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United Business Institute Belgium, Europe CHALLENGES & OPPORTUNITIES FOR RENEWABLE ENERGY IN INDIAN PERSPECTIVE PROJECT REPORT Submitted in partial fulfilment of the requirements for the award of the INTERNATIONAL MBA IN POWER By SOUMYADEEP BHUNIA (UBI/MBA/I/AP11/3389) Under the guidance of Mr. VIVEK ZAVERI (Manager Energy Audit) JARO EDUCATION MUMBAI January 2012
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Challenges & opportunities for renewable energy in india

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This is a Report describes the overview of the renewable energy sources in India and potentiality of power generation and also includes the rules and regulations for the non conventional energy.
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Page 1: Challenges & opportunities for renewable energy in india

United Business InstitutesBelgium, Europe

CHALLENGES & OPPORTUNITIES FOR

RENEWABLE ENERGY IN INDIAN PERSPECTIVE

PROJECT REPORT

Submitted in partial fulfilment of the requirements for the award of the

INTERNATIONAL MBA IN POWER

By

SOUMYADEEP BHUNIA

(UBI/MBA/I/AP11/3389)

Under the guidance of

Mr. VIVEK ZAVERI

(Manager Energy Audit)

JARO EDUCATION

MUMBAI

January 2012

Page 2: Challenges & opportunities for renewable energy in india

jaro education

I, Soumyadeep Bhunia hereby declare that this project report titled Challenges &

Opportunities for Renewable

fulfilment of the requirement for the International MBA in Power is my original work

and it has not formed the basis for the award of any other degree.

Place: Ahmedabad

Date: 30th January 2012

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

DECLARATION

I, Soumyadeep Bhunia hereby declare that this project report titled Challenges &

or Renewable Energy in Indian Perspective submitted in partial

fulfilment of the requirement for the International MBA in Power is my original work

ot formed the basis for the award of any other degree.

(Signature of the Student)

Soumyadeep Bhunia

(I)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

I, Soumyadeep Bhunia hereby declare that this project report titled Challenges &

nergy in Indian Perspective submitted in partial

fulfilment of the requirement for the International MBA in Power is my original work

(Signature of the Student)

Soumyadeep Bhunia

Page 3: Challenges & opportunities for renewable energy in india

jaro education

It gives me a great sense of achievement and pleasures to present this report on my

MBA Final project undertaken in the

owe special debt and gratitude to

Conserve Energy Solution India

guidance throughout this endeavour. Whenever I was puzzled and confused about

the concepts, his innovative ideas gave me a way to proceed. His sincerity,

thoroughness and perseverance had been a great source of inspiration for me. It is

only his cognizant guidance and motivation that my efforts saw light of the day.

I also acknowledge all the energy experts from where

project.

I also take this opportunity to

contribution & myself for my individual efforts in the completion of this report.

Finally, I have no words to express my deep sense of gratitude to

Education on behalf of United

prepare this project report

support.

Regards,

SOUMYADEEP BHUNIA

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

ACKNOWLEDGMENT

It gives me a great sense of achievement and pleasures to present this report on my

MBA Final project undertaken in the IInd semester as a part of o my curriculum. I

owe special debt and gratitude to Mr. Vivek Zaveri (Manager Energy

Conserve Energy Solution India) for his consistent support and invaluable

guidance throughout this endeavour. Whenever I was puzzled and confused about

the concepts, his innovative ideas gave me a way to proceed. His sincerity,

perseverance had been a great source of inspiration for me. It is

only his cognizant guidance and motivation that my efforts saw light of the day.

I also acknowledge all the energy experts from where I gathered the data for this

pportunity to acknowledge my friends and colleague

contribution & myself for my individual efforts in the completion of this report.

Finally, I have no words to express my deep sense of gratitude to

Education on behalf of United Business Institute for giving me this opportunity to

repare this project report, and in particular Mr. V. Zaveri for his

(II)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

It gives me a great sense of achievement and pleasures to present this report on my

nd semester as a part of o my curriculum. I

Manager Energy Audit at V

for his consistent support and invaluable

guidance throughout this endeavour. Whenever I was puzzled and confused about

the concepts, his innovative ideas gave me a way to proceed. His sincerity,

perseverance had been a great source of inspiration for me. It is

only his cognizant guidance and motivation that my efforts saw light of the day.

I gathered the data for this

and colleague for their

contribution & myself for my individual efforts in the completion of this report.

Finally, I have no words to express my deep sense of gratitude to my institute Jaro

for giving me this opportunity to

for his guidance and

Page 4: Challenges & opportunities for renewable energy in india

jaro education

CERTIFICATE FROM PROJECT GUIDE

This is to certify that the work

Opportunities for Renewable Energy in Indian Perspective” by Soumyadeep Bhunia

student of International MBA in Power

Institute, Belgium was done under my guidance and supervision for his

during the IInd semester.

To the best of my knowledge & belief the work has been based on the investigation

made, data collected & analyzed by him & this work has not been submitted

anywhere else for any other university or institution.

The work has been completed to my satisfaction.

Date: _____________ ____________________

Place: _____________

30.01.2012

Ahmedabad

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

CERTIFICATE FROM PROJECT GUIDE

This is to certify that the work contained in this report on “Challenges &

Opportunities for Renewable Energy in Indian Perspective” by Soumyadeep Bhunia

International MBA in Power, Jaro Education on behalf of United Business

was done under my guidance and supervision for his

To the best of my knowledge & belief the work has been based on the investigation

made, data collected & analyzed by him & this work has not been submitted

else for any other university or institution.

The work has been completed to my satisfaction.

________ ____________________

Mr. Vivek Zaveri

Place: _____________ Manager

V Conservation Energy

Solutions India Pvt. Ltd.

Noida

(III)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

CERTIFICATE FROM PROJECT GUIDE

contained in this report on “Challenges &

Opportunities for Renewable Energy in Indian Perspective” by Soumyadeep Bhunia

Jaro Education on behalf of United Business

was done under my guidance and supervision for his Final Project

To the best of my knowledge & belief the work has been based on the investigation

made, data collected & analyzed by him & this work has not been submitted

________ ____________________

Vivek Zaveri

Manager

onservation Energy

Solutions India Pvt. Ltd.

Noida

Page 5: Challenges & opportunities for renewable energy in india

jaro education

Renewable energy in India

country in the world to set up a ministry of non

early 1980s. However its success has been very spotty. In recent years India has

been lagging behind other nation

RE in the energy sector is 10.63 % (as on 31/03/11) of total generation capacity of

India. Renewable energy in India comes under the purview of the Ministry of New

and Renewable Energy.

80% of global population lives in developing areas. Of the 6.0 billion populations, in

the OECD countries the total number is approximately 1.2 billion

(0.4), Europe (0.6), Asia Pacific (0.2). In the non

the balance 80% and i.e. 4.8 billion consisting of Asia Pacific (3.2), Russia

(0.3), Middle-East (0.2), Africa (0.8) and Latin America (0.4). By the year 2030, the

global population is projected to be 8.0 billion rising at the rate of 0.9% per year and

in the year 2030, the OECD countries would consist of North America (0.5), Europe

(0.6) and Asia Pacific (0.2), the total being 1.3 from the present level of 1.2 billion.

The balance 7.7 billion would be in non

period 2005-2030, the population rise in the non

than the population growth in the OECD countries. And, as a result, by the year

2030, the global population in the OECD countries would be a little more than 16%

and the balance about 84% would in t

As regards energy consumption, 16% of the global population in the OECD

countries, would consume, by the year 2030, more than 40% of energy and the

balance about 84% of the global population in the non

a little less than 60% of the total energy consumed in the world. No doubt, during the

period 2005 to 2030, the rate of growth of energy consumption in the non

countries would be higher than in OECD countries and would vary between 1.3% in

the Russian-Caspian area to 3.2% in the Asia Pacific areas, as opposed to the rate

of growth of energy consumption during this period in the OECD countries being in

the range of 0.6% in North America to 0.9% in the Asia Pacific region.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

PREFACE

Renewable energy in India is a sector that is still undeveloped. India was the first

country in the world to set up a ministry of non-conventional energy resources, in

early 1980s. However its success has been very spotty. In recent years India has

been lagging behind other nations in the use of renewable energy (RE). The share of

RE in the energy sector is 10.63 % (as on 31/03/11) of total generation capacity of

India. Renewable energy in India comes under the purview of the Ministry of New

lation lives in developing areas. Of the 6.0 billion populations, in

the OECD countries the total number is approximately 1.2 billion

(0.4), Europe (0.6), Asia Pacific (0.2). In the non-OECD countries, the population is

i.e. 4.8 billion consisting of Asia Pacific (3.2), Russia

East (0.2), Africa (0.8) and Latin America (0.4). By the year 2030, the

global population is projected to be 8.0 billion rising at the rate of 0.9% per year and

0, the OECD countries would consist of North America (0.5), Europe

(0.6) and Asia Pacific (0.2), the total being 1.3 from the present level of 1.2 billion.

The balance 7.7 billion would be in non-OECD countries. Therefore, during the

population rise in the non-OECD countries would be higher

than the population growth in the OECD countries. And, as a result, by the year

2030, the global population in the OECD countries would be a little more than 16%

and the balance about 84% would in the non-OECD countries.

As regards energy consumption, 16% of the global population in the OECD

countries, would consume, by the year 2030, more than 40% of energy and the

balance about 84% of the global population in the non-OECD areas would consume

le less than 60% of the total energy consumed in the world. No doubt, during the

period 2005 to 2030, the rate of growth of energy consumption in the non

countries would be higher than in OECD countries and would vary between 1.3% in

an area to 3.2% in the Asia Pacific areas, as opposed to the rate

of growth of energy consumption during this period in the OECD countries being in

the range of 0.6% in North America to 0.9% in the Asia Pacific region.

(IV)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

is a sector that is still undeveloped. India was the first

conventional energy resources, in

early 1980s. However its success has been very spotty. In recent years India has

s in the use of renewable energy (RE). The share of

RE in the energy sector is 10.63 % (as on 31/03/11) of total generation capacity of

India. Renewable energy in India comes under the purview of the Ministry of New

lation lives in developing areas. Of the 6.0 billion populations, in

the OECD countries the total number is approximately 1.2 billion – North America

OECD countries, the population is

i.e. 4.8 billion consisting of Asia Pacific (3.2), Russia-Caspian

East (0.2), Africa (0.8) and Latin America (0.4). By the year 2030, the

global population is projected to be 8.0 billion rising at the rate of 0.9% per year and

0, the OECD countries would consist of North America (0.5), Europe

(0.6) and Asia Pacific (0.2), the total being 1.3 from the present level of 1.2 billion.

OECD countries. Therefore, during the

OECD countries would be higher

than the population growth in the OECD countries. And, as a result, by the year

2030, the global population in the OECD countries would be a little more than 16%

As regards energy consumption, 16% of the global population in the OECD

countries, would consume, by the year 2030, more than 40% of energy and the

OECD areas would consume

le less than 60% of the total energy consumed in the world. No doubt, during the

period 2005 to 2030, the rate of growth of energy consumption in the non-OECD

countries would be higher than in OECD countries and would vary between 1.3% in

an area to 3.2% in the Asia Pacific areas, as opposed to the rate

of growth of energy consumption during this period in the OECD countries being in

the range of 0.6% in North America to 0.9% in the Asia Pacific region.

Page 6: Challenges & opportunities for renewable energy in india

jaro education

Still as mentioned earlier, b

consume as much as 40% of the energy and the balance 84% of the global

population would consume less than 60% of energy. Providing access to adequate

energy to their people is really a challenge for developin

India is one of the countries where the present level of energy consumption, by world

standards, is very low. The estimate of annual energy consumption in India is about

330 Million Tones Oil Equivalent (MTOE) for the year 2004. Accordingly, t

capita consumption of energy is about 305 Kilogram Oil Equivalent (KGOE). As

compared to this, the energy consumption in some of the other countries is of the

order of over 4050 for Japan, over 4275 for South Korea, about 1200 for China,

about 7850 for USA, about 4670 for OECD countries and the world average is about

1690.

Total Installed Capacity

176,990.40 MW. Among them a

generated by thermal power plants, 21.53%

nuclear power plants and 10.42% by Renewable Energy Sources. More than 50% of

India's commercial energy demand is met through the country's vast coal reserves.

The country has also invested heavi

especially wind energy. In 2010, India's installed wind generated electric capacity

was 14,550 MW. Additionally, India has committed massive amount of funds for the

construction of various nuclear reactor

In July 2009, India unveiled a $19 billion plan to produce 20,000 MW of solar power

by 2022.

India has a vast supply of renewable energy resources, and it has one of the largest

programs in the world for deploying

Indeed, it is the only country in the world to have an exclusive ministry for renewable

energy development, the Ministry of Non

Since its formation, the Ministry has launched one o

ambitious programs on renewable energy. Based on various promotional efforts put

in place by MNES, significant progress is being made in power generation from

renewable energy sources. In October, MNES was renamed the Ministr

Renewable Energy.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Still as mentioned earlier, by the year 2030, 16% of global population would

consume as much as 40% of the energy and the balance 84% of the global

population would consume less than 60% of energy. Providing access to adequate

energy to their people is really a challenge for developing countries.

India is one of the countries where the present level of energy consumption, by world

standards, is very low. The estimate of annual energy consumption in India is about

330 Million Tones Oil Equivalent (MTOE) for the year 2004. Accordingly, t

capita consumption of energy is about 305 Kilogram Oil Equivalent (KGOE). As

compared to this, the energy consumption in some of the other countries is of the

order of over 4050 for Japan, over 4275 for South Korea, about 1200 for China,

for USA, about 4670 for OECD countries and the world average is about

Total Installed Capacity of power generation in India (as on 30

. Among them about 65.34% of the electricity consumed in India is

power plants, 21.53% by hydroelectric power plants, 2.70% by

nuclear power plants and 10.42% by Renewable Energy Sources. More than 50% of

India's commercial energy demand is met through the country's vast coal reserves.

The country has also invested heavily in recent years in renewable energy utilization,

especially wind energy. In 2010, India's installed wind generated electric capacity

was 14,550 MW. Additionally, India has committed massive amount of funds for the

construction of various nuclear reactors which would generate at least 30,000 MW.

In July 2009, India unveiled a $19 billion plan to produce 20,000 MW of solar power

India has a vast supply of renewable energy resources, and it has one of the largest

programs in the world for deploying renewable energy products and systems.

Indeed, it is the only country in the world to have an exclusive ministry for renewable

energy development, the Ministry of Non-Conventional Energy Sources (MNES).

Since its formation, the Ministry has launched one of the world’s largest and most

ambitious programs on renewable energy. Based on various promotional efforts put

in place by MNES, significant progress is being made in power generation from

renewable energy sources. In October, MNES was renamed the Ministr

(V)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

y the year 2030, 16% of global population would

consume as much as 40% of the energy and the balance 84% of the global

population would consume less than 60% of energy. Providing access to adequate

g countries.

India is one of the countries where the present level of energy consumption, by world

standards, is very low. The estimate of annual energy consumption in India is about

330 Million Tones Oil Equivalent (MTOE) for the year 2004. Accordingly, the per

capita consumption of energy is about 305 Kilogram Oil Equivalent (KGOE). As

compared to this, the energy consumption in some of the other countries is of the

order of over 4050 for Japan, over 4275 for South Korea, about 1200 for China,

for USA, about 4670 for OECD countries and the world average is about

(as on 30-06-2011) is

of the electricity consumed in India is

by hydroelectric power plants, 2.70% by

nuclear power plants and 10.42% by Renewable Energy Sources. More than 50% of

India's commercial energy demand is met through the country's vast coal reserves.

ly in recent years in renewable energy utilization,

especially wind energy. In 2010, India's installed wind generated electric capacity

was 14,550 MW. Additionally, India has committed massive amount of funds for the

s which would generate at least 30,000 MW.

In July 2009, India unveiled a $19 billion plan to produce 20,000 MW of solar power

India has a vast supply of renewable energy resources, and it has one of the largest

renewable energy products and systems.

Indeed, it is the only country in the world to have an exclusive ministry for renewable

Conventional Energy Sources (MNES).

f the world’s largest and most

ambitious programs on renewable energy. Based on various promotional efforts put

in place by MNES, significant progress is being made in power generation from

renewable energy sources. In October, MNES was renamed the Ministry of New and

Page 7: Challenges & opportunities for renewable energy in india

jaro education

Specifically, 3,700 MW are currently powered by renewable energy sources. This is

projected to be 10,000 MW from renewable energy by 2012. The key drivers for

renewable energy are the following:

1. The demand-supply gap,

2. A large untapped potential

3. Concern for the environment

4. The need to strengthen India’s energy security

5. Pressure on high-emission industry sectors from their shareholders

6. A viable solution for rural electrification

Also, with a commitment to rural electrification, the Ministry of Power has accelerated

the Rural Electrification Program with a target of 100,000 villages by 2012.

In recent years, India has emerged as one of the leading destinations for investors

from developed countries. This attraction is partially due to the lower cost of

manpower and good quality production. The expansion of investments has brought

benefits of employment, development, and growth in the quality of life, but only to the

major cities. This sector only represents a small portion of the total population. The

remaining population still lives in very poor conditions.

India is now the eleventh largest economy in the world, fourth in terms of purchasing

power. It is poised to make tremendous econo

with significant development already in the planning stages. This report gives an

overview of the renewable energies market in India. We look at the current status of

renewable markets in India, the energy needs of the

consumption and production, and we assess whether India can power its growth and

its society with renewable resources.

The Ministry of Power has set an agenda of providing Power to All by 2012. It seeks

to achieve this objective throu

sector development envisaging a six level intervention strategy at the National,

State, SEB, Distribution, Feeder and Consumer levels.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Specifically, 3,700 MW are currently powered by renewable energy sources. This is

projected to be 10,000 MW from renewable energy by 2012. The key drivers for

renewable energy are the following:

supply gap, especially as population increases

A large untapped potential

Concern for the environment

The need to strengthen India’s energy security

emission industry sectors from their shareholders

A viable solution for rural electrification

with a commitment to rural electrification, the Ministry of Power has accelerated

the Rural Electrification Program with a target of 100,000 villages by 2012.

In recent years, India has emerged as one of the leading destinations for investors

ed countries. This attraction is partially due to the lower cost of

manpower and good quality production. The expansion of investments has brought

benefits of employment, development, and growth in the quality of life, but only to the

sector only represents a small portion of the total population. The

remaining population still lives in very poor conditions.

India is now the eleventh largest economy in the world, fourth in terms of purchasing

power. It is poised to make tremendous economic strides over the next ten years,

with significant development already in the planning stages. This report gives an

overview of the renewable energies market in India. We look at the current status of

renewable markets in India, the energy needs of the country, forecasts of

consumption and production, and we assess whether India can power its growth and

its society with renewable resources.

The Ministry of Power has set an agenda of providing Power to All by 2012. It seeks

to achieve this objective through a comprehensive and holistic approach to power

sector development envisaging a six level intervention strategy at the National,

State, SEB, Distribution, Feeder and Consumer levels.

(VI)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Specifically, 3,700 MW are currently powered by renewable energy sources. This is

projected to be 10,000 MW from renewable energy by 2012. The key drivers for

emission industry sectors from their shareholders

with a commitment to rural electrification, the Ministry of Power has accelerated

the Rural Electrification Program with a target of 100,000 villages by 2012.

In recent years, India has emerged as one of the leading destinations for investors

ed countries. This attraction is partially due to the lower cost of

manpower and good quality production. The expansion of investments has brought

benefits of employment, development, and growth in the quality of life, but only to the

sector only represents a small portion of the total population. The

India is now the eleventh largest economy in the world, fourth in terms of purchasing

mic strides over the next ten years,

with significant development already in the planning stages. This report gives an

overview of the renewable energies market in India. We look at the current status of

country, forecasts of

consumption and production, and we assess whether India can power its growth and

The Ministry of Power has set an agenda of providing Power to All by 2012. It seeks

gh a comprehensive and holistic approach to power

sector development envisaging a six level intervention strategy at the National,

Page 8: Challenges & opportunities for renewable energy in india

jaro education

EXECUTIVE SUMMARY

Secure, reliable and affordable energy

stability and growth. The challenges ahead of us include the adequacy of energy

supplies, the threat of disruptive climate change and the huge investment

requirements to meet the growing global energy needs, part

countries.

Future energy demand and supply are subject to numerous uncertainties, most of

which are difficult to predict. Such as energy prices, particularly oil prices, global

economic growth rate, demographic changes, technolog

policies and consumer behaviour. In such a complex market, energy projections are

primarily based on historical information. The primary objective of any energy

scenario analysis must be to analyze the main driving forces that wou

energy future and the options ahead of us, rather than making accurate quantitative

projections. According to Paul Saffo (2007)

turns out to be accurate is only part of the picture

a day. Above all, the forecaster's task is to map uncertainty, for in a world where our

actions in the present influence the future, uncertainty are opportunity.

This programme is looked after by the Ministry of Non

energy. Since the availability of fossil fuel is on the decline therefore, in this backdrop

the norms for conventional or renewable sources of energy (RSE) is given

importance not only in India but has attracted the global attention.

The main RSE are as follows:

� Solar Power

� Wind Power

� Hydro Power

� Geo Thermal

� Tidal/Ocean energy

� Bio fuel/Alternative fuels

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

EXECUTIVE SUMMARY

Secure, reliable and affordable energy supplies are fundamental to global economic

stability and growth. The challenges ahead of us include the adequacy of energy

supplies, the threat of disruptive climate change and the huge investment

requirements to meet the growing global energy needs, particularly in the developing

Future energy demand and supply are subject to numerous uncertainties, most of

which are difficult to predict. Such as energy prices, particularly oil prices, global

economic growth rate, demographic changes, technological advances, government

policies and consumer behaviour. In such a complex market, energy projections are

primarily based on historical information. The primary objective of any energy

scenario analysis must be to analyze the main driving forces that wou

energy future and the options ahead of us, rather than making accurate quantitative

projections. According to Paul Saffo (2007) ―Whether a specific forecast actually

turns out to be accurate is only part of the picture -- even a broken clock i

a day. Above all, the forecaster's task is to map uncertainty, for in a world where our

actions in the present influence the future, uncertainty are opportunity.

This programme is looked after by the Ministry of Non-Conventional Sources of

ergy. Since the availability of fossil fuel is on the decline therefore, in this backdrop

the norms for conventional or renewable sources of energy (RSE) is given

importance not only in India but has attracted the global attention.

follows:

Ocean energy

Bio fuel/Alternative fuels

(VII)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

supplies are fundamental to global economic

stability and growth. The challenges ahead of us include the adequacy of energy

supplies, the threat of disruptive climate change and the huge investment

icularly in the developing

Future energy demand and supply are subject to numerous uncertainties, most of

which are difficult to predict. Such as energy prices, particularly oil prices, global

ical advances, government

policies and consumer behaviour. In such a complex market, energy projections are

primarily based on historical information. The primary objective of any energy-

scenario analysis must be to analyze the main driving forces that would shape our

energy future and the options ahead of us, rather than making accurate quantitative

Whether a specific forecast actually

even a broken clock is right twice

a day. Above all, the forecaster's task is to map uncertainty, for in a world where our

actions in the present influence the future, uncertainty are opportunity.

Conventional Sources of

ergy. Since the availability of fossil fuel is on the decline therefore, in this backdrop

the norms for conventional or renewable sources of energy (RSE) is given

Page 9: Challenges & opportunities for renewable energy in india

jaro education

Evolution of power transformer technology in the country during the past five

decades is quite impressive. There are manufacturers in

to the latest technology at the global level. Some of the manufacturers have

impressive R&D set up to support the technology.

Renewable energy is very much promoted by the Chinese Government. At the same

time as the law was passed, the Chinese Government set a target for renewable

energy to contribute 10% of the country’s gross energy consumption by 2020, a

huge increase from the current 1%.

It has been felt that there is rising demand for energy, food and raw materials by a

population of 2.5 billion Chinese and Indians. Both these countries have large coal

dominated energy systems in the world and the use of fossil fuels such as coal and

oil releases carbon dioxide (Co2) into the air which adds to the greenhouse gases

which lead to global warming.

The power generation in the country is planned through funds provided by the

Central Sector, State Sector and Private Sector. The power shortages noticed is of

the order of 11%. In the opinion of the experts such short fall can be red

through proper management and thus almost 40% energy can be saved. It has been

noticed that one watt saved at the point of consumption is more than 1.5 watts

generated. In terms of Investment it costs around Rs.40 million to generate one MW

of new generation plant, but if the same Rs.40 million is spent on conservation of

energy methods, it can provide up to 3 MW of avoidable generation capacity.

There are about 80,000 villages yet to be electrified for which provision has been

made to electrify 62,000 villages from grid supply in the Tenth Plan. It is planned that

participation of decentralized power producers shall be ensured, particularly for

electrification of remote villages in which village level organizations shall play a

crucial role for the rural electrification programme.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Evolution of power transformer technology in the country during the past five

decades is quite impressive. There are manufacturers in the country with full access

to the latest technology at the global level. Some of the manufacturers have

impressive R&D set up to support the technology.

Renewable energy is very much promoted by the Chinese Government. At the same

sed, the Chinese Government set a target for renewable

energy to contribute 10% of the country’s gross energy consumption by 2020, a

huge increase from the current 1%.

It has been felt that there is rising demand for energy, food and raw materials by a

pulation of 2.5 billion Chinese and Indians. Both these countries have large coal

dominated energy systems in the world and the use of fossil fuels such as coal and

oil releases carbon dioxide (Co2) into the air which adds to the greenhouse gases

d to global warming.

The power generation in the country is planned through funds provided by the

Central Sector, State Sector and Private Sector. The power shortages noticed is of

the order of 11%. In the opinion of the experts such short fall can be red

through proper management and thus almost 40% energy can be saved. It has been

noticed that one watt saved at the point of consumption is more than 1.5 watts

generated. In terms of Investment it costs around Rs.40 million to generate one MW

eration plant, but if the same Rs.40 million is spent on conservation of

energy methods, it can provide up to 3 MW of avoidable generation capacity.

There are about 80,000 villages yet to be electrified for which provision has been

made to electrify 62,000 villages from grid supply in the Tenth Plan. It is planned that

participation of decentralized power producers shall be ensured, particularly for

ectrification of remote villages in which village level organizations shall play a

crucial role for the rural electrification programme.

(VIII)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Evolution of power transformer technology in the country during the past five

the country with full access

to the latest technology at the global level. Some of the manufacturers have

Renewable energy is very much promoted by the Chinese Government. At the same

sed, the Chinese Government set a target for renewable

energy to contribute 10% of the country’s gross energy consumption by 2020, a

It has been felt that there is rising demand for energy, food and raw materials by a

pulation of 2.5 billion Chinese and Indians. Both these countries have large coal

dominated energy systems in the world and the use of fossil fuels such as coal and

oil releases carbon dioxide (Co2) into the air which adds to the greenhouse gases

The power generation in the country is planned through funds provided by the

Central Sector, State Sector and Private Sector. The power shortages noticed is of

the order of 11%. In the opinion of the experts such short fall can be reduced

through proper management and thus almost 40% energy can be saved. It has been

noticed that one watt saved at the point of consumption is more than 1.5 watts

generated. In terms of Investment it costs around Rs.40 million to generate one MW

eration plant, but if the same Rs.40 million is spent on conservation of

energy methods, it can provide up to 3 MW of avoidable generation capacity.

There are about 80,000 villages yet to be electrified for which provision has been

made to electrify 62,000 villages from grid supply in the Tenth Plan. It is planned that

participation of decentralized power producers shall be ensured, particularly for

ectrification of remote villages in which village level organizations shall play a

Page 10: Challenges & opportunities for renewable energy in india

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TABLE OF CONTENTS

Contents

DECLARATION ................................

ACKNOWLEDGMENT.............................................................................................................................

CERTIFICATE FROM PROJECT GUIDE

PREFACE.............................................................................................................................

EXECUTIVE SUMMARY................................................................................

1.0 INTRODUCTION ................................

1.1 Primary and Secondary Energy

1.2 Commercial Energy and Non Commercial Energy

1.2.1 Commercial Energy ................................

1.2.2 Non-Commercial Energy

1.3 Renewable and Non-Renewable Energy

1.4 PURPOSE OF STUDY ................................

1.5 OBJECTIVE OF THE PROJECT

1.6 IDENTIFICATION OF PROBLEM

1.7 RESEARCH METHODOLOGY

2.0 INDIAN ENERGY AND CLIMATE CHANGE STATUS

2.1 Commercial Energy Consumption

2.2 The Power Market in India and the Role of Renewable Energy

2.3 Power Consumption................................

2.4 Power Generation Capacity

3.0 THE STATUS OF RENEWABLE ENERGY IN INDIA

3.1 Renewable Energy Share of Electricity

3.2 Renewable Energy Application in Industrial Use and Transportation

3.3 Grid Connection and Status Overview

3.4 Tradable Renewable Energy Credits

4.0 VARIOUS SOURCE OF RENEWABLE ENERGY OPPORTUNITIES IN INDIA

4.1 Solar ................................................................

4.1.1 Solar energy potential

4.1.2 Solar thermal power generation technologies

4.1.3 Solar thermal power generation program of India

4.1.4 Opportunities for solar thermal power generation in India

4.1.5 PV & CSP Ratio ................................

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

TABLE OF CONTENTS

................................................................................................................................

.............................................................................................................................

CERTIFICATE FROM PROJECT GUIDE..................................................................................................

.............................................................................................................................

EXECUTIVE SUMMARY........................................................................................................................

...............................................................................................................................

and Secondary Energy ................................................................................................

1.2 Commercial Energy and Non Commercial Energy ................................................................

................................................................................................

Commercial Energy ................................................................................................

Renewable Energy ................................................................

................................................................................................

1.5 OBJECTIVE OF THE PROJECT................................................................................................

IDENTIFICATION OF PROBLEM ................................................................................................

1.7 RESEARCH METHODOLOGY ................................................................................................

2.0 INDIAN ENERGY AND CLIMATE CHANGE STATUS ................................................................

2.1 Commercial Energy Consumption ..............................................................................................

2.2 The Power Market in India and the Role of Renewable Energy ................................

................................................................................................

2.4 Power Generation Capacity ................................................................................................

3.0 THE STATUS OF RENEWABLE ENERGY IN INDIA ................................................................

3.1 Renewable Energy Share of Electricity ................................................................

3.2 Renewable Energy Application in Industrial Use and Transportation ................................

3.3 Grid Connection and Status Overview ................................................................

3.4 Tradable Renewable Energy Credits ................................................................

4.0 VARIOUS SOURCE OF RENEWABLE ENERGY OPPORTUNITIES IN INDIA ................................

................................................................................................

4.1.1 Solar energy potential ................................................................................................

4.1.2 Solar thermal power generation technologies ................................................................

4.1.3 Solar thermal power generation program of India ..............................................................

4.1.4 Opportunities for solar thermal power generation in India ................................

................................................................................................

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

......................................... I

.............................................................................................................................II

....................................................................................................III

...............................................................................................................................................IV

........................................VII

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4.1.6 Domestic Content (PV)

4.1.7 Domestic Content (CSP)

4.1.8 Jawaharlal Nehru National Solar Mission

4.1.8 Solar Farming Potential in India

4.1.9 Challenges ................................

4.2 Wind ................................................................

4.2.1 Wind Energy for power generation

4.2.2 India’s Unique Proposition for Wind Energy:

4.2.3 Wind Power Capacity Installed in India

4.2.4 Wind Energy Business Opportunities in India

4.2.5 Power Plant Development stapes and opportunity in India

4.2.6 Central and State Government Pol

4.3 Small Hydro ................................

4.3.1 Introduction ................................

4.3.2 Small Hydro Power Programme

4.3.3 Small hydro installed capacity and progress

4.3.4 Standards for Small Hydro

4.3.5 States with Policy for Private SHP Proje

4.3.6 Watermills ................................

4.3.7 Manufacturing Status

4.3.8 Technical and consultation Services

4.3.9 Real Time Digital Simulator for SHP

4.3.10 Constraints in SHP ................................

4.4 Geothermal Energy ................................

4.4.1 Status and Trends ................................

4.4.2 Characteristics and Applications of Geothermal Energy

4.4.3 Geothermal Energy Scenario: India and world

4.4.4 Technology ................................

4.4.5 Potential India ................................

4.4.6 Historical Capacity & Consumption Data

4.4.7 Cost, Price and Challenges

4.4.8 Drilling ................................

4.4.9 Transmission ................................

4.4.10 Barriers ................................

4.4.11 Geo Thermal companies in India

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

4.1.6 Domestic Content (PV) ................................................................................................

4.1.7 Domestic Content (CSP) ................................................................................................

4.1.8 Jawaharlal Nehru National Solar Mission ................................................................

4.1.8 Solar Farming Potential in India ................................................................

................................................................................................

................................................................................................

4.2.1 Wind Energy for power generation ................................................................

4.2.2 India’s Unique Proposition for Wind Energy:................................................................

4.2.3 Wind Power Capacity Installed in India ................................................................

4.2.4 Wind Energy Business Opportunities in India ................................................................

4.2.5 Power Plant Development stapes and opportunity in India ................................

4.2.6 Central and State Government Policies for Supporting Wind Power Projects

................................................................................................................................

................................................................................................

4.3.2 Small Hydro Power Programme ................................................................

4.3.3 Small hydro installed capacity and progress ................................................................

4.3.4 Standards for Small Hydro ................................................................................................

4.3.5 States with Policy for Private SHP Projects ................................................................

................................................................................................

4.3.7 Manufacturing Status................................................................................................

Technical and consultation Services ................................................................

Real Time Digital Simulator for SHP ................................................................

................................................................................................

................................................................................................

................................................................................................

4.4.2 Characteristics and Applications of Geothermal Energy ................................

4.4.3 Geothermal Energy Scenario: India and world ................................................................

................................................................................................

................................................................................................

4.4.6 Historical Capacity & Consumption Data ................................................................

4.4.7 Cost, Price and Challenges ................................................................................................

................................................................................................................................

................................................................................................

...............................................................................................................................

4.4.11 Geo Thermal companies in India ................................................................

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

......................................... 40

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icies for Supporting Wind Power Projects .................... 57

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4.4.12 RD&D Priorities ................................

4.5 Tidal Energy ................................

4.5.1 Technology ................................

4.5.2 Potential of tidal energy in India

4.5.3 Proposed tidal power projects in India

4.5.4 Kachchh Tidal Power Project

4.5.5 Durgaduani Creek ................................

4.5.6 Tidal Barriers ................................

4.6 Wave Power ................................

4.6.1 Technology ................................

4.6.2 Potential of Wave energy in India

2.6.3 Barriers ................................

4.7 Biofuel ................................

4.7.1 Economics of biodiesel production from Jatropha

4.7.2 Project operation and crediting period

4.7.3 Project cost and financing

4.7.4 Project status ................................

4.7.5 Biodiesel industry growth

5.0 CONCLUSION...................................................................................................

6.0 BIBLIOGRAPHY................................................................................................

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

................................................................................................

................................................................................................................................

................................................................................................

4.5.2 Potential of tidal energy in India ................................................................

4.5.3 Proposed tidal power projects in India ................................................................

4.5.4 Kachchh Tidal Power Project ...............................................................................................

................................................................................................

................................................................................................

................................................................................................................................

................................................................................................

4.6.2 Potential of Wave energy in India ................................................................

................................................................................................................................

................................................................................................................................

4.7.1 Economics of biodiesel production from Jatropha ..............................................................

4.7.2 Project operation and crediting period................................................................

4.7.3 Project cost and financing ................................................................................................

................................................................................................

4.7.5 Biodiesel industry growth ................................................................................................

CONCLUSION.....................................................................................................................

..............................................................................................................................

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

.................................................. 76

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1.0 INTRODUCTION

Energy is one of the major inputs for the economic development of any country. In

the case of the developing countries, the energy sector assumes a critical

importance in view of the ever

to meet them.

Energy can be classified into several types based on the following criteria:

• Primary and Secondary energy

• Commercial and Non commercial energy

• Renewable and Non-Renewable energy

1.1 Primary and Secondary Energy

Primary energy sources are those that are either found or stored in nature. Common

primary energy sources are coal, oil, natural gas, and biomass (such as wood).

Other primary energy sources available include nuclear energy from radioactive

substances, thermal energy sto

earth’s gravity. The major primary and secondary energy sources are shown in

Figure 1.

Figure

Primary energy sources are mostly converted in industrial utilities into

energy sources; for example coal, oil or gas converted into steam and electricity.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Energy is one of the major inputs for the economic development of any country. In

the case of the developing countries, the energy sector assumes a critical

importance in view of the ever-increasing energy needs requiring huge investments

Energy can be classified into several types based on the following criteria:

• Primary and Secondary energy

• Commercial and Non commercial energy

Renewable energy

Primary and Secondary Energy

sources are those that are either found or stored in nature. Common

primary energy sources are coal, oil, natural gas, and biomass (such as wood).

Other primary energy sources available include nuclear energy from radioactive

substances, thermal energy stored in earth’s interior, and potential energy due to

earth’s gravity. The major primary and secondary energy sources are shown in

Figure 1: Major Primary and Secondary Sources

Primary energy sources are mostly converted in industrial utilities into

sources; for example coal, oil or gas converted into steam and electricity.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Energy is one of the major inputs for the economic development of any country. In

the case of the developing countries, the energy sector assumes a critical

increasing energy needs requiring huge investments

Energy can be classified into several types based on the following criteria:

sources are those that are either found or stored in nature. Common

primary energy sources are coal, oil, natural gas, and biomass (such as wood).

Other primary energy sources available include nuclear energy from radioactive

red in earth’s interior, and potential energy due to

earth’s gravity. The major primary and secondary energy sources are shown in

Primary energy sources are mostly converted in industrial utilities into secondary

sources; for example coal, oil or gas converted into steam and electricity.

13

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1.2 Commercial Energy and Non Commercial Energy

1.2.1 Commercial Energy

The energy sources that are available in the market for a definite price are known as

commercial energy. By far the most important forms of commercial energy are

electricity, coal and refined petroleum products. Commercial energy forms the basis

of industrial, agricultural, transport and commercial development in the modern

world. In the industrialized countries, commercialized fuels are predominant source

not only for economic production, but also for many household tasks of general

population.

Examples: Electricity, lignite, coal, oil, natural gas etc.

1.2.2 Non-Commercial Energy

The energy sources that are not available in the commercial market for a price are

classified as non-commercial energy. Non

such as firewood, cattle dung and agricultural wastes, which are traditionally

gathered, and not bought at a price used especially in rural households. These are

also called traditional fuels. Non

accounting.

Example: Firewood, agro waste in rural areas; solar energy f

electricity generation, for drying grain, fish and fruits; animal power for transport,

threshing, lifting water for irrigation, crushing sugarcane; wind energy for lifting water

and electricity generation.

1.3 Renewable and Non-

Renewable energy is energy obtained from sources that are essentially

inexhaustible. Examples of renewable resources include wind power, solar power,

geothermal energy, tidal power and hydroelectric pow

important feature of renewable energy is that it can be harnessed without the release

of harmful pollutants. Non-renewable energy is the conventional fossil fuels such as

coal, oil and gas, which are likely to deplete with time.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Commercial Energy and Non Commercial Energy

The energy sources that are available in the market for a definite price are known as

commercial energy. By far the most important forms of commercial energy are

electricity, coal and refined petroleum products. Commercial energy forms the basis

ial, agricultural, transport and commercial development in the modern

world. In the industrialized countries, commercialized fuels are predominant source

not only for economic production, but also for many household tasks of general

Electricity, lignite, coal, oil, natural gas etc.

Commercial Energy

The energy sources that are not available in the commercial market for a price are

commercial energy. Non-commercial energy sources include fuels

wood, cattle dung and agricultural wastes, which are traditionally

gathered, and not bought at a price used especially in rural households. These are

also called traditional fuels. Non-commercial energy is often ignored in energy

wood, agro waste in rural areas; solar energy for water heating,

electricity generation, for drying grain, fish and fruits; animal power for transport,

threshing, lifting water for irrigation, crushing sugarcane; wind energy for lifting water

-Renewable Energy

Renewable energy is energy obtained from sources that are essentially

inexhaustible. Examples of renewable resources include wind power, solar power,

geothermal energy, tidal power and hydroelectric power (See Figure 2). The most

important feature of renewable energy is that it can be harnessed without the release

renewable energy is the conventional fossil fuels such as

coal, oil and gas, which are likely to deplete with time.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The energy sources that are available in the market for a definite price are known as

commercial energy. By far the most important forms of commercial energy are

electricity, coal and refined petroleum products. Commercial energy forms the basis

ial, agricultural, transport and commercial development in the modern

world. In the industrialized countries, commercialized fuels are predominant source

not only for economic production, but also for many household tasks of general

The energy sources that are not available in the commercial market for a price are

commercial energy sources include fuels

wood, cattle dung and agricultural wastes, which are traditionally

gathered, and not bought at a price used especially in rural households. These are

commercial energy is often ignored in energy

or water heating,

electricity generation, for drying grain, fish and fruits; animal power for transport,

threshing, lifting water for irrigation, crushing sugarcane; wind energy for lifting water

Renewable energy is energy obtained from sources that are essentially

inexhaustible. Examples of renewable resources include wind power, solar power,

er (See Figure 2). The most

important feature of renewable energy is that it can be harnessed without the release

renewable energy is the conventional fossil fuels such as

14

Page 15: Challenges & opportunities for renewable energy in india

jaro education

Figure

1.4 PURPOSE OF STUDY

To provide an overview of renewable energy sources

potentiality of the various resources

to promote the application of renewable energy technologies.

and constrain to develop new

available resource will assist the process of developing renewable energy

India.

