Initiatives in Transmission Systems Along India – Nepal border September 23, 2008 Kathmandu.

Initiatives in Transmission Systems Along

India – Nepal border

September 23, 2008Kathmandu

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Presentation Structure

Nepal Power Scenario

Cross Border Transmission Links

Muzaffarpur-Dhalkebar Transmission Link

Strengthening of INPS

Issues Technical Regulatory & Commercial

Way Forward

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• Present installed capacity - 617 MW

562 MW is hydropower, mostly Run-of-River Import from India (60-70 MW) thru’ radial links

• Current Deficit (dry winter season) - 150-200 MW

• Nepal Hydropower potential - 83,000 MW

• Economically feasible - 42,000 MW

Nepal’s Power Scenario

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• Projects under development - 23,000 MW

• By 2014-15, Nepal with ongoing & planned HEPs

would have surplus power - 500-700 MW

• India perpetually power deficit, potential exists for

exchange of power between India & Nepal

• Schedule for exchange of powerFirst 5 yrs – for export to Nepal - 100 - 250 MW

Beyond 5 yrs – Nepal to export - 500 - 700 MW

Robust Transmission Link required between India & Nepal

Nepal’s Power Scenario (contd..)

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Issues in Hydro Power Development

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• Large Projects (> 200 MW)

• Large investments required

• Complicated structuring

• Commensurate availability of load

• Have to look for export markets

• Would generally require dedicated

transmission lines

Issues in Hydro Power Development

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• Small & Medium Projects (< 200 MW)

• Significant potential of such projects• To develop optimal economic capacity we need

seasonal/ part exports - cannot afford dedicated transmission lines

• To that end, we together with NEA are working on the Indo-Nepal interconnection

• Interconnection expected to give a boost to such project which would help meet domestic demands with export of surplus power

Issues in Hydro Power Development

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Cross Border Transmission Links

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Transmission Link Details

SUNAULI

ANANDNAGAR

GORAKHPUR

MOTIHARI

MUZAFFARPUR

SITAMARHI

RAMNAGAR

BETTIAH

PURNEA

N E P A L

I N D I A

KALIGANDAKI

MARSYANGDIANDHI KHOLA

MODI KHOLA

BHOTEKOSHI

SUNKOSHI

MIDDLE

SETI

TRISULI

DEVIGHATINDRAWATI-III

PANAUTI

KHIMTIKULEKHANI-I

KULEKHANI-IIGANDAK

JHIMRUK CHILIME

C H I N A

LEGEND

132 kV TRANSMISSION LINE

PROPOSED HYDRO-POWER STATION

INTERNATIONAL BORDER

ZONAL BORDER

ARUN 3

LOWER ARUN

KABELI "A"

KANKAI

RAHUGHAT

LIKHU-IV

UPPER MARSYANGDI

KHIMTI-II

UPPER SETI

UPPER TAMAKOSHI

LOWER

UPPER KARNALI

132/ 220 kV LINE ANALYZED IN THIS STUDY

EXISTING HYDRO-POWER STATION

TO SILIGURI

BHOTEKOSHI

MARSYANGDI

LAHAN

DUHABI ANARMANI

DHALKEBAR

HETAUDA

BHARATPURBARDGHAT

BUTWALSHIVPUR

LAMAHI

KOHALPUR

KATHMANDU

POKHARA

BIRGUNJ

Phase 1

NEA jointly with IL&FS is working for setting up Cross Border Transmission links for exchange of power from/to Nepal.

The following four transmission links identified for implementation in phases:

Sr. No.

Transmission Line Length in India (Approx

Kms)

Length in Nepal

(Approx Kms)

Total Length (Approx Kms)

1 Bhutwal - Gorakhpur 100 30 130

2 Duhabi - Purnea 90 30 120

3 Dhalkebar - Muzaffarpur

100 45 145

4 Anarmani - Siliguri 40 25 65

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Interconnection details

SUNAULI

ANANDNAGAR

GORAKHPUR

MOTIHARI

MUZAFFARPUR

SITAMARHI

RAMNAGAR

BETTIAH

PURNEA

N E P A L

I N D I A

KALIGANDAKI

MARSYANGDIANDHI KHOLA

MODI KHOLA

BHOTEKOSHI

SUNKOSHI

MIDDLE

SETI

TRISULI

DEVIGHAT

INDRAWATI-III

PANAUTI

KHIMTIKULEKHANI-I

KULEKHANI-IIGANDAK

JHIMRUK CHILIME

C H I N A

LEGEND

132 kV TRANSMISSION LINE

PROPOSED HYDRO-POWER STATION

INTERNATIONAL BORDER

ZONAL BORDER

ARUN 3

LOWER ARUN

KABELI "A"

