finally concluded. We will have all the necessary approvals for this project by the end of this month and action on ground will begin next month onwards,” Urban Development Minister M Venkaiah Naidu said addressing a seminar on Smart Cities here. Describing the project as the “Biggest buzz word and the flavour of the season” in the country now, he said, “We are collectively gearing up to meet the challenges of growing urbanisation with the goal of converting it into an opportunity.” NDA government had last year declared the mission of creating 100 Smart Cities across the nation based on better technology, superior management and modern governance. However, Naidu said the selection of the Smart City will be strictly on the basis of the criteria laid out by the government and no other consideration, including political ones, will be taken into account. On how a smart city is different from a city in which smart things happen, the Minister said a three-fold approach was taken. Explaining them, he said, “Retrofitting and redevelopment of unsustainable urban areas that we have inherited and identified for development as smart cities, and development of new smart cities.” “We want smart cities to be developed to take advantage of and further evolve around their core economic activity, using it as an economic engine, like port cities, tourism cities, healthcare and educational cities,” he said.

April 2015


NationalNews

IEEMA being one of the proud partners of the ‘Make in India’ campaign has identified a four point agenda and has been vigorously pursuing with the policy makers, so as to positively impact made in India products with state-of-the-art technology – 1. Domestic funded tenders by Utilities to be in INR and if for some reasons there needs to be international bidding, then 15% for preference to Domestic industry. 2. Mandatory Vendor development programme by Utilities. 3. Mandatory testing of all Imported Electrical Equipment by Test house in India. 4. Standard specifications and standard bidding terms for same products across Indian Utilities.

Energy Efficient Norms for Power Plants The Government has identified 144 thermal power plants/stations for improving energy efficiency and thereby reducing fuel consumption under Perform, Achieve and Trade (PAT) Scheme of the Ministry of Power (MoP) being implemented by Bureau of Energy Efficiency (BEE). This was stated by Sh. Piyush Goyal, Minister of state for Power, Coal & New and Renewable Energy (Independent Charge) in a written reply to a question in the Lok Sabha today. The energy savings of 3.211 million ton of oil equivalent/year is targeted to be achieved by these thermal power plants by the end of first PAT cycle which is from 1.4.2012 to 31.3.2015.

2. Mapping studies of 85 thermal power generating units were carried out during 2007-09 in the country under Indo-German Energy Programme (IGEN). The mapping studies were carried out by using Ebsilon Professional Software to identify gaps in operating parameters vis-à-vis design parameters pertaining to overall energy efficiency of the plant. This has enabled power utilities to take remedial measures to enhance operational efficiency of their plants. The 15 different thermal power generating utilities have been supplied 55 Ebsilon Professional Software and around 100 engineers from 15 different utilities have been trained to use Ebsilon Professional Software. 3.

Central Electricity Authority (CEA) has notified Technical Standards for Construction of Electric Plants and Electric Lines Regulations – 2010 which lay down the requisite efficiency criteria to be complied by the stations coming up in the country.

4. Old & in-efficient thermal units are being retired in a phased manner. A total capacity of about 3000 MW has already been retired till date. 5. Supercritical technology is being adopted to enhance the efficiency of coal fired power generation and reduce the specific coal consumption in production of power. A capacity addition of 24750 MW based on supercritical technology has already been achieved till date.

The Minister further stated that the steps taken/being taken by the Union Government to improve Demand Supply Management are as follows:-

Center commits major power development plans for Tamil Nadu

1. Advanced planning of generation projects for 12th Five Year Plan in detail and perspective planning for 13th Plan.

The Power Grid Corporation of India will upgrade the transmission facilities from Northern region of India to the Southern region by investing around ` 30,000 crore, said Piyush Goyal, Union Minister of State for Power, Coal and New and Renewable Energy.

2. Rigorous monitoring of under execution projects – All the under execution projects are monitored at the highest level to resolve the bottlenecks and to ensure that the projects are commissioned on time. The following steps are being taken to design and operate the power plants as per energy efficiency norms across the country:1. Renovation & Modernisation (R&M) and Life Extension (LE) of existing old thermal power stations are taken up for improving plant performance. R&M and LE works of total capacity of 18776 MW have been completed.

