39
 Smart Grid  Implementation Plan for India Page 1 SMART GRID Implementation Plan for India NATIONAL POWER TRAINING INSTITUTE, FARIDABAD (Under the Ministry of Power, Government of India) Affiliated to MAHARSHI DAYANAND UNIVERSITY, ROTHAK Under Guidance of Ms. Indu Maheshwari Dy. Director, NPTI Submitted By Kaustubh Bhople 9 th  Batch, NPTI 

20 Kaustubh Bhople SMART GRID Implementation Plan for India

Embed Size (px)

Citation preview

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 1

SMART GRID

Implementation Plan for

India

NATIONAL POWER TRAINING INSTITUTE, FARIDABAD

(Under the Ministry of Power, Government of India)

Affiliated to

MAHARSHI DAYANAND UNIVERSITY, ROTHAK 

Under Guidance of 

Ms. Indu Maheshwari

Dy. Director, NPTI

Submitted By

Kaustubh Bhople

9th

Batch, NPTI 

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 2

ACKNOWLEDGMENT

It’s been immense pleasure to me while presenting my first report

on smart grid. The creation of this report is based on the support of many

individuals. I would like to take this opportunity to thank all of them.

Before expressing my thanks to these individuals, I would like to submit

my gratitude and respect to the Almighty for all his blessings.

At the outset, I am highly obliged to Mr.JSS Rao, Principal Director

NPTI and, Mr. S.K. Choudhary Director (CAMPS), NPTI, who with their

experience and expertise, guide us through the academics as well as

through the important educational phase of our life. Their efforts in the

same direction gave me the opportunity to do summer internship in a

pioneer organization Feedback Infra Pvt. Ltd.

I would like to express my gratitude to my internal guide Ms. Indu

Maheshwari for providing the extended support. I want to use this

opportunity to thank all the staff members who contributed directly or

indirectly for the completion of my internship report.

I also want to express gratitude to all the people whose efforts I

have referred and studied before suggesting my implementation plan.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 3

DECLARATION

I, Kaustubh Bhople, a student of MBA (Power Management) 2010-12 batch at Centre for Advanced Management and Power Studies

(CAMPS), NPTI, Faridabad, Roll No.20, hereby declare that the final year

major report titled, “SMART GRID – Implementation plan for India” 

submitted in partial fulfilment of the degree is an original work and that

no part of this report has been submitted to any other institute for the

award of any other degree and that this work has not been published in

any journal or magazine.

A Presentation has been made of the same in the institute

on………………………………. and the suggestions as approved by the faculty

were duly incorporated.

Presentation In-charge Signature of Candidate

(Kaustubh Bhople)

Counter signed

(Principal Director of Institute)

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 4

CONTENTS 

Executive Summary ...................................................... 5

Objective of Report ....................................................... 7

Scope of Report ............................................................ 7

Significance of Report ................................................... 8

I-Basics of Smart Grid................................................... 9 

1.1 Features of Smart Grid ............................................ 11

1.2 Functions of Smart Grid ........................................... 13

1.3 Technology ............................................................ 15

II-Pilot Project Selection............................................. 20 

2.1 Barriers in Implementation ...................................... 21

2.2 Parameter for Site Selection of Pilot Project ............... 23

2.3 Suggestions for Pilot Projects ................................... 25

III-Implementation Plan............................................. 27 

3.1 Smart Grid Initiative in India .................................... 28

3.2 Categorization of India ........................................... 30

3.3 Timeframe for Implementation ................................. 32 

Conclusion .................................................................. 38

Bibliography ............................................................... 39

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 5

EXECUTIVE SUMMARY

“Smart grids are emerging as the next strategic

challenge for the energy sector and as a key

catalyst to achieve the vision of a low-carbon

economy.” 

Ignacio S. Galán,

Chairman and Chief Executive Officer,

Iberdrola, Spain 

India, one of the most attractive economies of 21st century, is

standing 2nd in terms of population with 121 Cr. Population. One can

clearly guess the huge requirements of power in such country. Over 60

years of Independence has a good record of power generation in India.

But now there is a paradigm shift in all the industries in terms of 

ITization. In consistence with today’s era, Indian power sector also needs

to go through this paradigm shift and this shift will be in the form of 

Smart Grid.

The transition towards a smart grid can be driven by a number of 

factors, some or all of which may apply to varying degrees. However, the

hierarchy of needs will vary from country to country, region to region and

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 6

even circuit to circuit, based on the legacy network that exists and the

ambitions of local policy-makers. In some cases, reliability may dominate

the list of outcomes due to challenges faced by an ageing infrastructure;

however, in another area, the drive to incorporate plug-in hybrid electric

vehicles and distributed generation and storage may be dominant. In

these instances, different physical architectures might evolve that are

optimized to the local need. Over time, needs may change and therefore

the design philosophy will need to embrace the concepts of flexibility,

modularity, scalability and forward compatibility.

