0djd]lqhbookstore.teri.res.in/docs/magazines/pages from_1_40_ef...7kh &rpsohwh (qhuj\ 0djd]lqh...

40
7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018 SUSTAINABILITY IS THE EXACT OPPOSITE OF ‘ENVIRONMENTAL DOOM’ )($785( VIEWPOINT COVER STORY TIME TO SHINE: SOLAR ENERGY IN INDIA

Upload: others

Post on 19-Jul-2020

2 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

Volume 7 Issue 2&3 Annual `800

January–June 2019

DELHI ELECTRIC VEHICLE POLICY 2018

SUSTAINABILITY IS THE EXACT OPPOSITE OF

‘ENVIRONMENTAL DOOM’

VIEWPOINTCOVER STORYTIME TO SHINE: SOLAR ENERGY IN INDIA

Page 2: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

Tel. 2468 2100

Fax: 2468 2144

India +91 • Delhi (0)11

Email: [email protected]

Web: http://bookstore.teri.res.in

The Energy and Resources Institute

Attn: TERI Press

Darbari Seth Block

IHC Complex, Lodhi Road

New Delhi – 110 003/India

To purchase the book, visit our online bookstore at http://bookstore.teri.res.in or send us your demand draft or cheque in favour of TERI, payable at New Delhi

(outstation cheques are not accepted).

Energy and Environment discusses various forms of energy. It

examines environmental impacts of energy generation and how non-

renewable sources of energy contributes significantly to environmental

pollution. In the book the role of renewable energy sources in

mitigating global problem of environmental pollution is also discussed

at length. It also elaborates on storage of energy, an important subject,

in the context of rising energy demands of the present world.

RENEWABLES: GLOBAL SOLUTION TO ENERGY AND POLLUTION

ISBN: 9789386536610 • Price: `195.00

Major topics covered

• Types of Alternative

Fuels

• Storage of Energy in

Chemicals

• Energy from Coal

• Geothermal Energy

• Greenhouse Gases

• Fuel Cells

• Nuclear Fusion

• Energy Sources

JustReleasedJustReleased

Page 3: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

Chief Patron

Dr Ajay Mathur

Editor

Amit Kumar Radheyshayam Nigam

Editorial Board

Sumita Misra

Chief Electoral Officer-cum-Commissioner Election,

Government of Haryana

Rakesh Kakkar

Additional Secretary, Ministry of Consumer Affairs

Dr A K Tripathi

Director General, National Institute of Solar

Energy (NISE)

Content Advisors

Dr Shantanu Ganguly

Dr P K Bhattacharya

Editorial & Design Team

Anupama Jauhry

Anushree Tiwari Sharma

Shashi Bhusan

Abhas Mukherjee

Rajiv Sharma

Production

Aman Sachdeva

Marketing and Sales

Gitesh Sinha

Sanjeev Sharma

Head Office

TERI

Darbari Seth Block, IHC Complex

Lodhi Road, New Delhi – 110 003

Tel. +91 (11) 2468 2100 or 711

Fax +91 (11) 2468 2144 or 2468 2145

Regional Centres

Southern Regional Centre

TERI, CA Site No. 2

4th Main, 2nd Stage Domlur

Bengaluru – 560 071

Email: [email protected]

North-Eastern Regional Centre

TERI, Chachal Hengrabari

Express Highway, VIP Road

Guwahati – 781 036

Western Regional Centre

TERI, F-9, La Marvel Colony

Dona Paula, Panaji – 403 004 (Goa)

Email: [email protected]

Affiliate Institutes

TERI North America

1152 15th Street NW Suite 300

Washington, DC 20005

Email: [email protected]

TERI Europe

27 Albert Grove, London SW20 8PZ, UK

Email: [email protected]

Overseas Representation

TERI Japan

C/o IGES

Nippon Press Centre Building (8th Floor)

2-2-1, Uchisaiwai-cho, Chiyodi-ku

Tokyo, Japan - 100-0011

Email: [email protected]

TERI South-East Asia

Unit 503, 5th Floor, Menara Mutiara Majestic

15 Jalan Othman, Seksyen 3, 4600 Petaling Jaya,

Selagor Darul Ehsan, Malaysia

Email: [email protected]

TERI Gulf Centre

Flat No. 105, Dalal Building, Al Qusais,

Dubai, UAE

Editor: Amit Kumar Radheyshayam Nigam

Printed and published by Dr Ajay Mathur for The Energy and Resources Institute,

Darbari Seth Block, IHC Complex, Lodhi Road, New Delhi- 110 003. Tel. +91(11)

24682100, Fax +91(11) 2468 2144 or Email: [email protected],

and printed by Batra Art Press, A-41 Naraina Indl. Area PH- II, New Delhi-28.

© The Energy and Resources Institute. All rights reserved.

In the recently held UN Climate Action Summit, Prime Minister Modi said that “…

if we have to overcome a serious challenge like climate change, then what we

are doing at the moment is just not enough….In India, we are going to increase

the share of non-fossil fuel, and by 2022 we plan to increase our renewable

energy capacity to much beyond 175 GW, and later till 450 GW.” In a short span

of time, India has already reached over 30 GW of solar power capacity. And as

this progression to clean energy gains further momentum, even more rapid

growth of solar energy can be expected. One of the key factors contributing to

this growth is going to be the energy storage technologies, particularly batteries,

which with a fast cost-reduction trajectory would make solar energy much more

viable and acceptable to the power utilities. On the other side of spectrum,

there are new usages whereby decentralized production and consumption of

electricity would become much more attractive, for instance, electric vehicle

charging. The very fact that electric vehicles become clean in a holistic sense only

if the electricity that they are charged with is also 100% clean makes case for solar

charging even stronger. But electricity generation through solar energy is only a

part of the big picture. Solar energy can as well be utilized for a variety of other

applications, such as heating, cooling, cooking, industrial process heating, etc.

to name a few. And the good news is that India already has a sound base for all

these. It is evident, therefore, to look beyond solar electricity and tap energy from

the Sun in every feasible manner. Supply side being only one part of unfolding

energy transformation story, equal importance is also required on reducing the

energy demand – whether in buildings or in municipal services or in industries.

India’s innovative instruments like PAT (Perform, Achieve, and Trade) have already

started paying dividends in this direction. Bringing together all the stakeholders,

particularly the concerned state governments and their agencies, ensures that

there is substantial ownership of such programmes among them, which in turn

paves way for early success. The future of energy appears to be incumbent upon

right kinds of partnerships.

From the editor’s desk...

Amit KumarSenior Director, Social Transformation, TERI

Page 4: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

Thank you very much for

your encouragement. The

editorial team of Energy

Future will ensure that

the magazine caters to

your information and

knowledge needs. We

welcome your suggestions

and comments to further

improve our content and

presentation.

EditorEnergy Future

Email: [email protected]

The article on electric vehicle mobility in India published in the latest issue of Energy Future is very informative as it analyses the growing importance of electric vehicles, their potential, and the challenges lying ahead, particularly for India. The article shows that for quicker adoption of e-vehicles, affordability can be ensured by incentives, such as subsidy and tax exemptions (for seller as well as the buyer). This coupled with availability of swappable batteries on the one hand will avoid long waiting queues for charging stations, and on the other hand, the e-vehicle ecosystem will lead to new livelihood opportunities. Therefore, robust supporting infrastructure with financial incentives can help India achieve the dream of cleaner vehicles faster.

Saroj Randhawa

Bhopal, MP

It was nice to read about the Annual GRIHA Summit 2018. The 2018 edition of the Summit marked the tenth year and was based on the theme of ‘Fostering Partnerships for Sustainable Habitats. As in the past, the Summit served as a platform to deliberate on interdependence between organizations, systemic sustainability management, and feedback loops for better resource efficiency. All the other article and sections published in the latest issue are also worth mentioning.

Mudit Bansal

NOIDA, Delhi-NCR

I congratulate the editorial and production team for bringing out Energy

Future, which serves as a comprehensive guide of industry-related articles,

news coverage, and other vital information. The feature article on ‘Energy

Transition Today’ discusses the perils of climate change and the ways in

which we could better tackle the current crisis. A safe and viable option

before us is to end the dominance of oil and coal and encourage energy

transition to safer and cleaner RE sector. A new awakening has taken place

and the global energy industry is under the threshold of energy transition

to cost-effective and carbon-free RE technologies.Shivani Dutt

Mumbai, Maharashtra

Letter to the Editor

[email protected]

Energy Future magazine gives me a good glimpse into the world of energy and related topics. The cover story on energy transition published in the October-December 2018 issue of the magazine unravels the historical perspective of clean energy, the global scenario, in particular India’s current status, challenges,

investors globally would need to work actively towards universal energy access in the years to come. And, political ambition will be a major determinant for achieving this.

A K YadavDehradun, Uttarakhand

Page 5: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

4 NEWS

COVER STORY

16 Time to Shine: Solar Energy in

India

FEATURES

26 Delhi Electric Vehicle Policy 2018

34 India Stepping Up Efforts to Add

Renewables and Lower Emissions

in the Wake of Paris Agreement

42 Dust free Solar Panel for Efficient

Electricity Production

ENERGY INSIGHTS

46 Insights on PAT Scheme: Perform

Achieve and Trade (PAT) Scheme

SOLAR QUARTERLY

52 Higher Integration of SPV

Systems: Issues and Challenges

56 Solar Rooftop Photovoltaic

Panel: A Case Study

SPECIAL EVENT

64 Transformation Strategies for

Built Environment

VIEWPOINT

66 Sustainability is the Exact

Opposite of ‘Environmental

Doom’

76 ABSTRACTS

80 PRODUCT UPDATE

84 BOOK ALERT

88 TECHNICAL CORNER

94 INDUSTRY REGISTRY

95 EVENTS

96 RE STATISTICS

Page 6: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

4JANUARY–JUNE 2019 ENERGY FUTURE

EWSNIN

DIA

Solar DC Inverterless Technology,

pioneered by Indian Institute of

Technology (IIT) Madras Researchers,

is lighting up homes in remote parts

of the country where the terrain is so

foreboding that they are beyond the

reach of electricity grids. Cygni Energy

Pvt Ltd, an innovative Solar-DC solutions

start-up that was incubated by the

Rural Technology Business Incubator

(RTBI) of IIT Madras, is now installing

3026 units in villages located high up in

remote corners of Manipur and another

25,000 units solar inverters and lights

in the villages of Assam. “It is of great

importance that we have played major

role in taking power to remote villages in

Manipur, Assam, Meghalaya, and Jammu

and Kashmir. Solar-DC system makes

the equipment much smaller in size and

cost,” said Prof Ashok Jhunjhunwala,

Institute Professor, IIT Madras, who led

the research on this technology, while

speaking about the importance of this

project.

The Manipur Project, taken up at a cost

of `11.5 crore, was funded by Manipur

Renewable Energy Development

Agency. Most beneficiaries are situated

in remote, inaccessible mountainous

regions of Manipur. Out of the 44,854

total installations planned, 30,828 have

been completed so far. With Solar-DC

solution, people are able to use power

for 8 h full load and close to 12–14 h in

reserve mode (only basic appliances like

bulbs and mobile chargers).

Source: ndtv.com

IIT MADRAS SOLAR TECHNOLOGY START-UP LIGHTS UP REMOTE VILLAGES

PIYUSH GOYAL RECEIVES CARNOT PRIZE FOR POLICY CONTRIBUTIONSUnion Finance and Railways Minister

Shri Piyush Goyal has been awarded the

4th Carnot Prize by Kleinman Center

for Energy Policy at the University of

Pennsylvania for his work in sustainable

energy solutions and was felicitated by a

team from University of Pennsylvania that

came to India. According to the Kleinman

Center for Energy Policy, the award is

in recognition of “the pathbreaking

transformations in India’s energy sector”

under the Modi government. Goyal

was earlier the power minister. He was

to be awarded the prize in October

2018; however, he had to skip the event

because of the Amritsar train tragedy

in which several people died. The

Kleinman Center for Energy Policy also

acknowledged India’s “solid footing to

reach a 40 per cent renewable mix by

2030”.