April 2015

The center has also approved 100 MW of additional powers from the Kudankulam Nuclear Plant’s Unit II to Tamil Nadu, which is expected to go on commercial production soon. The power transmission projects will be designed and implemented within the next three years, said the minister. Minister was addressing reporters after meeting the Tamil Nadu Chief Minister O Panneerselvam at Chennai. Tamil Nadu will be the most beneficiary state among south, once the project is completed and power

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NationalNews

starts to flow from Northern grids of India to the South. According to minister, the center is committed to support the power sector in Tamil Nadu. The government has to promote industrialization and growth of farmers in the state by ensuring sufficient power supply. Tamil Nadu government also asked center to speed up the Cheyyur Ultra Mega Power Project (UMPP). Further, the minister said that government is planning bidding out all the new UMPP, including one in Tamil Nadu, which will commence shortly.

which had proposed to raise tariff recently, said their revenue gap ranges between Rs 1,600 crore and ` 1,835 crore. Discom companies had recently proposed 24 per cent hike in power tariff. The government further made provision of Rs 275 crore against tariff subsidy for MP Power Management Company Limited and power distribution companies. To provide interim relief to farmers, the finance minister made a provision of Rs 450 crore to provide interest subsidy to farmers on short-term farm loans

In addition, from the Integrated Power Development Scheme (IPDS) meant for urban areas, the Center has approved nine towns at an investment of nearly ` 363 crore. The 13th finance Commission has approved ` 1,051 crore to Tamil Nadu for various renewable energy projects.

Power discoms in Madhya Pradesh to get Rs 7,728 crore Madhya Pradesh assembly cleared the proposals of the 2014-15 budget of more than Rs 10,000 crore in a day-long session. The power discoms have been given ` 7,7 28 crore from the state. The budget session of MP assembly, which began on February 18, was adjourned sine die abruptly on February 26. It was scheduled to continue till March 27.The state government also has made provisions of ` 450 crore as interest subsidy on short-term farm loans obtained by farmers from state-owned cooperative banks. State power discom companies, Finance Minister Jayant Malaiya said told the House, had been given working capital or loans. The working capital, loan on it and interest on the loan needs to be converted into consistent loan and hence the discom companies need an amount of ` 7,728.45 crore. State government already made an allocation of ` 5,471 crore in its annual budget for power sector. The power discom companies,

Andhra Pradesh Andhra Pradesh to invest ` 4,360 crore in power sector Andhra Pradesh Finance Minister Yanamala Ramakrishnudu, announcing a ` 4,360-crore provision in 2015-16 budget for energy sector, said the State is on course to achieve the programmed capacity additions in current fiscal. The total capacity addition during 2014-15 will be 1,650 MW, he said, adding that two hydel units of Nagarjuna Sagar Tail Pond Dam are set to be commissioned in March. The APGENCO, he said, had planned to add 1,650 MW in the current financial year consisting of two units of Sri Damodaram Sanjeevaiah Thermal Power Project, Krishnapatnam, Nellore district with supercritical technology. Speaking on the renewable energy sector, the Minister said that the government had already “announced comprehensive wind and solar power policies to attract investments.�It is also developing 2,500 MW capacity solar power parks in Ananthapuram, Kurnool and Kadapa districts.

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April 2015


NationalNews

Bihar Electricity tariff raised nominally in Bihar The Bihar Energy Regulatory Commission (BERC) announced to nominally increase in the power tariffs in the state. Electricity consumers in Bihar will have to shell out 10-15 paisa per unit more with effect from next month. The increase will generate ` 113 crore for the power distribution companies (DISCOMs). Disclosing the details of the annual revenue requirement (ARR), filed by the (DISCOMs), the BERC chairman UN Panjiar said, “For the FY 2015-16, the DISCOMs have projected a revenue gap of ` 2,540 crore at the existing tariff rates and proposed to increase the average tariff by approximately 21 percent to meet the revenue gap. However, after examining and verifying information provided by these companies and considering the suggestions of the stakeholders and prudence check of revenue expenses, the commission has determined the revenue gap of ` 709.60 crore for next fiscal.” Out of this amount, sum of ` 480 crore would be provided by the state government to the DISCOMs as resource gap assistance, leaving a revenue gap of ` 229 crore. In this amount, the BERC has asked the two state-owned DISCOMs to increase the revenue and garner about ` 116 crore by increasing their efficiencies. Panjiar said, “For meeting the revenue gap of ` 113 crore, we have decided to marginally increase the existing tariff rates by about 2.5 percent in all categories except agriculture, street light and public water works consumers.”

Haryana Haryana power distribution utilities loss at ` 30,000 cr in FY15 Power distribution companies in Haryana have an accumulated loss of ` 30,000 crore in the 2014-15, according to a white paper on the state’s finances released. In 2004-05, the loss was ` 1,030 crore. According to the Haryana power department, the gross outstanding receivables of the state discoms have been pegged at ` 4,904 crore for 2013-14. Chief Minister Manohar Lal Khattar released the white paper — the second evaluating the financial health of

April 2015

the state. Excess of working capital borrowing by the discoms and huge gross outstanding receivables are the reasons for the ailing power sector. The power utilities have been in the red for the past few years. Haryana is one of the seven states that the Centre has chosen for financial restructuring. One of the main reasons for the ailing power sector is that from 2001 to 2012 is the disparity between the rise in the cost of power and revision of tariff. While the power cost in Haryana increased by 300 per cent, the tariff was revised by only 50-60 per cent, creating a huge gap between the average revenue realised (ARR) and average cost of supply (ACS). The transmission and distribution losses in the state are to the tune of 30 per cent. The obsolete distribution network does not provide a foolproof mechanism to bring down the losses but anything above 15 per cent is alarming.