For India, we divide India in four categories Unelctrified Villages,

Electrified Villages, Urban and Metros. These four categories can be used

to decide the degree of pilot projects in these locations based on various

parameters like Consumer mix, geography, degree of smart grid etc. At

the end, the most important part of report is the suggestion of 

implementation plan. Below is the suggestion of plan.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 7

OBJECTIVE OF THE REPORT

There are some successful implementations of Smart grid in

developed countries. According to World Economic Forum, India is in very

preliminary stage regarding the development of smart grid. This project

will focus on implementation strategy of smart grid in India. In the path of 

 jotting down the plan the project has to cover following dimensions of 

smart grid

  Basics of Smart Grid

  Barriers in implementation of smart grid

  Parameters for selection of location of pilot projects

  Suggestions for pilot project locations

  Implementation plan keeping in view the accomplishment year as

2030.

SCOPE OF THE REPORT

Smart Grid is a huge subject and there are lot of aspects of smart

grid to study. There are very little awareness regarding the smart grid

and this continues till the task force and task forum formed in India. India

has declared the ambition of pilot projects but hasn’t announced the

locations of the pilot project.

This report will be directed towards the implementation plan for

smart grid and the pilot project site selection. Based of the barriers of 

implementation of smart grid, the report is aim to develop a time frame

for smart grid implementation.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 8

SIGNIFICANCE OF THE REPORT

There is a buzz word in the power industry –  “Smart Grid” . This

report has taken a move in this direction. The report has a saga with the

same buzz word. The report is targeted to propose a time bound

implementation plan for smart grid in India.

The report has taken India into consideration, categorised the

nation in different parts (Unelectrified villages, Electrified villages, Urban

and Metros). Based on these categories, report suggested different pilot

projects with varying degree of smart grid. At the end, the report

suggested one 4 phase implementation plan which is developed by aiming

2030 as a year when India will have smart grid.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 9

I

BASICS OF

SMART GRID

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 10

“Smart grids incorporate embedded computer 

 processing capability and two-way 

communications to the current electricity 

infrastructure. Smart grids operate across the

utility value chain, and should not be confused 

with smart meters.”  

A smart grid uses sensing, embedded processing and digital

communications to enable the electricity grid to be:

• Observable (able to be measured and visualized)

• Controllable (able to manipulated and optimized)

• Automated (able to adapt and self-heal)• Fully integrated (fully interoperable with existing systems and with the

capacity to incorporate a diverse set of Energy sources).

A smart grid will create the platform for a wide range of advanced and

low-carbon technologies.

Figure 1: Smart Grid – Holistic Definition

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 11

The smart grid, as defined in above Figure, encapsulates embedded

intelligence and communications integrated at any stage from power

generation to end point consumption. To date, the majority of the

industry debate has centred on smart meters and advanced metering

infrastructure – devices designed to accurately measure and communicate

consumption data in the home or office environment. Confusion can arise

if the term “smart meter” is used synonymously with “smart grid”. The

reality is that, with the holistic smart grid, the smart meter becomes just

one more node on the network, measuring and relaying flow and quality

data.

1.1 FEATURES OF SMART GRID

Load adjustment

Imagine the increment of the load if a popular television program starts

and millions of televisions will draw current instantly. Traditionally, to

respond to a rapid increase in power consumption, faster than the start-

up time of a large generator, some spare generators are put on a

dissipative standby mode. A smart grid may warn all individual television

sets, or another larger customer, to reduce the load temporarily (to allowtime to start up a larger generator) or continuously (in the case of limited

resources). Using mathematical prediction algorithms it is possible to

predict how many standby generators need to be used, to reach a certain

failure rate. In the traditional grid, the failure rate can only be reduced at

the cost of more standby generators. In a smart grid, the load reduction

by even a small portion of the clients may eliminate the problem.

Demand response support

Demand response support allows generators and loads to interact in an

automated fashion in real time, coordinating demand to flatten spikes.

Eliminating the fraction of demand that occurs in these spikes eliminates

the cost of adding reserve generators, cuts wear and tear and extends the

life of equipment, and allows users to cut their energy bills by telling low

priority devices to use energy only when it is cheapest.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 12

Currently, power grid systems have varying degrees of communication

within control systems for their high value assets, such as in generating

plants, transmission lines, substations and major energy users. In general

information flows one way, from the users and the loads they control back

to the utilities. The utilities attempt to meet the demand and succeed or

fail to varying degrees (brownout, rolling blackout, uncontrolled blackout).

The total amount of power demand by the users can have a very

wide probability distribution which requires spare generating plants in

standby mode to respond to the rapidly changing power usage. This one-

way flow of information is expensive; the last 10% of generating capacity

may be required as little as 1% of the time, and brownouts and outages

can be costly to consumers.

