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Power
Power Minister R K Singh has called for enhanced action on energy efficiency by states. Singh chaired a virtual meeting with senior officials from state governments and industry partners to review the current level of activities in the field of energy efficiency and clean energy transition being implemented by state agencies, a power ministry statement said. Singh said the government is committed to the environment and India is way ahead of the targets which it had committed to in its Nationally Determined Contributions (NDCs) declared in the Paris Climate Agreement. He stated that while the country is changing the nature of energy by adding more renewable energy, resulting in emissions reduction, it is also reducing the emissions intensity of the economy by schemes for energy efficiency such as UJALA and Perform Achieve and Trade (PAT) which have resulted in reducing millions of tonnes of CO2 per annum. He He called for setting up of dedicated energy efficiency institutions in states, similar to the Bureau of Energy Efficiency (BEE) at the central level. .
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Power cost to remain high as imported coal prices soar: Ind-Ra
Short-term power prices are likely to remain elevated in the near term on account of a continued increase in imported coal prices, according to rating agency Ind-Ra. It noted that a large part of the increased power generation would continue to be met through coal-based plants, although coal output is not increasing to the desired level. This is reflected in low inventory stocks at power plants, and therefore, a part of the increased energy demand will have to be met through imported coal, Ind-Ra said. In light of the expected high imported coal prices, the short-term power prices in India are likely to remain elevated, it stated. The speedy recovery in power demand post the second wave of COVID-19 infections, coupled
with lower than adequate domestic coal production, led to a reduction in coal inventory levels at various power plants, it said.
India's electricity demand picks up in Oct as coal shortage lingers
India's electricity demand grew 4.9% during the first half of October, with supply falling short of demand by 1.4% despite a 3.2% rise in coalfired generation and 30% rise in solar output, a Reuters analysis of government data showed. Increased economic activity after the second wave of the coronavirus has driven up electricity demand, resulting in a supply deficit due to a coal shortage that has forced northern states to cut power this month for up to 14 hours a day. The rapid surge in power demand and high global coal prices have left utilities scampering for coal - India's dominant source of power generation - despite record supplies from state-run Coal India, a near-monopoly in coal production. Coal's share in India's electricity generation jumped to nearly 70% during the first fifteen days of October, compared with an average of 66.5% during the whole of September, an analysis of data from federal grid regulator POSOCO showed.
Power Crisis: Govt Looks to Revise Coal Stocking Norms for Thermal Plants
In a bid to avert power crisis being triggered in the country due to fuel shortages in the months following monsoon rains, the government proposes revise the coal stocking norms for thermal power plants, based on regular shift stock limits, depending on the actual fuel requirement during a particular period. Sources said that the Central Electricity Authority will come up with revised coal stocking guidelines that will have higher stocking requirement for non-pit head power plants while lower for those located near the coal-bearing regions of the country. As per a draft that is being discussed, against the uniform requirement of 20-22 day coal stocks to be maintained by power plants, lower coal stock of 10 days may be mandated for pithead power plants while 20 days stock may be needed for power plants farther from coal-producing areas. But in the peak summer months (April-June), non-pit head plants would still require to stock 22 days of coal while pit head plants around 12 days. The norms of stocking may change slightly in winter months.
Power ministry mandates energy accounting for discoms to curb power losses
The Ministry of Power has said it has mandated energy accounting of distribution companies (discoms) to reduce electricity losses. The notification stipulates quarterly energy accounting by discoms through a certified energy manager within 60 days. There will also be an annual energy audit by an independent accredited energy auditor. Both these reports will be published in the public domain. Energy accounting reports will provide detailed information about electricity consumption by various categories of consumers and the transmission and distribution losses in various areas. It will identify areas of high losses and theft and enable corrective actions and also enable the fixation of responsibility on officers for losses and theft. The data will enable the discoms to take appropriate measures for reducing their electricity losses so that plan for suitable infrastructure up-gradation as well as demandside management (DSM) efforts in an effective manner. This initiative will further contribute towards India's climate actions in meeting our Paris Agreement goals.
