The BRIDGE TO INDIA blog

What exactly is a ‘Smart’ Grid?

There is a lot of talk on how smart grids are needed to solve intermittency in power generation introduced by renewable sources of energy. But what does a ‘smart grid’ mean?

An excellent paper from Carnegie Mellon University titled ‘The Many Meanings of Smart Grid’ sums up the different aspects.

Image from ecotechninja.com

At the level of the customer:

1)      Meters that can be read automatically without sending someone to read it once a month. This saves cost and eliminates errors in meter reading.

2)      Time-of-day and time-of-use meters: Time-of-day meters charge different rates at different times during the day (This is because demand is higher during certain periods than others). Time-of-use meters are real-time meters – which reflect spot prices of electricity. Both technologies are intended to reduce peak loads so as to ensure that less generation and transmission capacity is needed.

3)      Meters which communicate to the consumer through a display providing information about the current rate of electricity use and the price. This promotes energy conservation and a reduced demand during times of peak prices.

4)      Load management: Meters that are intelligent enough to avoid turning on appliances during times of high prices of electricity. For example, scheduling your washing machine to operate at night, when prices are typically the lowest.

At the level of the distribution system:

1)      Distribution system automation: Most distribution systems have a tree like structure known as ‘Distribution Feeders’. This means that if the main feeder is damaged due to lightning, the entire network goes down. A smart grid would, however, be able to route power through an alternate feeder to avoid disruptions.

2)      Selective load control: Today, if there is an emergency (storm, terrorist attack, etc.) and the demand outstrips supply, then entire sections of the distribution network will have to be disconnected to reduce the demand. With a smart grid, this can be better managed to ensure that critical services like fire services, hospitals and police stations remain functional.

3)      Managing distributed generation and islanding: Distributed energy sources (from renewable energy for example) that supply power to a certain geographical area should be given the flexibility to cut themselves off from the main grid in case of an emergency. The current set up does not allow this.

At the transmission system:

1)      Measurements and monitoring: Smart grids allow for better monitoring of the entire system thanks to the host of sensors and computing integrated with the transmission system. This can promote efficiency, avert breakdowns and reduce the time taken to detect a problem.

2)      Routing of power: Routing of power follows the laws of physics and not economics. Sometimes power flows where it is not wanted which leads to a waste. Smart grids can deal with better routing of power through advanced switching devices.

3)      Distributed and autonomous control – Today’s grid is controlled centrally. Research shows that this may not be the most efficient manner to deal with emergency situations due to the differences in grid requirements in different areas (known as grid topology). Smart grids will allow decentralization of control.

 

As India’s policy makers strive to establish standards for ‘smart grids’, there is a need for an understanding of the definition of ‘Smart Grids’ which would serve as the foundation  in bringing different stakeholders to a common platform.

 

[The paper can be downloaded from: http://wpweb2.tepper.cmu.edu/ceic/pdfs_other/Smart_Grid_July_09.pdf]

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Policy
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Open Access – Not really an open and shut case

The Electricity Act of 2003, allows power consumers to purchase electricity from any power producer – not limited to the distribution company (DISCOM) in that area. The term open access refers to the distribution and transmission lines being open to all – somewhat similar to our highways – where anybody can use it as long as they pay a toll. This regulation was meant to allow power consumers to choose who they want to buy power from. While this sounds great on paper, open access has hit three major bottlenecks.

 

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Policy
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Guest Blog : The Bigger Picture

Project Development intern Antonia Dietsche shares her thoughts and impressions. The German national just arrived to India for her first time on a DAAD scholarship.

 

Vandana Shiva’s Soil not Oil has been around for a while. The book was first published in 2008. The physicist and philanthropist calls for a fundamental shift; a shift from the non-sustainable paradigm of over-consumption (“like kids in a supermarket”) to a sustainable lifestyle.

She is not a lone voice. The call of the activist has finally reached the mainstream. In an interview published on Bosch’s website Chandran Nair, equally, calls for the renunciation of relentless consumption.

Both agree that Asia should not unquestioningly replicate the consumption patterns of rich industrialized countries.

Move around New Delhi (nota bene: not in a chauffeur-driven car) with the fresh eye of a newbie and things like clean air and water pop up in nightly dreams. One starts to consider Shiva’s and Nair’s contribution. 