Greater resilience to loading

Although multiple routes are touted as a feature of the smart grid, the old

grid also featured multiple routes. Initial power lines in the grid were built

using a radial model, later connectivity was guaranteed via multiple

routes, referred to as a network structure. However, this created a new

problem: if the current flow or related effects across the network exceed

the limits of any particular network element, it could fail, and the current

would be shunted to other network elements, which eventually may fail

also, causing a domino effect.

Decentralization of power generation

Another element of fault tolerance of traditional and smart grids is

decentralized power generation. Distributed generation allows individual

consumers to generate power onsite, using whatever generation method

they find appropriate. This allows individual loads to tailor their

generation directly to their load, making them independent from grid

power failures. Classic grids were designed for one-way flow of electricity,

but if a local sub-network generates more power than it is consuming, the

reverse flow can raise safety and reliability issues. A smart grid can

manage these situations, but utilities routinely manage this type of 

situation in the existing grid.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 13

Price signalling to consumers

In many countries, including Belgium, Greece, the Netherlands and the

UK, the electric utilities have installed double tariff electricity meters in

many homes to encourage people to use their electric power during night

time or weekends, when the overall demand from industry is very low.During off-peak time the price is reduced significantly, primarily for

heating storage radiators or heat pumps with a high thermal mass, but

also for domestic appliances. This idea will be further explored in a smart

grid, where the price could be changing in seconds and electric equipment

is given methods to react on that.

1.2 FUNCTIONS OF SMART GRID

Self-healing

Using real-time information from embedded sensors and automated

controls to anticipate, detect, and respond to system problems, a smart

grid can automatically avoid or mitigate power outages, power quality

problems, and service disruptions.

Consumer participation

A smart grid is, in essence, an attempt to require consumers to change

their behaviour around variable electric rates or to pay vastly increased

rates for the privilege of reliable electrical service during high-demand

conditions. Proponents assert that the real-time, two-way

communications available in a smart grid will enable consumers to be

compensated for their efforts to save energy and to sell energy back to

the grid through net-metering. By enabling distributed generation

resources like residential solar panels, small wind and plug-in hybrid,

proponents assert that the smart grid will spark a revolution in the energy

industry by allowing small players like individual homes and small

businesses to sell power to their neighbours or back to the grid. Many

utilities currently promote small independent distributed generation and

successfully integrate it with no impact. These sources of power are

currently cost-effective with the help government subsidies that are

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 14

available to help consumers purchase the often expensive equipment that

is required.

Resist attack

Smart grid technologies better identify and respond to man-made or

natural disruptions. Real-time information enables grid operators to

isolate affected areas and redirect power flows around damaged facilities.

One of the most important issues of resist attack is the smart monitoring

of power grids, which is the basis of control and management of smart

grids to avoid or mitigate the system-wide disruptions like blackouts.

High quality power

It is asserted that assuring more stable power provided by smart grid

technologies will reduce downtime and prevent such high losses, but the

reliability of complex systems is very difficult to analyse and guarantee.

Accommodate generation options

As smart grids continue to support traditional power loads they also

seamlessly interconnect fuel cells, renewable, microturbines, and other

distributed generation technologies at local and regional levels.Integration of small-scale, localized, or on-site power generation allows

residential, commercial, and industrial customers to self-generate and sell

excess power to the grid with minimal technical or regulatory barriers.

This also improves reliability and power quality, reduces electricity costs,

and offers more customer choice.

Enable electricity market

Intelligence in distribution grids are not required to enable small

producers to generate and sell electricity at the local level using

alternative sources such as rooftop-mounted photo voltaic panels, small-

scale wind turbines, and micro hydro generators. Only after very high

penetration of these types of resources is additional intelligence provided

by sensors and software designed to react instantaneously to imbalances

caused by intermittent sources, such as distributed generation,

necessary.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 15

Optimize assets

A smart grid can optimize capital assets while minimizing operations and

maintenance costs. Optimized power flows reduce waste and maximize

use of lowest-cost generation resources. Harmonizing local distribution

with inter-regional energy flows and transmission traffic improves use of existing grid assets and reduces grid congestion and bottlenecks, which

can ultimately produce consumer savings.

Enable high penetration of intermittent generation sources

Climate change and environmental concerns will increase the amount of 

renewable energy resources. These are for the most part intermittent in

nature. Smart Grid technologies will enable power systems to operate

with larger amounts of such energy resources since they enable both the

suppliers and consumers to compensate for such intermittency.

1.3 TECHNOLOGY

Smart Grid technology is changing with a rapid pace, each day

scientists, and researcher trying to make it more automatic, flexible androbust. As on Date, following are the technologies available in different

aspects of smart grid.