In terms of scope:

� The study covers solar energy, wind energy,

geothermal energy

� The study compares estimates of the cost of electricity produced from

renewable energy and the present cost of fossil fuel based electricity

generated in India

� The study presents an assessment of available renewable energy

technologies and steps of business developments

available renewable energy resou

overview

� The study considers mechanisms used to provide financial incentives for

promoting renewable energy projects, and identifies mechanisms which could

be applied in India.

The technological development of

process and technologies which are not economically viable today may very soon

become relevant for India

renewable energy technologies.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Figure 2: Renewable and Non-Renewable Energy

o provide an overview of renewable energy sources available

ity of the various resources. The government of India is formulating policies

to promote the application of renewable energy technologies. Va

new Renewable Energy projects in different location

will assist the process of developing renewable energy

The study covers solar energy, wind energy, small hydro, wave energy and

The study compares estimates of the cost of electricity produced from

ewable energy and the present cost of fossil fuel based electricity

he study presents an assessment of available renewable energy

steps of business developments in India

available renewable energy resources, strategic location with ongoing projects

The study considers mechanisms used to provide financial incentives for

promoting renewable energy projects, and identifies mechanisms which could

The technological development of renewable energy technologies is an ongoing

process and technologies which are not economically viable today may very soon

due to the present rapid technological development of

renewable energy technologies.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

in India and the

is formulating policies

Various opportunity

in different location as per

will assist the process of developing renewable energy sector for

wave energy and

The study compares estimates of the cost of electricity produced from

ewable energy and the present cost of fossil fuel based electricity

he study presents an assessment of available renewable energy

India considering the

strategic location with ongoing projects

The study considers mechanisms used to provide financial incentives for

promoting renewable energy projects, and identifies mechanisms which could

renewable energy technologies is an ongoing

process and technologies which are not economically viable today may very soon

due to the present rapid technological development of

15

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1.5 OBJECTIVE OF THE PROJECT

� To provide an overview of renewable energy resources and recent

development status

� Detailed geographical location identification for different sources of renewable

energy

� To make an overall cost estimation overview for power generation

renewable energy source

� Preparation of business development steps for selective resources

� Making a brief of renewable energy future in I

1.6 IDENTIFICATION OF PROBLEM

India is perceived as a developing country, but it is developing

matched by many others. We have experienced significant economic growth. Yet the

fact remains that our growth is constrained by energy supply and availability.

Although we have seen an impressive increase in installed capacity additio

barely about 1,350 MW at the time of independence (1947) to about 160,000 MW

today, over 90,000 MW of new generation capacity is required in the next seven

years. A corresponding investment is required in transmission and distribution.

The increasing appetite for energy that has developed in the recent past has been

further complicated by rapidly diminishing conventional sources, like oil and coal. To

further add to the problems of increased demand and constrained supply, there are

serious questions about pursuing a fossil fuel

context of environmental concerns. The challenge facing a developing nation such

as ours is to meet our increasing energy needs while minimizing the damage to the

environment.

This is why, while striving to bridge our energy deficit,

share of clean, sustainable, new and renewable energy sources. Whether or not

renewable energy completely replaces fossil fuel, we are determined to develop

renewable energy to its fullest potential.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

OF THE PROJECT

To provide an overview of renewable energy resources and recent

Detailed geographical location identification for different sources of renewable

To make an overall cost estimation overview for power generation

renewable energy source

Preparation of business development steps for selective resources

of renewable energy future in India.

IDENTIFICATION OF PROBLEM

India is perceived as a developing country, but it is developing at a pace that is not

matched by many others. We have experienced significant economic growth. Yet the

fact remains that our growth is constrained by energy supply and availability.

Although we have seen an impressive increase in installed capacity additio

barely about 1,350 MW at the time of independence (1947) to about 160,000 MW

today, over 90,000 MW of new generation capacity is required in the next seven

years. A corresponding investment is required in transmission and distribution.

ng appetite for energy that has developed in the recent past has been

further complicated by rapidly diminishing conventional sources, like oil and coal. To

further add to the problems of increased demand and constrained supply, there are

about pursuing a fossil fuel-led growth strategy, especially in the

context of environmental concerns. The challenge facing a developing nation such

as ours is to meet our increasing energy needs while minimizing the damage to the

, while striving to bridge our energy deficit, India want

share of clean, sustainable, new and renewable energy sources. Whether or not

renewable energy completely replaces fossil fuel, we are determined to develop

fullest potential.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

To provide an overview of renewable energy resources and recent

Detailed geographical location identification for different sources of renewable

To make an overall cost estimation overview for power generation in selective

Preparation of business development steps for selective resources

at a pace that is not

matched by many others. We have experienced significant economic growth. Yet the

fact remains that our growth is constrained by energy supply and availability.

Although we have seen an impressive increase in installed capacity addition, from

barely about 1,350 MW at the time of independence (1947) to about 160,000 MW

today, over 90,000 MW of new generation capacity is required in the next seven

years. A corresponding investment is required in transmission and distribution.

ng appetite for energy that has developed in the recent past has been

further complicated by rapidly diminishing conventional sources, like oil and coal. To

further add to the problems of increased demand and constrained supply, there are

led growth strategy, especially in the

context of environmental concerns. The challenge facing a developing nation such

as ours is to meet our increasing energy needs while minimizing the damage to the

wants to increase the

share of clean, sustainable, new and renewable energy sources. Whether or not

renewable energy completely replaces fossil fuel, we are determined to develop

16

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1.7 RESEARCH METHODOLOGY

1.7.1 DATA COLLECTION:

The task of data collection begins after a research problem has been defined and the

research design/plan chalked out. The data are collected in order to get the result of

the problem.

1.7.2 SECONDARY DATA:

These are the data which have been collected by

been passed through the statistical process. In this the researchers have to decide

which sort of data he would be going to use. So the secondary data is also collected

in order to get the information. The data collected was from the

distinguished publications,

1.7.3 SAMPLE DESIGN:

The sample is taken from the various government

real time data was not possible to get due to immobility and the time factor. The

method used to select sample is

In this study I have taken the data from various sites of to analyze

Opportunities for “Renewable energy in Indian Perspective”

the charts, and diagrams.

2.0 INDIAN ENERGY AND CLIMATE CHANGE STATUS

In 2008, India accounted for 17.7% of the world population but was the fifth

consumer of energy, accounting for 3.8

commercial energy supply is dominated by coal and largely

renewable energy resources contributing less than 1% (this does not include hydro >

25 MW). Coal also dominates the power generation mix, tho

resources now account for approximately 10% of installed capacity. The current

power-generating capacity is insufficient to meet current demand, and in 2009

India experienced a generation deficit of approximately 10% (84 TWh) and a

corresponding peak load deficit of 12.7% (over 15 GW). India’s frequent electricity

shortages are estimated to have cost the Indian economy 6% of gross domestic

product (GDP) in financial year 2007

being targeted, it is estimated that India will need to more than double its installed

generating capacity to over 300 GW by 2017. In recent years, control over

generating facilities has shifted from being dominantly controlled by the states to the

federal government and p

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

RESEARCH METHODOLOGY

The task of data collection begins after a research problem has been defined and the

research design/plan chalked out. The data are collected in order to get the result of

These are the data which have been collected by desktop study which have already

been passed through the statistical process. In this the researchers have to decide

which sort of data he would be going to use. So the secondary data is also collected

in order to get the information. The data collected was from the

distinguished publications, manuals, journals, magazines, and books.

The sample is taken from the various government and non government web

real time data was not possible to get due to immobility and the time factor. The

method used to select sample is Convenient Sampling Method.

In this study I have taken the data from various sites of to analyze

ewable energy in Indian Perspective”. For this I have analyzed

INDIAN ENERGY AND CLIMATE CHANGE STATUS

In 2008, India accounted for 17.7% of the world population but was the fifth

consumer of energy, accounting for 3.8% of global consumption. India’s total

commercial energy supply is dominated by coal and largely-imported oil with

renewable energy resources contributing less than 1% (this does not include hydro >

25 MW). Coal also dominates the power generation mix, tho

resources now account for approximately 10% of installed capacity. The current

generating capacity is insufficient to meet current demand, and in 2009

India experienced a generation deficit of approximately 10% (84 TWh) and a

esponding peak load deficit of 12.7% (over 15 GW). India’s frequent electricity

shortages are estimated to have cost the Indian economy 6% of gross domestic

product (GDP) in financial year 2007–2008. To power the economic growth currently

t is estimated that India will need to more than double its installed

generating capacity to over 300 GW by 2017. In recent years, control over

generating facilities has shifted from being dominantly controlled by the states to the

federal government and private entities, including those who have set up captive

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The task of data collection begins after a research problem has been defined and the

research design/plan chalked out. The data are collected in order to get the result of

which have already

been passed through the statistical process. In this the researchers have to decide

which sort of data he would be going to use. So the secondary data is also collected

in order to get the information. The data collected was from the articles by

manuals, journals, magazines, and books.

and non government websites as

real time data was not possible to get due to immobility and the time factor. The

In this study I have taken the data from various sites of to analyze Challenges &

. For this I have analyzed

In 2008, India accounted for 17.7% of the world population but was the fifth-largest

% of global consumption. India’s total

imported oil with

renewable energy resources contributing less than 1% (this does not include hydro >

25 MW). Coal also dominates the power generation mix, though renewable

resources now account for approximately 10% of installed capacity. The current

generating capacity is insufficient to meet current demand, and in 2009–2010,

India experienced a generation deficit of approximately 10% (84 TWh) and a

esponding peak load deficit of 12.7% (over 15 GW). India’s frequent electricity

shortages are estimated to have cost the Indian economy 6% of gross domestic

2008. To power the economic growth currently

t is estimated that India will need to more than double its installed

generating capacity to over 300 GW by 2017. In recent years, control over

generating facilities has shifted from being dominantly controlled by the states to the

rivate entities, including those who have set up captive

17

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power plants to power their industrial facilities. The private sector is dominant in

renewable energy generation. India’s energy future will not just be shaped by the

central grid and large-scale gen

the goal of increasing the well

electricity access to the approximately 400 million citizens without. The Government

of India recognizes that development of local, renewable reso

ensure that India is able to meet social, economic, and environmental objectives and

has supported the development of renewable energy through several policy actions.

Energy planning in India is taking place in the context of climate c

negotiations. India participates in the international climate negotiation process, has

pledged to reduce its economy’s greenhouse gas (GHG) intensity, and has pledged

that its per capita emissions will not exceed those of developed nations. India has

implemented a National Action Plan on Climate Change (NAPCC), which suggested

that 15% of energy could come from renewable sources by 2020. The NAPCC has

eight National Missions, one of which is focused specifically on renewable energy:

The Jawaharlal Nehru National Solar Mission (JNNSM). India is an active participant

of the Clean Development Mechanism (CDM) with the second largest number of

projects registered among all countries participating, the majority of which are

renewable energy projects.

The electricity intensity of the Indian economy

consumption that correlates with 1% of economic growth

3.14% in the 1950s to 0.97% in the 1990s.11 In 2007, it was at 0.73%. The main

reason for this reduction is that India’s growth until now was based more on the

service sector (with an electricity intensity of only 0.11%) than on growth in industrial

production (with an electricity intensity of 1.91%).12 Today, for each 1% of economic

growth, India needs around

0.75% of additional energy.13 The Planning Commission of India, which coordinates

Indian long-term policy, analyzes different scenarios; one scenario assessed that this

value could fall to 0.67% between 2021

formidable challenge to build up its energy infrastructure fast enough to keep pace

with economic and social changes. Energy requirements have risen sharply in recent

years, and this trend is likely to continue in the foreseeable future. It is driven

India’s strong economic and population growth as well as by changing lifestyle

patterns. Growth and modernization essentially follow the energy

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

power plants to power their industrial facilities. The private sector is dominant in

renewable energy generation. India’s energy future will not just be shaped by the

scale generating facilities fuelling industrial growth but also by

the goal of increasing the well-being of India’s poor populations by providing

electricity access to the approximately 400 million citizens without. The Government

of India recognizes that development of local, renewable resources is critical to

ensure that India is able to meet social, economic, and environmental objectives and

has supported the development of renewable energy through several policy actions.

Energy planning in India is taking place in the context of climate c

negotiations. India participates in the international climate negotiation process, has

pledged to reduce its economy’s greenhouse gas (GHG) intensity, and has pledged

that its per capita emissions will not exceed those of developed nations. India has

implemented a National Action Plan on Climate Change (NAPCC), which suggested

that 15% of energy could come from renewable sources by 2020. The NAPCC has

eight National Missions, one of which is focused specifically on renewable energy:

ru National Solar Mission (JNNSM). India is an active participant

of the Clean Development Mechanism (CDM) with the second largest number of

projects registered among all countries participating, the majority of which are

renewable energy projects.

he electricity intensity of the Indian economy—the percentage growth of electricity

consumption that correlates with 1% of economic growth—fell from approximately

3.14% in the 1950s to 0.97% in the 1990s.11 In 2007, it was at 0.73%. The main

s reduction is that India’s growth until now was based more on the

service sector (with an electricity intensity of only 0.11%) than on growth in industrial

production (with an electricity intensity of 1.91%).12 Today, for each 1% of economic

needs around

0.75% of additional energy.13 The Planning Commission of India, which coordinates

term policy, analyzes different scenarios; one scenario assessed that this

value could fall to 0.67% between 2021–2022 and 2031–2032.14 India is fac

formidable challenge to build up its energy infrastructure fast enough to keep pace

with economic and social changes. Energy requirements have risen sharply in recent

years, and this trend is likely to continue in the foreseeable future. It is driven

India’s strong economic and population growth as well as by changing lifestyle

patterns. Growth and modernization essentially follow the energy-intensive Western

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

power plants to power their industrial facilities. The private sector is dominant in

renewable energy generation. India’s energy future will not just be shaped by the

industrial growth but also by

being of India’s poor populations by providing

electricity access to the approximately 400 million citizens without. The Government

urces is critical to

ensure that India is able to meet social, economic, and environmental objectives and

has supported the development of renewable energy through several policy actions.

Energy planning in India is taking place in the context of climate change

negotiations. India participates in the international climate negotiation process, has

pledged to reduce its economy’s greenhouse gas (GHG) intensity, and has pledged

that its per capita emissions will not exceed those of developed nations. India has

implemented a National Action Plan on Climate Change (NAPCC), which suggested

that 15% of energy could come from renewable sources by 2020. The NAPCC has

eight National Missions, one of which is focused specifically on renewable energy:

ru National Solar Mission (JNNSM). India is an active participant

of the Clean Development Mechanism (CDM) with the second largest number of

projects registered among all countries participating, the majority of which are

the percentage growth of electricity

fell from approximately

3.14% in the 1950s to 0.97% in the 1990s.11 In 2007, it was at 0.73%. The main

s reduction is that India’s growth until now was based more on the

service sector (with an electricity intensity of only 0.11%) than on growth in industrial

production (with an electricity intensity of 1.91%).12 Today, for each 1% of economic

0.75% of additional energy.13 The Planning Commission of India, which coordinates

term policy, analyzes different scenarios; one scenario assessed that this

2032.14 India is facing a

formidable challenge to build up its energy infrastructure fast enough to keep pace

with economic and social changes. Energy requirements have risen sharply in recent

years, and this trend is likely to continue in the foreseeable future. It is driven by

India’s strong economic and population growth as well as by changing lifestyle

intensive Western

18

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model of the 19th and 20th centuries, in which economic growth correlates with a

comparable growth in the energy use.

For GDP annual growth of 8%, the Planning Commission estimates that the

commercial energy supply would have to increase at the very least by three to four

times by 2031–2032 and the electricity generation capacity by five

2003–2004 levels.15 In 2031

million tonnes of oil equivalent (MTOE) to cover its total commercial energy needs.16

The Indian government by itself does not have sufficient financial resou

the problem of energy shortages. It must rely on cooperation with the private sector

to meet future energy requirements. This opens up interesting market opportunities

for international companies.

2.1 Commercial Energy Consumption

India’s share of the global commercial energy19 consumption in 2008 was 3.8%

(433 of 11,295 MTOE), increased from 2.9% over the past 10 years, thus making it

the fifth largest consumer of commercial energy. By comparison, China holds 19.6%

of the population and consu

Figure 3: Worldwide consumption of primary sources of energy by country (2008)

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

model of the 19th and 20th centuries, in which economic growth correlates with a

e growth in the energy use.

For GDP annual growth of 8%, the Planning Commission estimates that the

commercial energy supply would have to increase at the very least by three to four

2032 and the electricity generation capacity by five

2004 levels.15 In 2031– 2032, India will require approximately 1,500

million tonnes of oil equivalent (MTOE) to cover its total commercial energy needs.16

The Indian government by itself does not have sufficient financial resou

the problem of energy shortages. It must rely on cooperation with the private sector

to meet future energy requirements. This opens up interesting market opportunities

for international companies.

Commercial Energy Consumption

re of the global commercial energy19 consumption in 2008 was 3.8%

(433 of 11,295 MTOE), increased from 2.9% over the past 10 years, thus making it

the fifth largest consumer of commercial energy. By comparison, China holds 19.6%

of the population and consumes 17.7% of commercial energy.

Worldwide consumption of primary sources of energy by country (2008)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

model of the 19th and 20th centuries, in which economic growth correlates with a

For GDP annual growth of 8%, the Planning Commission estimates that the

commercial energy supply would have to increase at the very least by three to four

2032 and the electricity generation capacity by five to six times over

2032, India will require approximately 1,500–2,300

million tonnes of oil equivalent (MTOE) to cover its total commercial energy needs.16

The Indian government by itself does not have sufficient financial resources to solve

the problem of energy shortages. It must rely on cooperation with the private sector

to meet future energy requirements. This opens up interesting market opportunities

re of the global commercial energy19 consumption in 2008 was 3.8%

(433 of 11,295 MTOE), increased from 2.9% over the past 10 years, thus making it

the fifth largest consumer of commercial energy. By comparison, China holds 19.6%

Worldwide consumption of primary sources of energy by country (2008)

19

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India’s total consumption of commercial energy increased from 295 MTOE in the

year 2000 to 433 MTOE in 2008 with

by far the most important energy source for India; it provides more than half of the

commercial energy supply. Oil, mostly imported, is the second most important

source of energy, followed by gas and hydropowe

(atomic) power covers only a small portion of the commercial energy requirement

(approximately 1.5%). With less than 1%, renewable energy plays a minor role (this

does not include hydro > 25 MW), and therefore, it is not

though its share is projected to increase significantly. The traditional use of biomass

(e.g., for cooking) has not been included here as a source of energy. However, the

2001 Census points out that approximately 139 million of

households22 in India (72%) are using traditional forms of energy such as firewood,

crop residue, wood chips, and cow dung cakes for cooking.23 The majority of these

households are in rural areas. Firewood, used by approximately 101

households, is the main cooking fuel in India.

Figure 4: Percentage share of commercial energy sources in India

2.2 The Power Market in India and the Role of Renewable Energy

While India has been making progress in different infrastructural areas such as the

construction of roads and expansion of the telecommunication system, the power

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

India’s total consumption of commercial energy increased from 295 MTOE in the

year 2000 to 433 MTOE in 2008 with an average annual growth rate of 4.9% Coal is

by far the most important energy source for India; it provides more than half of the

commercial energy supply. Oil, mostly imported, is the second most important

source of energy, followed by gas and hydropower (see Figure 1-4). So far, nuclear

(atomic) power covers only a small portion of the commercial energy requirement

(approximately 1.5%). With less than 1%, renewable energy plays a minor role (this

does not include hydro > 25 MW), and therefore, it is not even visible in Figure 1

though its share is projected to increase significantly. The traditional use of biomass

(e.g., for cooking) has not been included here as a source of energy. However, the

2001 Census points out that approximately 139 million of the total 194 million

households22 in India (72%) are using traditional forms of energy such as firewood,

crop residue, wood chips, and cow dung cakes for cooking.23 The majority of these

households are in rural areas. Firewood, used by approximately 101

households, is the main cooking fuel in India.

Percentage share of commercial energy sources in India

The Power Market in India and the Role of Renewable Energy

While India has been making progress in different infrastructural areas such as the

construction of roads and expansion of the telecommunication system, the power

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

India’s total consumption of commercial energy increased from 295 MTOE in the

an average annual growth rate of 4.9% Coal is

by far the most important energy source for India; it provides more than half of the

commercial energy supply. Oil, mostly imported, is the second most important

4). So far, nuclear

(atomic) power covers only a small portion of the commercial energy requirement

(approximately 1.5%). With less than 1%, renewable energy plays a minor role (this

even visible in Figure 1-3,

though its share is projected to increase significantly. The traditional use of biomass

(e.g., for cooking) has not been included here as a source of energy. However, the

the total 194 million

households22 in India (72%) are using traditional forms of energy such as firewood,

crop residue, wood chips, and cow dung cakes for cooking.23 The majority of these

households are in rural areas. Firewood, used by approximately 101 million

The Power Market in India and the Role of Renewable Energy

While India has been making progress in different infrastructural areas such as the

construction of roads and expansion of the telecommunication system, the power

20

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infrastructure has not kept pace with the growing requirements. India’s power market

is confronted with major challenges regarding the quantity as well as the quality of

the electricity supply. The base

by 2017. In order to match this requirement, India must more than double its total

installed capacity, which as of March 2010 was 159 GW.25 Moreover, India’s power

sector must ensure a stable supply of fuels from indigenous and imported energy

sources, provide power to millions of new customers, and provide cheap power for

development purposes, all w

electricity grid shows high voltage fluctuations and power outages in almost all parts

of the country on many days for several hours.26 According to the “Global

Competitiveness Report,” in 2009

among 139 countries in the category “Quality of Electricity Supply.”27 The power

deficit reported for 2008–2009 was almost 84 TWh, which is almost 10% of the total

requirement; the peak demand deficit was more than 12.7% at ov

electricity undersupply in India is estimated to cost the economy as much as INR 34

(USD 0.68) to INR 112 (USD 2.24) for each missing kilowatt

cost of the power deficit of 85 billion kWh in financial year 2007

least INR 2,890 billion (USD 58 billion), or almost 6% of the GDP.29 Another report

states that there is an approximately 7% decrease in the turnovers of Indian

companies due to power cuts.30 As a consequence, many factories, businesses,

and private customers have set up their own power generation capacities in the form

of captive power plants or diesel generators in order to ensure their power supply.

This provides an attractive opportunity for renewable energy solutions; they compete

not with power produced relatively cheaply by large coal plants but with much more

expensive diesel back-up generators. Until 1991, the Indian government

monopolized the power market. There were only a few private actors, and the CEA

had sole responsibility for giv

However, the public sector has been unable to cater to the growing demand for

power, and in the future, investment requirements in the public sector will far exceed

the resources. Current energy policies therefo

integration of the private sector along the entire value chain: from the generation of

power to transmission and distribution.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

infrastructure has not kept pace with the growing requirements. India’s power market

onted with major challenges regarding the quantity as well as the quality of

the electricity supply. The base-load capacity will probably need to exceed 400 GW

by 2017. In order to match this requirement, India must more than double its total

acity, which as of March 2010 was 159 GW.25 Moreover, India’s power

sector must ensure a stable supply of fuels from indigenous and imported energy

sources, provide power to millions of new customers, and provide cheap power for

development purposes, all while reducing emissions. On the quality side, the

electricity grid shows high voltage fluctuations and power outages in almost all parts

of the country on many days for several hours.26 According to the “Global

Competitiveness Report,” in 2009–2010 (weighted average), India ranked 110

among 139 countries in the category “Quality of Electricity Supply.”27 The power

2009 was almost 84 TWh, which is almost 10% of the total

requirement; the peak demand deficit was more than 12.7% at over 15 GW.28 The

electricity undersupply in India is estimated to cost the economy as much as INR 34

(USD 0.68) to INR 112 (USD 2.24) for each missing kilowatt-hour. Thus, the total

cost of the power deficit of 85 billion kWh in financial year 2007–2008 amo

least INR 2,890 billion (USD 58 billion), or almost 6% of the GDP.29 Another report

states that there is an approximately 7% decrease in the turnovers of Indian

companies due to power cuts.30 As a consequence, many factories, businesses,

ivate customers have set up their own power generation capacities in the form

of captive power plants or diesel generators in order to ensure their power supply.

This provides an attractive opportunity for renewable energy solutions; they compete

power produced relatively cheaply by large coal plants but with much more

up generators. Until 1991, the Indian government

monopolized the power market. There were only a few private actors, and the CEA

had sole responsibility for giving techno-economic clearance to new plants.

However, the public sector has been unable to cater to the growing demand for

power, and in the future, investment requirements in the public sector will far exceed

the resources. Current energy policies therefore place an emphasis on the

integration of the private sector along the entire value chain: from the generation of

power to transmission and distribution.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

infrastructure has not kept pace with the growing requirements. India’s power market

onted with major challenges regarding the quantity as well as the quality of

load capacity will probably need to exceed 400 GW

by 2017. In order to match this requirement, India must more than double its total

acity, which as of March 2010 was 159 GW.25 Moreover, India’s power

sector must ensure a stable supply of fuels from indigenous and imported energy

sources, provide power to millions of new customers, and provide cheap power for

hile reducing emissions. On the quality side, the

electricity grid shows high voltage fluctuations and power outages in almost all parts

of the country on many days for several hours.26 According to the “Global

ed average), India ranked 110

among 139 countries in the category “Quality of Electricity Supply.”27 The power

2009 was almost 84 TWh, which is almost 10% of the total

er 15 GW.28 The

electricity undersupply in India is estimated to cost the economy as much as INR 34

hour. Thus, the total

2008 amounted to at

least INR 2,890 billion (USD 58 billion), or almost 6% of the GDP.29 Another report

states that there is an approximately 7% decrease in the turnovers of Indian

companies due to power cuts.30 As a consequence, many factories, businesses,

ivate customers have set up their own power generation capacities in the form

of captive power plants or diesel generators in order to ensure their power supply.

This provides an attractive opportunity for renewable energy solutions; they compete

power produced relatively cheaply by large coal plants but with much more

up generators. Until 1991, the Indian government

monopolized the power market. There were only a few private actors, and the CEA

economic clearance to new plants.

However, the public sector has been unable to cater to the growing demand for

power, and in the future, investment requirements in the public sector will far exceed

re place an emphasis on the

integration of the private sector along the entire value chain: from the generation of

21

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The Electricity Act 2003 displaced former energy laws and expanded them

comprehensively.31 The aim of the act was the modernization and liberalization of

the energy sector through the implementation of a market model with different

buyers and sellers. The main points included making it easier to construct

decentralized power plants, especiall

communities, and giving power

enable wheeling. Producers could also choose to sell power directly to consumers

rather than through the financially weak State Electri

Electricity Act, the different legal frameworks are to be unified at a state level to

promote foreign direct investment in the country. Given the long

and the growth trajectory of the Indian economy, the

has responded positively. However, international investors are still hesitant. The

largest barrier to more foreign private investment in the energy market is the energy

price itself. In many customer sections and regions, they a

stable and attractive returns. Despite being an impractical drain on resources, the

government has so far failed to adjust prices. The key reason is that cheap or free

electricity is an important political token in a country where th

population still lives on a very low income.

2.3 Power Consumption

India’s average power consumption per person was 733 kWh in 2009, and the

average annual rate of increase since 2003 was 4.4%,

Figure 5

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

The Electricity Act 2003 displaced former energy laws and expanded them

31 The aim of the act was the modernization and liberalization of

the energy sector through the implementation of a market model with different

buyers and sellers. The main points included making it easier to construct

decentralized power plants, especially in rural areas and for captive use by

communities, and giving power producer’s free access to the distribution grid to

enable wheeling. Producers could also choose to sell power directly to consumers

rather than through the financially weak State Electricity Boards (SEBs). Through the

Electricity Act, the different legal frameworks are to be unified at a state level to

promote foreign direct investment in the country. Given the long-term energy deficit

and the growth trajectory of the Indian economy, the Indian investment community

has responded positively. However, international investors are still hesitant. The

largest barrier to more foreign private investment in the energy market is the energy

price itself. In many customer sections and regions, they are too low to generate

stable and attractive returns. Despite being an impractical drain on resources, the

government has so far failed to adjust prices. The key reason is that cheap or free

electricity is an important political token in a country where the majority of the

population still lives on a very low income.

India’s average power consumption per person was 733 kWh in 2009, and the

average annual rate of increase since 2003 was 4.4%, 33 as shown in Figure

5 :Per capita annual electricity consumption in India

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The Electricity Act 2003 displaced former energy laws and expanded them

31 The aim of the act was the modernization and liberalization of

the energy sector through the implementation of a market model with different

buyers and sellers. The main points included making it easier to construct

y in rural areas and for captive use by

free access to the distribution grid to

enable wheeling. Producers could also choose to sell power directly to consumers

city Boards (SEBs). Through the

Electricity Act, the different legal frameworks are to be unified at a state level to

term energy deficit

Indian investment community

has responded positively. However, international investors are still hesitant. The

largest barrier to more foreign private investment in the energy market is the energy

re too low to generate

stable and attractive returns. Despite being an impractical drain on resources, the

government has so far failed to adjust prices. The key reason is that cheap or free

e majority of the

India’s average power consumption per person was 733 kWh in 2009, and the

33 as shown in Figure

22

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In 2008, a total of 596,943 GWh were consumed in India. The largest consumer was

industry with 274,531 GWh (46%), followed by households with 124,562 GWh

(21%), and agriculture with 107,835 GWh (18%). In the commercial sector (e.g.,

offices and shops), 48,047 GWh (8%) were consumed, 11,615 GWh (2%) in rail

traffic, and 30,353 GWh (5%) in various other sectors.

Figure 6 : India electricity

Between 1980 and 2009, energy consumption increased by almost seven times from

85,334 GWh to 596,943 GWh, which corresponds to an average annual growth rate

of approximately 7.1%. The strongest

households, which increased by almost 14 times since 1980 at an average annual

growth rate of 10%. The reason for this increase was the inclusion of several million

new households, corresponding to the increase in e

such as refrigerators and air conditioners. The agricultural share increased seven

fold at an annual growth rate of 7.6% between 1980 and 2008. The reason for a

strong growth in the agricultural sector is, first, the inclusio

second, the provision of power to farmers at reduced, or even frees

areas. The consequence of this latter practice was the widespread purchase of

cheap and inefficient water pumps that continue to run almost uninterrupted. The

slowest growth in power consumption was seen in the industrial sector at 5.9% per

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

In 2008, a total of 596,943 GWh were consumed in India. The largest consumer was

industry with 274,531 GWh (46%), followed by households with 124,562 GWh

ture with 107,835 GWh (18%). In the commercial sector (e.g.,

offices and shops), 48,047 GWh (8%) were consumed, 11,615 GWh (2%) in rail

traffic, and 30,353 GWh (5%) in various other sectors.

India electricity consumption sector-wise (utilities & non-utilities, 2008

Between 1980 and 2009, energy consumption increased by almost seven times from

85,334 GWh to 596,943 GWh, which corresponds to an average annual growth rate

of approximately 7.1%. The strongest increase was the consumption by private

households, which increased by almost 14 times since 1980 at an average annual

growth rate of 10%. The reason for this increase was the inclusion of several million

new households, corresponding to the increase in electrical household appliances

such as refrigerators and air conditioners. The agricultural share increased seven

fold at an annual growth rate of 7.6% between 1980 and 2008. The reason for a

strong growth in the agricultural sector is, first, the inclusion of more rural areas, and

provision of power to farmers at reduced, or even frees

areas. The consequence of this latter practice was the widespread purchase of

cheap and inefficient water pumps that continue to run almost uninterrupted. The

slowest growth in power consumption was seen in the industrial sector at 5.9% per

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

In 2008, a total of 596,943 GWh were consumed in India. The largest consumer was

industry with 274,531 GWh (46%), followed by households with 124,562 GWh

ture with 107,835 GWh (18%). In the commercial sector (e.g.,

offices and shops), 48,047 GWh (8%) were consumed, 11,615 GWh (2%) in rail

utilities, 2008–2009)

Between 1980 and 2009, energy consumption increased by almost seven times from

85,334 GWh to 596,943 GWh, which corresponds to an average annual growth rate

increase was the consumption by private

households, which increased by almost 14 times since 1980 at an average annual

growth rate of 10%. The reason for this increase was the inclusion of several million

lectrical household appliances

such as refrigerators and air conditioners. The agricultural share increased seven-

fold at an annual growth rate of 7.6% between 1980 and 2008. The reason for a

n of more rural areas, and

provision of power to farmers at reduced, or even frees, rates in many

areas. The consequence of this latter practice was the widespread purchase of

cheap and inefficient water pumps that continue to run almost uninterrupted. The

slowest growth in power consumption was seen in the industrial sector at 5.9% per

23

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jaro education

year, which still corresponds to a five

strong growth in the demand for power are the overall economic growth, the power

intensive manufacturing industry that is growing disproportionately fast, the rapidly

rising consumption in households due to the affordability of new electrical

appliances, the planned provision of power to 96,000 currently un

and the provision of power for latent demand, which is currently unfulfilled because

of frequent power cuts.

2.4 Power Generation Capacity

The total power generation capacity in India in March 2010 was 159 GW. Of this,

64.3% was fossil-fuel-fired power plants (coal, gas, and diesel), 23.1% hydropower,

2.9% nuclear power, and 9.7% renewable energ

(Renewable energy includes small hydropower plants (< 25 MW), biomass gasification, biomass

energy, urban and industrial waste energy, solar energy, and wind energy

Figure 7 : Installed capacities for power generation in

The composition of the power sector has changed significantly in the last 30 years.

The power generation capacity controlled directly by the central government has

increased from 12% to 32%. At the same time, t

controlled by the individual states fell from 83% to 50%. Generation capacity

controlled by the private sector more than tripled from 5% to 18%. The private sector

dominates in power generation from renewable energy sourc

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

year, which still corresponds to a five-fold increase.37 The main drivers for the

strong growth in the demand for power are the overall economic growth, the power

intensive manufacturing industry that is growing disproportionately fast, the rapidly

consumption in households due to the affordability of new electrical

appliances, the planned provision of power to 96,000 currently un-electrified villages,

and the provision of power for latent demand, which is currently unfulfilled because

Power Generation Capacity

The total power generation capacity in India in March 2010 was 159 GW. Of this,

fired power plants (coal, gas, and diesel), 23.1% hydropower,

2.9% nuclear power, and 9.7% renewable energy.

Renewable energy includes small hydropower plants (< 25 MW), biomass gasification, biomass

energy, urban and industrial waste energy, solar energy, and wind energy

Installed capacities for power generation in India according to energy source (March 2010)

The composition of the power sector has changed significantly in the last 30 years.

The power generation capacity controlled directly by the central government has

increased from 12% to 32%. At the same time, the fraction of generation capacity

controlled by the individual states fell from 83% to 50%. Generation capacity

controlled by the private sector more than tripled from 5% to 18%. The private sector

dominates in power generation from renewable energy sources.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

fold increase.37 The main drivers for the

strong growth in the demand for power are the overall economic growth, the power-

intensive manufacturing industry that is growing disproportionately fast, the rapidly

consumption in households due to the affordability of new electrical

electrified villages,

and the provision of power for latent demand, which is currently unfulfilled because

The total power generation capacity in India in March 2010 was 159 GW. Of this,

fired power plants (coal, gas, and diesel), 23.1% hydropower,

Renewable energy includes small hydropower plants (< 25 MW), biomass gasification, biomass

energy, urban and industrial waste energy, solar energy, and wind energy)

India according to energy source (March 2010)

The composition of the power sector has changed significantly in the last 30 years.

The power generation capacity controlled directly by the central government has

he fraction of generation capacity

controlled by the individual states fell from 83% to 50%. Generation capacity

controlled by the private sector more than tripled from 5% to 18%. The private sector

24

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(Includes small hydropower plants (< 25 MW), biomass gasification, biomass energy, urban and

industrial waste energy, solar energy, and wind energy

Figure 8 : Percentage of public and private sector power generation capacity

The National Electricity Policy (NEP) assumes that the per capita electricity

consumption will increase to 1,000 kWh by 2012. To cover this demand, the

government is planning to add 78,70

Plan43 (Eleventh Plan) ending March 2012. As of April 2010, 22,552 MW of new

installation toward that goal had been achieved. There are further projects under

construction with a total capacity of 39,822 MW. A

capacity additions of 62,374 MW are likely to be achieved with a high degree of

certainty and another 12,000 MW with best efforts.44 Figure 1

capacity growth from the end of the Eighth Plan in 1997 to project

end of the Eleventh Plan.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Includes small hydropower plants (< 25 MW), biomass gasification, biomass energy, urban and

industrial waste energy, solar energy, and wind energy)

: Percentage of public and private sector power generation capacity

The National Electricity Policy (NEP) assumes that the per capita electricity

consumption will increase to 1,000 kWh by 2012. To cover this demand, the

government is planning to add 78,700 MW of capacity during the Eleventh Five

Plan43 (Eleventh Plan) ending March 2012. As of April 2010, 22,552 MW of new

installation toward that goal had been achieved. There are further projects under

construction with a total capacity of 39,822 MW. As per the mid-term plan review,

capacity additions of 62,374 MW are likely to be achieved with a high degree of

certainty and another 12,000 MW with best efforts.44 Figure 1

capacity growth from the end of the Eighth Plan in 1997 to project

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Includes small hydropower plants (< 25 MW), biomass gasification, biomass energy, urban and

: Percentage of public and private sector power generation capacity

The National Electricity Policy (NEP) assumes that the per capita electricity

consumption will increase to 1,000 kWh by 2012. To cover this demand, the

0 MW of capacity during the Eleventh Five-Year

Plan43 (Eleventh Plan) ending March 2012. As of April 2010, 22,552 MW of new

installation toward that goal had been achieved. There are further projects under

term plan review,

capacity additions of 62,374 MW are likely to be achieved with a high degree of

certainty and another 12,000 MW with best efforts.44 Figure 1-9 shows India’s

capacity growth from the end of the Eighth Plan in 1997 to projections through the

25

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Figure 9 : Development of installed electrical capacities of utilities and non

Figure shows the technology breakdown of the 78,700 MW targeted in the Eleventh

Plan. The largest share of 59,693 MW is to be provided by thermal power plants.

Additionally, 15,627 MW is to be provided by hydro and 3,380 MW by nuclear power.

The central government undertakings, such as those of the National Thermal Power

Corporation or the National Hydro Power Corporation, will contribute the most.

Figure 10 : Forecast growth in capacity by the end of the Eleventh Plan according to sector (2012)

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Development of installed electrical capacities of utilities and non-utilities in India

Figure shows the technology breakdown of the 78,700 MW targeted in the Eleventh

Plan. The largest share of 59,693 MW is to be provided by thermal power plants.

Additionally, 15,627 MW is to be provided by hydro and 3,380 MW by nuclear power.

The central government undertakings, such as those of the National Thermal Power

r the National Hydro Power Corporation, will contribute the most.

Forecast growth in capacity by the end of the Eleventh Plan according to sector (2012)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

utilities in India

Figure shows the technology breakdown of the 78,700 MW targeted in the Eleventh

Plan. The largest share of 59,693 MW is to be provided by thermal power plants.

Additionally, 15,627 MW is to be provided by hydro and 3,380 MW by nuclear power.

The central government undertakings, such as those of the National Thermal Power

r the National Hydro Power Corporation, will contribute the most.

Forecast growth in capacity by the end of the Eleventh Plan according to sector (2012)

26

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In March 2009, the gross electricity generation48 by util

In addition, 95.9 TWh was generated by non

imports.

The total generation available was thus 848.4 TWh, which corresponds to a rise of

3.3% as compared to the previous year.49 As these fig

growth rates is inadequate in view of the rapid increase in demand for power.

Electricity Generation Efficiency

faces three main challenges:

1. The low average conversion efficiency of the plants (30%).

2. The low quality of the coal itself, which has high ash content and a low calorific

value (3,500–4,000 kcal/kg).51

3. The fixed electricity off-take price, which does not reward efficiency gains.

It is estimated that at least 25%

and inefficient and operates at high heat rates and low utilization levels.52 To

overcome these challenges, the Indian government has implemented a

comprehensive program that includes a large

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

In March 2009, the gross electricity generation48 by utilities in India was 746.6 TWh.

In addition, 95.9 TWh was generated by non-utilities and another 5.9 TWh were net

The total generation available was thus 848.4 TWh, which corresponds to a rise of

3.3% as compared to the previous year.49 As these figures show, the trend in

growth rates is inadequate in view of the rapid increase in demand for power.

Figure 11 : Power Generation Growth

Electricity Generation Efficiency Conventional thermal power generation in India

faces three main challenges:

1. The low average conversion efficiency of the plants (30%).

2. The low quality of the coal itself, which has high ash content and a low calorific

4,000 kcal/kg).51

take price, which does not reward efficiency gains.

It is estimated that at least 25%–30% of the capacity in power plants in India is old

and inefficient and operates at high heat rates and low utilization levels.52 To

overcome these challenges, the Indian government has implemented a

comprehensive program that includes a large-scale renovation and modernizatio

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

ities in India was 746.6 TWh.

utilities and another 5.9 TWh were net

The total generation available was thus 848.4 TWh, which corresponds to a rise of

ures show, the trend in

growth rates is inadequate in view of the rapid increase in demand for power.