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Guest Opinion
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Green Leader Interview : Dr. Rajiv Kumar, Secretary General, FICCI

Green Leader Interview : Dr. Rajiv Kumar, FICCI

Dr. Rajiv Kumar, Secretary General, FICCI

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Interviews & Opinions
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National Solar Mission (NSM) Phase 1 Batch 2 Bid Results : Why they are more than just numbers

The results of the round two of the NSM surprised everyone with the price of solar energy falling to INR 7.49 per unit. A large part of the success of the NSM must be attributed to the government. However, the larger implications of this would be outside solar projects driven by government subsidies. The next few years would see a boom in entrepreneurs riding the “captive wave”.

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Uncategorized
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Is emotional globalization the answer?

The current Euro crisis and the Durban climate change summit highlight a key and potentially fatal shortcoming in our ability as a species: we find it very hard to cooperate – even, if it we are collectively with our backs to the wall. My take on it: we cannot have compassion with and trust in people we cannot touch and feel or at least imagine. Our social skills and concerns evaporate rapidly at even a short distance of ourselves. Are we still cavemen? And what can social networking do?

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Uncategorized
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India needs more power – Germany has excellent technology to help the subcontinent

India is facing a green revolution. Government and business leaders recognize that the scarcity of fossil fuels is one of the major risks for economic growth and understand the urgent need to take countermeasures and make green energy viable. German companies have many of the solutions India needs – and they in turn need the Indian market.

Key points:

  • India has a huge potential for renewables, given its resources, policies and requirements
  • Success for international companies requires significant adaptation of products and business models
  • Given the long-term market opportunity adaptation makes economic sense
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Uncategorized
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What is the right investment horizon for sustainability technologies in India?

Sustainability technologies face a problem with their investment horizon. They usually require a fairly high up-front investment for a long-term benefit. In a market as dynamic as India, this is a difficult proposition. However, there are ways to bridge the gap in the investment horizon.

Key points

  • A focus on cash payments as opposed to life-cycle costs and unnaturally high IRR expectations put sustainability technologies on the back foot
  • In a dynamically evolving market investment horizons are naturally shorter and solutions need to adapt to shorter time-horizons
  • There are insufficiently tapped entrepreneurial options to make investments into sustainability attractive in India
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Uncategorized
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Juwi India completes three solar projects, its first in India

According to the latest information available to BRIDGE TO INDIA, Juwi India Renewable Energies Pvt. Ltd., the Indian subsidiary of the Juwi Group, has completed the construction of three solar PV projects worth a cumulative 17.7MW in India. These projects are of 10MW in Rajkot and 2.5MW in Surendernagar, both in the western Indian state of Gujarat, and a 5.2MW plant located in Jodhpur in the western state of Rajasthan.

According to our information, the projects are yet to be officially commissioned by the developers. At the moment, they are in the process of obtaining the final clearances from the state authorities. As a result, the names of the developers have not been made public so far. Based on our assessment, the developers are Green Infra Ltd. for the 10MW plant in Rajkot and AES Solar for the 5.2MW plant in Jodhpur, while the developer for the Surendernagar project is unknown.

Juwi is one of the largest solar EPC companies in the world with INR48 billion (EUR800m) in revenues in 2010. Juwi India was established in the southern Indian city of Bangalore in February this year. The company opened another office in Delhi in May this year in order to focus on project opportunities in western and northern Indian states.

The completion of the 17.7MW worth of projects marks a crucial first step for JUWI in India. It has so far partnered with Lanco Solar for a 75MW PV plant in Maharashtra. The project is being developed by MAHAGENCO. Based on our information, Juwi’s role in this project is limited to the design and engineering of the plant. Besides this, it currently does not have any projects under construction in India.

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Uncategorized
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Why Solar Captive Consumption is the way forward for the Indian Solar Market

India’s hidden solar opportunity lies in captive consumption – and this is starting to make sense right now, far away from the fanfare of the NSM and other government programs.

Key points:

  • India’s electricity shortage is not going to be met by conventional power, least by government driven policies
  • The government solar policies, like the National Solar Mission, although successful, cannot possibly scale fast enough to meet the enormous energy challenge
  • This gives the industry an opportunity to disseminate the solar captive consumption model in India
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Uncategorized
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