R K Singh asks PFC, REC to explore cheaper fund options
owned Power Finance Corporation (PFC) and REC to explore cheaper options for raising funds, including offshore sources. Besides, he also asked both the non-banking financial companies to focus on ensuring that the power sector value chain gets access to cheaper funds, particularly renewable energy. He stressed the need for improving the competitiveness of both institutions to increase their market share. He advised PFC and REC to explore better and cheaper options for raising funds, including from offshore sources, with an overall objective of ensuring that the power sector value chain gets access to cheaper funds. For this, he directed PFC and REC to carry out a strategic analysis to adapt to the changing business environment in the sector with an overall objective to deliver power to consumers at a reasonable cost. The minister also stressed the need for a speedy resolution of stressed assets. He also suggested a slew of measures to both the entities in this context, including ensuring that the stressed assets are resolved at a fair value with a minimal haircut for PFC and REC and in line with the national interests.
91% stock from Coal India mines being sent to power plants
Over 91% of coal produced in Coal India mines are being transported to thermal plants across India as an attempt to tide over the ongoing power crisis, which has seen stocks of the fuel deplete in recent weeks. The remaining is diverted for other industries. Power plants across India are facing an acute shortage of coal, with stocks down to last mere days, due to a supply crunch and increased demand. Of the eight Coal India mining companies in the country, Mahanadi Coalfields Limited (MCL) in Odisha is supplying the highest stocks, at around 96 of the total 289 rakes per day. Out of these 91, about 88 are being sent to power plants, government data shows. Each rake is around 59 wagons of coal. According to power ministry data, at least 10 non-pithead thermal plants in the country of which the eight located over 1500 km away from coal sources only have stocks left for 5-7 days. Other power plants too have limited stocks of coal left.
Coal shortage: Railways ramps up coal rakes to augment supply to powerhouses
Amidst coal shortage at thermal power plants, Indian Railways has ramped up the number of coal rakes carrying the dry fuel across the country from 435 rakes per day in the end of September to 487 rakes daily. The national transporter has also issued instructions to all zones to monitor the loading of coal from mines and increase the number of rakes being used to supply coal to powerhouses. According to the data, out of the 378 rakes which were ferrying coal on October 1, 280 were sent to powerhouses, however, by October 22, out of a total of 487 rakes carrying coal, 391 were destined for powerhouses across the country. The remaining was diverted to other industries. sources indicate that the Railways is mulling putting into service special trains just to ferry coal similar to the service undertaken during the shortage of oxygen at the peak of the coronavirus crisis.
Amid coal crisis, windfall for power-surplus Himachal
As several states faced power shortage due to dwindling coal stocks, Himachal not only remained unaffected but also earned good profit over the last month. An Himachal Pradesh State Load Dispatch Centre (HPSLDC) official said the power rate jumped to the highest permissible limit of Rs 20 per unit on several occasions. “The price usually fluctuates between Rs 2.50 and Rs 6, but for at least 10 days in October the average price range has been Rs 11-14 a unit. The past few
weeks have indeed been profitable,” he said. Much of the surplus power is going to the energy exchange. “We don’t have many bilateral power pacts where the price remains fixed. The exchange is market driven and rates are fixed as per demand and supply on a daily basis,” the official said. Against the per day consumption of 3 lakh units, the state is currently generating 4.30 lakh units. “Though the generation is coming down gradually, we still have 1.30 lakh surplus units every day,” he said.
Assam cabinet nod to improve power connectivity in the state
The Assam cabinet has given its nod to various measures for improving power connectivity in the state, including expansion of the electrification network, an official statement said. The cabinet approved the electrification of 4,80,249 households, mainly under on-grid mode, and sanctioned Rs 1718.18 crore for the purpose and allowed electrification of 48,231 anganwadi centres and 13,120 primary schools at the cost of Rs 161.42 crore. It decided to install 9,000 distribution transformers, 70 pre-fabricated compact substations and 11 power transformers, besides repairing 4,200 damaged transformers for Rs 250.08 crore for improving voltage stability and reducing power distribution losses, the statement said. Approval was also given for installing 6,20,100 smart meters to improve billing process and energy accounting, thereby reducing commercial losses. The cabinet further decided to release Rs 120 crore as grant-in-aid to Moitri Society under the Mission for Overall Improvement of Thana for Responsive Image (Moitri) scheme for 2021-22.