The Carnot Prize is considered as one

of the most prestigious awards in the

energy sector. The prize, which is given

annually, recognizes distinguished

contributions to energy policy through

scholarship or practice. Previously, the

award has named Dr Daniel Yergin, Vice

Chairman of HIS; Dr Fatih Birol, Director

of International Energy Agency; and

Gina McCarthy, a career public servant

in the fields of energy and environment

as winners. Accepting the award, Shri

Piyush Goyal stated that it was “both a

personal honour and a tribute to the

efforts of all involved in this great work

throughout India to be recognized with

the Carnot Prize by the University of

Pennsylvania”. Shri Goyal has decided that

the award money of $25,000 will be given

towards the International Solar Alliance

to constitute the Diwakar Award which

will every year recognize an outstanding

organization working for the betterment

of special children and expanding the

use of solar energy. The award money will

be utilized to create a perpetual corpus

and the interest income received on the

corpus will be used for providing the

award annually.

Page 7: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

5ENERGY FUTURE JANUARY–JUNE 2019

India is set to approach the World

Trade Organisation (WTO) to make

the certification from Bureau of Indian

Standards (BIS) mandatory for all the

liquefied petroleum gas stoves sold

in the country. This is after sale of LPG

stoves more than doubled to around

50 million a year for the last 3 years,

following the launch of Pradhan Mantri

Ujjwala Yojana. Having BIS certification

will ensure that all the gas stoves sold

in India have high thermal efficiency of

at least 68 per cent, compared to

60 per cent for non-BIS ones. Addressing

India’s flagship hydrocarbon event

Petrotech-2019, Petroleum Minister

Dharmendra Pradhan said that when the

current government took charge, India

had only around 130 million households

with cooking gas connections, which has

increased to 240 million now. “Today, our

LPG penetration has increased from 55

per cent to 90 per cent. India will soon

be connected to all houses with clean

cooking fuel,” he added. The minister

said his government was focused on

improving the ease of living of common

people by enhancing access to clean

cooking fuel. “We introduced Ujjwala

scheme, under which we targeted

to provide LPG connections to 80

million households, of which 64 million

households have already been provided

the LPG connections in just three years,”

he added. An official said clearance from

WTO is mandatory for this as it comes

under the international trade rules.

Based on reports, the rise in sales had a

multiplier effect on the manufacturers

of equipment such as cylinders, pressure

regulators, stoves and tubing too.

INDIA LOOKS TO WTO FOR BIS-CERTIFIED LPG STOVES

Gujarat has released its land policy for

renewable energy projects, which seeks

to set up wind parks and wind–solar

hybrid parks in the state, similar to solar

parks. It is a welcome development for

wind developers who want to set up

their projects in Gujarat. Land had lately

been a bone of contention between

project developers and the Gujarat

government, with the latter reluctant to

lease land for wind projects auctioned

by central agencies like the Solar Energy

Corporation of India (SECI), while

providing such land for similar projects

sanctioned by the state agency, Gujarat

Urja Vikas Nigam Ltd (GUVNL). A total

area that can accommodate 30,000 MW

of renewable energy will be sanctioned

for these parks, with each park large

enough to install a minimum of 1000 MW.

Of the 30,000 MW, 10,000 MW will be set

aside for projects initiated by state PSUs.

“We will decide the exact location of the

parks in consultation with developers,”

as conveyed by officials. “The idea is not

to have projects dispersed all over the

state, with wires running everywhere.

Evacuation will also be easier.” Wind

projects need around 0.75 acres per

megawatt, while solar projects require

5–6 acres. But sites with wind speeds high

enough to produce power are limited.

Gujarat, which already has a number of

solar parks, is keen that the new parks

come up mostly in the Kutch area.

GUJARAT FRAMES LAND POLICY FOR RENEWABLE ENERGY PROJECTS

Page 8: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

6JANUARY–JUNE 2019 ENERGY FUTURE

INDIA GETS FIRST GRID-SCALE BATTERY ENERGY STORAGE SYSTEM

In what could be seen as yet another

attempt at making the exploration

business attractive, the government

is in the process of implementing the

recommendations of a high-level Inter-

Ministerial Committee. The Committee

headed by Rajiv Kumar, Vice-Chairman,

NITI Aayog, has made several specific

recommendations to transform the

country’s oil and gas exploration sector.

It has submitted its report to the Prime

Minister’s Office. Asked if this will be an

all-new policy regime, sources said it

should be termed as further liberalizing

the exploration conditions with measures

to enhance domestic production of oil

and gas — putting on offer some existing

fields owned by PSUs and incentivizing

ONGC to improve enhanced oil recovery

from its existing fields. According to

sources, the focus of the committee has

been on how to increase production

and not make revenue maximization

an obstruction for production. Simply

put, primary weightage will be given

to exploration work programme and

not revenue sharing as the case is now.

The proposed measures will also help

attract more investments in exploration

in difficult areas by giving the contractors

necessary incentives, a source said adding

that for all new discoveries there will

be complete gas pricing and marketing

freedom. India’s exploration business has

gone through different regimes — blocks

given on nomination basis to public

sector explorers like ONGC and Oil India

Ltd, Production Sharing Contract under

New Exploration Licensing Policy (NELP),

to Hydrocarbon Exploration Licensing

Policy (HELP).

IN YET ANOTHER ATTEMPT, GOVT TRIES TO MAKE HYDROCARBON HUNTING MORE ATTRACTIVE

The 10-MW grid-connected system,

owned by AES and Mitsubishi Corporation,

will pave the path for wider adoption of

grid-scale energy storage technology

across India. It uses the Advancion energy

storage platform from Fluence, a joint

venture formed by Siemens and AES.

Speaking at the launch, Praveer Sinha, CEO

and managing director of Tata Power, said:

“Grid-scale energy storage will pave the

way for ancillary market services, power

quality management, effective renewable

integration and peak load management

of Indian grids.” The project, at Tata Power

Delhi Distribution’s substation in Rohini

in Delhi, will provide grid stabilization

and protect critical facilities for 2 million

consumers served by the company.

Battery-based energy storage enables

electricity to be stored and delivered

within milliseconds, reducing grid

instability and enabling more energy to be

captured and delivered on demand.

Fast-ramping energy storage like the

Delhi system can be built within months

to provide critical flexibility wherever it

is needed on India’s grid. By comparison,

older technologies such as pumped

hydro storage can take years to build and

are highly dependent on geographical

locations. Battery-based energy storage

also uses no water and produces no

emissions from its operations. India has

the ambitious goal of installing 225 GW of

renewable energy by 2022. Battery-based

energy storage provides the flexibility

and agility to better integrate intermittent

solar and wind energy resources into

India’s electric grid and ensure high-

quality power for consumers.

EWSNIN

DIA

Page 9: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

7ENERGY FUTURE JANUARY–JUNE 2019

WEF said India is amongst the countries

with high pollution levels and has a

relatively high carbon dioxide (CO2)

intensity in its energy system. India has

moved up two places to rank 76th on

a global energy transition index, which

has ranked 115 economies on how

well they are able to balance energy

security and access with environmental

sustainability and affordability.

Sweden remains on the top on this

annual list compiled by Geneva-based

World Economic Forum (WEF) and is

followed by Switzerland and Norway

in the top three, as per its latest report.

The WEF said energy systems have

globally become less affordable and

less environmentally sustainable than

they were five years ago though access

to energy has improved with less than

1 billion now living without access

to electricity. “Despite this, India has

made significant strides to improve

energy access in recent years, and

currently scores well in the area of

regulation and political commitment

towards energy transition,” according

to the WEF. It suggested there was a

ground for optimism regarding India

despite the current outdated energy

system not being ready for transition

because an enabling environment is

being built to support future transition.

While India has scored low in terms of

system performance (ranking 97 and

86, respectively), it ranks considerably

higher when it comes to readiness (45

and 61, respectively). Overall, India has

moved up two places from 78th last year.

The WEF said its index considers both

the current state of the countries’ energy

system and their structural readiness

to adapt to future energy needs. Small

economies have achieved higher scores

on readiness, with the UK being the

only G7 economy in the top 10. The

biggest challenge facing attempts to

future proof global energy is the lack of

readiness amongst the world’s largest

emitters. The ‘transition readiness’

component of the index has taken

into account six individual indicators:

capital and investment, regulation and

political commitment, institutions and

governance, institutions and innovative

business environment, human capital

and consumer participation, and energy

system structure.

INDIA RANKS 76TH ON WEF’S ENERGY TRANSITION INDEX

China and India’s proposed

arrangement to form a buyers’ bloc to

bargain collectively for oil supplies has

acquired an institutional character with

the two strategic rivals moving ahead

to set up a joint working group (JWG)

on energy. As part of the emerging

playbook that will have a major bearing

on the global energy architecture, the

scope of the first such group on energy

between the Asian rivals will not only

be limited to crude oil but will also

extend to liquefied natural gas (LNG)

and will include cargo swap options.

The two nations wield enormous

buying power on the global energy

stage, with China and India being

the world’s second and fourth largest

importers of LNG. China and India are

the world’s second and third largest

oil importers as well, respectively. The

first such structured arrangement on

the key issue of energy comes in the

backdrop of tightening US sanctions

against Iran and Organization of

Petroleum Exporting Countries (OPEC)

production curbs that have driven oil

prices. Higher oil prices stoke inflation

and hurt economic growth in India,

whose energy needs are primarily met

through imports. India imports more

than 80% of its oil requirements and

around 18% of the natural gas it needs.

“Some competitiveness is inherent

given that we have similar sources.

With supply becoming a little more

adequate generally, that dynamic is

shifting gradually. We have decided

to set up a joint working group on

the oil and gas sector. It will deal with

anything to do with the oil and gas

sector, be it upstream, midstream or

downstream. If both India and China

agree on something that we need to

discuss, then we will move forward. This

is the first time that a JWG has been set

up between the two nations on energy,”

said an Indian government official.

INDIA AND CHINA SET TO FORM A WORKING GROUP ON ENERGY

Page 10: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

8JANUARY–JUNE 2019 ENERGY FUTURE

India emerged as the third largest solar

market in the world after China and the

United States. India’s solar installations

reached 8.3 GW, including large-scale

and rooftop solar units, according to

a report by Mercom Communications

India. The country’s cumulative solar

capacity is 28 GW as of 2018. Mergers

and acquisitions (M&A) globally were

steady in the space with 18 solar

transactions in Q1 2019 compared to

Q1 2018. In terms of corporate M&A, the

report noted that Reliance Industrial

Investments and Holdings Ltd (RIIHL),

a wholly owned subsidiary of Reliance

Industries, acquired 88 per cent equity

stake in Kanoda Energy Systems Ltd

(KESL), a provider of engineering,

procurement and construction and

operation and maintenance for solar

PV projects. An earlier report, covering

market share and shipment rankings

across the domestic solar supply chain

between January and December 2018,

showed that the top 10 large-scale

developers accounted for 60 per cent

market share. In terms of cumulative

installations, Adani maintained its

position as the top project developer,

while Acme Solar was the developer

with the most large-scale solar

installations in 2018. Adani was the

second largest developer in 2018. “Much

has changed in the Indian solar industry

over the last year. There was some re-

shuffling when it came to suppliers after

the imposition of the safeguard duty,

while others have consolidated their

positions,” Raj Prabhu, CEO of Mercom

Capital Group, said in a statement.

