Wednesday, 16 September 2015

IAS STUDY MATERIALS -POWER & ENERGY

 LEADERS IAS ACADEMY
KARAIKUDI
9962048117 , 9787311067
IAS STUDY MATERIALS -GENERAL STUDIES
POWER & ENERGY
  Power development in India commenced at the end of the 19 th century with the commissioning of electricity supply in Darjeeling during 1897, followed by the commissioning of a hydropower station at Sivasamudram in Karnataka during 1902. 

The Ministry of Power is responsible for the development of Electrical Energy in the Country. It is assisted by Central Electricity Authority (CEA).


  The installed power generation capacity has increased from about 1,400 MW in 1947 to 1,74,361MW as on 30.04.2011 comprising 37,567 MW Hydro, 1,13,559 MW thermal including gas and diesel, 4780 MW nuclear based power plants and 18,455 MW from renewable energy sources including wind.

  The Government of India, Ministry of Power has taken initiative for development of following nine (9) Ultra Mega Power Projects (UMPP) each of 4000 MW capacity in different states:

i)         Sasan Ultra Mega Power Project in M.P-coal pithead-6x600 MW
ii)        Mundra Ultra Mega Power Project in Gujarat - coastal - 5x800MW
iii)       Krishnapatnam Ultra Mega Power Project in A.P. - costal - 5x800 MW
iv)       Ultra Mega Power Project in Jharkhand-coal pithead-4000 MW
v)         Ultra Mega Power Project in Chhattisgarh-coal pithead-4000 MW
vi)       Ultra Mega Power Project in Orissa - coal pithead - 4000 MW
vii) Ultra Mega Power Project in Tamil Nadu - coastal - 4000 MW
Viii) Ultra Mega Power Project in Maharashtra - coastal - 4000 MW
ix)  Ultra Mega Power Project in Karnataka - coastal-4000 MW

State
Location
Chattisgarh
Akaltara
Gujarat
Mundra
Maharastra
Giriye
M.P
Sasan
Karnataka
Tadri
A.P
Krishnapatnam
Tamilnadu
Cheyyar
Jharkahnd
Tillaiyya
Orissa
Lankahuda   The above mentioned UMPPs are to be awarded through tariff based international competitive bidding. Out of above nine (9) UMPPs, four UMPPs namely Sasan in M.P., Mundra in Gujarat, Krishnapatnam in Andhra Pradesh and Tilaiya in Jharkhand have been awarded and transferred to the developers selected through tariff based competitive bidding. Award for main plant has been placed in respect of Mundra UMPP & Sasan UMPP which are under construction. First two units of 800 MW each of Mundra UMPP and first two units of 660 MW each of Sasan UMPP are expected to be commissioned in 11th Plan. In regard to three UMPPs, namely UMPP in Chhattisgarh, Orissa and TamilNadu, the sites have been identified and various site related studies are underway.
  



The sites for UMPPs in Maharasthra and Karnataka are yet to be finalized. In addition to nine UMPPs originally identified, request has come from some of the state governments for installation of additional UMPPs in their states. 


These are given below:


        i)  Two Additional UMPPs of 4000 MW each in Orissa
        ii)  Second UMPP in Gujarat - 4000 MW
        iii)  Second UMPP in Andhra Pradesh - 4000 MW 
The site for second UMPP in Andhra Pradesh has been finalized and approved by Government of Andhra Pradesh.


CENTRAL ELECTRICITY AUTHORITY


  Central Electricity Authority (CEA), a statutory organisation constituted under Section 3(1) of the Electricity Supply Act, 1948 which has been superseded by Section 70 (1) of Electricity Act, 2003, plays an important role in formulating policies and programmes for power development in the country and in planning and coordinating various development activities in the Power Sector. 

The CEA advises the Central Government on matters relating to the National Electricity Policy formulates short- term and perspective plans for development of the electricity system and coordinates the activities of the planning agencies for the optimal utilisation of resources to sub-serve the interests of the national economy and to provide reliable and affordable electricity for all consumers.


