WIND POWER IN KERALA

Non-conventional Energy sources – Wind power in Kerala

Dr. D Shina

S N COLLEGE, KOLLAM

Dr. D Shina

The country is facing acute power shortage. The power deficit has touched an all time high during summer 2008. The peaking shortage was 13% with an energy shortage of 9%. During the 10^th plan period, the generation capacity addition was just 21,180 MW, a mere 51% of the original target of 41,110 MW. For the 11^th plan period, the government has set another ambitious target of 78,577 MW but the progress during the first year of the plan (2007-08) was only 9,263 MW which was around 57% only of the target of 16,335 MW. Steep increase in liquid fuel cost, failure of rain and acute shortage of coal have made the situation worse during the current year.₁ This calls for opportunities of huge investments in power generation.

Unprecedented Economic Growth and Increased Demand for Power

The economic and industrial growth, on the other hand, is on an increasing trend in the country. The union budget 2008 which projected an economic growth of 10% acknowledged the need for an unprecedented growth in power sector also. It is estimated that a 15% growth is needed in power generation capacity annually. The budget has also provided Rs.5500 crores for development of the electrical network in rural areas through the Rajiv Gandhi Grameen Vydyutheekaran Yojana (RGGVY) and Rs.800 crores for improvement if the network in Urban areas through the Accelerated Power Reforms and Development Programme (APDRP). Thus, in view of the guaranteed growth in demand along with the growth in the electrical network to handle the load growth, electricity generation opens up a fertile field for private investments. The budget has also provided a number of soaps for the encouragement of private investment in power sector. Probably electricity generation is the only industry for which a specified ROI of 14% is guaranteed by the law. Ultra Mega Power Projects of 4000 MW costing Rs.32000 crores for each project and mega power project of 1000 MW costing Rs.8000 crores each are major opportunities for the larger investments in the field. Investments in the non-conventional energy field are, on the other hand, viable areas for smaller players.

The Scenario in Kerala

Kerala expects a bigger growth in the economy and consequently power in the years to come. While moving from the first half to the second half of this decade the peak load growth has risen from 2.l2% to 6.5%. The power shortage during 2008-09 summers has been estimated to be around 400 MW. Fresh efforts by KSEB to identify the growing needs through a new initiative, interactive planning workshops conducted district wise also endorsed this₃. The failure of rain and shortage of power from central stations have worsened the scenario. Power cut, load restrictions etc have already been implemented.

However, no major generation capacity addition has taken place during the decade. KSEB efforts to enhance generation capacity may not be able to yield good results soon because the projects have a larger gestation period. The major step of the 1000 mW coal based station to be set up in Baitarni in Orissa will also take at least four years to materialize. The recently announced 2500 mW thermal plant in Palakkad also will take more time. Thus smaller projects and non-conventional energy projects are fairly marketable and viable options for immediate investment by smaller operators

Wind power – an attractive option

The sole source of energy for the Earth is the sun. 3 percent of solar energy received is converted into wind energy, which if tappable

would be more than sufficient to meet the worldwide energy demand

nd. It is no wonder that wind power has emerged as a major non-conventional option for power. In the national

level the Centre for Win

d Energy Technology (CWET) initially estimated the total potential for wind power to be around 45000 MW. But now with the advancement of technology, it is claimed to be at about 65000 MW by the Indian Wind Turbine Manufacturers Association (IWTMA). According to a recent study by the planning commission, places having an annual mean wind power density of more than 150 watts per square meter have been found suitable for wind power projects. The national growth in wind power capacity has been impressive in the last year. The county could achieve surpassing of the earlier target of achieving a capacity of 5000 MW in the eleventh plan period. India is currently ranked fourth in the world in wind power capacity_.

