1

WelcomesWelcomes

Hon’able Members of

Standing Committee on

Energy

Oct,14, 2004

Power Grid Corporation of India Ltd.

POWERGRID –POWERGRID – An OverviewAn OverviewPOWERGRID –POWERGRID – An OverviewAn Overview It started its operation from 1992-93.

Central Transmission Utility & National and Regional Grid Operator

Operating around 50,000 circuit kms of EHV transmission lines with 82 nos of EHVAC & HVDC sub-stations having transformation capacity of about 47,000 MVA

Such a system carry more than 40% of total power generated.

System availability around 99.5%

POWERGRID - Growth ProfilePOWERGRID - Growth ProfilePOWERGRID - Growth ProfilePOWERGRID - Growth Profile

634983

1770

25332805

236 275 444643

748

0

500

1000

1500

2000

2500

3000

3500

1992-93 1995-96 1998-99 2002-03* 2003-04*

YEAR

RS.

IN C

RO

RE

TURNOVER NET PROFIT5652

6624 6811 6923 6828

0

1000

2000

3000

4000

5000

6000

7000

8000

1992-93 1995-96* 1998-99 2001-02 2003-04

Year ---->

No.

of E

mpl

oyee

s ----

->

35215492

8851

13877

19876

0

5000

10000

15000

20000

25000

1992-93 1995-96 1998-99 2001-02 2003-04

TURNOVER AND NET PROFIT MANPOWER

* MANPOWER TRANSFERRED FROM CEA

GROSS FIXED ASSETS (RS. Crore)

12201

22748

28820

34288

46461

0

10000

20000

30000

40000

50000

1992-93 1995-96 1998-99 2001-02 2003-04

MV

A --

-->

TRANSFORMER CAPACITY (MVA)

POWERGRID- Perspective PlanPOWERGRID- Perspective PlanPOWERGRID- Perspective PlanPOWERGRID- Perspective PlanCreation of National Grid and enhancing inter-regional

transfer capacity from the present level of 9,000 MW to 30,000 MW by 2012

Investment Required by 2012 : Rs. 71,000 CroresBy POWERGRID : Rs. 51,000 CroreBy Pvt. Investors : Rs.20,000 Crores

Investment to take care of evacuation of Central Sector Share of generation addition of 100,000 MW planned till 2012.

Creation of National Grid of 30,000 MW Capacity will lead to reduction in Capacity addition of 13,000MW i.e. saving of Rs. 50,000 Crore in investments besides fuel cost saving.

R&D and Technology Development in R&D and Technology Development in POWERGRIDPOWERGRID

R&D and Technology Development in R&D and Technology Development in POWERGRIDPOWERGRID

HVDC & EHVAC Transmission System upto 800 kV with multi Ckts.

Use of fixed & variable Series Compensator (FACTS)

Extra High Towers to avoid deforestation and protection of wild life

Compact Towers to reduce Right Of Way High Temperature Conductors for increased

Loading Automation of Sub-stations. Compact S/stn to reduce land requirement. Satellite imagery for Transmission Line Survey.

Consultant for Transmission, telecom and Load Despatch System

Major Consultancy Assignments Vishnu-Prayag transmission system of UPPCL Transmission line survey in Afghanistan Optical fibre network for Bhutan Telecom &

National Load Despatch Centre in Bhutan Execution of transmission line from Srinagar to

Leh via Drass , kargil etc. Facilitating Distribution Sector Reforms as

Advisor-cum-Consultant in 105 circles under GOI’s APDRP Scheme.

Strengthening of Transmission, Sub-transmission & Distribution system in UP, Bihar & Goa & Meghalaya.

Rural Electrification of villages of Bihar

POWERGRID beyond TransmissionPOWERGRID beyond TransmissionPOWERGRID beyond TransmissionPOWERGRID beyond Transmission

POWERGRID & Grid ManagementPOWERGRID & Grid Management POWERGRID & Grid ManagementPOWERGRID & Grid Management Modernisation of Regional Load Despatch Centres (RLDC) /

State Load Despatch Centres (SLDC) by POWERGRID Implementing State of the Art Unified Load Despatch &

Communication (ULDC) Schemes for overall improvement

Manpower Manning of RLDC by Senior personnel Training of RLDC & SLDC personnel on regular basis

Procedures GRID CODE Availability Based Tariff

All these resulted into: Significant improvement in System Parameters Merit Order Operation, Leading to Overall Economy Improved grid performance Increased intra and inter-regional Power Exchange and Trading

Philanthropic Approach of POWERGRIDPhilanthropic Approach of POWERGRIDPhilanthropic Approach of POWERGRIDPhilanthropic Approach of POWERGRID POWERGRID developed and implemented “Environment and

Social Policy and Procedure (ESPP)” document in wide consultation with Public, Environmentalists, NGOs and Multilateral Funding Agencies; the only Power Sector Utility to do so

In Talcher Project, too, implementation of Environment and people friendly Social Policy and Procedures Minimization of forest stretch – only 20 Km in 1,400 Km