  Under the Electricity Act, 2003, the CEA makes regulations/standards on matters such as construction of electrical plants, electric lines and connectivity to the grid, installation and operation of meters, concurrence of hydro-electric schemes, safety and grid standards. 

It also specifies measures relating to safety with respect to electricity supply. This will inculcate higher efficiency in all fields of the power sector.

NATIONAL HYDROELECTRIC POWER CORPORATION LTD.

  NHPC Limited (earlier known as National Hydroelectric Power Corporation Ltd.) is a Schedule "A" Mini Ratna Enterprise of the Government of India with an authorised share capital of 15,000 crore and an investment base of more than 36,250 crore. 

NHPC was set up in 1975 and has now become the largest organization for hydro power development in India, with capabilities to undertake all the activities from conceptualization to commissioning of Hydro Projects.




Total Installed Power Capacity of INDIA
Thermal
Hydro
Nuclear
Renewable Energy Sources
1,13,559 MW
   37,567 MW
      4,780 MW
    18,455 MW

  The main objects of NHPC include, to plan, promote and organize an integrated and efficient development of power in all its aspects through Conventional and Non Conventional Sources in India and abroad and transmission, distribution, trading and sale of power generated at stations. 

The Company is also listed with the Bombay Stock Exchange and National Stock Exchange. NHPC has signed an MoU with Rural Electrification Corporation Ltd.


 (REC) for accelerated electrification of one lakh villages and provide connection to one crore households and with the Ministry of Rural Development for development and maintenance of rural access roads in six districts of Bihar. 


Works are in progress on these schemes.


  The construction and operation of generation and transmission projects in the Central sector are entrusted to Central Sector Power Corporations like National Thermal Power Corporation (NTPC), National Hydro Electric Power Corporation (NHPC), North Eastern Power Corporation (NEEPCO), and Power Grid Corporation of India (PGCIL).


NATIONAL THERMAL POWER CORPORATION LIMITED

ü The NTPC Ltd. (formerly National Thermal Power Corporation Ltd.) was incorporated in November 1975 with the objective of planning, promoting and organising an integrated development of thermal power in the country. 

The company has now been renamed as NTPC Ltd. In line with the changes taking place in the business portfolio of the company that transformed the company into an integrated Power Company it has now a presence across the entire energy value chain.

RURAL ELECTRIFICATION CORPORATION LIMITED

  Rural Electrification Corporation Limited (REC) was incorporated as a Company under Companies Act, 1956 in 1969 with the main objective of financing rural electrification schemes in the country. 

The expanded mandate of REC includes financing of all projects including transmission and generation without any restriction on population, geographical location or size. 


REC is a Public Financial institution under Section 4A of the Companies Act, 1956. REC is also registered as a Non-Banking Financial Company (NBFC) under Section  45 IA of the RBI Act, 1934. REC is a "Navratna" company.


  REC has grown over the years to be a leading financial institution in power sector. 

Besides attending to its core objectives of financing schemes for extending and improving the rural electricity infrastructure, REC is presently funding large/ mega generation projects, and transmission and distribution projects, which are critical to the projected addition of installed capacity during the Tenth and Eleventh Plans.


  REC is also the Nodal Agency for implementation of Rajiv Gandhi Grameen Vidyutikaran Yojana—a scheme of Rural Electricity infrastructure and Household Electrification launched by the Government of India in April 2005, for attainment of the National Common Minimum Programme (NCMP) goal of providing access to electricity to all households in five years.

  Rural Electrification Programme is financially assisted by the Rural Electrification Corporation (REC). The Power Finance Corporation (PFC) provides term-finance to projects in the power sector.

Central Power Research Institute (CPRI) and National Power Training Institute (NPTI) are under the administrative control of Ministry of Power.

POWER GRID CORPORATION OF INDIA LIMITED

  The Power Grid Corporation of India Limited (POWERGRID) was incorporated as a Government enterprise on 23 October 1989 for establishment of operation of regional and national power grids to facilitate transfer of power within and across the regions with reliability, security and economy and on sound commercial principles. 