Potential in Kerala

The study by Ministry of Non-Conventional Energy Sources (MNES) has presented wind energy status as a viable area for the small-scale investors. Agency for Non-conventional Energy and Rural Technology (ANERT), the State Nodal Agency for the development of non-conventional energy has conducted extensive wind power potential studies in the State with the help of the Ministry of Non Conventional Energy Sources (MNES). The technical wind potential available in the State is assessed as 600 MW. Ramakkalmedu in Idukki District with an estimated potential of about 80 MW is identified as the most potential site in the State and one of the best sites available in India for developing wind power.
This station has an Annual Mean Wind Power Density of 534W/m² which is the second highest value in the country.
The balance potential is spread over different areas of the state including another potential site at Agali in Palakkad district. Power evacuation facilities have not grown to all the areas. The innovations in technology bring more areas with lesser wind velocity into the picture so that this potential is to grow further in the coming years.

Identifying location

Identifying suitable location is one of the difficult steps in setting up a wind generator. Tamilnadu which has succeeded much in wind development has the advantage of potential wind power sites of level terrain. But in Kerala, most of the sites are remote, in forest areas and in difficult terrains. Extensive studies have been made by Government agencies and the results have been made available to the public through ANERT. Data like availability of the wind during different periods of the year, wind speed and quantity of Electricity that can be generated, are readily available. ANERT and the planning wing of KSEB will give the necessary guidance. Before deciding on the location other factors to be considered are the type, cost and ownership of land (Government or private), terrain, availability of roads, availability of electrical network for power evacuation,
soil conditions, environmental considerations and public acceptance. Most of the sites in Kerala require new roads to be constructed. The government has to come with more helping hands to accelerate the wind energy growth in the state.

Setting up the Plant

The procedure and formalities for setting up wind generators have been much simplified. The Kerala Government has issued detailed guidelines for the development of wind power in Kerala by private developers₆. The procedure involves approval from the Government and Kerala and State Electricity Regulatory Commission (KSERC). The power generated can either be consumed by the developer in his own establishments (known as Captive Generation) or be sold to anybody including KSEB as per his choice. The rate for power sale presently approved by KSERC is Rs 3.14 per kWh. The actual availability of power depends highly on the technology and the mast height. The technology is improving day by day. The increase in mast height increases the power generation but transportation of equipment to the site become more difficult.

Many agencies who take up the project on turn key basis operate in the country. Construction of roads, transportation, erecting and commissioning, complying with the formalities, operation and maintenance of the plant etc would be done by these agencies.

Wind power economics

The main factors governing wind power economics are investment costs, operation and maintenance costs, average wind speed, turbine life and of course the discount rate which reflects the cost of capital. Wind power obviously has negligible fuel costs, even if the cost of using conventional fuel for backup generation is included. Like hydro and nuclear power wind power is a capital intensive technology with about 75 per cent of total cost required upfront as capital. The turbine accounts for about 80 percent of the capital cost the remaining 20 percent is accounted for three main items, foundation, electrical installation and grid connection. The other investment costs are related to land acquisition, road construction, consultancy, and financing.
The key factors affecting the cost of electricity generated from the wind are wind speed, choice of wind turbine type, the size of the wind farm and duration of capital repayment. A recent development in wind power area is the drastic reduction in plant costs. According to the European Wind Energy Association, the investment costs have decreased by about 30 percent over the period 1989-2001₇. The investment as approved by the Kerala State Electricity Regulatory Commission (KSERC) is Rs. 5.4 Crores per mW

The Union Government has announced so many sops to encourage wind power .A very high depreciation of 80 percent is allowed in the first year itself and the balance in the second year. Other financial incentives are relief in customs duty for import of equipment, excise duty, and sales tax exemptions, availability of soft loans from Government financial institutions, technical support facilities from Government agencies like CWET. With these incentives from the Government, and very small gestation period of around 3 months, the wind station looks much attractive for prospective investors.

Growth in the State

Though late to start Kerala is in the course of making good progress in wind power. The first private wind generator was connected to the Kerala power grid in 2008 March and so far 32 units have been commissioned. ₈ Major initiatives of 100 mW each is being taken up by M/s Westas, by M/s Suzlon, and by the BPCL.