Meghalaya Meghalaya to generate 723 MW power in next ten years Meghalaya government is aiming to generate 723 MW of power by 2023-24, to meet the energy requirements of the state. “This was projected in view of the growth of demand for power which is at 8 per cent during the last 10 years,” said Meghalaya Power Minister Clement Marak. The state’s generation will be at 462 MW from the Leshka stage II power project and 260.93 MW will be taken from the Central share, he said. In 2014-15, the availability of power in the state is only 253 MW of which 159 MW is Central share and state’s own generation is only 94 MW, according to the minister. During 2015-16, the state is expecting to get 306 MW of power from four power projects, out of which 95 MW is the state’s own generation and 210.93 MW. The four power projects include Pallatana GPP Unit II, Bongaigaon TPP, AGTPP combine cycle and Lakroh SHP. By 2020-2021, power availability is projected at 489 MW and 611 MW from 2021 to 2023, he said. The Unit-I of the New Umtru HEP in Ri Bhoi is expected to be completed in March 2016 and Unit-II by June 2016. Similarly, the Lakroh Mini HEP in Jaintia Hills District which generating capacity is 1.5 MW is expected to be completed by December this year, with 11.0 million units generating capacity.

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CorporateNews

According to a press statement, ABB has been awarded about 100 HVDC projects since it pioneered the technology 60 years back. It translates to capacity of more than 120,000 MW and accounts for about half the global installed base.

BHEL LTD BHEL commissions 660 MW of Bihar thermal power project

Corporate News

ABB ABB wins $900 million order associated with NordLink Swiss power and automation technology company ABB has won orders worth around $900 million as part of the NordLink project. Nordlink is a proposed subsea high-voltage direct current (HVDC) power cable project to connect Norwegian and German power grids. A consortium comprising utilities including Statnett and TenneT besides promotional bank KfW has approached ABB for the supply of on-shore HVDC converter stations and the cable system on the German side. The 623-km NordLink would be the longest HVDC connection in Europe and is scheduled to go into commercial operation in 2020. The contract also includes a five-year service agreement. “The combination of renewable power generation in Germany and hydroelectricity in Norway, demonstrates that we can technologically enable a sustainable green energy policy across Europe,” ABB CEO Ulrich Spiesshofer said.

Indian public utility Bharat Heavy Electricals Limited (BHEL) has commissioned the second 660 MW of the Barh Supercritical Thermal Power Project, Stage II of NTPC in Bihar. Recently, BHEL was executing orders for 36 sets of supercritical boilers and 31 sets of supercritical turbine generators are under various stages of execution, the company statement said. The order has been taken from Central, State sector and private sector companies. The supercritical thermal units are more efficient, with less coal consumption and more eco-friendly. The major equipment for the project was manufactured at BHEL’s Haridwar, Trichy, Hyderabad and Bengaluru units. BHEL supplied thermal sets is efficient enough to fully meet the performance standards notified by CEA demonstrating a better operating heat rate resulting in less coal consumption per unit of power produced. BHEL has kept its market leadership in the supercritical sub-critical thermal power segment of the country. To keep updated with the advanced technologies, BHEL has taken up the home-grown development of the Advanced Ultra Supercritical (AUSC) technology with NTPC and IGCAR, resulting in a reduction of about 11 percent in coal consumption and CO2 emission.

NordLink will be a key connecting link between Norwegian and German grids and is expected to improve energy security in both countries besides by allowing surplus wind and solar power produced in Germany to be transmitted to Norway, and hydroelectric power to be transmitted in the opposite direction. The link will transmit 1,400 MW, which can power 3.6 million German households.

