ENERGY CHAPTER - 7. Energy cannot be created or destroyed, it can only be changed from one form to another. Albert Einstein

Transcription

1 CHAPTER - 7 ENERGY Energy cannot be created or destroyed, it can only be changed from one form to another. Albert Einstein

2 The chapter highlights on power generation from the state. The power supply-demand, distribution losses are discussed. The installed capacity, consumers and status of electrification is outlined. High lights on renewable energy sources, future power requirements, energy management policy, key challenges and recommendations.

3 7.0 Introduction 7.1 Drivers 7.2 Pressure CHAPTER 7 ENERGY As per the AP Reorganization Act 2014, APTRANSCO, was divided into TSTRANSCO and APTRANSCO. Accordingly TSTRANSCO was established as a company w.e.f for the State of Telangana. 1 Telangana state has the third largest power utility in the country with installed capacity of MW. The State has 63 power generating projects out of which 14 projects are conventional, while remaining are non conventional plants. Non Conventional energy is promoted by Telangana New and Renewable Energy Development Corporation Limited (TNREDCL) in the State. There are ten mini hydel, six biogas based grid generation projects, eighteen baggasse co-generation, eight biomass power projects, two municipal solid waste-to-energy, three industrial waste-to-energy, and two wind power projects for the renewable energy generation. Except wind power projects all the new and on-conventional energygenerating units are maintained by private parties. The State's power supply network consists of 1683 Circuit Kilometer (CKM) of Extra High Tension (EHT) lines, CKM of High Tension (HT) lines, CKM of low Tension (LT) lines and 1338 substations, 2 is one of the largest networks in the country supplying power to over 8 Million consumers. Addition of 4 X400 KV, 5X220KV, 20X132KV sub stations and 809 CKM of 220 KV lines and 395 CKM of 132 KV lines in proposed during Another 279 number of 33/11KV substations are being added. The power available for use was around million units (MU) with a per capita annual consumption of around 1394 kwh. There are 6,06,141 distribution transformers (DTRs) and 2625 no.s 33/11 KV sub-stations in the State. Dedicated feeders are provided to 274 HT lift irrigation (LI) schemes. 824 Special Industrial express feeders have been separated to ensure uninterrupted supply to industries. Within a short span of its existence, Telangana has emerged as a significant destination for Investments in manufacturing industry, infrastructure, and other sectors as well. The Government of Telangana has undertaken several policy measures and introduced incentives to encourage inflow of investment into different sectors of its economy. These developmental plans in a long run will drive higher power demands. Apart from this, the demand for power has been increasing due to increase in population, and changing power consumption pattern both in the rural and urban areas. Urban areas like Ranga Reddy district has become key economic hub and experienced an explosion in population between and Such demographic and economic change in profile of major districts of Telangana has triggered the power demand. In FY about 75% of the consumers belong to domestic category, which formed 22% of total power sales, while agriculture and industrial categories with a consumer mix of about 0.6% and 14% respectively, 3 and contributed to 28% & 31% of the total sales. Coal mines have facilitated the setting up of thermal power plants. Thus, major portion of the power is generated from coal since the state is endowed with coal mines. Hydel power is the second largest conventional source of energy for the State. There was a sizeable increase in the installed capacity and power availability during the period. Installed capacity increased by 1127 MW from MW in to MW , registering around 34.8% growth. Power generation increased by 5950 MU from (33622 MU) to (39572 MU) with 17.7% growth in the period, to meet the growing demand of domestic, industrial, agricultural, commercial and public lighting sectors. Power generation in the State for , is presented in Figure 7.1, which includes State projects' contribution at MU (63.66%), Central projects at MU (32.31%), private & captive power projects at MU (4.02%). State and Central projects are taking major responsibility to meet the ever-increasing power demand in the State. 161

4 Figure 7.1. Power Generation (MU) in Net power availability and total consumption in the State also rose significantly boosting the per capita power availability from 929 units in to 1320 units in The State has been assigning high priority to power development to ensure sustainability and availability of power Performance of State in the Sector Power generation from State projects in is presented in Figure 7.2. State projects have power generating capacity of 25,193 MU, of which MU (51.73%) from thermal, MU (48.25%) is from hydel projects and other renewable energy sources State's Own Projects Figure 7.2: Power Generation from State Projects Power generation trend in the State from to by State, private and Central projects is shown in Figure