Advanced Components

Advanced components "Advanced components play an active role in

determining the electrical behaviour of the grid. They can be applied in

either standalone applications or connected together to create complex

systems such as microgrids. These components are based on fundamental

research and development (R&D) gains in power electronics,

superconductivity, materials, chemistry, and microelectronics."

Advanced On-load Tap-changer

(OLTC)

Advanced Protective Relays

Controllable Network Transformer Convertible Static Compensator

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 16

(CNT) (CSC)

Current Limiting Conductor (CLiC) D-VAR or DSTATCOM

FACTS Flow Control using HTS Cable

Grid Tie Inverter Load Control Receiver

Medium Voltage Static Transfer

Switch

Meter Data Management

Narrow-band PLC SoC IC Solutions  One Cycle Control Controller

Programmable Communication

Thermostats

Real-Time Demand Response and

DER Control Device

Short Circuit Current Limiter (SCCL) Smart Meter

Smart Wires Class of Distributed

Series Impedance (DSI) Device

Solid State Transfer Switch (SSTS)

Static Shunt Compensator

(STATCOM)

Static Synchronous Series

Compensator (SSSC)

Static Var Compensators Thyristor Controlled Series

Compensators

Unified Power Flow Controller

(UPFC)

Advanced Control Methods

Advanced Control Method technologies are "the devices and

algorithms that will analyze, diagnose, and predict conditions in the

modern grid and determine and take appropriate corrective actions toeliminate, mitigate, and prevent outages and power quality disturbances.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 17

These methods will provide control at the transmission, distribution, and

consumer levels and will manage both real and reactive power across

state boundaries."

Advanced Feeder Automation Advanced Substation Gateway

Distributed Intelligent Control

Systems

Distribution Automation (DA)

Energy Management System (EMS) Fault Locator for Distribution

Systems

Grid Friendly Appliance™ Controller  SCADA

Substation Automation (SA)

Sensing and Measurement

Sensing and Measurement "is an essential component of a fully modern

power grid. Advanced sensing and measurement technologies will acquire

and transform data into information and enhance multiple aspects of 

power system management. These technologies will evaluate equipment

health and the integrity of the grid. They will support frequent meter

readings, eliminate billing estimations, and prevent energy theft. They will

also help relieve congestion and reduce emissions by enabling consumer

choice and demand response and by supporting new control strategies."

Advanced Metering Infrastructure

(AMI)

Battery Monitoring System

Cable Monitoring System Circuit Breaker Monitoring System

Current Sensor Fiber Optic Sensor

Instrument Transformer Outage Management System

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 18

Power Quality Monitoring System Sag Profile and VAR Monitoring

System

Temperature Monitoring System Transformer Monitoring System

Wide Area Measurement System

(WAMS)

Wireless Condition Monitoring

Improved Interfaces and Decision Support

Improved Interfaces and Decision Support are "essential

technologies that must be implemented if grid operators and managersare to have the tools and training they will need to operate a modern

grid. Improved Interface and Decision Support technologies will convert

complex power-system data into information that can be understood by

human operators at a glance. Animation, colour contouring, virtual reality,

and other data display techniques will prevent data overload and help

operators identify, analyse, and act on emerging problems."

Consumer Gateway and Portal Distributed Energy Resources

Controller

Grid Friendly Appliance™ Controller  Microgrid Control Software

Power Distribution Analysis

Software

Power Transmission Analysis

Software

Real Time Digital Simulator (RTDS) Smart Appliance Interface (SAI)

Unit

System Visualization Software Universal Power Interface

Integrated Communications

Of these five key technology areas, the implementation of integrated

communications is "a foundational need, required by the other key

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 19

technologies and essential to the modern power grid. Integrated

communications will create a dynamic, interactive mega infrastructure for

real-time information and power exchange, allowing users to interact with

various intelligent electronic devices in an integrated system sensitive to

the various speed requirements (including near real-time) of the

interconnected applications."

Broadband Cable Broadband Power Line (BPL)

Cellular (3G) Cellular (CDMA and TDMA)

Digital Subscriber Line (DSL) Fiber-to-the-Home (FTTH)

Integrated Digital Enhanced

Network (IDEN)

Internet Protocol (IPv4 and IPv6)

IPv6 over Low power WPAN

(6lowpan)

Leased Lines & Dial-up

Multiple Address (MAS) Radio Paging Network

Power Line Communications (PLC) Radio Frequency Identification

Devices (RFID)

Spread Spectrum (SS) Radio

Systems

Three GPP (3GPP) Long Term

Evolution (LTE)

Very Small Aperture Terminal

(VSAT)

Wavenis Wireless

Wi-Fi WiFiber

Wireless Interoperability for

Microwave Access (WiMAX)

X10, UPB, INSTEON, Z-Wave,

Zigbee for Home Automation

ZigBee

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 20

IIPILOT PROJECT

SELECTION

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 21

India, one of the most attractive economies of 21st century, is

standing 2nd in terms of population with 121 Cr. Population. One can

clearly guess the huge requirements of power in such country. Over 60

years of Independence has a good record of power generation in India.