Conventional thermal power generation in India

2. The low quality of the coal itself, which has high ash content and a low calorific

take price, which does not reward efficiency gains.

n power plants in India is old

and inefficient and operates at high heat rates and low utilization levels.52 To

overcome these challenges, the Indian government has implemented a

scale renovation and modernization

27

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(R&M) program for existing power plants, the promotion of supercritical technology

for Ultra Mega Power Projects at pithead locations, the promotion of use of imported

higher quality coal (from South Africa, Australia, and Indonesia) for coastal location

the set-up of coal washing facilities for domestic coal, and the promotion of an IGCC

technology for gas plants. Also, new power plant projects are being awarded via a

competitive bidding process based on the lowest price offer for electricity sold to t

grid. Since 1985, nearly 400 units (over 40 GW) have been serviced through the

R&M program. According to The Energy and Resources Institute (TERI), R&M could

improve electricity generation by 30%, reduce emissions by 47%, and increase

energy conversion efficiency by 23%.53 The R&M program currently faces two

challenges to successful completion. First, the rising electricity demand makes it

difficult to take plants off the grid for maintenance work. Second, sometimes the

costs to repair or upgrade old pow

of an entirely new plant. In such cases, repair is not economically viable. However,

given the rising demand, such plants cannot be taken off the grid either. Although

many newer, privately operated plants ar

there is still a technology deficit across the power generation sector, mainly with

respect to the latest supercritical technology. The performance of India’s existing

supercritical power plants has so far failed t

great opportunity for international technical cooperation.

3.0 THE STATUS OF RENEWABLE ENERGY IN INDIA

India has over 17 GW of installed renewable power generating capacity. Installed

wind capacity is the largest share at over 12 GW, followed by small hydro at 2.8 GW.

The remainder is dominated by bio

Eleventh Plan calls for grid

JNNSM targets total capacity

Renewable energy technologies are being deployed at industrial facilities to provide

supplemental power from the grid, and over 70% of wind installations are used for

this purpose. Biofuels have not yet reached

Ministry of New and Renewable Energy (MNRE) supports the further deployment of

renewable technologies through policy actions, capacity building, and oversight of

their wind and solar research institutes. The Indian Ren

Agency (IREDA) provides financial assistance for renewable projects with funding

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

(R&M) program for existing power plants, the promotion of supercritical technology

for Ultra Mega Power Projects at pithead locations, the promotion of use of imported

higher quality coal (from South Africa, Australia, and Indonesia) for coastal location

up of coal washing facilities for domestic coal, and the promotion of an IGCC

technology for gas plants. Also, new power plant projects are being awarded via a

competitive bidding process based on the lowest price offer for electricity sold to t

grid. Since 1985, nearly 400 units (over 40 GW) have been serviced through the

R&M program. According to The Energy and Resources Institute (TERI), R&M could

improve electricity generation by 30%, reduce emissions by 47%, and increase

efficiency by 23%.53 The R&M program currently faces two

challenges to successful completion. First, the rising electricity demand makes it

difficult to take plants off the grid for maintenance work. Second, sometimes the

costs to repair or upgrade old power generation equipment exceed 50% of the costs

of an entirely new plant. In such cases, repair is not economically viable. However,

given the rising demand, such plants cannot be taken off the grid either. Although

many newer, privately operated plants are more efficient than state

there is still a technology deficit across the power generation sector, mainly with

respect to the latest supercritical technology. The performance of India’s existing

supercritical power plants has so far failed to meet expectations.54 This presents a

great opportunity for international technical cooperation.

THE STATUS OF RENEWABLE ENERGY IN INDIA

India has over 17 GW of installed renewable power generating capacity. Installed

largest share at over 12 GW, followed by small hydro at 2.8 GW.

The remainder is dominated by bio energy, with solar contributing only 15 MW. The

Eleventh Plan calls for grid-connected renewable energy to exceed 25 GW by 2012.

JNNSM targets total capacity of 20 GW grid-connected solar

Renewable energy technologies are being deployed at industrial facilities to provide

supplemental power from the grid, and over 70% of wind installations are used for

this purpose. Biofuels have not yet reached a significant scale in India. India’s

Ministry of New and Renewable Energy (MNRE) supports the further deployment of

renewable technologies through policy actions, capacity building, and oversight of

their wind and solar research institutes. The Indian Renewable Energy Development

Agency (IREDA) provides financial assistance for renewable projects with funding

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

(R&M) program for existing power plants, the promotion of supercritical technology

for Ultra Mega Power Projects at pithead locations, the promotion of use of imported

higher quality coal (from South Africa, Australia, and Indonesia) for coastal locations,

up of coal washing facilities for domestic coal, and the promotion of an IGCC

technology for gas plants. Also, new power plant projects are being awarded via a

competitive bidding process based on the lowest price offer for electricity sold to the

grid. Since 1985, nearly 400 units (over 40 GW) have been serviced through the

R&M program. According to The Energy and Resources Institute (TERI), R&M could

improve electricity generation by 30%, reduce emissions by 47%, and increase

efficiency by 23%.53 The R&M program currently faces two

challenges to successful completion. First, the rising electricity demand makes it

difficult to take plants off the grid for maintenance work. Second, sometimes the

er generation equipment exceed 50% of the costs

of an entirely new plant. In such cases, repair is not economically viable. However,

given the rising demand, such plants cannot be taken off the grid either. Although

e more efficient than state-owned plants,

there is still a technology deficit across the power generation sector, mainly with

respect to the latest supercritical technology. The performance of India’s existing

o meet expectations.54 This presents a

India has over 17 GW of installed renewable power generating capacity. Installed

largest share at over 12 GW, followed by small hydro at 2.8 GW.

energy, with solar contributing only 15 MW. The

connected renewable energy to exceed 25 GW by 2012.

connected solar power by 2022.

Renewable energy technologies are being deployed at industrial facilities to provide

supplemental power from the grid, and over 70% of wind installations are used for

a significant scale in India. India’s

Ministry of New and Renewable Energy (MNRE) supports the further deployment of

renewable technologies through policy actions, capacity building, and oversight of

ewable Energy Development

Agency (IREDA) provides financial assistance for renewable projects with funding

28

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from the Indian government and international organizations; they are also

responsible for implementing many of the Indian government’s renewable ener

incentive policies. There are several additional Indian government bodies with

initiatives that extends into renewable energy, and there have been several major

policy actions in the last decade that have increased the viability of increased

deployment of renewable technologies in India, ranging from electricity sector reform

to rural electrification initiatives. Several incentive schemes are available for the

various renewable technologies, and these range from investment

depreciation benefits to generation

establishing Renewable Purchase Obligations (RPOs), which has stimulated

development of a tradable Renewable Energy Certificate (REC) program.

3.1 Renewable Energy Share of Electricity

As of June 2010, India was one of the world leaders in installed renewable energy

capacity, with a total capacity of 17,594 MW (utility and non

represents approximately 10% of India’s total installed electric generating

capacity.59 Of that total, 17,174 MW were grid

remaining 2.4% of installed renewable capacity consisted of off

wind industry has achieved the greatest success in India with an installed capacity of

12,009 MW at the end of Ju

hydro plants (with sizes of less than 25 MW each), 1,412 MW of grid

cogeneration from bagasse, and 901 MW of biomass

residues. Waste-to-energy projects have an installed ca

off-grid renewable power capacities of 238 MW from biomass cogeneration, 125 MW

from biogas, 53 MW from waste

from hybrid systems.

With the recently announced JNNSM described in Chap

more of its solar resource potential. As of June 2010, solar PV plants in India had

reached a cumulative generation capacity of approximately 15.2 MW. This is

approximately 0.07% of JNNSM’s 2022 target of 22 GW.62 As reported

Today, JNNSM’s goal would “make India the producer of almost three

the world's total solar energy output.”63 By the end of the Tenth Plan (2007), India

achieved a cumulative installed capacity of 10.161 GW of renewable energy (see

Table 2-1). Additions totaling 15 GW are targeted during the Eleventh Plan to bring

the total installed grid-connected renewable generating capacity to over 25 GW.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

from the Indian government and international organizations; they are also

responsible for implementing many of the Indian government’s renewable ener

incentive policies. There are several additional Indian government bodies with

initiatives that extends into renewable energy, and there have been several major

policy actions in the last decade that have increased the viability of increased

of renewable technologies in India, ranging from electricity sector reform

to rural electrification initiatives. Several incentive schemes are available for the

various renewable technologies, and these range from investment

to generation-oriented preferential tariffs. Many states are now

establishing Renewable Purchase Obligations (RPOs), which has stimulated

development of a tradable Renewable Energy Certificate (REC) program.

Renewable Energy Share of Electricity

As of June 2010, India was one of the world leaders in installed renewable energy

capacity, with a total capacity of 17,594 MW (utility and non

represents approximately 10% of India’s total installed electric generating

hat total, 17,174 MW were grid-connected projects, and the

remaining 2.4% of installed renewable capacity consisted of off-grid systems.60 The

wind industry has achieved the greatest success in India with an installed capacity of

12,009 MW at the end of June 2010. India has also installed 2,767 MW of small

hydro plants (with sizes of less than 25 MW each), 1,412 MW of grid

cogeneration from bagasse, and 901 MW of biomass-based power from agro

energy projects have an installed capacity of 72 MW. India has

grid renewable power capacities of 238 MW from biomass cogeneration, 125 MW

from biogas, 53 MW from waste-to-energy, 3 MW from solar PV plants, and 1 MW

With the recently announced JNNSM described in Chapter 4, India hopes to develop

more of its solar resource potential. As of June 2010, solar PV plants in India had

reached a cumulative generation capacity of approximately 15.2 MW. This is

approximately 0.07% of JNNSM’s 2022 target of 22 GW.62 As reported

, JNNSM’s goal would “make India the producer of almost three

the world's total solar energy output.”63 By the end of the Tenth Plan (2007), India

achieved a cumulative installed capacity of 10.161 GW of renewable energy (see

1). Additions totaling 15 GW are targeted during the Eleventh Plan to bring

connected renewable generating capacity to over 25 GW.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

from the Indian government and international organizations; they are also

responsible for implementing many of the Indian government’s renewable energy

incentive policies. There are several additional Indian government bodies with

initiatives that extends into renewable energy, and there have been several major

policy actions in the last decade that have increased the viability of increased

of renewable technologies in India, ranging from electricity sector reform

to rural electrification initiatives. Several incentive schemes are available for the

various renewable technologies, and these range from investment-oriented

oriented preferential tariffs. Many states are now

establishing Renewable Purchase Obligations (RPOs), which has stimulated

development of a tradable Renewable Energy Certificate (REC) program.

As of June 2010, India was one of the world leaders in installed renewable energy

capacity, with a total capacity of 17,594 MW (utility and non-utility),58 which

represents approximately 10% of India’s total installed electric generating

connected projects, and the

grid systems.60 The

wind industry has achieved the greatest success in India with an installed capacity of

ne 2010. India has also installed 2,767 MW of small

hydro plants (with sizes of less than 25 MW each), 1,412 MW of grid-connected

based power from agro

pacity of 72 MW. India has

grid renewable power capacities of 238 MW from biomass cogeneration, 125 MW

energy, 3 MW from solar PV plants, and 1 MW

ter 4, India hopes to develop

more of its solar resource potential. As of June 2010, solar PV plants in India had

reached a cumulative generation capacity of approximately 15.2 MW. This is

approximately 0.07% of JNNSM’s 2022 target of 22 GW.62 As reported by CSP

, JNNSM’s goal would “make India the producer of almost three-quarters of

the world's total solar energy output.”63 By the end of the Tenth Plan (2007), India

achieved a cumulative installed capacity of 10.161 GW of renewable energy (see

1). Additions totaling 15 GW are targeted during the Eleventh Plan to bring

connected renewable generating capacity to over 25 GW.

29

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Wind energy is expected to contribute approximately two

capacity in this plan period. If India is able to achieve its renewable energy goals by

2022 (by the end of the Thirteenth Plan), it will reach a total of 74 GW of installed

capacity for wind, solar energy, biomass, and small hydropower, with wind and solar

expected to account for more than 80% of the installed renewable power.

Table 1: Table Development of Grid-connected Renewable Power in India (in MW)

Achieved

Five-year

Plan

By the End of

the 9th Plan

(cumulative

installed

capacity)

Years Through

2002

Wind 1,667

Small

Hydro

1,438

Biomass 368

Solar 2

Total 3,475

Although the government provides assistance for renewable energy implementation

in the form of generation-based incentives (GBIs), subsidies, subsidized credits, and

reduced import duties, the Indian market does not offer investors a framework that is

as investor-friendly as in some developed countries. The main reason is that

renewable energy sources are not systematically prioritized over non

sources at a given national budget and a given power demand scenario. While the

market certainly offers great opportunities for investors, it also requires adaptation

and entrepreneurship to develop solutions that specifically fit the Indian scenario.

Off-grid applications for rural electrification and captive power for industries offer a

promising opportunity for renewable energy technologies in India. Both of these

applications can benefit from renewable energy's advantages over conventional

energy sources: local control of the energy resource and power system and

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Wind energy is expected to contribute approximately two-thirds of the added

period. If India is able to achieve its renewable energy goals by

2022 (by the end of the Thirteenth Plan), it will reach a total of 74 GW of installed

capacity for wind, solar energy, biomass, and small hydropower, with wind and solar

for more than 80% of the installed renewable power.

connected Renewable Power in India (in MW)

In Process Anticipated

By the End of

the 9th Plan

10th Plan

(additions

during

plan

period)

Anticipated

in the 11th

Plan

(additions

during plan

period)

By the End of

the 11th Plan

(cumulative

installed

capacity)

2002 -

2007

2007 - 2012 Through 2012

5,415 10,500 17,582

520 1400 3,358

750 2,100 3,218

1 1,000 1,003

6,686 15,000 25,161

Although the government provides assistance for renewable energy implementation

based incentives (GBIs), subsidies, subsidized credits, and

reduced import duties, the Indian market does not offer investors a framework that is

friendly as in some developed countries. The main reason is that

renewable energy sources are not systematically prioritized over non

sources at a given national budget and a given power demand scenario. While the

great opportunities for investors, it also requires adaptation

and entrepreneurship to develop solutions that specifically fit the Indian scenario.

grid applications for rural electrification and captive power for industries offer a

ty for renewable energy technologies in India. Both of these

applications can benefit from renewable energy's advantages over conventional

energy sources: local control of the energy resource and power system and

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

thirds of the added

period. If India is able to achieve its renewable energy goals by

2022 (by the end of the Thirteenth Plan), it will reach a total of 74 GW of installed

capacity for wind, solar energy, biomass, and small hydropower, with wind and solar

for more than 80% of the installed renewable power.

Anticipated Targets

By the End of

the 11th Plan

(cumulative

installed

capacity)

By the End of

the 13th Plan

(cumulative

installed

capacity)

Through 2012 Through

2022

17,582 40,000

6,500

7,500

20,000

25,161 74,000

Although the government provides assistance for renewable energy implementation

based incentives (GBIs), subsidies, subsidized credits, and

reduced import duties, the Indian market does not offer investors a framework that is

friendly as in some developed countries. The main reason is that

renewable energy sources are not systematically prioritized over non-renewable

sources at a given national budget and a given power demand scenario. While the

great opportunities for investors, it also requires adaptation

and entrepreneurship to develop solutions that specifically fit the Indian scenario.

grid applications for rural electrification and captive power for industries offer a

ty for renewable energy technologies in India. Both of these

applications can benefit from renewable energy's advantages over conventional

energy sources: local control of the energy resource and power system and

30

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suitability to smaller-scale applications.

either a costly connection to the national grid or diesel generator

its high maintenance and fuel costs. On average, the cost of producing power for a

coal plant is about INR 2 (USD 0.03) per kWh

generator plant is approximately INR 10 (USD 0.20) per kWh

with these established technologies, renewable energy technologies require

business models adapted to the characteristics of renewable powe

include plans for efficient marketing, distribution, operation and maintenance, and

access to financing. For on

grid infrastructure improvements and the continued reduction of renewable

costs. Currently, wind, small hydro, and biomass are the most cost

renewable options. Solar technologies, including concentrated solar power (CSP)

and PV, are the least competitive but offer the greatest opportunity for growth

because of the high potential. It therefore receives the most financial support in

terms of government incentives.

Energy Type

INRIkWh (USDIkWh)

Coal 1

Nuclear 2

Large Hydro 3

Gas 4

Diesel 10+ (0.20+)

Wind (on-shore) 3

Small Hydro 3

Biomass 4

Solar (CSP) 10

Solar (PV) 12

Table 2 :

3.2 Renewable Energy Application in Industrial Use and Transportation

A large percentage of renewable energy in India is covered under captive generation

for industrial use. This is especially true in the wind market where 70% of electricity

from wind projects is produced for direct consumption by large industrial facilities to

mitigate the effect of frequent shortages of electricity from the national grid.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

scale applications. Renewable energy's competition is typically

either a costly connection to the national grid or diesel generator-based power with

its high maintenance and fuel costs. On average, the cost of producing power for a

coal plant is about INR 2 (USD 0.03) per kWh, while electricity from a diesel

generator plant is approximately INR 10 (USD 0.20) per kWh. To compete effectively

with these established technologies, renewable energy technologies require

business models adapted to the characteristics of renewable powe

include plans for efficient marketing, distribution, operation and maintenance, and

access to financing. For on-grid application of renewable energy, growth depends on

grid infrastructure improvements and the continued reduction of renewable

costs. Currently, wind, small hydro, and biomass are the most cost

renewable options. Solar technologies, including concentrated solar power (CSP)

and PV, are the least competitive but offer the greatest opportunity for growth

the high potential. It therefore receives the most financial support in

terms of government incentives.

Electricity

Generation Costsin

INRIkWh (USDIkWh)

Source

1—2 (0.02—0.04) IIcKinsey - Powering India

2—3 (0.04—0.06) McKinsey - Powering India

3-4 (0.06—0.08) IbicKinsey - Powering India

4—6 (0.08—0.12) McKinsey - Powering India

10+ (0.20+) McKinsey - Powering India

3—4.5 (006—0.09) Industry experts

3—4 006—0,08 Industry experts

4—5 (0.06—0.10) Industry experts

10—15 (0.20—0.30) Industry experts

12—20 (0.24—0.40) Industry experts

: Table Power Generation Costs in India by Energy Source 2008

Renewable Energy Application in Industrial Use and Transportation

A large percentage of renewable energy in India is covered under captive generation

for industrial use. This is especially true in the wind market where 70% of electricity

s is produced for direct consumption by large industrial facilities to

mitigate the effect of frequent shortages of electricity from the national grid.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Renewable energy's competition is typically

based power with

its high maintenance and fuel costs. On average, the cost of producing power for a

, while electricity from a diesel

To compete effectively

with these established technologies, renewable energy technologies require

business models adapted to the characteristics of renewable power plants that

include plans for efficient marketing, distribution, operation and maintenance, and

grid application of renewable energy, growth depends on

grid infrastructure improvements and the continued reduction of renewable energy

costs. Currently, wind, small hydro, and biomass are the most cost-competitive

renewable options. Solar technologies, including concentrated solar power (CSP)

and PV, are the least competitive but offer the greatest opportunity for growth

the high potential. It therefore receives the most financial support in

Source

Powering India

Powering India

Powering India

Powering India

Powering India

Table Power Generation Costs in India by Energy Source 2008

Renewable Energy Application in Industrial Use and Transportation

A large percentage of renewable energy in India is covered under captive generation

for industrial use. This is especially true in the wind market where 70% of electricity

s is produced for direct consumption by large industrial facilities to

mitigate the effect of frequent shortages of electricity from the national grid.

31

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Telecommunications companies are also looking toward renewable energy as they

search for new solutions to power India’s 250,000 telecom towers. Systems such as

solar PV-based hybrid systems provide a less polluting alternative to diesel power,

serve as a hedge against increasing diesel fuel prices, and help minimize the

logistical challenges of transporting

For the last 2 years, solar cooling has been a buzzword in the industry. While its

attraction in a country as sunny and hot as India is obvious, the technology is still

under development and is not y

demonstration sites such as the Muni Seva Ashram in Gujarat, which uses parabolic

Scheffler-type dishes to supply a 100

For the last 2 years, solar cooling has been a buzzword i

attraction in a country as sunny and hot as India is obvious, the technology is still

under development and is not yet economically viable. There are, however, some

demonstration sites such as the Muni Seva Ashram in Gujarat, whic

Scheffler-type dishes to supply a 100

transportation front, there have been initiatives to switch to alternative transportation

fuels such as compressed natural gas and electricity. The Reva, develope

Maini Group, is India’s—and one of the world’s

car. TATA and General Electric are also in the process of developing electric

vehicles. In addition, highly visible pilot projects are deployed to increase public

interest in renewable energy technologies. The October 2010 Commonwealth

Games in New Delhi are showcasing renewable energy for transportation and other

uses including the utilization of at least 1,000 solar rickshaws, which use PV

powered motors for transporting athletes at the games.69 Also, a 1 MW PV plant will

provide electricity for one of the stadiums at the games.70 Liquid

ethanol and biodiesel, are considered substitutes for petroleum

transportation fuels. In India, ethan

by-product of the sugar industry, but more advanced conversion technologies are

under development, which will allow it to be made from more abundant

lignocelluloses biomass resources such as forest and agri

production is currently very small, using non

and used cooking oil as feedstock. However, given the fact that India consumes

more diesel than gasoline in the transportation sector, it is

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Telecommunications companies are also looking toward renewable energy as they

o power India’s 250,000 telecom towers. Systems such as

based hybrid systems provide a less polluting alternative to diesel power,

serve as a hedge against increasing diesel fuel prices, and help minimize the

logistical challenges of transporting and storing diesel fuel at remote tower locations.

For the last 2 years, solar cooling has been a buzzword in the industry. While its

attraction in a country as sunny and hot as India is obvious, the technology is still

under development and is not yet economically viable. There are, however, some

demonstration sites such as the Muni Seva Ashram in Gujarat, which uses parabolic

type dishes to supply a 100- ton air-conditioning system.

For the last 2 years, solar cooling has been a buzzword in the industry. While its

attraction in a country as sunny and hot as India is obvious, the technology is still

under development and is not yet economically viable. There are, however, some

demonstration sites such as the Muni Seva Ashram in Gujarat, whic

type dishes to supply a 100- ton air-conditioning system.68 On the

transportation front, there have been initiatives to switch to alternative transportation

fuels such as compressed natural gas and electricity. The Reva, develope

and one of the world’s—first commercially available electric

car. TATA and General Electric are also in the process of developing electric

vehicles. In addition, highly visible pilot projects are deployed to increase public

interest in renewable energy technologies. The October 2010 Commonwealth

Games in New Delhi are showcasing renewable energy for transportation and other

uses including the utilization of at least 1,000 solar rickshaws, which use PV

sporting athletes at the games.69 Also, a 1 MW PV plant will

provide electricity for one of the stadiums at the games.70 Liquid

ethanol and biodiesel, are considered substitutes for petroleum

transportation fuels. In India, ethanol is produced by the fermentation of molasses, a

product of the sugar industry, but more advanced conversion technologies are

under development, which will allow it to be made from more abundant

biomass resources such as forest and agricultural residues. Biodiesel

production is currently very small, using non-edible oilseeds, waste oil, animal fat,

and used cooking oil as feedstock. However, given the fact that India consumes

more diesel than gasoline in the transportation sector, it is expected that the

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Telecommunications companies are also looking toward renewable energy as they

o power India’s 250,000 telecom towers. Systems such as

based hybrid systems provide a less polluting alternative to diesel power,

serve as a hedge against increasing diesel fuel prices, and help minimize the

and storing diesel fuel at remote tower locations.

For the last 2 years, solar cooling has been a buzzword in the industry. While its

attraction in a country as sunny and hot as India is obvious, the technology is still

et economically viable. There are, however, some

demonstration sites such as the Muni Seva Ashram in Gujarat, which uses parabolic

n the industry. While its

attraction in a country as sunny and hot as India is obvious, the technology is still

under development and is not yet economically viable. There are, however, some

demonstration sites such as the Muni Seva Ashram in Gujarat, which uses parabolic

conditioning system.68 On the

transportation front, there have been initiatives to switch to alternative transportation

fuels such as compressed natural gas and electricity. The Reva, developed by the

first commercially available electric

car. TATA and General Electric are also in the process of developing electric

vehicles. In addition, highly visible pilot projects are deployed to increase public

interest in renewable energy technologies. The October 2010 Commonwealth

Games in New Delhi are showcasing renewable energy for transportation and other

uses including the utilization of at least 1,000 solar rickshaws, which use PV-

sporting athletes at the games.69 Also, a 1 MW PV plant will

provide electricity for one of the stadiums at the games.70 Liquid bio fuels, namely

ethanol and biodiesel, are considered substitutes for petroleum- derived

ol is produced by the fermentation of molasses, a

product of the sugar industry, but more advanced conversion technologies are

under development, which will allow it to be made from more abundant

cultural residues. Biodiesel

edible oilseeds, waste oil, animal fat,

and used cooking oil as feedstock. However, given the fact that India consumes

expected that the

32

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jaro education

production of biodiesel and other biomass

the next decade.

3.3 Grid Connection and Status Overview

In March 2009, the Indian power network had a total length of 7.49 million circuit

kilometres (ckm).91 In comparison to the power generation sector, investments into

the transmission and distribution networks have been lower in recent years.

Nevertheless, the transmission network has improved considerably. The distribution

network, however, remains in a poor state. In the ongoing Eleventh Plan, the high

voltage network is to be extended by around 95,000 ckm to a capacity of more than

178,000 mega volt amperes (MVA). In the low

ckm and a capacity of 214,000 MVA are to be added. Another extremely important

task is the “Power for All by 2012” mission,92 declared by the Government of India

the ambitious goal of providing power to all Indian villages by 2012, to a large extent

through grid access.

3.4 Tradable Renewable Energy Credits

Naturally, the availability of renewable energy sources differs across India. In some

states, such as Delhi, the potential for harnessing renewable energy compared to the

demand for energy is very small. In other states, such

Rajasthan for solar, or Himachal Pradesh for hydro, it is very high. This offers

opportunities for inter-state trading in the form of RECs. Such trade allows for more

economically efficient development of renewable energy throughout

distribution licensees in states with limited resources can purchase RECs associated

with renewable generation in other states where it is less expensive to develop

renewable energy projects. In this way, each state’s RPO can be met in the

economically efficient manner. In January 2010, CERC announced the terms and

conditions for a tradable REC program as follows:

• “There will be a central agency, to be designated by CERC, for registering RE

generators participating in the scheme.

• The renewable energy generators will have two options either sell the renewable

energy at a preferential tariff fixed by the concerned Electricity Regulatory

Commission, or sell the electricity generation and environmental attributes

associated with RE generation separately.

• On choosing the second option, the environmental attributes can be exchanged in

the form of REC. Price of the electricity component would be equivalent to the

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

production of biodiesel and other biomass-derived diesel substitutes will grow over

Grid Connection and Status Overview

In March 2009, the Indian power network had a total length of 7.49 million circuit

(ckm).91 In comparison to the power generation sector, investments into

the transmission and distribution networks have been lower in recent years.

Nevertheless, the transmission network has improved considerably. The distribution

er, remains in a poor state. In the ongoing Eleventh Plan, the high

voltage network is to be extended by around 95,000 ckm to a capacity of more than

178,000 mega volt amperes (MVA). In the low-voltage area, an additional 3,253,773

4,000 MVA are to be added. Another extremely important

task is the “Power for All by 2012” mission,92 declared by the Government of India

the ambitious goal of providing power to all Indian villages by 2012, to a large extent

ble Renewable Energy Credits

Naturally, the availability of renewable energy sources differs across India. In some

states, such as Delhi, the potential for harnessing renewable energy compared to the

demand for energy is very small. In other states, such as Tamil Nadu for wind,

Rajasthan for solar, or Himachal Pradesh for hydro, it is very high. This offers

state trading in the form of RECs. Such trade allows for more

economically efficient development of renewable energy throughout

distribution licensees in states with limited resources can purchase RECs associated

with renewable generation in other states where it is less expensive to develop

renewable energy projects. In this way, each state’s RPO can be met in the

economically efficient manner. In January 2010, CERC announced the terms and

conditions for a tradable REC program as follows:

• “There will be a central agency, to be designated by CERC, for registering RE

generators participating in the scheme.

The renewable energy generators will have two options either sell the renewable

energy at a preferential tariff fixed by the concerned Electricity Regulatory

Commission, or sell the electricity generation and environmental attributes

eration separately.

• On choosing the second option, the environmental attributes can be exchanged in

the form of REC. Price of the electricity component would be equivalent to the

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

derived diesel substitutes will grow over

In March 2009, the Indian power network had a total length of 7.49 million circuit

(ckm).91 In comparison to the power generation sector, investments into

the transmission and distribution networks have been lower in recent years.

Nevertheless, the transmission network has improved considerably. The distribution

er, remains in a poor state. In the ongoing Eleventh Plan, the high-

voltage network is to be extended by around 95,000 ckm to a capacity of more than

voltage area, an additional 3,253,773

4,000 MVA are to be added. Another extremely important

task is the “Power for All by 2012” mission,92 declared by the Government of India—

the ambitious goal of providing power to all Indian villages by 2012, to a large extent

Naturally, the availability of renewable energy sources differs across India. In some

states, such as Delhi, the potential for harnessing renewable energy compared to the

as Tamil Nadu for wind,

Rajasthan for solar, or Himachal Pradesh for hydro, it is very high. This offers

state trading in the form of RECs. Such trade allows for more

economically efficient development of renewable energy throughout the country as

distribution licensees in states with limited resources can purchase RECs associated

with renewable generation in other states where it is less expensive to develop

renewable energy projects. In this way, each state’s RPO can be met in the most

economically efficient manner. In January 2010, CERC announced the terms and

• “There will be a central agency, to be designated by CERC, for registering RE

The renewable energy generators will have two options either sell the renewable

energy at a preferential tariff fixed by the concerned Electricity Regulatory

Commission, or sell the electricity generation and environmental attributes

• On choosing the second option, the environmental attributes can be exchanged in

the form of REC. Price of the electricity component would be equivalent to the

33

Page 34: Challenges & opportunities for renewable energy in india

jaro education

weighted average power purchase cost to the distribution company, including

term power purchase but excluding renewable power purchase cost.

• The central agency will issue the REC to renewable energy generators.

• The value of one REC will be equivalent to 1 MWh of electricity delivered to the grid

from renewable energy sources.

• The REC will be exchanged only in the power exchanges approved by CERC

within the band of a floor price and a forbearance (ceiling) price to be determined by

CERC from time to time.”95 CERC issued an amendment to the terms in September

2010 clarifying participation of captive generation plants and restricting participation

of any generator terminating an existing PPA to sell power under the REC scheme.

The two paths under which renewable power will be sold under the REC program

are illustrated in Figure.

Figure

4.0 VARIOUS SOURCE OF RENEWABLE ENERGY OPPORTUNITIES IN

INDIA

There is an urgent need for transition from petroleum

based on renewable resources to decrease reliance on depleting reserves of fossil

fuels and to mitigate climate change. In addition, renewable energy has the potential

to create many employment opportunities at all levels, especially in rural areas. An

emphasis on presenting the real picture of massive renewable energy potential, it

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

weighted average power purchase cost to the distribution company, including

term power purchase but excluding renewable power purchase cost.

• The central agency will issue the REC to renewable energy generators.

• The value of one REC will be equivalent to 1 MWh of electricity delivered to the grid

nergy sources.

• The REC will be exchanged only in the power exchanges approved by CERC

within the band of a floor price and a forbearance (ceiling) price to be determined by

CERC from time to time.”95 CERC issued an amendment to the terms in September

10 clarifying participation of captive generation plants and restricting participation

of any generator terminating an existing PPA to sell power under the REC scheme.

The two paths under which renewable power will be sold under the REC program

Figure 12 : Route for sale of renewable energy generation

VARIOUS SOURCE OF RENEWABLE ENERGY OPPORTUNITIES IN

There is an urgent need for transition from petroleum-based energy systems to one

based on renewable resources to decrease reliance on depleting reserves of fossil

fuels and to mitigate climate change. In addition, renewable energy has the potential

ate many employment opportunities at all levels, especially in rural areas. An

emphasis on presenting the real picture of massive renewable energy potential, it

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

weighted average power purchase cost to the distribution company, including short-

term power purchase but excluding renewable power purchase cost.

• The central agency will issue the REC to renewable energy generators.

• The value of one REC will be equivalent to 1 MWh of electricity delivered to the grid

• The REC will be exchanged only in the power exchanges approved by CERC

within the band of a floor price and a forbearance (ceiling) price to be determined by

CERC from time to time.”95 CERC issued an amendment to the terms in September

10 clarifying participation of captive generation plants and restricting participation

of any generator terminating an existing PPA to sell power under the REC scheme.

The two paths under which renewable power will be sold under the REC program

VARIOUS SOURCE OF RENEWABLE ENERGY OPPORTUNITIES IN

based energy systems to one

based on renewable resources to decrease reliance on depleting reserves of fossil

fuels and to mitigate climate change. In addition, renewable energy has the potential

ate many employment opportunities at all levels, especially in rural areas. An

emphasis on presenting the real picture of massive renewable energy potential, it

34

Page 35: Challenges & opportunities for renewable energy in india

jaro education

would be possible to attract foreign investments to herald a Green Energy Revolution

in India.

India is facing an acute energy scarcity which is hampering its industrial growth and

economic progress. Setting up of new power plants is inevitably dependent on import

of highly volatile fossil fuels. Thus, it is essential to tackle the energy

judicious utilization of abundant the renewable energy resources, such as

energy, solar energy, wind energy

the energy supply, renewable resources will help India in mitigating climate

India is heavily dependent on fossil fuels for its energy needs. Most of the power

generation is carried out by coal and mineral oil

heavily to greenhouse gases emission.

The average per capita consumption of ene

much lower than that of developed countries like USA, Europe, Australia, Japan etc.

However, this figure is expected to rise sharply due to high economic growth and

rapid industrialization. The consumption of electric

basis. Energy is a necessity and sustainable renewable energy is a vital link in

industrialization and development of India. A transition from conventional energy

systems to those based on renewable resources is necessary to

increasing demand for energy and to address environmental concerns.

4.1 Solar

India has huge untapped solar offgrid opportunities, given its ability to provide energy

to vast untapped remote rural areas, the scope of providing backup power t

towers and its inherent potential to replace precious fossil fuels, said a solar

equipment company.

The off-grid opportunities are significant, given the cost involved in offgrid

applications when compared to huge financial investments to be made to

grids.

Moreover, specific government incentives to promote off grid applications, rapid

expansion of wireless telecom and telecom companies' desire to reduce operating

cost for base stations (due to diesel cost and losses in diesel pilferage) are a

expected to prompt growth in off

The potential of replacing huge usage of kerosene used for lighting rural homes

makes off-grid applications desirable. Off

remote village electrification, power irrigation pump sets, telecom towers, backup

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

would be possible to attract foreign investments to herald a Green Energy Revolution

India is facing an acute energy scarcity which is hampering its industrial growth and

economic progress. Setting up of new power plants is inevitably dependent on import

of highly volatile fossil fuels. Thus, it is essential to tackle the energy

judicious utilization of abundant the renewable energy resources, such as

wind energy and geothermal energy. Apart from augmenting

the energy supply, renewable resources will help India in mitigating climate

India is heavily dependent on fossil fuels for its energy needs. Most of the power

generation is carried out by coal and mineral oil-based power plants which contribute

heavily to greenhouse gases emission.

The average per capita consumption of energy in India is around 500 W, which is

much lower than that of developed countries like USA, Europe, Australia, Japan etc.

However, this figure is expected to rise sharply due to high economic growth and

rapid industrialization. The consumption of electricity is growing on the worldwide

basis. Energy is a necessity and sustainable renewable energy is a vital link in

industrialization and development of India. A transition from conventional energy

systems to those based on renewable resources is necessary to

increasing demand for energy and to address environmental concerns.

India has huge untapped solar offgrid opportunities, given its ability to provide energy

to vast untapped remote rural areas, the scope of providing backup power t

towers and its inherent potential to replace precious fossil fuels, said a solar

grid opportunities are significant, given the cost involved in offgrid

applications when compared to huge financial investments to be made to

Moreover, specific government incentives to promote off grid applications, rapid

expansion of wireless telecom and telecom companies' desire to reduce operating

cost for base stations (due to diesel cost and losses in diesel pilferage) are a

expected to prompt growth in off-grid opportunities.

The potential of replacing huge usage of kerosene used for lighting rural homes

grid applications desirable. Off-grid PV application examples include

remote village electrification, power irrigation pump sets, telecom towers, backup

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

would be possible to attract foreign investments to herald a Green Energy Revolution

India is facing an acute energy scarcity which is hampering its industrial growth and

economic progress. Setting up of new power plants is inevitably dependent on import

of highly volatile fossil fuels. Thus, it is essential to tackle the energy crisis through

judicious utilization of abundant the renewable energy resources, such as biomass

. Apart from augmenting

the energy supply, renewable resources will help India in mitigating climate change.

India is heavily dependent on fossil fuels for its energy needs. Most of the power

based power plants which contribute

rgy in India is around 500 W, which is

much lower than that of developed countries like USA, Europe, Australia, Japan etc.

However, this figure is expected to rise sharply due to high economic growth and

ity is growing on the worldwide

basis. Energy is a necessity and sustainable renewable energy is a vital link in

industrialization and development of India. A transition from conventional energy

systems to those based on renewable resources is necessary to meet the ever-

increasing demand for energy and to address environmental concerns.

India has huge untapped solar offgrid opportunities, given its ability to provide energy

to vast untapped remote rural areas, the scope of providing backup power to cell

towers and its inherent potential to replace precious fossil fuels, said a solar

grid opportunities are significant, given the cost involved in offgrid

applications when compared to huge financial investments to be made to set up

Moreover, specific government incentives to promote off grid applications, rapid

expansion of wireless telecom and telecom companies' desire to reduce operating

cost for base stations (due to diesel cost and losses in diesel pilferage) are also

The potential of replacing huge usage of kerosene used for lighting rural homes

grid PV application examples include

remote village electrification, power irrigation pump sets, telecom towers, backup

35

Page 36: Challenges & opportunities for renewable energy in india

jaro education

power generation, captive power generation and city, street, billboard and highway

lighting.

India already has the world's best solar resources and can position itself to be global

leader in Solar PV. To meet energy demands, the government has approved the

Jawaharlal Nehru National Solar Mission, aimed at generating 20,000 MW by 2022.

India's Jawaharlal Nehru National Solar Mission (JNNSM), a major initiative of the

government of India, has set itself a goal of creating an enabling policy framework for

deploying 20GW of solar power by 2022. India's objectives and intentions are

commendable. Yet, as we have seen globally, once governments announce their

intentions to develop a solar incentive program

with their own agenda, get in

of the recently released policy guidelines reflects both the overarching objectives of

developing clean solar power, addressing power shortages and stakeholder

concessions.

This is our preliminary perspective on the recently released guidelines for new grid

connected solar power projects in India.

looks at specific policy aspects and India’s opportunities and challenges as the

market develops.

4.1.1 Solar energy potential

India is located in the equatorial sun belt of the earth, thereby receiving abundant

radiant energy from the sun. The India Meteorological Department maintains a

nationwide network of radiation stations, which measure solar radiation, an

daily duration of sunshine. In most parts of India, clear sunny weather is experienced

250 to 300 days a year. The annual global radiation varies from 1600 to 2200

kWh/m2, which is comparable with radiation received in the tropical and

regions. The equivalent energy potential is about 6,000 million GWh of energy per

year. Figure 1 shows map of India with solar radiation levels in different parts of the

country. It can be observed that although the highest annual global radia

received in Rajasthan, northern Gujarat and parts of Ladakh region, the parts of

Andhra Pradesh, Maharashtra, Madhya Pradesh also receive fairly large amount of

radiation as compared to many parts of the world especially Japan, Europe and the

US where development and deployment of solar technologies is maximum.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

ion, captive power generation and city, street, billboard and highway

India already has the world's best solar resources and can position itself to be global

leader in Solar PV. To meet energy demands, the government has approved the

rlal Nehru National Solar Mission, aimed at generating 20,000 MW by 2022.

India's Jawaharlal Nehru National Solar Mission (JNNSM), a major initiative of the

government of India, has set itself a goal of creating an enabling policy framework for

0GW of solar power by 2022. India's objectives and intentions are

commendable. Yet, as we have seen globally, once governments announce their

intentions to develop a solar incentive program – a variety of interest groups, each

with their own agenda, get involved to put their stamp on the policy. The final output

of the recently released policy guidelines reflects both the overarching objectives of

developing clean solar power, addressing power shortages and stakeholder

perspective on the recently released guidelines for new grid

connected solar power projects in India. In the future, we will take further in

looks at specific policy aspects and India’s opportunities and challenges as the

India is located in the equatorial sun belt of the earth, thereby receiving abundant

radiant energy from the sun. The India Meteorological Department maintains a

nationwide network of radiation stations, which measure solar radiation, an

daily duration of sunshine. In most parts of India, clear sunny weather is experienced

250 to 300 days a year. The annual global radiation varies from 1600 to 2200

, which is comparable with radiation received in the tropical and

regions. The equivalent energy potential is about 6,000 million GWh of energy per

year. Figure 1 shows map of India with solar radiation levels in different parts of the

country. It can be observed that although the highest annual global radia

received in Rajasthan, northern Gujarat and parts of Ladakh region, the parts of

Andhra Pradesh, Maharashtra, Madhya Pradesh also receive fairly large amount of

radiation as compared to many parts of the world especially Japan, Europe and the

ere development and deployment of solar technologies is maximum.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

ion, captive power generation and city, street, billboard and highway

India already has the world's best solar resources and can position itself to be global

leader in Solar PV. To meet energy demands, the government has approved the

rlal Nehru National Solar Mission, aimed at generating 20,000 MW by 2022.

