Energy Scenario in IndiaPresented by-

Anju (111308) Chandrapal (111327)

Divyanshu (111326) Nithya (111329)

Agenda• Definition of Energy• Classification of Energy• Sources of Energy• Energy Scenario: India• Energy Conservation Act• Social, Political, Environmental Problems• Factors Dependents on Energy• Energy Challenges, Controversies, Concerns• Recommendations for Efficient use of energy

What is Energy?

The ability of a physical system to do work on other physical systems.

One of the major inputs for the economic development of any country.

Classification of Energy1. Primary and Secondary energy

Primary energy - sources found/stored in nature.

E.g. coal, oil, natural gas, biomass

Secondary energy - Primary energy sources converted in industrial utilities

coal, oil or gas converted into steam, electricity.

2. Commercial and Non commercial energy

Commercial – sources available in the market for a definite price.

E.g. Electricity, lignite, coal, oil, natural gas

Non commercial - sources not available in market for a price.

E.g. Firewood, agro waste in rural areas

3. Renewable and Non-Renewable energy

Renewable energy - obtained from inexhaustible sources

(wind power, solar power, geothermal energy, tidal power)

Non-renewable energy - which are likely to deplete with time

E.g. conventional fossil fuels such as coal, oil and gas.

Sources of Energy1. Conventional Sources:-a. Thermal energy :- Coal , Oil , Natural Gas(chemical energy created and stored within the earth’s crust during past geological ages)b. Hydel energy:-Water power as an inexhaustible source of energy which is continually replenished through evaporation.2. Nonconventional Source of Energy:-Renewable contribute only 6 percent of India's total power mix.• Solar Energy• Wind Energy• Tidal & Wave Energy• Biogas Energy• Nuclear Energy

Energy Scenario: IndiaPrimary Energy demand rise to 1815 MTOE by 2031-32 (GDP rate :8%)

0

500

1000

1500

2006-07 2011-12 2016-17 2021-22 2026-27 2031-32

Hydro Nuclear Coal Oil Natural Gas

ENERGY GENERATION COSTS : COMPARISON

2.5 3.9

10.49

3.8 2.5 3.55.7 4.2

15.3 17.1

05

101520 Cost (Rs/ Kwh)

CSTEP July 2011 Source : LBNL, CERC , CSTEP & NPCIL

ENERGY RESOURCE AVAILABILITY IN INDIA

CSTEP July 2011

Source Capital cost (crores/MW)

Emissions (CO2-eq/MWH)

Reserves Longevity

Coal 4-5 1.1 10 5820 MT 70 years

Oil 2.5 0.62 1200 MT ~ 10 years

Gas 3.5 0.47 1.5 TCM ~ 20 years

Hydro 6- 20 0 148.7 GW NA

Nuclear 8-13 0 70,000 T of Uranium

40 years

About 70% of India's energy generation capacity is from fossil fuels with coal accounting for 40% of India's total energy consumption followed by crude oil and natural gas at 24% and 6% respectively. Source : BP statistical review report, NHPC,NTPC

Key aspects of Energy sector1. Energy elasticity - a term used with reference to the energy

intensity of GDP. It is "the percentage change in energy consumption to achieve one per cent change in national GDP".

2. India's national Integrated Energy Policy of 2005 noted current elasticity at 0.80, while planning for 7-8% GDP growth

3. Energy Policy of India:

largely defined by the country's growing energy deficit and increased focus on developing alternative sources of energy, particularly nuclear, solar and wind energy

4. Energy Conservation Act - passed by the Indian Parliament in September 2001

Energy Conservation act:Major Provisions

EC act amended in 2010 for Energy efficiency institutional practices and programs

EC Act: Five major provisions-1. Designated Consumers :- comply with the specific energy consumption norms for

the manufactured products and services.

2. Standard and Labeling of energy consuming appliances, gadgets and equipment to ensure promotion of energy efficiency.

3. Energy Conservation Building Codes :-new buildings to have less electricity consumption.

4. Creation of Institutional Set up (Bureau of Energy Efficiency) for effective coordination of the energy conservation efforts.

5. Establishment of Energy Conservation Fund to provide necessary financial support.

ISO 50001 :- The standard aims to help organizations establish the systems and processes to improve their energy performance, including efficiency and consumption.

Social, Political, Environmental Problems(Energy consumption from Conventional Sources)• Coal depletion and pollution. • Rising oil imports. • Natural gas demands. • Inefficient electric systems, 30 – 40% power loss. • Energy-related water shortages. • Limited nuclear energy, Nuclear power plants operate at 50% loads, due

to shortage of uranium.• India’s tradition of state-dominated, centralized planning slows progress

in the energy sector.• Capacity utilization is very poor:- Most hydro and thermal power stations

operate at 87% load factor.• Few private players, investors jittery• government also subsidizes energy prices, at times limiting profitability

for both private and state investors

Social, Political, Environmental Problems(Energy consumption from Non Conventional Sources)• Perception that Renewable are more expensive• Requirement of skilled personnel• High nominal cost of generation • The biggest problem is lack of data• No correlation with the actual ground-level data.• Financing is difficult:• the promise of first-mover advantage and attractive returns in the long term is

drawing a mixed bag of investors, many of them either inexperienced or in the game to make a quick profit.