5 Centre Sector Projects State's Own Projects Independent Power Projects Captive Power plants Others Power supply demand position Figure 7.3: Power Generation from The increasing power demand has adverse affect on the natural resources in particular on coal considering its significant usage. Power supply-demand position from to is presented in Table 7.1 The peak-demand for power has increased by about 2068 MW from to , wherein 90% was met during , while only 79 % was met during In terms of MU, 94 % to 96 % of power demand was met during , and respectively. The highest deficit in was observed during of the order of 5816 MU. Average annual power deficit during the five year period was 2641 MU, while the deficit in peak demand was 696 MU. It is evident that pressure on power demand has also driven increased consumption of coal. The increase in coal consumption for power generation results in pressures at the local level including air pollution, increase in temperature and the disturbance to wildlife habitat from mining. Energy generation from coal releases large amounts of carbon dioxide and suspended particulate matter. 7.3 Status S. No. Year Peak Demand (MW) Fuel consumption Table 7.1: Power supply-demand position (MU) Peak Met (MW) Deficit (MW) Demand (MU) Source: Telangana & Andhra Pradesh Transmission Corporation Limited Met (MU) Deficit (MU) ,263 5, ,808 32,752-2, ,600 6, ,490 35, ,866 6, ,987 45,312-2, ,741 6, ,758 42,942-5, ,876 7, ,428 44,946-2, ,331 6,648-1,683 50,916 48,788-2,128 The statistics of fuel consumption for electricity generation is provided in the Table - 7.2, show that the annual consumption of coal and oil has increased by 12.58% and 27.81% respectively during the year to The specific coal consumption in power generation is around 0.74 kg/kwh and 1.62 ml/kwh as per annual report of planning commission. 163

6 Table 7.2: Fuel Consumption Type of Fuel * Average Coal, MT Oil, KL Annual year-over year increase in fuel consumption Coal (%) 8.67% 22.92% 25.38% -1.43% -2.43% 10.62% Oil (%) % 27.32% % % % 43.94% Source: Telangana Power Generation corporation ltd and A P Power Generation Corporation Ltd. The annual consumption of coal and oil has increased by10.62% and 43.94% respectively during the year to Average specific coal consumption and oil consumption during the year to is 0.79 kg/kwh and 1.43ml/kWh respectively Electricity Generation Electricity generation from to is shown in Table 7.3. The state generated 39,572 MU in from State, Central and private power plants along with other captive plants with an installed capacity of 4291 MW. Table 7.3: Electricity Generation (MU) S. No. Particulars Installed Capacity (MW) 3,665 3,752 3,791 4,291 4,291 4,291 2 Power Generation (MU) 33,622 34,994 38,773 38,675 41,697 39,572 3 Power Purchase (MU) 9,888 18,005 16,405 9,255 6, Gross Power Availability (MU) 33,621 34,994 38,773 38,675 41,697 39,571 5 Total Power Consumption (MU) 6 Per Capita Consumption 52,052 53,629 59,449 34,553 35,838 39, ,050 1,019 1,084 1,320 (kwh/unit) Power generation by State's Own projects Power generation by the State's own projects over the period is presented in Figure Power generated from thermal projects is greater than the hydel, and solar based power over the period. Total power generation in the State has increased about 17.6% during the period There is a 6% increase from hydel plants. Power generation from renewable is negligible. Source: Telangana & Andhra Pradesh Transmission Corporation Ltd Hydel Coal solar Figure 7.4: Power Generation from State's Own Projects (MW) 164