POWERGRID was notified as the Central Transmission Utility (CTU) of the country w.e.f. 1998. Further, Government of India conferred the status of 'Navratna" to POWERGRID w.e.f. 1 May 2008.

POWER FINANCE CORPORATION LIMITED (PFC)

  The Power Finance Corporation Limited (PFC) is a leading Power Sector Financial Institution and a Non-Banking Financial Company, providing fund and non-fund based support for the development of the Indian Power Sector. Occupying a key position in the Government of India's plan for the power sector, PFC performs a major role in channelizing investment into the power sector and functions as a dedicated agency for its development.

Power System Training Institute and Hot Line Training Institute
Bengaluru
Centre for Advanced Management and Power Studies (CAMPS)
Faridabad

Centre for Wind Energy Technology
Chennai

Sardar Swaran Singh National Institute of Renewable Energy
Punjab

  PFC is a Schedule-A, Navratna CPSE in the Financial Services Sector, under the administrative control of the Ministry of Power. Its Registered and Corporate Offices are at New Delhi.

 PFC was incorporated on 16 July 1986, under the Companies Act, 1956, as part of Government of India's initiative to enhance funding of power projects in India, with an objective to provide financial resources and encourage flow of investments to the power and associated sectors, to work as a catalyst to bring about institutional improvements in streamlining the functions of its borrowers in financial, technical and managerial areas to ensure optimum utilization of available resources, to mobilize various resources from domestic and international sources at competitive rates, to strive for upgradation of skills for effective and efficient growth of the sector, and to maximize the rate of return through efficient operations and introduction of innovative financial instruments and services for the power sector.

NATIONAL POWER TRAINING INSTITUTE

  National Power Training Institute (NPTI), a registered society under Ministry of Power, Government of India is committed to the development of Human Resources in Power Sector for the past four decades.
 NPTI with its corporate centre at Faridabad operates eight institutes all over the country. It has five regional institutes located at Neyveli (Tamil Nadu), Durgapur (West Bengal), Badarpur (New Delhi), Nagpur (Maharashtra) and Guwahati (Assam) and two specialized centres viz., Power Systems Training Institute (PSTI) & Hot Line Training Centre (HLTC) at Bengaluru,  Centre for Advanced Management and Power Studies (CAMPS) at Faridabad (Haryana).



LABORATORIES OF CENTRAL POWER RESEARCH INSTITUTE
Short Circuit Testing with Synthetic Testing Facility
Bengaluru
Ultra High Voltage Laboratory
Hyderabad
Short-Circuit Testing Facility
Bhopal
Thermal Research Centre
Koradi, Nagpur
Energy Research Centre
Trivandrum


OIL INDIA LIMITED

 Oil India Limited (OIL), under the administrative set-up of the Ministry of Petroleum and Natural Gas, is a National Oil Company engaged in the exploration, production Energy and transportation of crude oil and natural gas in the country.

 OIL was incorporated in 1959 as a company with a two-third share of Burmah Oil Company and one-third share of Government of India. In 1961, OIL became a joint venture company with equal share of Government of India and Burmah Oil company. 


On 14 October 1981, OIL became a Government of India enterprise, a wholly-owned Public Sector Undertaking. OIL has operational areas in the States of Assam, Arunachal Pradesh, Orissa, Uttar Pradesh, Uttarakhand and Rajasthan.

GAIL INDIA LIMITED

  The setting up of GAIL (India) Limited, formerly known as Gas Authority of India Limited in August 1984 heralded a new era of natural gas in the country. 

GAIL is now completing 26 glorious years of service to the nation. GAIL has completed two- and-half decades of an eventful journey. 


Starting with a natural gas transmission company, it is today an integrated energy company along the Natural Gas value chain with global footprints.


 Having started as a gas transmission company during the late eighties, it grew organically over the years by building a large network of Natural Gas Trunk Pipelines covering a length of over 7000 km.


  Today, GAIL has interests in the business of Natural Gas,  LPG, Liquid Hydrocarbons and Petrochemicals, the latter being value-added products. 

