Solar power in Rajasthan

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    Power Sector SCENARIOin Rajasthan

    Presented By:

    Deepak Saxena

    CUTS Centre for Consumer Action,

    Research & Training (CART)

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    Legislations Relating to Electricity

    Year Act/Policy Main Features1910 Indian

    Electricity Act

    Governed the relations between the consumer and the licensees

    1948 Electricity

    (Supply) Act

    Governed the constitution of the Central Electricity Authority, State Electricity

    Boards, Generating Companies, Consultative Councils and local Advisory

    Committees.

    The Act empowered the State to make rules providing for management and

    accounts of the State Electricity Boards.

    1956 The Indian

    Electricity

    Rules,

    To regulate the supply, transmission, generation, and use of electricity.

    1998 Electricity

    Regulatory

    Commission Act

    For the establishment of a Central Electricity Regulatory Commission and

    State Electricity Regulatory Commissions,

    2003 Electricity Act

    2003

    To consolidate the laws relating to generation, transmission, distribution,

    trading and use of electricity

    2004-

    05

    National

    Electricity

    Policy

    It aims at laying guidelines for accelerated development of the power sector.

    2007 Electricity

    Amendment Act

    Specifying Anti-theft measures to reduce the T&D Losses. Putting the theft of

    power in the categories of non- bailable offence, so as to curb the evil ;ab-

    initio;.

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    The Beginning..

    In 1993, the Government of Rajasthan decided to reform its power

    sector

    This was followed by a Broad Reform Policy Statement, issued in

    Sept. 1995

    The policy statement was further revised in 1997 and 1998 andfinally adopted in May 1999.

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    POLICY STATEMENT

    The main objectives of the statement:

    To bring about comprehensive reforms

    To facilitate and attract investments

    To bring improvements in the efficiency of delivery system

    To create an environment for growth in the power sector

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    Rajasthan Power Sector Reforms Act, 1999

    Approved on September 25, 1999

    Presidential Assent on December 28, 1999

    Published in the official gazette on January 10, 2000.

    Came into force on June 1, 2000.

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    Important Features

    The main components of the Reform Programme:

    Unbundling of erstwhile Rajasthan State Electricity Board (RSEB)

    Ensuring private participation in the distribution companies in a

    phased manner through conversion into joint venture companies.

    Ensuring improvements in the transmission and distribution

    network through World Bank assisted project .

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    Rajasthan Electricity Regulatory

    Commission

    Established on 2nd January, 2000 under the ERC Act, 1998.

    The important regulations issued by the Commission include

    > Metering Code for Rajasthan Grid

    > General and Planning Code> System Operation and load Dispatch Code

    > Standards of Performance

    > Safety Standards Code

    > Open Access Code

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    Functions of RERC

    Determining the tariff for generation, transmission and distributionof electricity

    Regulating electricity purchase and procurement process

    Issuing licences

    Promoting cogeneration and generation of electricity from

    renewable sources of energy Adjudicating upon the disputes between the licensees, and

    generating companies and to refer any dispute for arbitration

    Specifying or enforcing standards with respect to quality, continuityand reliability of service by licensees

    To advise the State Government on the following matters: (i) Promotion of competition, efficiency and economy and

    investment in electricity industry

    (ii) Reorganization and restructuring of electricity industry

    (iii) Matters concerning generation, transmission, distribution and

    trading of electricity

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    Reforms Journey so far.....

    Private partnership in the unbundled power distribution companies is

    on the anvil. Actively encouraging the use of non-conventional energy sources,

    such as solar and wind-based energy.

    The Government formulated the Captive Power Plants Policy whereby

    any industrial unit or units can set up a power plant with a capacity of166 MW or less for captive use of the industries in that area.

    With the notification of the Rajasthan Power Sector Reforms TransferScheme 2000, on 19th July 2000 the assets, liabilities and personnelof the RSEB have been transferred to the newly formed 5 companies

    namely: 1 generation company (RVUN),

    1 transmission company (RVPN)

    3 distribution companies, viz. Jaipur VVNL, Ajmer VVNL and

    Jodhpur VVNL

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    Milestones

    1stState in the country to have completely separated all the three

    functions in a single stage

    1st state in India that adopted the International Competitive

    Bidding process for seeking private sector participation in creating

    additional capacity for generation of power.

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    Shyama Prasad Mukherjee Feeder

    Renovation Programme

    objectives

    Ensuring speedy and time bound implementation of Loss

    Reduction Programmes with both urban and rural focus.

    Ensuring sustained and effective vigilance efforts

    ensuring greater responsiveness to consumer grievances

    Effective use of automation and IT enabled services

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    Shyama Prasad Mukherjee Feeder

    Renovation Programme

    essential features

    Segregation of urban/industrial feeders from rural feeders

    Use of AB Cables of LT lines

    Temper proof consumer metering (push type)

    Services line through armoured cable

    Sustained support through vigilance activities Providing better quality of domestic supply in rural area.

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    Category wise and company wise

    number of consumers as on 31-03-

    2004SN Category

    Jaipur

    Discom

    Ajmer

    Discom

    Jodhpur

    DiscomTotal

    1 Domestic 1546844 1532226 1347276 426346

    2 Commercial 293897 234860 201321 730078

    3 Industrial56337 56271

    33998 146606

    Low & Medium

    4 High Voltage 1023 1079 497 2599

    5 Public Lighting 2622 3243 1924 7789

    6 Railway Traction 8 0 0 8

    7 Agriculture 269456 282072 138364 689892

    8 Public Water Works 7090 10517 9783 27390

    9 Miscellaneous 4370 4582 2216 11168

    10 Total 2181647 2124850 1735379 6041876

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    Per Capita Consumption of Electricity

    Year Consumption (kWh)

    2006-07 6002005-06 583

    2004-05 540

    2003-04 566

    2002-03 517

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    Consumption Scenario as on

    December 2007

    Category MU Percentage

    Domestic 3376 19%

    Commercial 1089 6%Industrial 6311 36%

    Public Services 632 4%

    Agriculture 5178 30%

    Others 780 4%--------------------------------------------------------------------------

    Total 17366 100%

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    Financial Losses

    Losses (Year wise)

    Name of the Nigam 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

    Jaipur Vidyut Vitran

    Nigam

    432.96 52.91 524.80 615.02 339.52 434.09

    Ajmer Vidyut Vitran

    Nigam

    427.85 535.74 673.13 716.44 617.93 741.76

    Jodhpur Vidyut Vitran

    Nigam

    430.30 524.18 535.47 682.52 671.24 564.67

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    OUTCOMES

    Positive

    Some improvement in the quality of service and technical losses,

    especially in urban areas.

    Measures taken for better consumer participation and to protect

    consumer interests

    Negative

    Continuous rise of financial losses of companies

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    Conclusions

    The reform process was a must

    After reforms there is increase in per capita consumption

    After constitution of RERC, public participation has

    increased

    Distribution companies made significant progress in

    reducing the losses

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    Recommendations

    Need to create more awareness

    Demystify reform process to ensure and facilitate betterconsumer participation and monitoring

    Need to develop strong consumer protection mechanism

    Empower RERC for proper implementation of its orders/

    directions

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