Noting that there are approximately 80

large-scale project developers with a

pipeline of 5 MW or more in India, the

report states Acme Solar had the largest

project pipeline at the end of 2018,

closely followed by SB Energy (SoftBank)

and Azure Power.

Iraq for the second year in a row has

become India’s top crude oil supplier,

meeting more than a fifth of the country’s

oil needs in the 2018–19 fiscal. According

to data sourced from the Directorate

General of Commercial Intelligence and

Statistics, Iraq sold 46.61 million tonnes

of crude oil to India during April 2018 and

March 2019, 2 per cent more than 45.74

million tonnes it had supplied in 2017–18

fiscal. India provisionally imported 207.3

million tonnes of crude oil in 2018–19,

down from 220.4 MT in the previous

financial year.

Saudi Arabia has traditionally been

India’s top oil source, but it was for

the first time dethroned by Iraq in

2017–18 fiscal. In 2018–19, Saudi Arabia

exported 40.33 million tonnes of crude

oil, up from 36.16 MT of oil sold in the

previous year. Iran (23.9 MT) was the

third largest crude oil supplier to India,

followed by UAE (17.49 MT). The United

States, which began selling crude oil to

India in 2017, is fast becoming a major

source. Supplies from the United States

to India jumped more than fourfold to

6.4 million tonnes in the 2018–19 fiscal

year. In 2017–18, the first year of imports

from the United States, the supplies

were at 1.4 million tonnes. India is 80 per

cent dependent on imports to meet its

oil needs. Easing of Western sanctions

in 2015 had led to the Indian refiners

raising their purchase from Iran. Kuwait,

which was the third largest supplier

in 2013–14, has steadily slipped, with

supplies dropping by 16 per cent in

2018–19. It had supplied 17.9 million

tonne crude in 2014–15, which came

down to 11.00 MT in 2015-16 and 9.8 MT

in 2016–17.

INDIA 3RD LARGEST SOLAR MARKET GLOBALLY IN 2018

IRAQ REMAINS INDIA’S TOP CRUDE OIL SUPPLIER FOR 2ND SUCCESSIVE YEAR

EWSNIN

DIA

Page 11: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

9ENERGY FUTURE JANUARY–JUNE 2019

Moving a step closer towards becoming

an environmentally friendly network,

the Delhi Metro has now become the

first ever Metro project in the country

to receive power generated from a

waste-to-energy plant. The Delhi Metro

Rail Corporation (DMRC) has started

receiving 2 MW power from a 12-MW

capacity plant in Ghazipur. “This will

be the first-ever attempt by any metro

project in the country to procure and

utilize energy from waste-to-energy

plants and thus contribute towards

‘Swachh Bharat Mission’ and also

help in creating awareness about the

importance of waste management,”

says the statement issued by the

DMRC. The power generated from

the plant is at present being utilized

at the Vinod Nagar Receiving Sub-

station (RSS) of DMRC for meeting the

operation requirements of Pink Line

metro (connecting Majlis Park and Shiv

Vihar). Senior Metro officials said that

the DMRC will take approximately 17.5

million units per annum from this plant.

They, however, clarified that the energy

off-take will depend upon the actual

generation of the plant. The waste-to-

energy plant set up by East Delhi Waste

Processing Company Limited (EDWPCL)

is based on a public private partnership

(PPP) involving the Delhi government,

the East Delhi Municipal Corporation

(EDMC) and EDWPCL. “The state-of-the-

art facility can process over 1500 tonnes

per day (TPD) of waste and generate

12 MW of green power. The plant is

India’s first Euro norms compliant waste-

to-energy facility,” the Metro said. The

waste-to-energy plant will mitigate over

8 million tonnes of greenhouse gases

(GHG) over the life of the project, thus

combating global warming, the DMRC

said. At present, DMRC is getting more

than 100 MW of solar power, out of

which 77 MW is being generated from

Madhya Pradesh’s Ultra Mega Solar

Plant and the remaining 28 MW is being

drawn from rooftop solar plants.

The government is likely to soon

permit supermarkets to retail petrol

and diesel in its bid to ease fuel access

to end consumers. The Ministry of

Petroleum and Natural Gas in this

regard may come up with a Cabinet

note to relax existing norms. It is likely

to suggest bringing down the minimum

requirement for companies trying to

get into the retail fuel segment. This

means that the government could lower

the basic infrastructure investment

of about `2000 crore in the domestic

market or provide bank guarantees

for 3 million tonnes (30 lakh tonnes)

or equivalent amount, the report said.

If the government goes ahead with

the changes, it could open the gates

for multi-brand retail majors such as

Future Group and Reliance Retail as well

as global majors of the likes of Saudi

Aramco to enter the lucrative Indian

fuel retail space. A committee led by

economist Kirit Parikh had proposed

relaxing norms in India. The other

members on the committee were former

petroleum secretary GC Chaturvedi,

former Indian Oil (IOC) Chairman

MA Pathan, and Ashutosh Jindal, joint

secretary in charge of marketing under

the petroleum ministry, the report

added. The conception of this idea to

allow supermarkets to retail fuel comes

from the successful model undertaken

by the United Kingdom (UK). As per

the evaluation of the Petrol Retailers

Association (PRA), a trade association

that represents the independent fuel

retailers in the UK, supermarket sites

comprise around 49% of the petrol and

43% of all diesel retailed in the country

in April 2019. The government is hoping

to replicate the same model in India

given the sheer size of the country’s fuel

consumption appetite.

DMRC IS INDIA’S FIRST METRO PROJECT TO RECEIVE POWER FROM WASTE-TO-ENERGY PLANT

BUY PETROL, DIESEL AT A SUPERMARKET SOON

Page 12: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

10JANUARY–JUNE 2019 ENERGY FUTURE

GAS FIND IN NORTH SEA HAILED AS ‘BIGGEST IN A DECADE’A significant gas discovery in the

central North Sea is being described

as the biggest find in more than a

decade. Chinese state-owned company

CNOOC said it made the gas discovery –

equivalent to 250 million barrels of oil – in

its Glengorm project, east of Aberdeen.

Further appraisal work is planned, but it

is understood that it could be extracted

using existing infrastructure. Glengorm

sits 118 miles (190 km) east of Aberdeen,

close to Total’s Elgin-Franklin and Culzean

fields, and could be tied back to one of

their platforms. Kevin McLachlan, of

Total, said: “Glengorm is another great

success for Total in the North Sea, with

results at the top end of expectations

and a high condensate yield in addition

to the gas”. “Our strong position in the

region will enable us to leverage existing

infrastructures nearby and optimize the

development of this discovery. Glengorm

is an achievement that demonstrates

our capacity to create value in a mature

environment thanks to our in-depth

understanding of the basin,” he added.

Analysts Wood Mackenzie described

the find as the largest in the North Sea

since the Culzean field was discovered in

2008. Senior analyst Kevin Swann said:

“There is a lot of hype around frontier

areas like West of Shetland, where Total

discovered the Glendronach field last

year. But Glengorm is in the Central North

Sea and this find shows there is still life

in some of the more mature UK waters.”

Chief executive Andy Samuel said: “This

is very exciting news. Glengorm was

first mapped as a prospect around 20

years ago and it is great to see CNOOC

taking up the exploration opportunity

and completing a difficult high-pressure,

high-temperature exploration well.”

Source: BBC News

Jordan’s movement towards renewable

energy is gaining momentum. The

Kingdom, which is estimated to import

around 97 per cent of its energy, has

ambitious plans to switch 20 per cent

of its power consumption to green

energy by 2020. With more than 300

days of sunshine each year, solar energy

has fast become the focus of the state’s

energy investments. Established in 2008,

Jordanian project developer Kawar

Energy has approximately 200 solar

developments to its name. “We have

excellent (solar) radiation that helps

generate more energy and electricity out

of the plants,” says CEO Hanna Zaghloul,

“but what’s really more important is the

legal framework that we have developed

in Jordan which attracts investors and

the government’s actual commitment

to renewable energy.” Jordan officially

took its place on the renewable energy

map when it opened Shams Ma’an Power

Plant in 2016, the second largest solar

farm in the region. Costing an estimated

$170 million dollars to build, the farm

consists of 640,000 panels, spanning 2 sq

km of desert land in the southern city of

Ma’an. It generates one per cent of the

country’s total production of electricity.

The country has been setting green

benchmarks since last year, when it

implemented the world’s largest solar

project inside a refugee camp. The

12.9-megawatt plant at Za’atari Camp

provides eighty thousand Syrian refugees

with clean and free electricity. Carbon

dioxide emissions are also reduced by

13,000 metric tonnes per annum, which

amounts approximately to 30,000 barrels

of oil. The initiative saves the United

Nations Refugee Agency (UNHCR) around

5.5 million US dollars per year. Following

the completion of the solar project,

residents at the camp now have access

to energy for up to 12.5 hours a day,

allowing them to use basic appliances

such as refrigerators and televisions.

Source: Euronews

JORDAN’S SWITCH TO RENEWABLE ENERGY WITH SOLAR POWER

EWSN

Page 13: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

11ENERGY FUTURE JANUARY–JUNE 2019

A utility in company in Florida recently

announced a groundbreaking ‘30-by-30’

plan to install more than 30 million solar

panels by 2030 and make the state of

Florida a ‘world leader in the production

of solar energy’. Florida Power & Light

Company (FPL) and its sister company,

NextEra Energy Resources, are already

some of the world’s largest producers

of renewable energy from the wind and

sun and, when this plan is completed,

FPL expects to be the largest utility

owner and operator of solar in America.

FPL has secured solar sites throughout

the state, which will enable the

company to continue to cost effectively

build solar energy centres across Florida.

The scheme’s end result will be ‘the

largest installation of solar panels by

a regulated utility in the world’ and a

67% fleet-wide reduction in carbon

dioxide emissions rate as compared to

the national average. The company has

already begun pairing battery storage

technology at its solar power plants.

Today, the company operates 18 large

solar power plants and hundreds of

other universal solar installations across

Florida. In 2009, FPL became the first

company to build large universal scale

solar projects in Florida and since 2001,

their programme to phase out older,

oil-fired power plants and replace

them with highly efficient clean energy

centres has reduced the company’s

reliance on foreign oil by more than

99%, which reportedly saved consumers

more than $9.5 billion in fuel costs and

prevented 120 million tons of carbon

emissions from being produced.

Source: Good News Network

FLORIDA SET TO BECOME A WORLD LEADER IN RENEWABLE ENERGY WITH 30 MILLION NEW SOLAR PANELS

Microsoft has signed a power purchase

agreement with EDP Renewables for

125 MW of wind power capacity in Ohio.

The agreement includes two 15-year-

long power purchase agreements as well

as the construction of a new wind farm

in the state. The 125 MW wind farm in

Paulding County, Ohio, is expected to

be operational in 2019 and will produce

enough clean electricity to power the

equivalent of more than 36,000 homes

annually. Timber Road IV Wind Farm will

be EDP’s fourth operational wind farm

in Ohio and its third operational wind

farm in Paulding County. The four wind

farms total 392 MW, contributing to

more than 40% of the state’s installed

wind capacity. The companies say

that the new wind farm will also bring

employment opportunities with around

temporary 200 construction jobs

expected and seven full-time positions

during operations. In addition, the new

wind farm will generate approximately

$1.1 million each year in annual property

tax revenue for the local government

as well as land lease payments to area

farmers and landowners. “Bringing new

wind projects online, particularly in

states with relatively few projects but

strong potential for growth, delivers both

economic benefits and environmental

progress in the near term and well into

the future,” said Brian Janous, GM of

Microsoft Energy and Sustainability.