The Company has also entered in telecom sector by leasing bandwidth available through the OFC which is laid along the gas pipelines for their operation and maintenance.


 GAIL has also diversified into Exploration and Production, City Gas Distribution and is steadily developing an overseas presence.

IMPLEMENTATION OF BS-III/IV FUELS IN THE COUNTRY

  The Auto Fuel Policy, approved by the Government, laid down a roadmap for upgradation of the quality of auto fuels (Petrol and Diesel) to Bharat Stage (BS) IV in 13 identified cities and BS-III in the rest of the country.

 As per the roadmap, supply of BS-IV Petrol and Diesel commenced in all 13 identified cities from 1 April 2010.
  The oil Industry has successfully completed the introduction of BS-III fuel in the entire country with the last phase completed on 22nd September, 2010. 

Efforts are being made to progressively expand coverage of BS-IV fuels with introduction of these fuels in 50 more cities by 2015.

Pricing of Petroleum Products

  The Administered Pricing Mechanism (APM) or Cost plus Pricing for petroleum products which was introduced in 1976 was abolished with effect from 1 April 2002, consequent to the de-regulation of the oil sector in India.

 Vide Gazette Notification dated 28 April 2002, Government notified that pricing of all petroleum products except PDS Kerosene and Domestic LPG, would be market determined. 


In line with this policy, the Oil Marketing Companies (OMCs) carried out 23 price revisions up to January 2004, on the principle of Import Parity Pricing (IPP). 


However, with the sustained rise in international oil prices from 2004, the Government found it necessary to modulate the retail prices of the four sensitive petroleum products, viz., Petrol, Diesel, PDS Kerosene and Domestic LPG.



  In June 2006, based on the recommendations of the Rangarajan Committee, the Government changed the pricing mechanism for Petrol and Diesel from Import Parity to Trade Parity (Trade Parity being the weighted average of Import Parity and Export Parity prices in the ratio of 80:20) while the pricing of PDS Kerosene and Domestic LPG continues on Import Parity basis.


  To arrive at a viable and sustainable system of pricing of petroleum products, Government had set up an Expert Group under the chairmanship of Dr. Kirit Parikh. 

In the light of Government's budgetary constraints and the growing imperative for fiscal consolidation, and the need for allocating more funds to social sector schemes for the common man, the Government has, with effect from 26 June, 2010 made the pricing of Petrol and Diesel both at refinery gate and the retail level market-determined.
  However, in respect of Diesel, the initial increase in retail selling price was 2 per litre at Delhi, with corresponding increase in other parts of the country. 

In case of a high rise and volatility in international oil prices, Government will suitably intervene in the pricing of Petrol and Diesel.


  The Government is committed to making available the essential fuels, particularly the cooking fuels to the common man at affordable prices. 

Accordingly, it has been decided to continue subsidising PDS Kerosene and Domestic LPG.
 Indian Oil Corporation is the country’s largest commercial enterprise with Maharatna status and India’s highest ranked company in the prestigious Fortune Global 500 listing of the world’s largest Corporates.

Coal Conservation: 
  Mechanised opencast (OC) mining is presently the commonly adapted technology for extraction of thick seams at shallow depth. 

This is also important from the conservation point of view since the percentage recovery by this technology is around 80% to 90%.


 Presently this technology dominates and coal industry contributes more than 88% of country’s coal production.

JAWAHARALAL NEHRU NATIONAL SOLAR MISSION

  The National Action Plan on Climate Change in June 2008 identified that the development of solar energy technologies in the country was to be pursued as a National Mission. In November 2009, the Government of India approved the "Jawaharlal Nehru National Solar Mission" (JNNSM). 

The Hon'ble Prime Minister Dr. Manmohan Singh launched the Jawaharlal Nehru National Solar Mission on 11 January 2010, at a Solar Energy Conclave organized by the Ministry.


 The Mission aims at development and deployment of solar energy technologies in the country to achieve parity with grid power tariff by 2022. 


The objective of the National Solar Mission is to establish India as a global leader in solar energy, by creating the policy conditions for its diffusion across the country as quickly as possible.


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