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April 2015


CorporateNews

BHEL LTD BHEL disinvestment likely in April; may fetch ` 3,200 crore The government has firmed up a list of PSUs to be divested next fiscal, starting with BHEL in April, in a bid to meet the ` 41,000 crore stake sale target for 201516. Official sources said the Disinvestment Department has completed overseas roadshows for BHEL stake sale in London, Singapore and Hong Kong. At the current market price of ` 260.75 a share, sale of over 122 million shares in BHEL would fetch around ` 3,200 crore to the exchequer. Other companies which are on the block include NMDC, NALCO and IOC, with 10 per cent stake sale proposal each. Besides, 5 per cent stake sale in ONGC, PFC and REC is also on cards. Sources said the Disinvestment Department feels shares of BHEL have been holding steady and the time may be right for going ahead with the stake sale. The government holds 63.06 per cent in BHEL. In March 2014, the government had sold 4.66 per cent stake in BHEL to LIC through a block deal for around ` 1,800 crore. According to sources, the process is on for disinvestment in other PSUs. Specifically for 5 per cent stake sale in ONGC, the government is working out a subsidy sharing roadmap to give clarity to investors.

Crompton Greaves Crompton Greaves likely to sell consumer arm for $300 million Gautam Thapar-owned Crompton Greaves is close to selling 35% stake in its consumer durables business to private equity firm Advent for $300 million. But the valuation of the consumer durable business has alarmed the shareholders and analysts as they were expecting the durables business to be valued higher. The transaction with Advent has valued the consumer business at ` 80 a share though an official announcement from Crompton is still pending. The Crompton Greaves board had demerged the consumer business last year for a possible sale. But based on comments received from Sebi, the stock exchanges and from small investors, the Crompton board reconsidered the merger proposal and decided to implement a 100% demerger of the consumer products business, in a manner that the shareholding

April 2015

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CorporateNews

pattern of the resulting consumer company shall mirror the shareholding pattern of CG. Earlier, Crompton was planning to retain 26% stake in the consumer durable business.

Power Finance Corporation PFC grants ` 15,000 crore for thermal power project in Telangana In a major development in Telangana, the Power Finance Corporation (PFC) has announced ` 15,000 crore for establishing thermal power projects in the State. The Telangana Genco (TS Genco) CMD and Power Finance Corporation CMD have signed a memorandum of understanding (MoU) for the same in the presence of Chief Minister K Chandrasekhar Rao here. On the request of the Chief Minister, the PFC has also agreed to decrease the interest rate on debt from 12 per cent to 11.5, which will save ` 300 crore for TS Genco. The amount is meant for setting up 1080 MW Bhadradri power plant in Manuguru of Khammam district and 4,400 MW power plant in Dhamaracherla of Nalgonda district. In Dec 2014, it was finalized that 7,500 MW thermal power plant will come up in Nalgonda district at an investment of ` 53,000 crore. The State government kept aside ` 6 crore for each MW production. Meanwhile, Union Environment Minister Prakash Javadekar told that the TS Genco’s 4,400 MW project at Damaracherla will be cleared on March 17.

Rural Electrical Corporation REC to provide ` 24,000 crore for Telangana power projects The Rural Electrical Corporation (REC) Limited, a central government enterprise, has come forward to fund power projects in Telangana to a tune of ` 24,000 crore. Under a memorandum ofuUnderstanding (MoU) signed here, REC will fund Telangana State Generation Corporation’s power projects aimed at generating 6,280 MW. The projects which will be funded are 800 MW at KTPS, 1,080 MW at Bhadradri in Manugur of Khammam district and 4,400 MW at Damaracherla in Nalgonda district. REC is a Navaratna Enterprise and provides financial assistance for rural electrification as well as all types of power generation, transmission and distribution

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projects. With this, the state has achieved financial closure for all three power projects. Earlier, the Power Finance Corporation (PFC) agreed to fund ` 15,000 crore for the same projects and TSGENCO will fund ` 3,000 crore, totalling ` 42,000 crore. This apart, the NTPC as mandated by the central government will be spending ` 24,000 crore for its 4,000 MW project and Singareni ` 4,000 crore. Another ` 21,500 crore will be invested in solar projects and evacuation and transmission lines parallel. “Thus the total investment for 10,280 MW of power plants in the next four years will amount to ` 91,500 crore,” said a statement from the chief minister’s office. At the request of the chief minister, REC reduced the rate of interest on its funding by 0.5 percent. This will reduce the burden on TSGENCO by about ` 600 crore.

SENER-AFCONS SENER-AFCONS JV sign EPC contract with H-Energy The joint venture between SENER and AFCONS, named AFCONS - SENER LNG Construction Projects Private Limited, has recently signed an EPC contract with H-Energy Gateway Private limited (HEGPL), a Hiranandani Group Company, for engineering, procurement and construction (EPC) of its LNG storage and re-gasification project in Jaigad, Maharashtra. The capacity of the plant is 8 million tons per annum (MTPA) and facility construction is set to commence from sometime middle of this year. “We are immensely happy with the ability of the consortium to deliver us a world class LNG regasification terminal and hope to extend this partnership to several other projects in the future,” said Darshan Hiranandani, Chief Executive Officer, H-Energy Group of Companies. SENER’s Power and Process General Manager, Borja Zárraga, stated, “We hope that the Jaigad plant will be followed soon by new LNG contracts in Asia where we are currently present with other technologies like in solar thermal plants.” The joint venture AFCONS - SENER LNG Construction Projects Private Limited is a 49-51% partnership between the two companies. SENER will carry out complete design and engineering for this project on behalf of the JV and support the JV with its global expertise in procurement, construction, project management and commissioning.

