Shri R.P. Singh

1
Transmission System Development after the EA -
2003
Shri R.P. Singh CHAIRMAN MANAGING
DIRECTOR Power Grid Corporation of India Limited
2
An Evolved System...
3
Evolution of Power System

• Pre Independence - power supplied through local
  generators and distributors
• After independence, in 1948, State Electricity
  Boards were formed
• CW PC is constituted in 1951
• By mid 60s Regional Electricity Boards were
  formed state radial grid connections provided
• By mid 70s national entities like
  NTPC,NHPC,NEEPCO etc were formed.
• CEA was constituted in 1975
• By end of 80s POWERGRID was established
• By end 90s regulatory commissions were formed

4
Players in the Power Sector
NLDC / RLDCs
Generation
Transmission
Regulators
Government
Distribution
Users
Traders
5
An Analogy...
6
An Analogy Power System vs Human Body
Generation Heart
RLDCBrain
USER
Sub-Transmission Sub-Arteries
Transmission Main Arteries
Distribution Capillaries
7
The Generation
Human Body Power System
Blood Pressure Voltage
Heart Beat Frequency
The Pulse 72 Beats/Minutes 50 Cycles/Seconds
Cause Stress/Anxiety Load-Gen.-Mismatch
Risk Heart Beat Deviation Frequency Deviation
The Heart...
8
Present Status in Power Sector in India

• Installed Capacity - 1,12,000 MW
• Present Peak Demand82,000 MW (Suppressed Demand)
• Peak Availability 72,000 MW
• Energy Deficit 8, Peak Shortage 11
• Growth of Demand - 8-9 rate of capacity
  addition to be enhanced
• Investment pattern in Power Sector
• As a thumb rule investment in transmission and
  distribution together should be equal to
  generation. However in reality only 28 has been
  invested in Transmission Distribution against
  72 in generation

Thermal Hydro Nuclear Others
71 25 1 3
9
Present Status in Power Sector in India

• Inadequate redundancy in Transmission
  Distribution system
• Outdated Low Voltage Distribution System
  contributing towards high TD losses, including
  technical commercial losses
• Absence of effective communication and
  Consumers Grievance Redressal Mechanism
• Environment of mistrust between Suppliers and
  consumers thus continues

10
Overview of EA 2003
11
Basic features of the Act

• Policy by Government
• Planning by CEA/CTU/STUs
• Decontrolled Generation
• Regulatory oversight
• Licensed Transmission, distribution and Trading
• Open access in Transmission and Distribution
• Coordinated System Operation
• Dispute resolution and penalty mechanisms

12
Role of Government

• The Central Government shall formulate the
  National Electricity Policy and tariff policy.
• The Central Government shall also prepare a
  National Policy for permitting stand-alone
  systems for Rural Areas, Rural Electrification
  and for bulk purchase of power and management of
  local distribution in Rural Areas.
• The Government shall endeavor to supply
  electricity to all areas including villages and
  hamlets.

13
Role of CEA

• CEA shall prepare a National Electricity Plan in
  accordance with the National Electricity Policy
  and notify the plan once in five years.
• CEA is to formulate short term and perspective
  plans for development of electricity system,
  specify the technical standards for construction
  and connectivity to the grid and specify Grid
  Standards for OM of Transmission Lines.
• CEA shall also advise the Governments and
  Commissions on all technical matters relating to
  generation, transmission and distribution. 

14
Role of NLDC/RLDC/SLDCs

• A National Load Dispatch Center shall be set up
  by the Central Government for optimum scheduling
  and dispatch of electricity among the Regional
  Load Dispatch Centers. National Load Dispatch
  Center shall not engage in the business of
  Trading in electricity.
• Regional Load Dispatch Center shall be operated
  by CTU till further orders and shall not engage
  in the business of Generation of electricity or
  Trading in electricity.
• State Load Dispatch Centers shall be operated by
  the STUs till further orders and shall not engage
  in the business of Trading in electricity.