NTPC invites bids for importing 2 million tonne coal
India's largest thermal power producer, NTPC, has issued an 'invitation for bids' (IFB) for procuring 2 Million Tonne (MT) of imported coal. In two separate notices, the generating company (genco) has invited bids for its own power plants and for DVC, 1 MT each. The move comes in wake of ongoing coal shortage in the country with the average coal stock level at power units being 4 days. The cost of coal in the global market has shot up with current rates around Rs 12,000 per tonne. According to industry calculation, this increases power generation cost by Rs 0.50-0.75 per unit The company in its IFB mentioned it has requirement of 1MT imported coal of for its power plants - Talcher-Kaniha, Mouda, Farakka-Kahalgaon, Simhadri, Dadri, Solapur, Kudgi, Unchahar, Tanda, Korba, Sipat, Lara, Darlipalli, Barh, Bongaigaon, Barauni, Gadarwara, Vindhyachal, Rihand, Singrauli, Khargone, Ramagundam.
Centre committed to providing all possible support to make J&K power surplus: Singh
The Centre is committed to providing all possible support to Jammu and Kashmir across generation, transmission and distribution segments to make the Union Territory power surplus, remove all supply constraints and provide round-the-clock quality power to all citizens, said Union Minister for Power and New & Renewable Energy R K Singh. The minister also emphasised the commitment of the government to provide 24X7 quality power supply across the UT of J&K for improving the 'Ease of Living of citizens' and the 'Ease of doing business for the industries'. A strong power sector means ease of living, industrialisation, and employment generation. We are strengthening J&K's power infrastructure that remained dilapidated for the last several decades," said the lieutenant governor. Sinha also outlined how the UT had attained remarkable progress not just in adding over 150 per cent transformation capacity but also succeeding in increasing revenues by over 23 per cent.
As power generation falls, transmission companies, private producers make a killing on exchanges
Private power producers and some state transmission utilities appear to be making a killing by selling electricity on the exchanges where rates have tripled owing to lower generation as a result of coal shortage, even as power secretary Alok Kumar asked states to watch out for generators gaming the market and take legal action if imported coal-based power plants refused capacity on any pretext. Data from the power exchanges for October 13 show producers and state transmission companies selling electricity at Rs 16-18 per unit against the usual rate of Rs 4-6 prevalent before the coal shortage hit generation units. Transmission Corporation of Telangana Ltd and Karnataka Power Transmission Corporation Ltd were the top two sellers, commanding a tariff of Rs 16 and Rs 15 per unit, respectively. Sembcorp was the third-largest seller overall and first among private power producers, commanding a price of Rs 16 per unit. Jaypee Nigre Thermal Power Plant, Raipur Energen, Raigarh Energy Generation Ltd and Jindal Power Ltd got a tariff of Rs 17 per unit.
The Ministry of New and Renewable Energy (MNRE) has said that India is set to achieve 450 GW renewable energy installed capacity by 2030. RK Singh, Minister of Power, New and Renewable Energy, emphasised that the world is on the cusp of transformation, and immediate corrective steps are needed to mitigate climate change. He highlighted that energy transition needs to be the first step in this direction. He said that India is already ahead of what "we pledged in our Nationally Determined Contributions (NDCs)" and added that, "already 39 per cent of our installed capacity is from nonfossil based sources. By 2022 we will reach our target of 40 per cent. India is launching the Green Corridor Phase 2 and are generally expanding transmission to put in place systems for renewable power evacuation from sites where irradiation is high, or wind speed is high. Singh also said that intermittency of renewable power is another challenge for the entire world highlighting that battery storage per unit currently is high and needs to come down. He added that the government is also coming out with bids for battery storage.