India's Jawaharlal Nehru National Solar Mission (JNNSM), a major initiative of the

government of India, has set itself a goal of creating an enabling policy framework for

0GW of solar power by 2022. India's objectives and intentions are

commendable. Yet, as we have seen globally, once governments announce their

a variety of interest groups, each

volved to put their stamp on the policy. The final output

of the recently released policy guidelines reflects both the overarching objectives of

developing clean solar power, addressing power shortages and stakeholder

perspective on the recently released guidelines for new grid-

In the future, we will take further in-depth

looks at specific policy aspects and India’s opportunities and challenges as the

India is located in the equatorial sun belt of the earth, thereby receiving abundant

radiant energy from the sun. The India Meteorological Department maintains a

nationwide network of radiation stations, which measure solar radiation, and also the

daily duration of sunshine. In most parts of India, clear sunny weather is experienced

250 to 300 days a year. The annual global radiation varies from 1600 to 2200

, which is comparable with radiation received in the tropical and sub-tropical

regions. The equivalent energy potential is about 6,000 million GWh of energy per

year. Figure 1 shows map of India with solar radiation levels in different parts of the

country. It can be observed that although the highest annual global radiation is

received in Rajasthan, northern Gujarat and parts of Ladakh region, the parts of

Andhra Pradesh, Maharashtra, Madhya Pradesh also receive fairly large amount of

radiation as compared to many parts of the world especially Japan, Europe and the

ere development and deployment of solar technologies is maximum.

36

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jaro education

4.1.2 Solar thermal power generation technologies

Solar Thermal Power systems, also known as Concentrating Solar Power sys

use concentrated solar radiation as a high temperature energy source to produce

electricity using thermal route. Since the average operating temperature of stationary

non-concentrating collectors is low (max up to 120

input temperatures of heat engines (above 300

used for such applications. These technologies are appropriate for applications

where direct solar radiation is high. The mechanism of conversion of solar to

electricity is fundamentally similar to the traditional thermal power plants except use

of solar energy as source of heat.

In the basic process of conversion of solar into heat energy, an incident solar

irradiance is collected and concentrated by concentrating solar col

and generated heat is used to heat the thermic fluids such as heat transfer oils, air or

water/steam, depending on the plant design, acts as heat carrier and/or as storage

media. The hot thermic fluid is used to generated steam or hot g

used to operate a heat engine. In these systems, the efficiency of the collector

reduces marginally as its operating temperature increases, whereas the efficiency of

the heat engine increases with the increase in its operating temperat

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Figure 13: Solar radiation on India

Solar thermal power generation technologies

Solar Thermal Power systems, also known as Concentrating Solar Power sys

use concentrated solar radiation as a high temperature energy source to produce

electricity using thermal route. Since the average operating temperature of stationary

concentrating collectors is low (max up to 1200C) as compared to the desirable

input temperatures of heat engines (above 3000C), the concentrating collectors are

used for such applications. These technologies are appropriate for applications

where direct solar radiation is high. The mechanism of conversion of solar to

fundamentally similar to the traditional thermal power plants except use

of solar energy as source of heat.

In the basic process of conversion of solar into heat energy, an incident solar

irradiance is collected and concentrated by concentrating solar collectors or mirrors,

and generated heat is used to heat the thermic fluids such as heat transfer oils, air or

water/steam, depending on the plant design, acts as heat carrier and/or as storage

media. The hot thermic fluid is used to generated steam or hot gases, which are then

used to operate a heat engine. In these systems, the efficiency of the collector

reduces marginally as its operating temperature increases, whereas the efficiency of

the heat engine increases with the increase in its operating temperat

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Solar Thermal Power systems, also known as Concentrating Solar Power systems,

use concentrated solar radiation as a high temperature energy source to produce

electricity using thermal route. Since the average operating temperature of stationary

C) as compared to the desirable

C), the concentrating collectors are

used for such applications. These technologies are appropriate for applications

where direct solar radiation is high. The mechanism of conversion of solar to

fundamentally similar to the traditional thermal power plants except use

In the basic process of conversion of solar into heat energy, an incident solar

lectors or mirrors,

and generated heat is used to heat the thermic fluids such as heat transfer oils, air or

water/steam, depending on the plant design, acts as heat carrier and/or as storage

ases, which are then

used to operate a heat engine. In these systems, the efficiency of the collector

reduces marginally as its operating temperature increases, whereas the efficiency of

the heat engine increases with the increase in its operating temperature.

37

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jaro education

4.1.2.1 Concentrating solar collectors

Solar collectors are used to produce heat from solar radiation. High temperature

solar energy collectors are basically of three types;

a. Parabolic trough system:

for generating electricity.

b. Power tower system:

receiver, where temperatures well above 1000° C can be reached.

c. Parabolic dish systems:

receiver, and achieve the highest efficiencies for converting solar energy to

electricity.

4.1.2.2 Solar chimney

This is a fairly simple concept. Solar chimney has a tall chimney at the center of the

field, which is covered with glass. The solar heat generates hot air in the gap

between the ground and the gall cover which is then passed through the central

tower to its upper end due to density difference between relatively cooler air outside

the upper end of the tower and hotter air inside tower. While travelling up this air

drives wind turbines located inside the tower. These systems need relatively less

components and were supposed to be cheaper. However, low operating efficiency,

and need for a tall tower of heigh

challenging one. A pilot solar chimney project was installed in Spain to test the

concept. This 50kW capacity plant was successfully operated between 1982 to 1989.

Figure 14 shows the picture of this plant. Re

Australian company, has started work on setting up first of its five projects based on

solar chimney concept in Australia.

The Luz Company which developed parabolic trough collector based solar thermal

power technology went out of business in 1990’s which was a major setback for the

development of solar thermal power technology.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Concentrating solar collectors

Solar collectors are used to produce heat from solar radiation. High temperature

solar energy collectors are basically of three types;

a. Parabolic trough system: at the receiver can reach 400° C and produce steam

for generating electricity.

b. Power tower system: The reflected rays of the sun are always aimed at the

receiver, where temperatures well above 1000° C can be reached.

c. Parabolic dish systems: Parabolic dish systems can reach 1000° C at the

receiver, and achieve the highest efficiencies for converting solar energy to

This is a fairly simple concept. Solar chimney has a tall chimney at the center of the

s covered with glass. The solar heat generates hot air in the gap

between the ground and the gall cover which is then passed through the central

tower to its upper end due to density difference between relatively cooler air outside

er and hotter air inside tower. While travelling up this air

drives wind turbines located inside the tower. These systems need relatively less

components and were supposed to be cheaper. However, low operating efficiency,

and need for a tall tower of height of the order of 1000m made this technology a

challenging one. A pilot solar chimney project was installed in Spain to test the

concept. This 50kW capacity plant was successfully operated between 1982 to 1989.

Figure 14 shows the picture of this plant. Recently, Enviro Mission Limited, an

Australian company, has started work on setting up first of its five projects based on

solar chimney concept in Australia.

The Luz Company which developed parabolic trough collector based solar thermal

nt out of business in 1990’s which was a major setback for the

development of solar thermal power technology.

Figure 14

pilot project, Manzanares,

Spain

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Solar collectors are used to produce heat from solar radiation. High temperature

at the receiver can reach 400° C and produce steam

The reflected rays of the sun are always aimed at the

receiver, where temperatures well above 1000° C can be reached.

ic dish systems can reach 1000° C at the

receiver, and achieve the highest efficiencies for converting solar energy to

This is a fairly simple concept. Solar chimney has a tall chimney at the center of the

s covered with glass. The solar heat generates hot air in the gap

between the ground and the gall cover which is then passed through the central

tower to its upper end due to density difference between relatively cooler air outside

er and hotter air inside tower. While travelling up this air

drives wind turbines located inside the tower. These systems need relatively less

components and were supposed to be cheaper. However, low operating efficiency,

t of the order of 1000m made this technology a

challenging one. A pilot solar chimney project was installed in Spain to test the

concept. This 50kW capacity plant was successfully operated between 1982 to 1989.

cently, Enviro Mission Limited, an

Australian company, has started work on setting up first of its five projects based on

The Luz Company which developed parabolic trough collector based solar thermal

nt out of business in 1990’s which was a major setback for the

14:50 Kw Solar chimney

pilot project, Manzanares,

38

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jaro education

4.1.3 Solar thermal power generation program of India

In India the first Solar Thermal Power Plant of 50kW capacity has been installed by

MNES following the parabolic trough collector technology (line focussing) at

Gwalpahari, Gurgaon, which was commissioned in 1989 and operated till 1990, after

which the plant was shut down due to lack of spares. The plant is being revived with

development of components such as mirrors, tracking system etc.

A Solar Thermal Power Plant of 140MW at Mathania in Rajasthan, has been

proposed and sanctioned by the Government

of 140MW Integrated Solar Combined Cycle Power Plant involves a 35MW solar

power generating system and a 105MW conventional power component and the

GEF has approved a grant of US$ 40 million for the project. The Gove

Germany has agreed to provide a soft loan of DM 116.8 million and a commercial

loan of DM 133.2 million for the project.

In addition a commercial power plant based on Solar Chimney technology was also

studied in North-Western part of Rajasthan.

five stages.

In the 1st

stage the power output shall be 1.75MW, which shall be enhanced to

35MW, 70MW, 126.3MW and 200MW in subsequent stages. The height of the solar

chimney, which would initially be 300m, shall be inc

of electricity through this plant is expected to be Rs. 2.25 / kWh. However, due to

security and other reasons the project was dropped.

BHEL limited, an Indian company in power equipments manufacturing, had built a

solar dish based power plant in 1990’s as a part of research and development

program of then the Ministry of Non

partly funded by the US Government. Six dishes were used in this plant.

Few states like Andhra Pardesh,

thermal power plants in 1990’s. However, not much work was carried out later on.

4.1.4 Opportunities for solar thermal power generation in India

Solar thermal power generation can play a significant import

demand supply gap for electricity. Three types of applications are possible

1. Rural electrification using solar dish collector technology

2. Typically these dishes care of 10 to 25 kW capacity each and use striling

engine for power generation. These can be developed for village level

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Solar thermal power generation program of India

In India the first Solar Thermal Power Plant of 50kW capacity has been installed by

MNES following the parabolic trough collector technology (line focussing) at

Gwalpahari, Gurgaon, which was commissioned in 1989 and operated till 1990, after

e plant was shut down due to lack of spares. The plant is being revived with

development of components such as mirrors, tracking system etc.

A Solar Thermal Power Plant of 140MW at Mathania in Rajasthan, has been

proposed and sanctioned by the Government in Rajasthan. The project configuration

of 140MW Integrated Solar Combined Cycle Power Plant involves a 35MW solar

power generating system and a 105MW conventional power component and the

GEF has approved a grant of US$ 40 million for the project. The Gove

Germany has agreed to provide a soft loan of DM 116.8 million and a commercial

loan of DM 133.2 million for the project.

In addition a commercial power plant based on Solar Chimney technology was also

Western part of Rajasthan. The project was to be implemented in

stage the power output shall be 1.75MW, which shall be enhanced to

35MW, 70MW, 126.3MW and 200MW in subsequent stages. The height of the solar

chimney, which would initially be 300m, shall be increased gradually to 1000m. Cost

of electricity through this plant is expected to be Rs. 2.25 / kWh. However, due to

security and other reasons the project was dropped.

BHEL limited, an Indian company in power equipments manufacturing, had built a

sh based power plant in 1990’s as a part of research and development

program of then the Ministry of Non-conventional Energy Sources. The project was

partly funded by the US Government. Six dishes were used in this plant.

Few states like Andhra Pardesh, Gujarat had prepared feasibility studies for solar

thermal power plants in 1990’s. However, not much work was carried out later on.

Opportunities for solar thermal power generation in India

Solar thermal power generation can play a significant important role in meeting the

demand supply gap for electricity. Three types of applications are possible

1. Rural electrification using solar dish collector technology

2. Typically these dishes care of 10 to 25 kW capacity each and use striling

er generation. These can be developed for village level

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

In India the first Solar Thermal Power Plant of 50kW capacity has been installed by

MNES following the parabolic trough collector technology (line focussing) at

Gwalpahari, Gurgaon, which was commissioned in 1989 and operated till 1990, after

e plant was shut down due to lack of spares. The plant is being revived with

A Solar Thermal Power Plant of 140MW at Mathania in Rajasthan, has been

in Rajasthan. The project configuration

of 140MW Integrated Solar Combined Cycle Power Plant involves a 35MW solar

power generating system and a 105MW conventional power component and the

GEF has approved a grant of US$ 40 million for the project. The Government of

Germany has agreed to provide a soft loan of DM 116.8 million and a commercial

In addition a commercial power plant based on Solar Chimney technology was also

The project was to be implemented in

stage the power output shall be 1.75MW, which shall be enhanced to

35MW, 70MW, 126.3MW and 200MW in subsequent stages. The height of the solar

reased gradually to 1000m. Cost

of electricity through this plant is expected to be Rs. 2.25 / kWh. However, due to

BHEL limited, an Indian company in power equipments manufacturing, had built a

sh based power plant in 1990’s as a part of research and development

conventional Energy Sources. The project was

partly funded by the US Government. Six dishes were used in this plant.

Gujarat had prepared feasibility studies for solar

thermal power plants in 1990’s. However, not much work was carried out later on.

ant role in meeting the

demand supply gap for electricity. Three types of applications are possible

2. Typically these dishes care of 10 to 25 kW capacity each and use striling

er generation. These can be developed for village level

39

Page 40: Challenges & opportunities for renewable energy in india

jaro education

distributed generation by hybridizing them with biomass gasifier for hot air

generation.

3. Integration of solar thermal power plants with existing industries such as paper,

dairy or sugar industry, which has cogeneration units.

Many industries have steam turbine sets for cogeneration. These can be

coupled with solar thermal power plants. Typically these units are of 5 to 250

MW capacities and can be coupled with solar thermal power plants. Thi

approach will reduce the capital investment on steam turbines and associated

power-house infrastructure thus reducing the cost of generation of solar

electricity

4. Integration of solar thermal power generation unit with existing coal thermal

power plants. The study shows that savings of up to 24% is possible during

periods of high isolation for feed water heating to 241

4.1.5 PV & CSP Ratio The JNNSM calls for a total aggregated capacity of 1 gigawatt of grid connected

solar projects to be developed under the bundling scheme in Phase

Solar PV technology projects and Solar Thermal technology projects are to be

deployed at a ratio of 50:50, in MW terms. This provision is scheduled to be

reviewed again in one year time to deter

The JNNSM is trying to encourage the development of both PV and CSP

technologies by giving each equal weight.

each technology, the JNNSM is dictating the ratio of technology that ca

rather than allowing the market to select the most efficient and cost effective

technology for India. If CSP is deemed an unviable option for most developers and

there is a rush towards PV technology, it could create a situation where PV

applications are rejected due to oversubscription while CSP quotas are not filled.

scenario like this can slow down solar development progress country

cause unwanted delay as the markets wait for this provision to be revisited. On a

global scale, PV installations exceed CSP installations by a ratio of over 20 times.

4.1.6 Domestic Content (PV)

Solar PV Projects using crystalline silicon technology selected in the first batch

during FY2010-11 will be mandated to use modules manufactured in India. For

PV Projects selected in the second batch during FY2011

use cells and modules manufactured in India.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

distributed generation by hybridizing them with biomass gasifier for hot air

3. Integration of solar thermal power plants with existing industries such as paper,

stry, which has cogeneration units.

Many industries have steam turbine sets for cogeneration. These can be

coupled with solar thermal power plants. Typically these units are of 5 to 250

MW capacities and can be coupled with solar thermal power plants. Thi

approach will reduce the capital investment on steam turbines and associated

house infrastructure thus reducing the cost of generation of solar

4. Integration of solar thermal power generation unit with existing coal thermal

ts. The study shows that savings of up to 24% is possible during

periods of high isolation for feed water heating to 241 0C (4).

The JNNSM calls for a total aggregated capacity of 1 gigawatt of grid connected

developed under the bundling scheme in Phase

Solar PV technology projects and Solar Thermal technology projects are to be

deployed at a ratio of 50:50, in MW terms. This provision is scheduled to be

reviewed again in one year time to determine the need for modification.

The JNNSM is trying to encourage the development of both PV and CSP

technologies by giving each equal weight. However, by allotting specific quotas for

each technology, the JNNSM is dictating the ratio of technology that ca

rather than allowing the market to select the most efficient and cost effective

If CSP is deemed an unviable option for most developers and

there is a rush towards PV technology, it could create a situation where PV

cations are rejected due to oversubscription while CSP quotas are not filled.

scenario like this can slow down solar development progress country

cause unwanted delay as the markets wait for this provision to be revisited. On a

installations exceed CSP installations by a ratio of over 20 times.

Solar PV Projects using crystalline silicon technology selected in the first batch

11 will be mandated to use modules manufactured in India. For

PV Projects selected in the second batch during FY2011-12, they will be required to

manufactured in India.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

distributed generation by hybridizing them with biomass gasifier for hot air

3. Integration of solar thermal power plants with existing industries such as paper,

Many industries have steam turbine sets for cogeneration. These can be

coupled with solar thermal power plants. Typically these units are of 5 to 250

MW capacities and can be coupled with solar thermal power plants. This

approach will reduce the capital investment on steam turbines and associated

house infrastructure thus reducing the cost of generation of solar

4. Integration of solar thermal power generation unit with existing coal thermal

ts. The study shows that savings of up to 24% is possible during

The JNNSM calls for a total aggregated capacity of 1 gigawatt of grid connected

developed under the bundling scheme in Phase-I through 2013.

Solar PV technology projects and Solar Thermal technology projects are to be

deployed at a ratio of 50:50, in MW terms. This provision is scheduled to be

mine the need for modification.

The JNNSM is trying to encourage the development of both PV and CSP

However, by allotting specific quotas for

each technology, the JNNSM is dictating the ratio of technology that can be built

rather than allowing the market to select the most efficient and cost effective

If CSP is deemed an unviable option for most developers and

there is a rush towards PV technology, it could create a situation where PV

cations are rejected due to oversubscription while CSP quotas are not filled. A

scenario like this can slow down solar development progress country-wide and

cause unwanted delay as the markets wait for this provision to be revisited. On a

installations exceed CSP installations by a ratio of over 20 times.

Solar PV Projects using crystalline silicon technology selected in the first batch

11 will be mandated to use modules manufactured in India. For Solar

12, they will be required to

40

Page 41: Challenges & opportunities for renewable energy in india

jaro education

The domestic content policy is intended to create incentives to develop domestic

manufacturing, investments and jo

Thin film and CPV can still be procured from any vendor in the world and equipment

shortage should not be a problem as the allocation is so small compared to

manufacturing capacities.

2010-11, and remaining in 2011

economies of scale. Domestic content rules create unwanted attention from the

WTO and trading partners. This puts Indian manufacturers in a delicate situation as

they still have to export to European countries as the Indian manufacturing capacity

per year might be more than the 500MW allocated for PV over 3 years, not to

mention that capacity could be cut even further if half the project developers choose

to use thin film. Ontario has enac

EU and Japan of possible legal challenge in the WTO due to the protectionist policy.

Thus, the domestic content policy has the potential to hurt the Indian solar export

industry as an unintended consequen

The policy also creates uncertainty in the mind of investors as they are told to buy

from manufacturers mandated by the JNNSM instead of allowing developers to

select panels based on the best prices and efficiencies available anywhere in the

world. This could be another cause for foreign investors to take a “wait and see”

approach as the market in the first 3 years may not be attractive enough to warrant

large investments.

This also causes a high level of uncertainty and confusion due to the patchwork

domestic policy (2010-11 -

CPV can be imported, CSP

domestic); 2011-12 - crystalline silicon modules and cells

appears that this provision is an attempt to please “all parties” and has made the

policy unnecessarily complicated to be implemented.

4.1.7 Domestic Content (CSP)

It is mandatory for project developers to ensure 30% of local content in all their

plants/installations for solar thermal technology. Land is excluded.

This gives developers the advantage of procuring the main components of CSP from

anywhere in the world, while also creating a boost to domestic BOS vendors.

said, there is an uncertainty factor relating to

CSP has been non-existent in India.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

The domestic content policy is intended to create incentives to develop domestic

manufacturing, investments and jobs.

Thin film and CPV can still be procured from any vendor in the world and equipment

shortage should not be a problem as the allocation is so small compared to

However, since the PV allocation is so small (150 MW in

nd remaining in 2011-2012), it is not enough to realize gains from

Domestic content rules create unwanted attention from the

WTO and trading partners. This puts Indian manufacturers in a delicate situation as

to European countries as the Indian manufacturing capacity

per year might be more than the 500MW allocated for PV over 3 years, not to

mention that capacity could be cut even further if half the project developers choose

Ontario has enacted a similar policy and has been threatened by the

EU and Japan of possible legal challenge in the WTO due to the protectionist policy.

Thus, the domestic content policy has the potential to hurt the Indian solar export

industry as an unintended consequence.

The policy also creates uncertainty in the mind of investors as they are told to buy

from manufacturers mandated by the JNNSM instead of allowing developers to

select panels based on the best prices and efficiencies available anywhere in the

is could be another cause for foreign investors to take a “wait and see”

approach as the market in the first 3 years may not be attractive enough to warrant

This also causes a high level of uncertainty and confusion due to the patchwork

- crystalline silicon modules – domestic only, thin film and

CPV can be imported, CSP – 30% of components other than land has to be

crystalline silicon modules and cells – domestic only). It

is provision is an attempt to please “all parties” and has made the

policy unnecessarily complicated to be implemented.

Domestic Content (CSP)

It is mandatory for project developers to ensure 30% of local content in all their

solar thermal technology. Land is excluded.

This gives developers the advantage of procuring the main components of CSP from

anywhere in the world, while also creating a boost to domestic BOS vendors.

said, there is an uncertainty factor relating to BOS vendor products and quality as

existent in India.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The domestic content policy is intended to create incentives to develop domestic

Thin film and CPV can still be procured from any vendor in the world and equipment

shortage should not be a problem as the allocation is so small compared to

so small (150 MW in

2012), it is not enough to realize gains from

Domestic content rules create unwanted attention from the

WTO and trading partners. This puts Indian manufacturers in a delicate situation as

to European countries as the Indian manufacturing capacity

per year might be more than the 500MW allocated for PV over 3 years, not to

mention that capacity could be cut even further if half the project developers choose

ted a similar policy and has been threatened by the

EU and Japan of possible legal challenge in the WTO due to the protectionist policy.

Thus, the domestic content policy has the potential to hurt the Indian solar export

The policy also creates uncertainty in the mind of investors as they are told to buy

from manufacturers mandated by the JNNSM instead of allowing developers to

select panels based on the best prices and efficiencies available anywhere in the

is could be another cause for foreign investors to take a “wait and see”

approach as the market in the first 3 years may not be attractive enough to warrant

This also causes a high level of uncertainty and confusion due to the patchwork of

domestic only, thin film and

30% of components other than land has to be

domestic only). It

is provision is an attempt to please “all parties” and has made the

It is mandatory for project developers to ensure 30% of local content in all their

This gives developers the advantage of procuring the main components of CSP from

anywhere in the world, while also creating a boost to domestic BOS vendors. That

BOS vendor products and quality as

41

Page 42: Challenges & opportunities for renewable energy in india

jaro education

Our complete analysis on the entire set of guidelines, which include Phasing

Allocation of Capacity, Number of Applications (PV and CSP), Technical Criteria for

PV and CSP, Connectivity to the Grid, Selection of Projects based on Tariff

(Bidding), the Role of States and the Role of Carbon Financing,

4.1.8 Jawaharlal Nehru National Solar Mission

JNNSM promises to catapult India into

Energy in the World. In fact, India’s Solar Energy sector has the

biggest Energy Opportunity of the 21st century. Solar Energy in India is poised to

take off in a exponential manner because of a unique confluence of favoura

Supply and Demand factors .India currently has less than 500 MW of Solar Energy

capacity which accounts for less than 0.1% of India’s total electricity capacity. This

picture is going to radically change over the next decade because of the

following factors.

1. India has very high insulation

makes solar energy much cheaper to produce solar power in India

to countries like Germany,

of India’s solar radiation

installed and is going to probably hit 14 GW by 2010

2. India has a huge electricity demand supply gap

regularly face blackouts for lack of electricity supply leading to huge monetary

losses .It has been estimated that India suffers from more than 15

shortage in times of peak power. Major cities like Gurgaon regularly face 8

hours of power cuts in summer months.

3. Lack of power grid availability

power to those areas which don’t have power lines connecting it. Large parts

of India don’t have electricity grid connectivity and it is cheaper to power them

through solar energy rather than extending power lines

4. Increasing expensive an

electricity prices are going up rapidly each year due to a combination of

factors like higher costs of fossil fuels, increasing capital expenditure by

utilities and privatization of power. Not only is the

and reliability of the supplied electricity is very poor. A study has found that

poor farmers who

quality electricity supply rather than do with the “unreliable free

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Our complete analysis on the entire set of guidelines, which include Phasing

Allocation of Capacity, Number of Applications (PV and CSP), Technical Criteria for

Connectivity to the Grid, Selection of Projects based on Tariff

(Bidding), the Role of States and the Role of Carbon Financing, can be found here.

Jawaharlal Nehru National Solar Mission

JNNSM promises to catapult India into becoming the Largest Mark

in the World. In fact, India’s Solar Energy sector has the potential

biggest Energy Opportunity of the 21st century. Solar Energy in India is poised to

take off in a exponential manner because of a unique confluence of favoura

Supply and Demand factors .India currently has less than 500 MW of Solar Energy

capacity which accounts for less than 0.1% of India’s total electricity capacity. This

picture is going to radically change over the next decade because of the

India has very high insulation (solar radiation in layman language) which

makes solar energy much cheaper to produce solar power in India

countries like Germany, Denmark etc. Germany despite receiving only 50%

of India’s solar radiation has more than 9 GW of solar energy capacity already

installed and is going to probably hit 14 GW by 2010.

India has a huge electricity demand supply gap – Large parts of India

regularly face blackouts for lack of electricity supply leading to huge monetary

losses .It has been estimated that India suffers from more than 15

shortage in times of peak power. Major cities like Gurgaon regularly face 8

hours of power cuts in summer months.

Lack of power grid availability – Solar Energy is ideally su

power to those areas which don’t have power lines connecting it. Large parts

of India don’t have electricity grid connectivity and it is cheaper to power them

through solar energy rather than extending power lines

Increasing expensive and unreliable electricity supply

electricity prices are going up rapidly each year due to a combination of

factors like higher costs of fossil fuels, increasing capital expenditure by

utilities and privatization of power. Not only is the power expensive, the quality

and reliability of the supplied electricity is very poor. A study has found that

receive “free electricity” in India are willing to pay for

quality electricity supply rather than do with the “unreliable free

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Our complete analysis on the entire set of guidelines, which include Phasing

Allocation of Capacity, Number of Applications (PV and CSP), Technical Criteria for

Connectivity to the Grid, Selection of Projects based on Tariff

can be found here.

becoming the Largest Market for Solar

potential to be the

biggest Energy Opportunity of the 21st century. Solar Energy in India is poised to

take off in a exponential manner because of a unique confluence of favourable

Supply and Demand factors .India currently has less than 500 MW of Solar Energy

capacity which accounts for less than 0.1% of India’s total electricity capacity. This

picture is going to radically change over the next decade because of the

(solar radiation in layman language) which

makes solar energy much cheaper to produce solar power in India compared

Denmark etc. Germany despite receiving only 50%

has more than 9 GW of solar energy capacity already

Large parts of India

regularly face blackouts for lack of electricity supply leading to huge monetary

losses .It has been estimated that India suffers from more than 15-20% supply

shortage in times of peak power. Major cities like Gurgaon regularly face 8-10

Solar Energy is ideally suited for providing

power to those areas which don’t have power lines connecting it. Large parts

of India don’t have electricity grid connectivity and it is cheaper to power them

d unreliable electricity supply - The rates of

electricity prices are going up rapidly each year due to a combination of

factors like higher costs of fossil fuels, increasing capital expenditure by

power expensive, the quality

and reliability of the supplied electricity is very poor. A study has found that

are willing to pay for

quality electricity supply rather than do with the “unreliable free power”

42

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jaro education

5. Solar Energy approaching Grid Parity

been decreasing rapidly over the last 2 years. Despite solar energy prices

being higher than other forms of electricity, it is expected that solar energy will

equal that of grid prices in the next 5 years in most parts of the globe. Solar

Energy is the only form of Energy whose cost trend has been declining over

the long term while all other major forms of energy have seen their costs

increasing.

6. Strong Support from the Govern

the Government in terms of regulation and incentives as it is a costliest form

of power currently. The Indian government through the Jawaharlal Nehru

National Solar Mission has provided strong support to the growth of

industry. The government has set a

solar power to be set up through private investment by 2013. CERC

guidelines aims at providing

higher guaranteed rate to electrici

7. Solar Energy is a Non

advantage for solar energy is that it is a non

power .While other fossil fuel forms of Energy place have large unaccounte

costs in terms of pollution, health hazards, global warming and environmental

destruction (BP Oil Spill), Solar along with other forms of Renewable Energy

have none of these harmful effects.

8. Solar Energy is virtually Unlimited

going to be depleted over the next 20

unlimited source of energy. The amount of Solar

much more than humans will ever need.

4.1.8 Solar Farming Potential in India

The newest crop in India could be electricity from the sun. “Solar Farming” can help

change India’s energy economy to clean and efficient

day when it is needed the most, create millions of jobs, and could help India achieve

energy independence and better national security.

Imagine a crop that can be harvested daily on the most barren desert and arid land,

with no fertilizer or tillage, and that produces no harmful emissions. Imagine an

energy source so bountiful that it can provi

could ever expect to need or use. An hour’s worth of sunlight bathing the planet

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Solar Energy approaching Grid Parity – The costs of Solar Energy has

been decreasing rapidly over the last 2 years. Despite solar energy prices

than other forms of electricity, it is expected that solar energy will

rid prices in the next 5 years in most parts of the globe. Solar

Energy is the only form of Energy whose cost trend has been declining over

the long term while all other major forms of energy have seen their costs

Strong Support from the Government – Solar Energy needs a push from

the Government in terms of regulation and incentives as it is a costliest form

of power currently. The Indian government through the Jawaharlal Nehru

National Solar Mission has provided strong support to the growth of

industry. The government has set a target of 20 GW by 2022 with 1000 MW of

solar power to be set up through private investment by 2013. CERC

guidelines aims at providing 20% + returns to private investors

higher guaranteed rate to electricity generate from solar power ( FIT)

Solar Energy is a Non-Polluting Green Form of Energy

advantage for solar energy is that it is a non-Carbon Dioxide emitting form of

power .While other fossil fuel forms of Energy place have large unaccounte

costs in terms of pollution, health hazards, global warming and environmental

destruction (BP Oil Spill), Solar along with other forms of Renewable Energy

have none of these harmful effects.

Solar Energy is virtually Unlimited – While Coal, Gas, Oil are

going to be depleted over the next 20-100 years, Solar Energy is a virtually

unlimited source of energy. The amount of Solar Energy striking the earth is

much more than humans will ever need.

Solar Farming Potential in India

The newest crop in India could be electricity from the sun. “Solar Farming” can help

change India’s energy economy to clean and efficient renewable energy

day when it is needed the most, create millions of jobs, and could help India achieve

gy independence and better national security.

Imagine a crop that can be harvested daily on the most barren desert and arid land,

with no fertilizer or tillage, and that produces no harmful emissions. Imagine an

energy source so bountiful that it can provide many times more energy than we

could ever expect to need or use. An hour’s worth of sunlight bathing the planet

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The costs of Solar Energy has

been decreasing rapidly over the last 2 years. Despite solar energy prices

than other forms of electricity, it is expected that solar energy will

rid prices in the next 5 years in most parts of the globe. Solar

Energy is the only form of Energy whose cost trend has been declining over

the long term while all other major forms of energy have seen their costs

Solar Energy needs a push from

the Government in terms of regulation and incentives as it is a costliest form

of power currently. The Indian government through the Jawaharlal Nehru

National Solar Mission has provided strong support to the growth of this

target of 20 GW by 2022 with 1000 MW of

solar power to be set up through private investment by 2013. CERC

20% + returns to private investors through a

ty generate from solar power ( FIT)

Polluting Green Form of Energy – The biggest

Carbon Dioxide emitting form of

power .While other fossil fuel forms of Energy place have large unaccounted

costs in terms of pollution, health hazards, global warming and environmental

destruction (BP Oil Spill), Solar along with other forms of Renewable Energy

Oil are eventually

100 years, Solar Energy is a virtually

Energy striking the earth is

The newest crop in India could be electricity from the sun. “Solar Farming” can help

renewable energy during the

day when it is needed the most, create millions of jobs, and could help India achieve

Imagine a crop that can be harvested daily on the most barren desert and arid land,

with no fertilizer or tillage, and that produces no harmful emissions. Imagine an

de many times more energy than we

could ever expect to need or use. An hour’s worth of sunlight bathing the planet

43

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jaro education

holds far more energy than humans worldwide consume in a year. You don’t have to

imagine it — it’s real and it’s here.

that is readily available to all countries throughout the world, and all the space above

the earth. It is clean, no waste comes from it, and it’s “free.”

This “free” source of electricity can be used to supply the energy needs

farms and businesses. Through the use of Photovoltaic (PV), Concentrated

Photovoltaic (CPV) or Concentrated Solar Power (CSP), sunlight is converted into

electricity that can provide power to businesses, homes, and drive motors.

I firmly believe that, to meet all its energy needs, India should diversify its energy mix

by accelerating the use of all forms of Renewable Energy technologies (including

PV, thermal solar, wind power, biomass, biogas, and hydro), and more proactively

promote energy efficiency. However, in this article, I will only focus on the “Solar

Farming Potential in India.” My previous article explores “

Power (CSP) Technology Can Meet India’s Future Power Needs

4.1.8.1 How to Implement Solar Farming

Some governments are providing huge grants or subsidies to fund community solar

farm projects as part of their energy programs. Solar farming can help advance

India’s use of renewable energy and help assure achievement of economic

development goals. To successf

This allows farmers to invest with the security of 20 to 25 year Government Grants.

The energy from these farms is purchased directly by utilities, who often sign 10 to

20 year energy purchase contract

energy for the end user.

Solar farms will also play a vital role in reducing greenhouse gas emissions that

contribute to global warming. Solar farming is truly environmentally friendly. By

installing solar farm equipment, you’ll also considerably boost the value of your

property – it’s a great selling point should you decide to sell your farm.

4.1.8.2 The Future of Solar Farming in Modern India

India is blessed with a vast Solar Energy potential. About 5,00

energy is incident over India every year. Each day most parts of the country receive

4-7 kWh per square meter of land area5. India’s deserts and farm land are the

sunniest in the world, and thus suitable for large

Government should embrace favourable tax structures and consider providing

financial resources to fund projects to put up community solar farms as part of their

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

holds far more energy than humans worldwide consume in a year. You don’t have to

it’s real and it’s here. Solar energy is an abundant enormous resource

that is readily available to all countries throughout the world, and all the space above

the earth. It is clean, no waste comes from it, and it’s “free.”

This “free” source of electricity can be used to supply the energy needs

farms and businesses. Through the use of Photovoltaic (PV), Concentrated

Photovoltaic (CPV) or Concentrated Solar Power (CSP), sunlight is converted into

electricity that can provide power to businesses, homes, and drive motors.

that, to meet all its energy needs, India should diversify its energy mix

by accelerating the use of all forms of Renewable Energy technologies (including

PV, thermal solar, wind power, biomass, biogas, and hydro), and more proactively

ciency. However, in this article, I will only focus on the “Solar

Farming Potential in India.” My previous article explores “How Concentrated Solar

Power (CSP) Technology Can Meet India’s Future Power Needs”

How to Implement Solar Farming

governments are providing huge grants or subsidies to fund community solar

farm projects as part of their energy programs. Solar farming can help advance

India’s use of renewable energy and help assure achievement of economic

development goals. To successfully implement Solar Farming requires feed

This allows farmers to invest with the security of 20 to 25 year Government Grants.

The energy from these farms is purchased directly by utilities, who often sign 10 to

20 year energy purchase contracts with solar farm owners thereby securing low

Solar farms will also play a vital role in reducing greenhouse gas emissions that

contribute to global warming. Solar farming is truly environmentally friendly. By

farm equipment, you’ll also considerably boost the value of your

it’s a great selling point should you decide to sell your farm.

The Future of Solar Farming in Modern India

India is blessed with a vast Solar Energy potential. About 5,000 trillion kWh of solar

energy is incident over India every year. Each day most parts of the country receive

7 kWh per square meter of land area5. India’s deserts and farm land are the

sunniest in the world, and thus suitable for large-scale power produc

Government should embrace favourable tax structures and consider providing

financial resources to fund projects to put up community solar farms as part of their

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

holds far more energy than humans worldwide consume in a year. You don’t have to

ndant enormous resource

that is readily available to all countries throughout the world, and all the space above

This “free” source of electricity can be used to supply the energy needs of homes,

farms and businesses. Through the use of Photovoltaic (PV), Concentrated

Photovoltaic (CPV) or Concentrated Solar Power (CSP), sunlight is converted into

electricity that can provide power to businesses, homes, and drive motors.

that, to meet all its energy needs, India should diversify its energy mix

by accelerating the use of all forms of Renewable Energy technologies (including

PV, thermal solar, wind power, biomass, biogas, and hydro), and more proactively

ciency. However, in this article, I will only focus on the “Solar

How Concentrated Solar

governments are providing huge grants or subsidies to fund community solar

farm projects as part of their energy programs. Solar farming can help advance

India’s use of renewable energy and help assure achievement of economic

ully implement Solar Farming requires feed-in tariffs.

This allows farmers to invest with the security of 20 to 25 year Government Grants.

The energy from these farms is purchased directly by utilities, who often sign 10 to

s with solar farm owners thereby securing low-cost

Solar farms will also play a vital role in reducing greenhouse gas emissions that

contribute to global warming. Solar farming is truly environmentally friendly. By

farm equipment, you’ll also considerably boost the value of your

it’s a great selling point should you decide to sell your farm.

0 trillion kWh of solar

energy is incident over India every year. Each day most parts of the country receive

7 kWh per square meter of land area5. India’s deserts and farm land are the

scale power production. The Indian

Government should embrace favourable tax structures and consider providing

financial resources to fund projects to put up community solar farms as part of their

44

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energy development programs. India can become the Saudi Arabia of clean Solar

Energy.

Solar electricity could also shift about 90 percent of daily trip mileage from gasoline

to electricity by encouraging increased use of plug

this means that the cost per mile could be reduced by one

A decline in solar panel prices over the last two years also has contributed to

exponential increases in solar deployment worldwide and lower project costs. A new

technology that also holds promise is Concentrated Photovoltaic (CPV). F

to commercial operation in 2008, CPV uses a concentrating optical system that

focuses a large area of sunlight onto the individual photovoltaic cells. This feature

makes CPV panels two to three times more efficient

converting sunlight to electricity as compared to silicon

thin films (9% to 13%).

Figure

Major cost reductions will be realized through mass manufacturing. The

increase in system efficiency, combined with decreases in manufacturing costs cou

levelise the cost of energy for CPV at around $0.10/kWh by 2015. Various incentives

by Central and State governments, including tax credits and feed

further reduce the cost. Cost reductions are so dramatic that Bloomberg recently

reported solar energy could soon rival coal. The cost has become so competitive

during peak times in Japan and California that the U.S. Department of Energy’s goal

of $1 per watt for large projects by 2017

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

energy development programs. India can become the Saudi Arabia of clean Solar

Solar electricity could also shift about 90 percent of daily trip mileage from gasoline

to electricity by encouraging increased use of plug-in hybrid cars. For drivers in India

this means that the cost per mile could be reduced by one-fourth (in today’s prices).

A decline in solar panel prices over the last two years also has contributed to

exponential increases in solar deployment worldwide and lower project costs. A new

technology that also holds promise is Concentrated Photovoltaic (CPV). F

to commercial operation in 2008, CPV uses a concentrating optical system that

focuses a large area of sunlight onto the individual photovoltaic cells. This feature

two to three times more efficient (approximately 40%) at

rting sunlight to electricity as compared to silicon-based PV (15% to 20%) and

Figure 15: Efficiency Comparison of Solar Technologies

Major cost reductions will be realized through mass manufacturing. The

increase in system efficiency, combined with decreases in manufacturing costs cou

e the cost of energy for CPV at around $0.10/kWh by 2015. Various incentives

by Central and State governments, including tax credits and feed

further reduce the cost. Cost reductions are so dramatic that Bloomberg recently

reported solar energy could soon rival coal. The cost has become so competitive

during peak times in Japan and California that the U.S. Department of Energy’s goal

att for large projects by 2017 may happen a lot sooner.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

energy development programs. India can become the Saudi Arabia of clean Solar

Solar electricity could also shift about 90 percent of daily trip mileage from gasoline

in hybrid cars. For drivers in India

(in today’s prices).

A decline in solar panel prices over the last two years also has contributed to

exponential increases in solar deployment worldwide and lower project costs. A new

technology that also holds promise is Concentrated Photovoltaic (CPV). First brought

to commercial operation in 2008, CPV uses a concentrating optical system that

focuses a large area of sunlight onto the individual photovoltaic cells. This feature

(approximately 40%) at

based PV (15% to 20%) and

Major cost reductions will be realized through mass manufacturing. The steep

increase in system efficiency, combined with decreases in manufacturing costs could

e the cost of energy for CPV at around $0.10/kWh by 2015. Various incentives

by Central and State governments, including tax credits and feed-in tariffs, can

further reduce the cost. Cost reductions are so dramatic that Bloomberg recently

reported solar energy could soon rival coal. The cost has become so competitive

during peak times in Japan and California that the U.S. Department of Energy’s goal

45

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jaro education

In my opinion, all new energy production in India could be from renewable sources

by 2030 and all existing generation could be converted to renewable energy by

2050, if deployment is backed by

4.1.8.3 Farming Solar Energy in Space

Harvesting solar power from space through orbiting solar farms sounds extremely

interesting. The concept of solar panels beaming down energy from space has long

been thought as too costly and difficult. Japanese researchers at the Institute for

Laser Technology in Osaka have produced up to 180 watts of laser power from

sunlight. Scientists in Hokkaido have completed tests of a power transmission

system designed to send energy in micro

Japan has already started working towards its goal by developing a technology for a

1-gigawatt solar farm, which would include four square

stationed 36,000 kilometres

produced by the solar farm would be enough to supply power to nearly 400,000

average Japanese homes.

