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EC Technologies & Quality Standards-DSM. By G C Datta Roy DSCL Energy Services Presented at ‘ India Electricity-2006’ Organized by Federation of Indian Chambers of Commerce & Industries New Delhi, May,2006. Presentation structure. Brief introduction-DSCL Energy Services EE Market
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EC Technologies & Quality Standards-DSM By G C Datta Roy DSCL Energy Services Presented at ‘India Electricity-2006’ Organized by Federation of Indian Chambers of Commerce & Industries New Delhi, May,2006
Presentation structure • Brief introduction-DSCL Energy Services • EE Market • DSM Market development-Objective • Interesting experiences-world wide • DSM Technologies • Quality-many dimensions • Critical success & failure factors-learning from experience • Conclusions
Manufacturing Platform Service Platform Environmental Energy Services DSCL ESCO Agri Business Plastics Chemicals Fertiliser Agri-Marketing Agri-retailing Sugar Bioseed Commodity Speciality Building prod. Commodity Speciality/ Value added DCM Shriram Consolidated Ltd - Introduction • DCM Ltd established in 1889 by Sir Shriram • Restructured in 1990 into 4 separate companies • DCM Ltd • DCM Shriram Industries Ltd • Shriram Industrial Enterprises Ltd • DCM Shriram Consolidated Ltd (DSCL). DSCL – Rs 2000 Crore Conglomerate EE Consulting ESCO PC RE Development Captive power CDM International
EE Market-How to Characterize • Utilities • Generation • Distribution • Industry • Large energy intensive • Large-others • SME-energy intensive • Cottage-energy intensive • Buildings • Commercial including offices • Recreational including shopping malls • Hotels & hospitals • Residential • Municipal • Agricultural • Transportation • Mass & urban • Others Different market drivers
Immediate Market Potential Energy Efficiency Investment : 1.52 Rs Crs/MW
DSM Market Demand side Supply side Meter Industry Distribution Transmission Commercial Generation Urban Domestic Agricultural Subsidized segments are the best DSM markets Two pronged strategy-Project & Policy
DSM Market Development-Objective • Macro objective • Reducing demand supply gap • Improved quality & availability of power • Environmental benefits • Economic objective • Improving bottom line of utilities • Expansion of market for high efficiency products • Development of technology and service providing industries • Incidental benefits • Employment generation
DSM Impact-some interesting experiences • USA-highly successful utility DSM & FEMP program-for every dollar of government spend, four dollar of private investment • Canada-For every dollar of investment in DSM four times employment generation compared to supply side investment. • Brazil, Korea-DSM cess (electricity & petrol respectively) has helped in rapid development of EE market and service providing industry • Thailand, Srilanka-Mitigation of energy shortage • Australia, Most of EU countries-Development of high efficiency white goods and buildings • Japan-Development of Large Utility affiliated ESCO industry • India-No significant stride yet-MERC’s pioneering effort expected to make the first major break throu
Key drivers-Moving the EE Market Tech Cost press Finance Me too Awareness Transformed Market Service Confidence Opportunity Different quality dimensions for each element
Quality dimensions • Awareness-From general to specifics • Technology • Engineering • Service • Relationship Though all dimensions are inter-related, each one has its specific impact
Quality dimension-awareness • Why-Motivation (e.g. EE in DJB for shaving peak load) • What-Target reduction of peak load by 200 MW • How-Improving the pumping system efficiency • Who-DJB/ESCO • When-Next 6 months • Where-Prioritisation for maximum impact 5W-1H model-powerful tool for improving awareness quality
Quality dimensions-Technology • State of development • Local technology support • Adaptation • Side effects
Quality dimension-Engineering • Design • Adaptation • Manufacturing • Serviceability
Quality dimension-Service • Delivery • Installation • Performance verifiability • O&M • Training
Quality dimension-Relationship • Who are the stake holders? • Defining stake holders interests • Managing stake holder interests
Critical success & failure factors • Very successful case story-Building energy projects • Defined product quality specifications • Instituted in-situ testing protocol • Involved client operators in testing • Instituted robust PMV system • Maintained feedback and communication channel at multiple levels • Failure story • Repeated failure of particular component • Inadequate service frequency-prolonged outage • Negative impact on production process • Client put the system out of line
Conclusions • EE Market is big but penetration is low • DSM would be a niche market to be developed using multiple strategy • Instituting quality dimensions at the beginning can make better impact • Quality needs to be in place in all its dimensions • Quality in all its dimension would be the key success factor for development of the DSM market.