• Biomass – Lack of M&V (many plants seeking coal linkages!)• Tidal - Limited availability of sites with sufficiently high tidal ranges or flow

velocities, thus constricting its total availability• Limited Uranium resources• Waste Management:• Waste volume; Significant reduction in waste volume is possible only through

closed fuel cycle route

Factors Dependent on Energy• Energy is major determinant of Human Development

Index (HDI)• Increase in HDI to 0.6 in 90’s achievable with lower energy

consumption per capita than during 1960’s.• change is facilitated by higher energy efficiency and better

governance• Energy Facilitates National Product• Less energy per unit of national product – higher energy

efficiency.• For 1% of the GDP growth countries require more than 1%

more energy.

Factors Dependent on Energy……Contd.

• Growing Energy Efficiency Facilitates Employment• Quality of growth is better as higher incomes improve investment

opportunities• Lower Energy Efficiency Affects Security• More energy imports mean more difficulties in national and human

security.• Energy Use Generates Pollution• NOx, SO2 affects housing, agriculture and human health affects the poor

dis-proportionally more than the better off.• Poor Housing is Foundation of Poor Energy Efficiency• inefficient heating methods within poor housing• People tend to reduce heated living space in response to high energy

costs.

Impending Energy Challenges by 2030Issues with energy policies and plans …

• Land, water, local environment, and social issues • Demand forecasts, investment projections have been off

the mark– Effectiveness of polices is rarely evaluated

• Policies favor the rich & the powerful at the cost of efficiency, equity– Need for 3 E perspective (overlap of Economic

efficiency, Environment, Equity)

Economic Efficiency

EquityEnvironment

3-E Approach for pro-poor policiesPresent focus is on Economic efficiency, modulated by Capitalists.

We need to focus on the overlap of 3-E

We should move the Economy sphere downwards – to increase the overlap.

Some Examples of 3-E approach

– Solar home lighting for un-electrified houses – instead of grid based MW size PV plants

– Improved and modern biomass stoves for houses – instead of LPG

– Improve efficiency of biomass use (The biomass power generating industry in the United States, which consists of approximately 11,000 MW of summer operating capacity actively supplying power to the grid, produces about 1.4 percent of the U.S. electricity supply)

Energy Concerns Global warming and Clean Development drive forcing

countries to reduce polluting industries Carbon Credits encouraging companies to go in for captive

renewable energy investments. India’s choice of energy partners like Iran, Libya, Syria and

Sudan leading strained relations with the United States. Environmental concerns– India 3rd largest emitter of CO2 behind China and US– 38% of emissions from power sector

Energy security concerns– 67% power from coal-based thermal plants - need to

depend on imports– Prototype breeder reactors to exploit thorium reserves

Energy related Controversies• Enron Dabhol Gas Power Plant-Lack of transparency,

environmental hazards.• Koodankulam nuclear (TN), Jaitapur Nuclear plant

(MH)

(seismic Zone 3 category)

Concerns on Environmental impact of nuclear power,

Radioactive waste, nuclear accident, radiation leak

(e.g. Fukushima) • The Indo-US civilian nuclear agreement - Nuclear Co-

operation treaty - lifting of the 34 year old nuclear technology ban after India and US signed the nuclear cooperation treaty in 2008.

• Kyoto protocol, Hogenakkal dam, MullaPeriyar, Koyna

Recommended practices for energy efficient uses

• Clean Coal Technologies, carbon capture and sequestration• New and affordable materials for photovoltaic• Cellulosic ethanol• Energy storage – efficient batteries and condensers• Demand side management of power• Trained human resource• Usage of renewable energy resource• Modernization of power transmission & distribution system• Alternative fuels for surface transportation- bio-fuels,

electric vehicles, hydrogen and fuel cell vehicles.• Hydrogen has significant potential as a clean energy source

Recommended practices for energy efficient uses……Contd.• Need for coordination among various ministries for sectors with

overlapping jurisdictions (e.g., biofuels)• Need for investment in R&D to capitalize on local technological skill

base (e.g., clean coal technologies)• The workshops presented analysis on Policy options, for guiding

way forward to Low Carbon Technologies.• Hope for technology breakthrough – Solar Thermal / PV or CCS (&

continue BAU)• Avoid anti-poor mitigation measures (land grab under name of ‘bio-

fuels’)• Indian should reduce Carbon intensity of energy

– Adopt pro-poor policies for its own interest (development & Energy security)

References

• http://www.cfr.org/india/indias-energy-crunch/p12200• http://en.wikipedia.org/wiki/Energy_policy_of_India• http://www.adb.org/documents/events/2010/asia-clean-

energy-forum/QLW-Policy-Evaluation-India.pdf• http://in.reuters.com/article/2011/05/24/idINIndia-

57208520110524• http://csis.org/files/media/csis/pubs/sam98.pdf• http://en.wikipedia.org/wiki/

Kyoto_Protocol_and_government_action• www.undp.org.yu