Smart Grid Vision for
India’s Power Sector
G overnment of
India has been struggling with last mile connectivity between villages
and the state run electricity grids. Even large distribution companies
have very low penetration in this market on account of power shortages
and relatively higher costs and associated risks of servicing rural
consumers.
Given the nature of renewable technology, generating
electricity ‘off-the-grid’ and in a decentralised manner is an
attractive option. Some of the nascent developments that have taken
place in the renewable energy space in India are categorised into three
segments:
• In the first segment,
large grid connected power plants are established and all of the
electricity produced is fed into state-run utility grids (which may or
may not service rural areas).
• The second segment
consists of hand-held portable devices such as solar lamps or very small
solar power stations – both of which are meant for domestic use by
individuals.
• The third and perhaps
largest segment of the market is that of rural customers who need
utility grade power. There is no active player in the rural electricity
market who can cater to the entire spectrum of emerging needs of the
rural customers. Decentralised generation and distribution of power
through smart micro grids is possibly the most viable way to serve the
needs of such consumers. The future lies in decentralised renewable
energy based mini-grids.
India in recent years has seen tremendous growth and
potential for solar based energy generation. Solar technology has been
identified as one of the most promising decentralised energy
applications having significant potential to reduce emissions at the
generation end. Solar based energy generation is now being accorded as
an application that can help off grid rural areas and micro scale
industries in reducing their dependence on the grid.
Conventional power stations in the present scenario
of energy generation are centralised and often require electricity to be
transmitted over long distances. In comparison, renewable energy based
systems are decentralised, modular and more flexible. Located close to
the villages, they typically serve with a capacity ranging from 30 KwH
to 100 KwH.
Micro discoms / utility businesses can actually cater
to energy demand with all the latest load monitoring gadgets to help the
individual customers create and establish his / her specific load demand
with supply at preferred hours and thus pay only for use and not the
ancestral and established KW/hr rate system. Frankly speaking the
ancestral system has actually spoilt the consumer habits and led to
misuse of energy supply at the premises, whereas a decentralised micro
grid is a localised grouping of electricity generation, energy storage
and loads that normally operate connected to a traditional centralised
grid (macro grid) which can be disconnected and thus the micro grid can
function autonomously.
Reality Check
Generation and loads in a micro grid are usually
interconnected at low voltage. From the point of view of the grid
operator, a connected micro grid can be controlled as if it were one
entity. Use of renewable energy sources such as small hydro, biomass,
biogas, solar power, wind power and geothermal power play an important
role for the energy supply through micro grid distribution system and
can resolve the short comings of distribution network over long
distances and make the local community more responsible with
availability of power at the required hours and payment for the same as
per demand and usage. The system has its own short comings and
integration problems. Solar PV and wind power both have intermittent and
unpredictable generation, so they create many stability issues for
voltage and frequency. However, this issue can be resolved by
integrating with intelligent hybrid inverters.
Vision is the Need
The adaptation of the smart grid vision to the Indian
context offers the potential to revolutionise electricity supply and
increase the probability of achieving the Government of India’s
electricity sector goals sooner and more effectively. High pitch voices
being raised at the national and international platforms for deep rooted
concern on environmental challenges have added to the urgency of finding
a sustainable, high-growth, low carbon economic model. The design of a
sustainable smart grid model can also provide a blueprint for developing
nations across the world.
Practical Application Demonstrated
The smart grid is not a simple formula or template.
It is as much a vision as a blueprint. In its broadest interpretation,
the smart grid vision sees the electric supply industry actually
transformed by the introduction of two-way communications and ubiquitous
metering and measurement. It enables much finer control of energy flows
to the end user integrating the processes that have not been practicable
to date. It also creates more reliable, more robust and more secure
electrical infrastructure.
TARA Micro-Utilities Pvt. Ltd. (TMPL)1
(erstwhile TARAurja)
Access to clean and green energy for the rural market
has been at the forefront for the Development Alternatives (DA) group
and its social enterprise wing – TARA. TARAurja was formally
operationalised in 2013 as an operational business unit, incubated
within TARA for the deployment and management of renewable energy based
mini-grids. TARAurja now known as TMPL has in the last few months ramped
up operations across Bihar and UP. The team has set up a total of 21
micro-grids across these two states and is currently servicing more than
1,500 consumers.
Smart Grid Technology - Our Competitive Advantage
TMPL has developed intelligent hardware devices and
software that allow it to monitor and control electricity in individual
households remotely through cloud technology. This helps by ensuring
timely revenue collection and in the prevention of theft of electricity
along the distribution line.
TMPL’s target segment are people who require reliable
power for Time-of-Use (TOU). TMPL has thus impacted lives of the
consumers, who are benefitting from the consumption of power at much
economical rates. The beneficiaries now have access to guaranteed power
for a minimum number of hours per day. This has enabled shopkeepers to
have longer operation hours and households are at last self-reliant and
no longer need to burn midnight kerosene oil. In addition to the
immediate savings for households in terms of kerosene bills and other
power backup options, they are no longer subjected to harmful fumes
produced from burning kerosene.
TMPL visualises having 300 such mini-grids up and
running by the end of 2018 with an average annual revenue of INR
274,000,000 (or $4.5 Million). These mini-grids will be servicing an
anticipated 60,000 consumers through a network of franchised operators.
q
Dr Utparn Dubey
udubey@devalt.org
Endnotes
1 TMPL will enter a village through its primary line of
business i.e. electricity services and will soon start offering its
consumer base access to broad-band like speeds through Wi-Fi, followed
by clean drinking water and other allied services.
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