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HEARTIEST WELCOME TO MEMBERS OF FOR & FOIR

Discover the achievements and reforms in the power sector in Punjab. Learn about the commitment to providing quality and affordable electricity to all citizens. Explore the implementation of new and renewable sources of energy.

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HEARTIEST WELCOME TO MEMBERS OF FOR & FOIR

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  1. HEARTIEST WELCOME • TO • MEMBERS OF • FOR & FOIR

  2. Presentation on Power Sector Scenario in Punjab

  3. OUR COMMITMENT • Punjab is committed to ensure availability of quality and uninterrupted electricity supply to all its citizens at affordable prices • By 2012-13

  4. SOME KEY ACHIEVEMENTS OF PUNJAB • Punjab was the second State to achieve 100% Rural Electrification of its 12428 villages in 1976. • Punjab is the first State to provide Urban Pattern Supply (UPS) to all its villages. • Besides 6158 Deras/Dhanis with a cluster of 5 or more houses have also been extended UPS Supply. • Punjab was the first State to achieve 100% segregation of general load from AP load for all 11 KV Rural feeders. • 93% of the Households are electrified against all India Average of 48%. Contd………

  5. SOME KEY ACHIEVEMENTS OF PUNJAB conti ….2 • Per Capita Consumption of 1112 Kwh (as on 31.3.2008) is highest in the country. • T&D losses at 19.91% in 2008-09 are the 2nd lowest in Northern India after HP. • Punjab is the first State to introduce GPRS based Automatic Meter Reading (AMR) System for all 11KV and above feeders. • Annual PLF of 99.19% for unit-I of GHTP for 2007-08 was better than State Sector National highest of 98.21% of Kota Unit-VI during 2006-07. • Annual PLF of GHTP Lehra Mohabbat and GGSSTP Ropar for 2008-09 was 95.99% and 87.07% respectively. • Open Access fully operationalised in Transmission & Distribution.

  6. PRESENTSTATUS * *All Figures are as on 31.03.2009

  7. PRESENTSTATUS Cont….2

  8. PRESENTSTATUS Cont….3 • Metering: • All consumers other than AP are metered. • In case of AP consumers, 79633 consumers out of 10.32 Lac are provided with meters. • Overall %age of metering is 85.60%.

  9. PRESENTSTATUS Cont….4

  10. PRESENTSTATUS Cont….5 • SUBSIDY GIVEN BY STATE GOVERNMENT • The State Government has been giving subsidy to PSEB for free supply to AP and Weaker Sections of the Society (Upto 200 Units/month) as determined by the Regulatory Commission as under:

  11. POWER SECTOR REFORMS • Tariff Regulatory Process introduced by the State by setting up Punjab State Electricity Regulatory Commission which has issued 7 tariff orders so far. • State Grid Code has been notifiedfor secure and economic operation of the State Grid. • Electricity Supply Code has been notified by the State Regulatory Commission to protect the right of the consumers and to improve service efficiency and performance parameters. • All Regulations/Rules required to be notifiedby State Regulatory Commission under Section 181 of Electricity Act,2003 have been notified.

  12. POWER SECTOR REFORMS Cont….2 • Open Access Regulations notified by PSERC. • Designated Enforcement Officers and Assessing Officers notified for implementation of provisions of Section 126 & 135 relating to unauthorized use /theft of energy. • 5 Special Police Stations have been set up exclusively to deal with the theft of energy cases. • Special Courts for trial of electricity related offences have been established. • To address the grievances of consumers more speedily Consumer's Grievances Redressal Forum and Ombudsman stand established

  13. POWER SECTOR REFORMS Cont….3 • Reforms yet to be implemented • Restructuring of the Board. • Implementation of Multi-Year-Tariff Regime. • Intra-State ABT (Availability Based Tariffs).

  14. POWER SECTOR REFORMS Cont….4 • Restructuring of PSEB: • Restructuring of PSEB is contemplated with the consensus of all the stakeholders. • Government of Punjab is likely to take a final decision shortly

  15. PRESENT FOCUS

  16. PRESENT FOCUS Cont….2 • Procurement of 1800 MW power under Case-I Guidelines of MOP, GOI. PSEB has initiated a proposal to procure 1800 MW + 20% capacity as per Case-1 guidelines of Ministry of Power. The technical/non-financial bids have been opened and are under evaluation. Award likely by month end. • LONG TERM PPAs:Punjab has signed Long Term Power Purchase Agreements for 2960 MW from Central Sector Projects & IPPs. • UMPP SHARE:Punjab has also been allocated 2183 MW from Central Sector Ultra Mega projects. • 168 MW Shahpur Kandi HEP:This project has been declared National project. 90% of the cost of Irrigation part is to be met by Government of India. Updated project report has been appraised and approved by CEA and Central Water Commission and has been submitted to the Planning commission. Approval of Planning Commission is awaited.