7 7.3.4 Pattern of Installed Capacity State Sector The State has an installed capacity of MW from TS GENCO. Installed capacity of TS GENCO from to is furnished in the Table 7.4. There was 6.5% and 78% increase in hydel and thermal sectors respectively from 2009 to 2015 but no change in solar power. Table 7.4: Pattern of Installed Capacity under state owned generation companies (MW) State Sector : AP Genco & TS Genco Year Hydel Coal Solar Source: Telangana and Andhra Pradesh Transmission Corporation Ltd Number of consumers Category wise number of consumers in is presented in Figure 7.5. It indicates that about 73% of the consumers are in domestic sector, followed by agriculture (16%) and non-domestic sectors (9%). The remaining consumers are industries, public lighting and to meet general purposes. The trend is similar over the period Electricity as an input to agriculture activity for irrigation has doubled during the period in TS state. 0.88% 0.72% 16.32% Domestic Supply Non domestic Supply 8.76% 72.69% Industrial & Cottage Industries Agriculture incl. RECOSs Public Lighting, General purpose, Temporary Power Generation in MU Figure 7.5: Category wise Consumers Sector wise power generation during 2009 to 2015 is provided in the Figure 7.6. There was a 17.6% increase in the installed capacity in the State by all the sectors. There was 132% increase on state owned plants, 5.57 % in centre owned plants, and 6% increase, while there has been 85 % decline of power generation from IPP, Captive and open access. Category wise power consumption in is presented in Figure 7.7. In , of the total consumption of electricity maximum power was consumed by LT (72.69%) followed by agriculture (16.32%) users. Power consumed by HT, non-domestic, industrial, public lighting is around 1%, 9% and 1.3% respectively. A similar trend was observed in the previous year also. 165

8 1.30% 0.08% 0.85% 16.32% Domestic Supply Non domestic Supply 8.76% Industrial & Cottage Industries Agriculture incl. RECOSs 72.69% Public Lighting, General purpose, Temporary HT Consumer Status of Electrification Figure 7.6: Category wise power consumption in The status of village electrification in TS is given in Table As per Report on Power for All- Telangana State, out of 9834 villages in the State 9234 Villages have been electrified. The pump sets have same growth over a period 2009 to Projects in progress Renewable Energy Sources Table 7.5: Status of Electrification S. No. Particulars A. TS.GENCO Projects Under Construction as on (1760 MW) Thermal Hydel 1. Kothagudam TPS State VII (1x800 MW) 800 MW 2. Kakatiya TPS Stage - II (1x600 MW) 600 MW 1.Pulichintala HES (4x30 MW) 2.Lower Jurala HEP (6x40 MW) 1 Total no of Villages No. of Villages electrified Level of Electrification 94% 4 Pumps Energized for which lines laid Total Pump Source: Telangana & Andhra Pradesh Transmission Corporation Ltd. 120 MW 240 MW The growing demand for power is compounded by the rapid depletion of fossil fuel deposits, and high price for the fuels. Further, there is environmental pollution due to the use of conventional sources. Harnessing non-conventional sources of energy is becoming inevitable. To encourage the use of alternative and renewable sources of energy, the Telangana New & Renewable Energy Development Agency (TNREDCl) has been playing a key role. The generation capacities from renewable energy sources from to are given below. It is important to note that majority of these renewable energy installations have been implemented by private sector for instance as compared to 1 MW in Solar, including the private sector the solar installation is 119 MW in

9 7.3.9 Renewable Energy Sources The growing demand for power is compounded by the rapid depletion of fossil fuel deposits, and high price for the fuels. Further, there is environmental pollution due to the use of conventional sources. Harnessing non-conventional sources of energy is becoming inevitable. To encourage the use of alternative and renewable sources of energy, the Telangana New & Renewable Energy Development Agency (TNREDCl) has been playing a key role. The generation capacities from renewable energy sources from to are given below. It is important to note that majority of these renewable energy installations have been implemented by private sector for instance as compared to 1 MW in Solar, including the private sector the solar installation is 119 MW in Source: from TNREDCL and NEDCAP web sites Hence the renewable Energy source has increased by 140.2MW in the said period. Solar Power generation saw a substantial growth addition in The wind Engery growth is 0 MW as against 400MW. 7.4 Impacts Air Environment Coal based thermal power plants affect the air quality of the surrounding region more than gas based plants. Around the coal based thermal plants the ambient sulphur dioxide, NO X, SPM concentration usually are higher than the permitted levels. Studies indicate that these levels can affect people living within 5 km radius of coal based power plants. The high amount of carbon dioxide emission ( kg/kwh) from thermal power plants is suspected to contribute to global warming and climate change. Though normal operation of a hydroelectric plant does not affect the air environment, studies in general have found that greenhouse gases like methane emitted due to decomposition of vegetation submerged under water can be significant Fly ash utilization Table 7.6 Renewable energy growth in Telangana (MW) S.No Renewable Energy Source Capacity (MW) Wind Bagasse Based Co-Generation Bio Energy Power Generation from Waste (MSW&IE) Small Hydro ( upto 25 MW) Solar Energy Total Fly ash utilization pattern from is presented in Figure 7.9. The utilization of ash for cement and concrete is higher than other purposes. The annual generation of fly ash from Thermal Power Plants of 7 TSGENCO is around 6.8 million tons/annum. TSGENCO has been implementing following measures. Dry fly ash & pond ash are being issued to cement companies and brick manufactures. To brick plants are set up at Kakatiya TPP and Kothagudam TPS complex. Research and field tests are underway through Acharya NG Ranga Agricultural University (ANGRAU) and Department of Agriculture, GOTS to establish benefits with fly ash use for agriculture for all crops in the different agro-climate zones of Telangana. Feasibility of ash stowing to mines is under study. Ash utilization has witnessed improvement year by year as shown in the bar chart. 167