KANKAI

RAHUGHAT

LIKHU-IV

UPPER MARSYANGDI

KHIMTI-II

UPPER SETI

UPPER TAMAKOSHI

LOWER

UPPER KARNALI

132/ 220 kV LINE ANALYZED IN THIS STUDY

EXISTING HYDRO-POWER STATION

TO SILIGURI

BHOTEKOSHI

MARSYANGDI

LAHAN

DUHABI ANARMANI

DHALKEBAR

HETAUDA

BHARATPURBARDGHAT

BUTWALSHIVPUR

LAMAHI

KOHALPUR

KATHMANDU

POKHARA

BIRGUNJ

Phase I

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In Sep 2007, Indian & Nepalese Authorities decided

multiple connections would create loop flow Presently Nepal system to sustain only one inter-connection.

400 KV, D/C Muzaffarpur - Dhalkebar Tr. line be implemented in first phase

Initially to be charged at 220 kV to operate in synchronous mode.

Development of Interconnections

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400 KV Dhalkebar – Muzaffarpur Transmission Line

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Two JV Companies formed for implementation in respective territories

Cross Border Power Transmission Company (CPTC) for Indian portion - 19 Dec 2006(100% owned subsidiary of IL & FS IDC with a provision for equity participation from NEA(26%), Powergrid(26%), PTC(11%) & others; SJVNL confirmed equity participation up to 26%)

Power Transmission Company Nepal (PTCN) for Nepal portion - 16 Sep 2007

(50:50 JV Company of NEA & IL & FS IDC with a provision to divest 24% of IL & FS IDC equity to FIs & Banks of Nepal)

Project Implementation

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Muzaffarpur (India) to Dhalkhebar (Nepal) 400KV D/C Transmission link – 145 Kms on BOO basis 100 Km - Indian portion by JVC India

Cross Border Power Transmission Pvt. Ltd. (CPTC)

45 KM - Nepal portion by JVC Nepal

Power Transmission Company Nepal Ltd. (PTCN)

Commissioning Schedule End 2010

Estimated Project Cost INR 233 Crs Indian portion INR 151 Crs

Nepalese portion INR 82 Crs

Project details

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Route survey on both sides - February

2008

EoI for EPC for both portions - April 2008

Response received from all leading (13) transmission

EPC firms in India.

Section 68 -MoP approval -16 May 2008

Draft ITSA circulated to NEA - Sep 2008

Project development status

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Issues

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• Synchronous Operation

An AC interconnection between the grids which operate in synchronism – same frequency, voltage, stability & reliability criteria

Suitable for exchange of larger quantum of power economically and convenience of scalability

Regulation and control of power flow is difficult

Both grid systems are to be operated on same real time parameters, for which Dynamic study is in progress.

Technical

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• Strengthening of INPS

Integrated Nepal Power System (“INPS”) mainly comprises of 132 kV and 66 kV lines spanning from East to West in Nepal

Present transmission backbone is weak in certain sections, inadequate to meet the transfer of power during peaking

As a short term measure, following strengthening of INPS required matching with implementation of Dhalkebar - Muzaffarpur Tr. line• Dhalkebar to Bardaghat via Hetauda• Dhalkebar to Duhabi

Technical (contd..)

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Regulatory & Commercial

Issue concerning similar grid code and O & M procedure to be adhered to

Similar tariff mechanism i.e. UI mechanism need to be adopted for power exchange

MoA amongst NEA, PTC India & IL&FS IDC for import & export of power signed on 29 Feb 2008.

NEA to finalise the monthwise power requirement for next 5-7 years & negotiate with PTC India for a commercial arrangement.

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Way Forward

Transmission strengthening of INPS required matching with implementation of Dhalkebar – Muzaffarpur line• Dhalkebar to Bardaghat via Hetauda• Dhalkebar to Duhabi

Completion of Dynamic study and implementation of recommendations thereof.

Finalisation of monthwise power requirement for import of power by NEA for next 5-7 years & negotiate with PTC India for a commercial arrangement.

Beyond 5-7 years, to identify power export & tie up arrangement by PTC India.

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• Present transmission backbone is weak in certain sections, inadequate to meet the transfer of power during peaking as well as receive more than 200MW power from Indian grid

• The proposed plan that is under consideration as a medium/long term solution

• To have a strong EW interconnection• Valley wise development of hydro power with associated

development of transmission meeting the EW interconnection

• Connection of load points to the EW interconnection• Indo-Nepal interconnections to be extended to join the

EW interconnection • IL&FS working with NEA to jointly facilitate this effort

Way Forward

Thank you