Environmental Friendliness

Growing environmental concerns have given a new momentum to wind power initiatives. Enactments to encourage wind energy are coming up in many countries. The clean development mechanism and the Kyoto Protocol ensure financial returns for its contribution to the reduction in carbon emission. In India also many states and regulatory commissions have already given orders to compel certain percentages of the wind or other non conventional energy sources. In Kerala the State Regulatory Commission has ordered that 5 percent of energy purchased by utilities shall be from nonconventional power sources.

Conclusion

Kerala is all set for rapid devilment of wind power. The initial procedure hurdles have been removed and the investors have started earning very attractive returns. The technocrats have however raised concern over the infirm nature of wind power and the impact it can make in the stability of power system when wind power capacity grows to a considerable portion of the total power capacity. But hoping that technical solutions will be available soon we can expect large investment to this area soon.

[Courtesy: The journal of Business Studies, Vol6,No 11, Thiruvananthapuram, Jan 2009]

Dr, D. Shina is with the Sree Narayana Guru College of Legal Studies, Kollam from 2014 onwards.

HISTORY OF ELECTRICITY

HISTORY OF ELECTRICITY IN KERALA

Dr. D Shina,

S N College, Kollam.

Dr. D Shina

Electricity has become the lifeblood of the modern world, without which the world will come to a virtual standstill. Any sluggishness in the growth of the electricity industry in any part of the world can throw the region far behind other regions in industrial, economic and social growth. Thus, power has been widely recognized as one of the key factors of infrastructure, for a sustained growth of the country. Electricity (Power) is a primary input factor on which the progress of the economy of a nation depends. Full utilization of other input factors, such as manpower, land including irrigation, and capital-related resources of an economy depend on  the availability of electricity. In other words, it is not only a key input factor but it also plays a strategic role in utilizing fully the other resources towards the progress of the economy. In addition, electricity has become an essential factor in improving the social conditions and welfare of people. Thus, power is an input essential to the integrated economy of the country. Electricity, therefore, acts with a multiplier effect. Any shortfall in the availability of such a significant and strategic input factor will make the betterment of economy of a nation a distant hope.of the nation in the social, industrial,commercial, and agricultural sectors. The draft 9th Five-Year Plan estimates electricity as the most versatile form of energy providing an infrastructure for economic development. It is a vital input to industry and agriculture; and is of particular importance to developing the rural sector. The draft thus concludes that the future development of the country, therefore, will depend on the rate of growth of power generation capacity. Hence a balanced development of electricity was identified as an important goal.

Well recognized as 'the industry of industries' or the as the 'mother industry', electricity industry deserves priority in development and necessary support for sustainability during the planning process by the Government. In the social field, too, electricity maintains its supremacy on all fronts, from daily needs, comforts and entertainment to agriculture and kitchen operations. "The role of power sector in economic development is so tremendous that economists often establish a one-to-one correspondence between energy and economic development. The considered view of many of the influential groups of experts is that the poor state of affairs in infrastructure (including Electricity) is one of the basic maladies of tardy economic growth worldwide."

Recently, a multitude of problems are popping up in the field of electricity industry. This has attracted keen attention from policy formers around the globe, and rigorous efforts to tackle these problems have become the order of the day. Industrial growth has been so fast and explosive in these years that the increase in energy supply could not maintain an equal pace.

The major problems faced worldwide are fast depletion of non-renewable energy sources, increasing costs for energy, and inability to create sufficient returns for investment for growth. These problems have created a shortage of power in both quantity and quality. Electricity industry was mainly treated as a Government business worldwide, considering its importance as a vital infrastructure for the growth of the country. But growth in the sector, however impressive it was, looked insufficient to cope with the impulsive growth in industrial and other sectors. Consequently, the whole vision on the subject has been undergoing a swift change. A major shift in electrical industry worldwide is the thinking that the industry is to be managed by the private sector rather than by the government. Thus, an era of reform for the power sector has opened up. Reforms different in nature and extent were tried in many parts of the world.