April 2015


CorporateNews

Isolux Corsan Isolux Corsan completes first EPC project for PGCIL to boost India’s T&D sector Isolux Corsan India, the Indian subsidiary of the largest European infrastructure company operating in the domestic sector announced that it has completed its first High Voltage Transmission line EPC project for Power Grid Corporation of India Limited (PGCIL). Isolux Corsan undertook the complete engineering, procurement and construction of 163.6 Km of 765 KV single circuit transmission line on the Pune- Solapur section in the state of Maharashtra. This line is a crucial link to the One Grid project of the Government of India, being executed by Power Grid Corporation of India Limited (PGCIL). The fully completed project is now set to unify the southern and western regions which will improve the process of distribution of electricity as and when the Krishnapatnam Ultra Mega Power Plant commences. The project has been completed within the stipulated timeframe despite serious operational challenges like inhospitable terrain, land acquisition and inclement weather. It demonstrates Isolux Corsan’s commitment to the timely execution of projects no matter where they operate. Speaking on the successful completion of the project, Mr. Jose Ruiz Hernandez, Managing Director, Isolux Corsan India said, “The new Government has taken up the agenda of bolstering India’s infrastructure which is crucial to the country’s economic growth. We, as a serious professional organization in the space, want to be committed in accomplishing the task. Speaking for the company, we are keen to grow in emerging markets and India is a key geography of our growth strategy.”

Anchor Anchor by Panasonic launches new TVC Campaign For ‘Riki- The Power CFL’ India’s leading electrical solutions manufacturer Anchor by Panasonic, announced the launch of a new TVC campaign for ‘RIKI- The Power CFL’. The TV captures the innovation, engineering and designing excellence of RIKI and elaborates its cutting edge features like unmatched life span of 10,000 hours and technological prowess. The concept of RIKI as a starperformer in the CFL market leaves an impression with the elaboration of product’s distinctive features.

April 2015

ELECTROMAT features:

1. ISI Marked (IS: 15652:2006) 2. High Di-electric strength 3. CPRI Tested 4. Available Size - Width: 1Mtr, Length: 2 Mtr, 5 Mtr & 10 Mtr.

ELECTROMAT Special Features & Promises: Super Stain Resistance Coloured band on both sides Fire Retardant High Tensile Resistance

Replace Outdated Rubber Mats:-

Rubber mats with old specification i.e. IS 5424:1969, being obsolete, has been withdrawn by BIS. As per Indian Gaz ette Notification No.:S.O. 2086 dt. 17th July, 2007 & further Central Electricity Authority Notification No. CEI/1/59/CEA/EI Dt. 20 SEPTEMBER, 2010 use of rubber mat with old IS: 5424:1969 is banned. The only applicable BIS

Specification is IS: 15652:2006 for “Insulating Mats for Electrical Purpose”

40/1A, Site IV, Industrial Area, Sahibabad, GHAZIABAD, U.P. INDIA Ph. No.: (0120) 4153034, Fax: +91-11-66173349 Ashish Gupta, M: +91- 9899764409 E-mail: info@electromat.in, Website: www.electromat.in

Dealership Enquiries Invited

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CorporateNews

Speaking on the new TVC Mr. Ashok Gangar Vice President, Sales and Marketing said, “With the rapidly changing needs of the customers and the growing power problems in India, the technology used in energy saving light bulbs is also fast changing. Despite the number of CFL options available for a consumer most of these lamps do not match up to their expectation. Thus, they face challenges like lamp failure and flickering during voltage fluctuations and surge current. The aim of this new TVC is to educate the consumers on RIKI’s strengths and superior performance.” Also sharing his views Mr. Lalit Malhotra DGM Advertising said, “Our aim was to capture the essence of the product without making it sound dull and technical. This TVC captures RIKI’s strengths in a fun manner and showcases how RIKI is not only the brightest CFL but also has the best performance.”