Dana Saucer, VP and head of economic

development for private non-profit

JobsOhio, said: “We applaud this

partnership between EDP Renewables

and Microsoft that will allow Microsoft to

power its operations on the larger PJM

grid with clean, homegrown wind energy

from Paulding County.”

MICROSOFT BUYS 125 MW OF RENEWABLE ENERGY FROM OHIO WIND FARMS

Page 14: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

12JANUARY–JUNE 2019 ENERGY FUTURE

THESE 11 EU STATES ALREADY MEET THEIR 2020 RENEWABLE ENERGY TARGETSAlmost half of the European Union’s (EU)

28 member states have already hit, or

are close to hitting, their 2020 renewable

energy targets. But despite this, there

has been a gradual slowdown in the rate

of renewable energy use across the EU,

and some member states have a lot of

ground to make up this year. Those that

are already top of the class are: Bulgaria,

Croatia, Czech Republic, Denmark,

Estonia, Finland, Italy, Hungary, Lithuania,

Romania, and Sweden. Hot on their heels

are Austria, Greece, and Latvia, who look

certain to hit their targets. It is unlikely

to come as a surprise to hear that the

Nordics are well represented among

the strongest performers; Sweden came

top, with 54.5% of its energy coming

from renewable sources. That was a

long way ahead of the second placed

country, Finland, with 41% – followed

by Latvia with 39% and Denmark with

35.8%. Despite its strong performance,

Latvia is yet to hit its target but is only

around 1% away. Bringing up the rear, the

Netherlands is the furthest away from its

goal – 7.4 percentage points (pp) away

from its 2020 objective. France is next

(6.7 pp), followed by Ireland (5.3 pp) and

the UK (4.8 pp). The first year in which the

share of renewable energy was measured

across the EU was 2004, when it made up

8.5% of the total. By 2016 that had risen

to 17% and 17.5% for 2017. But while the

overall share of renewables being used

to meet the energy needs of EU member

states has doubled since 2005, the rate

of adoption is slowing down. If that

trend continues, it could cause several

member states, and possibly the whole

EU, to miss its 2030 target of at least

32% renewable contribution to energy

consumption. The share of renewables

increased by an average of 5.5% per year

between 2005 and 2015. But that rate

of growth decreased by 0.2 percentage

points in 2016 and by 0.3 percentage

points in 2017 when compared with

the 2005–2015 pace of change. Global

energy demand is expected to grow in

the coming decades. The question is how

to produce the energy the world will

need while also protecting species and

habitats and curbing global warming.

Oil majors are readying themselves for

the energy transition by investing in shale

and waiting for renewable technology

to be economical, according to Rystad

Energy. A recent review of 2019 capital

budgets reveals that oil majors are the

only group to increase shale expenditure

from 2018 to 2019. Big companies such

as Chevron and ExxonMobil recently

announced plans to significantly ramp

up production in prolific shale basins,

such as the Permian Basin spanning

Texas and New Mexico. “Oil majors are

spending more dollars on shale in an

effort to evolve into renewables,” said

Rystad Energy Vice President Matthew

Fitzsimmons. He added: “Shale offers

the obvious benefits of being repetitive

in nature, having fast payback and high

return profiles. However, majors also

understand that peak oil demand might

not be far off. Once this point is reached,

majors with cash reserves will be in an

advantageous position to become first

movers in the new renewable energy

paradigm.” Rystad Energy forecasts

that oil demand will peak by 2037,

but increased technology efficiencies

could accelerate this peak to 2027 in

our low case forecast. If all discovered

shale, onshore and offshore fields, with

breakeven oil prices below $60 per barrel

are sanctioned per their current timelines,

global production will meet and exceed

Rystad Energy’s low case oil demand

through 2031.

OIL MAJORS SEE SHALE AS A BRIDGE TO RENEWABLE

EWSN

Page 15: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

13ENERGY FUTURE JANUARY–JUNE 2019

VENEZUELA IMPORTS CRUDE OIL FOR FIRST TIME IN FIVE YEARSOil production in Venezuela has dipped

so low that the owner of the world’s

largest reserves is importing crude for

the first time in five years. The nation’s

output fell below 1 million barrels a day

to a 16-year low in March, amid rolling

blackouts and U.S. sanctions. As the

power disruption shut oil fields, pipelines

and ports, bringing oil infrastructure to a

halt, state-owned Petroleos de Venezuela

SA (PDVSA) bought a cargo of crude from

fellow OPEC member Nigeria, marking

the first oil import since 2014. Almost

1 million barrels of light, sweet Agbami

crude is discharging, after loading in

early April, and may help to offset falling

domestic production. PDVSA can also

use the lighter oil as a diluent to thin

Venezuela’s sludgy crude so that it can be

more easily extracted from underground

reservoirs. The streams that are blended

with light oil are marketed as Merey

16, the country’s top exported oil, and

a grade used to calculate the OPEC oil

basket price. The cargo of Agbami will

likely be used to make Merey as the

production of domestic light oils has

been falling over the years. According

to the latest official data available,

production fell by half between 2006 and

2016 to 313,000 barrels daily. The last

time Venezuela imported crude, in 2014,

it purchased Algerian crude to mix with

extra-heavy oil for a grade that became

known as Blend 16. PDVSA discontinued

the blend amid disagreements with

Algeria’s state oil company Sonatrach and

complaints from U.S. refiners, then the

company’s biggest buyers.

The global pace of new oil and gas

pipeline construction has tripled in less

than two decades, a multi-billion-dollar

boom in infrastructure that experts

warned Thursday could torpedo hopes

for limiting global warming. In the first

worldwide survey of its kind, the Global

Fossil Infrastructure Tracker identified a

potential investor bubble ready to burst

as renewable energy prices plummet

and climate regulations begin to bite. It

paints a picture of fossil fuel companies

rushing to complete projects in order

to lock countries and investors into oil

and gas use for decades, even as calls for

drastic cuts to greenhouse gas emissions

grow louder. “Everyone knows there’s

a drilling boom in North America, but

they don’t look at the infrastructure,” said

Ted Nace, executive director of Global

Energy Monitor, a network of fossil fuel

industry trackers. “When you drill a well

you have it for a year or two, but building

infrastructure is building things that are

going to be around for 40 or 50 years,” he

said. The analysis – which used open-

source data to map hundreds of new

delivery plans around the world – found

that fully a third of more than 180,000 km

(110,000 miles) of oil and gas pipelines in

development were in North America. By

the metric of overall number of projects,

51.5% were planned for the continent.

The accelerated rate of new pipeline

construction echoes the recent US coal-

mining crash, which saw investors left

on the hook after American coal prices

cratered due to a rapid increase in the

domestic production of coal in China,

once a major client. Nace said that the

changing costs of energy production

should make investors think twice

before putting their money in fossil fuel

infrastructure. “The idea is you will pick

up natural gas and oil in America, ship it

across the sea and they will (in Asia) be

using that in their power plants instead

of their own coal and instead of their

renewables,” he said. “That’s where it gets

a little questionable. Those economics are

changing really quickly.”

NORTH AMERICA DRIVING GLOBAL OIL AND GAS PIPELINE ‘BOOM’

Page 16: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

14JANUARY–JUNE 2019 ENERGY FUTURE

Solar will soon be able to outcompete

gas-fired plants around the world on a

levelized cost basis. That doesn’t mean it

will be any easier to make a living in the

solar business. “By 2023, we think solar

is going to be cheaper than gas almost

everywhere around the world,” said Tom

Heggarty, senior solar analyst for Wood

Mackenzie Power & Renewables, at GTM

Solar Summit in Phoenix. New combined

cycle gas plants remain competitive with

new utility solar in many big markets

today, from China to the UK to South

Korea. But that will no longer be the

case by the early 2020s, as equipment

costs continue to fall and competitive

auctions proliferate, Heggarty said.

Yet for all that signifies, the news has

not all been good for the global solar

market recently. The annual market

failed to crack the 100-gigawatt mark

in 2018 as it was expected to do, due

chiefly to a policy-induced slowdown in

China. India, too, put up weaker-than-

expected growth last year as 14 GW of

auctions were canceled or postponed,

or awarded projects were annulled. 2018

was the first year without a record-

low price for a solar power-purchase

agreement, following a long string of

records in markets as diverse as South

Africa, the United States, Morocco and

Saudi Arabia. But setbacks in any one

market — even China — are becoming

less important as the industry takes root

around the world. China accounted for

35% of global solar installations through

2018, but that share will fall to 27% in

2019 to 2024 period, WoodMac predicts.

With a world of opportunity stretching

out before the solar industry, it’s still

a challenging place to make a profit,

and maybe increasingly so. Whereas

countries once tended to get a feel for

solar energy through a feed-in tariff

before later shifting to auctions, they

are now moving much more quickly to

auctions or tenders.

Hungary is planning to create a green-

powered town with jobs and housing

for thousands on a barren strip of

Danube floodplain. The 1 billion-euro

($1.1 billion) Hegyeshalom-Bezenye

project in northwest Hungary will be

the size of about 500 soccer pitches and

have full amenities such as schools and

shopping facilities, said co-developers

EON SE and German property company

FAKT AG. Vegetables will be grown

under glass where scrubland is today.

The carbon-neutral town will draw

mainly on solar and biogas power and

will create as many as 5000 permanent

jobs in the greenhouse venture,

according to Nikolai Ulrich, a board

member of FAKT. The property company

is partnering with EON, builder KESZ

Group and the Hungarian government

on the venture. The sweeping

infrastructure and horticultural project

underlines “how a scrap of land and

vision can create a green business and

community venture of scale,” said Ulrich.

FAKT and its partners say the project will

serve as a model for other conversion

sites across the continent, including

coal regions making the switch to clean

energy. When Hegyeshalom-Bezenye

is complete, it will include about 1000

homes, a restaurant, hotel, rail station,

shopping facilities as well as schools and

training units. “The project embeds a

sustainable water management policy

that aims to avoid lowering the area’s

water table,” said Ulrich. “Cooling will be

supplied via geothermal plants,” he said.

“As well as boosting Hungary’s supply

of tomatoes, peppers and aubergines,

the site will host Europe’s largest inland

fishery, cultivating salmon, bass and sea

bream,” he said.

WOODMAC: SOLAR PLANTS CHEAPER THAN NATURAL GAS ‘JUST ABOUT EVERYWHERE’ BY 2023

HUNGARY TO BUILD $1 BILLION GREEN-POWERED TOWN FROM SCRATCH

EWSN

Page 17: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

15ENERGY FUTURE JANUARY–JUNE 2019

Solar will soon be able to outcompete

gaIn the northern Georgia, near the

Tennessee line, the city of Dalton made

its fame as the carpet capital of the world.

These days a more accurate title would be

floor covering capital of the world. It has

diversified into hardwood, tile, laminate

and other materials. And in a big move

last year, Dalton added a new industry to

its manufacturing mix: the largest solar

panel assembly plant in the western

hemisphere, a $150 million investment.

This is just one sign that in Georgia,

solar is booming. Like most states in

the southeast, Georgia doesn’t have the

kind of state-level mandates that have

propelled the growth of renewable

energy in other parts of the country. Nor

is it because of a groundswell of public

concern over climate change or the

need to curb greenhouse gases. Instead,

there are powerful market forces at work.

The United States is the second largest

market for solar in the world after China.

Ever cheaper and better solar technology,

available land and lots of sunshine are

driving demand for massive, utility-

scale solar projects across the American

southeast.

“Headquartered in Seoul, South Korea,

Hanwha showed up in Dalton in early

2018,” says Mayor Dennis Mock. “They

knew we were good for manufacturing

jobs and plenty of them,” he says.