15
Role of CTU/STUs

• A Central/State Government company can be a CTU.
  CTU is a deemed Transmission Licensee.
• The CTU shall not engage in the business of
  generation of electricity or trading in
  electricity.
• CTU responsible for development of an efficient,
  coordinated and economical Inter-State
  Transmission System and to provide
  non-discriminatory open access to its
  Transmission System for use by any Licensee or
  Generating Company, or consumer on payment of
  Transmission Charges.
• A similar provision has been made for STUs.

16
Role of Regulatory Commissions

• Activities in the sector under overall
  regulations of the Appropriate Commission under
  the overall National Electricity Policy, National
  Electricity Plan and tariff policy of the
  Government.
• The Commission shall specify the terms
  conditions for the determination of tariff for
  generation, transmission, wheeling and retail
  sale of electricity. In case of distribution of
  electricity in the same area by two or more
  distribution licensees, the Commission may fix
  only maximum ceiling of tariff for retail sale of
  electricity so as to promote competition.
• The tariff determined through a transparent
  process of bidding, in accordance with the
  guidelines issued by the Central Government,
  shall be adopted by the Commission.

17
Issues watermarked by EA 2003
18
Open access issues

• Open access doesn't mean free for all.
• A Generating Company may set up dedicated
  Transmission Lines. Open access must be mandated
  on transmission lines of generating plants also.
• Modalities of determining excess capacity in
  transmission system need to be spelt out by
  Regulators.
• Role of CTU/STU in open access for transmission
  systems of Transmission Licensees and generating
  companies needs to be defined.
• Open access issues need to be addressed in
  totality to make it a reality.

19
CTU issues

• Any person applying for Transmission License
  directly to Regulators is not conducive to
  sustained development of the sector. It has to be
  through a process, conducted by CTU/STU, so that
  only desired transmission elements are added in a
  systematic manner.
• Statutory role of CTU/STU vis-a-vis its authority
  over Licensees and dedicated transmission line
  owners needs to be clarified.
• It should be obligatory for all other entities in
  the sector to plan and coordinate with CTU/STU.
• Expenses incurred for CTU/STU functions should be
  reimbursable.

20
Tariff issues

• Guidelines for determining tariff through
  competitive bidding need to be issued by Central
  Government.
• An agency needs to be notified which will
  identify the projects and process them to
  determine the tariff through competitive bidding.
• Process of assessing the reasonability of the
  tariff determined through Competitive Bidding
  needs to be spelt out.
• The entities who will pay the transmission tariff
  need to be identified.

21
Additional issues

• Orders needed from Central Govt. on NLDC
  Constitution and functions. NLDC function charges
  to be reimbursable.
• RLDCs/NLDC are to be permanently with POWERGRID,
  in line with the worldwide trend of Transmission
  and System Operation functions being together.
• RPC needs to be constituted by Central Govt.
• Allocation of responsibilities between RPC RLDC
  needs to be done.
• Nodal agency at State level needs to be
  identified for coordination with CTU.
• Government entities are to be unbundled and
  Transmission Companies cannot enter the business
  of Generation / Trading. However, Private
  Companies can do Generation, Transmission,
  Distribution as well as Trading business, thereby
  creating private monopolies

22
Future Plan
23
Future Plan

• 1,00,000 MW Planned for establishment in next 10
  years time
• Matching transmission and distribution to be
  planned
• Energy Conservation needs priority
• Nuclear, Hydro and NCES needs Special attention,
  especially with respect to grid stability and
  energy security
• Commercialization and Institutional Development
  of the SEBs and end consumers
• Supply of quality and reliable power

24
Role of POWERGRID

• Development of Inter-Regional links Completion
  of 1st phase of National Grid
• Facilitates transfer of surplus power of Eastern
  Region to other Deficit Regions
• Present National Grid 8,000 MW
• National Grid by 2012 30,000 MW
• Implementation of Unified Load dispatch
  communication (ULDC) facilities in all the five
  regions
• Use of State-of-the-Art technologies SVC,
  FACTS, 800 kV, Multi Conductor Configuration,
  High Temperature Conductor
• POWERGRID has an ambitious investment plan of
  Rs.71,000 Crs by 2012 through its own resources
  private participation

