The Ministry of New and Renewable Energy (MNRE), in collaboration with IMD and POSOCO has launched a weather portal for the power sector. This portal will help in predicting extreme weather events such as heat waves and floods which will effect on the load demand and energy production, transport and distribution management. It will be of aid to the DISCOMs to ensure a reliable supply and infrastructure planning. It will provide information regarding regional weather summary, radar, satellite image, meteogram and region specific forecast.


The portal “MERIT” (Merit Order Dispatch of Electricity for Rejuvenation of Income and Transparency) was also developed by MoP in association with POSOCO and CEA. It gives an array of information regarding merit order of electricity procured by the state. It will help the DISCOMs to provide power at a lower cost to consumers. It will also promote the use of clean and green power.


The article regarding the same can be accessed here.


As per the 19th electric power supply report by the Central Electricity Authority (CEA), the country will need 1,566 BUs of energy by 2022 which means that there will be an increase of 37%. An annual growth of 2.6% was recorded in the FY 2017. As per the 18th EPS report, the electricity generation for FY 2017 was supposed to be 1,355 BUs whereas it was close to 1143 BUs. The expected peak demand in the FY 2022 is supposed to be 226 GW.


The article reporting the same can be accessed here.


Central Electricity Authority  (CEA) published the Draft National Electricity Plan (NEP). Following are some of the main features of the report:

  • For the 12th plan (2013-2018), target capacity addition from renewable energy was set at 30,000 MW. However, in view of the revised target of adding 1,75,000 MW capacity of renewable energy sources by the year 2022, the capacity addition for every year has been revised. A target of 16,825 MW has been set for capacity addition in 2016-2017. As per the review, capacity addition from conventional sources is going to exceed its target by 115% and private players will play a big role in capacity addition. Coal based plants are likely to contribute around 39% of capacity addition.

  • Projections for peak demand and energy requirement has been done for utilities for which two scenarios have been considered in the report for the years 2021-22 and 2026-27. One is with the consideration of DSM, energy efficiency and conservation measures. As per calculations, both peak demand and energy requirement values reduce significantly in the scenario where DSM, energy efficiency and conservation measures are being considered.


  • The installed capacity from renewable energy sources was 42,849 MW as on 31.03.2016. The share of renewable energy sources in the same is about 13%. However, the share of renewables is estimated to increase as the government is giving a major thrust to renewable energy. India, as a country has vast solar and wind potential. It also has potential for biomass and small hydro projects.


  • The CEA carried out EGEAS studies to assess the kind of capacity addition that will be required to meet the projected demand for the year 2021-22. Hydro, gas and nuclear are given maximum priority. CEA has developed three scenarios which consider the different combinations of installed capacity from renewable sources so as to determine the capacity addition from 2017-22. From the study it can be concluded that no additional coal based capacity is required to fulfill the energy demands during the year 2017-22 if the capacity of hydro, gas and nuclear are 15,330 MW, 4,340 MW and 2,800 MW and additional renewable energy sources. However, coal based capacity of 50,025 is under construction in will probably be commissioned during 2017-22.


  • As per the report, Electric Power Survey Committee’s 19th report will come out in some time and on the basis of that, changes will be made to the final Electricity Plan. Due to shortage of natural gas in the country, except for the already existing plants, no new natural gas plants have been planned during 2017-22. Also, the coal based capacity of 50,025 MW that is under construction currently will be able to fulfill the capacity requirement for the years 2022-2027. As estimated, in the year 2021-22, generation from RES will be 20.3%. Imports from neighbouring countries is also estimated to increase from 5,100 MW in the years 2021-22 to 21,600 MW in the year 2026-27.

  • The compound annual growth rate of energy demand will grow from 4.42% between the years 2012-13 to 2015-16 to 6.34% from the years 2015-16 to 2021-22. This increase is significantly higher than that in the past considering the increase in demand and the increase due to implementation of PFA and other projects from the government of India between 2017-22. Therefore, as per the report, energy demand of 1611 BU and peak demand of 235 GW in March 2022 under CAGR= 6.34% look realistic and is likely to occur.


  • The CEA report has mentioned ambitious targets of achieving an installed capacity of 175 GW by 2022. The breakup of the energy derived by various sources has also been given in the report. The report also mentions the percentage of energy that will be derived from various sources and from different states. As per the report, 9 states will contribute almost 77% of installed capacity by 2022. The report also gives year-wise targets for achieving the desired target.

  • The targets set by the CEA will require strong indigenous manufacturing facility for equipments related to RES. Policy frameworks may be developed to encourage the same and this will also fall in line with the ‘Make in India’ policy.