But now there is a paradigm shift in all the industries in terms of 

ITization. In consistence with today’s era, Indian power sector also needs

to go through this paradigm shift and this shift will be in the form of 

Smart Grid.

There are some successful implementations of Smart grid in

developed countries. This project will focus on implementation strategy of 

smart grid in India. There is a very little information available on the

Smart grid task force and smart grid forum. To have a good view on

implementation strategy, I have studied the World economic report and

successful implementation strategies in developed countries. Also we

need to take care of current problem faced by the Indian Power Sector in

terms of Grid.

2.1 BARRIERS IN IMPLEMENTATION

Considering the current condition of India as a developing country,

there are many barriers for smart grid successful implementation.

Policy and Regulation

In many cases, utilities do not get as far as a business case for the

smart grid as there are regulatory and policy barriers in place that either

create reverse incentives or fail to create sufficient positive incentives for

private sector investment.

High Capital Cost

In cases where regulatory framework is supportive, there is a

problem of investing a huge capital in Smart Grid. Till now, there are no

successful pilot project which hampers the confidence of private investors.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 22

Ignorance to Social Benefit

Also while calculating the benefits only economical benefits are

considered. The intangible benefits like reduction in carbon emission

which adds to the social welfare are not taken into account.

Technology Maturity and Delivery Risk

A smart grid brings together a number of technologies

(communications, power electronics, software, etc.) at different stages of 

the technology maturity lifecycle. In some cases, these technologies have

significant technology risks associated with them because de facto oragreed standards have not emerged. In addition, there are only a handful

of examples of large scale implementation of more than 50,000 premises

and therefore there continues to be significant delivery risk priced in to

the estimates.

Increasing Awareness

Consumers and policy-makers are becoming increasingly aware of 

the challenges posed by climate change and the role of greenhouse gas

emissions in creating the problem. In some cases, they are aware of the

role of renewable generation and energy efficiency in combating climate

change. It is much less common that they are also aware of the way that

power is delivered to the home and the role of smart grids in enabling a

low-carbon future.

Access to Affordable Capital

Utility companies are generally adept at tapping the capital

markets; however, where delivery risks are high and economic

frameworks are variable, the relative cost of capital may be higher than

normal, which acts as a deterrent to investment. Stable frameworks and

optimum allocation of risk between the customer, the utility and

government will be the key to accessing the cheapest capital possible. In

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 23

the case of municipalities and cooperatives, this challenge may become

amplified as the ability to manage delivery risk is reduced.

Skills and Knowledge

In the longer term, a shortfall is expected in critical skills that will

be required to architect and build smart grids. As experienced power

system engineers approach retirement, companies will need to transition

the pool of engineering skills to include power electronics,

communications and data management and mining. System operators will

need to manage networks at different levels of transition and learn to

operate using advanced visualization and decision support.

Cyber security and Data Integrity

Digital communication networks and more granular and frequent

information on consumption patterns raise concerns in some quarters of 

cyber-insecurity and potential for misuse of private data. These issues are

not unique to smart grids but are cause for concern on what is a critical

network infrastructure.

2.2 PARAMETER FOR SITE SELECTION OF PILOT

PROJECT

Though, to successful implementation, it is really important to choose

location for pilot projects. Following can be the

1. Condition of Discom:

The financial condition of discom should be sound enough to

invest in new technology. Also the existing infrastructure should

be in good condition, because there will be less cost in up

gradation if existing infrastructure is in good condition.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 24

2. Globalization

Considering the location of pilot project, it should be one which is

very much close to global markets. The reason being, the

technological advancement, other infrastructure facilities are

developed which helps the overall implementation of the pilot

project.

3. Consumer Payment History

In addition to above mentioned factor, we need timely paying

consumers; because, the financial viability is one of the major

factors of success. The timely paying consumer history means

less bad debtors means good revenue collection.

4. Consumer Literacy

To have a successful pilot project, consumer literacy index is one

of the most important parameter. Because, Smart grid is a two

way communication channel in which involvement of consumer is

as important as involvement of utility. So consumer should be

well literate to understand firstly the technology and secondly his

responsibilities and limitations.

5.  Location geography

Smart grid does not mean smart meters, there are various other

technologies used at various phases of grid infrastructure. If the

terrain of the locality is too much hilly or difficult to build

infrastructure on, then there will be numerous problems related

with proper implementation and tracking of project.