25
POWERGRIDS Contribution as a System Operator

• POWERGRID is also Responsible for Grid
  Management / System Operation of the five
  Regional Load Despatch Centres (RLDCs) .
• RLDCs - Responsibilities
• Apex Body for Integrated Grid Operation of the
  Region
• Scheduling and Despatch of Electricity on real
  time basis
• Energy Accounting
• Supervision and Control of Inter State
  Transmission System
• Ensure Grid Security and adherence to Indian
  Electricity Grid Code (IEGC)

26
Establishment of IR Interconnection and
Modernisation of RLDCs

• Has Resulted Into
• Considerable Improvement in System Parameters
  viz., Frequency Voltage.
• Merit Order Operation, Leading to Overall Economy
• Introduction of ABT (Availability Based Tariff),
  resulting in improved Grid stability
• Transparency in grid operation
• Quantum leap in Intra and Inter Regional Power
  Exchange and Trading
• Infused Grid Discipline

THERE HAS BEEN NO MAJOR GRID DISTURBANCE IN LAST
22 MONTHS
27
A Comparison

• National Grid in India

NATIONAL vs. INTERNATIONAL Scenario
Click Here
28
1998 Ammendments vs EA 2003
Click Here
29
Thank You
POWERGRID
the Great Integrator - Electrically Culturally
30
Annexure

• Natural Energy Resources
• Development of National Grid
• National Grid by 2012
• Synchronous Operation of Grid
• Frequency Profiles
• Comparison of Bangalore Voltage Typical Day
• Typical Seasonal Load curves of Northern Region
• Unscheduled Interchange (UI)
• Growth of Inter-Regional Exchanges
• Distributed Generation
• Deviation of Frequency from Band of 49.0-50.5 Hz
• Improvement of Grid voltage recorded at Dadri 400
  kV bus
• Schedules as percentage of Declared Capability
• Inter Regional links
• INTER-REGIONAL TRANSFER BY END OF X PLAN (2007)
• Implementation Status of Regional LDC Schemes

31
Natural Energy Resources
32
Development of National Grid
33
National Grid by 2012
34
Synchronous Operation of Grid
2500 Kms
AREA OF 16 lac sq.kms
35
Frequency Profiles
2002, 2003 2004
36
Comparison of Bangalore Voltage Typical Day
2003
2004
2002
37
Typical Seasonal Load curves of Northern Region
38
Unscheduled Interchange (UI)
39
Growth of Inter-Regional Exchanges
40
Distributed Generation

• Essential for system stability
• Gives much needed power at load centers
• Transmission line carrying capacity goes up as it
  carries much needed active power
• Security aspect (specially during emergency in
  times of war etc.)

41
Deviation of Frequency from Band of 49.0-50.5 Hz
42
Improvement of Grid voltage recorded at Dadri 400
kV bus
Prior To ABT RLDC Administration After ABT
RLDC Administration
43
Schedules as percentage of Declared Capability
44
Inter Regional links
1200 MW
500 MW
500 MW
500 MW
1000MW
2000MW
Present IR Capacity 8,500 MW By the year 2012
30,000 MW
45
Implementation Status of Regional LDC Schemes
REGION EST. COST (Crs. Rs.) STATUS COMPLETION SCHEDULE
NORTHERN 658.92 SYSTEM UNDER OPERATION COMPLETED IN Jan 2002
SOUTHERN 683.80 SYSTEM UNDER OPERATION COMPLETED IN Jan 2002
NORTH EASTERN 263.81 SYSTEM UNDER OPERATION COMPLETED IN Mar 2003
EASTERN 399.73 UNDER CONSTRUCTION June2005
WESTERN 224.72 UNDER CONSTRUCTION March 2006
NLDC 94 TECHNICAL SPECS. UNDER PREPARATION Dec 2007