ACME Acme installed first Li-Ion based Energy Storage Solution ACME, a leader in energy management and innovative solutions for alternate energy sector with presence in solar power generation announced that it has installed its first Li-ion based Energy Storage Solution for a leading telecom tower company post successful trials of the solution at various sites across India for more than an year. This installation has been done by ACME under its exclusive and strategic agreement with Korean energy storage system giant to manufacture and marketing of lithium ion based energy storage solutions in telecom, buildings, solar power, defence sectors and other allied industries. This installation marks ACME’s entry into Indian market with vast scope of efficient energy storage solutions considering the high usage of polluting fuel-based energy generation. Announcing this feat, Mr Samir Sharan, Chief Executive Officer, ACME said, “This solution is the future of energy storage and holds great prospects for high energy-consuming sectors like telecom, realty, renewables and many more. This green solution has revolutionized the way we store energy by efficiently managing the energy needs in the financially competitive market segment while being challenged environmentally.”

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He further added, “This is another step forward by ACME to solve the biggest challenge of the Indian Telecom industry by offering the right storage solutions from Kilo Watt to Mega Watt class. This will help users to eliminate their diesel generators and cut down on the carbon footprint with higher efficiency.” While this new-age ESS has a miniscule share in the overall energy storage segment, it will capture 50% share globally in this segment by year 2020. Energy storage integration with the telecom tower is a better prospective for the sustainable future. Energy storage application can provide 20-25% of annual savings in current fuel cost to the operators.

Jindal ITF Jindal ITF, IWAI proposes investments in Haldia Jindal ITF plans to invest nearly Rs 500 crore to take its transloading operations further in Haldia. The company, which is already moving imported coal in barges to NTPC's power plants in Farakka and Kahalgaon from the Sandheads, plans to transload cargo at the deep-drafted location at Kanika Sands and bring it to Haldia. It has quoted a rate of Rs 366 per tonne of cargo to the Haldia Dock Complex (HDC) of Kolkata Port Trust (KoPT) in a tender process that ended recently. HDC is sending the proposal to KoPT's Board of Trustees for approval. "Apart from Rs 366 per tonne, the company proposes to charge about Rs 235 (as per Tariff Authority for Major Ports rate) and port charges from the shippers. This will come to nearly Rs 800 per tonne. The going rate is between Rs 900 and Rs 1,000 per tonne. The company's rate should be attractive to shippers. The total investment by the company will be to the tune of Rs 500 crore," a senior HDC official said. The port hopes to handle an additional cargo of 5 million tonnes in 2015-16 if all goes well with transloading of cargo at Kanika Sands. There is more in store for Haldia. The Inland Waterways Authority of India (IWAI) also plans to set up India's first Inland Water Transport (IWT) hub at Haldia at a cost of nearly Rs 750 crore. Haldia is the start of National Waterway 1 that moves upstream up to Allahabad. The Government of India has stressed on making better use of the waterway for movement of goods and tourism.

April 2015


TechSpace

S

uper capacitors also named as ultra capacitors, are the latest family members in the capacitor group. Coin-shaped tiny super capacitors are used in billions in portable electronic equipment like mobile phones, tablets, medical equipments and so on. The important and indispensable components of these super capacitors are special grades of activated carbons. Trials and production are in process to produce these special grades from refined sugar, of which presently there is a surplus in the world sugar markets. Let us go more in details, first on the super capacitor itself, and there on to the conversion of sugar into carbon as required by these super capacitors.

What are SUPER CAPACITORS?

into the electrode and form an opposite layer on the electrode carbon surface. A capacitor is formed between these two layers, whose capacitance is determined by the electro active surface area of the electrode and inversely by the distance ‘t’, width is in nano meters. The capacitance formed measures in Farads-some 106 times the capacitance in our power capacitors which are measured in microfarads, Hence the designations ‘super capacitors’, ‘ultra capacitors’, ‘EDLC-Electro Chemical Double Layer Capacitors’ etc. The carbon which offers the area for electrons to accumulate and hold is an important and indispensable player in the whole scheme. Its surface is slightly ‘oxadized, activated’ to be precise, so that

A super capacitor consists of two electrodes, separated by a separator in a liquid electrolyte. When you apply a DC voltage, an electrostatic field is created between the two electrodes. The dissociable molecules of the electrolyte split into the positive ions and negative electrons, which are attracted towards the electrodes of the opposite polarities. They are separated by a separator. The ions do not accumulate on the electrode surface. They stand away a few nanometers and create an ionic layer called Helmholtz layer. Electrons flow Fig. 1 A Double Layer Capacitor