6. Degree of Smart Grid:

The most important parameter in selection of site for smart grid

is the degree of smart grid which we want to test, because there

are various levels of smart grid like micro grid, smart meters,

advanced transmission, decentralised generation etc. We can not

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 25

have pilot project of decentralised generation right now unless

we implement smart meters. So in selection of location we also

need to take care of this factor. T

2.3 SUGGESTIONS FOR PILOT PROJECTS

We have sent the parameters which one should take into

consideration for deciding pilot project location. In regards to those

parameters we also need to consider the degree of smart grid.

1. Micro Grid:

a.  Unelectrified Village: This is really good, because we can

design the system as per our need. This will be barren field on

which we can model the grid as we want.

b.  New Big complexes: This is really beautiful one, as the

consumers are literate. The big constructions of societies are

coming up and we can target them for this concept.

2. Smart Meter:

a.  Metros: Areas of metros are best suited for this. India has

already taken a step forward in this area by starting the pilotproject in Bangalore. In addition to that, India should start

the pilot project in remaining metros.

b.  Urban Areas: India also started this in form of Managlore. We

should target at least 15 cities in each state in coming year.

3. Advanced Transmission:

a.  Inter State Corridors: Powergrid has taken steps in

implementation of advanced transmission, but the pace is

somewhat slow. Also, they should try to latest technology

rather than the tested one, at least in some parts. This will

help to make Indian grid up to date.

4. Advanced Smart Grid:

a.  Industrial Area: This is only area available right now which

can be targeted for pilot project of advanced smart grid.

Because we want the literate and alert consumer. As Power is

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 26

the basic necessity of any industry, they will participate

actively in strengthening their basic requirement.

b.  Upper Economic class in Metros: This is also a probable area

of implementation of advanced infrastructure. As the

consumers are very literate and can pay for initial cost of pilot

project.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 27

III

IMPLEMENTATION

PLAN

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 28

3.1 SMART GRID INITIATIVE IN INDIA

India has some good initiatives like formation of Indian Smart Grid

Task Force and Indian Smart Grid Forum.

India Smart Grid Task Force (ISGTF)

The India Smart Grid Task Force is an inter ministerial group and

will serve as government focal point for activities related to SMART GRID.

The Main functions of ISGTF pertaining to Smart Grid are:

  To ensure awareness coordination and integration of diverse

activities related to Smart Grid Technologies.

  Practices & services for reasearch & development of SMART GRID.

  Coordination and integrate other relevant inter governmental

activities.

  Collaborate on interoperability framework.

  Review & validate recommendations from India Smart Grid Forum

etc.

Five Working groups have been constituted to takeup the different taskrelated to SMART GRID activities i.e.

  WG1 – Trials/Pilot on new technologies.

  WG2 – Loss reduction and theft, data gathering and analysis.

  WG3 – Power to rural areas and reliability & quality of power to

urban areas.

  WG4 – Dist Generation & renewable.

  WG5 – Physical cyber security, Standards and Spectrum.

India Smart Grid Forum

It is an initiative of Ministry of Power and it will be a non-profit

voluntary consortium of public and private stakeholders with the prime

objective of accelerating development of Smart Grid technologies in the

Indian Power Sector. Following are the objectives of this forum:

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 29

  The goal of the Forum would be to help the Indian power sector to

deploy Smart Grid technologies in an efficient, cost-effective,

innovative and scalable manner by bringing together all the key

stakeholders and enabling technologies.

  The India Smart Grid Forum will coordinate and cooperate with

relevant global and Indian bodies to leverage global experience and

standards where ever available or helpful, and will highlight any

gaps in the same from an Indian perspective.

  Governance of the Forum will be overseen by a Board of Governors

 / Directors. Initially there will be 7 members in Board of Governors,

5 of which will be elected and other two being representatives of 

MoP and PFC.  The Forum will operate in a hierarchical or layered structure with

different working groups focusing on different aspects of Smart

Grid. A Core Group will comprise of Founding Members and will be

responsible for overall coordination of the working groups. Members

of core committee and working groups will be decided by elections

and few nominations from Government agencies. Nominations from

Government agencies will be done by MoP / PFC.

  Forum will be open for voluntary memberships from all appropriate

interested entities. There will be different categories of membership

with different rights and responsibilities based on the entity size and

other status such as government, regulator, non-profit

organisations, industry, utility etc.

  Initially the Forum will be open by invitation and a temporary

President of forum will be appointed. Invitation will be sent to

selected state power utilities, private power utilities, power sector

PSUs, empanelled System Integrators, SCADA Consultants and

Implementing Agencies of R-APDRP, selected educational and

research institutes, NGOs, CEA, CERC, CPRI, FICCI and NASSCOM.

After 1st meeting, forum will operate by election of core committee

members and full fledged chairman. MoP, PFC and REC will be

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 30

permanent invitees and members of the forum. Ministry of Power

will be Patron of the Forum.

  Secretariat of the Forum will be initially at PFC, New Delhi. M/s

CSTEP will be the knowledge partner and Advisor for the Forum.