  17. PRESENT FOCUS Cont….3 • New & Renewable Sources of Energy (NRSE) • Punjab Government has been making all out efforts to promote New & Renewable Sources of Energy. • Punjab Energy Development Agency (PEDA), which was constituted in 1991, is the Nodal Agency for promotion and development of Renewable programme/projects in the State. • NRSE Policy was notified by State Government in 2006. • 1000 MW capacity is planned to be added by the year 2020 to bring the share of NRSE based capacity to 10% of Conventional Power. • PEDA is making efforts to harness Bio-mass based 500 MW of Power during the next three years. • Quite attractive tariff for sale of power offered to NRSE project developers as per NRSE Policy which has been approved by PSERC.

  18. PRESENT FOCUS Cont….4 • Short Term/Medium Term Power Plan As the new projects under the Accelerated Capacity Addition programme are not expected before 2011-12, the State Government is finalizing Short Term/medium Term Plan for purchase of Short Term Power based on competitive bidding to meet the deficit during 2010-11 & 2011-12.

  19. PRESENT FOCUS Cont….5 • Strengthening of Transmission & Distribution System PSEB would spend Rs. 3537 Cr. to improve its Transmission and Distribution Systems and to achieve full and effective Rural Electrification during the next three years. Details of these projects are: -

  20. PRESENT FOCUS Cont….6 • T&D LOSS REDUCTION • PSEB has achieved 10.90% reduction in T&D losses from 30.82% in 1999-2000 to 19.92% in 2008-09. • T&D Losses of 19.92% in Punjab are the 2nd lowest in Northern India after H.P against All India average of 30.42% (2005-06). • T&D losses for some other States for the year 2008-09.

  21. PRESENT FOCUS Cont….7 • Measures taken to reduce T&D Losses: • Installation of capacitors on all AP connections. • Replacement of Electro-Mechanical Meters with electronic Meters: Out of 57 Lac General & Industrial Consumers 38.21 lac have been provided with Electronic Meters. • Shifting of Meters outside consumers’ premises: Meters of 22.52 lac out of 57 Lac General consumers shifted. The entire task to be completed by June, 2011 at a total cost of Rs.850 Cr. • Implementation of HVDS in AP: w.e.f. October, 2006 new AP connection are being released on HVDS. The existing AP connections to be converted into HVDS in a phased manner by 2011-12. • LT less or LessLT System for new connections under General & Industrial category. • Proper earthing of all Grid Sub-Stations and Distribution Transformers. • Registration of FIR made mandatory for theft of energy cases. 5 No. Special Police Stations, Special Courts set up to deal such cases. • Aerial Bunched Cables (ABC) being provided in theft prone areas. • Use of IT in Distribution for metering and energy audit. • AMR System introduced for all 11 KV & above feeders.

  22. INTRODUCTION OF IT IN POWER SECTOR

  23. RESTRUCTURED APDRP • R-APDRP is receiving maximum attention of State Government. The implementation status is as below: - • PART-A • M/s Wipro Ltd. have been engaged as IT Consultants for R-APDRP (Part-A) • DPRs for 47 no. eligible towns for Rs. 354.00 Cr. Has been got approved. • A loan amount of Rs. 272.85 Cr. which is convertible into grant has been sanctioned by Power Finance Corporation. • Quadripartite Agreement has been signed by all parties. • State Govt. guarantee for drawl of loan has been given. • All formalities for drawl of Ist installment of loan amount of Rs. 272.85 Cr. have been completed. • Selection of IT Implementing Agency likely to be finalized by end November, 2009.

  24. RESTRUCTURED APDRP Cont..2 • PART-B • Part-B covers Renovation, modernization and strengthening of distribution & Sub-transmission work. • Consumer indexing and ring fencing are pre-requisites before taking up Part-B of R-APDRP, consumer indexing is being updated by field offices of PSEB. • AMR compatible 11 KV meters have been provided in 27 no. towns out of 47 no. towns as part of Ring Fencing a pre-requisite for establishment of reliable/automated base line data and for determination of AT&C losses. Process for procurement of additional meters required for Boundary metering has been initiated. • Guidelines and formats for implementation of R-APDRP – Part-B has been issued by PFC which has been circulated to field offices of PSEB for initiating spade work.