April 2015

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TechSpace

it attracts and holds electrons as long as we want them there. Upon shorting the external terminals, the held up charges dissipate in a flash of high power and of low duration. Carbon has these following unique properties It can withstand some 105charge-discharge cycles with hardly 20% loss in its capacitance values. It offers a very high surface area per gm of its weight. It can withstand a large number of electrolyte chemicals aqueous, organic, ionic etc. It can also withstand H2 and other gas attacks over a long life. So far no replacement for carbon for negative electrode in a super capacitor has been found. Here we will slightly deviate and study the functioning of a super capacitor about which, there are some misconceptions. Basically the super capacitor which we have illustrated has two similar electrodes both in carbon. It is a symmetrical super capacitor which can absorb power or deliver power in a flash in ‘t’ seconds. These are inversely proportional to the product R-total resistance, internal as well as external, of the super capacitor circuit and its capacitance ‘C’. This symmetrical capacitor has very little energy to give or which it can absorb. A power battery’s main function on the other hand, is to absorb energy and to give out energy generally at a steady but slow rate. It cannot absorb or deliver energy in a flash. Let us visualizing these concepts of power and energy with an example. We push a stalled automobile hard, so that its tyres overcome the static resistance of the road and it can move. This hard push represents the power. Once the engine fires, the car is on the way – requiring energy to keep going. When we assign functions, a super capacitor’s starting function is power. We move ahead and replace the carbon anode electrode with that of a battery. This electrode will be of a redox type. It can absorb/deliver energy. We arrive at a hybrid super capacitor which can deal with power as well as with energy by proportioning the duties between power and energy aspects as per its application. Let us take the case of a mobile phone. A person is talking very emphatically. His emphasis is conveyed by power characteristics of the cell in his phone. The capacity to serve till the next recharge is served by the energy section of the cell. Let us move on to super capacitors which can absorb and return both power and momentary energy fluctuations in an electricity grid. Take the ‘Dadar’ railway station

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in Mumbai catering, to both local and long distance trains of two railway systems. These trains stop and start at a few seconds interval. An overcrowded local train while coming into the station applies mechanical brakes. All the kinetic energy including that of the railway engine, its bogies and its passengers, is taken up by the breaking system. You can see the metallic sparks off these brakes. It requires a strong force power to initiate the brake. The energy is absorbed by the braking system. While starting out, power and energy of higher magnitude than this under braking, will be required. These will be drawn from the electric power supply. A bank of super capacitors will absorb both the power shock and breaking energy and deliver it back say at 95% conversion efficiency. The above bank becomes a floating pool of power and energy- saving not only on energy consumption but with experience, on the stand by capacities in the electric power system at this junction also. It is estimated that on a similar system being covered by energy recovery through super capacitors at a Shangai railway station in China, energy recovery is as high as 37% of that under peak consumption. This type of super capacitor requires a deeply activated carbon with specific surface functionalities super imposed on it. This grade of carbon has oil/ gas refinery coke as its raw material. This coke is first heated to a temperature of 1000°C which gives intermediate grades of carbons for industrials and electrical use. It is heated further upto 2500°C and held there. Carbon vapors in the molten carbon, while escaping cause deep ‘meso’ pores in it. As it cools down it is oxidized at about 800° - 1000◦C. this gives its surface functionalities. It is washed and cleaned with nitric acid and milled down to required particle sizes. This grade of activated carbon with meso and micropores, costs as much as U.S. $50/gm – more than what ‘gold’ costs. These high costs have inhibited further progress of super capacitors and efforts continue to find out costly alternatives. There are a number of suitable carbohydrates which can be processed for obtaining suitable modes of carbon for use in super capacitor as electrode material. Amongst them, refined sugar stands attractive. 1. Sugar costs are low, presently at a Rs. 30/Kgm in India. Sugar is easily available in any quantity that we want

April 2015


TechSpace

FIG. 2 - Process for Producing sugar derived carbons Dietz. Redox 2011 @ Redox Engineering PPL.

2. Sugar is free of metallic impurities. It’s processing costs eliminate chemical treatment, washing out, drying of the input raw material etc. Processing of sugar for obtaining electrochemical grade of carbon: There are two methods involved: - In the old method sugar is heated in a pan. It melts, sticks to the sides of pan and forms a hard sugar cake. With select additives it turns into black carbon with a recovery ranging between 30% to 50%. The black cake is milled down to the required sizes. - In a revised process with select additives instead of cake, spherical balls are produced, under hydrothermal conditions, with control on ball diameters. Both these carbons are produced at around 1000◦C and have applications for coin type of super capacitors for everyday use in personal electronic equipments. Research has further been carried out by raising the temperature up to 2000°C. We get a graphite grade called ‘Dispersed Hard Carbon’-DHC. Presently the Lithium-ion power batteries in the electricity systems are using activated carbon produced from a gas/ refinery cake. The DHC under trial for replacing the activated carbon in these can store 2 to 5 times more energy. A super capacitor with DHC as the cathode, is expected to supply both power and energy, as and when required. There are hurdles to be overcome - i. as always, a still higher efficiency, -ii. Safety in bottling down higher

April 2015

and higher energies in a plastic container under the car bonet and finally the costs we will overcome. Till then, Sweet Dreams to Sugar Producers. REFERENCES 1] Recent Advancements in Activated Hydrothermal Carbons.

