Introduction To India's Energy And Proposed Rural Solar-PV Electrification

&Proposed Rural Solar-PV

Electrification

Dr. Najib Altawell

[email protected]

Center for Energy, Petroleum and Mineral Law and Policy (CEPMLP)University of Dundee, Dundee DD1 4HN, Scotland, UK

11 December 2011

Agenda

Introduction

Electricity

Future Outlook

Conclusion

Image source: World Map Photo http://www.worldmapphotos.com/arab-world-map/

Crop waste and/or dung

Wood

Charcoal

Kerosene

Gas, LPG

Electricity

Income

Cost, Cleanliness and Efficiency

Standard of living illustrated in the form of ‘Energy Ladder’ for rural India (Redrawn and edited from the source: Duflo et.al., 2008)

Rural electrification is one of the main issues where additional momentum is needed to accelerate the process, as

Kerosene is still being used for lighting as a result related to lack of electricity

supply in many parts of rural India

Cooking major source of energy (2004 – 2005) represented in the form of percentage usage for households in rural and urban India

(Source: Sengupta R., 2008)

India’s Energy Outlook

India imports large part of its growing energy requirement from other parts of the world,

despite the government’s heavy investment in oil and gas

exploration to help in reducing the dependency on foreign energy sources (EIA, 2010)

Coal, Oil, Natural Gas and Nuclear

Oil (billion Barrels) Natural Gas (Trillion Cubic Feet) (Year 2009) (Year 2009) 5,625 37,960

Renewable Energy (RE) Sources*

*MNES ‘Ministry of non-conventional energy sources’ (2010) Renewable Energy Scenario in Indiahttp://www.indiasolar.com/ren-india.htm 22.10.2010

RE Energy For Rural Areas

The overall renewable energy achievement for the countryside, the government of

India has managed to meet only 1% of the actual energy need for the rural areas,

obtained by the end of the tenth five year plan (Deshmukh A., 2009)

RE & The 11th Five Year Plan Two new schemes related to the field

of renewable energy*

1. Remote Village Renewable Energy Programme (RVREP):

a. Village Energy Security Programme (VESP) b. Remote Village Solar Lighting Programme (RVSLP)

2. Grid-Connected Village Renewable Energy Programme (GVREP):

a. Solar Thermal Systems b. Biogas Plants

*(Baker & McKenzie, 2008)

RE Investment

Incentives by the Indian Government range from grants, subsidy, policies support,

framework for regulatory and legislative aspects, consultations and sources of finances, research and development,

planning and resource assessments and help in upgrading existing energy

generating technologies

India’s Solar Energy Challenges*

Prices are still not within the reach of the low income familiesLow demand for solar systems

Not enough awareness about solar systems and their benefits Lack of subsidy about the scheme in certain parts of the country Lack of knowledge about the climate changes/greenhouse effectsGrid integration of rooftop energy systems issues still remain to be

addressedMeasurement of power and the frequency of supply are also in

need for technical and regulatory solutionsSolar technologies have poor efficiency in regard to their solar

cellsThe estimation capacity of solar-PV in India is approximately 112

MW while grid connection from this output, reportedly, is only 2 MW

Electricity

Electricity generation (2008) ~ 830 TWh + imported 9 TWh = 839 TWh

consumed in one year by the whole country*

Shortages

*(IEA1, 2010)

Electricity

Reforming the electricity sector

The Electricity Regulatory Commission Act of 1998 and the Electricity Act of 2003 were introduced as part of the

electricity market liberalisation to help in the electrification process, i.e. by 2007 complete village electrification

and by 2012 household electrification*.