Georgia’s then Governor Nathan Deal

announced the plant in May 2018, four

months after President Trump imposed

a 30% tariff on solar panel imports. The

plant began shipping panels in February

2019. Today, the Dalton plant runs 24/7,

employing 600 American workers who

operate the high-tech assembly lines

imported by Hanwha from Korea. The

solar cells — the parts that actually

convert sunlight into electricity — are

also manufactured in Korea. They are

not currently subject to tariffs, but they

could be next year, when a quota on cell

imports will likely be reached. Operating

at capacity, the factory is now assembling

10,000 panels a day. “Tariffs have made

it such that for the time being, this is

the most attractive place to assemble

panels for use in the U.S. market,” says

Moskowitz. “The vast majority of these

will end up in projects in the U.S.”

Source: NPR

The world is moving towards an era of

vastly improved energy choices. That

was one of the key messages of US

Energy Secretary Rick Perry, speaking

at CERAWeek 2019 in Houston, Texas.

“We’re approaching the dawn of what

I call the new American energy era,

an era of vastly improved choices for

the entire world where we embrace

new and smarter ways to reach our

energy and our environmental goals,”

Perry said. Speaking at the event

in Houston, which brings together

energy industry leaders and politicians

from across the globe, Perry defined

this new era as one characterized by

renewables such as wind power, digital

technologies like artificial intelligence

(AI) and, in particular, the expansion of

liquefied natural gas (LNG) around the

world. It was these three topics — gas,

renewables and digital technologies —

that speakers at CERAWeek 2019 kept

coming back to as the fundamental

forces shaping the future of energy.

By liquefying its vast shale gas

reserves, the United States has become

a net exporter of LNG and could become

a net energy exporter overall as soon

as 2020. This is having a global impact

on LNG supply, not only in terms of

quantities being made available by

the United States — which could soon

overtake Qatar and Australia as the

world’s biggest exporter of LNG —

but also by encouraging many other

countries to pursue their own export

plans. Low electricity prices are even

attracting oil-rich nations like Saudi

Arabia to invest in renewables. Paddy

Padmanathan, CEO and president of

Saudi Arabia-based developer ACWA

Power International, predicted that low

prices and a strategic goal to diversify its

electricity supply would see the kingdom

rapidly expand its renewables capacity.

The changes being wrought by

new digital technologies were on the

lips of everyone at CERAWeek 2019,

from Perry’s fascination with AI to Ford

Executive Chairman Bill Ford’s views on

autonomous and electric vehicles. In

the energy sector specifically, speakers

highlighted the use of blockchain to

enable direct or ‘peer-to-peer’ energy

trading and the use of AI to interpret

data from sensors and drones to improve

the operation and maintenance of

facilities. AI is even being used to control

power plants. Speaking at a session on

digital transformation and the future

of power, Mitsubishi Hitachi Power

Systems (MHPS) Americas President

and CEO Paul Browning highlighted his

company’s development of the world’s

first autonomous power plant.

Source: Forbes

GEORGIA BECOMES A SURPRISING BRIGHT SPOT IN THE US SOLAR INDUSTRY

THESE THREE FORCES ARE SHAPING THE FUTURE OF GLOBAL ENERGY

Page 18: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

TIME TO SHINESOLAR ENERGY IN INDIA

Page 19: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

17ENERGY FUTURE JANUARY–JUNE 201917171ENENENNENENNEENNE ERERERERREREERRRRREREEEE GGYGYGYGYGGGG FFFFFFFFUUTUTTTUUUUUU URUURURREEEEEEEE JAAJAAAAAAAAAANNNUNNUUUUNNUNUNUNNNNUUUAARARARRARAARRRRRRYYY––Y–Y–YY–Y––Y JUJUJUJUUUUUJJ NENNEEENEENEEEENNN 202000202000202019191191

A major change in the global energy landscape over the last few years has been the transition from fossil fuels and non-renewable sources of energy to renewable and cleaner sources of energy. Over the course of this transition, several considerations have been made to ensure that it happens as smoothly as possible. Aayush Dutta, through this article, focuses on the environment and scientific considerations by governments around the world towards ensuring this transition. The environmental impact of a particular form of energy is fairly self-explanatory, that is, the effect of using solar energy on the environment, be it positive or negative. However, scientific significance is something that is fairly complex. Scientific significance, as comprehended through this article, raises questions such as how the technologies employed in various solar projects around the country change the norm of usage of solar energy in the country and how a new technology and the various kinds of new technologies lend additional efficiency to the solar energy landscape in India.

Page 20: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

18JANUARY–JUNE 2019 ENERGY FUTURE

Significance of Solar

Energy in India India is one of the most densely

populated countries in the world. With a

population of around 1.3 billion people,

fossil fuels continue to be insufficient to

satisfy the growing energy needs of

the country. There are also numerous

other factors that make India suitable

for the utilization of solar technologies.

India’s geographical location also works

to its benefit in this regard. India, lying

fairly close to the equator, has a high

exposure to the sun’s rays; therefore, it

can be said to have high solar insolation.

India receives solar radiation all

throughout the year, which roughly

amounts to 3000 h of sunshine that can

be used to generate wattage of up to

5000 trillion kWh. This amount would

be more than enough to satisfy all the

energy needs of the country.

Another factor is that solar energy

does not add to the already high

pollution levels in the nation since it

does not release carbon dioxide or

CO2 (a primary pollutant) when it is

transmitted. Projects such as the smart

grid in Haryana and solar rooftops in

Gujarat reveal that solar power is the

way forward for India to progress from a

developing country to a developed one.

The analysis of the various technologies,

materials, and scientific concepts used

in these projects in India forms the focus

areas of this article.

Manifestations of Solar Energy Over the years, there have been

numerous tangible manifestations of

solar energy, for example, household

appliances such as solar water heaters

and solar cookers. The development

of renewable energy in India has also

meant that the shift to renewables can

be made at the smallest possible levels.

For instance, companies such as the

Tinytech Plants in Rajkot, Gujarat are

making parabolic solar cookers that

are large enough to cook food for a

community comprising 40–60 people

at a time. These cookers also take up

very little area and are fairly lightweight

relative to the amount of food they

can cook at a time. Essentially, all the

components of the economy are doing

their bit in making this transition swiftly.

Companies like Tinytech and initiatives

such as the Bijli Bachao ensure that India

soon becomes a ‘green’ superpower.

Solar Cells and Their WorkingSolar energy is essentially light (radiant

energy) produced by the sun that

travels towards the Earth in the form

of electromagnetic waves. Usage of

solar technology enables the capture

of this radiant form of energy and

converts it into heat or electricity.

The capture of this radiant energy is

based on a phenomenon known as the

photoelectric effect, that is, the ability

of a substance (in most cases a metal)

to emit electrons when light strikes on

it. The solar cell is the main instrument

through which we are able to capture

Page 21: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

19ENERGY FUTURE JANUARY–JUNE 2019

energy radiated by the sun. The most

commonly used material in solar cells is

silicon. Silicon being a metalloid is able

to display properties of metals and non-

metals which make it a key ingredient in

solar cells today.

As sunlight, containing tiny particles

known as photons, strikes the silicon

atoms of the solar cell, the photons

transfer energy to loosen electrons and

knock them off the atoms. However, this

is only half of the work of the solar cell.

The cell then groups the electrons and

shapes them into a beam, thus forming

an electric current. This process involves

creating an electrical imbalance within

the cell due to a difference of positively

and negatively charged particles within

the cell. The imbalance provides what

can be described as a slope, down which

electrons flow in a particular guided

direction.

Solar Modules Owing to the growing energy needs, a

developing economy, and increasing

pollution levels in India, it is crucial to

first decide the kind of solar photovoltaic

cell to use. In India, according to the

website of India’s electricity conservation

initiative ‘Bijli Bachao’, the most readily

available solar cells in India are of the

crystalline variety, more specifically,

polycrystalline and multicrystalline due

to their reduced costs.

A polycrystalline solar panel is a

mid-range crystalline solar panel and

is made by pouring molten silicon

into a cast. Due to this construction

method, the crystal structure forms

imperfectly, creating boundaries where

the crystal formation breaks. This gives

the polycrystalline silicon its distinctive,

grainy appearance. This grainy structure

results in reduced efficiency as

compared to monocrystalline solar cells,

which are the most efficient. However,

due to the quality being slightly inferior,

less materials and less energy in the

manufacturing process are required to

construct polycrystalline solar panels.

Reduced cost means that solar panels of

these types are preferred by both buyers

and sellers (producers) in a developing

economy such as India.

The next important factor that needs

to be taken into consideration when

addressing the right solar panel for India

is the climate. In a research conducted in

Malaysia by Azhar Ghazali M and Abdul

Malek Abdul Rahman regarding which

solar cell performs best in Malaysian

climate, it was found that polycrystalline

solar cells have shown better

performance ratio and average module

efficiency compared to the other tested

PV cells under Malaysian climate.

Although the climate in Malaysia is more

humid as compared to India, the one

major similarity between the two is the

solar intensity, that is, the exposure to

the sun’s rays throughout the year. India,

like Malaysia, is a developing economy

and has high solar insolation, another

reason why polycrystalline solar panels

are favoured in India.

Temperature too affects solar output

to a great extent. As temperature

Page 22: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

20JANUARY–JUNE 2019 ENERGY FUTURE

increases from 25°C, it is followed by

increase in current, decrease in voltage,

decrease in power, and vice versa.

Now the extent to which this increase/

decrease takes place is expressed in

terms of temperature co-efficient as

percentage change per degree of

temperature change (e.g., power change

= −0.04%/°C). Hence, if the temperature

is, say, 40°C, then the rise in temperature

from 25°C is 15°C. Hence, the power

will decrease by 15 x 0.04%, that is,

0.6% from its rated power. Lower the

value of this temperature co-efficient,

better stability the panel will give under

different operating conditions.

Support by the Government

of India The Government of India also has made

significant headway in the transition

from non-renewable to renewable forms

of energy. According to the Ministry of

New and Renewable Energy (MNRE),

Government of India, about 5000

trillion kWh per year energy is incident

over India’s land area, with most parts

receiving 4–7 kWh per m2 per day.

MNRE website states, “Under First

Phase of Jawaharlal Nehru National

Solar Mission (JNNSM) to be

implemented between 1st April 2010

and 31st March 2013, 200 MW capacity

equivalent off grid solar PV systems and

7 million m2 solar thermal collector area

to be installed in the country.  During

first year of first phase (2010–11),

a target of 32 MW solar PV off grid

systems and 5 lakh m2 solar thermal

collector area was set.  The targets are

to be achieved through various channel

partners mentioned in the scheme. As

on February 2011, the achievements

figures are 38.5 MW for off grid PV

systems and 1.2 lakh m2 solar thermal

collector area.”

Solar Technologies

Employed in Prominent

Solar Projects in India

Rooftop Mounted As the horrors of using fossil fuels

have begun to come to light in the

country, government officials have

begun to authorize the transition from

non-renewable to renewable forms of

energy. Companies like Azure Power are

at the forefront of this transition. They

installed the first solar rooftop in Gujarat

that has since become the largest solar

project in India in residential areas.

Considering the current trends in India,

rooftop projects tend to be not only

the most common but also the most

profitable and efficient. Almost all solar

rooftop projects are profitable because

they require only a structure to be

mounted which in most residential and

municipal areas is quite readily available.

A grid-connected rooftop solar

photovoltaic (PV) system generates

electricity from the sun using primarily

crystalline solar modules mounted on

top of roofs of residential, commercial,

institutional, or industrial buildings.

Depending upon the shadow-free area

available on the rooftop, a plant of size

1–500 kW may be installed as per central

government scheme.