The repercussions of these changes are felt in this part of the world also. In Kerala too, the conditions are not different and the situations call for a detailed probe into the problems. Though Kerala could achieve considerable growth in the sector and could help the overall growth of the state in industrial, economic and agricultural fields, the shortcomings were not negligible

The history of electricity in the state is around one century old. The first effort in this direction was a private endeavour. Like many other modern infrastructure facilities, electricity also was first brought to the state by a British company, the Kannan Devan Hill Produce Company, Munnar. The first generating station of the state was set up on the right bank of a tributary of River Periyar in 19104. It was a hydroelectric project and that tributary named Mudirappuzha continues to be the site of large a number of hydroelectric projects in the state.

After a spell of 17 years, the attention of the state authorities turned to newer forms of generating energy. The Government of Travancore set up a facility to supply electricity to the households of Thiruvananthapuram town. In 1927, a Thermal Power Station was established under government ownership at Thiruvananthapuram for production of electrical energy on commercial lines. Three oil engine generators, of a capacity of 65 kW each, were installed and commercial production started in 1929.This station was located at Thampanoor at Thiruvananthapuram. An Electrical Wing under the State Public Works Department was entrusted with the administration of the scheme. The next significant development was the formation of a separate department for electricity in 1932 by His Highness Sri Chithirathirunal Maharaja and his Diwan Sir C P Ramaswami Iyer. The formation of the Electricity Department paved the way for notable developments in the field. Thermal generating stations were set up at Kollam, Kottayam and Nagerkoil in 1934. By that time, the possibilities of hydroelectric generation attracted the attention of the technologists and the authorities. Kerala being a land of mountains and rivers, it presented a fertile field for hydroelectric generation. The vast potential for hydroelectric generation in the state prompted the state authorities to take steps to establish stations for hydroelectric generation. The first of these ventures was the Pallivasal Hydroelectric Project, the construction of which was started in 1933. The first stage of the project was commissioned in 1940. Its capacity was 13.5 mW. By that time, a comparable electric transmission network had also been completed with 66 kV substations at Alappuzha, Mavelikkara, Kothamangalam, Kundara, Kalamasserry, Viyyur, Aluva, and Thiruvananthapuram. All these substations were commisssioned during April- May 1940

The establishment of a hydroelectric station under state ownership started a new era in the history of the energy scenario of the state. Gradually, growth in electric consumption acquired momentum in the domestic, commercial and industrial sectors. The availability of cheap power was a boon to the total growth of the state in various sectors. The total generation during 1940, i.e. the year of establishing the Pallivasal projects was only 3.36 million units, which was followed by a steady growth in the subsequent years. The picture of the growth for the first ten years after the commissioning of the Pallivasal Hydroelectric was really impressive. The total annual generation grew to 121.3 mu within the first decade. It can be seen that the growth was encouraging, considering the limited administrative capabilities available in that period. Within ten years, a considerable growth in demand as well as generation occurred. The emergence and exit of private operators, the formation of Electricity Department, etc. occurred during this period.

Matters regarding generation and supply of electrical energy were regulated in pre independence India by the Electricity Supply Act 1910. The Government of India felt that "the coordinated development of Electricity in India on a regional basis was a matter of increasing urgent importance for post-war reconstruction and development. The absence of a coordinated system in which generation was concentrated in the most efficient units and bulk supply of energy centralized under the direction and control of one authority was one of the factors that impeded the healthy and economical growth of electrical development in country. Besides, it was becoming more and more apparent that if the benefit of Electricity was to be extended to semi-urban and rural areas in the most efficient and economical manner, consistent with the needs of an entire region, the area of development must transcend geographical units"7. Thus, the need for a comprehensive system of planning and implementation for the overall control of the electric network of the country was well recognized. The system consisting of the generation units, the transmission networks, the distribution networks and the final consumers, technically known as the grid system, badly needed regional / central administration and control. For this purpose, constitution of semi- autonomous bodies was found to be necessary. This necessitated the enactment of a fresh bill to 'provide for the rationalization of the production and supply of electricity and generally for taking measures conducive to electrical development'