10 cement and concrete Bricks & Others Figure - 7.7: Ash Utilization pattern from TSGENCO Water Environment 0 Water used in the cooling towers of thermal power plants is generally disposed of at temperature 4-5 C above the prevalent surface water temperature, which harms the local aquatic biota and at times, there is damage to fish life and other aquatic fauna. Water slurry is used to take the ash from the power plant to the ash pond for disposal. There are two impacts associated with the ash pond decant. First, this water slowly seeps into the ground while carrying with it the ash leachate. The water may contain harmful heavy metals like boron, which have a tendency to leach out over a period of time. The ground water may get polluted and become unsuitable for domestic use. The second factor affecting the water environment is the releases of ash pond decant into the local water bodies and joined to rivers. Such release of ash pond decant tends to deposit ash all along its path thereby causing fugitive dust nuisance when it dries. Also when such water mixes with a water body, it increases the turbidity of the water body thereby decreasing the primary productivity. This is harmful to the fish and other aquatic biota in the water body. In the case of hydroelectric plants water environment is affected due to the stagnation of water in the reservoir, if the reservoir accumulates runoff from agricultural fields, the water may contain high amounts of fertilizer and pesticide residues, which may accumulate in the reservoir. Another point of consideration is that the construction of dam blocks the migratory part of certain fresh water fish. Impounding water reduces the natural flow of rivers, consequently reducing the capacity to dilute sewage and reducing capacity to recharge ground water downstream. Fish migration paths are affected. The impounded water is a seismic and flood hazard Noise Environment The exposure of employees to high noise levels is more in the coal based thermal power than in the natural gas based or the hydroelectric plants. The plants meet the PCB norms in terms of noise levels Biological Environment The effect on biological environment can be divided into two parts, viz., the effect on flora and the effect on fauna. Effect on flora is due to two main reasons namely land acquisition and flue gas emission. Land acquisition and change of land use leads to loss of habitat of some species. Loss of forest land and habitat tends to be high for hydroelectric plants. 7.5 Responses Electricity Act, 2003 Trading activities were entrusted to four DISCOMS w.e.f in compliance with Electricity Act, 168

11 2003. The free power policy was modified in 2005 to give benefit to needy farmers. Farmers having up to 3 connections in dry land, up to 2.5 acres land holding in wet land are eligible for free power. Out of lakh agricultural services enumerated, 20.5 lakh services are eligible for free power. It is also proposes incentives to promote energy saving. Lift Irrigation systems are promoted to reduce exploitation of ground water. There is one Major Lift Irrigation scheme with 132 kv supply, 459 medium Lift Irrigation schemes with 33 kv and 11 kv supply and 2,280 minor Lift Irrigation schemes with LT supply existing as on Apart from that there are 226 dedicated feeders for providing 16 hours of supply Benefits to BPL Domestic Consumers Government is subsidizing Rs. 10/- per month towards the cost of consumption of two 9 watt LED bulb during the month for 19 lakh consumers with connected load up to 250 watts and consuming up to 15 units per month effective from October 2014, in addition to that Government have approved the scheme of waiver of CC charges due to SC/ST domestic consumers in SC/ST colonies and tribal habitations whose consumption is up to 100 units per month from Transmission side performance Higher lossess on the transmission side implies higher pollution as the power generated is lost in transmission. It is noted that in the period of this report the transmission lossess have reduced from 4.5% to 3.18%, indicating a positive progress in the transmission system. The country average in transmission loss is Table 7.7 Transmission Loss Trajectory Parameter Transmission Loss % 4.50% 4.22% 3.97% 3.59% 3.18% Source: transco.telangana.gov.in Accelerated Power Development and Reforms Program (APDRP) Government of India is extending financial support for development of power in A.P and TS. through this scheme for upgradation of sub transmission and distribution network including energy accounting and meeting. Other financing agencies like Power Finance Corporation (PFC), Rural Electrification Corporation (REC) etc, are also aiding the power sector Energy management Policy TSGENCO has a policy commitment to optimize the use of energy in its operations by adopting efficient and environment friendly technologies, striving to reduce specific energy consumption by continuously taking energy efficient improvement measures, minimizing energy wastages and ensuring complete employee participation Solar Energy Policy 2016 The Government of Telangana has recently announced its new solar policy. The new policy will be known as The Telangana Solar Energy Policy The new Policy will come in force from the date of issue and will remain in operation for five (5) years and all the Solar Projects that are commissioned during the operative period will be eligible for the incentives declared under this policy, for a period of ten (10) years from the date of commissioning Objectives of the Policy: The objective of the Policy includes long term energy security, sustainable fuel for energy generation, promoting solar parks in the state and promoting investment in the solar sector. The policy also targets on promoting distributed and decentralized generation and off-grid solar applications. For availing benefits under this policy, power generated through solar projects has to be consumed within the state. 169