Electrification of villages under rural electrification programme Electrification of more than 30,000 villages is the states of

U.P., Bihar & West Bengal Modernising power supply system in the institutions like

BHU, IIT Kharagpur on no profit no loss basis Improved power supply as well as training centre for

modern supply system Consultations with public in villages Development of villages

Important FeaturesImportant FeaturesImportant FeaturesImportant Features Talcher II (2000 MW) Generation Project : First inter-

regional project for transfer of total power from Eastern to Southern Region

Transmission System 2000 MW, (+/-) 500 KV, High Voltage Direct current (HVDC) bipole line

from Talcher to Kolar; Longest HVDC link in Asia (more than 1400 Km.) About 750 Circuit Kms. of Alternating Current (AC) transmission lines

for dispersal of power beyond Kolar

Transmission Project Cost & Commissioning Approved Actual

Project Cost 3865 Crore 3100 Crore

Commissioning 42 months 33 monthsSchedule

Unique Features of the ProjectUnique Features of the ProjectUnique Features of the ProjectUnique Features of the Project Vast Transmission System

Total steel used : 90,000 MT Total conductor used : 16,000 Kms.

State of the Art HVDC terminals for conversion from AC to DC

Software based controls, protection and Man-Machine Interface System

Design and execution very challenging due to various rivers crossing enroute (Mahanadi, Vamsadhara, Godavari, Krishna and Pennar)

Important FeaturesImportant FeaturesImportant FeaturesImportant Features

Project conceived with Debt : equity ratio of 80:20 Rs. In Crore

A. Equity 772 B. Debt 3093 TOTAL (A + B) 3865

World Bank loan was considered for AC portion only as per available resources

Supplier’s Credit considered for HVDC portion

OverviewOverviewOverviewOverview

Investment approval took 33 months; Feasibility Report submitted in July 1997 Investment approval obtained in January 2000 Less time left for execution

To minimize project implementation cycle, pre-execution activities undertaken in parallel with investment approval

WorldBank loan tied up in April’ 98 for AC portion

Bids were invited and processed based on World Bank funding. Bidders entitled to Deemed Export Benefits under WB funding

OverviewOverviewOverviewOverviewFunds tie up with World Bank held up due to

economic sanctions

Funding constraint had the potential to delay the project.

Innovative approach to proceed with procurement process was adopted: by seeking special dispensation in Dec.’98 from Govt.

of India for availing Deemed Export Benefits seeking approval of World Bank for retroactive

funding

Surmounting ChallengesSurmounting ChallengesSurmounting ChallengesSurmounting ChallengesIn July 1999, GoI granted a special dispensation

after persistent follow up

Clearance was obtained from WB for retroactive financing at a later date and meanwhile, Rs. 675 Crore also raised through domestic sources in lieu of World Bank Loan

Rs 1,000 Crore of Suppliers credit raised for HVDC portion without sovereign guarantee or any back up guarantee mainly on POWERGRID’s own financial strength

ChallengesChallengesChallengesChallenges Execution time of the project got reduced from 48 months

to 42 months to match with generation

Time Schedule was tight considering the size of the project

Mid-way during the execution, NTPC advanced the commissioning of its first 500 MW unit putting tremendous pressure on POWERGRID

Acute Right of Way Problems considering the spread over a vast expanse of about 2000 km Difficult Terrain and Varied Soil Conditions Challenging Law and Order Situation Need to evacuate surplus power from ER to energy deficit SR.

Surmounting ChallengesSurmounting ChallengesSurmounting ChallengesSurmounting Challenges

Extra-Ordinary Measures Undertaken for timely execution of project Unique Project Definition Manual developed Standardized foundations and tower designs : saved

12-18 months Standardized bidding document and Systems &

Procedures Contracts awarded within months from the date of

project approval by GoI

Inspite of all the constraints right from the inception of the project, POWERGRID completed the project 9 months ahead of schedule and at a cost lesser by Rs. 700 cr.

BenefitsBenefitsBenefitsBenefits Project commenced operation before generation project and

surplus power of about 1500 MUs alone could be transferred prior to generation project

Total of about 12,000 MUs transferred from ER to SR from September, 2002 to September, 2004.

About 5000 MUs of surplus power Balance 7000 MUS from Talcher II Project

Significant improvement in grid performance in SR Grid frequency improved from 48.0-48.5 Hz to 49.5-50.5 Hz Substantial improvement in voltage level (typically Bangalore)

Loss Reduction in SR ; Benefit Rs 290 Crore

Saving of Rs. 1500 Crore to SR on account of availing surplus power, thus postponing immediate investment

ER benefited on account of reduction in fixed charges of generation

Southern Region

Constituent States

Andhra Pradesh

Karnataka

Kerala

Tamil Nadu

UT of Pondicherry

Power Supply Scenario - PresentPower Supply Scenario - PresentPower Supply Scenario - PresentPower Supply Scenario - Present

Installed Generation Capacity- 31328 MW

Peak Demand Unrestricted 21719MW Actually Met 20483MW Peak Deficit (-)1236 MW

Energy Requirement Unrestricted 11478MU Energy Availability 11202MU Energy Deficit (-) 276 MU

