Year End Review
Following are the highlights of the performance in the year 2007:
· Capacity Addition: Between 1st January, 2007 to 12th December, 2007 projects aggregating to record 9050 MW are commissioned. This comprises of 6645 MW of thermal capacity, 2185 MW of hydro capacity and 220 MW of nuclear capacity.
· Growth in Generation: As compared to annual growth rate of about 3.1% at the end of 9th Plan and initial years of 10th Plan, the growth in generation during 2006-07 and 2007-08 (upto November, 2007) was 7.3% and 6.9% respectively. Notwithstanding the fact that many of the TPSs in the country are very old, the Pant Load Factor has shown improvement over the years. The PLF upto November 2007 was recorded as 76.7%.
· Project orders: Between 1st January, 2007 to 14th December, 2007 orders in respect of 33 projects aggregating 21,424 MW were placed. Out of this 21 projects aggregating 17,634 MW pertain to thermal segment and 12 projects aggregating 3790 MW pertain to hydro segment.
· Ultra Mega Power Projects:
Mundra in Gujarat: The project was handed over to the Successful Bidder i.e. Tata Power Company Ltd. on 23.04.07 at the evaluated levelized tariff of Rs. 2.26367/kWhr.
Sasan in Madhya Pradesh: The project was handed over to the Successful Bidder i.e. M/s Reliance Power Ltd. on 07.08.07 at the evaluated levelized tariff of Rs. 1.19616/kWhr.
Krishnapatnam in Andhra Pradesh: Letter of Intent issued to Reliance Power Limited which emerged as L1 quoting the levelised tariff of Rs. 2.33 per unit on 30.11.2007.
Tilaiya in Jharkhand: The RfQ stage in respect of Tilaiya UMPP was completed on 12.11.2007 and 13 bids have been received. The bids are under evaluation.
Bidding process in respect of other five proposed UMPPs in States of Orissa, Tamil Nadu, Chattisgarh, Maharashtra and Karnataka is contingent upon necessary clearances/tie up from the respective State Governments which are being perused.
· Ratnagiri (erstwhile Dabhol) Power Project:Ratnagiri (erstwhile Dabhol) Power Project of M/s Ratnagiri Gas & Power Pvt. Ltd. has achieved commercial operation of Power Blocks II & III. Thus two of the three blocks (1480 MW out of 2150 MW capacity) are now operational with R-LNG Linkage available at pooled prices. While Power Block-II has been under commercial operation form 1st September, 2007, Power Block-III has been also under commercial operation since 21st November, 2007. Further RGPPL has started servicing of loans of the lenders.
· Transmission
The following inter-regional transmission lines were commissioned during the above period. This has resulted in more power being transferred between the Eastern, Northern and Western Regions from surplus areas to deficit areas and more stable operation of the Unified Grid.
1. 400 kV Patna-Balia D/C
2. 400 kV Bihar-Shariff-Balia D/C
3. 765 kV Agra-Gwalior S/C (charged at 400 kV).
During the said period following is the achievement of transmission projects of 220 kV and above (Central and State Sector).
Transmission Lines Sub Stations765 kV 439 Ckm 765/400 kV 1500 MVA
400 kV 7390 Ckm 400/220 kV 6170 MVA
220 kV 4927 Ckm 220/132 kV 7863 MVA
This includes the first 765 kV line and sub station operated at 765 kV i.e. Sipat-Seoni line-1 and 765/400 kV Seoni sub station.
· RGGVY
39,383 villages were covered this year under the Rajiv Gandhi Grameen Vidyutikaran Yojana.
The details are as under: (as on 14.12.2007)
| Villages | Nos. | Habitations | Rural Household(RHH) | BPL* | |
| I | Un-electrified | 17,842 | 6,83,350 | 4,89,720 | |
| II | Electrified | 21,541 | 5725 | 11,68,098 | 9,88,347 |
| Total | 39,383 | 5725 | 18,51,448 | 14,78,067 |
*This is included in the total RHH
Franchisees have been deployed in 33,858 villages in 14 states during the year 2007.
· APDRP
Under the Investment component of Accelerated Power Development and Reforms Programme,APDRP, Central Government provides assistance to the tune of 25% and 90% of the project cost in the form of grant to Non-special category and Special Category states respectively for strengthening and up gradation of sub-transmission and distribution systems of high-density load centers like towns and industrial areas. Rs. 549.72 crore has been released so far to the States during the calendar year 2007.
Incentive component is for the SEBs/utilities to reduce their financial losses. Funds are released to the SEBs for actual cash loss reduction, for every Rs.2 of cash loss reduction Rs.1 is given as grant. Rs. 384.68 crore has been released during the calendar year 2007.