The Electricity (Supply) Act 1948 was thus enacted by the Government of India, 'to develop a sound, adequate and uniform national power policy, and particularly to co-ordinate the activities of the planning agencies in relation to the control and utilization of national power resources and for the constitution of state electricity boards'.

As stated above, the Electricity (Supply) Act 1948, which was enacted by the Government of India, ‘to develop a sound adequate and uniform national power policy, and particularly to co-ordinate the activities of the planning agencies in relation to the control and utilization of national power resources,’ led to the constitution of the State electricity Boards in various states under section 5 of the Act. Until the enactment of the Electricity Act 2003, the Act of 1948 had been in force.
The Kerala State Electricity Board was formed, on 1st April 1957 in order to cater to the electricity needs of the State, as the successor of the Electricity Department of the Kerala State. The growth of electricity system for Kerala took an unprecedented pace after the formation of the Kerala State Electricity Board. Speedy completion of the already started generation projects and starting of newer projects was the first task taken up by the Board. The implementation of the First Five-year plan was already completed by the Travancore Electricity Department. The installed capacity had grown to 86 mW. There were about 79, 000 consumers by that time with a total revenue of Rs.200 lakhs. There were 15 Extra High Tension Substations, 3783 km of low tension lines, and 3800 km of high voltage lines.

Faster development in electricity generation
In the initial years of the KSEB, the growth in installed capacity was rather fast so that electricity availability was considered abundant in the State. The development in those times concentrated on hydro-electric projects. However, the state of affairs started reversing in the later years as the development of generation schemes lagged much behind development in other sectors. A large number of bigger hydro-electric stations were established.

Six units of 50 mW each of the Sabarigiri Hydroelectric Project were commissioned during 1966 –67, thus making a total capacity of 300 mW. The commissioning of a station that had a far greater capacity than those of the older stations was a major milestone in the history of power system development in the State. The annual generation capacity of the Sabarigiri Project is 1338 mu. The station functioned well for about 40 years fetching revenue much more than the initial investment and now it is undergoing renovation process. Three units of 25 mW each of the Kuttiadi Hydroelectric Project were commissioned during 1972, thus making a total capacity of 75 mW. The annual generation capacity of the station was 268 mu.

The commissioning of the Idukki Hydroelectric Project was a major breakthrough in the power development of the State. Six units of 130 mW each of the Project were commissioned during 1976-86, thus making a total capacity of 780 mW, which was a huge leap in the installed capacity of the State. The Project, which was among the large stations of the country, was a unique one using many innovative technologies. The arch dam concept, underground powerhouse, electronic and automatic controls, etc., are a few among them. The annual generation capacity was also an all-high at 2455 mu. Still, even after a lapse of nearly three decades, a station of comparable capacity is yet to be formed in the State.

The commissioning of the Idukki Hydroelectric Project created an illusion that power would remain abundant for many years and this caused serious lethargy in the planning and starting of new major projects. The commissioning of the next generating station was effected only in 1987. Two units of 37.5 mW each of the Idamalayar Hydroelectric Project were commissioned, thus making a total capacity of 75 mW. The annual generation capacity was 380 mu.

The Kallada Hydroelectric Project was an effort to tap the potential of smaller water resources. The output from an already existing reservoir was utilized here. Two units of 7.5 mW each of the project were commissioned during 1994, thus making a total capacity of 15 mW. The annual generation capacity was 65 mu. The need for tapping smaller water resources was badly felt by this time because of the environmental difficulties for larger projects. The Peppara Station is such a unit. It is a small hydroelectric project with one unit and a capacity of 3 mw and generation capacity of 11.5mu. Three units of 60 mW each of the Lower Periyar Hydroelectric Project were commissioned during 1997, thus making a total capacity of 180 mW, with an annual generation capacity of 493 mu.