  • At the end of the year 2021-22, the projected peak demand and the energy requirement is 235 GW and 1,611 BU respectively. As per the 18th EPS report, this is around 17% and 16.4% lesser respectively. Similarly for the years 2026-27, these values are 20.7% and 21.3% lower.


  • As for the capacity addition predicted from 2017-22, development of hydro, nuclear and gas based project is being given priority. Capacity addition estimated from gas, hydro and nuclear is 4,340 MW, 15,330 MW and 2,800 MW. The capacity addition from RES is predicted to be 1,15,326 MW. For the years 2022-27, similar trends as the previous 5 years will be followed. It is estimated that non-fossil based capacity is bound to increase by 46.8% at the end of 2021-22 and will further increase by 56.5% by the end of 2026-27. For the year 2017-22 and 2022-27, low hydro capacity addition of 11,788 MW and 5,000 MW has been estimated.


South Grid successfully synchronized with National Grid

According to a Press Release from the Ministry of Power on the eve of first day of new year 2014, the much awaited grid synchronization of south grid with National Grid has been successfully accomplished. This marks a major milestone in the history of Power Industry. With this. the long cherished dream of “One Nation One Grid”  is now a reality.

With a single large grid operational in India, accommodating a huge power capacity of 232 GW, India’s national grid is one of the largest grid in the world. This step will largely benefit a power starved condition of the southern grid, which currently had inability to transmit surplus power to the national grid or draw power from national grid in case of power deficiency. A single grid bestows grid managers with even greater responsibility of efficient grid management. Lapses that caused grid failures in July last year, will now have fatal consequences, affecting the entire nation at once. On a brighter side, such synchronization, will further open up the power sector in India. The price discovery in short-term electricity markets will now witness a downward trend in southern region.

In achieving such a milestone, efforts of BHEL Limited are laudable, as it completed work on 765kV Raichur-Sholapur transmission link, months before schedule. A coverage by The Hindu, on this, can be read here.

In October 2013, CEA, through a letter had urged CERC to expeditiously switch to a new-narrowed frequency band, contemplating gird synchronization work to be finished in beginning of the new calender year. Our coverage on the same can be read here.

Relevant media reports can be read as below:

The Hindu

Times of India

Live Mint

Renewable energy management centers to be established – CEA

Central Electricity Authority (CEA) recently unveiled a report on ” Large Scale Grid Integration of Renewable Energy Sources – Way Forward”. From the point of view of grid security and resource adequacy during operation, the CEA has realized, that forecasts are crucial.  In the report, CEA has emphasized establishment of Renewable Energy Management Centers (REMCs) which shall be bestowed with forecasting responsibilities in respect of renewable power.

CEA recommends REMCs to be co-located with respective load dispatch centres at state, regional and national level with hierarchical coordination. For maintaining load generation balance of the state, states will have to co-ordinate with REMCs. The forecast data of REMCs will be shared with SLDCs, who will in-turn be responsible for scheduling.

Acknowledging the recently launched mechanism under “Renewable Regulatory Fund”, CEA quotes the following -

“The above provision of flexibility in scheduling only provides commercial compensation to the host states for deviating from the schedule on account of  RES but does not absolve the state SLDC of the responsibility to comply with the IEGC.”

This implies that CEA wants SLDCs to take more responsibility towards variability in renewable generation. Although, CEA was mute on sharing of forecast data with the “coordinating agencies”. 

The report can be assessed here.

To know more about RRF mechnism – Click Here or you may get in touch with us.

Southern grid to be synchronized with New Grid soon

The Central Electricity Authority (CEA) through a letter dated 09-10-2013, has requested the apex commission (CERC) to expedite the process of finalizing the new-narrowed frequency band. CEA has urged this, contemplating the grid integration of southern grid with the new grid, to take place somewhere in the “beginning  of new calender year”. As per the CEA, narrowing of frequency band is required so as to reduce requirement of balancing power.

In the letter, CEA has also acknowledged, the rolling out of draft amendment to the Indian Electricity Grid Code 2010 by CERC in June 2013. In this draft regulation, the frequency band was curtailed to be from 49.95 Hz to 50.05 Hz as against the existing band of 49.5 Hz to 50.2 Hz ( more information on this can be found in our newsletter OPEN-ACCESS Vol. 33).

CEA is expecting the commission to come up with relevant final regulations by 30th Nov 2013, so that the utilities get enough time to adjust their operating practices accordingly.

As on 30th September 2013, the total installed capacity in southern region was around 56823 MW, which is about 25 % of the total All-India installed capacity.

Copy of the letter can be read here.

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