Solar PV system comprises electrical

and electronic equipment, such as solar

modules, inverters, cables, and switch

Page 23: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

21ENERGY FUTURE JANUARY–JUNE 2019

gears. When all these components are

combined together and placed in open

space facing sunlight, the system begins

generating electricity. The electricity

thus generated can be stored in batteries

or used directly by the consumer. If the

consumer is not storing electricity and

unable to consume complete power

generated by the solar PV system, he can

also feed the excess power to the utility

grid. All components other than the PV

modules are termed as the balance of

system (BoS). The components included

in BoS are detailed as follows:

» Mounting structure: It is used to

support and hold the PV panels. The

structure is designed depending on

the roof type, structural strength, cost,

wind loads, etc.

» Wiring and cabling: DC cables are used

to connect solar panels and connect

the string with inverter.

» Safety equipment: Safety features

protect the solar system from being

damaged or harming people during

the events, such as lightning event,

power surge, and malfunctioning

equipment. The safety equipment

consists of safety disconnect,

grounding equipment, and surge

protection.

» Bi-directional meters: Bi-directional

meters are used to keep track of the

electricity produced by the solar

system and the electricity that is used

from the grid.

This is a brief overview of the

equipment used in the solar rooftop

project obtained from the website of

Surat’s municipal corporation.

Next, let’s also consider the Smart

Grid Project in Gurugram, Haryana.

Gurugram, being one of the most

prominent industrial and financial

hubs of the country, was in desperate

need of an efficient and green manner

of generation of electricity. Haryana

also has a large rural population and

the project has been highly helpful in

developing rural regions and supplying

electricity to villages so as to keep

the masses employed and boost the

economy. The per capita consumption

of electricity in Gurgaon is around

4000 kWh per annum, which is expected

to increase up to 6400 kWh by 2022. The

project was divided into three phases,

with each phase covering multiple of

the 57 sectors in Gurugram. The project

made efficient and innovative use of

the existing technology to deal with

the major problems of transmission and

distribution (T&D) in Gurugram. In fact,

Gurugram has witnessed power demand

growth in proportion to the district’s

population growth rate. Peak demand

requirement has risen exponentially in

the past one decade. In order to meet

the rising demand, a number of steps

have been taken up to strengthen its

T&D network.

The essence of the project is that

over 7000 power lines will be shifted

under all throughout the city after the

installation of solar panels across the city

in schools and other municipal areas.

The next project is the Indira

Paryavaran Bhawan. This project’s

outline involves a plot of 9565 m2 upon

which a multi-functional government

building will be built. The entire

building, including a fully automated

robotic parking lot, will be powered by a

rooftop solar plant. This is a project that

began in 2014 and has since become

one of the most innovative solar power

projects in India. The rooftop solar plant

will span 6000 m2 and will generate

wattage of 930 kW. This is India’s first

multi-storeyed building with 100%

on-site power generation. The project

has also used multiple energy saving

schemes to cut down on costs and

channel the funds into developing more

advanced technologies, such as the

aforementioned automated and robotic

parking lot. The energy saving schemes

include usage of specialized LED lights

and sensors to ensure that the energy

reserves are not depleted unnecessarily.

This is a diagram depicting the procedure of harnessing solar energy via crystalline (and maybe thin film) solar modules mounted on the roof of a house and rerouting it to the mains of the house to supply electricity.

Page 24: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

22JANUARY–JUNE 2019 ENERGY FUTURE

Despite the fact that the project is on a

much smaller scale as compared to the

two mentioned earlier, the fact that it

was one of the first projects to use only

solar energy to power all the facilities,

including an automated parking lot,

makes it one of the most notable solar

projects in India.

Next, let’s learn about India’s first

MW rooftop solar plant which has been

installed at the Thyagaraj Stadium in

New Delhi. The Thyagaraj Stadium,

developed by the Government of

Delhi, is planned to be a model green

stadium. The power system will

be created using Suniva’s thin film

monocrystalline solar cells, which are

said to have an efficiency of up to 20%.

The project is expected to generate

around 1.4 million kWh of electricity per

year to fulfil the power requirements

of the stadium, with surplus electricity

being fed into the grid at 11 kV. Suniva

uses the ARTisun technology, which

involves screen printing for making

contact lines on the solar cells. Screen

printing is a way of texturing the

surface of the solar panel to reduce

reflection and increase absorbance.

The solar cells also use closely spaced

metal lines to reduce the power loss

due to resistance, a considerable factor

allowing it to generate electricity of

the magnitude as mentioned earlier.

The electricity generated by the plant

A bird’s eye view of the solar cells lined on the rooftop

Page 25: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

23ENERGY FUTURE JANUARY–JUNE 2019

has also been channelled into the city

grid, enabling the industries to keep up

with their ever-growing power needs.

The other major point regarding this

project is that it has been completely

certified as green; that is, the project

is 100% environment-friendly due to

the fact that the dyes used on the solar

cells and the material used for screen

printing and texturing are not harmful

when emitted out in open air.

Environmental Benefits

of Going Solar in India Although the processing of quartz

required to make the industry-grade

silicon used in solar panels involves a

large amount of carbon emissions, the

primary reason to make the switch to

solar is the fact that this panel will now

produce emission-free energy for the

next 15–20 years until its efficiency

reduces from its initial level.

Another very important reason is

the fact that the energy and the non-

renewable resources required to make

10 solar panels can be recovered by

one panel generating energy within

2 months. Even after considering the

manufacturing and processing stage

of solar, the emissions generated are

3–10 times less than generating the

same amount of energy from fossil

fuels. Also, the payback time period for

polycrystalline solar panels is from 2 to

3.5 years, which is great compared to the

non-existent payback time of fossil fuels.

Payback time is essentially the benefit

derived from a commodity in order to

produce more of the same commodity.

A recent discussion amongst experts

and researchers arose about the fact

that the dyes being used to manufacture

solar panels are not ‘green’. The term

‘green’ means a product or material

whose waste and by-products do not

cause harm to the environment while

being used to manufacture a different

commodity. While this argument was

true in the past, more recently there

has been a conscious effort by both

private companies and the government

to ensure that the dyes used in the

manufacturing process are acceptable

by the standards set by international

environmental and scientific

committees.

Conclusion Over the last few years, we have

witnessed, as a nation, the growth

of many sustainable initiatives. Even

Page 26: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

24JANUARY–JUNE 2019 ENERGY FUTURE

students at the school level are initiating

projects wherein they are electrifying

schools for underprivileged children

completely free of cost. In every corner

of the country, efforts are being made to

contribute towards the United Nations

Sustainable Development Goals (SDGs)

and the government has played a huge

role in facilitating a lot of the energy

work being conducted in India. This

shows that the usage of renewable

sources of energy, such as solar, marks a

shift in the mindset of the Government

of India and the population from an

environmental standpoint. This positive

shift signifies that people are now more

willing to accept sources of energy that

take time to establish, but once they

are established, they function on the

principle of sustainable development

wherein not only do they satisfy their

own needs in an environmentally

responsible manner but they also

use resources in order to maintain an

environment where the youth of India

can prosper.

Aayush Dutta is a Grade 12 student of

The Shri Ram School, Aravali and an avid

environmentalist.

Page 27: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

For orders and enquiries, please contact:

The Energy and Resources InstituteAttn: TERI Press, Darbari Seth Block, IHC Complex, Lodhi Road, New Delhi – 110 003

Tel.: 24682100/41504900 Fax : 24682144, E-mail: [email protected] the TERI Bookstore at http://bookstore.teriin.org

Caring for Nature is a series of four titles. Each title revolves around a historical

An imprint of TERI

CARING FOR NATURE

Subhadra Sen GuptaIllustrations by Tapas Guha

AND THE SONG OF THE CRAZY WIND

Badal finds his new home Santiniketan really strange. His classroom is under a tree, mornings are spent listening to birds, and afternoons in gardening! But what he finds most fascinating is the gentle, grandfatherly, but elusive Gurudev, the famous poet. On a cloudy, windy day, they finally meet. And the beauty of nature inspires an equally beautiful creation.

Keshav and his sister Parvati work in a herb and spices garden at the Sanchi monastery. One day, while tending to the plants, they meet a mysterious stranger. He says he is a monk keen to learn the benefits of various herbs. But he looks more like a warrior! Will the brother-sister duo be able to unravel the secret of the stranger’s identity?

CARING FOR NATURE

CARING FOR NATURE

Subhadra Sen GuptaIllustrations by Tapas Guha

AND THE GARDEN OF HERBS

Little Rano and her friend Gokul spend a quiet, peaceful life at Gandhiji’s Sabarmati ashram. They make khadi, feed goats, water gardens, and learn from Bapu how to turn waste into wealth. But one day, a distressed Gandhiji tells them he has misplaced his pencil! And a desperate search begins. Will Rano and Gokul succeedin helping Bapu?

CARING FOR NATURE

Subhadra Sen GuptaIllustrations by Tapas Guha

AND THE MISSING BLUE PENCIL

In the dry, rocky, hilly land of Marwar, when an angry sadhu puts a curse on rains, the worried King Rao Jodha summons an old Gajdhar, a water expert. He and his young assistant Birju start locating suitable places for building water tanks. Even if water is stored and saved, how will it be moved uphill to the King’s new palace? Find out with Birju and Gajdhar.

CARING FOR NATURE

Subhadra Sen GuptaIllustrations by Tapas Guha

AND THE CURSE OF THE HERMIT

Page 28: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

DELHI ELECTRIC VEHICLE POLICY

2018

Page 29: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

27ENERGY FUTURE JANUARY–JUNE 2019

The national capital of ‘Delhi’ has been already declared as a ‘Gas Chamber’ by the

Chief Minister of Delhi. Hence, to deal with the situation, the State Government of

Delhi released the draft of Delhi Electric Vehicle Policy on 27 November 2018. In this

article, Dr Atul Agarwal discusses the measures the policy takes to address major

issues, that are necessary for the growth of electric transport infrastructure in order

to combat air pollution in the city. The policy aims to bring down vehicular emissions

in order to improve Delhi’s air quality. For the same, the strategy seeks to drive quick

adoption of electric vehicles in such a manner that the share of registration of electric

vehicles will be 25% in the total registration of new vehicles by 2023.

Page 30: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

28JANUARY–JUNE 2019 ENERGY FUTURE

Background When the State Government of Delhi

declared the city a gas chamber on

November 7, 2017, nobody knew that

it was also making efforts to address

the situation. With the Air Quality Index

of 1010 (on November 8, 2017, 8 PM),

United Airlines cancelled its flights to

Delhi; however, the city’s own residents

had no other option but to breath in

the air which was equal to smoking 50

cigarettes in a day and affected their

health.

The growing trajectory of population

in the national capital region is

contributing to the air pollution. The

purchase of conventional internal

combustion engine vehicles and their

use to commute have led to significant

increase in air pollution. The number of

registered vehicles crossed the mark of

1 crore in May 2017 in Delhi itself.

1 FAME (Faster Adoption and Manufacture of (Hybrid and) Electric Vehicles) Scheme was launched by the Ministry of Heavy Industries and Public

Enterprises in 2015.

In addition, the city is accumulating

1400 vehicles daily in the above-

mentioned tally. Also, there are

numerous uncounted vehicles not

registered with Delhi’s regional traffic

office and running on road fearlessly.

Cross border traffic survey, conducted

by Centre for Science and Environment,

predicts that 5.7 lakh passenger and

personal vehicles enter the capital

on a daily basis. Though the State

Government of Delhi tried twice to limit

the traffic by using ‘Odd-Even Scheme’ in

2016, it could not take it forward due to

a number of constraints.

Policymakers thought of this

situation on the national level and

launched the ‘National Electric Mobility

Mission’ in 2013. Though this mission

was designed to aim fuel security and

was supported by FAME1 India Scheme

for manufacturing of hybrid and electric

vehicles in India, it also enabled citizens

to realize the importance of electric

vehicles in addressing air pollution and

other climate concerns.