S.M. Lipka, C. Swartz, U. Graham, R. Chen, M. Grimminger & F. Rogers, University of Kentucky, Lexington, KY, USA, Redox Conference 2012.

2] Production Scale-up of Sugar Derived Carbon | S. Dietz, T. Scholten, J. Dippo & J. Olson, TDA Research nc., Wheat Ridge, CO, USA, Redox Conference 2011. 3] Update on Sugar Derived Carbons for Ultracapacitors. Dietz, T. Scholten, J. Olson and D. Recla, TDA Research, nc., Wheat Ridge, CO & P. Walmet & J. Homan, Mead estvaco Specialty Chemicals, N. Charleston, SC, USA 4]

Hard Carbon and Carbon Nanotube Composites for the mprovement of Low-Voltage Performance in Na Ion atteries Batteries and Energy Storage. R. Suresh Babu and Myoungho Pyo, J. Electrochem. Soc. 2014 161(6): A1045-A1050;doi:10.1149/2.075406jes

5] Optimizing Pyrolysis of Sugar Carbons for Use as Anode Materials in LithiumIon Batteries TECHNICAL PAPERS - Electrochemical Science and Technology. W. Xing, J. S. Xue, and J. R. Dahn, J. Electrochem. Soc. 1996 143(10): 3046-3052;doi:10.1149/1.1837162 6]

Relating Precursor Pyrolysis Conditions and Aqueous Electrolyte Capacitive Energy Storage Properties for Activated Carbons Derived from Anhydrous Glucose-d Batteries and Energy Storage. Sang-Eun Chun, Yoosuf N. Picard, and J. F. Whitacre J. Electrochem. Soc. 2011 158:A83-A92; doi:10.1149/1.3518416

Author D M Tagare M/s. Madhav Capacitors Pvt. Ltd.

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Shocks&Sparks

lifeboat, they realized that there was only space for one person left. At this moment, the man pushed the woman behind him and jumped onto the lifeboat himself. The lady stood on the sinking ship and shouted one sentence to her husband. The teacher stopped and asked, “What do you think she shouted?” Most of the students excitedly answered, “I hate you! I was blind!”

Farmer and his neighbour A farmer in ancient China had a neighbor who was a hunter, and who owned ferocious and poorly trained hunting dogs. They jumped the fence frequently and chased the farmer’s lambs.

Now, the teacher noticed a boy who was silent throughout, she got him to answer and he replied, “Teacher, I believe she would have shouted - Take care of our child!” The teacher was surprised, asking “Have you heard this story before?”

One day the dogs again jumped the fence and attacked and severely injured several of the lambs.

The boy shook his head, “Nope, but that was what my mum told my dad before she died to disease”.

The farmer had enough, and went to town to consult a judge who listened carefully to the story and said: “I could punish the hunter and instruct him to keep his dogs chained or lock them up. But you would lose a friend and gain an enemy. Which would you rather have, friend or foe for a neighbor?”

The teacher lamented, “The answer is right”.

The farmer replied that he preferred a friend! “Alright, I will offer you a solution that keeps your lambs safe, and which will keep your a neighbor a friend.” Having heard the judge’s solution, the farmer agreed. Once at home, the farmer immediately put the judge’s suggestions to the test. He took three of his best lambs and presented them to his neighbor’s three small sons, who were beside themselves with joy and began to play with them. To protect his sons’ newly acquired playthings, the hunter built a strong kennel for his dogs. Since then, the dogs never again bothered the farmer’s lambs. Out of gratitude for the farmer’s generosity toward his sons, the hunter often shared the game he had hunted with the farmer. The farmer reciprocated by sending the hunter lamb meat and cheese he had made. Within a short time the neighbors became good friends.

The cruise sunk, the man went home and brought up their daughter single-handedly. Many years later after the death of the man, their daughter found his diary while tidying his belongings. It turns out that when the parents went on the cruise, the mother was already diagnosed with a terminal illness. At the critical moment, the father rushed to the only chance of survival. He wrote in his diary, “How I wished to sink to the bottom of the ocean with you, but for the sake of our daughter, I can only let you lie forever below the sea alone”. The story is finished, the class was silent. The teacher knows that the student has understood the moral of the story, that of the good and the evil in the world, there are many complications behind them which are hard to understand.

Priorities of Life

Which is why we should never only focus on the surface and judge others without understanding them first.

A teacher was elaborating one story to her class..... A cruise ship met with an incident at sea, on the ship was a couple, after having made their way to the

R G Keswani

April 2015

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