Solar panel prices up a quarter in 2 months
Prices of the imported solar panels have shot up 23% in the last two months since China’s power shortage crippled the delivery schedule from manufacturing plants. The price of solar panels is being quoted at over 28 to 32 cents per watt peak, compared to 26 cents before the crisis. The price increase is “adversely affecting” the commercial viability of projects where panels are yet to be procured, said EPC players importing panels for developers. There is a perception among the global community that the power shortage due to coal supply issues in China will continue till March 2022. On the other hand, India plans to introduce 40% basic customs duty (BCD) from April 1, 2022, on imported solar panels. Together the two issues will compound the problems further for developers whose projects were already delayed by Covid-19. Chinese module manufacturers have stopped giving any commitment to the production or pricing of modules. When forced, suppliers quote absurdly high prices between 28-32 cents per watt peak compared to 26 cents in July-August.
Corporate funding in solar sector surges to $22.8 bn in Jan-Sept 2021: Report
The total corporate funding in the solar energy sector increased 190 per cent in the first nine months of 2021, with $22.8 billion in 112 deals compared to $7.9 billion in 72 deals in the corresponding period previous year, according to a recent report. The report by clean energy consultancy, Mercom Capital added that the total solar corporate funding in the third quarter (Q3) of 2021 came to $9.3 billion in 41 deals, a 72 per cent increase compared to $5.4 billion in 35 deals in Q2 2021. According to the report, global venture capital (VC) funding in the solar sector totaled $593 million in 13 deals in Q3 2021, a 2 per cent decrease compared to $608 million in 12 deals in Q2 2021. Funding increased 224 per cent year-over-year compared to $183 million in 15 deals in Q3 2020.
India most cost-effective globally in rooftop solar power: Report
A global study has found that India is the most cost-effective country for generating rooftop solar energy at USD 66 per megawatt-hour, while the cost in China is marginally higher at USD 68 per megawatt-hour. Due to the lower cost, rooftop solar photovoltaics (RTSPV) technology, such as roof-mounted solar panels used in homes, and commercial and industrial buildings, is currently the fastest deployable energy generation technology. This, according to this global study, is projected to fulfil up to 49 per cent of the global electricity demand by 2050. Over the past decade, the massive drop in deployment cost coupled with policy-driven initiatives has led to a rapid uptake of RTSPV globally. Between 2006 and 2018, the installed capacity of the RTSPV has grown from 2.5 gigawatts (GW) to 213 GW.
BHEL completes renovation of Baira Siul hydro project, commissions third unit
State-run engineering firm BHEL has revealed that it has completed the renovation and modernization of the 3×60 MW Baira Siul Hydro Power Station located at Chamba, in Himachal Pradesh. Bharat Heavy Electricals Limited (BHEL) has successfully completed R&M (Renovation & Modernization) and commissioned the third and final unit of the 3×60 MW Baira Siul Hydro Power Station located in Chamba district of Himachal Pradesh. The first and second units of the station have already been renovated and commissioned in December, 2019 and October, 2020 respectively. BHEL’s hydro plants are successfully performing in India and across the world, including countries such as Afghanistan, Azerbaijan, Bhutan, Malaysia, Taiwan, Tajikistan, Rwanda, Thailand, New Zealand, Nepal and Vietnam. Within India, BHEL sets account for 46 per cent of the country’s total installed hydro power capacity. Currently, BHEL is carrying out comprehensive R&M of 14 hydro sets across the country, aggregating to 639 MW.
GE to supply 810 MW onshore wind turbines to JSW Energy
GE Renewable Energy has said it has received an order from JSW Energy to supply 810 megawatt (MW) of onshore wind turbines for their upcoming wind farms in Tamil Nadu. The turbines will produce enough green energy to meet the annual electricity requirements of more than 2.1 million households in the country, according to the official press release. “Our company has set a target to reach 20 GW of power generation capacity by 2030, by which the share of green and renewable energy projects will increase to 85 per cent of the total portfolio. The under-construction project is our first large-scale wind power project,” said Prashant Jain, joint managing director and chief executive officer (CEO), JSW Energy.