Amidst the talks of Central

Government for launching a fresh

focused policy on electric vehicles at the

national level, it is the State Government

of Delhi that won the race on 27

November 2018. The Delhi Government

has notified a draft of ‘Delhi Electric

Vehicle Policy 2018’ for public comments

and feedback.

The policy aims to bring down

vehicular emissions in order to improve

Delhi’s air quality. For the same, the

strategy seeks to drive quick adoption

of electric vehicles in such a manner

that the share of registration of electric

vehicles will be 25% in the total

registration of new vehicles by 2023.

Page 31: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

29ENERGY FUTURE JANUARY–JUNE 2019

Delhi Electric Vehicle

Policy 2018Keeping in mind the popular

transportation segments in New Delhi,

it is evident that two-wheelers comprise

the two-thirds share in new vehicle

registration. In addition, public and

private shared transportation modes,

namely, buses, cabs, autos, rickshaws,

have a large fleet on Delhi roads. A push

for electrifying these segments will

definitely have positive consequences

on the environment. Hence, to coerce

the adoption of electric vehicles on

a large scale, the policy provides

incentives for purchasing and using

electric two-wheelers and also supports

electrification of public and shared

modes of transportation through its

different provisions.

Electric Two-WheelersThe existing conventional internal

combustion engine two-wheeler

does not fulfil the BS (IV) Standard;

on scrapping and deregistering it, the

owner will be incentivized with `15,000.

The incentive will be applicable for

2 years from the date of notification of

the policy. This incentive will be issued

in the form of a certificate that can

be redeemed on the purchase of an

electric vehicle in the same financial

year, provided that the electric vehicle is

listed under the FAME India scheme.

A customer can avail ‘Purchase

Incentive’ equivalent to 50% of the

demand incentive which is being

offered under the FAME India scheme.

Additionally, ‘Top-up Incentive’ of up

to 50% of the FAME India incentive will

be sanctioned to two-wheelers having

swappable battery specification for

3 years from the date of notification of

this scheme.

The State Government of Delhi will

notify the list of two-wheelers for the

purpose of granting Top-up Incentive.

Such electric vehicles will be exempted

from registration fee, road tax, and

parking fee. Also, these electric two-

wheelers can be used for commercial

purposes (taxi/rental services) after

obtaining necessary approvals.

Incentives as mentioned above will

be functional as per the FAME India

policy guidelines. In case incentive

provisions under FAME India are being

altered, the State Government of Delhi

will review the additional incentives

mentioned under this policy and

ensure price competitiveness of the

electric two-wheelers with conventional

vehicles.

Electric Three-Seater

Auto-Rickshaws The existing three-seater auto-rickshaws

(TSRs), that are more than 7 years old,

will be granted `15,000 as incentive

upon scrapping, deregistering the

vehicle, and surrendering the permits.

This incentive will be issued in the form

Page 32: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

30JANUARY–JUNE 2019 ENERGY FUTURE

of a certificate which can be redeemed

on the purchase of an electric auto in

the same financial year provided that

the vehicle is listed under the FAME

India scheme. The issued incentive

certificates are transferrable. Moreover,

the permit for older conventional

vehicle can be exchanged with the

electric auto permit at no additional

cost. An open permit can be taken up for

electric autos, which means there will be

no limit on the number of permits for a

particular body or a person.

Electric autos, for the purpose of

this scheme, should be configured with

swappable advanced batteries, while

other specifications will be the same

as defined in the FAME India scheme.

However, a list of eligible electric autos

under this scheme will be prepared

and notified by the State Government

of Delhi. These electric autos will be

exempted from registration fee, road

tax, parking charges, and auto-rickshaw

permit charges. An individual with LMV

license and a PSV badge can apply for

permits although these permits are non-

transferrable. The State Government of

Delhi also seeks to drive wide ownership

to improve income of electric auto

owners. Hence, it will provide financial

support. The provisions of policy provide

that 5% of the purchasing price can be

taken up as a down payment subsidy.

Also, 5% interest subvention will be

supported by the government with the

capping of `12,500.

Electric Rickshaws The policy proposes replacement

of lead-acid battery driven electric

rickshaws with new generation

swappable battery driven electric

rickshaws. The State Government of

Delhi will provide a ‘Hire Purchase

Scheme’ under which an individual

with a valid license and PSV badge can

have an electric rickshaw by paying

5% of the purchase amount. The

remaining amount can be paid in the

next 36 months with 5% interest rate.

However, the list of approved electric

rickshaws will be notified by the State

Government of Delhi for this purpose.

The State Government of Delhi will also

provide financial support through DFC

empanelled banks for NBFC. Under the

scheme, 10% of the purchase price can

be taken up as a down payment subsidy

with the ceiling of `20,000. Also, 5%

interest subvention will be supported by

the government with the loan amount

capping of `180,000 and will be granted

for 3 years.

e-Cabs/AutosApp-based service and mobility solution

providers will be invited to join the

scheme christened as ‘App-based

e-cab/e-auto user incentive scheme’.

These app-based aggregators need to

have a fleet of electric cabs or electric

autos to offer green rides. The State

Government of Delhi will offer cashback

on such green rides which will be up to

20% of the trip cost with the capping of

`10 per ride.

Page 33: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

31ENERGY FUTURE JANUARY–JUNE 2019

e-BusesThe State Government of Delhi looks

forward to procure at least 50%

electricity buses out of the total number

of buses to be procured in the region

for the period of 2019–2023. The

government is going to purchase the

first consignment of 1000 pure electric

buses in 2019, which will be a significant

addition towards achieving the target

of having zero emission by 50% public

transport by 2023. The government

will also offer considerable incentives

to private bus operators in Delhi for

electrifying their fleet.

Charging InfrastructureCharging infrastructure is a key driver

to accelerate the growth of electric

vehicle emission. In line with the same,

the policy provides significant enabling

provision for public as well as private

charging infrastructure.

In the case of private charging

infrastructure, as most of the end

users park their vehicles at their

homes and offices, it is expected that

these electric vehicles will be battery

charged there. Keeping in mind the

same, all renovated and new non-

residential, commercial buildings,

having parking space for more than 10

equitant car spaces should be ‘EV ready’

by converting 20% of the available

parking space into e-parking zone, with

installed e-charging points/stations

to charge electric vehicles. Moreover,

all renovated and new residential

buildings, group housing societies,

co-operations, and colonies

administered by residents welfare

association, having parking space for

more than 10 equitant car spaces,

should be ‘EV ready’ by converting

100% of the available parking space

into e-parking zone, with installed

e-charging points/stations to charge

electric vehicles. The existing residential

societies and building owners will be

encouraged to install one charging

point/station for every three equivalent

car spaces. The State Government of

Delhi shall provide 100% purchase

grant, installation cost with the capping

of `30,000 per charging point/station

for the first 10,000 charging points/

stations, provided that the charging

point fulfils the specifications as

specified in BEVC- AC001 norms. The

existing market associations and

commercial building owners will be

encouraged to install one charging

point/station for every three equivalent

car spaces. The State Government of

Delhi shall provide 100% purchase

grant, installation cost with the capping

of `30,000 per charging station for the

first 10,000 charging points/stations,

provided that the charging point fulfils

the specifications as specified in BEVC-

AC001 norms. The Power Distribution

companies will be mandated to work

closely with the owners of the above

specified residential and commercial

buildings to ensure availability of

adequate supply infrastructure to

these charging stations. On the other

Page 34: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

32JANUARY–JUNE 2019 ENERGY FUTURE

hand, provisions also provide support

for special tariff in order to ensure

competitiveness.

Public Charging

InfrastructureThe State Government of Delhi aims

to provide public charging facility

available within 3 km from any spot

in Delhi. This needs robust efforts.

The entire Union Territory will be

unbundled into 11 ‘travel districts’.

These travel districts will be mapped

with the existing ‘revenue districts’. The

State Government of Delhi will invite

bids from ‘Energy Operators’ to set

up charging stations in the specified

travel districts. Successful bidders

will be given the right to operate

public charging infrastructure in the

respective travel district for the period

of 10 years.

The State Government of Delhi will

provide capital subsidy to qualified

bidder towards the charger cost and

installation expenses. However, no

operational subsidy will be provided

to the bidder. The qualified bidder will

have the liberty to price the service

on their own. Technical specifications

of charging infrastructure will be

defined by the transport department

of the State Government of Delhi.

The department will lay down

these specifications in line with the

BEVC-AC001 and DC001 norms.

Any alternation on these norms by

the Central Government will lead

to subsequent changes. The State

Government of Delhi shall provide

concessional locations in every district

for setting up charging infrastructure.

These concessional locations will be

identified at existing metro stations,

bus depots, terminals, public parking

zones, and other recognized places

to ease out the entry and exit of

vehicles. Apart from these concessional

locations, the energy operators will

also be free to put their charging

infrastructure to other sites.

Battery Swapping

OperatorsThe State Government of Delhi also

looks forward to set up business for

battery swapping. Bids will be invited

from battery manufacturers and other

interested parties to identify three

qualified ‘Battery Swapping Operators’ to

operate across the Union Territory. The

bidding will be based on two factors: the

number of swapping stations a bidder

commits to place within 2 years and the

price they will charge for per unit kWh

power from users, including all fixed and

variable costs.

The qualified battery service

operators will be able to install and

operate the battery swapping stations

within existing metro stations, bus

depots, terminals, public parking zones,

and other recognized locations. The

space at these recognized locations

will be allocated by the government

on minimum lease rental. The battery

swapping operators can also operate

Page 35: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

33ENERGY FUTURE JANUARY–JUNE 2019

these stations in collaborations with

energy operators. They will also be free

to run the swapping kiosks through

franchisees or business associates.

Battery Recycling

EcosystemAn electric vehicle requires two batteries

in 10 years of its lifespan. Electric vehicle

batteries need replacement once they

get degraded 70–80% to their capacity.

In order to prevent high environmental

cost, the policy will drive reuse and

recycling of these batteries. The policy

also gives responsibility to ‘Energy

Operators’ and ‘Battery Swapping

Operators’ to act as ‘end of life battery

recycling agencies’.

Any electric vehicle user may deposit

the degraded batteries to any charging

station or battery swapping station. In

lieu of that, the user will be reimbursed

at a considerable price. A nodal agency

appointed by the government shall

purchase and aggregate such batteries

that have degraded to 70% of their

capacity. These batteries will be sold

out to renewable power generators for

using them as power banks for storing

renewable energy. On the other hand,

batteries that cannot be used further

and have reached their end of life will be

sent for recycling. During the recycling

process, high-value battery material

(cobalt and nickel) will be fetched out

and then these batteries will be sold

out to battery manufacturer for re-use.

In this regard, the government shall

also invite bids for establishing battery

recycle business in the city.

Special Support from

Power SectorThe Delhi Electricity Regulatory

Commission in Tariff Schedule 2018–19

identifies the tariff applicable for

energy operators and battery swapping

operators to run their respective stations.

It is mentioned that power be provided

on `5.50/kWh, whereas time of day

rebates will also be applicable. The State

Government of Delhi will endeavour to

maintain this special tariff identical for

the entire duration of the policy. The

Delhi Government also seeks to provide

the facility of open access without

conditioning the provision of a minimum

1 MW contract demand. The government

will also facilitate the Energy Operators

and Battery Swapping Operators with

‘Power Banking’ by means of which

the operators can establish the captive

renewable power generating plants and

can exchange power from second person

as and when needed.

Concept of ‘Feebate’The Transport Department, State

Government of Delhi will disseminate

real-time information about the public

charging infrastructure. The government

will use ‘feebate’ concept to provide an

additional support arm to this policy

by which vehicles with conventional

fuels will be charged ‘fee’ while electric

vehicles will receive ‘rebates’. A pollution

cess will be applicable from April 2019

on all petrol and diesel engine vehicles.