12 7.5.8 Applicability of the Policy This solar policy shall be applicable for the following solar projects set up within the state 1) Solar Power Projects: a) Grid connected solar power projects based on both Photo Voltaic (PV) as well as Solar Thermal technologies Projects set up for sale of power to TSDISCOM's. Projects set up for sale of power to third parties within the state. b) Projects set-up for captive generation/ group captive generation (including those funded and owned by developers). 2) Solar Roof-top Projects (SRPs) (Grid connected and off grid) This includes projects which are funded and owned by developers. 3) Off grid applications. 4) Any other project which is established based on MNRE/GOI Schemes as amended from time to time. 5) Solar Parks Incentives Offered Exemption from the payment of Electricity Duty. Deemed Industry Status will be provided. Pollution Clearance. Facilitation of expeditious approvals through single window clearance. Open Access will be allowed. Exemption from Land ceiling Act. Deemed conversion to Non-agricultural land status. 100% refund of VAT/SGST and 100% refund of Stamp Duty for land purchased for settingup solar project and/or solar park. Exemption from wheeling Charges for captive use within the state. Exemption from payment of Cross Subsidy Surcharge for third party sale within the state. Banking for 100% of energy during all 12 months of the year with must run status for Solar Power Projects. Deemed Public Private Partnership (PPP) Status. Non Agriculture Status for the land where Solar Power Projects will be accorded. The policy also mentions that solar parks will host solar manufacturing, R&D centers, training facilities and financial institutions within the solar parks. The benefits of REC and RPO schemes and specific guidelines about the projects to be developed under REC mechanism, needs to be made more clear. The policy offers good number of incentives to the project developer, in terms of tax relaxations, must run status, exemptions from various charges, single window clearance etc.. Considering the state, having a huge potential of 20 GW for solar energy generation, the policy might bring substantial investment in the state. Recently the state invited bids for 2000 MW of solar projects. Now as the policy is offering numbers of incentives to the stake holders, the projects in line might see good response from the investors and stake holders Draft Wind Energy Policy 2016 GoTS came up with The Telangana wind power Policy2016 The Policy broadly covers three areas viz., (i) 170

