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Framework Required to Ensure Long-term Sustainability

- Environmental and Socio- cultural concerns

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Overview of Presentation

• Basic statistics on Indian energy sector giving its demand projection and changing composition

• Elements of sustainable development

• Policies adopted by the Government of India for sustainable development in the energy sector

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Trends in Indian energy consumption (Mtoe)

195.1176171.2

68.3

124.7

0

50

100

150

200

250

1980-81 1990-91 1996-97 1997-98 1998-99

CoalOilGasPowerTOTAL

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Share of combustible renewables and waste in total energy

consumption in India1997

42%

58%

RenewablesCommercial

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Elements of sustainable development in Indian energy sector

• Optimal use of all natural resources Environmental protection

• Full exploitation of hydro resources

• Energy conservation

• Development of clean and more efficient technologies including the transport sector

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Technological options available for sustainable development

• Encouragement to renewable energy systems

• Encourage setting up of more hydro plants

• Renovation and modernisation of existing power plants

• Supply and Demand side Management

• Installation of technologies like IGCC, Super Critical Technologies

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Measures adopted for promoting renewable energy

• India was the first country to set up an independent Department for renewable energy way back in 1982

• The Indian Renewable Energy Development Agency (IREDA) set up in 1987 for promotion and financing of renewable energy projects

• Significant thrust given to resource assessment, R&D, Technology and Development

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Reasons for adopting renewable energy

• No or low environmental impact

• Increased energy security through reduction in dependence on imported fuel

• Low or zero fuel cost

• Significant potential in job creation

• Lowest cost for many applications

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Renewable energy potential and exploitation in India

Source Potential HarnessedBiogas plants 12 mill. 3.1 mill.

Improved cookstoves 120 mill. 32.9 mill.

Cogeneration 19500 MW 273 MW

Small hydro 15000 MW 1340 MW

Wind PowerBiomass

20000 MW19500 MW

1267 MW270 MW

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Exploitation of Solar Energy in India

• Daily radiation of 4-7 kwh per metre square

• 250-300 sunny days in a year

• Solar energy incident on 1% land area at 2% conversion efficiency can produce 600,000 MW of power

• Typically a 20 MW capacity can be set up on 1 square km. of land area

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Development of hydro power projects in India

• India has a huge hydro potential, estimated at

150,000 MW and only 15% exploited till now

• India formulated a new Hydro Policy Policy

in 1998 to promote new hydro projects

• Ranking studies have been taken up based on technical, social and environmental parameters

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Development of nuclear power generation in India

• India needs to add 100,000 MW of additional capacity to meet power on demand by 2012

• The primary fuel will be coal given India’s large coal deposits

• In order to mitigate adverse environmental impact through use of coal, India needs to develop it’s nuclear power potential

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Energy Conservation potential in India

• Energy conservation potential in India ranges from 20% to 30% of its current consumption level

• The Parliament has passed the Energy Conservation Bill in 2001

• The Bureau of Energy Efficiency would be set up for conduct of energy audits, labeling setting of standards etc.

• Energy Conservation Fund to be set up

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Sustainable development of the coal sector

• Adoption of best practices to improve coal quality, productivity and to protect environment

• Adoption of environment friendly technologies

• More efficient use of energy

• Environment protection including rehabilitation of affected land

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Sustainable development of the petroleum sector

• Involvement of the private sector encouraged to pave the way for a competitive hydrocarbon sector

• Full deregulation of the sector is expected by March, 2002

• The Petroleum Conservation Research Association set up in 1976 which organises awareness programmes

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Sustainable development of the petroleum sector (contd.)

• Research and development

• In-house conservation in upstream and refining sectors like reduction of gas flaring, installation of waste heat recovery systems etc.

• Upgradation of fuel quality through introduction of unleaded petrol, supply of low sulphur HSD etc.

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Environment protection measures

• All power projects have to undergo an environment impact study including adherence to strict environmental norms

• All thermal plants located beyond 1000 kms. From the minehead will have to use coal having ash content of not more than 34%

• In 1999, the MoEF issued a notification to discourage dumping of ash and it’s promotion through further value addition

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Environment protection measures (contd.)

• By 2009, all existing thermal power stations will have to find ways for disposing and utilisation of flyash

• Norms set for gaseous emissions from gas-based projects with the stipulation that manufacture of clay bricks with minimum 25% ash permitted near thermal power stations

• Government proposes to set up a Special Purpose Vehicle for development of forest bank to reduce green house emissions

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Environment protection measures (contd.)

• Vehicular Emission Rules stipulated in 1990 which have been progressively tightened

• To curb environmental pollution from the transport sector, lead-free petrol has been introduced in 1995

• Restriction on plying of commercial vehicles older than 15 years old with effect from October, 1998.

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Global Issues

• For Global Environment Facility (GEF), India has a unique status, being both a donor and a recipient country in the GEF Governing Council

• Till Dec. 2000, GEF projects worth US$ 141 million had been allocated to India

• India supports the CDM process to facilitate investment and access to environmentally sound technologies

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Thank you