Energy

The State of Karnataka has been in the forefront in the field of power generation. The availability of energy grew at a CAGR of five per cent between the financial years 2011 and 2015. The investor-friendly fiscal and policy incentives under the Karnataka Renewal Energy Policy 2014-20 vis-a-vis the Karnataka Industrial Policy 2014-19 have played a major role in the development of energy in the State. Also, the State has an individual policy for all forms of renewable energy in place.

The installed total generation capacity in India is 276 GW, and is growing at a CAGR of seven per cent within the financial years 2000 and 2015. The per capita electricity consumption here is 957 units (612.50 units in the financial year 2005). This is approximately a third of the global average. The installed renewable generation capacity is 36.50 GW, and is growing at a CAGR of 26 per cent within the financial years 2000 and 2015. The target is 175 GW by the year 2022. There is 320.10 thousand circuit km of transmission and over 4.50 million circuit km of distribution network.

The AT&C loss was 25.38 per cent in the financial year 2013 as compared to 35.18 per cent in the financial year 2006.The energy availability grew at a CAGR of six per cent within the financial years 2011 and 2015. The renewable energy capacity grew at a CAGR of 15 per cent within the financial years 2010 and 2015.

Key drivers for growth in the segment:

Karnataka has the highest potential in South India with 7.90 GW of pumped storage hydro power. Renewable energy contributes to 31 per cent of the total installed capacity with the potential estimated in excess of 44.30 GW. Bengaluru is the best test site for the Smart Grid in the country as it has the Distribution Automation System and the transmission SCADA is already in place. The presence of local IT and professional skill is an added advantage for bringing in the Smart Grid. Karnataka contributed 5.61 per cent to the GDP in the financial year 2015.

In Karnataka the ESCOMS are taking customer services to the next generation. The growth of consumers and consumption are 4.86 and 4.56 per cent respectively in the financial year 2015 as compared to 2014. The BESCOM is one of the best distribution utilities, rated at IrBBB+ in ICRA rating.

The State has a vision for sustainable energy security. The Government of Karnataka is committed to providing 24x7 power for all by 2020. The energy sector has bridged the difference between energy requirement and availability by 10 per cent in the last three financial years. The sector provides electricity to 21 million consumers in the State. The access of electricity in the villages is 99.90 per cent in the State.

The vision of the energy sector is to provide 24 hours power supply to all by the year 2020. The sector is committed to make Karnataka self-reliant, improve the efficiency of electricity companies, encourage development of renewable energy and implement energy conservation measures.

The investment potential in the next five years is Rs 4,50,000 million (~7,500 MW). The State has investor-friendly measures with amendments to the Renewal Energy Policy to attract investments. The State offers industry status to RE projects, simple land conversion, forest clearance, attractive feed-in tariffs, tax holiday etc.

Karnataka receives global solar radiation in the range of 5.1 - 6.4 kWh/m2 (summer), 3.5 - 5.3 kWh/m2 (monsoon), and 3.8 – 5.9 kWh/m2 (winter), making solar energy generation across all seasons very viable.

Track Record:

The installed capacity of Karnataka is 15.27 GW as on August 2015. It is the sixth largest State in generation capacity in India. The installed capacity of the private sector has grown at a CAGR of 12 per cent in the last five financial years. The private sector contributes 43 per cent (6,582 MW) of the total installed capacity. The State has the highest installed capacity of 3.60 GW for hydro power. The installed capacity for renewable energy stands at 4.90 GW. The AT&C losses for the ESCOMs stands at 16 per cent in the financial year 2015, which is way below the national average of ~25 per cent.

India ranks fourth globally with 276 GW of installed capacities contributes to five per cent of the total installed capacity of the World (5,492 GW).India’s rank is seventh in the world for solar energy with total solar PV installed capacity of four GW. India rank third globally with total Solar CSP installed capacity of 0.2GW.India is the only country within BRICS countries till 2014 to implement Solar CSP plant. The installed capacity of renewable energy grew at a CAGR of six per cent within the financial years 2008 and 2014.

Karnataka is seriously following industry friendly policy and regulations for renewable energy by doing away with Cross subsidy surcharge (3rd party); transmission and wheeling charge and providing 100% banking for open access projects. Government of Karnataka (GoK) on 22nd May 2014 revised its existing state solar power policy with the aim to achieve 34,152 MW (in phased manner) by 2022. The government aims to have grid connected rooftop projects of 400 MW by 2018. Friendly net metering policy for promoting Rooftop solar have been set up and decentralized on-grid projects through “farmers category” and other off –grid projects. During the financial year 2016, a total provision of Rs 1,28,780 million was made to the Energy Department of the State.

The investment potential in renewable energy in the next five years is Rs 4,50,000 million (~7,500 MW). The State has investor-friendly measures with amendments to the Renewal Energy Policy to attract investments. The State offers industry status to RE projects, simple land conversion, forest clearance, attractive feed-in tariffs, tax holiday etc.

Success Stories

Smart Grid Pilot Project for Indiranagar, Bengaluru by BESCOM
• Bengaluru Electricity Supply Company Limited (BESCOM) is implementing a Smart Grid Pilot Project for Indiranagar, Bengaluru, with a consumer base of 63,058. It includes 3 components: Advance Metering Infrastructure; Peak Load Management and Solar Rooftop PV Systems (RTPV). Under this project,
• Smart Meters and Communication Systems will be installed for about 20,000 consumers.
• IT Infrastructure consisting of servers, MDAS, MDAM and PLM software etc. will be installed in the control Centre for data collection, storage and analysis.
• 5,000 Rooftop Systems are planned to be installed in Indiranagar and will be integrated with the distribution system using Net Metering.

Snapshot of SCADA implemented by KPTCL

• All the Transmission RTUs communicate to MCC-1 & Distribution RTU’s communicate to MCC-2
• Which includes the Main control centres, a Disaster Recovery centre, and Area load dispatch centres for the Transmission Zones and Distribution control centres for the ESCOMs.
• The total system is configured with 72 servers and 115 operator workstations
• Communication is on a owned VSAT HUB and Leased Lines for Inter control Centre Communication

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