The terms of engagement will be finalised by PFC and later

reviewed by Smart Grid Forum.

  Funding of the Forum will be from the annual membership fee from

all members (except those specifically exempted) based on their

categories. Initial funding of the Forum has been proposed through

Ministry of Power, who will be the Patron of the Forum.

It has members from government (6), utilities (7), Industry (52),

Research, academic institutes (9). It has also 7 working group looking

after different technological aspects in smart grid. They are:

  WG1 – Advanced Transmission (incl. PMU, WAMS, FACTS etc.)

  WG2 – Advanced Distribution

  WG3 – Communications

  WG4 – Metering

  WG5 – Consumption and Load Control

  WG6 – Policy and Regulations

  WG7 – Architecture and Design

  WG8 – Pilots and Business Model

3.2 CATEGORIZATION OF INDIA

India is a vast country with diversity in all possible parameters. To

implement the smart grid in such a country is a huge challenge. We need

to take into consideration lot of constraints. We can easily divide India in

4 categories based on the globalization index and infrastructure

availability. We need to adopt different implementation strategies in

different areas.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 31

We have seen the Smart Grid and Micro Grid Concept in earlier chapters.

Smart grid is a phenomenon which will continue to evolve in generations

to come. Right now we will consider the smart grid as one with complete

automatic control. As per the report of World Economic Forum, India is on

a Low level of Smart Grid development. We have a Herculean task in front

of us regarding the Smart Grid.

Unelectrified Villages:

In case of areas where the infrastructure is not there, we can go for

the concept of Micro Grid. Because, areas where the normal grid is

difficult to reach are the only parts which are left so we can adapt to the

concept of micro grid.

Electrified Villages:

These are the one where we can go for transmission and generation

technologies of smart grid. The reason being distribution initiative like

smart meters won’t work efficiently in these areas. Distribution initiatives

require consumer participation and the consumer participation index is

very low in these areas.

Unelectrified

VillageElectrified

Village

Metro Urban

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 32

Urban:

These are the localities where we can go for basic of Smart Grid.

This is the most critical locality in testing smart grid in India.

Metros:

These are the economic centres of India. These will be good choice

to see the future of Indian Grid at Present. We can test the advanced

technology in these locations.

3.3 TIMEFRAME FOR IMPLEMENTATION

LOCATION

   S

   R   T   G   R   I   D   T   E   C   H

   L

   G   Y

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 33

As India is in very nascent stage of Development of Smart Grid, it is

very difficult to predict the exact timeframe in which it can achieve the

target. The basic challenge to accomplish the target is overcoming the

inertia. The more we take time to overcome it more difficult to get to the

latest technology, as the smart grid technology is developing with a very

great pace.

Infosys has given the following graph for achievement of accomplished

smart grid in India. But the plan is very optimistic and ambitious.

We haven’t yet implemented a successful pilot project of smart

metering which is very basic requirement of Smart grid. There are pilot

projects going on in BESCOM (Bangalore Electricity Supply Co.) and

MESCOM (Mangalore Electricity Supply Co.). What we should concentrate

is dividing smart grid implementation in parts. Some parts will go for

smart metering, some with advanced transmission etc. Below time frame

is designed for India.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 34

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 35

We can see the complete implementation plan in 4 phases, starting this

year.

Phase – I: Basics of Smart Grid

The 1st phase is really important for success of complete plan. The

phase will have following task

1.  Micro grid formation: this is applicable in those areas where

the current grid is not yet reached. We can have a target of 

around 6 years for completion of this activity. This is really

huge task in terms of reaching to those areas and setting up a

complete micro grid.

2.  Smart Metering in Metros and Urban: Simultaneously we can

start with changing normal metering with smart metering in

urban and Metros. This should be completed in next 4 years of 

span.

3.  Advanced Transmission: In addition to the distribution

initiatives like micro grid and smart metering, we need to

strengthen our transmission system with technology like PMU,

WAMS, FACTS etc. This will help to ease the integration of 

complete grid. This is giant task, so we consider it to be

completed in next 10 years.

Phase – II: Advanced Transmission

This mainly constitutes the integration of complete grid, this

involves, integrating the micro grid into main grid and having a good

capacity linkage between all the parts of India. In addition to it, we need

to achieve the smart metering for whole India.

Both these tasks can be started once we have achieved 100%

electrification and smart metering of urban and metros.

Phase – III: Decentralised Generation

This phase will concentrate on integrating the generation of India.

This phase will concentrate on achieving the Decentralised generation

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 36

concept of smart grid. We can start this phase as early as possible. We

can add the generating units to grid in following order.

1.  Captive power plants

2.  Renewable sources

3.  Inverters and DG Sets

4.  Batteries

5.  Electric Vehicles and sources like that.

So this phase will stretch to almost end of smart grid implementation.