California’s next source of renewable power could be an orbiting set of solar panels,

high above the equator that would beam electricity back to

station in Fresno County. Sometime before 2016, Solaren Corp. plans to launch the

world’s first orbiting solar farm to provide a steady flow of electricity day and night.

Receivers on the ground would take the energy

electromagnetic waves – and feed it into California’s power grid. Pacific Gas and

Electric Co. have agreed to buy power from a start

demand for clean energy.

4.1.8.4 Future of Solar Farming

Solar energy represents a bright spot on India’s economic front. If India makes a

massive switch from coal, oil, natural gas and nuclear power plants to solar and

other renewable sources, it is possible that 100% of India’s electricity could be from

renewable energy by 2050. Solar energy would require the creation of a vast region

of photovoltaic cells in the Southwest and other parts of the country that could

operate at night as well as during the day. Excess daytime energy can be stored in

various forms such as molten or liquid salt (a mixture of sodium nitrate and

potassium nitrate), compressed air, pumped hydro, hydrogen, battery storage, etc.,

which would be used as an energy source during

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

In my opinion, all new energy production in India could be from renewable sources

by 2030 and all existing generation could be converted to renewable energy by

2050, if deployment is backed by the right enabling public policies.

Farming Solar Energy in Space

Harvesting solar power from space through orbiting solar farms sounds extremely

interesting. The concept of solar panels beaming down energy from space has long

ostly and difficult. Japanese researchers at the Institute for

Laser Technology in Osaka have produced up to 180 watts of laser power from

sunlight. Scientists in Hokkaido have completed tests of a power transmission

system designed to send energy in microwave form to Earth.

Japan has already started working towards its goal by developing a technology for a

gigawatt solar farm, which would include four square kilometres

kilometres above the earth’s surface. The energy that

produced by the solar farm would be enough to supply power to nearly 400,000

California’s next source of renewable power could be an orbiting set of solar panels,

high above the equator that would beam electricity back to earth via a receiving

station in Fresno County. Sometime before 2016, Solaren Corp. plans to launch the

world’s first orbiting solar farm to provide a steady flow of electricity day and night.

Receivers on the ground would take the energy – transmitted thr

and feed it into California’s power grid. Pacific Gas and

Electric Co. have agreed to buy power from a start up company to solve the growing

Farming Solar energy represents a bright spot on India’s economic front. If India makes a

massive switch from coal, oil, natural gas and nuclear power plants to solar and

other renewable sources, it is possible that 100% of India’s electricity could be from

ble energy by 2050. Solar energy would require the creation of a vast region

of photovoltaic cells in the Southwest and other parts of the country that could

operate at night as well as during the day. Excess daytime energy can be stored in

uch as molten or liquid salt (a mixture of sodium nitrate and

potassium nitrate), compressed air, pumped hydro, hydrogen, battery storage, etc.,

which would be used as an energy source during nighttimes hours.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

In my opinion, all new energy production in India could be from renewable sources

by 2030 and all existing generation could be converted to renewable energy by

Harvesting solar power from space through orbiting solar farms sounds extremely

interesting. The concept of solar panels beaming down energy from space has long

ostly and difficult. Japanese researchers at the Institute for

Laser Technology in Osaka have produced up to 180 watts of laser power from

sunlight. Scientists in Hokkaido have completed tests of a power transmission

Japan has already started working towards its goal by developing a technology for a

kilometres of solar panels

above the earth’s surface. The energy that will be

produced by the solar farm would be enough to supply power to nearly 400,000

California’s next source of renewable power could be an orbiting set of solar panels,

earth via a receiving

station in Fresno County. Sometime before 2016, Solaren Corp. plans to launch the

world’s first orbiting solar farm to provide a steady flow of electricity day and night.

transmitted through a beam of

and feed it into California’s power grid. Pacific Gas and

up company to solve the growing

Solar energy represents a bright spot on India’s economic front. If India makes a

massive switch from coal, oil, natural gas and nuclear power plants to solar and

other renewable sources, it is possible that 100% of India’s electricity could be from

ble energy by 2050. Solar energy would require the creation of a vast region

of photovoltaic cells in the Southwest and other parts of the country that could

operate at night as well as during the day. Excess daytime energy can be stored in

uch as molten or liquid salt (a mixture of sodium nitrate and

potassium nitrate), compressed air, pumped hydro, hydrogen, battery storage, etc.,

46

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jaro education

Solar Energy will be competitive with co

concentrated photovoltaic (CPV) and concentrated solar power (CSP) enter the

market. I predict that solar farming advancements and growth would empower

India’s rural economies and companies will move their operatio

to rural areas due to cheaper land and

Solar Farming is a renewable source of energy and the greenest form of commercial

energy. Solar Energy has become the leading alternative to the costly and eco

disasters associated with fossil fuels. I urge the Government of India to accelerate

the country’s solar energy expansion plans and policies by implementing

government subsidies for residential solar power through renewable energy rebates

and feed-in tariffs. Solar Farming is a great concept for an efficient use of barren

land and to develop large utility scale solar energy farms to meet India’s economic

development goals.

For example, Google is investing $168 Million in the biggest Solar Farm ever. When

completed in 2013, the Mojave Desert

System will send approximately 2,600 megawatts of power to the grid, doubling the

amount of solar thermal power produced in the U.S and generating enough

electricity to power 140,000 California homes when operating at full capacity.

I personally think there are no technological or economic barriers to supplying almost

100% of India’s energy demand through the use of clean renewable energy from

solar, wind, hydro and biogas by 2050.

energy system to the efficient use of renewable energies, especially solar power.

Solar Energy is a game-changing program for India. India must accelerate and

encourage the domestic development of renewable energy no

whether we have the societal and political will to achieve this goal to eliminate our

wasteful spending and dependence on foreign sources of energy. The Indian

Government should provide

process and to provide start

and central governments should provide initiatives and other support in order to

increase solar power plant capacity. India could potentially increase grid

solar power generation capacity to over 200,000 MW by 2030, if adequate resources

and incentives are provided. Solar energy is a Win

environment, and has the potential to power India’s economy, create millions of new

jobs and change the face of India as a Green Nation.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Solar Energy will be competitive with coal as improved and efficient solar cells,

concentrated photovoltaic (CPV) and concentrated solar power (CSP) enter the

market. I predict that solar farming advancements and growth would empower

India’s rural economies and companies will move their operations from urban areas

to rural areas due to cheaper land and labour within the solar belt.

Solar Farming is a renewable source of energy and the greenest form of commercial

energy. Solar Energy has become the leading alternative to the costly and eco

disasters associated with fossil fuels. I urge the Government of India to accelerate

the country’s solar energy expansion plans and policies by implementing

government subsidies for residential solar power through renewable energy rebates

fs. Solar Farming is a great concept for an efficient use of barren

land and to develop large utility scale solar energy farms to meet India’s economic

For example, Google is investing $168 Million in the biggest Solar Farm ever. When

mpleted in 2013, the Mojave Desert-based Ivan Pah Solar Electric Generating

System will send approximately 2,600 megawatts of power to the grid, doubling the

amount of solar thermal power produced in the U.S and generating enough

00 California homes when operating at full capacity.

I personally think there are no technological or economic barriers to supplying almost

100% of India’s energy demand through the use of clean renewable energy from

solar, wind, hydro and biogas by 2050. India needs a radical transformation of

energy system to the efficient use of renewable energies, especially solar power.

changing program for India. India must accelerate and

encourage the domestic development of renewable energy now. It is a question of

whether we have the societal and political will to achieve this goal to eliminate our

wasteful spending and dependence on foreign sources of energy. The Indian

Government should provide favourable government policies to ease the perm

process and to provide start-up capital to promote the growth of solar energy. State

and central governments should provide initiatives and other support in order to

increase solar power plant capacity. India could potentially increase grid

solar power generation capacity to over 200,000 MW by 2030, if adequate resources

and incentives are provided. Solar energy is a Win-Win situation for India and the

environment, and has the potential to power India’s economy, create millions of new

and change the face of India as a Green Nation.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

al as improved and efficient solar cells,

concentrated photovoltaic (CPV) and concentrated solar power (CSP) enter the

market. I predict that solar farming advancements and growth would empower

ns from urban areas

Solar Farming is a renewable source of energy and the greenest form of commercial

energy. Solar Energy has become the leading alternative to the costly and eco

disasters associated with fossil fuels. I urge the Government of India to accelerate

the country’s solar energy expansion plans and policies by implementing

government subsidies for residential solar power through renewable energy rebates

fs. Solar Farming is a great concept for an efficient use of barren

land and to develop large utility scale solar energy farms to meet India’s economic

For example, Google is investing $168 Million in the biggest Solar Farm ever. When

ah Solar Electric Generating

System will send approximately 2,600 megawatts of power to the grid, doubling the

amount of solar thermal power produced in the U.S and generating enough

00 California homes when operating at full capacity.

I personally think there are no technological or economic barriers to supplying almost

100% of India’s energy demand through the use of clean renewable energy from

India needs a radical transformation of

energy system to the efficient use of renewable energies, especially solar power.

changing program for India. India must accelerate and

w. It is a question of

whether we have the societal and political will to achieve this goal to eliminate our

wasteful spending and dependence on foreign sources of energy. The Indian

government policies to ease the permitting

up capital to promote the growth of solar energy. State

and central governments should provide initiatives and other support in order to

increase solar power plant capacity. India could potentially increase grid-connected

solar power generation capacity to over 200,000 MW by 2030, if adequate resources

Win situation for India and the

environment, and has the potential to power India’s economy, create millions of new

47

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jaro education

4.1.9 Challenges

Solar thermal power plants need detailed feasibility study and technology

identification along with proper solar radiation resource assessment. The current

status of international techn

feasibility in the context of India is not clear. The delays in finalizing technology for

Mathania plant have created a negative impression about the technology.

Solar thermal power generation technol

technology in many parts of the world. India needs to take fresh initiative to assess

the latest technology and its feasibility in the Indian context. These projects can avail

benefits like CDM and considering the

be commercially viable in near future.

The MNRE and SEC (Solar Energy Center) should take initiative to study these

technologies and develop feasibility reports for suitable applications. Leading

research institutes such as TERI can take up these studies.

4.2 Wind

Winds are caused by the uneven heating of the atmosphere by the sun, the

irregularities of the earth's surface, and rotation of the earth. The earth’s surface is

made of different types of land an

different rates, giving rise to the differences in temperature and subsequently to

winds. During the day, the air above the land heats up more quickly than the air over

water. The warm air over the land expa

rushes in to take its place, creating winds. At night, the winds are reversed because

the air cools more rapidly over land than over water. In the same way, the large

atmospheric winds that circle the earth are cr

equator is heated more by the sun than the land near the North and South

Poles. Humans use this wind flow for many purposes: sailing boats, pumping water,

grinding mills and also generating electricity. Wind turbines

energy of the moving wind into electricity.

4.2.1 Wind Energy for power generation

Wind Energy, like solar is a free energy resource. But is much intermittent than solar.

Wind speeds may vary within minutes and affect the power

of high speeds- may result in overloading of generator. Energy from the wind can be

tapped using turbines.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Solar thermal power plants need detailed feasibility study and technology

identification along with proper solar radiation resource assessment. The current

status of international technology and its availability and financial and commercial

feasibility in the context of India is not clear. The delays in finalizing technology for

Mathania plant have created a negative impression about the technology.

Solar thermal power generation technology is coming back as commercially viable

technology in many parts of the world. India needs to take fresh initiative to assess

the latest technology and its feasibility in the Indian context. These projects can avail

benefits like CDM and considering the solar radiation levels in India these plants can

be commercially viable in near future.

The MNRE and SEC (Solar Energy Center) should take initiative to study these

technologies and develop feasibility reports for suitable applications. Leading

institutes such as TERI can take up these studies.

Winds are caused by the uneven heating of the atmosphere by the sun, the

irregularities of the earth's surface, and rotation of the earth. The earth’s surface is

made of different types of land and water. These surfaces absorb the sun’s heat at

different rates, giving rise to the differences in temperature and subsequently to

winds. During the day, the air above the land heats up more quickly than the air over

water. The warm air over the land expands and rises, and the heavier, cooler air

rushes in to take its place, creating winds. At night, the winds are reversed because

the air cools more rapidly over land than over water. In the same way, the large

atmospheric winds that circle the earth are created because the land near the earth's

equator is heated more by the sun than the land near the North and South

Humans use this wind flow for many purposes: sailing boats, pumping water,

grinding mills and also generating electricity. Wind turbines convert the kinetic

energy of the moving wind into electricity.

Wind Energy for power generation

Wind Energy, like solar is a free energy resource. But is much intermittent than solar.

Wind speeds may vary within minutes and affect the power generation and in cases

may result in overloading of generator. Energy from the wind can be

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Solar thermal power plants need detailed feasibility study and technology

identification along with proper solar radiation resource assessment. The current

ology and its availability and financial and commercial

feasibility in the context of India is not clear. The delays in finalizing technology for

Mathania plant have created a negative impression about the technology.

ogy is coming back as commercially viable

technology in many parts of the world. India needs to take fresh initiative to assess

the latest technology and its feasibility in the Indian context. These projects can avail

solar radiation levels in India these plants can

The MNRE and SEC (Solar Energy Center) should take initiative to study these

technologies and develop feasibility reports for suitable applications. Leading

Winds are caused by the uneven heating of the atmosphere by the sun, the

irregularities of the earth's surface, and rotation of the earth. The earth’s surface is

d water. These surfaces absorb the sun’s heat at

different rates, giving rise to the differences in temperature and subsequently to

winds. During the day, the air above the land heats up more quickly than the air over

nds and rises, and the heavier, cooler air

rushes in to take its place, creating winds. At night, the winds are reversed because

the air cools more rapidly over land than over water. In the same way, the large

eated because the land near the earth's

equator is heated more by the sun than the land near the North and South

Humans use this wind flow for many purposes: sailing boats, pumping water,

convert the kinetic

Wind Energy, like solar is a free energy resource. But is much intermittent than solar.

generation and in cases

may result in overloading of generator. Energy from the wind can be

48

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jaro education

Setting up of these turbines needs little research before being established. Be it a

small wind turbine on a house, a

all of them, at first, need the Wind Resource to be determined in the area of

proposed site. The Wind Resource data is an estimation of average and peak wind

speeds at a location based on various meteorolo

access to the transmission lines or nearest control centre where the power

generated from the turbines can be conditioned, refined, stored or transmitted. It is

also necessary to survey the impact of putting up wind tur

and wildlife in the locality. If sufficient wind resources are found, the developer will

secure land leases from property owners, obtain the necessary permits and

financing; purchase and install wind turbines. The completed facility

an independent operator called an independent power producer (IPP) who generates

electricity to sell to the local utility, although some utilities own and operate wind

farms directly. Wind mills can be set up ranging scales of:

� On-shore grid connected Wind Turbine systems

� Off-shore Wind turbine systems

� Small Wind and Hybrid Energy Decentralized systems

4.2.1.1 Advantages

� Can be used for both distributed generation or grid interactive power

generation using on-shore or off shore technolo

� Ranges of power producing turbines are available. Micro

of producing 300W to 1MW and large wind turbines have typical size of 35kW

3MW.

� Wind turbine is suitable to install in remote rural area, water pumping and

grinding mills

� Average capacity factor can be close or higher than 30%

4.2.1.2 Disadvantages

� The total cost can be cheaper than solar system but more expensive than

hydro.

� Electricity production depends on

temperature. Hence various

expensive.

� High percentage of the hardware cost (for large WT) is mostly spent on the

tower designed to support the turbine

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Setting up of these turbines needs little research before being established. Be it a

small wind turbine on a house, a commercial wind farm or any offshore installation,

all of them, at first, need the Wind Resource to be determined in the area of

proposed site. The Wind Resource data is an estimation of average and peak wind

speeds at a location based on various meteorological. The next step is to determine

access to the transmission lines or nearest control centre where the power

generated from the turbines can be conditioned, refined, stored or transmitted. It is

also necessary to survey the impact of putting up wind turbines on the community

and wildlife in the locality. If sufficient wind resources are found, the developer will

secure land leases from property owners, obtain the necessary permits and

financing; purchase and install wind turbines. The completed facility

an independent operator called an independent power producer (IPP) who generates

electricity to sell to the local utility, although some utilities own and operate wind

farms directly. Wind mills can be set up ranging scales of:

grid connected Wind Turbine systems

shore Wind turbine systems

Small Wind and Hybrid Energy Decentralized systems

Can be used for both distributed generation or grid interactive power

shore or off shore technologies.

Ranges of power producing turbines are available. Micro-turbines are capable

of producing 300W to 1MW and large wind turbines have typical size of 35kW

Wind turbine is suitable to install in remote rural area, water pumping and

erage capacity factor can be close or higher than 30%

The total cost can be cheaper than solar system but more expensive than

Electricity production depends on- wind speed, location, season and air

temperature. Hence various monitoring systems are needed and may cost

High percentage of the hardware cost (for large WT) is mostly spent on the

tower designed to support the turbine

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Setting up of these turbines needs little research before being established. Be it a

commercial wind farm or any offshore installation,

all of them, at first, need the Wind Resource to be determined in the area of

proposed site. The Wind Resource data is an estimation of average and peak wind

gical. The next step is to determine

access to the transmission lines or nearest control centre where the power

generated from the turbines can be conditioned, refined, stored or transmitted. It is

bines on the community

and wildlife in the locality. If sufficient wind resources are found, the developer will

secure land leases from property owners, obtain the necessary permits and

financing; purchase and install wind turbines. The completed facility is often sold to

an independent operator called an independent power producer (IPP) who generates

electricity to sell to the local utility, although some utilities own and operate wind

Can be used for both distributed generation or grid interactive power

turbines are capable

of producing 300W to 1MW and large wind turbines have typical size of 35kW-

Wind turbine is suitable to install in remote rural area, water pumping and

The total cost can be cheaper than solar system but more expensive than

wind speed, location, season and air

monitoring systems are needed and may cost

High percentage of the hardware cost (for large WT) is mostly spent on the

49

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4.2.2 India’s Unique Proposition

4.2.2.1 Geographic Location and

The potential is far from exhausted. It is estimated that with the current level of

technology, the ‘on-shore’ potential for utilization of wind energy for electricity

generation is of the order of 65,000 MW. India also is blessed with 751

coastline and its territorial waters extend up to 12 nautical miles into the sea.

The unexploited resource availability has the potential to sustain the growth of

wind energy sector in India in the years to come. Potential areas can be

identified on Indian map using

pioneering Wind Research organization in the country is leading in all such

resource studies and has launched its

identifying and properly exploiting these wind re

estimated state-wise wind power potential

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

s Unique Proposition for Wind Energy:

Geographic Location and Wind Potential:

The potential is far from exhausted. It is estimated that with the current level of

shore’ potential for utilization of wind energy for electricity

generation is of the order of 65,000 MW. India also is blessed with 751

coastline and its territorial waters extend up to 12 nautical miles into the sea.

The unexploited resource availability has the potential to sustain the growth of

wind energy sector in India in the years to come. Potential areas can be

Indian map using Wind Power Density map.

pioneering Wind Research organization in the country is leading in all such

resource studies and has launched its Wind Resource map. In a step towards

identifying and properly exploiting these wind resources, MNRE has

wise wind power potential in the country.

Figure 16: Wind power Density Map

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The potential is far from exhausted. It is estimated that with the current level of

shore’ potential for utilization of wind energy for electricity

generation is of the order of 65,000 MW. India also is blessed with 7517km of

coastline and its territorial waters extend up to 12 nautical miles into the sea.

The unexploited resource availability has the potential to sustain the growth of

wind energy sector in India in the years to come. Potential areas can be

Wind Power Density map. C-WET, one of

pioneering Wind Research organization in the country is leading in all such

In a step towards

sources, MNRE has

50

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4.2.2.2 World Market Share:

According to REN21-

Suzlon was among top ten manufacturers of Wind Turbine manufacturer’s in

the world with world market share of 6.7%. Also major world companies are

pouring into the fast evolving Wind Energy market in India: Vestas, GE Wind,

Enercon and Gamesa have already opened up t

various cities in India.

4.2.2.3 Installed Capacity:

According to MNRE‘s

Grid Interactive Wind Energy in India by the end of September 2011 was

14989MW (of which 833MW was i

2400MW). Aero generators

2011-12 to yield cumulative off

4.2.2.4 India in the windy world:

In 2008, India shared 6.58% of total wind

world, according to World Wind Energy Report

the world witnessed highest renewable energy installations through wind

energy. Total installed capacity of wind energy reached 198GW by the end

2010. India ranked third in the world in annual capacity additions and fifth in

terms of total wind energy installed capacity. India has been able to fast pace

its growth in wind energy installations and bring down costs of power

production. The GSR 20

diameter 60-100m) at 5

Rotor diameter 75-120m) at 10

cost reached 6-9cents/kWh in 2008 itself (Indian Renewable En

Report-2010).

4.2.2.5 Clean Wind to overcome power shortage:

Electricity losses in India during transmission and distribution have been

extremely high over the years and this reached a worst proportion of about

24.7% during 2010-11. India is i

shortfall of 13% by reducing losses due to theft. Theft of electricity, common in

most parts of urban India, amounts to 1.5% of India’s GDP. Due to shortage of

electricity, power cuts are common throughout India

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

World Market Share:

- Global Status Report 2011 (GSR-2011), Indian company

among top ten manufacturers of Wind Turbine manufacturer’s in

the world with world market share of 6.7%. Also major world companies are

pouring into the fast evolving Wind Energy market in India: Vestas, GE Wind,

Enercon and Gamesa have already opened up their establishments across

various cities in India.

Installed Capacity:

MNRE‘s achieving report, The cumulative installed capacity of

Grid Interactive Wind Energy in India by the end of September 2011 was

14989MW (of which 833MW was installed during 2011-2012 against a target of

Aero generators and hybrid systems contributed 1.20MW during

12 to yield cumulative off-grid wind capacity of 15.55MW.

India in the windy world:

In 2008, India shared 6.58% of total wind energy installed capacity around the

world, according to World Wind Energy Report-2008. According to GSR

the world witnessed highest renewable energy installations through wind

energy. Total installed capacity of wind energy reached 198GW by the end

2010. India ranked third in the world in annual capacity additions and fifth in

terms of total wind energy installed capacity. India has been able to fast pace

its growth in wind energy installations and bring down costs of power

production. The GSR 2011 reported on-shore wind power (1.5

100m) at 5-9 cents/kWh and off shore wind power (1.5

120m) at 10-20 cents/kWh. But India’s onshore wind power

9cents/kWh in 2008 itself (Indian Renewable En

Clean Wind to overcome power shortage:

Electricity losses in India during transmission and distribution have been

extremely high over the years and this reached a worst proportion of about

11. India is in a pressing need to tide over a peak power

shortfall of 13% by reducing losses due to theft. Theft of electricity, common in

most parts of urban India, amounts to 1.5% of India’s GDP. Due to shortage of

electricity, power cuts are common throughout India and this has adversely

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

2011), Indian company

among top ten manufacturers of Wind Turbine manufacturer’s in

the world with world market share of 6.7%. Also major world companies are

pouring into the fast evolving Wind Energy market in India: Vestas, GE Wind,

heir establishments across

cumulative installed capacity of

Grid Interactive Wind Energy in India by the end of September 2011 was

2012 against a target of

and hybrid systems contributed 1.20MW during

grid wind capacity of 15.55MW.

energy installed capacity around the

2008. According to GSR-2011,

the world witnessed highest renewable energy installations through wind

energy. Total installed capacity of wind energy reached 198GW by the end of

2010. India ranked third in the world in annual capacity additions and fifth in

terms of total wind energy installed capacity. India has been able to fast pace

its growth in wind energy installations and bring down costs of power

shore wind power (1.5-3.5MW; Rotor

9 cents/kWh and off shore wind power (1.5-5MW;

20 cents/kWh. But India’s onshore wind power

9cents/kWh in 2008 itself (Indian Renewable Energy Status

Electricity losses in India during transmission and distribution have been

extremely high over the years and this reached a worst proportion of about

n a pressing need to tide over a peak power

shortfall of 13% by reducing losses due to theft. Theft of electricity, common in

most parts of urban India, amounts to 1.5% of India’s GDP. Due to shortage of

and this has adversely

51

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affected the country’s economic growth. Hence a cheaper, non

environment friendly solution to power rural India is needed.

4.2.2.6 Wind energy as job generator:

Wind energy utilization creates many more jobs than

renewable energy sources. The wind sector worldwide has become a major

job generator: Within only three years, the wind sector worldwide almost

doubled the number of jobs from 235,000 in 2005 to 440,000 in the year 2008.

These highly skilled employees are contributing to the generation of 260 T

of electricity.

4.2.3 Wind Power Capacity Installed

The Wind power programme in India was initiated towards the end of the Sixth Plan,

in 1983-84. A market-oriented strategy was adopted

the successful commercial development of the technology. The broad based

National programme includes wind resource assessment activities; research and

development support; implementation of demonstration projects to create

and opening up of new sites; involvement of utilities and industry; development of

infrastructure capability and capacity for manufacture, installation, operation and

maintenance of wind electric generators; and policy support. The programme aims

catalyzing commercialisation of wind power generation in the country. The Wind

Resources Assessment Programme is being implemented through the State Nodal

Agencies, Field Research Unit of Indian Institute of Tropical Meteorology (IITM

and Center for Wind Energy Technology (C

Wind in India are influenced by the strong south

starts in May-June, when cool, humid air moves towards the land and the weaker

north-east winter monsoon, which starts in October, when cool, dry

towards the ocean. During the period march to August, the winds are uniformly

strong over the whole Indian Peninsula, except the eastern peninsular coast. Wind

speeds during the period November to march are relatively weak, though higher

winds are available during a part of the period on the Tamil Nadu coastline.

A notable feature of the Indian programme has been the interest among private

investors/developers in setting up of commercial wind power projects. The gross

potential is 48,561 MW (sour

commercial projects have been established until March 31, 2011.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

affected the country’s economic growth. Hence a cheaper, non

environment friendly solution to power rural India is needed.

Wind energy as job generator:

Wind energy utilization creates many more jobs than centralized, non

renewable energy sources. The wind sector worldwide has become a major

job generator: Within only three years, the wind sector worldwide almost

doubled the number of jobs from 235,000 in 2005 to 440,000 in the year 2008.

led employees are contributing to the generation of 260 T

Capacity Installed in India

The Wind power programme in India was initiated towards the end of the Sixth Plan,

oriented strategy was adopted from inception, which has led to

the successful commercial development of the technology. The broad based

National programme includes wind resource assessment activities; research and

development support; implementation of demonstration projects to create

and opening up of new sites; involvement of utilities and industry; development of

infrastructure capability and capacity for manufacture, installation, operation and

maintenance of wind electric generators; and policy support. The programme aims

catalyzing commercialisation of wind power generation in the country. The Wind

Resources Assessment Programme is being implemented through the State Nodal

Agencies, Field Research Unit of Indian Institute of Tropical Meteorology (IITM

or Wind Energy Technology (C-WET).

Wind in India are influenced by the strong south-west summer monsoon, which

June, when cool, humid air moves towards the land and the weaker

east winter monsoon, which starts in October, when cool, dry

towards the ocean. During the period march to August, the winds are uniformly

strong over the whole Indian Peninsula, except the eastern peninsular coast. Wind

speeds during the period November to march are relatively weak, though higher

re available during a part of the period on the Tamil Nadu coastline.

A notable feature of the Indian programme has been the interest among private

investors/developers in setting up of commercial wind power projects. The gross

potential is 48,561 MW (source C-wet) and a total of about 14,158.00 MW of

commercial projects have been established until March 31, 2011.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

affected the country’s economic growth. Hence a cheaper, non-polluting and

centralized, non-

renewable energy sources. The wind sector worldwide has become a major

job generator: Within only three years, the wind sector worldwide almost

doubled the number of jobs from 235,000 in 2005 to 440,000 in the year 2008.

led employees are contributing to the generation of 260 T Wh

The Wind power programme in India was initiated towards the end of the Sixth Plan,

from inception, which has led to

the successful commercial development of the technology. The broad based

National programme includes wind resource assessment activities; research and

development support; implementation of demonstration projects to create awareness

and opening up of new sites; involvement of utilities and industry; development of

infrastructure capability and capacity for manufacture, installation, operation and

maintenance of wind electric generators; and policy support. The programme aims at

catalyzing commercialisation of wind power generation in the country. The Wind

Resources Assessment Programme is being implemented through the State Nodal

Agencies, Field Research Unit of Indian Institute of Tropical Meteorology (IITM-FRU)

west summer monsoon, which

June, when cool, humid air moves towards the land and the weaker

east winter monsoon, which starts in October, when cool, dry sir moves

towards the ocean. During the period march to August, the winds are uniformly

strong over the whole Indian Peninsula, except the eastern peninsular coast. Wind

speeds during the period November to march are relatively weak, though higher

re available during a part of the period on the Tamil Nadu coastline.

A notable feature of the Indian programme has been the interest among private

investors/developers in setting up of commercial wind power projects. The gross

14,158.00 MW of

52

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The break-up of projects implemented in prominent wind potential states (as on

March 31, 2011) is as given below

State-wise Wind Power Inst

State

Andhra Pradesh

Gujarat

Karnataka

Kerala

Madhya Pradesh

Maharashtra

Orissa

Rajasthan

Tamil Nadu

Others

Total

(All India)

Table

Wind power potential has been assessed assuming 1% of land availability for wind

farms requiring @12 ha/MW in sites having wind power density in excess of 200

W/sq.m. at 50 m hub-height

Sl.

No.

Name of the

State

Up to

2005 2005

1 Andhra

Pradesh 0.721

2 Gujarat 1.332

3 Karnataka 1.409

4 Kerala 0.047

5 Madhya

Pradesh 0.3

6 Maharashtra 2.65

7 Rajasthan 0.494

8 Tamil Nadu 11.97

Total 18.925

Table 4: State

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

up of projects implemented in prominent wind potential states (as on

March 31, 2011) is as given below

wise Wind Power Installed Capacity In

India Gross

Potential

(MW)

Total

Capacity

(MW) till

31.03.2011

Andhra Pradesh 8968 200.2

10,645 2175.6

11,531 1730.1

1171 32.8

Madhya Pradesh 1019 275.5

Maharashtra 4584 2310.7

255 -

4858 1524.7

Tamil Nadu 5530 5904.4

4

48,561 14,158

Table 3: Total installed Capacity (MW) till 31.03.2011

Wind power potential has been assessed assuming 1% of land availability for wind

farms requiring @12 ha/MW in sites having wind power density in excess of 200

height.

2005-06 2006-

07

2007-

08

2008-

09

2009

10

0.079 0.111 0.101 0.333 0.106

0.286 0.455 0.851 2.104 2.988

0.935 1.397 1.84 1.723 2.895

0 0 0 0 0.065

0.03 0.07 0.069 0.003 0.082

0.79 1.714 1.804 2.207 2.778

0.427 0.532 0.682 0.758 1.127

3.444 5.268 6.066 6.206 8.146

5.991 9.547 11.413 13.334 18.187

: State-Wise Cumulative Wind Generation Data in (BU)

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

up of projects implemented in prominent wind potential states (as on

31.03.2011

200.2

2175.6

1730.1

32.8

275.5

2310.7

-

1524.7

5904.4

4

Wind power potential has been assessed assuming 1% of land availability for wind

farms requiring @12 ha/MW in sites having wind power density in excess of 200

2009-

10

Up to

Jan.11

Cumu-

lative

0.106 0.067 1.518

2.988 2.309 10.325

2.895 2.362 12.561

0.065 0.059 0.171

0.082 0.039 0.593

2.778 2.368 14.311

1.127 1.049 5.069

8.146 8.017 49.117

18.187 16.27 93.665

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4.2.4 Wind Energy Business Opportunities i

The wind energy value chain consists of a number of specific and distinct steps

from the supply of raw materials to the t

with the prominent supporting products and services for each, are given below. The

illustration here also provides a bird’s

the entire wind energy value chain.

A trend in the wind energy industry that entrepreneurs should be aware of is the

move by incumbents towards vertical integration along this value chain. And there is

a reason for the vertical integration efforts. With supply chain bottlenecks a constant

threat, many of the large wind firms have responded by buying out suppliers of

critical components such as blades, generators, and gearboxes. By bringing

suppliers in house, they could ensure they would get the products they needed on

time, and at an acceptable price.

Figure

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Energy Business Opportunities in India

The wind energy value chain consists of a number of specific and distinct steps

from the supply of raw materials to the transmission of electricity. These steps, along

with the prominent supporting products and services for each, are given below. The

illustration here also provides a bird’s-eye view of the opportunities available along

the entire wind energy value chain.

trend in the wind energy industry that entrepreneurs should be aware of is the

move by incumbents towards vertical integration along this value chain. And there is

a reason for the vertical integration efforts. With supply chain bottlenecks a constant

eat, many of the large wind firms have responded by buying out suppliers of

critical components such as blades, generators, and gearboxes. By bringing

suppliers in house, they could ensure they would get the products they needed on

le price.

Figure 17: Diagram of Wind Business Options

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The wind energy value chain consists of a number of specific and distinct steps -

ransmission of electricity. These steps, along

with the prominent supporting products and services for each, are given below. The

eye view of the opportunities available along

trend in the wind energy industry that entrepreneurs should be aware of is the

move by incumbents towards vertical integration along this value chain. And there is

a reason for the vertical integration efforts. With supply chain bottlenecks a constant

eat, many of the large wind firms have responded by buying out suppliers of

critical components such as blades, generators, and gearboxes. By bringing

suppliers in house, they could ensure they would get the products they needed on

54

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However this applies only to large organizations. A detailed analysis of this value

chain brings out opportunities in each stage for small and medium players too.

4.2.5 Power Plant Development stapes and opportunity in India

Wind farm developers are responsible for developing the wind project from concept

to commissioning, and they undertake all the planning, design and project

development work in this regard. As part of

also take up the role of establishing access to capital for investment, construction of

roads and related infrastructure that can accommodate the transport of heavy

industrial equipment and components.

Depending on the nature of contract, the wind project developer sometimes has a

managing interest in the project when it is complete, but in most cases the real

ownership lies with the wind farm owner.

Figure 18

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

However this applies only to large organizations. A detailed analysis of this value

chain brings out opportunities in each stage for small and medium players too.

Power Plant Development stapes and opportunity in India

Wind farm developers are responsible for developing the wind project from concept

to commissioning, and they undertake all the planning, design and project

development work in this regard. As part of their role, wind power project developers

also take up the role of establishing access to capital for investment, construction of

roads and related infrastructure that can accommodate the transport of heavy

industrial equipment and components.

the nature of contract, the wind project developer sometimes has a

managing interest in the project when it is complete, but in most cases the real

ownership lies with the wind farm owner.

18: Various components of Wind mill with material link

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

However this applies only to large organizations. A detailed analysis of this value

chain brings out opportunities in each stage for small and medium players too.

Wind farm developers are responsible for developing the wind project from concept

to commissioning, and they undertake all the planning, design and project

their role, wind power project developers

also take up the role of establishing access to capital for investment, construction of

roads and related infrastructure that can accommodate the transport of heavy

the nature of contract, the wind project developer sometimes has a

managing interest in the project when it is complete, but in most cases the real

55

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4.2.5.1 Raw Materials Production

A wide range of materials are used for wind turbine construction. While steel is

perhaps the most important material in this context, a diverse list of raw materials are

required to produce the vast number of components that comprise a wind farm. The

illustration shown on the right, provides a detailed review of the materials and

components used in the production of wind turbines.

indigenize wind turbine component

opportunities for suppliers of raw materials that go into the production of these

components.

Indian producers of the above raw materials should hence explore how they can

become suppliers to this sector.

4.2.5.2 Original Equipment Manufacturing

In the wind energy sector, turbine manufacturers represent the predominant OEM

segment. OEMs usually manufacture some of the critical components such as the

nacelle in-house, and blades and towers are produced either by the

fabricated to the OEM’s specifications by a supplier. While opportunities do exist for

new OEMs in India with the projected continuous growth in the wind industry, it

should be noted that this is an area that faces intense competition from large gl

companies, and entering the OEM domain will require significant capital and

marketing investments.

To encourage indigenous manufacturing of wind turbines and to facilitate transfer of

new technology, MNRE is expected to introduce local content require

turbines.

4.2.5.3 Component Manufacturing

Component manufacturers manufacture a wide range of mechanical and electrical

components, including generators, hydraulics, sensors, hardware, drives, power

distribution, composites, cabling, big ste

The primary components in a wind energy generating system are:

Blades, Nacelle Controls,

components. A modern wind turbine consists of about 8000 unique

4.2.5.4 Trading Opportunities

Should a market for micro-

for traders and small system integrators, similar to what is happening in the solar PV

industry in India where rooftop solar syst

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Raw Materials Production A wide range of materials are used for wind turbine construction. While steel is

perhaps the most important material in this context, a diverse list of raw materials are

the vast number of components that comprise a wind farm. The

illustration shown on the right, provides a detailed review of the materials and

components used in the production of wind turbines. There is a move in India to

indigenize wind turbine component production; this could lead to significant

opportunities for suppliers of raw materials that go into the production of these

Indian producers of the above raw materials should hence explore how they can

become suppliers to this sector.

Equipment Manufacturing In the wind energy sector, turbine manufacturers represent the predominant OEM

segment. OEMs usually manufacture some of the critical components such as the

house, and blades and towers are produced either by the

fabricated to the OEM’s specifications by a supplier. While opportunities do exist for

new OEMs in India with the projected continuous growth in the wind industry, it

should be noted that this is an area that faces intense competition from large gl

companies, and entering the OEM domain will require significant capital and

To encourage indigenous manufacturing of wind turbines and to facilitate transfer of

new technology, MNRE is expected to introduce local content require

Component Manufacturing Component manufacturers manufacture a wide range of mechanical and electrical

components, including generators, hydraulics, sensors, hardware, drives, power

distribution, composites, cabling, big steel, castings, forgings, bearings, gearboxes.

The primary components in a wind energy generating system are:

Generator, Tower Components and Power Electronics

A modern wind turbine consists of about 8000 unique components.

Trading Opportunities -wind turbines emerge in future, opportunities could arise

for traders and small system integrators, similar to what is happening in the solar PV

industry in India where rooftop solar systems are set to take off soon. Opportunities

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

A wide range of materials are used for wind turbine construction. While steel is

perhaps the most important material in this context, a diverse list of raw materials are

the vast number of components that comprise a wind farm. The

illustration shown on the right, provides a detailed review of the materials and

There is a move in India to

production; this could lead to significant

opportunities for suppliers of raw materials that go into the production of these

Indian producers of the above raw materials should hence explore how they can

In the wind energy sector, turbine manufacturers represent the predominant OEM

segment. OEMs usually manufacture some of the critical components such as the

house, and blades and towers are produced either by the OEM or

fabricated to the OEM’s specifications by a supplier. While opportunities do exist for

new OEMs in India with the projected continuous growth in the wind industry, it

should be noted that this is an area that faces intense competition from large global

companies, and entering the OEM domain will require significant capital and

To encourage indigenous manufacturing of wind turbines and to facilitate transfer of

new technology, MNRE is expected to introduce local content requirements for wind

Component manufacturers manufacture a wide range of mechanical and electrical

components, including generators, hydraulics, sensors, hardware, drives, power

el, castings, forgings, bearings, gearboxes.

The primary components in a wind energy generating system are: Rotors,

Power Electronics

components.

wind turbines emerge in future, opportunities could arise

for traders and small system integrators, similar to what is happening in the solar PV

ems are set to take off soon. Opportunities

56

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to trade in the power produced are however likely to expand significantly. Currently,

it is possible for wind power producers to sell electricity to the grid, use it for captive

consumption or sell it to third pa

exchanges and with the likely liberalization and streamlining of power distribution

across states, the opportunities to trade in power are likely to increase and become

more lucrative. With the advent of the R

significant demand for non-

months.

The high demand for non

REC. In light of this, REC accreditation

significant opportunity waiting to be capitalized.

4.2.6 Central and State Government Policies for Supporting Wind Power Projects

4.2.6.1 Central Government Policies

The General guidelines for developing Wind Power Projects

programmes are discussed below.

4.2.6.2 CERC Tariff Orders for Procurement of Power f

Central Electricity Regulatory Commission in its order dated 16

its regulations and tariff orders for procuring wind power into the grid; for control

period from 16/09/2009 to 31/03/2012. The tariff structure consisting of fixed cost

components: Return on Equity, Interest on loan Capital, Depreciati

Working Capital and Operation & Maintenance Expenses. Detailed tariff structure

and regulations are like that:

Description

Capital cost

Commercial operational

life (including evacuation

systems)

Return on Equity

Debt Equity Ratio

Interest on loan

Depreciation

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

to trade in the power produced are however likely to expand significantly. Currently,

it is possible for wind power producers to sell electricity to the grid, use it for captive

consumption or sell it to third parties. With the emergence of independent power

exchanges and with the likely liberalization and streamlining of power distribution

across states, the opportunities to trade in power are likely to increase and become

more lucrative. With the advent of the RPO/REC mechanism in India, there has been

-solar (wind, small hydro, biomass etc.) over the past few

The high demand for non-solar RECs is mostly met through wind energy based

REC. In light of this, REC accreditation, advisory and trading services present a

significant opportunity waiting to be capitalized.

Central and State Government Policies for Supporting Wind Power Projects

nt Policies

The General guidelines for developing Wind Power Projects and o

programmes are discussed below.