  25. RURAL ELECTRIFICATION • Punjab achieved 100% electrification of all villages in 1976. • The existing Distribution and Sub Transmission infrastructure in the villages is too old and need major strengthening, upgradation and renovation. • We have spent Rs.330 Cr. in the past to provide Urban Pattern Supply to villages and upgrade rural electrical infrastructure.

  26. RURAL ELECTRIFICATION ont…2 • Another Rs.90 Cr. have been spent to provide Urban Pattern Supply to 6158 Deras/Dhanis with 5 households and above. • Urban Pattern Supply is also being extended to water works, Health Centres, Dispensaries in the Rural Areas. • PSEB has prepared a comprehensive Rural Electrification Plan, which requires funds to the extent of Rs.9534 Cr. during 11th & 12th Plan and have submitted the same to Government of India and Planning Commission to provide liberal financial assistance.

  27. RAJIV GANDHI GRAMEEN VIDYUTIKARAN YOJNA (RGGVY) • PSEB is implementing 17 Projects of Rs.183.91 Cr. under RGGVY for release of about 4.04 lac connections to rural households which also include 1.49 Lac single point connections to BPL household. • The work on these projects is in progress and would be completed by 31.3.2010.

  28. OPEN ACCESS IN TRANSMISSION & DISTRIBUTION • The State Government is of the view that indiscriminatory Open Access in Transmission & Distribution and establishment of power & energy exchanges for trading in power are the steps in the right direction and would help development of a vibrant power sector. • Open Access in Transmission & Distribution is fully operationalized in Punjab. • The Open Access Regulations were notified by the PSERC in August, 2005 and were further amended in August, 2007 to make these compliant of National Tariff Policy and CERC directions. • At present 17 large Supply Consumers have been allowed Open Access to purchase power from Power Exchanges. Despite the State facing acute power shortage, 5 Generators (Captive & Co-generators) have been allowed Open Access to sell power outide the State in open market. • The State Government, however, feels that there should be a price cap on traded power to avoid exploitation of power deficit States by traders and power surplus States and to ensure that Power Trading Market functions in a healthy manner

  29. DEMAND SIDE MANAGEMENT (DSM) & ENERGY CONSERVATION MEASURES • The State Government attaches utmost importance to DSM & Energy Conservation . • Bachat Lamp Yojna is being implemented in two phases. In the first phase, 27 Lac consumers would be covered. • HVDS in AP 80,000 AP consumers converted into HVDS. Another 4.37 Lac would be covered in next two years. • Low Cost Maintenance & Loss Reduction Programme. This involves shifting of meters outside consumers’ premises on poles & pillar boxes. In the first phase 32 Lac Rural/Urban consumers would be covered. Project cost for first phase is Rs.700 Cr. • Segregation of general and AP load on 11 KV Rural feeders – already completed.

  30. DEMAND SIDE MANAGEMENT (DSM) & ENERGY CONSERVATION MEASURES Cont…2 • Replacement of inefficient pumpsets with efficient pumpset – Pilot project with 2081 AP consumers being undertaken. To be extended to entire State thereafter. • Use of energy efficiency appliances – Consumers are made aware through publicity to use energy efficient appliances to reduce consumption. • Energy Efficient Street Lighting System –project under implementation by PEDA, • Implementation of Energy Conservation Building Code – under consideration of State Government. • Use of CFLs made obligatory for all AP consumers. • Provision of Solar Water Heaters in all PSEB Buildings, Govt. buildings/Guest House etc. • Power Factor Management – 864 MVAR capacity added in the system in 2007-08 & 2008-09. Another 1338 MVAR to be added in 2009-10.

  31. POINTS FOR CONSIDERATION • For financial sustainability of the Utility, historical realities/liabilities as prevailing prior to the year 2003 when regulatory regime came into being, as also the existing realities should not be overlooked while giving stress on normative approach for determination of ARR of the Utility. The financial sustainability should, be rather, one of the prime concern of the Regulatory Commissions in determining of ARR. • Payment of compensation by the Board in the event of failure to meet the Standards of performance notified under Section 57(1) of the Electricity Act, 2003, should be as per the provisions of the Electricity Act, 2003. Payment of compensation should not be automatic as specified in the Supply Code notified by the Punjab State Electricity Regulatory Commission.

  32. POINTS FOR CONSIDERATION Cont..2 • For determination of Project cost and apportionment etc of multipurpose hydro projects, Central Electricity Authority and Central Water Commission are the Apex Bodies constituted by the Government of India. The project cost and the apportionment, after approval by CEA/CWC, is subsequently also approved by the Planning Commission. It is felt that there should not be any intervention of Regulatory Commissions, thereafter, particularly for the projects which have been approved prior to Regulatory Regime.

  33. THANK YOU

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