Phase – IV: Market Development and Security

This phase will concentrate on two parameters

1.  Market Creation:

To promote the smart grid implementation, we need to create

market for various effective usage of electricity. One of the

initiatives can be electric vehicles, other than those renewable

sources which help to earn money if that source injects power

into grid etc.

2.  Security

Integration of information technology (IT) and

telecommunications infrastructures into the traditional electric

power system have transformed the historical electricity network

into a smarter electricity grid that enables real-time sensing,

measurement, control, and two-way energy and information flowamong various devices. As cyber infrastructure has become a

critical component to the energy sector infrastructure,

management and protections of cyber systems and IT

components at all levels are required to prevent access to

unauthorized functions, especially as they relate to grid

operations. Cyber infrastructure and cyber security are terms

defined by the National Infrastructure Protection Plan (NIPP) as:

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 37

a.  Cyber Infrastructure: Includes electronic information and

communications systems and services and the information

contained in these systems and services. Information and

communications systems and services are composed of all

hardware and software that process, store, and communicate

information, or any combination of all of these elements.

Processing includes the creation, access, modification, and

destruction of information. Storage includes paper, magnetic,

electronic, and all other media types. Communications include

sharing and distribution of information. For example:

computer systems; control systems (e.g., SCADA); networks,

such as the Internet; and cyber services (e.g., managedsecurity services) are part of cyber infrastructure.

b.  Cyber Security: The protection required to ensure

confidentiality, integrity and availability of the electronic

information communication system. With the adoption and

implementation of the Smart Grid, the IT and

telecommunication sectors will be more directly involved.

These sectors have existing cyber security standards to

address vulnerabilities and assessment programs to identify

known vulnerabilities in these systems. These same

vulnerabilities need to be assessed in the context of the Smart

Grid. In addition, the Smart Grid has additional vulnerabilities

due to its complexity, large number of stakeholders, and

highly time-sensitive operational requirements.

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 38

CONCUSION

“Ultimately, smart grids empower consumers by 

 providing unprecedented visibility and control over 

energy usage and will change the way we all think 

about and buy energy. This new system will also

transform the relationship between the utility and 

consumer from a one-way transaction into a

collaborative relationship that benefits both, as

well as the environment.”  

Peter L. Corsell  ,

Chief ExecutiveOfficer, GridPoint 

To achieve this environment friendly technology mammoth, we

need a concrete and ambitious plan. India, being a developing nation,

there is inertia towards new untested technologies. We usually wait for

the developed nations to test the technology and then we adopt those

technologies. India is on the verge of becoming the developed countries,

so in case of Smart Grid, we need to be in race with developed countries

so that in coming two decades we will be the leader in smart grid.

To achieve this, we need to start our efforts in various technological

aspects simultaneously. We need to select our pilot projects strategically

based on various parameters like Consumer mix, degree of smart grid

etc. In addition to that, we need to stick to the plan of 4 phase smart grid

implementation

Phase - 1 • Basics of Smart Grid

Phase - 2• Advanced Transmission

Phase - 3• Decentralised Generation

Phase - 4• Cyber Security and Market Development

5/17/2018 20 Kaustubh Bhople SMART GRID Implementation Plan for India - slidepdf.com

http://slidepdf.com/reader/full/20-kaustubh-bhople-smart-grid-implementation-plan-for-india

Smart Grid – Implementation Plan for India Page 39

BIBLIOGRAPHY

Documents

1.  “Accelerating Smart Grid Investment”, World Economic Forum in

Partnership with Accenture, REF: 150709 , 20092.  “Accelerating Successful Smart Grid Pilots”, World Economic Forum

in Partnership with Accenture, 2010

3.  “Smart Grids White Paper”, Rahul Tongia, Ph.D., WH-1, Aug, 2009

4.  “Smart Grid Policy”, FEDERAL ENERGY REGULATORY COMMISSION,

128 FERC /61,060, Jul, 2009

Presentations

1.  “Smart Grid in Distribution Sector”, Infosys, Power Grid, Gurgaon,

January 2010

2.  “A Smart Grid vision”, Jean-Louis COULLON, Delhi, January 2010

3.  “INDIAN POWER GRID FUTURE SCENARIO AND CHALLENGES”, V.

Ramakrishna, Member (PS), CEA

4.  “Road map for implementation of Smart Grid for Indian Powergrid” ,

A.G. Phadke

5.  “10 Steps to Smart Grids”, Eurelctric 

6.  “The European Electricity Grid Initiative (EEGI)- Roadmap 2010-18

and Detailed Implementation Plan 2010-12”, Entsoe & EDSO, May,

2010

Websites

1.  www.isgtf.in/

2.  http://173.201.177.176/isgf/

3.  www.sgiclearinghouse.org

4.  www.wikipedia.com