CERC Tariff Orders for Procurement of Power from Wind Energy Generators

Central Electricity Regulatory Commission in its order dated 16/09/2009 introduced

its regulations and tariff orders for procuring wind power into the grid; for control

period from 16/09/2009 to 31/03/2012. The tariff structure consisting of fixed cost

components: Return on Equity, Interest on loan Capital, Depreciati

Working Capital and Operation & Maintenance Expenses. Detailed tariff structure

like that:

CERC Regulation

Rs5.15 Crore/MW, linked to indexation formula

Commercial operational

evacuation

25 years

19% for first 10 years and 24% from 11th year pre

tax

70:30

Average SBI long term PLR plus 150 basis points

7% per annum

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

to trade in the power produced are however likely to expand significantly. Currently,

it is possible for wind power producers to sell electricity to the grid, use it for captive

rties. With the emergence of independent power

exchanges and with the likely liberalization and streamlining of power distribution

across states, the opportunities to trade in power are likely to increase and become

PO/REC mechanism in India, there has been

solar (wind, small hydro, biomass etc.) over the past few

solar RECs is mostly met through wind energy based

, advisory and trading services present a

Central and State Government Policies for Supporting Wind Power Projects

and other policies and

rom Wind Energy Generators

/09/2009 introduced

its regulations and tariff orders for procuring wind power into the grid; for control

period from 16/09/2009 to 31/03/2012. The tariff structure consisting of fixed cost

components: Return on Equity, Interest on loan Capital, Depreciation, Interest on

Working Capital and Operation & Maintenance Expenses. Detailed tariff structure

Rs5.15 Crore/MW, linked to indexation formula

19% for first 10 years and 24% from 11th year pre-

Average SBI long term PLR plus 150 basis points

57

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Description

Interest on Working Capital

Operational and

Maintenance cost

Escalation

Capacity Utilization Factor

Sharing of CDM Benefits

Taxes and Duties

4.2.6.3 Accelerated Depreciation

The main incentive for wind power projects in the past was accelerated depreciation.

This tax benefit allows projects to deduct up to 80% of value of wind power

equipment during first year of project operation. Investors are given tax benefits up to

10 years. Wind Power producers receiving accelerated depreciation benefits must

register with and provide generation data to IREDA and are not eligible to receive

more recent Generation Based incentives.

4.2.6.4 Indirect Tax Benefits

This includes concessions on excise duty and reduction in customs duty for wind

power equipment. Wind powered electricity generators and water pumping wind

mills, aero-generators and battery chargers are except from excise duties. Indirect

tax benefits for manufacturers of specific energy parts vary from 5

upon the component.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

CERC Regulation

Interest on Working Capital Average SBI short term PLR plus 100 basis points

Operational and Rs. 6.50 lakh/MW

5.72% per annum

Capacity Utilization Factor for wind power density 200-250: 20%for wind power

density 250-300: 23%for wind power density 300

400: 27%for wind power density above 400: 30%

Sharing of CDM Benefits First year: 100% to the project developer Second

year: 10% beneficiaries, to be increased at 10% per

annum up to 50%.Thereafter to be shared on equal

basis

Tariff determined should be exclusive of taxes and

duties levied by government provided allowed as

pass through on actual basis

Table 5: Detailed tariff structure

Accelerated Depreciation

incentive for wind power projects in the past was accelerated depreciation.

This tax benefit allows projects to deduct up to 80% of value of wind power

equipment during first year of project operation. Investors are given tax benefits up to

Power producers receiving accelerated depreciation benefits must

register with and provide generation data to IREDA and are not eligible to receive

more recent Generation Based incentives.

This includes concessions on excise duty and reduction in customs duty for wind

power equipment. Wind powered electricity generators and water pumping wind

generators and battery chargers are except from excise duties. Indirect

manufacturers of specific energy parts vary from 5

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Average SBI short term PLR plus 100 basis points

250: 20%for wind power

23%for wind power density 300-

400: 27%for wind power density above 400: 30%

First year: 100% to the project developer Second

year: 10% beneficiaries, to be increased at 10% per

annum up to 50%.Thereafter to be shared on equal

Tariff determined should be exclusive of taxes and

duties levied by government provided allowed as

incentive for wind power projects in the past was accelerated depreciation.

This tax benefit allows projects to deduct up to 80% of value of wind power

equipment during first year of project operation. Investors are given tax benefits up to

Power producers receiving accelerated depreciation benefits must

register with and provide generation data to IREDA and are not eligible to receive

This includes concessions on excise duty and reduction in customs duty for wind

power equipment. Wind powered electricity generators and water pumping wind

generators and battery chargers are except from excise duties. Indirect

manufacturers of specific energy parts vary from 5-25% depending

58

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4.2.6.5 Central-Level Generation

Offered by the central government since June 2008 and administered by IREDA, the

GBI for wind is available for

capacity of 5 MW for projects commissioned on or before 31/03/2012. As of

December 2009, the GBI is set at INR 0.50/kWh (USD 0.01/kWh) of grid

electricity for a minimum of 4 years and a maximu

INR 6.2 million (USD 140,000) per MW. The scheme will deploy a total of INR 3.8

billion (USD 81 million) until 2012 and aims to incentivize capacity additions of 4,000

MW. Wind power producers receiving a GBI must register

generation data to IREDA. The GBI is offered in addition to SERC’s state preferential

renewable energy tariffs. However, IPPs using GBIs cannot also take advantage of

accelerated depreciation benefits. The GBI program will be reviewed at

the Eleventh Plan and revised as deemed appropriate. As of December 2011, 58

projects had been registered under this scheme with over 288.8 M

(Tamil Nadu-30, Rajasthan

Karnataka-1 each).

4.2.6.6 Renewable Purchase Obligations

Several states have implemented RPOs with a requirement that renewable energy

supplies between 1% and 15% of total electricity. The impact of the RPOs on wind

development may depend on the penalties and enforceme

an effective REC market to promote development of areas of the country with the

most abundant wind resources. More details are available under state initiatives and

policies towards Wind Power development.

4.2.6.7 Renewable Energy Certificates: Framework on Forbearance a

This is framed to be applicable from 1st April 2012 for a control period of 5 years.

In Rs/MWh

control period up

Non Solar REC

Forbearance

Price

3,900

Floor Price 1,500

More details on the APPC and RE tariffs is available in the “”Order on Forbearance &

Floor Price dated 23-8-2011”.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Level Generation-Based Incentives

Offered by the central government since June 2008 and administered by IREDA, the

GBI for wind is available for independent power producers with a minimum installed

capacity of 5 MW for projects commissioned on or before 31/03/2012. As of

December 2009, the GBI is set at INR 0.50/kWh (USD 0.01/kWh) of grid

electricity for a minimum of 4 years and a maximum of 10 years, up to a maximum of

INR 6.2 million (USD 140,000) per MW. The scheme will deploy a total of INR 3.8

billion (USD 81 million) until 2012 and aims to incentivize capacity additions of 4,000

MW. Wind power producers receiving a GBI must register with and provide

generation data to IREDA. The GBI is offered in addition to SERC’s state preferential

renewable energy tariffs. However, IPPs using GBIs cannot also take advantage of

accelerated depreciation benefits. The GBI program will be reviewed at

the Eleventh Plan and revised as deemed appropriate. As of December 2011, 58

projects had been registered under this scheme with over 288.8 MW commissioned.

30, Rajasthan-21, Gujarat-3; Andhra Pradesh, Maharashtra and

Purchase Obligations

Several states have implemented RPOs with a requirement that renewable energy

supplies between 1% and 15% of total electricity. The impact of the RPOs on wind

development may depend on the penalties and enforcement of the targets as well as

an effective REC market to promote development of areas of the country with the

most abundant wind resources. More details are available under state initiatives and

policies towards Wind Power development.

ergy Certificates: Framework on Forbearance and Floor Prices

This is framed to be applicable from 1st April 2012 for a control period of 5 years.

control period up to FY

2012

Control period 1st Apr 2012

onwards

Non Solar REC Solar REC Non Solar REC

17,000 3,480

12,000 1,400

More details on the APPC and RE tariffs is available in the “”Order on Forbearance &

2011”.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Offered by the central government since June 2008 and administered by IREDA, the

independent power producers with a minimum installed

capacity of 5 MW for projects commissioned on or before 31/03/2012. As of

December 2009, the GBI is set at INR 0.50/kWh (USD 0.01/kWh) of grid- connected

m of 10 years, up to a maximum of

INR 6.2 million (USD 140,000) per MW. The scheme will deploy a total of INR 3.8

billion (USD 81 million) until 2012 and aims to incentivize capacity additions of 4,000

with and provide

generation data to IREDA. The GBI is offered in addition to SERC’s state preferential

renewable energy tariffs. However, IPPs using GBIs cannot also take advantage of

accelerated depreciation benefits. The GBI program will be reviewed at the end of

the Eleventh Plan and revised as deemed appropriate. As of December 2011, 58

W commissioned.

Pradesh, Maharashtra and

Several states have implemented RPOs with a requirement that renewable energy

supplies between 1% and 15% of total electricity. The impact of the RPOs on wind

nt of the targets as well as

an effective REC market to promote development of areas of the country with the

most abundant wind resources. More details are available under state initiatives and

nd Floor Prices

This is framed to be applicable from 1st April 2012 for a control period of 5 years.

Control period 1st Apr 2012

onwards

Solar REC

13,690

9,880

More details on the APPC and RE tariffs is available in the “”Order on Forbearance &

59

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4.2.6.8 Small Wind Energy and

This programme is implemented through State Nodal Agencies for meeting water

pumping and small power requirements in rural/semi

the categories of users:

Individuals, farmers, NGOs, Central / State Govern

Panchayats, Autonomous Institutions, Research Organizations, Cooperative

Societies, Corporate Bodies, Small Business Establishments, Banks, etc.

Category Cost

Gear type Water

Pumping Windmill

Rs. 80,000

Auroville type

Windmills

Rs.1,50,000

Wind Solar Hybrid

Systems

Rs.

2,50,000/kW

A cumulative capacity of 608kW of wind solar hybrid systems and 1180 water

pumping windmills have been installed by 31

4.3 Small Hydro

4.3.1 Introduction

Hydropower is a renewable, non

energy. It is perhaps the oldest renewable energy technique known to the mankind

for mechanical energy conversion as well as electricity generation.

Hydropower represents use of water resources towards inflation free energy due to

absence of fuel cost with mature technology characterized by highest prime moving

efficiency and spectacular operational flexibility. Out of the total power generation

installed capacity of 167077

contributes about 25% i.e. 37,367 MW.

Hydro Power Project Classification

Hydro power projects are generally categorized in two segments i.e. small and large

hydro. In India, hydro projects up to 25 MW station capacities have been categorized

as Small Hydro Power (SHP) projects.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

nd Hybrid Systems Programme

This programme is implemented through State Nodal Agencies for meeting water

pumping and small power requirements in rural/semi-urban/urban windy areas for

Individuals, farmers, NGOs, Central / State Government agencies, local bodies and

Panchayats, Autonomous Institutions, Research Organizations, Cooperative

Societies, Corporate Bodies, Small Business Establishments, Banks, etc.

Cost Central Financial Assistance

Rs. 80,000 Maximum 50% of Ex-works cost in general

places Maximum 90% of Ex

electrified islands Rs.1,50,000

2,50,000/kW

Rs. 1,50,000/kW for Government, Public,

Charitable, R&D, Academic and other non profit

making organizations

Rs. 1,00,000/kW for other beneficiaries not

covered above

A cumulative capacity of 608kW of wind solar hybrid systems and 1180 water

pumping windmills have been installed by 31st July 2010.

Hydropower is a renewable, non-polluting and environmentally benign source of

It is perhaps the oldest renewable energy technique known to the mankind

for mechanical energy conversion as well as electricity generation.

r represents use of water resources towards inflation free energy due to

absence of fuel cost with mature technology characterized by highest prime moving

efficiency and spectacular operational flexibility. Out of the total power generation

077 MW (January 2011) in the country, hydro power

contributes about 25% i.e. 37,367 MW.

Hydro Power Project Classification

Hydro power projects are generally categorized in two segments i.e. small and large

hydro. In India, hydro projects up to 25 MW station capacities have been categorized

as Small Hydro Power (SHP) projects. While Ministry of Power, Government of India

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

This programme is implemented through State Nodal Agencies for meeting water

urban/urban windy areas for

ment agencies, local bodies and

Panchayats, Autonomous Institutions, Research Organizations, Cooperative

Societies, Corporate Bodies, Small Business Establishments, Banks, etc.

Central Financial Assistance

works cost in general

Maximum 90% of Ex-works for un-

Rs. 1,50,000/kW for Government, Public,

and other non profit

Rs. 1,00,000/kW for other beneficiaries not

A cumulative capacity of 608kW of wind solar hybrid systems and 1180 water

polluting and environmentally benign source of

It is perhaps the oldest renewable energy technique known to the mankind

r represents use of water resources towards inflation free energy due to

absence of fuel cost with mature technology characterized by highest prime moving

efficiency and spectacular operational flexibility. Out of the total power generation

MW (January 2011) in the country, hydro power

Hydro power projects are generally categorized in two segments i.e. small and large

hydro. In India, hydro projects up to 25 MW station capacities have been categorized

While Ministry of Power, Government of India

60

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is responsible for large hydro projects, the mandate for the subject small hydro

power (up to 25 MW) is given to Ministry of New and Renewable Energy. Small

hydro power projects are further classified as

Table

4.3.2 Small Hydro Power Programme

Small Hydro Power (SHP) Programme is one of the thrust areas of power generation

from renewable in the Ministry of New and Renewable Energy.

recognized that small hydropower projects can play a critical role in improving the

overall energy scenario of the country and in particular for remote and inaccessible

areas. The Ministry is encouraging development of small hydro projects both in the

public as well as private sector. Equal attention is being paid to grid

decentralized projects.

4.3.2.1 Aim

The Ministry’s aim is that the SHP installed capacity should be

the end of 12th Plan. The focus of the SHP programme is to lower the cost of

equipment, increase its reliability and set up projects in areas which give the

maximum advantage in terms of capacity utilisation.

4.3.2.2 Potential

An estimated potential of about 15,000 MW of small hydro power projects exists in

India. Ministry of New and Renewable Energy has created a database of potential

sites of small hydro and 5718 potential sites with an aggregate capacity of 15384

MW for projects up to 25 MW capacity have been identified.

Identification of new potential sites and strengthening of database for already

identified sites is an ongoing process. In this direction, the Ministry has been giving

financial support to state governments/ agencies for

SHP sites & preparation of state perspective plan.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

esponsible for large hydro projects, the mandate for the subject small hydro

power (up to 25 MW) is given to Ministry of New and Renewable Energy. Small

hydro power projects are further classified as

Class Station

Capacity in kW

Micro Hydro Up to 100

Mini Hydro 101 to 2000

Small Hydro 2001 to 25000 Table 6: Small Hydro power projects classification

Small Hydro Power Programme

Small Hydro Power (SHP) Programme is one of the thrust areas of power generation

renewable in the Ministry of New and Renewable Energy.

recognized that small hydropower projects can play a critical role in improving the

overall energy scenario of the country and in particular for remote and inaccessible

is encouraging development of small hydro projects both in the

public as well as private sector. Equal attention is being paid to grid

The Ministry’s aim is that the SHP installed capacity should be about 6000 MW by

the end of 12th Plan. The focus of the SHP programme is to lower the cost of

equipment, increase its reliability and set up projects in areas which give the

maximum advantage in terms of capacity utilisation.

potential of about 15,000 MW of small hydro power projects exists in

India. Ministry of New and Renewable Energy has created a database of potential

sites of small hydro and 5718 potential sites with an aggregate capacity of 15384

MW capacity have been identified.

Identification of new potential sites and strengthening of database for already

identified sites is an ongoing process. In this direction, the Ministry has been giving

financial support to state governments/ agencies for identification of new potential

SHP sites & preparation of state perspective plan.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

esponsible for large hydro projects, the mandate for the subject small hydro

power (up to 25 MW) is given to Ministry of New and Renewable Energy. Small

Small Hydro Power (SHP) Programme is one of the thrust areas of power generation

renewable in the Ministry of New and Renewable Energy. It has been

recognized that small hydropower projects can play a critical role in improving the

overall energy scenario of the country and in particular for remote and inaccessible

is encouraging development of small hydro projects both in the

public as well as private sector. Equal attention is being paid to grid-interactive and

about 6000 MW by

the end of 12th Plan. The focus of the SHP programme is to lower the cost of

equipment, increase its reliability and set up projects in areas which give the

potential of about 15,000 MW of small hydro power projects exists in

India. Ministry of New and Renewable Energy has created a database of potential

sites of small hydro and 5718 potential sites with an aggregate capacity of 15384

Identification of new potential sites and strengthening of database for already

identified sites is an ongoing process. In this direction, the Ministry has been giving

identification of new potential

61

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4.3.3 Small hydro installed capacity and progress

The total installed capacity of small hydro power projects (up to 25 MW) as on

31.01.2011 is 2953 MW from 801

of 914 MW are under construction.

State wise numbers and aggregate capacity of

installed & under implementation

Sl. No. State

1 Andhra Pradesh

2 Arunachal Pradesh

3 Assam

4 Bihar

5 Chattisgarh

6 Goa

7 Gujarat

8 Haryana

9 Himachal Pradesh

10 J&K

11 Jharkhand

12 Karnataka

13 Kerala

14 Madhya Pradesh

15 Maharashtra

16 Manipur

17 Meghalaya

18 Mizoram

19 Nagaland

20 Orissa

21 Punjab

22 Rajasthan

23 Sikkim

24 Tamil Nadu

25 Tripura

26 Uttar Pradesh

27 Uttarakhand

28 West Bengal

29 A&N Islands

Total Table 7: State wise numbers and aggregate capacity of SHP projects

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Small hydro installed capacity and progress

The total installed capacity of small hydro power projects (up to 25 MW) as on

31.01.2011 is 2953 MW from 801 projects and 271 projects with aggregate capacity

of 914 MW are under construction.

tate wise numbers and aggregate capacity of SHP projects (up to 25 mw) potential,

installed & under implementation (As on 31.1.2011)

Potential Projects Installed

Nos.

Total

Capacity

(MW)

Nos. Capacity

(MW)

497 560.18 62 189.83

Arunachal Pradesh 550 1,328.68 101 78.835

119 238.69 4 27.11

95 213.25 18 58.3

184 993.11 6 19.05

6 6.5 1 0.05

292 196.97 4 12.6

33 110.05 7 70.1

536 2,267.81 112 375.385

246 1,417.80 34 129.33

103 208.95 6 4.05

138 747.59 111 725.05

245 704.1 20 136.87

299 803.64 11 86.16

255 732.63 39 263.825

114 109.13 8 5.45

101 229.8 4 31.03

75 166.93 18 36.47

99 188.98 10 28.67

222 295.47 10 79.625

237 393.23 43 153.2

66 57.17 10 23.85

91 265.55 16 47.11

197 659.51 16 94.05

13 46.86 3 16.01

251 460.75 7 23.3

444 1,577.44 95 134.12

203 396.11 24 98.9

7 7.27 1 5.25

5718 15384.2 801 2953.58 State wise numbers and aggregate capacity of SHP projects

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

The total installed capacity of small hydro power projects (up to 25 MW) as on

rojects with aggregate capacity

to 25 mw) potential,

Projects under

Implementation

Nos. Capacity

(MW)

18 61.75

28 38.71

4 15

11 36.31

1 1.2

- -

-

2 3.4

40 132.2

5 5.91

8 34.85

18 107.5

7 23.8

4 19.9

15 51.7

3 2.75

3 1.7

1 0.5

4 4.2

5 3.93

15 21.4

- -

2 5.2

6 33

- -

- -

55 230.65

16 79.25

- -

271 914.81

62

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While in early 90s, most of the SHP projects were set up in the public sector, from

last 10 years or so, most of the capacity

sector projects. Beginning of the 21

small hydro sector. Private sector entrepreneurs found attractive business

opportunities in small hydro and state governments also fel

participation may be necessary in tapping the full potential of rivers and canals for

power generation. The private sector has been attracted by these projects due to

their small adoptable capacity matching with their captive requirement

affordable investment opportunities. In line with Government of India policy, 18

states have announced their policy for inviting private sector to set up SHP projects.

The Government of India announced the Electricity Act in 2003, Electricity

2005 and Tariff Policy in 2006 to create a conducive atmosphere for investments in

the power sector. Small hydropower projects are now governed by these policies

and the tariff is decided by the State Electricity Regulatory Commissions (SERCs) a

per the Tariff Policy.

During the 10th Plan, Following have been year

projects.

Year

2002-

2003-

2004-

2005-

2006-

Table 8: 10th Plan

A target of adding 1400 MW during the 11th Plan (2007

Year

2007-08

2008-09

2009-10

2010-11

Table 9: During last 3 Years foll

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

While in early 90s, most of the SHP projects were set up in the public sector, from

last 10 years or so, most of the capacity addition is now coming through private

Beginning of the 21st century saw near commercialization in the

Private sector entrepreneurs found attractive business

opportunities in small hydro and state governments also felt that the private

participation may be necessary in tapping the full potential of rivers and canals for

power generation. The private sector has been attracted by these projects due to

their small adoptable capacity matching with their captive requirement

affordable investment opportunities. In line with Government of India policy, 18

states have announced their policy for inviting private sector to set up SHP projects.

The Government of India announced the Electricity Act in 2003, Electricity

2005 and Tariff Policy in 2006 to create a conducive atmosphere for investments in

Small hydropower projects are now governed by these policies

and the tariff is decided by the State Electricity Regulatory Commissions (SERCs) a

During the 10th Plan, Following have been year-wise capacity addition from SHP

Year

Target

(in

MW)

Capacity

addition

during

the year

(in MW)

Cumulative

SHP

installed

capacity

(in MW)

-03 80 80.39 1519.28

-04 80 84.04 1603.32

-05 100 102.31 1705.63

-06 130 120.8 1826.43

-07 160 149.16 1975.59

: 10th Plan year-wise capacity addition from SHP

A target of adding 1400 MW during the 11th Plan (2007-2012) Fixed

Target

(in

MW)

Capacity

addition

during the

year

(in MW)

Cumulative

SHP

installed

capacity

(in MW)

08 200 205.25 2180.84

09 250 248.93 2429.77

10 300 305.25 2735.02

11 300 218.37

(31.01.2011)

During last 3 Years following has been the achievements

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

While in early 90s, most of the SHP projects were set up in the public sector, from

addition is now coming through private

century saw near commercialization in the

Private sector entrepreneurs found attractive business

t that the private

participation may be necessary in tapping the full potential of rivers and canals for

power generation. The private sector has been attracted by these projects due to

their small adoptable capacity matching with their captive requirements or even as

affordable investment opportunities. In line with Government of India policy, 18

states have announced their policy for inviting private sector to set up SHP projects.

The Government of India announced the Electricity Act in 2003, Electricity Policy in

2005 and Tariff Policy in 2006 to create a conducive atmosphere for investments in

Small hydropower projects are now governed by these policies

and the tariff is decided by the State Electricity Regulatory Commissions (SERCs) as

wise capacity addition from SHP

2012) Fixed

63

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4.3.4 Standards for Small Hydro

In order to ensure project quality/performance, the MNRE

adhere to IEC/International standards for equipment and civil works. The subsidy

available from the Ministry is linked to use of equipment manufactured to IEC or

other prescribed international standards. The equipment in the project is required to

confirm to the following IEC standards.

Equipment

Turbines and generator

(rotating electrical

machines)

Field Acceptance Test for

Hydraulic performance of

turbine

Governing system for

hydraulic turbines

Transformers

Inlet valves for hydro

power stations & systems

Recently the Ministry has given an assignment to AHEC, IIT Roorkee to revisit

existing standards and come out with standards/manuals/guidelines for improving

reliability and quality of small hydro power projects in the country.

4.3.5 States with Policy for Private SHP Projects

23 States namely, Andhra Pradehsh, Arunachal Pradesh

Chattisgarh, Gujarat, Haryana, Himachal Pradesh, Jammu and Kashmir,

Karnataka, Kerala, Madhya Pradesh, Maharashtra, Manipur, Meghalaya,

Mizoram, Orissa, Punjab, Rajasthan, Tamil Nadu, Uttarakhand, Uttar

Pradesh and West Bengal have announce

commercial SHP projects through private sector participation. The

facilities available in the States include wheeling of power produced,

banking, buy-back of power, facility for third party sale, etc.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Standards for Small Hydro

In order to ensure project quality/performance, the MNRE has been insisting to

adhere to IEC/International standards for equipment and civil works. The subsidy

available from the Ministry is linked to use of equipment manufactured to IEC or

other prescribed international standards. The equipment in the project is required to

confirm to the following IEC standards.

Equipment Standard

Turbines and generator

(rotating electrical

machines)

IEC 60034 – 1: 1983

IEC 61366-1: 1998

IEC 61116-1992

IS: 4722-2001

IS 12800-1991

Field Acceptance Test for

Hydraulic performance of

IEC 60041: 1991

Governing system for

hydraulic turbines

IEC 60308

Transformers IS 3156 – 1992

IS 2705 – 1992

IS 2026 - 1983

Inlet valves for hydro

power stations & systems

IS 7326 – 1902

Table 10: IEC standards

Recently the Ministry has given an assignment to AHEC, IIT Roorkee to revisit

existing standards and come out with standards/manuals/guidelines for improving

reliability and quality of small hydro power projects in the country.

4.3.5 States with Policy for Private SHP Projects

23 States namely, Andhra Pradehsh, Arunachal Pradesh, Assam, Bihar,

Chattisgarh, Gujarat, Haryana, Himachal Pradesh, Jammu and Kashmir,

Karnataka, Kerala, Madhya Pradesh, Maharashtra, Manipur, Meghalaya,

Mizoram, Orissa, Punjab, Rajasthan, Tamil Nadu, Uttarakhand, Uttar

Pradesh and West Bengal have announced policies for setting up

commercial SHP projects through private sector participation. The

facilities available in the States include wheeling of power produced,

back of power, facility for third party sale, etc.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

has been insisting to

adhere to IEC/International standards for equipment and civil works. The subsidy

available from the Ministry is linked to use of equipment manufactured to IEC or

other prescribed international standards. The equipment in the project is required to

Recently the Ministry has given an assignment to AHEC, IIT Roorkee to revisit the

existing standards and come out with standards/manuals/guidelines for improving

, Assam, Bihar,

Chattisgarh, Gujarat, Haryana, Himachal Pradesh, Jammu and Kashmir,

Karnataka, Kerala, Madhya Pradesh, Maharashtra, Manipur, Meghalaya,

Mizoram, Orissa, Punjab, Rajasthan, Tamil Nadu, Uttarakhand, Uttar

d policies for setting up

commercial SHP projects through private sector participation. The

facilities available in the States include wheeling of power produced,

back of power, facility for third party sale, etc.

64

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Sl.

No.

1 Andhra Pradesh

2 Assam

3 Gujarat

4 Himachal Pradesh

5 Haryana

6 Jammu & Kashmir

7 Karnataka

8 Kerala

9 Madhya Pradesh

10 Maharashtra

11 Orissa

12 Punjab

13 Tamil Nadu

14 Uttaranchal

15 West Bengal

4.3.6 Watermills

Water wheels, commonly

Himalayan regions for rice hulling, milling of grain and other mechanical applications.

These water mills are normally of very old design and work at very low efficiencies. It

has been estimated that there

country. New and improved designs of water mills have been developed for

mechanical as well as electricity generation of 3

The Ministry is providing subsidy for

Local organizations such as the Water Mill Associations,

registered NGOs, local bodies, and State Nodal Agencies are being encouraged to

take up these activities. A number of NGOs are now propagating water mills for

electricity generation to meet smal

Uttaranchal has taken a lead in setting up electricity generation watermills

450 such watermills were installed in remote and isolated areas of the state.

Nagaland has recently commenced setting up wate

electrification. Watermills are also being installed in Arunachal Pradesh, Himachal

Pradesh, J&K, Karnataka and Manipur.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

State Total

Number

Total

capacity

(MW)

Andhra Pradesh 43 104.43

Assam 1 0.1

Gujarat 2 5.6

Himachal Pradesh 63 271.25

Haryana 2 7.4

Jammu & Kashmir 2 17.5

Karnataka 95 694.9

Kerala 3 36

Madhya Pradesh 1 2.2

Maharashtra 13 74

Orissa 2 32

Punjab 18 26.2

Tamil Nadu 1 0.35

Uttaranchal 10 48.3

West Bengal 5 6.45

Total 261 1326.68

Table 11 : As on 31.12.2010

known as `gharats', have traditionally

Himalayan regions for rice hulling, milling of grain and other mechanical applications.

These water mills are normally of very old design and work at very low efficiencies. It

there are more than 1.5 lakh potential water mill sites in the

country. New and improved designs of water mills have been developed for

mechanical as well as electricity generation of 3-5 kW.

providing subsidy for development and up gradation

s such as the Water Mill Associations, cooperative

registered NGOs, local bodies, and State Nodal Agencies are being encouraged to

take up these activities. A number of NGOs are now propagating water mills for

electricity generation to meet small scale electrical requirements of villages.

Uttaranchal has taken a lead in setting up electricity generation watermills

450 such watermills were installed in remote and isolated areas of the state.

Nagaland has recently commenced setting up watermills/micro hydel sets for rural

Watermills are also being installed in Arunachal Pradesh, Himachal

Pradesh, J&K, Karnataka and Manipur.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

known as `gharats', have traditionally been used in the

Himalayan regions for rice hulling, milling of grain and other mechanical applications.

These water mills are normally of very old design and work at very low efficiencies. It

water mill sites in the

country. New and improved designs of water mills have been developed for

development and up gradation of water mills.

cooperative societies,

registered NGOs, local bodies, and State Nodal Agencies are being encouraged to

take up these activities. A number of NGOs are now propagating water mills for

l scale electrical requirements of villages.

Uttaranchal has taken a lead in setting up electricity generation watermills and over

450 such watermills were installed in remote and isolated areas of the state.

rmills/micro hydel sets for rural

Watermills are also being installed in Arunachal Pradesh, Himachal

65

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4.3.7 Manufacturing Status

India has a wide base of manufacturers of equipment for small hydr

projects. State-of-the-art equipment is available indigenously.

fabricate almost the entire range and type of SHP equipment.

capacity is estimated at about 300 MW per year.

manufactures that are producing

4.3.8 Technical and consultation Services

Consultancy services in the field of small hydro projects are available from a number

of Government / private consultancy organizations.

technical institutions to provide such services.

range of technical services in the field of small hydro including survey and

investigation, DPR preparation, project design etc. On site testing

created at AHEC to test SHP stations for their performance.

4.3.9 Real Time Digital Simulator for SHP

A Real Time simulator has been set up at AHEC which would provide hands on

experience to operators of SHP stations. It is the first

The simulator is capable of replicate all conditions of a hydro power station. AHEC is

offering regular training programmes for operators and engineers of SHP stations.

4.3.10 Constraints in SHP

The main reasons for lack of

� Failure due to improper design.

� Failure due to non standard practices adopted in production.

� Over estimate of the efficiency and constancy of stream flow.

� Improper Penstock design to allow the plant operate

� No established O&M practice.

� Plants operating in remote areas of the country.

4.4 Geothermal Energy

Geothermal energy is a major contributor to electricity production in at least 24

countries. There is also an increasing widespread u

geothermal heat, for example, for space heat and domestic water heating.

Geothermal energy recovered as heat takes two general forms: steam or hot water is

piped into facilities where it provides ambient heating for comfort. Alt

pump technology is used to recover earth heat by pumping a confined heat

fluid through a heat exchanger embedded in a warm body of soil. Geothermal heat is

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

India has a wide base of manufacturers of equipment for small hydr

art equipment is available indigenously. 20 manufacturers

fabricate almost the entire range and type of SHP equipment.

capacity is estimated at about 300 MW per year. In addition, there are about 5

ures that are producing micro hydel and watermill equipment.

Technical and consultation Services

Consultancy services in the field of small hydro projects are available from a number

of Government / private consultancy organizations. The Ministry is strengthening

technical institutions to provide such services. AHEC, IIT Roorkee is providing full

range of technical services in the field of small hydro including survey and

investigation, DPR preparation, project design etc. On site testing

created at AHEC to test SHP stations for their performance.

Real Time Digital Simulator for SHP

A Real Time simulator has been set up at AHEC which would provide hands on

experience to operators of SHP stations. It is the first SHP simulator in the country.

The simulator is capable of replicate all conditions of a hydro power station. AHEC is

offering regular training programmes for operators and engineers of SHP stations.

for lack of success with small hydro power developer are;

Failure due to improper design.

Failure due to non standard practices adopted in production.

Over estimate of the efficiency and constancy of stream flow.

Improper Penstock design to allow the plant operates at full capacity.

No established O&M practice.

Plants operating in remote areas of the country.

Geothermal energy is a major contributor to electricity production in at least 24

countries. There is also an increasing widespread use of direct application of

geothermal heat, for example, for space heat and domestic water heating.

Geothermal energy recovered as heat takes two general forms: steam or hot water is

piped into facilities where it provides ambient heating for comfort. Alt

pump technology is used to recover earth heat by pumping a confined heat

fluid through a heat exchanger embedded in a warm body of soil. Geothermal heat is

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

India has a wide base of manufacturers of equipment for small hydro power

20 manufacturers

fabricate almost the entire range and type of SHP equipment. Manufacturer’s

In addition, there are about 5

and watermill equipment.

Consultancy services in the field of small hydro projects are available from a number

Ministry is strengthening

AHEC, IIT Roorkee is providing full

range of technical services in the field of small hydro including survey and

facility has been

A Real Time simulator has been set up at AHEC which would provide hands on

SHP simulator in the country.

The simulator is capable of replicate all conditions of a hydro power station. AHEC is

offering regular training programmes for operators and engineers of SHP stations.

success with small hydro power developer are;

Failure due to non standard practices adopted in production.

Over estimate of the efficiency and constancy of stream flow.

s at full capacity.

Geothermal energy is a major contributor to electricity production in at least 24

se of direct application of

geothermal heat, for example, for space heat and domestic water heating.

Geothermal energy recovered as heat takes two general forms: steam or hot water is

piped into facilities where it provides ambient heating for comfort. Alternatively, heat

pump technology is used to recover earth heat by pumping a confined heat-transfer

fluid through a heat exchanger embedded in a warm body of soil. Geothermal heat is

66

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used to generate electrical power primarily through direct steam productio

flashing produced hot brine to release steam, which drives a turbine/generator set to

make electrical power. An evolving technology expected to see major application in

the future is “binary” electrical generation, in which a produced geothermal fl

heats a drive fluid (e.g., volatile organic fluid or ammonia) in a closed

generation unit.

4.4.1 Status and Trends Heat energy continuously flows to the Earth’s surface from its interior, where central

temperatures of about 6 000°C

the gradual decay of long-lived radioactive isotopes (40K, 232Th, 235U and 238U).

The outward transfer of heat occurs by means of conductive heat flow and

convective flows of molten mantle beneath the Ea

heat flux at the Earth’s surface of 80kW/km

is not distributed uniformly over the Earth’s surface; rather, it is concentrated along

active tectonic plate boundaries where volcanic

molten material to the near surface.

Although volcanoes erupts

vast majority of it remains at depths of 5 to 20 km, where it is in the form of liquid or

solidifying magma bodies that release heat to surrounding rock. Under the right

conditions, water can penetrate into these hot rock zones, resulting in the formation

of high temperature geothermal systems containing hot water, water and steam, or

steam, at depths of 500 m to >3,000 m.

Worldwide geothermal energy recovery currently contributes around 13,000

megawatts (MW) of electrical power (a little over 8 percent of total electricity

capacity). There is significant potential for expanded geothermal electricity

generation, up to 73 GW with current technology, and up to 138 GW with enhanced

geothermal systems (EGS) technology (Gawell 2004).

There also are opportunities for expanded use of geothermal direct heat utilization,

with capacity nearly doubling from 2000 to

using geothermal heat for the first time. About half of the existing geothermal heat

capacity exists as geothermal heat pumps for building heating and cooling, with 2

million pumps used in over 30 countries. Table

future trends in the cost of geothermal power.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

used to generate electrical power primarily through direct steam productio

flashing produced hot brine to release steam, which drives a turbine/generator set to

make electrical power. An evolving technology expected to see major application in

the future is “binary” electrical generation, in which a produced geothermal fl

heats a drive fluid (e.g., volatile organic fluid or ammonia) in a closed

Heat energy continuously flows to the Earth’s surface from its interior, where central

temperatures of about 6 000°C exist. The predominant source of the Earth’s heat is

lived radioactive isotopes (40K, 232Th, 235U and 238U).

The outward transfer of heat occurs by means of conductive heat flow and

convective flows of molten mantle beneath the Earth’s crust. This results in a mean

heat flux at the Earth’s surface of 80kW/km2 approximately. This heat flux, however,

is not distributed uniformly over the Earth’s surface; rather, it is concentrated along

active tectonic plate boundaries where volcanic activity transports high temperature

molten material to the near surface.

s small portions of this molten rock that feeds them, the

vast majority of it remains at depths of 5 to 20 km, where it is in the form of liquid or

ing magma bodies that release heat to surrounding rock. Under the right

conditions, water can penetrate into these hot rock zones, resulting in the formation

of high temperature geothermal systems containing hot water, water and steam, or

of 500 m to >3,000 m.

Worldwide geothermal energy recovery currently contributes around 13,000

megawatts (MW) of electrical power (a little over 8 percent of total electricity

capacity). There is significant potential for expanded geothermal electricity

neration, up to 73 GW with current technology, and up to 138 GW with enhanced

geothermal systems (EGS) technology (Gawell 2004).

There also are opportunities for expanded use of geothermal direct heat utilization,

with capacity nearly doubling from 2000 to 2005, and with at least 13 new countries

using geothermal heat for the first time. About half of the existing geothermal heat

capacity exists as geothermal heat pumps for building heating and cooling, with 2

million pumps used in over 30 countries. Table no 10 displays past and projected

future trends in the cost of geothermal power.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

used to generate electrical power primarily through direct steam production or by

flashing produced hot brine to release steam, which drives a turbine/generator set to

make electrical power. An evolving technology expected to see major application in

the future is “binary” electrical generation, in which a produced geothermal fluid

heats a drive fluid (e.g., volatile organic fluid or ammonia) in a closed-loop power

Heat energy continuously flows to the Earth’s surface from its interior, where central

exist. The predominant source of the Earth’s heat is

lived radioactive isotopes (40K, 232Th, 235U and 238U).

The outward transfer of heat occurs by means of conductive heat flow and

rth’s crust. This results in a mean

approximately. This heat flux, however,

is not distributed uniformly over the Earth’s surface; rather, it is concentrated along

activity transports high temperature

portions of this molten rock that feeds them, the

vast majority of it remains at depths of 5 to 20 km, where it is in the form of liquid or

ing magma bodies that release heat to surrounding rock. Under the right

conditions, water can penetrate into these hot rock zones, resulting in the formation

of high temperature geothermal systems containing hot water, water and steam, or

Worldwide geothermal energy recovery currently contributes around 13,000

megawatts (MW) of electrical power (a little over 8 percent of total electricity

capacity). There is significant potential for expanded geothermal electricity

neration, up to 73 GW with current technology, and up to 138 GW with enhanced

There also are opportunities for expanded use of geothermal direct heat utilization,

2005, and with at least 13 new countries

using geothermal heat for the first time. About half of the existing geothermal heat

capacity exists as geothermal heat pumps for building heating and cooling, with 2

no 10 displays past and projected

67

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4.4.2 Characteristics and Applications of Geothermal Energy

Geothermal energy is an enormous, underused

is clean (emits little or no greenhouse gases),

of 95%), and home grown

resources range from shallow ground to hot water and rock

Earth's surface, and even farther down to the extremely hot molten rock called

magma. Mile-or-more-deep wells can be drilled into underground reservoirs to tap

steam and very hot water that can be brought to the surface for use in a

applications.

The general characteristics of geothermal energy that make it of significant

importance for both electricity production and direct use include:

• Extensive global distribution; it is accessible to both developed and

developing countries.

• Environmentally friendly nature; it has low emission of sulphur, CO2 and other

greenhouse gases.

• Indigenous nature; it is independent of external supply and demand effects

and fluctuations in exchange rates.

• Independence of weather and season.

• Contribution to the development of diversified power sources.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Table 12 : Geothermal Power Cost Curve

Characteristics and Applications of Geothermal Energy Geothermal energy is an enormous, underused heat and power resource that

(emits little or no greenhouse gases), reliable (average system availability

grown (making us less dependent on foreign oil). Geothermal

resources range from shallow ground to hot water and rock several miles below the

Earth's surface, and even farther down to the extremely hot molten rock called

deep wells can be drilled into underground reservoirs to tap

steam and very hot water that can be brought to the surface for use in a

The general characteristics of geothermal energy that make it of significant

importance for both electricity production and direct use include:

Extensive global distribution; it is accessible to both developed and

ntries.

Environmentally friendly nature; it has low emission of sulphur, CO2 and other

Indigenous nature; it is independent of external supply and demand effects

and fluctuations in exchange rates.

Independence of weather and season.

Contribution to the development of diversified power sources.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

heat and power resource that

(average system availability

(making us less dependent on foreign oil). Geothermal

several miles below the

Earth's surface, and even farther down to the extremely hot molten rock called

deep wells can be drilled into underground reservoirs to tap

steam and very hot water that can be brought to the surface for use in a variety of

The general characteristics of geothermal energy that make it of significant

Extensive global distribution; it is accessible to both developed and

Environmentally friendly nature; it has low emission of sulphur, CO2 and other

Indigenous nature; it is independent of external supply and demand effects

Contribution to the development of diversified power sources.

68

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Figure

Geothermal energy can be used very effectively in both on

developments, and is especially useful in r

a large range from power generation to direct heat uses, the latter possible using

both low temperature resources and “cascade” methods. Cascade methods utilise

the hot water remaining from higher temperature app

generation) in successively lower temperature processes, which may include binary

systems to generate further power and direct heat uses (bathing and swimming;

space heating, including district heating; greenhouse and open grou

industrial process heat; aquaculture pond and raceway heating; agricultural drying;

etc.)