Mattuuppetty is a small hydroelectric project with one unit and a capacity of 2 mw and generation capacity of 6.4mu. This station also started yet another era of small hydroelectric projects in the State. The Peringalkuth Left Bank Station was commissioned during 1999. The capacity was 16 mw in one unit. The mu capacity was 74. The Kakkad Hydroelectric Project had two units of 25 mW each, totaling 50 mW. Commissioned during 1999, its annual generation mu capacity was 262
The Kuttiadi Extension Project commissioned during 2001 has a capacity of 50 mW in two units of 25 mW each. The annual generation capacity in mu was 75.

Malampuzha was a small project with a single unit of 2.5 mW and a mu capacity of 5.6. It was commissioned during 2001.

New Projects – Non-hydroelectric
The over-dependence on hydroelectric projects created acute power shortages during the years in which the monsoon failed. This led to the realization of the necessity for other forms of electricity generation. Thermal stations thus came into being. Non-conventional energy sources were, however, only sparingly used.
The Brahmapuram Diesel Power Plant marked the start of yet another new era in the Kerala in electricity generation that is thermal generation. The Brahmapuram Diesel Power Plant has five generators with a capacity of 21.32 mW each totalling to106.6 mW. The units were commissioned during 1997-99. The total generation capacity was 606 mu. The Kozhikode Diesel Power Plant has eight generators with a capacity of 16 mW each. The units were commissioned during 1999. The total capacity was 128 mW and the annual generation capacity was 896 mu. The Kanjikode (experimental) Wind Farm has nine units of 0.225 mW each, thus totaling 2 mW. The total generation capacity was 4 mu20

The latest trend both in Kerala as well as in the country is outsourcing of electricity generation. As such, other operators started coming to this field. The National Thermal Power Corporation, other private companies, etc., thus started Generating Stations in the State. The Kayamkulam Thermal Power Station owned by the National Thermal Power Corporation has now a completed capacity of 359.58 mw with three units of 116.6 mW each. The units with annual generation capacity of 2158 mu were commissioned during 1998-99. A further development of the station into a super-thermal power plant with a capacity above 2000 mW is on the anvil.

B.S.E.S was a thermal power station in the private sector with a total capacity of 157 mW (1099 mu annually), commissioned during 2001-2002. The Kasargode Power Corporation was also a private sector thermal project with a capacity of 21.9 mw (140 mu annual generation), commissioned during 2001.

The growth of the Kerala Power SystemAfter the formation of the Kerala State Electricity Board, there has been considerable growth in all the parameters of the Kerala Power System. The growth has been swift from the end of the Second Five-year plan, i.e., from 1961.

Profile

Dr D SHINA

Dr D Shina is teaching Commerce in the Graduate and Post Graduate levels for the last 28 years in various colleges of Kerala. She is now a senior faculty member of Sree Narayana College, Kollam a premiere higher education centre under the University of Kerala and is currently working on a study on the impact of load shedding in the industrial sector in the state, a project financed by the University Grants Commission of India. She took her post graduate degree from Sree Narayana College,Kollam and her M Phil and Ph D from the university of Kerala. Her major area of interest is Electricity Finance and has written several research as well as polpular articles in research journals and news papers.Her recent book, jointly autherd with Dr M Sarngadharan on Indian Electricity Industry in Public Sector published by Cooperjal Ltd, UK was widely noticed

ADDRESS

Dr D Shina

Lecturer (Selection Grade)

S N college, Kollam - 1,

Kerala - 691001

RESIDENCE

Gurumagalam

No 11 - Aradhana Nagar

Kollam - 1 ,Kerala - 691001

Phone +91 474 2760260

shina.snc@gmail.com