*Andreas K., 2006

Electricity

The Eastern and North Eastern part of India is the areas of the country where lack of electricity supply is more

prominent in the countryside than elsewhere*

*Andreas K., 2006

Electricity

Redrawn and edited from Andreas K., 2006

Electricity

There are 404 million people in India without access to

electricity supply*

There are around 855 million people still rely on the

traditional use of biomass materials, as a way for

cooking their food *IAE, 2010

Electricity

Electricity & Sources of Energy

Coal (78.5 GW)Gas (16.4 GW)

Hydro (36.9 GW)*Oil

Nuclear**

Electricity from renewable sources is approximately 13.2 GW

* Indian Wind Energy Outlook 2009, 2009. **de la Rue Can, et. al., 2009

ElectricityIndia Ministry of power (MOP) projection for Electricity Requirement up to 2032*

*Planning Commission of India, 2006

ElectricityFuture Electricity Growth & Output = 8.5%

Forecast figures from the year 2011 to 2032 are relatively high, which raise the question about the energy sources of this additional larger volume of electricity generation and time scale predicted in achieving this development without the recourse

for higher fossil fuels usage. If coal will be the main source of electricity

generation by 2032, then the development and expansion of sustainable environmentally friendly fuels will be more of a theoretical approach rather

than a practicality on the ground.

Electricity

Rural Electricity Consumption & Tariff

Domestic, Commercial, Industrial & Agricultural

Supplied meter per kWh usage

The agricultural usage do not have meter measurement for the amount of electricity that has been used, instead, there is a flat payment rate

Domestic usage has been allocated lower charges than the rest of the consumers

*European PV Industry Association Report, 2008

*Image source: Wikipedia http://en.wikipedia.org/wiki/Solar_power_in_India

Geographical ‘Solar’ Resources*

~ 10 million jobs could be created worldwide in solar power by 2030*

100,000 jobs in PV by 2020 in India**

*European PV Industry Association Report, 2008**Dr. Bharat Bhargava, Director, Solar PV, MNRE at www.solarindiaonline.com

Solar-PV

Mid 70’s Solar-PV programme

Why Solar-PV for India?

Solar Street Lighting System Solar Home Lighting System

Solar Lantern Solar Photovoltaic Pumps

Solar Water Heating System Solar Cookers

Solar-PV

• Government support for Solar-PV

 Government support Manufacturers/Customers*

• First year of systems installation there is 100% depreciation

• No excise duty (manufacturers)

• Low import tariff (raw materials/components)

• Soft loans (customers, intermediaries and manufacturers)

*Solar Photovoltaics in India http://www.indiasolar.com/SPV.htm

Solar-PV

• Government support for Solar-PV

PV Based Systems Total Installations*

Solar Street Lighting Systems 54,795Home Lighting Systems 434,692Solar Lanterns 697,419Solar PV pumps 7,148

Solar PV Generation Plants 2.12 MWp (Megawatt Peak)

*MNRE Website Data, January 2009

Solar-PV

• Government support for Solar-PV

Renewable resources account for 9% of India’s power generation capacity*

Wind energy more than 70% (9 GW)

Solar-PV with estimates of 100 MWp

Adani Bitta Solar Plant (Gujarat) 40 MW (December 2011)**

Gandhinagar Solar Plant 1 MW (January, 2011)***

*India’s Solar-PV White Papers http://pvgroup.org/sites/pvgroup.org/files/ctr_029171.pdf

**Adani Power to start two solar projects. The Wall Street Journal (India). 2011-06-07 http://www.livemint.com/2011/06/07001344/Adani-Power-to-start-two-solar.html

***http://deshgujarat.com/2011/01/21/modi-to-dedicate-1-mw-solar-power-plant-in-gandhinagar/

Solar-PV

• Government support for Solar-PV

 Land is a scarce resource

1 km2 for every 20–60 megawatts (MW)

Rooftop Systems Local Grid

7th place worldwide in PV cell production 9th place in solar thermal systems*

*Solar India 2007/08

Solar-PV & Land Issues

Conclusion

Understanding India’s present energy needs/future development

Renewable energy is one way of bridging the electricity gap

Electricity from solar energy/Indian government

Additional research in this field will be needed

Solar-PV systems can reduce certain energy shortages in urban and rural areas of the country

Thank you for listening.

[email protected]