4.4.3 Geothermal Energy Scenario: India and world

Geothermal power plants operated in at least 24 countries in 2010, and geothermal

energy was used directly for heat in at least 78 countries.

have geothermal power plants with a total capacity of 10.7 GW, but 88% of it is

generated in just seven countries: the United States, the Philippines, Indonesia,

Mexico, Italy, New Zealand, an

since 2004 were seen in Iceland and Turkey. Both countries doubled their capacity.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Figure 19: Geo Thermal plant basic mechanism

Geothermal energy can be used very effectively in both on

developments, and is especially useful in rural electrification schemes. Its use spans

a large range from power generation to direct heat uses, the latter possible using

both low temperature resources and “cascade” methods. Cascade methods utilise

the hot water remaining from higher temperature applications (e.g., electricity

generation) in successively lower temperature processes, which may include binary

systems to generate further power and direct heat uses (bathing and swimming;

space heating, including district heating; greenhouse and open grou

industrial process heat; aquaculture pond and raceway heating; agricultural drying;

Geothermal Energy Scenario: India and world Geothermal power plants operated in at least 24 countries in 2010, and geothermal

ly for heat in at least 78 countries. These countries currently

have geothermal power plants with a total capacity of 10.7 GW, but 88% of it is

just seven countries: the United States, the Philippines, Indonesia,

Mexico, Italy, New Zealand, and Iceland. The most significant capacity increases

since 2004 were seen in Iceland and Turkey. Both countries doubled their capacity.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Geothermal energy can be used very effectively in both on- and off-grid

ural electrification schemes. Its use spans

a large range from power generation to direct heat uses, the latter possible using

both low temperature resources and “cascade” methods. Cascade methods utilise

lications (e.g., electricity

generation) in successively lower temperature processes, which may include binary

systems to generate further power and direct heat uses (bathing and swimming;

space heating, including district heating; greenhouse and open ground heating;

industrial process heat; aquaculture pond and raceway heating; agricultural drying;

Geothermal power plants operated in at least 24 countries in 2010, and geothermal

These countries currently

have geothermal power plants with a total capacity of 10.7 GW, but 88% of it is

just seven countries: the United States, the Philippines, Indonesia,

d Iceland. The most significant capacity increases

since 2004 were seen in Iceland and Turkey. Both countries doubled their capacity.

69

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Iceland has the largest share of geothermal power contributing to electricity supply

(25%), followed by the Philippines

The number of countries utilizing geothermal energy to generate electricity has more

than doubled since 1975, increasing from 10 in 1975 to 24 in 2004. In 2003, total

geothermal energy supply was 20 MToE (metric Tonne Oil Equivalent),

for 0.4% of total primary energy supply in IEA member countries. The share of

geothermal in total renewable energy supply was 7.1%. Over the last 20 years,

capital costs for geothermal power systems decreased by a significant 50%. Such

large cost reductions are often the result of solving the “easier” problems associated

with science and technology improvement in the early years of development.

Although geothermal power development slowed in 2010, with global capacity

reaching just over 11 GW, a

expected as advanced technologies allow for development in new countries. Heat

output from geothermal sources increased by an average rate of almost 9% annually

over the past decade, due mainly to rapid

pumps. Use of geothermal energy for combined heat and power is also on the rise.

India has reasonably good potential for geothermal; the potential geothermal

provinces can produce 10,600 MW of power (but experts are

extent of 100 MW). But yet geothermal power projects has not been exploited at all,

owing to a variety of reasons, the chief being the availability of plentiful coal at cheap

costs. However, with increasing environmental problems wit

India will need to start depending on clean and eco

one of which could be geothermal.

4.4.4 Technology

Mile-or-more-deep wells can be drilled into underground reservoirs to tap steam and

very hot water that drive turbines that drive electricity generators. Four types of

power plants are operating today:

4.4.4.1 Flashed steam plant

The extremely hot water from drill holes when released from the deep reservoirs high

pressure steam (termed as flashed

rotate turbines. The steam gets condensed and is converted into water again, which

is returned to the reservoir. Flashed steam plants are widely distributed throughout

the world.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Iceland has the largest share of geothermal power contributing to electricity supply

(25%), followed by the Philippines (18%).

The number of countries utilizing geothermal energy to generate electricity has more

than doubled since 1975, increasing from 10 in 1975 to 24 in 2004. In 2003, total

geothermal energy supply was 20 MToE (metric Tonne Oil Equivalent),

for 0.4% of total primary energy supply in IEA member countries. The share of

geothermal in total renewable energy supply was 7.1%. Over the last 20 years,

capital costs for geothermal power systems decreased by a significant 50%. Such

t reductions are often the result of solving the “easier” problems associated

with science and technology improvement in the early years of development.

Although geothermal power development slowed in 2010, with global capacity

reaching just over 11 GW, a significant acceleration in the rate of deployment is

expected as advanced technologies allow for development in new countries. Heat

output from geothermal sources increased by an average rate of almost 9% annually

over the past decade, due mainly to rapid growth in the use of ground

pumps. Use of geothermal energy for combined heat and power is also on the rise.

India has reasonably good potential for geothermal; the potential geothermal

provinces can produce 10,600 MW of power (but experts are confident only to the

extent of 100 MW). But yet geothermal power projects has not been exploited at all,

owing to a variety of reasons, the chief being the availability of plentiful coal at cheap

costs. However, with increasing environmental problems with coal based projects,

India will need to start depending on clean and eco-friendly energy sources in future;

one of which could be geothermal.

deep wells can be drilled into underground reservoirs to tap steam and

ater that drive turbines that drive electricity generators. Four types of

power plants are operating today:

The extremely hot water from drill holes when released from the deep reservoirs high

pressure steam (termed as flashed steam) is released. This force of steam is used to

rotate turbines. The steam gets condensed and is converted into water again, which

is returned to the reservoir. Flashed steam plants are widely distributed throughout

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Iceland has the largest share of geothermal power contributing to electricity supply

The number of countries utilizing geothermal energy to generate electricity has more

than doubled since 1975, increasing from 10 in 1975 to 24 in 2004. In 2003, total

geothermal energy supply was 20 MToE (metric Tonne Oil Equivalent), accounting

for 0.4% of total primary energy supply in IEA member countries. The share of

geothermal in total renewable energy supply was 7.1%. Over the last 20 years,

capital costs for geothermal power systems decreased by a significant 50%. Such

t reductions are often the result of solving the “easier” problems associated

with science and technology improvement in the early years of development.

Although geothermal power development slowed in 2010, with global capacity

significant acceleration in the rate of deployment is

expected as advanced technologies allow for development in new countries. Heat

output from geothermal sources increased by an average rate of almost 9% annually

growth in the use of ground-source heat

pumps. Use of geothermal energy for combined heat and power is also on the rise.

India has reasonably good potential for geothermal; the potential geothermal

confident only to the

extent of 100 MW). But yet geothermal power projects has not been exploited at all,

owing to a variety of reasons, the chief being the availability of plentiful coal at cheap

h coal based projects,

friendly energy sources in future;

deep wells can be drilled into underground reservoirs to tap steam and

ater that drive turbines that drive electricity generators. Four types of

The extremely hot water from drill holes when released from the deep reservoirs high

steam) is released. This force of steam is used to

rotate turbines. The steam gets condensed and is converted into water again, which

is returned to the reservoir. Flashed steam plants are widely distributed throughout

70

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4.4.4.2 Dry steam plant

Usually geysers are the main source of dry steam. Those geothermal reservoirs

which mostly produce steam and little water are used in electricity production

systems. As steam from the reservoir shoots out, it is used to rotate a turbine, after

sending the steam through a rock

from rocks which come along with the steam.

4.4.4.3 Binary power plant

In this type of power plant, the geothermal water is passed through a heat exchanger

where its heat is transferre

ammonia–water mixture present in an adjacent, separate pipe. Due to this double

liquid heat exchanger system, it is called a binary power plant. The secondary liquid

which is also called as working

turns into vapour on getting required heat from the hot water. The

working fluid is used to rotate turbines. The binary system is therefore useful in

geothermal reservoirs which are rela

system is a completely closed one, there is minimum chance of heat loss. Hot water

is immediately recycled back into the reservoir. The working fluid is also condensed

back to the liquid and used over and over

4.4.4.4 Hybrid power plant

Some geothermal fields produce boiling water as well as steam, which are also used

in power generation. In this system of power generation, the flashed and binary

systems are combined to make use of both steam and hot wate

power plants is however less than that of the dry steam plants.

4.4.4.5 Enhanced geothermal system

The term enhanced geothermal systems (EGS), also known as engineered

geothermal systems (formerly hot dry rock geothermal), refers to a variety of

engineering techniques used to artificially create hydrothermal resources

(underground steam and hot water) t

Traditional geothermal plants exploit naturally occurring hydrothermal reservoirs and

are limited by the size and location of such natural reservoirs. EGS reduces these

constraints by allowing for the creation of hy

naturally dry geological formations.EGS techniques can also extend the lifespan of

naturally occurring hydrothermal resources. Given the costs and limited full

system research to date, EGS remains in its infancy

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Usually geysers are the main source of dry steam. Those geothermal reservoirs

which mostly produce steam and little water are used in electricity production

systems. As steam from the reservoir shoots out, it is used to rotate a turbine, after

the steam through a rock-catcher. The rock-catcher protects the turbine

from rocks which come along with the steam.

In this type of power plant, the geothermal water is passed through a heat exchanger

where its heat is transferred to a secondary liquid, namely isobutene, iso

water mixture present in an adjacent, separate pipe. Due to this double

liquid heat exchanger system, it is called a binary power plant. The secondary liquid

which is also called as working fluid, should have lower boiling point than water. It

on getting required heat from the hot water. The

working fluid is used to rotate turbines. The binary system is therefore useful in

geothermal reservoirs which are relatively low in temperature gradient. Since the

system is a completely closed one, there is minimum chance of heat loss. Hot water

is immediately recycled back into the reservoir. The working fluid is also condensed

back to the liquid and used over and over again.

Some geothermal fields produce boiling water as well as steam, which are also used

in power generation. In this system of power generation, the flashed and binary

systems are combined to make use of both steam and hot water. Efficiency of hybrid

power plants is however less than that of the dry steam plants.

Enhanced geothermal system

The term enhanced geothermal systems (EGS), also known as engineered

geothermal systems (formerly hot dry rock geothermal), refers to a variety of

engineering techniques used to artificially create hydrothermal resources

(underground steam and hot water) that can be used to generate electricity.

Traditional geothermal plants exploit naturally occurring hydrothermal reservoirs and

are limited by the size and location of such natural reservoirs. EGS reduces these

constraints by allowing for the creation of hydrothermal reservoirs in deep, hot but

naturally dry geological formations.EGS techniques can also extend the lifespan of

naturally occurring hydrothermal resources. Given the costs and limited full

system research to date, EGS remains in its infancy, with only a few research and

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Usually geysers are the main source of dry steam. Those geothermal reservoirs

which mostly produce steam and little water are used in electricity production

systems. As steam from the reservoir shoots out, it is used to rotate a turbine, after

catcher protects the turbine

In this type of power plant, the geothermal water is passed through a heat exchanger

d to a secondary liquid, namely isobutene, iso-pentane or

water mixture present in an adjacent, separate pipe. Due to this double-

liquid heat exchanger system, it is called a binary power plant. The secondary liquid

fluid, should have lower boiling point than water. It

on getting required heat from the hot water. The vapour from the

working fluid is used to rotate turbines. The binary system is therefore useful in

tively low in temperature gradient. Since the

system is a completely closed one, there is minimum chance of heat loss. Hot water

is immediately recycled back into the reservoir. The working fluid is also condensed

Some geothermal fields produce boiling water as well as steam, which are also used

in power generation. In this system of power generation, the flashed and binary

r. Efficiency of hybrid

The term enhanced geothermal systems (EGS), also known as engineered

geothermal systems (formerly hot dry rock geothermal), refers to a variety of

engineering techniques used to artificially create hydrothermal resources

hat can be used to generate electricity.

Traditional geothermal plants exploit naturally occurring hydrothermal reservoirs and

are limited by the size and location of such natural reservoirs. EGS reduces these

drothermal reservoirs in deep, hot but

naturally dry geological formations.EGS techniques can also extend the lifespan of

naturally occurring hydrothermal resources. Given the costs and limited full-scale

, with only a few research and

71

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pilot projects existing around the world and no commercial

The technology is so promising, however, that a number of studies have found that

EGS could quickly become widespread.

4.4.5 Potential India

Figure

It has been estimated from geological, geochemical,

shallow drilling data it is estimated that India has about 10,000 MWe of geothermal

power potential that can be harnessed for various purposes.

surface of India ranging in age from more than 4500 million years to the present day

and distributed in different geographical units. The rocks comprise of Archean,

Proterozoic, the marine and continental Palaeozoic, Mesozoic, Teritary, Quaternary

etc., More than 300 hot spring locations have been identified by Geological survey of

India (Thussu, 2000). The surface temperature of the hot springs ranges from 35 C

to as much as 98 C. These

different geothermal provinces based on their occurrence in specific geotectonic

regions, geological and strutural regions such as occurrence in orogenic belt regions,

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

pilot projects existing around the world and no commercial-scale EGS plants to date.

The technology is so promising, however, that a number of studies have found that

EGS could quickly become widespread.

Figure 20: Indian probable regions for Geo Tharmal

It has been estimated from geological, geochemical, shallow geophysical and

shallow drilling data it is estimated that India has about 10,000 MWe of geothermal

tial that can be harnessed for various purposes. Rocks covered on the

surface of India ranging in age from more than 4500 million years to the present day

and distributed in different geographical units. The rocks comprise of Archean,

ne and continental Palaeozoic, Mesozoic, Teritary, Quaternary

etc., More than 300 hot spring locations have been identified by Geological survey of

India (Thussu, 2000). The surface temperature of the hot springs ranges from 35 C

to as much as 98 C. These hot springs have been grouped together and termed as

different geothermal provinces based on their occurrence in specific geotectonic

regions, geological and strutural regions such as occurrence in orogenic belt regions,

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

scale EGS plants to date.

The technology is so promising, however, that a number of studies have found that

shallow geophysical and

shallow drilling data it is estimated that India has about 10,000 MWe of geothermal

Rocks covered on the

surface of India ranging in age from more than 4500 million years to the present day

and distributed in different geographical units. The rocks comprise of Archean,

ne and continental Palaeozoic, Mesozoic, Teritary, Quaternary

etc., More than 300 hot spring locations have been identified by Geological survey of

India (Thussu, 2000). The surface temperature of the hot springs ranges from 35 C

hot springs have been grouped together and termed as

different geothermal provinces based on their occurrence in specific geotectonic

regions, geological and strutural regions such as occurrence in orogenic belt regions,

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structural grabens, deep fault zone

regions are – Himalayan geothermal province, Naga

Andaman-Nicobar Islands geothermal province and non

Cambay graben, Son-Narmada

valley, Godavari valley etc.

� Puga Valley (J&K)

� Tatapani (Chhattisgarh)

� Godavari Basin Manikaran (Himachal Pradesh)

� Bakreshwar (West Bengal)

� Tuwa (Gujarat)

� Unai (Maharashtra)

� Jalgaon (Maharashtra)

4.4.6 Historical Capacity & Consumption Data

There is no installed geothermal generating capacity as of now and only direct uses

(e.g. drying) have been detailed.

Total thermal installed

capacity in MWt:

Direct use in TJ/year

Direct use in GWh/year

Capacity

Geothermal Field Estimated (min.)

reservoir Temp

Puga geothermal

field 240

Tattapani Sarguja

(Chhattisgarh) 120

meter and 200 Cat

2000 m

Tapoban Chamoli

(Uttarakhand) 100

Cambay Garben

(Gujrat) 160

(From Oil

exploration

borehole)

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

structural grabens, deep fault zones, active volcanic regions etc., Different orogenic

Himalayan geothermal province, Naga-Lushai geothermal province,

Nicobar Islands geothermal province and non-orogenic regions are

Narmada-Tapi graben, west coast, Damodar valley, Mahanadi

Tatapani (Chhattisgarh)

Godavari Basin Manikaran (Himachal Pradesh)

Bakreshwar (West Bengal)

Jalgaon (Maharashtra)

Consumption Data

There is no installed geothermal generating capacity as of now and only direct uses

drying) have been detailed.

Total thermal installed

capacity in MWt:

203

Direct use in TJ/year 1,606.30

Direct use in GWh/year 446.2

Capacity factor 0.25

Table 13: Direct Uses

Estimated (min.)

reservoir Temp

(Approx)

Status

240oC at 2000m From geochemical and deep

geophysical studies (MT)

120oC - 150oC at 500

meter and 200 Cat

2000 m

Magneto telluric survey done by

NGRI

100oC at 430 meter Magneto telluric survey done by

NGRI

160oC at 1900 meter

(From Oil

exploration

borehole)

Steam discharge was estimated 3000

cu meter/ day with high

temperature gradient.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

s, active volcanic regions etc., Different orogenic

Lushai geothermal province,

orogenic regions are –

Damodar valley, Mahanadi

There is no installed geothermal generating capacity as of now and only direct uses

From geochemical and deep

geophysical studies (MT)

survey done by

survey done by

Steam discharge was estimated 3000

cu meter/ day with high

gradient.

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Badrinath Chamoli

(Uttarakhand) 150

Geothermal Field Reservoir

(Approx)

Surajkund

Hazaribagh

(Jharkhand)

110

Manikaran

Kullu (H P) 100

Kasol

Kullu (H P) 110

There are no operational geothermal plants in India.

4.4.7 Cost, Price and Challenges

Unlike traditional power plants that run on fuel that must be purchased over

the plant, geothermal power plants use a renewable resource that is not susceptible

to price fluctuations.

New geothermal plants currently are generating electricity from 0.05$ to 0.08$ per

kilowatt hour (kwh).Once capital costs .Once the capit

price of power can decrease below 0.05$ per kwh. The price of geothermal is within

range of other electricity choices available today when the costs of the lifetime of the

plant are considered.

Most of the costs related to geot

exploration and plant construction. Like oil and gas exploration, it is expensive and

because only one in five wells yield a reservoir suitable for development .Geothermal

developers must prove that they have rel

millions of dollar required to develop geothermal resources.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

150oC estimated Magneto-telluric study was done by

NGRI

Deep drilling required to ascertain

geothermal field

Reservoir Temp

(Approx)

Status

110oC Magneto-telluric study was done by

NGRI.

Heat rate 128.6 mW/m2

100oC Magneto-telluric study was done by

NGRI

Heat flow rate 130 mW/m2

110oC Magneto-telluric study was done by

NGRI

Table 14 : Current Projects

There are no operational geothermal plants in India.

Cost, Price and Challenges

Unlike traditional power plants that run on fuel that must be purchased over

the plant, geothermal power plants use a renewable resource that is not susceptible

New geothermal plants currently are generating electricity from 0.05$ to 0.08$ per

kilowatt hour (kwh).Once capital costs .Once the capital costs have been recovered

price of power can decrease below 0.05$ per kwh. The price of geothermal is within

range of other electricity choices available today when the costs of the lifetime of the

Most of the costs related to geothermal power plants are related to resource

exploration and plant construction. Like oil and gas exploration, it is expensive and

because only one in five wells yield a reservoir suitable for development .Geothermal

developers must prove that they have reliable resource before they can secure

millions of dollar required to develop geothermal resources.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

telluric study was done by

Deep drilling required to ascertain

telluric study was done by

Heat rate 128.6 mW/m2

telluric study was done by

Heat flow rate 130 mW/m2

telluric study was done by

Unlike traditional power plants that run on fuel that must be purchased over the life of

the plant, geothermal power plants use a renewable resource that is not susceptible

New geothermal plants currently are generating electricity from 0.05$ to 0.08$ per

al costs have been recovered

price of power can decrease below 0.05$ per kwh. The price of geothermal is within

range of other electricity choices available today when the costs of the lifetime of the

hermal power plants are related to resource

exploration and plant construction. Like oil and gas exploration, it is expensive and

because only one in five wells yield a reservoir suitable for development .Geothermal

iable resource before they can secure

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4.4.8 Drilling

Although the cost of generating geothermal has decreased by 25 percent

last two decades, exploration and drilling remain expensive and risky. Drilling Costs

alone account for as much as one

project. Locating the best resources can be difficult; and developers may

dry wells before they discover a viable resource. Because rocks in geothermal areas

are usually extremely hard and hot, developers must frequently replace drilling

equipment. Individual productive geothermal wells generally yield between 2MW and

5MW of electricity; each may cost from $1 million to $5 million to drill. A few highly

productive wells are capable of producing 25 MW or more of electricity.

4.4.9 Transmission

Geothermal power plants must be located near specific areas near a reservoir

because it is not practical to transport steam or hot water over distances greater than

two miles. Since many of the best geothermal resources are located in rural areas ,

developers may be limited by their ability to supply electricity to the grid. New power

lines are expensive to construct and difficult to site. Many existing transmission lines

are operating near capacity and may not be able to transmit electricity without

significant upgrades. Consequently, any significant increase in the number of

geothermal power plants will be limited by those plants ability to connect, upgrade or

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Figure 21: Geo thermal power costing

Although the cost of generating geothermal has decreased by 25 percent

last two decades, exploration and drilling remain expensive and risky. Drilling Costs

alone account for as much as one-third to one-half to the total cost of a geothermal

project. Locating the best resources can be difficult; and developers may

dry wells before they discover a viable resource. Because rocks in geothermal areas

are usually extremely hard and hot, developers must frequently replace drilling

equipment. Individual productive geothermal wells generally yield between 2MW and

5MW of electricity; each may cost from $1 million to $5 million to drill. A few highly

productive wells are capable of producing 25 MW or more of electricity.

Geothermal power plants must be located near specific areas near a reservoir

because it is not practical to transport steam or hot water over distances greater than

two miles. Since many of the best geothermal resources are located in rural areas ,

ers may be limited by their ability to supply electricity to the grid. New power

lines are expensive to construct and difficult to site. Many existing transmission lines

are operating near capacity and may not be able to transmit electricity without

icant upgrades. Consequently, any significant increase in the number of

geothermal power plants will be limited by those plants ability to connect, upgrade or

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Although the cost of generating geothermal has decreased by 25 percent during the

last two decades, exploration and drilling remain expensive and risky. Drilling Costs

half to the total cost of a geothermal

project. Locating the best resources can be difficult; and developers may drill many

dry wells before they discover a viable resource. Because rocks in geothermal areas

are usually extremely hard and hot, developers must frequently replace drilling

equipment. Individual productive geothermal wells generally yield between 2MW and

5MW of electricity; each may cost from $1 million to $5 million to drill. A few highly

productive wells are capable of producing 25 MW or more of electricity.

Geothermal power plants must be located near specific areas near a reservoir

because it is not practical to transport steam or hot water over distances greater than

two miles. Since many of the best geothermal resources are located in rural areas ,

ers may be limited by their ability to supply electricity to the grid. New power

lines are expensive to construct and difficult to site. Many existing transmission lines

are operating near capacity and may not be able to transmit electricity without

icant upgrades. Consequently, any significant increase in the number of

geothermal power plants will be limited by those plants ability to connect, upgrade or

75

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build new lines to access to the power grid and whether the grid is able to deliver

additional power to the market.

4.4.10 Barriers

� Finding a suitable build location.

� Energy source such as wind, solar and hydro are more popular and better

established; these factors could make developers decided against

geothermal.

� Main disadvantages of building

exploration stage, which can be extremely capital intensive and high

many companies who commission surveys are often disappointed, as quite

often, the land they were interested in, cannot support a geotherm

plant.

� Some areas of land may have the sufficient hot rocks to supply hot water to a

power station, but many of these areas are located in harsh areas of the world

(near the poles), or high up in mountains.

� Harmful gases can escape from deep with

drilled by the constructors. The plant must be able to contain any leaked

gases, but disposing of the gas can be very tricky to do safely.

4.4.11 Geo Thermal companies in India

� Panx Geothermal

� LNJ Bhilwara

� Tata Power

� Thermax

� NTPC

� Avin Energy Systems

� GeoSyndicate Power Private Limited

4.4.12 RD&D Priorities

In the case of geothermal energy, several topics are identified as being key to its

advancement in the global market place. These are related to cost reduction,

sustainable use, expansion of use into new geographical regions, and new

applications. The priorities are categorized as “general” or specific to RD&D.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

build new lines to access to the power grid and whether the grid is able to deliver

wer to the market.

Finding a suitable build location.

Energy source such as wind, solar and hydro are more popular and better

established; these factors could make developers decided against

Main disadvantages of building a geothermal energy plant mainly lie in the

exploration stage, which can be extremely capital intensive and high

many companies who commission surveys are often disappointed, as quite

often, the land they were interested in, cannot support a geotherm

Some areas of land may have the sufficient hot rocks to supply hot water to a

power station, but many of these areas are located in harsh areas of the world

(near the poles), or high up in mountains.

Harmful gases can escape from deep within the earth, through the holes

drilled by the constructors. The plant must be able to contain any leaked

gases, but disposing of the gas can be very tricky to do safely.

4.4.11 Geo Thermal companies in India

Avin Energy Systems

GeoSyndicate Power Private Limited

In the case of geothermal energy, several topics are identified as being key to its

advancement in the global market place. These are related to cost reduction,

e use, expansion of use into new geographical regions, and new

The priorities are categorized as “general” or specific to RD&D.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

build new lines to access to the power grid and whether the grid is able to deliver

Energy source such as wind, solar and hydro are more popular and better

established; these factors could make developers decided against

a geothermal energy plant mainly lie in the

exploration stage, which can be extremely capital intensive and high-risk;

many companies who commission surveys are often disappointed, as quite

often, the land they were interested in, cannot support a geothermal energy

Some areas of land may have the sufficient hot rocks to supply hot water to a

power station, but many of these areas are located in harsh areas of the world

in the earth, through the holes

drilled by the constructors. The plant must be able to contain any leaked

gases, but disposing of the gas can be very tricky to do safely.

In the case of geothermal energy, several topics are identified as being key to its

advancement in the global market place. These are related to cost reduction,

e use, expansion of use into new geographical regions, and new

The priorities are categorized as “general” or specific to RD&D.

76

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General priorities:

� Life-cycle analysis of geothermal power generation and direct use systems.

� Sustainable production from geothermal resources.

� Power generation through improved conversion efficiency cycles.

� Use of shallow geothermal resources for small

� Studies of induced seismicity related to geothermal power generation

(conventional systems and enhanced geothermal systems.

Specific RD&D priorities:

� Commercial development of EGS.

� Development of better exploration, resource confirmation and management

tools.

� Development of deep (>3 000 m) geothermal resources.

� Geothermal co-generation (power and heat).

4.5 Tidal Energy

Ocean can produce two types of energy: thermal energy from the sun's heat, and

mechanical energy from the tides and waves. The fact that the marine renewable

sector is less well developed than other energy i

both opportunities and challenges. The lack of an established industry structure can

make entry into the market uncertain for newcomers. However, this lack of structure

also means that companies are potentially more able t

opportunities than is possible in other parts of the energy industry that are developed

and more mature. A wide range of companies are involved in the marine renewable

sector. The figure below shows the key segments of the sector

needed for the successful completion of a project range from insurance and finance,

resource assessments, environmental surveys, design, manufacture, offshore

construction, operation and decommissioning.

Tides are generated through a combinatio

of the sun and the moon and the rotation of the earth. The relative motion of the

three bodies produces different tidal cycles which affect the range of the tides. In

addition, the tidal range is increased subs

funnelling, reflection and resonance. Energy can be extracted from tides by creating

a reservoir or basin behind a barrage and then passing tidal waters through turbines

in the barrage to generate electricity. T

mean tidal differences greater than 4 meters and also favourable topographical

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

cycle analysis of geothermal power generation and direct use systems.

Sustainable production from geothermal resources.

Power generation through improved conversion efficiency cycles.

Use of shallow geothermal resources for small-scale individual users.

Studies of induced seismicity related to geothermal power generation

nventional systems and enhanced geothermal systems.

Commercial development of EGS.

Development of better exploration, resource confirmation and management

Development of deep (>3 000 m) geothermal resources.

generation (power and heat).

Ocean can produce two types of energy: thermal energy from the sun's heat, and

mechanical energy from the tides and waves. The fact that the marine renewable

sector is less well developed than other energy industries presents companies with

both opportunities and challenges. The lack of an established industry structure can

make entry into the market uncertain for newcomers. However, this lack of structure

also means that companies are potentially more able to create and take

opportunities than is possible in other parts of the energy industry that are developed

and more mature. A wide range of companies are involved in the marine renewable

sector. The figure below shows the key segments of the sector -

needed for the successful completion of a project range from insurance and finance,

resource assessments, environmental surveys, design, manufacture, offshore

construction, operation and decommissioning.

Tides are generated through a combination of forces exerted by the gravitational pull

of the sun and the moon and the rotation of the earth. The relative motion of the

three bodies produces different tidal cycles which affect the range of the tides. In

addition, the tidal range is increased substantially by local effects such as shelving,

funnelling, reflection and resonance. Energy can be extracted from tides by creating

a reservoir or basin behind a barrage and then passing tidal waters through turbines

in the barrage to generate electricity. Tidal energy is extremely site specific requires

mean tidal differences greater than 4 meters and also favourable topographical

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

cycle analysis of geothermal power generation and direct use systems.

Power generation through improved conversion efficiency cycles.

scale individual users.

Studies of induced seismicity related to geothermal power generation

Development of better exploration, resource confirmation and management

Ocean can produce two types of energy: thermal energy from the sun's heat, and

mechanical energy from the tides and waves. The fact that the marine renewable

ndustries presents companies with

both opportunities and challenges. The lack of an established industry structure can

make entry into the market uncertain for newcomers. However, this lack of structure

o create and take

opportunities than is possible in other parts of the energy industry that are developed

and more mature. A wide range of companies are involved in the marine renewable

services that are

needed for the successful completion of a project range from insurance and finance,

resource assessments, environmental surveys, design, manufacture, offshore

n of forces exerted by the gravitational pull

of the sun and the moon and the rotation of the earth. The relative motion of the

three bodies produces different tidal cycles which affect the range of the tides. In

tantially by local effects such as shelving,

funnelling, reflection and resonance. Energy can be extracted from tides by creating

a reservoir or basin behind a barrage and then passing tidal waters through turbines

idal energy is extremely site specific requires

mean tidal differences greater than 4 meters and also favourable topographical

77

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conditions, such as estuaries or certain types of bays in order to bring down costs of

dams etc. Since India is surrounded by sea

tidal energy has been recognized by the Government of India.

4.5.1 Technology

Tidal barrage is a way of converting the energy of tides into electric power. A tidal

barrage works in a similar way to that of a

is much bigger and spans a river estuary. When the tide goes in and out, the water

flows through tunnels in the barrage. The ebb and flow of the tides can be used to

turn a turbine, or it can be used to push air th

turbine.

Company Class

Aqua Marine

Power

Tidal

Verdant

Power

Tidal

Marine

Current

Turbines

Tidal

SMD

Hydrovision

Tidal

Open-Hydro Tidal

Hammerfest

Strom

Tidal

Table 15: Commercial Status of Tidal Stream Devices (as on 2009)

4.5.2 Potential of tidal energy in India

The most attractive locations are the Gulf of Cambay and the Gulf of Kachchh on the

west coast where the maximum tidal range is 11 m

of 6.77 m and 5.23 m respectively. The Ganges Delta in the Sunderbans in West

Bengal also has good locations for small scale tidal power development. The

maximum tidal range in Sunderbans is approximately 5 m with an averag

range of 2.97 m.

The identified economic tidal power potential in India is of the order of 8000

MW with about 7000 MW in the Gulf of Cambay about 1200 MW in the Gulf of

Kachchh and less than 100 MW in Sundarbans.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

conditions, such as estuaries or certain types of bays in order to bring down costs of

dams etc. Since India is surrounded by sea on three sides, its potential to harness

tidal energy has been recognized by the Government of India.

Tidal barrage is a way of converting the energy of tides into electric power. A tidal

barrage works in a similar way to that of a hydroelectric scheme, except that the dam

is much bigger and spans a river estuary. When the tide goes in and out, the water

flows through tunnels in the barrage. The ebb and flow of the tides can be used to

turn a turbine, or it can be used to push air through a pipe, which then turns a

Class Technology Country Year Stage

Tidal Horizontal

Axis Turbine UK 2007 Prototype

Tidal Horizontal

Axis Turbine US 2000 Commercial

Tidal Horizontal

Axis Turbine UK 2000 Commercial

Tidal Horizontal

Axis Turbine UK 2003 Prototype

Tidal Open Center

Turbine Ireland 2006 Pre

Commercial

Tidal Horizontal

Axis Turbine Norway 2007 Pilot

Commercial Status of Tidal Stream Devices (as on 2009)

4.5.2 Potential of tidal energy in India

The most attractive locations are the Gulf of Cambay and the Gulf of Kachchh on the

west coast where the maximum tidal range is 11 m and 8 m with average tidal range

of 6.77 m and 5.23 m respectively. The Ganges Delta in the Sunderbans in West

Bengal also has good locations for small scale tidal power development. The

maximum tidal range in Sunderbans is approximately 5 m with an averag

The identified economic tidal power potential in India is of the order of 8000

MW with about 7000 MW in the Gulf of Cambay about 1200 MW in the Gulf of

Kachchh and less than 100 MW in Sundarbans.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

conditions, such as estuaries or certain types of bays in order to bring down costs of

on three sides, its potential to harness

Tidal barrage is a way of converting the energy of tides into electric power. A tidal

hydroelectric scheme, except that the dam

is much bigger and spans a river estuary. When the tide goes in and out, the water

flows through tunnels in the barrage. The ebb and flow of the tides can be used to

rough a pipe, which then turns a

Stage

Prototype

Commercial

Commercial

Prototype

Pre-

Commercial

Pilot

The most attractive locations are the Gulf of Cambay and the Gulf of Kachchh on the

and 8 m with average tidal range

of 6.77 m and 5.23 m respectively. The Ganges Delta in the Sunderbans in West

Bengal also has good locations for small scale tidal power development. The

maximum tidal range in Sunderbans is approximately 5 m with an average tidal

The identified economic tidal power potential in India is of the order of 8000-9000

MW with about 7000 MW in the Gulf of Cambay about 1200 MW in the Gulf of

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4.5.3 Proposed tidal power projects in India

Ministry of New and Renewable Energy said in Feb 2011 that it may provide financial

incentives for as much as 50 percent of the cost for projects seeking to demonstrate

tidal power.

4.5.4 Kachchh Tidal Power Project

� In, 1970, the CEA had identified this tidal project in the Gulf of Kachchh in

Gujarat. The investigations were formally launched in 1982. Sea bed analysis

and studies for preparation of feasibility report were of highly specialized and

complex nature without precedence in

specialized organizations of Govt. of India and Govt. of Gujarat were involved

in the field of investigations. The techno

completed in a very scientific and systematic manner and the feasib

completed in 1988.

� The proposed tidal power scheme envisages an installation of 900 MW

project biggest in the world, located in the Hansthal Creek, 25 Kms. from

Kandla Port in District.

� The main tidal rockfill barrage of 3.25 Km length was pr

constructed across Hansthal Creek which will accommodate the power house,

sluice gates and navigational lock.

� It envisages installation of 900 MW capacity comprising of 36 geared bulb

type turbo-generators units of 25 MW each and 48 sluice gat

x 12 M. size would generate 1690 Gwh of energy annually. Unfortunately, this

project execution has not been taken up so far because of unknown reasons.

� In Jan 2011, the state of Gujarat announced plans to install Asia’s first

commercial-scale tidal current power plant; the state government approved

the construction of a 50 MW project in the Gulf of Kutch.

4.5.5 Durgaduani Creek

The country's first tidal power generation project is coming up at Durgaduani Creek

of the Sundarbans. The 3.75 mw capacity Durgaduani Creek tidal energy project is a

technology demonstration project and will span over an area of 4.5 km. (Oct 2008

data).

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

power projects in India

Ministry of New and Renewable Energy said in Feb 2011 that it may provide financial

incentives for as much as 50 percent of the cost for projects seeking to demonstrate

4.5.4 Kachchh Tidal Power Project

A had identified this tidal project in the Gulf of Kachchh in

Gujarat. The investigations were formally launched in 1982. Sea bed analysis

and studies for preparation of feasibility report were of highly specialized and

complex nature without precedence in the country. More than twelve

specialized organizations of Govt. of India and Govt. of Gujarat were involved

in the field of investigations. The techno-economic feasibility study has been

completed in a very scientific and systematic manner and the feasib

The proposed tidal power scheme envisages an installation of 900 MW

project biggest in the world, located in the Hansthal Creek, 25 Kms. from

Kandla Port in District.

The main tidal rockfill barrage of 3.25 Km length was pr

constructed across Hansthal Creek which will accommodate the power house,

sluice gates and navigational lock.

It envisages installation of 900 MW capacity comprising of 36 geared bulb

generators units of 25 MW each and 48 sluice gat

x 12 M. size would generate 1690 Gwh of energy annually. Unfortunately, this

project execution has not been taken up so far because of unknown reasons.

In Jan 2011, the state of Gujarat announced plans to install Asia’s first

scale tidal current power plant; the state government approved

the construction of a 50 MW project in the Gulf of Kutch.

The country's first tidal power generation project is coming up at Durgaduani Creek

. The 3.75 mw capacity Durgaduani Creek tidal energy project is a

technology demonstration project and will span over an area of 4.5 km. (Oct 2008

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Ministry of New and Renewable Energy said in Feb 2011 that it may provide financial

incentives for as much as 50 percent of the cost for projects seeking to demonstrate

A had identified this tidal project in the Gulf of Kachchh in

Gujarat. The investigations were formally launched in 1982. Sea bed analysis

and studies for preparation of feasibility report were of highly specialized and

the country. More than twelve

specialized organizations of Govt. of India and Govt. of Gujarat were involved

economic feasibility study has been

completed in a very scientific and systematic manner and the feasibility report

The proposed tidal power scheme envisages an installation of 900 MW

project biggest in the world, located in the Hansthal Creek, 25 Kms. from

The main tidal rockfill barrage of 3.25 Km length was proposed to be

constructed across Hansthal Creek which will accommodate the power house,

It envisages installation of 900 MW capacity comprising of 36 geared bulb

generators units of 25 MW each and 48 sluice gates each of 10 M.

x 12 M. size would generate 1690 Gwh of energy annually. Unfortunately, this

project execution has not been taken up so far because of unknown reasons.

In Jan 2011, the state of Gujarat announced plans to install Asia’s first

scale tidal current power plant; the state government approved

The country's first tidal power generation project is coming up at Durgaduani Creek

. The 3.75 mw capacity Durgaduani Creek tidal energy project is a

technology demonstration project and will span over an area of 4.5 km. (Oct 2008

79

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4.5.6 Tidal Barriers

� Intermittent supply -

systems are less attractive than some other forms of renewable energy.

Global estimates put the price of generation at 13

estimates available)

� Cost - The disadvantages of using tidal and wave energy must be considered

before jumping to conclusion that this renewable, clean resource is the

answer to all our problems. The main detriment is the cost of those plants.

� The altering of the ecosystem at the bay

winter icing and erosion can change the veget

balance. Similar to other ocean energies, tidal energy has several

prerequisites that make it only available in a small number of regions. For a

tidal power plant to produce electricity effectively (about 85% efficiency),

requires a basin or a gulf that has a mean tidal amplitude (the differences

between spring and neap tide) of 7 meters or above. It is also desirable to

have semi-diurnal tides where there are two high and low tides every day. A

barrage across an estuary

area - the environment is changed for many miles upstream and downstream.

Many birds rely on the tide uncovering the mud flats so that they can feed.

There are few suitable sites for tidal barrages.

� Only provides power for around 10 hours each day, when the tide is actually

moving in or out.

� Present designs do not produce a lot of electricity, and barrages across river

estuaries can change the flow of water and, consequently, the habitat for birds

and other wildlife

� Expensive to construct

� Power is often generated when there is little demand for electricity

� Limited construction locations

� Barrages may block outlets to open water. Although locks can be installed,

this is often a slow and expensive process

� Barrages affect fish migration and other wildlife

up to the barrages and are killed by the spinning turbines.

� Fish ladders may be used to allow passage for the fish, but these are never

100% effective.

� Barrages may also destro

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

- Cost and environmental problems, particularly barrag

systems are less attractive than some other forms of renewable energy.

Global estimates put the price of generation at 13-15 cents/kWh (no Indian

estimates available)

The disadvantages of using tidal and wave energy must be considered

ing to conclusion that this renewable, clean resource is the

answer to all our problems. The main detriment is the cost of those plants.

The altering of the ecosystem at the bay - Damages like reduced flushing,

winter icing and erosion can change the vegetation of the area and disrupt the

balance. Similar to other ocean energies, tidal energy has several

prerequisites that make it only available in a small number of regions. For a

tidal power plant to produce electricity effectively (about 85% efficiency),

requires a basin or a gulf that has a mean tidal amplitude (the differences

between spring and neap tide) of 7 meters or above. It is also desirable to

diurnal tides where there are two high and low tides every day. A

barrage across an estuary is very expensive to build, and affects a very wide

the environment is changed for many miles upstream and downstream.

Many birds rely on the tide uncovering the mud flats so that they can feed.

There are few suitable sites for tidal barrages.

provides power for around 10 hours each day, when the tide is actually

Present designs do not produce a lot of electricity, and barrages across river

estuaries can change the flow of water and, consequently, the habitat for birds

Expensive to construct

Power is often generated when there is little demand for electricity

Limited construction locations

Barrages may block outlets to open water. Although locks can be installed,

this is often a slow and expensive process.