As diesel is pollutes more than petrol,

the pollution cess on diesel engine

vehicles will be on the higher side. On

the other hand, all internal combustion

engine vehicles will have to pay

additional air quality parking surcharge

on existing parking fare. These vehicles

will also need to pay additional road tax.

However, all these surcharges and taxes

will be reviewed and revised once every

year. The revenue collected from these

taxes and surcharges will be credited

into the State Electric Vehicle Fund.

Concluding RemarksIndia is a member country of a multi-

government policy forum ‘Electric

Vehicle Initiative (EVI)’, launched

by International Energy Agency in

2010. The nation is committed for

the development of EVI activities. At

present, India is suffering from high

degree of pollution. It is believed that by

going electric, one can have better air

to breath. The national capital of ‘Delhi’

has been already declared as a ‘Gas

Chamber’ by the Chief Minister of Delhi.

Hence, to deal with the situation, the

State Government of Delhi took initiative

and came up with Delhi Electric Vehicle

Policy 2018. Though the policy does not

support hybrid vehicles, it significantly

focuses on the transportation segments

which are being used by the citizens

for the last mile connectivity. The policy

tries to address various key hurdles

for the adoption of electric vehicles

by incentivizing the purchase and use

of electric vehicles and by providing

adequate e-infrastructure. The policy

also foresees the creation of significant

job and training opportunities.

Dr Atul Agrawal  is a faculty member at NTPC

School of Business. His areas of interest are

Energy Management, Regulatory Framework

of Energy Sector, Sustainable Development,

Qualitative Research Design and Methodology.

He can be reached at [email protected].

Page 36: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

34JANUARY–JUNE 2019 ENERGY FUTURE

Power Generation in

India TodayAlthough India depends on a wide

variety of power generation sources,

more than half of the country’s

India Stepping Up Efforts to Add Renewables and Lower Emissions in the Wake of Paris Agreement

India’s focus on renewable energy started more than 100 years ago with hydro

plants. However, the country accelerated its commitment after signing the Paris

Agreement, the landmark accord designed to combat climate change. Developed

during a United Nations convention in 2015 and ratified by 185 nations the

following year, the Agreement urges countries to fast-track the actions needed for

a sustainable, low-carbon future. With that goal in mind, the country is continuing

to target renewable energy solutions and, at the same time, lower emissions. In this

article, Suresh Nagarowth talks about India’s target of finding renewable energy

solutions and at the same time lowering emissions.

installed capacity comes from coal.

According to the Ministry of Power,

as of January 2019, the country’s total

installed capacity in the utilities sector

was nearly 350 GW, while the recent

India Infrastructure Research report

indicates that captive power plants

(CPPs) of more than 1 MW account for

approximately 67.8 GW of additional

capacity. Finally, less than 1 MW units

made up of mobile and static diesel

generator sets and rooftop solar

Page 37: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

35ENERGY FUTURE JANUARY–JUNE 2019

systems account for another 60 GW to

80 GW.

Much of that generated power is

being used in the industrial sector,

which consumes up to 50% of the

country’s power depending on

the season. Next the domestic and

agricultural sectors consume about

a fifth of the nation’s power each.

Agriculture is seasonal, however, and is

tilted more towards the country’s rural

areas.

Increasing Capacity in a

Changing LandscapeIndia currently stands at third position

in the world in terms of power

generation capacity. It has made strides

in this regard in recent years, achieving

year-on-year growth rates between 8%

and 12%. Still, it lags well behind the

United States—at second position—by

almost a factor of four. China leads

the world in terms of installed power

generation capacity, with 1646 GW

in 2016.1

India’s capacity needs will continue

to increase, and already the country is

unable to consistently produce enough

electricity to meet the existing demand.

At present, India buys approximately

1.5 GW of power from Bhutan, while the

remaining deficit is covered through

power shedding.

According to the Load Generation

Balance Report (LGBR) published by the

Ministry of Power, India had an overall

deficit of 0.7% and a peak requirement

deficit close to 2% in 2017–18. The

peak power deficit is the shortfall in

generation capacity during the time

that electricity consumption is at a

maximum. A significant deficit implies

there is not enough electricity to meet

the needs of the consumers.

1 Central Intelligence Agency, The World

Factbook, details available at https://www.

cia.gov/library/publications/the-world-

factbook/rankorder/2236rank.html

Depending on the location, the lack of

power in India is likely to occur during a

specific period of time and for a specific

duration.

Although the LGBR predicts a

surplus of 4.6% overall and 2.5% for

peak requirements for 2018–19, reports

indicate that for the first four months

of the fiscal year, the overall deficit was

0.6% and the peak power deficit was

0.9%. India’s increasing power need

comes from a number of sources:

» Industry is increasingly connecting

its equipment, via robotics and

automation, and driving both the

quantity and the quality of power

requirements.

» As consumers’ disposable income

rises, so do their need for white

goods—large electrical items used

domestically, such as refrigerators and

washing machines, as well as other

devices such as smart mobiles.

» The agriculture sector is likely to

see a massive change, with farm

Page 38: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

36JANUARY–JUNE 2019 ENERGY FUTURE

producer organizations (FPOs) and

consolidations becoming the norm.

In turn, this will drive mechanization

and the need for greater amounts of

electricity.

» The government has targeted 2030 as

the year it wants all cars in India to be

electric, which will drive an additional

demand for power.

Challenge to Lower

EmissionsAs India demands more electricity, the

country must deal with the high emission

levels that additional capacity could

create. While India lags well behind

China and the United States in total

carbon dioxide emissions,2 the World

Health Organization says 11 out of the

12 most polluted cities in the world are

2 Union of Concerned Scientists, details

available at https://www.ucsusa.org/

global-warming/science-and-impacts/

science/each-countrys-share-of-co2.html

in India. As part of the Paris Agreement,

India pledged—by 2030—to lower the

greenhouse gas emission intensity of its

gross domestic product (GDP) by 33% to

35% below its 2005 levels.

That goal seems attainable. According

to Biennial Update Report India 2018

(BUR-II),3 ‘the emission intensity of India’s

GDP came down by 21% below 2005

levels by 2014, recording slightly more

than 2% annual average improvement

in emission intensity. The rate of

improvement recorded during 2010–

2014 was higher than that recorded

during 2005–2010. At this recorded rate,

India could reach its Paris Agreement

commitment ahead of the 2030 deadline’.

To help reach it, and also as part

of the Paris Agreement, India plans to

realize 40% of its power capacity from

non-fossil fuel sources by 2030. Right

3 Biennial Update Report India 2018, details

available at https://unfccc.int/sites/default/

files/resource/INDIA%20SECOND%20

BUR%20High%20Res.pdf

now, however, renewable energy—

mainly wind and solar—accounts for

just one-fifth of the country’s installed

capacity. Another renewable source,

hydro power, accounts for a little over

one-eighth of the total capacity. Nuclear

energy makes up 2% of the country’s

power sources.

For most of the coming decade,

thermal power will continue to

contribute the largest portion of the

power generation pie in India, given the

current installed base of more than 250

GW between utilities and captive power

units. Still, as old plants close or begin

running at low plant load factors (PLFs),

and as larger diesel generator power

units are reduced, thermal power will

likely drop below 50%.

Rise of Wind and SolarWith that plausible drop will come an

increase in renewables, particularly

wind and solar. Although renewables

Page 39: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

37ENERGY FUTURE JANUARY–JUNE 2019

currently make up only 20% of the

nation’s power generation capacity,

India aspires to reach 175 GW from

renewables by 2022, and the country is

moving in that direction. While growth

in 2018 was slower than expected due

to a change in the bidding process

that delayed approvals, the country

was still able to add 10.5 GW. Another

15 GW of additional capacity is likely

to be added this year. Although hydro

levels are expected to stay the same,

renewables will account for nearly half

of India’s power generation capacity

within a decade. Nuclear will move

from 2% to 5%.

A policy change could always halt the

various initiatives that are in work, but

there is little doubt that global emission

practices and norms are influencing

the Indian government. The nation’s

determination to comply with much

of the Paris Agreement’s goals requires

the following multiple efforts towards

increased efficiency and lower emission

levels:

» Created as an independent unit

outside of the Ministry of Power,

the Ministry of New and Renewable

Energy can drive bold initiatives, such

as setting up 2 GW of wind power

projects connected through Inter-

State Transmission Systems (ISTSs).

These previously would not have

been possible within the traditional

state-run power companies, but the

new ministry’s position has much

more influence than it did as part of

the Ministry of Power.

» The National Solar Mission was

launched in 2010 with a modest

target of 20 GW by 2022, but was

given a boost by the government

when the target was changed to

100 GW by 2022. To enable this

growth, the government announced

a plan to set up 34 solar parks, each

capable of producing 500 MW of

power, across 21 states. In addition,

the government established the Solar

Energy Corporation of India, with a

mission to promote large-scale solar

installations.

» The National Mission for Enhanced

Energy Efficiency (NMEEE) focuses on

improving efficiency for utilities in the

energy sector.

» Consumers also are becoming

increasingly aware of the need to

lower emissions. A social group called

#CleanAirWarriors recently launched

a campaign called ‘30 Days 30 Ways’

to tackle air pollution. The initiative

Page 40: 0DJD]LQHbookstore.teri.res.in/docs/magazines/Pages from_1_40_EF...7KH &RPSOHWH (QHUJ\ 0DJD]LQH Volume 7 Issue 2&3 Annual `800 January–June 2019 DELHI ELECTRIC VEHICLE POLICY 2018

38JANUARY–JUNE 2019 ENERGY FUTURE

was designed to help consumers

understand the issue, learn about

available technology to address

the problem, and connect with the

government for policy change.

» The government’s Promote Achieve

and Trade (PAT) scheme focuses on

designated consumers, who can trade

Energy Saving Certificates (ESCerts) to

meet the efficiency targets assigned

to them. This move is designed to

change consumer patterns and

behaviour.

Alternatives to Wind

and SolarOne power source expected to

increase slightly in India over the next

decade is nuclear. Now, however, it

is only at 2% of installed capacity

with a total availability of 6.78 GW.

The government has announced 10

new 700 MW pressurized heavy water

reactors (PHWRs), while two large

plants in Jaitapur and Kovvada would

add another 15 GW. The World Nuclear

Association predicts the total nuclear

capacity for India at about 22.5 GWe

by 2031.4

Of course, India has access to

less traditional power generation

technologies. For instance, biomass

is well established and part of the

renewable energy strategy. While the

sector is expected to grow multi-fold,

biomass’ contributions is likely to be in

the low single digits. Plants probably will

be built, however, often piggybacking

on the solid waste management policies

of the smart cities.

Given its large coastline and their

gulfs, which have the correct tidal

levels, India has the potential to

achieve 10–15 GW of energy from tidal

4 Nuclear Power in India, World Nuclear

Association, February 2019, details

available at http://www.world-nuclear.

org/information-library/country-profiles/

countries-g-n/india.aspx

power. Although a demonstration

plant has been set up in India, the

economics of harnessing tidal energy is

not favourable. Given the small overall

potential, investment in this area is low,

and so tidal energy is expected to be a

non-starter for at least the next 5 years.

Another power source—geothermal

energy—is completely untapped

in India as there is only one small

demonstration plant in India and it is not

fully commercialized. While estimates

indicate a potential of 10–15 GW, the

technology has not been validated for

commercial power generation. Again,

geothermal is not expected to be used

as a significant energy source for many

years.

What Does the Future

Hold? India is well on its way to complying

with two out of three of its

commitments as part of the Paris