As of July, 04

POWERGRID Transmission System in SR - POWERGRID Transmission System in SR - PresentPresentPOWERGRID Transmission System in SR - POWERGRID Transmission System in SR - PresentPresent

Transmission Lines 400 kV and above - 11300 Ckt Kms

EHV Sub-stations - 22 Nos. Total transformation capacity - 8115 MVA Interconnection with neighboring regions

Eastern Region 2000 MW HVDC Talcher – Kolar bipole 500 MW HVDC Back-to-Back station at Gazuwaka

Western Region 1000 MW HVDC Back-to-Back station at

Chandrapur

On-Going and Planned TR. Schemes of On-Going and Planned TR. Schemes of POWERGRIDPOWERGRIDOn-Going and Planned TR. Schemes of On-Going and Planned TR. Schemes of POWERGRIDPOWERGRID

Transmission Lines 400 kV - 7700 Ckt Kms

EHV Sub-stations - 13 nos.

Total transformation capacity - 11525 MVA

Inter-Regional Capacity Eastern Region

Augmentation of capacity of Gazuwaka HVDC back-to-back link

Estimated Cost -5600 Crs

POWERGRID’s Network in Tamil Nadu - ExistingPOWERGRID’s Network in Tamil Nadu - ExistingPOWERGRID’s Network in Tamil Nadu - ExistingPOWERGRID’s Network in Tamil Nadu - Existing

400 kV Transmission Lines - 3330 ckt.kms

400/220 kV substations - 6 nos.

400/220 kV Transformation Capacity – 2520 MVA

Major Load centers being fed through POWERGRID’s transmission network

SriperumbudurTrichyMaduraiSalemUdumalpetHosur

400 kV Transmission Lines -3040 ckt.kms400/220 kV substations -5 nos.400/220 kV Transformation Capacity – 3150 MVAEstimated Cost - Rs. 2100 CrsTransmission network augmentation aims at

Improving power supply to Chennai area through new 400/220 kV substation at Malekottaiyur and completion of 400 kV “Ring” around Chennai

Providing reliable supply to upcoming load centers at Pugalur, Coimbatoor, Karaikudi, Tirunelveli

Strengthening of Tr. Grid in Tamil Nadu

POWERGRID’s Network in Tamil Nadu by 2007-08POWERGRID’s Network in Tamil Nadu by 2007-08POWERGRID’s Network in Tamil Nadu by 2007-08POWERGRID’s Network in Tamil Nadu by 2007-08

Thank You …Thank You …

Development of National GridDevelopment of National GridDevelopment of National GridDevelopment of National Grid

National Grid by 2012National Grid by 2012National Grid by 2012National Grid by 2012

1

DOUBLE CIRCUIT TOWER

( 45 Mtr. High)

MULTI CIRCUIT TOWER

( 70 Mtr. High)

4

2

312

9-25mtrs.

50mtrs

ROW = 85 Mts ROW = 64 Mts

Proposed 400 kV Compact Single pole tower at Delhi & Noida

Proposed Compact Single pole tower Mode :Noida

Remote Operation Of Bhiwadi S/S

Switchyard ,Bhiwadi

Control Room , Ballabhgarh

Control Room,Bhiwadi

Transmission Line Survey through GIS

Grid Disturbances

77

57

70

74

53

70

3 40 0

05

1015202530354045505560657075808590

2001-02 2002-03 2003-04 2004-05 (TillDate)Year

No

s.

Total Minor Major

9

FOREST CROSSING

Just 20 KMs in 1400 KMs Just 20 KMs in 1400 KMs through forest area…through forest area…

12

Frequency Profile of SR

47.50

48.00

48.50

49.00

49.50

50.00

50.50

51.00

25 26 27 28 29 30 31

DAYS ----->

FR

EQ

UE

NC

Y IN

HZ

---

->

2002, 2003 & 2004

320

330

340

350

360

370

380

390

400

410

420

00:0

5

01:0

5

02:0

5

03:0

5

04:0

5

05:0

5

06:0

5

07:0

5

08:0

5

09:0

5

10:0

5

11:0

5

12:0

5

13:0

5

14:0

5

15:0

5

16:0

5

17:0

5

18:0

5

19:0

5

20:0

5

21:0

5

22:0

5

23:0

5

TIME IN HRS --->

VO

LT

AG

E IN

KV

---

>COMPARISION OF BANGALORE VOLTAGE-TYPICAL DAY

BETTER VOLTAGE PROFILE MEANS LESS ELECTRICAL LOSSES

Deemed Export BenefitsDeemed Export BenefitsDeemed Export BenefitsDeemed Export Benefits

POWERGRID has to issue Project Authority certificates (PAC) to the contractors, which entitles them to the following Deemed export benefits :

Special import license @ 60% of the FOR value

Deemed export duty draw back facility

Special imprest license / advance intermediate license

Refund of terminal excise duty

Existing Transmission Network

New transmission schemes in SR