It is proposed to continue APDRP during the XI Plan with revised terms and conditions as a Centrally Sponsored Scheme. The focus of the programme shall be on actual, demonstrable performance in terms of loss reduction. Establishment of reliable and automated systems for sustained collection of accurate base line data, and the adoption of Information Technology in the areas of energy accounting will be necessary pre-conditions before sanctioning any projects for strengthening & up-gradation of sub-transmission and distribution networks.
· Tehri Project :
o The 1000 MW Multipurpose Tehri Hydro Electric Project located in the State of Uttarakhand became fully operational during the year 2007. The Project is affording benefits of Peaking Power to Northern Grid and Irrigation & Drinking Water benefits to Uttar Pradesh and Delhi.
o THDC has reported a Net Profit of Rs. 1309.13 Million in the first year of commercial operations. The total sale of energy during the year was Rs. 4441.59 Million.
o An MoU has been signed between Nuclear Power Corporation of India Ltd. (NPCIL) and THDC in Feb. 2007 in the august presence of the Union Minister of Power Shri SushilKumar Shinde with a view to synergise the respective strengths and competencies of the Organisations for the development of Pumped Storage Schemes and Hydro Projects in India and abroad.
o PIB clearance & environment clearance to the 444 MW Vishnugad Pipalkoti accorded. The Project is also taken up for World Bank funding.
· Electricity (Amendment) Act, 2007The Electricity (Amendment) Act, 2007, amending certain provisions of the Electricity Act, 2003, has been enacted on 29th May, 2007 and brought into force w.e.f. 15.6.2007. The main features of the Amendment Act are:
o Central Government, jointly with State Governments, to endeavour to provide access to electricity to all areas including villages and hamlets through rural electricity infrastructure and electrification of house-holds.
o No License required for sale from captive units.
o Deletion of the provision for elimination of cross subsidies. The provision for reduction of cross subsidies would continue.
o Definition of theft expanded to cover use of tampered meters and use for unauthorized purpose. Theft made explicitly cognizable and non-bailable.
Rules under Electricity Act, 2003 The Central Government has issued the following Rules under the Electricity Act, 2003 during this year.The Central Government has notified Appellate Tribunal for Electricity (Procedure, Form, Fee and Record of Proceedings) Rules, 2007 on 22.1.2007, which have replaced the Appellate Tribunal for Electricity (Form, Verification and Fee for filing an appeal) Rules, 2004 notified on 13.4.2004.Central Electricity Regulatory Commission Fund (Constitution and the manner of application, of the Fund) and Form and Time for Preparation of Budget Rules, 2007 notified on 22.10.2007.Central Electricity Regulatory Commission (Form of Annual Statement of Accounts and Records) Rules, 2007 notified on 22.10.2007.Forum of RegulatorsInteractive session with the Forum of regulators and State Governments held on 5th November, 2007 on implementation of Open Access decided to launch a website. The website (www.forumofregulators.org) has been launched on 1st December, 2007.
· Conferences
The Prime Minister Dr. Manmohan Singh addressed the Chief Minister’s Conference on May 28, 2007 and stressed the need for a wide range of power sector reforms including open access and competition. Prior to this Conference the Chief Secretaries of all States/UTs met on 23rd and 24th April ’07. The Group of Ministers’ meeting on 24th September ’07 approved the constitution of Task Force on Hydro Project Development and Sub-Committee on Financing Issues. In accordance with the resolution adopted in the Chief Ministers’ Conference, the work relating to constitution of National Power Project Monitoring Board (NPPMB) is in progress.
· Energy Efficiency :
The Conference of Chief Ministers chaired by the Prime Minister on 28th May, 2007, recognized the significant potential of saving electricity through its efficient use by Demand Side Management interventions which would provide immediate results for saving electricity. Interventions include bulk procurement and distribution of CFLs, adoption of Energy Conservation Building Code (ECBC), promoting and mandating the use of energy efficient pumps and other energy efficient and appliances.
Proposals for the XI plan are:
(a) Bachat Lamp Yojana to promote energy efficient and high quality CFLs as replacement for incandescent bulbs in households.
(b) Standards & Labeling Scheme targets high energy end use equipments and appliances to lay down minimum energy performance standards.
(c) Energy Conservation Building Code (ECBC) that sets minimum energy performance standards for new commercial buildings.
(d) Agricultural and Municipal DSM targeting replacement inefficient pumpsets, street lighting, etc.
(e) Operationalising EC Act by Strengthening Institutional Capacity of State Designated Agencies (SDAs). The scheme seeks to build institutional capacity of the newly created SDAs to perform their regulatory, enforcement and facilitative functions in the respective states.
The targeted reduction in demand as a result of these interventions during XI plan has been kept at 5%, which translates into an avoided capacity addition of 10,000 MW and thereby an avoided investment in generation, transmission and distribution of around Rs. 1,00,000 crores. The overall plan expenditure that has been envisaged during the XI plan on these schemes is Rs. 502.2 crores. The details of the major schemes indicated above are in following paragraphs.
PRA/ls…28.12.07