Barrages affect fish migration and other wildlife- many fish like salmon swim

up to the barrages and are killed by the spinning turbines.

Fish ladders may be used to allow passage for the fish, but these are never

Barrages may also destroy the habitat of the wildlife living near it

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

Cost and environmental problems, particularly barrage

systems are less attractive than some other forms of renewable energy.

15 cents/kWh (no Indian

The disadvantages of using tidal and wave energy must be considered

ing to conclusion that this renewable, clean resource is the

answer to all our problems. The main detriment is the cost of those plants.

Damages like reduced flushing,

ation of the area and disrupt the

balance. Similar to other ocean energies, tidal energy has several

prerequisites that make it only available in a small number of regions. For a

tidal power plant to produce electricity effectively (about 85% efficiency), it

requires a basin or a gulf that has a mean tidal amplitude (the differences

between spring and neap tide) of 7 meters or above. It is also desirable to

diurnal tides where there are two high and low tides every day. A

is very expensive to build, and affects a very wide

the environment is changed for many miles upstream and downstream.

Many birds rely on the tide uncovering the mud flats so that they can feed.

provides power for around 10 hours each day, when the tide is actually

Present designs do not produce a lot of electricity, and barrages across river

estuaries can change the flow of water and, consequently, the habitat for birds

Power is often generated when there is little demand for electricity

Barrages may block outlets to open water. Although locks can be installed,

many fish like salmon swim

Fish ladders may be used to allow passage for the fish, but these are never

y the habitat of the wildlife living near it

80

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� Barrages may affect the tidal level

navigation, recreation, cause flooding of the shoreline and affect local marine

life

� Tidal plants are expensive to build

� They can only be built on ocean coastlines, which mean that for communities

which are far away from the sea, it's useless.

4.6 Wave Power

Ocean wave energy is captured directly from surface waves or from pressure

fluctuations below the surface. Wave power systems

waves into usable mechanical energy which in lump can be used to generate

electricity. Waves are caused by wind blowing on the surface of the water. Whereas

tidal power relies on the mass movement of the water body, waves act as a

for kinetic energy generated by the wind.

4.6.1 Technology

1. Float Or Buoy Systems

hydraulic pumps. The object can be mounted to a floating raft or to a device fixed on

the ocean bed. A series o

movement is used to run an electrical generator to produce electricity which is then

transmitted ashore by underwater power cables.

2. Oscillating Water Column Devices

the shore enters a column and force air to turn a turbine. The column fills with water

as the wave rises and empties as it descends. In the process, air inside the column

is compressed and heats up, creating energy. This energy is harnessed and sent t

shore by electrical cable.

3. Tapered Channel relies on a shore mounted structure to channel and concentrate

the waves driving them into an elevated reservoir. Water flow out of this reservoir is

used to generate electricity using standard hydropower tec

4.6.2 Potential of Wave energy in India

The potential along the 6000 Km of coast is about 40,000 MW. This energy is

however less intensive than what is available in more northern and southern

latitudes. In India the research and development activity for exploring wave energy

started at the Ocean Engineering Centre, Indian Institute of Technology, Madras in

1982. Primary estimates indicate that the annual wave energy potential along the

Indian coast is between 5 MW to 15 MW per meter, thus a theoretical potential for a

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Barrages may affect the tidal level - the change in tidal level may affect

navigation, recreation, cause flooding of the shoreline and affect local marine

Tidal plants are expensive to build

only be built on ocean coastlines, which mean that for communities

which are far away from the sea, it's useless.

Ocean wave energy is captured directly from surface waves or from pressure

fluctuations below the surface. Wave power systems convert the motion of the

waves into usable mechanical energy which in lump can be used to generate

electricity. Waves are caused by wind blowing on the surface of the water. Whereas

tidal power relies on the mass movement of the water body, waves act as a

for kinetic energy generated by the wind.

1. Float Or Buoy Systems that use the rise and fall of ocean swells to drive

hydraulic pumps. The object can be mounted to a floating raft or to a device fixed on

the ocean bed. A series of anchored buoys rise and fall with the wave. The

movement is used to run an electrical generator to produce electricity which is then

transmitted ashore by underwater power cables.

2. Oscillating Water Column Devices in which the in-and-out motion of wave

the shore enters a column and force air to turn a turbine. The column fills with water

as the wave rises and empties as it descends. In the process, air inside the column

is compressed and heats up, creating energy. This energy is harnessed and sent t

relies on a shore mounted structure to channel and concentrate

the waves driving them into an elevated reservoir. Water flow out of this reservoir is

used to generate electricity using standard hydropower technologies.

Potential of Wave energy in India

The potential along the 6000 Km of coast is about 40,000 MW. This energy is

however less intensive than what is available in more northern and southern

latitudes. In India the research and development activity for exploring wave energy

Engineering Centre, Indian Institute of Technology, Madras in

1982. Primary estimates indicate that the annual wave energy potential along the

Indian coast is between 5 MW to 15 MW per meter, thus a theoretical potential for a

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

the change in tidal level may affect

navigation, recreation, cause flooding of the shoreline and affect local marine

only be built on ocean coastlines, which mean that for communities

Ocean wave energy is captured directly from surface waves or from pressure

convert the motion of the

waves into usable mechanical energy which in lump can be used to generate

electricity. Waves are caused by wind blowing on the surface of the water. Whereas

tidal power relies on the mass movement of the water body, waves act as a carrier

that use the rise and fall of ocean swells to drive

hydraulic pumps. The object can be mounted to a floating raft or to a device fixed on

f anchored buoys rise and fall with the wave. The

movement is used to run an electrical generator to produce electricity which is then

out motion of waves at

the shore enters a column and force air to turn a turbine. The column fills with water

as the wave rises and empties as it descends. In the process, air inside the column

is compressed and heats up, creating energy. This energy is harnessed and sent to

relies on a shore mounted structure to channel and concentrate

the waves driving them into an elevated reservoir. Water flow out of this reservoir is

hnologies.

The potential along the 6000 Km of coast is about 40,000 MW. This energy is

however less intensive than what is available in more northern and southern

latitudes. In India the research and development activity for exploring wave energy

Engineering Centre, Indian Institute of Technology, Madras in

1982. Primary estimates indicate that the annual wave energy potential along the

Indian coast is between 5 MW to 15 MW per meter, thus a theoretical potential for a

81

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jaro education

coast line of nearly 6000 KW

However, the realistic and economical potential is likely to be considerably less.

Status

Prototype

2.6.3 Barriers

� Depends on the waves

� Global estimates put the price of power generation from Waves at 15

cents/kWh (no Indian cost estimates available)

� Needs a suitable site, where waves are consistently strong

� Some designs are noisy

� Must be able to withstand very rough weather

� Visual impact if above water or on shore

� Poses a possible threat to navigation from collisions due to the low profile of

the wave energy devices a

by direct sighting or by radar

� May interfere with mooring and anchorage lines with commercial and sport

fishing

� May degrade scenic ocean front views from wave energy devices located

near or on the shore, and

4.7 Biofuel

Biofuel development in India centers mainly around the cultivation and processing of

Jatropha plant seeds which are very rich in oil (40%). The drivers for this are historic,

functional, economic, environmental, moral and political. Jatropha oil has been used

in India for several decades as biodiesel for the diesel fuel requirements of remote

rural and forest communities; jatropha oil can be used directly after extraction (i.e.

without refining) in diesel generators and engines. Jatropha has the potential to

provide economic benefits at the local level since under suitable management it has

the potential to grow in dry marginal non

and farmers to leverage non

Jatropha oil production delivers economic benefits to India on the macroeconomic or

national level as it reduces the nation's fossil fuel import bill for diesel production (the

main transportation fuel used in the country); minimizing the expenditure of India's

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

coast line of nearly 6000 KW works out to 40000-60000 MW approximately.

However, the realistic and economical potential is likely to be considerably less.

Location Installed

Capacity

Thiruruvananthpuram,

Vizhinjam Fisheries Harbor

150 Kw Plant

Table 16: Wave energy projects in India

Depends on the waves – variable energy supply

Global estimates put the price of power generation from Waves at 15

cents/kWh (no Indian cost estimates available)

site, where waves are consistently strong

Some designs are noisy

Must be able to withstand very rough weather

Visual impact if above water or on shore

Poses a possible threat to navigation from collisions due to the low profile of

the wave energy devices above the water, making them undetectable either

by direct sighting or by radar

May interfere with mooring and anchorage lines with commercial and sport

May degrade scenic ocean front views from wave energy devices located

near or on the shore, and from onshore overhead electric transmission lines.

Biofuel development in India centers mainly around the cultivation and processing of

Jatropha plant seeds which are very rich in oil (40%). The drivers for this are historic,

ic, environmental, moral and political. Jatropha oil has been used

in India for several decades as biodiesel for the diesel fuel requirements of remote

rural and forest communities; jatropha oil can be used directly after extraction (i.e.

in diesel generators and engines. Jatropha has the potential to

provide economic benefits at the local level since under suitable management it has

the potential to grow in dry marginal non-agricultural lands, thereby allowing villagers

erage non-farm land for income generation. As well, increased

Jatropha oil production delivers economic benefits to India on the macroeconomic or

national level as it reduces the nation's fossil fuel import bill for diesel production (the

on fuel used in the country); minimizing the expenditure of India's

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

60000 MW approximately.

However, the realistic and economical potential is likely to be considerably less.

Installed

Capacity

150 Kw Plant

Global estimates put the price of power generation from Waves at 15-17

Poses a possible threat to navigation from collisions due to the low profile of

bove the water, making them undetectable either

May interfere with mooring and anchorage lines with commercial and sport-

May degrade scenic ocean front views from wave energy devices located

from onshore overhead electric transmission lines.

Biofuel development in India centers mainly around the cultivation and processing of

Jatropha plant seeds which are very rich in oil (40%). The drivers for this are historic,

ic, environmental, moral and political. Jatropha oil has been used

in India for several decades as biodiesel for the diesel fuel requirements of remote

rural and forest communities; jatropha oil can be used directly after extraction (i.e.

in diesel generators and engines. Jatropha has the potential to

provide economic benefits at the local level since under suitable management it has

agricultural lands, thereby allowing villagers

farm land for income generation. As well, increased

Jatropha oil production delivers economic benefits to India on the macroeconomic or

national level as it reduces the nation's fossil fuel import bill for diesel production (the

on fuel used in the country); minimizing the expenditure of India's

82

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foreign-currency reserves for fuel allowing India to increase its growing foreign

currency reserves (which can be better spent on capital expenditures for industrial

inputs and production). And since Jatropha oil is carbon

production will improve the country's carbon emissions profile. Finally, since no food

producing farmland is required for producing this biofuel (unlike corn or sugar cane

ethanol, or palm oil diesel)

acceptable choice among India's current biofuel options; it has no known negative

impact on the production of the massive amounts grains and other vital agriculture

goods India produces to meet the food r

1.1 Billion people as of 2008). Other biofuels which displace food crops from viable

agricultural land such as corn ethanol or palm biodiesel have caused serious price

increases for basic food grains and edible

India's total biodiesel requirement is projected to grow to 3.6 Million Metric Tons in

2011-12, with the positive performance of the domestic automobile industry. Analysis

from Frost & Sullivan, Strategic Analysis of the Indi

the market is an emerging one and has a long way to go before it catches up with

global competitors.

The Government is currently implementing an ethanol

considering initiatives in the form of mandate

the rising population, and the growing energy demand from the transport sector,

biofuels can be assured of a significant market in India. On 12 September 2008, the

Indian Government announced its 'National Biofuel

India's diesel demand with fuel derived from plants. That will mean setting aside

140,000 square kilometres of land. Presently fuel yielding plants cover less than

5,000 square kilometres.

4.7.1 Economics of biodiesel produ

Processing large quantities of oil and the consequent production of glycerol will likely

depress the price of glycerol. If new applications are found to create additional

demand for glycerol, its price could be stabilized. The above tab

cost of the feed material is the dominating factor in determining the production cost

of biodiesel. Even if we neglect the credit for glycerol recovery and sale, the cost of

biodiesel from Jatropha oil at Rs. 21/litre ($0.47/litre) is ver

manufacturing cost of petroleum diesel.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

currency reserves for fuel allowing India to increase its growing foreign

currency reserves (which can be better spent on capital expenditures for industrial

. And since Jatropha oil is carbon-neutral, large

production will improve the country's carbon emissions profile. Finally, since no food

producing farmland is required for producing this biofuel (unlike corn or sugar cane

ethanol, or palm oil diesel), it is considered the most politically and morally

acceptable choice among India's current biofuel options; it has no known negative

impact on the production of the massive amounts grains and other vital agriculture

goods India produces to meet the food requirements of its massive population (circa

1.1 Billion people as of 2008). Other biofuels which displace food crops from viable

agricultural land such as corn ethanol or palm biodiesel have caused serious price

increases for basic food grains and edible oils in other countries.

India's total biodiesel requirement is projected to grow to 3.6 Million Metric Tons in

12, with the positive performance of the domestic automobile industry. Analysis

Strategic Analysis of the Indian Biofuels Industry

the market is an emerging one and has a long way to go before it catches up with

The Government is currently implementing an ethanol-blending program and

considering initiatives in the form of mandates for biodiesel. Due to these strategies,

the rising population, and the growing energy demand from the transport sector,

biofuels can be assured of a significant market in India. On 12 September 2008, the

Indian Government announced its 'National Biofuel Policy'. It aims to meet 20% of

India's diesel demand with fuel derived from plants. That will mean setting aside

140,000 square kilometres of land. Presently fuel yielding plants cover less than

Economics of biodiesel production from Jatropha

Processing large quantities of oil and the consequent production of glycerol will likely

depress the price of glycerol. If new applications are found to create additional

demand for glycerol, its price could be stabilized. The above table shows that the

cost of the feed material is the dominating factor in determining the production cost

of biodiesel. Even if we neglect the credit for glycerol recovery and sale, the cost of

biodiesel from Jatropha oil at Rs. 21/litre ($0.47/litre) is very competitive with the

manufacturing cost of petroleum diesel.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

currency reserves for fuel allowing India to increase its growing foreign

currency reserves (which can be better spent on capital expenditures for industrial

neutral, large-scale

production will improve the country's carbon emissions profile. Finally, since no food

producing farmland is required for producing this biofuel (unlike corn or sugar cane

, it is considered the most politically and morally

acceptable choice among India's current biofuel options; it has no known negative

impact on the production of the massive amounts grains and other vital agriculture

equirements of its massive population (circa

1.1 Billion people as of 2008). Other biofuels which displace food crops from viable

agricultural land such as corn ethanol or palm biodiesel have caused serious price

India's total biodiesel requirement is projected to grow to 3.6 Million Metric Tons in

12, with the positive performance of the domestic automobile industry. Analysis

an Biofuels Industry, reveals that

the market is an emerging one and has a long way to go before it catches up with

blending program and

s for biodiesel. Due to these strategies,

the rising population, and the growing energy demand from the transport sector,

biofuels can be assured of a significant market in India. On 12 September 2008, the

Policy'. It aims to meet 20% of

India's diesel demand with fuel derived from plants. That will mean setting aside

140,000 square kilometres of land. Presently fuel yielding plants cover less than

Processing large quantities of oil and the consequent production of glycerol will likely

depress the price of glycerol. If new applications are found to create additional

le shows that the

cost of the feed material is the dominating factor in determining the production cost

of biodiesel. Even if we neglect the credit for glycerol recovery and sale, the cost of

y competitive with the

83

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Table

4.7.2 Project operation and crediting period

The project will operate at 70 per cent capacity during the first

cent from year two onwards. The carbon emission reduction crediting periods are

organized into three seven-

4.7.3 Project cost and financing

The capital cost to be raised through issuance of share

million.

4.7.4 Project status

The transesterification plant construction and commissioning is expected to be

completed in coming years. Availability of feedstock is the biggest factor affecting the

start of operations. Since it wi

grow and produce seeds, the initial oil feedstock has to be procured from Jatropha or

animal fats. In the case of feed from animal fats, additional pre

necessary to neutralize the free fatty

react with the alkaline catalyst and adversely affect the transesterification process.

Approval from the CDM Executive Board for certified emission reductions is

expected soon.

4.7.5 Biodiesel industry growth

India has just finished the pilot stage and is entering the incubation stage. The EU is

well into the growth phase. For instance, the UK is setting up two plants totalling

350,000 t/year capacities in 2005 alone, and a few more are planned in the near

future. Of course the hectic growth pace in Europe is fuelled by the European

Commission mandate that biofuels comprise 2 per cent of the fuel consumption by

2005 and 5.75 per cent by 2010.

Diesel consumption in India is estimated at 66.91 million tons in

this figure, the biodiesel required for 20 per cent blending would be 13.38 million

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

Table 17: Summary of cost of biodiesel production

.7.2 Project operation and crediting period

The project will operate at 70 per cent capacity during the first year and at 100 per

cent from year two onwards. The carbon emission reduction crediting periods are

-year intervals, for a total of 21 years.

Project cost and financing

The capital cost to be raised through issuance of shares is estimated at Rs. 171

The transesterification plant construction and commissioning is expected to be

. Availability of feedstock is the biggest factor affecting the

start of operations. Since it will take five years for the Pongamia Pinnata trees to

grow and produce seeds, the initial oil feedstock has to be procured from Jatropha or

animal fats. In the case of feed from animal fats, additional pre

necessary to neutralize the free fatty acids present in fats; otherwise these acids will

react with the alkaline catalyst and adversely affect the transesterification process.

Approval from the CDM Executive Board for certified emission reductions is

wth

India has just finished the pilot stage and is entering the incubation stage. The EU is

well into the growth phase. For instance, the UK is setting up two plants totalling

350,000 t/year capacities in 2005 alone, and a few more are planned in the near

future. Of course the hectic growth pace in Europe is fuelled by the European

Commission mandate that biofuels comprise 2 per cent of the fuel consumption by

2005 and 5.75 per cent by 2010.

Diesel consumption in India is estimated at 66.91 million tons in 2011

this figure, the biodiesel required for 20 per cent blending would be 13.38 million

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

year and at 100 per

cent from year two onwards. The carbon emission reduction crediting periods are

s is estimated at Rs. 171

The transesterification plant construction and commissioning is expected to be

. Availability of feedstock is the biggest factor affecting the

ll take five years for the Pongamia Pinnata trees to

grow and produce seeds, the initial oil feedstock has to be procured from Jatropha or

animal fats. In the case of feed from animal fats, additional pre-treatment is

acids present in fats; otherwise these acids will

react with the alkaline catalyst and adversely affect the transesterification process.

Approval from the CDM Executive Board for certified emission reductions is

India has just finished the pilot stage and is entering the incubation stage. The EU is

well into the growth phase. For instance, the UK is setting up two plants totalling

350,000 t/year capacities in 2005 alone, and a few more are planned in the near

future. Of course the hectic growth pace in Europe is fuelled by the European

Commission mandate that biofuels comprise 2 per cent of the fuel consumption by

2011-2012. Given

this figure, the biodiesel required for 20 per cent blending would be 13.38 million

84

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jaro education

tons. Obtaining biodiesel in this amount is quite a daunting task and involves about

14 million hectares of land under Jatropha cultivation. To put it in p

land currently under sugarcane cultivation is 4.36 million hectares. India may have to

import biodiesel or vegetable oil feedstock or even oilseeds.

In conclusion, the biofuels industry is poised to make important contributions to

meeting India’s energy needs by supplying clean domestic fuel. The ethanol industry

is mature, but with efficiency improvements, the use of alternate crops and the

deployment of new technologies like enzymatic fermentation of cellulosic material, it

can easily supply the ethanol requirements for 5 per cent or even 10 per cent ethanol

blending. As for biodiesel, R&D work on high oil

and pilot projects for plantations and transesterification plants are under way. The

industry is in the incubation stage, but large

infrastructure for oilseed collection and oil extraction must be established before the

industry can be placed on a rapid

as could income generated from the sale of certified emission reductions from

biodiesel projects approved by the CDM executive board.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

tons. Obtaining biodiesel in this amount is quite a daunting task and involves about

14 million hectares of land under Jatropha cultivation. To put it in p

land currently under sugarcane cultivation is 4.36 million hectares. India may have to

import biodiesel or vegetable oil feedstock or even oilseeds.

Figure 22: Biodiesel industry growth curve

conclusion, the biofuels industry is poised to make important contributions to

meeting India’s energy needs by supplying clean domestic fuel. The ethanol industry

is mature, but with efficiency improvements, the use of alternate crops and the

new technologies like enzymatic fermentation of cellulosic material, it

can easily supply the ethanol requirements for 5 per cent or even 10 per cent ethanol

blending. As for biodiesel, R&D work on high oil-yielding Jatropha seeds is complete

ojects for plantations and transesterification plants are under way. The

industry is in the incubation stage, but large-scale Jatropha cultivation and the

infrastructure for oilseed collection and oil extraction must be established before the

be placed on a rapid-growth track. In the meantime imports could help,

as could income generated from the sale of certified emission reductions from

biodiesel projects approved by the CDM executive board.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

tons. Obtaining biodiesel in this amount is quite a daunting task and involves about

14 million hectares of land under Jatropha cultivation. To put it in perspective, the

land currently under sugarcane cultivation is 4.36 million hectares. India may have to

conclusion, the biofuels industry is poised to make important contributions to

meeting India’s energy needs by supplying clean domestic fuel. The ethanol industry

is mature, but with efficiency improvements, the use of alternate crops and the

new technologies like enzymatic fermentation of cellulosic material, it

can easily supply the ethanol requirements for 5 per cent or even 10 per cent ethanol

yielding Jatropha seeds is complete

ojects for plantations and transesterification plants are under way. The

scale Jatropha cultivation and the

infrastructure for oilseed collection and oil extraction must be established before the

growth track. In the meantime imports could help,

as could income generated from the sale of certified emission reductions from

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5. CONCLUSION

India has a severe electric

meet the demand of its rapidly growing economy. The country’s overall power

deficit—11 percent in 2009

100,000 villages (17 percent) remain unelectr

are without electricity coverage. India’s per capita consumption (639 kWh) is one of

the lowest in the world.

The Integrated Energy Policy Report, 2006, estimates that India will need to increase

primary energy supply by three to four times and electricity generation by five to six

times to meet the lifeline per capita consumption needs of its citizens and to sustain

a 8 percent growth rate. The government plans to provide universal access and to

increase per capita consumption to 1,000 kWh by 2012. This translates into a

required generation capacity of 800GW compared to 160GW today. The need to

bring on new generation capacity

transmission and distribution

Renewable energy can be an important part of India’s plan not only to add new

capacity but also to increase energy security, address environmental concerns, and

lead the massive market for renewable energy. More than three

electricity production depe

India’s coal reserves are projected to run out in 45 years. India already imports 10

percent of its coal for electricity generation, and the figure is projected to increase to

16 percent by 2011.

Like coal, gas and oil have witnessed considerable price volatility in recent years.

Development of renewable energy sources, which are indigenous and distributed

and have low marginal costs of generation, can increase energy security by

diversifying supply, reducing import dependence, and mitigating fuel price volatility.

Accelerating the use of renewable energy is also indispensable if India is to meet its

commitments to reduce its carbon intensity. The power sector contributes nearly half

of the country’s carbon emissions. On average, every 1GW of additional renewable

energy capacity reduces CO2 emissions by 3.3 million tons a year. Local ancillary

benefits in terms of reduced mortality and morbidity from lower particulate

concentrations are estimated at 334 li

Renewable energy development can also be an important tool for spurring regional

economic development, particularly for many underdeveloped states, which have the

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

India has a severe electricity shortage. It needs massive additions in capacity to

meet the demand of its rapidly growing economy. The country’s overall power

11 percent in 2009—has risen steadily, from 8.4 percent in 2006. About

100,000 villages (17 percent) remain unelectrified, and almost 400 million Indians

are without electricity coverage. India’s per capita consumption (639 kWh) is one of

The Integrated Energy Policy Report, 2006, estimates that India will need to increase

by three to four times and electricity generation by five to six

times to meet the lifeline per capita consumption needs of its citizens and to sustain

a 8 percent growth rate. The government plans to provide universal access and to

sumption to 1,000 kWh by 2012. This translates into a

required generation capacity of 800GW compared to 160GW today. The need to

bring on new generation capacity—and to improve operational efficiency in

transmission and distribution—is clear.

rgy can be an important part of India’s plan not only to add new

capacity but also to increase energy security, address environmental concerns, and

lead the massive market for renewable energy. More than three-

electricity production depends on coal and natural gas. At current usage levels,

India’s coal reserves are projected to run out in 45 years. India already imports 10

percent of its coal for electricity generation, and the figure is projected to increase to

oal, gas and oil have witnessed considerable price volatility in recent years.

Development of renewable energy sources, which are indigenous and distributed

and have low marginal costs of generation, can increase energy security by

ucing import dependence, and mitigating fuel price volatility.

Accelerating the use of renewable energy is also indispensable if India is to meet its

commitments to reduce its carbon intensity. The power sector contributes nearly half

on emissions. On average, every 1GW of additional renewable

energy capacity reduces CO2 emissions by 3.3 million tons a year. Local ancillary

benefits in terms of reduced mortality and morbidity from lower particulate

concentrations are estimated at 334 lives saved/million tons of carbon abated.

Renewable energy development can also be an important tool for spurring regional

economic development, particularly for many underdeveloped states, which have the

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

ity shortage. It needs massive additions in capacity to

meet the demand of its rapidly growing economy. The country’s overall power

has risen steadily, from 8.4 percent in 2006. About

ified, and almost 400 million Indians

are without electricity coverage. India’s per capita consumption (639 kWh) is one of

The Integrated Energy Policy Report, 2006, estimates that India will need to increase

by three to four times and electricity generation by five to six

times to meet the lifeline per capita consumption needs of its citizens and to sustain

a 8 percent growth rate. The government plans to provide universal access and to

sumption to 1,000 kWh by 2012. This translates into a

required generation capacity of 800GW compared to 160GW today. The need to

and to improve operational efficiency in

rgy can be an important part of India’s plan not only to add new

capacity but also to increase energy security, address environmental concerns, and

-fourths of India’s

nds on coal and natural gas. At current usage levels,

India’s coal reserves are projected to run out in 45 years. India already imports 10

percent of its coal for electricity generation, and the figure is projected to increase to

oal, gas and oil have witnessed considerable price volatility in recent years.

Development of renewable energy sources, which are indigenous and distributed

and have low marginal costs of generation, can increase energy security by

ucing import dependence, and mitigating fuel price volatility.

Accelerating the use of renewable energy is also indispensable if India is to meet its

commitments to reduce its carbon intensity. The power sector contributes nearly half

on emissions. On average, every 1GW of additional renewable

energy capacity reduces CO2 emissions by 3.3 million tons a year. Local ancillary

benefits in terms of reduced mortality and morbidity from lower particulate

ves saved/million tons of carbon abated.

Renewable energy development can also be an important tool for spurring regional

economic development, particularly for many underdeveloped states, which have the

86

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jaro education

greatest potential for developing such resources. It

supply to foster domestic industrial development, attract new investments, and

hence serve as an important employment growth engine, generating additional

income.

Renewable energy is seen as the next big technology

transform the trillion dollar energy industry across the world. China seized this

initiative to become a world leader in manufacturing renewable energy equipment.

India’s early and aggressive incentives for the wind sector h

development of world-class players. Investing in renewable energy would enable

India to develop globally competitive industries and technologies that can provide

new opportunities for growth and leadership by corporate India.

Almost 400 million Indians

have access to electricity. This power deficit, which includes about 100,000 un

electrified villages, places India’s per capita electricity consumption at just 639

kWh—among the world’s lowes

The access gap is complicated by another problem: more than three

India’s electricity is produced by burning coal and natural gas. With India’s rapidly

growing population— currently 1.1 billion

recent years, its carbon emissions were over 1.6 billion tons in 2007, among the

world’s highest.

This is unsustainable, not only from a climate change standpoint, but also because

India’s coal reserves are projected to run out in four decades. India alr

about 10% of its coal for electricity generation, and this is expected to reach 16% this

year.

India’s national and state governments are taking action to correct this vicious circle

of power deficits and mounting carbon emissions. The nation

target of increasing renewable energy generation by 40 gigawatts (GW) by 2022, up

from current capacity of 15 GW, itself a threefold increase since 2005. Still,

renewable sources account for just 3.5% of India’s energy generation a

the scale of the challenge is formidable. The cost of meeting it will be high unless the

tremendous innovative capacity of India and market reforms can be coordinated to

make India a clean energy leader.

An excellent new study, Unleashing the Potential of Renewable Energy in India,

produced by a World Bank team led by my colleague Gevorg Sargsyan, and

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

greatest potential for developing such resources. It can provide secure electricity

supply to foster domestic industrial development, attract new investments, and

hence serve as an important employment growth engine, generating additional

Renewable energy is seen as the next big technology industry, with the potential to

transform the trillion dollar energy industry across the world. China seized this

initiative to become a world leader in manufacturing renewable energy equipment.

India’s early and aggressive incentives for the wind sector h

class players. Investing in renewable energy would enable

India to develop globally competitive industries and technologies that can provide

new opportunities for growth and leadership by corporate India.

ion Indians—about a third of the subcontinent’s population

have access to electricity. This power deficit, which includes about 100,000 un

electrified villages, places India’s per capita electricity consumption at just 639

among the world’s lowest rates.

The access gap is complicated by another problem: more than three

India’s electricity is produced by burning coal and natural gas. With India’s rapidly

currently 1.1 billion—along with its strong economic growth in

recent years, its carbon emissions were over 1.6 billion tons in 2007, among the

This is unsustainable, not only from a climate change standpoint, but also because

India’s coal reserves are projected to run out in four decades. India alr

about 10% of its coal for electricity generation, and this is expected to reach 16% this

India’s national and state governments are taking action to correct this vicious circle

of power deficits and mounting carbon emissions. The national government has set a

target of increasing renewable energy generation by 40 gigawatts (GW) by 2022, up

from current capacity of 15 GW, itself a threefold increase since 2005. Still,

renewable sources account for just 3.5% of India’s energy generation a

the scale of the challenge is formidable. The cost of meeting it will be high unless the

tremendous innovative capacity of India and market reforms can be coordinated to

make India a clean energy leader.

An excellent new study, Unleashing the Potential of Renewable Energy in India,

produced by a World Bank team led by my colleague Gevorg Sargsyan, and

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

can provide secure electricity

supply to foster domestic industrial development, attract new investments, and

hence serve as an important employment growth engine, generating additional

industry, with the potential to

transform the trillion dollar energy industry across the world. China seized this

initiative to become a world leader in manufacturing renewable energy equipment.

India’s early and aggressive incentives for the wind sector have led to the

class players. Investing in renewable energy would enable

India to develop globally competitive industries and technologies that can provide

about a third of the subcontinent’s population—don’t

have access to electricity. This power deficit, which includes about 100,000 un-

electrified villages, places India’s per capita electricity consumption at just 639

The access gap is complicated by another problem: more than three-quarters of

India’s electricity is produced by burning coal and natural gas. With India’s rapidly-

along with its strong economic growth in

recent years, its carbon emissions were over 1.6 billion tons in 2007, among the

This is unsustainable, not only from a climate change standpoint, but also because

India’s coal reserves are projected to run out in four decades. India already imports

about 10% of its coal for electricity generation, and this is expected to reach 16% this

India’s national and state governments are taking action to correct this vicious circle

al government has set a

target of increasing renewable energy generation by 40 gigawatts (GW) by 2022, up

from current capacity of 15 GW, itself a threefold increase since 2005. Still,

renewable sources account for just 3.5% of India’s energy generation at present, so

the scale of the challenge is formidable. The cost of meeting it will be high unless the

tremendous innovative capacity of India and market reforms can be coordinated to

An excellent new study, Unleashing the Potential of Renewable Energy in India,

produced by a World Bank team led by my colleague Gevorg Sargsyan, and

87

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jaro education

supported by the Energy Sector Management Assistance Program (ESMAP),

estimates that achieving the Indian

next decade will cost $10 -

on developing low-diversity, low

cost estimate is based on a renewable energy

high-cost sources like solar. Spread over 10 years, the low

reach. And if fossil fuel prices continue to rise

higher-cost scenarios grow more viable.

But power generation is just part of the challenge involved in exploiting India’s

estimated 150 GW of renewable energy potential; the other challenge is

transmission and distribution of the power to far flung areas of the country. A $1

billion World Bank loan approved in 2009 is helping to turn this around. It supports

implementation of a plan by India’s national power transmission utility, Powergrid

Corporation, to strengthen five transmission systems in the northern, western and

southern regions of the countr

surplus regions to towns and villages in under

also increase the integration of national grid, resulting in a more reliable system and

reduced transmission losses.

By 2050, some estimates put India’s power generation requirements at one terawatt,

or one trillion watts. This would be a six

power capacity. It is a big challenge. But it is a big opportunity too, for Indian

companies, for the creation of Indian jobs, for greater Indian prosperity. Because

most of India’s power plants have yet to be built, India has options that many

countries can only dream of. Instead of being locked into following a high

energy track, India can lead the way to a lower

India is already home to Suzlon, the third leading wind energy installer worldwide,

with almost 10% of the total global market. Other innovative companies in solar

energy, biomass energy produ

vibrant entrepreneurial sector. In addition, India’s waterways offer abundant small

hydropower potential that remains untapped because the transmission and

distribution capacity is inadequate.

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

supported by the Energy Sector Management Assistance Program (ESMAP),

estimates that achieving the Indian government’s renewable energy goals for the

$64 billion in subsidies. The lower-cost scenario is based

diversity, low-cost renewable energy sources, while the higher

cost estimate is based on a renewable energy mix that is high-diversity, including

cost sources like solar. Spread over 10 years, the low-cost option is within

reach. And if fossil fuel prices continue to rise—free of distorting subsidies

cost scenarios grow more viable.

power generation is just part of the challenge involved in exploiting India’s

estimated 150 GW of renewable energy potential; the other challenge is

transmission and distribution of the power to far flung areas of the country. A $1

approved in 2009 is helping to turn this around. It supports

implementation of a plan by India’s national power transmission utility, Powergrid

Corporation, to strengthen five transmission systems in the northern, western and

southern regions of the country. This will enable transfer of power from energy

surplus regions to towns and villages in under-served regions of the country. It will

also increase the integration of national grid, resulting in a more reliable system and

reduced transmission losses.

2050, some estimates put India’s power generation requirements at one terawatt,

or one trillion watts. This would be a six-fold increase in India’s current installed

power capacity. It is a big challenge. But it is a big opportunity too, for Indian

ies, for the creation of Indian jobs, for greater Indian prosperity. Because

most of India’s power plants have yet to be built, India has options that many

countries can only dream of. Instead of being locked into following a high

ia can lead the way to a lower-carbon, renewable energy path.

India is already home to Suzlon, the third leading wind energy installer worldwide,

with almost 10% of the total global market. Other innovative companies in solar

energy, biomass energy production, and energy efficiency are growing in India’s

vibrant entrepreneurial sector. In addition, India’s waterways offer abundant small

hydropower potential that remains untapped because the transmission and

distribution capacity is inadequate.

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

supported by the Energy Sector Management Assistance Program (ESMAP),

government’s renewable energy goals for the

cost scenario is based

cost renewable energy sources, while the higher-

diversity, including

cost option is within

free of distorting subsidies— the

power generation is just part of the challenge involved in exploiting India’s

estimated 150 GW of renewable energy potential; the other challenge is

transmission and distribution of the power to far flung areas of the country. A $1-

approved in 2009 is helping to turn this around. It supports

implementation of a plan by India’s national power transmission utility, Powergrid

Corporation, to strengthen five transmission systems in the northern, western and

y. This will enable transfer of power from energy

served regions of the country. It will

also increase the integration of national grid, resulting in a more reliable system and

2050, some estimates put India’s power generation requirements at one terawatt,

fold increase in India’s current installed

power capacity. It is a big challenge. But it is a big opportunity too, for Indian

ies, for the creation of Indian jobs, for greater Indian prosperity. Because

most of India’s power plants have yet to be built, India has options that many

countries can only dream of. Instead of being locked into following a high-carbon

carbon, renewable energy path.

India is already home to Suzlon, the third leading wind energy installer worldwide,

with almost 10% of the total global market. Other innovative companies in solar

ction, and energy efficiency are growing in India’s

vibrant entrepreneurial sector. In addition, India’s waterways offer abundant small

hydropower potential that remains untapped because the transmission and

88

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jaro education

6. BIBLIOGRAPHY

Web Links

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2. http://en.wikipedia.org/wiki/Biofuel_in_India

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4. http://www.indiasolar.com/survey

5. http://www.triplepundit.com

6. http://www.prlog.org/11363349

wind-power-as-viable-solution.html

7. http://uk.ibtimes.com/articles/20110803/indiagrowing

8. http://www.business-opportunities.biz/2005/02/28/solar

9. http://www.renewableenergyworld.com/rea/news/article/2010/08/indias

opportunities-and-challenges

10. http://www.business-standard.com/india/news/huge

equipment-co/101166/on

11. http://www.greenworldinvestor.com/201

oppurtunity-in-energy-in

12. http://www.eai.in/ref/ae/win/win.html

13. http://www.inwea.org/aboutwind

14. http://www.eai.in/ref/ae/win/business_opportunities.html

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http://www.geda.org.in/other_sources/other_re_sources.htm

http://www.powertoday.co.in/fut4.html

http://www.virtualsciencefair.org/2006/wong6j2/tidal.html

21. http://www.accessv.com/~shawgrp/energy.htm

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www.ese.iitb.ac.in/.../Sceneario%20of%20renewable%20energy%20in%20india(R.B.).pdf

http://www.ioes.saga-u.ac.jp/english/about

24. http://en.wikipedia.org/wiki/Biofuel_in_India

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

http://en.wikipedia.org/wiki/Renewable_energy_in_India

http://en.wikipedia.org/wiki/Biofuel_in_India

http://en.wikipedia.org/wiki/Electricity_sector_in_India

http://www.indiasolar.com/survey-swh.htm

http://www.triplepundit.com

http://www.prlog.org/11363349-solar-power-business-opportunities-in-

solution.html

http://uk.ibtimes.com/articles/20110803/indiagrowing-solar-power-potential.htm

opportunities.biz/2005/02/28/solar-power-business

http://www.renewableenergyworld.com/rea/news/article/2010/08/indias

challenges

andard.com/india/news/huge-solar-power-potential

co/101166/on

http://www.greenworldinvestor.com/2010/05/30/solar-energy-in-india-

in-the-21st-century/

http://www.eai.in/ref/ae/win/win.html

http://www.inwea.org/aboutwindenergy.htm

http://www.eai.in/ref/ae/win/business_opportunities.html

http://www.eai.in/ref/ae/win/policies.html

-energy-news.info/future-renewable-energy-india/

http://mnre.gov.in/prog-smallhydro.htm

http://www.eai.in/ref/ae/oce/oce.html

http://www.geda.org.in/other_sources/other_re_sources.htm

http://www.daviddarling.info/encyclopedia/T/AE_tidal_barrage.html

http://www.geda.org.in/other_sources/other_re_sources.htm

http://www.powertoday.co.in/fut4.html

http://www.virtualsciencefair.org/2006/wong6j2/tidal.html

http://www.accessv.com/~shawgrp/energy.htm

nptel.iitm.ac.in/courses/Webcourse.../pdf/.../student_slides08.pdf

http://www.niot.res.in/projects/desal/desalination_waveenergyin.php

www.ese.iitb.ac.in/.../Sceneario%20of%20renewable%20energy%20in%20india(R.B.).pdf

u.ac.jp/english/about-india-otec_e.html

http://en.wikipedia.org/wiki/Biofuel_in_India

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

-india-solar-and-

potential.htm

business-idea/

http://www.renewableenergyworld.com/rea/news/article/2010/08/indias-solar-

potential-in-india-solar-

-biggest-

india/

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Perspective (Beijing International Renewable Energy Conference)

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6. Renewables 2011 ” Global Stat

7. Renewable Energy in India: Opportunities and Challenges by E&Y

8. Overview of Renewable Energy Potential of India

Institute

9. Energy Policy Scenarios to 2050

10. Energy Policy Scenarios to 2050

11. Overview Of Small Hydro Power Development In

Kumar Kesharwani

12. Small Hydro Potential In India

13. Making solar thermal power generation in India a reality

technologies, opportunities and chal

14. Offshore wind Power In India “

15. India’s Renewable Energy Sector

PROJECT REPORT: Challenges & Opportunities “Renewable energy in Indian Perspective

http://www.renewableenergyworld.com/rea/news/article/2011/02/indias

prospects

http://blogs.worldbank.org/climatechange/node/760

India

Indian Renewable Energy Status Report Background Report for DIREC 2010

Increasing Global Renewable Energy Market Share, Recent Trends and

Beijing International Renewable Energy Conference)

Energy Revolution “A Sustainable Global Energy Outlook

Renewables 2011 ” Global Status Report”

Renewable Energy in India: Opportunities and Challenges by E&Y

Overview of Renewable Energy Potential of India by Global Energy Network

Energy Policy Scenarios to 2050 by World Energy Council

Energy Policy Scenarios to 2050: Issues and options Overview Of Small Hydro Power Development In Himalayan

Small Hydro Potential In India by R.Venkateswaram

Making solar thermal power generation in India a reality

technologies, opportunities and challenges

Offshore wind Power In India “Opportunities And Challenges”

India’s Renewable Energy Sector - Potential and Investment Opportunities

PROJECT REPORT: Challenges & Opportunities For Renewable energy in Indian Perspective”

icle/2011/02/indias-renewable-

Report for DIREC 2010

Increasing Global Renewable Energy Market Share, Recent Trends and

Beijing International Renewable Energy Conference)

Renewable Energy in India: Opportunities and Challenges by E&Y

by Global Energy Network

Region by Manoj

Making solar thermal power generation in India a reality – Overview of

Opportunities And Challenges”

Potential and Investment Opportunities

90