13 Tariff determination (ii) Allotment of potential sites (iii) Wheeling charges and allied issues. To meet the growing demand for power, the Government is constructing projects in State sector and encouraging private sector to implement wind based projects. Telangana is eyeing addition of 2,000 MW wind energy in the next three years and has proposed to offer a set of incentives to developers, including 100 per cent tax refund for inputs and stamp duty for land purchased. National Institute of Wind Energy, based on initial surveys, has identified a potential of 4,244 MW of wing energy in Telangana. The draft Telangana Wind Power Policy 2016 highlights are there is limit as per the land ceiling act would not be applicable for any land acquisition for wind power projects (WPPs). The wheeling and transmission charges are exempted for captive/group captive use within the State. 100 per cent refund of VAT/SGST for all the inputs required for wind power projects will be provided by the commercial tax department for a period of five years. Industries Department will provide incentive in terms of 100 per cent refund of Stamp Duty for land purchased for setting up wind power project and/or wind-solar hybrids. WPPs being a part of green energy would be exempted from obtaining any NOC/consent for establishment under pollution control laws from Telangana Pollution Control Board. For availing the policy's benefits, power generated has to be consumed within the state. The Wind Policy Cell would undertake single window clearance for all such projects. Power generated from the WPPs installed entirely or partly on the government or revenue land or forest areas shall be for sale within the state only. 7.6 Future Power Requirements Based on the trends in power consumption, the Future power requirements are forecasted as an indicative estimate for sustainable energy planning. The future power requirements are projected to be of the order MU in 2020 and would be Million Units in the year This would not only cause huge impacts on conventional resources but also increase the environmental sensitivity in particular with fossil based generation. Fig 7.X illustrates the trends in future power requirements in 2025 at the state level, based on current and previous power consumption pattern.. Fig 7.y gives the district-wise forecast for future power requirements. These indicative figures should be guided by the policy response in order to reduce dependence on fossil fuel requirements as well as target towards increasing new & renewable power including energy conservation and efficiency measures Future Energy Consumption Forecast Fig 7.8 Future Energy Consumption Forecast

14 14, , , , , , , , , , , , , , , , , Adilabad Hyderabad Karimnagar Khamam Mahbubnagar Medak Nalgonda Nizamabad Rangareddy Warangal Fig 7.9 Future Energy Consumption Forecast 2025 District wise 7.7 Conclusions The Telangana Power demand is reaching its peak in day time, which can be attributed to the overlap of agricultural supply and LI schemes resulting in peak demand of 19,053 MW To meet the peak demand, power supply can be planned by using thermal plants from TSGENCO, APGENCO, CGS, IPPS and Other private generators as the base load which can be supplemented by Solar during the day time and by Hydel Stations during peak load. Transmission System for Integration of large Renewable Projects Telangana State is promoting renewable capacity addition in a big way. Solar capacity is being taken up by way of competitive bidding. For Wind, capacity additions are allowed as and when developers are coming forward to put up a plant in the State and they are being provided grid connectivity by conducting feasibility studies. The additional evacuation system for proposed solar capacity addition will be planned and implemented in due course, in consultation with State Govt. To introduce modern technologies for monitoring reliable supply of power like substation automation, automatic meter reading, GIS, Centralized Network Analysis and planning tools, ERP systems and Distribution Management System (DMS) and Outage Management System (OMS). To take necessary steps to meet target trajectory for AT&C loss reduction 7.8 Recommendations Telangana constitute coal, high-speed diesel oil (HSD), natural gas on the non-renewable side, and the renewable resources being Biomass, Solar, Wind and Hydro. Power is the major source of energy in the state and is also critical in the long term. In the process of its generation it also has relatively higher implications on the state of the environment. The current approach for energy management is fragmented, sectoral and regulatory in nature. The 172

15 magnitude and criticality of energy resources patterns and intensities define problems of disparity of resources across the state, and necessitate a holistic approach by harnessing all available opportunities including structural economic change, choice of mix of activities, and energy effectivity in production and consumption processes 1. There is scope for the state to restructure the typology of industries as these are far below the average value of income generated per unit power used. The supply-side planning includes decreasing the losses in transmission and distribution, co-generation and captive power. Demand-side management includes energy conservation, alternative sources of energy such as non-conventional and renewable sources of energy systems. The remaining deficit managed through changing typology of industry and borrowing from the grid etc. 2. The salient features of the strategy / proposed energy plan for the year that would ensure a win-win relationship amongst energy and development is: Reduction in energy-use intensities in income generating activities through structural adjustments of activity typology and ensuring linkages along value addition chain and optimal use of resource endowment The prioritized energy management options in the state till the year would be: Adopt power conservation practices in agriculture shift to LPG in domestic sector Adoption of concentrated solar thermal in industrial process heating, cooking and cooling applications Adoption of industrial waste to energy on a wider scale that would decrease the fuel requirements in process heating Adoption of energy efficiency measures in industrial clusters viz. rice milling, pharma & bulk drugs Plan for co-generation and captive power plants for industrial sector and augmentation of projected supply-demand gap by 60 % Selection of industry typology with minimization of energy intensity in region 3. Technological interventions would primarily aim at: Up-gradation of transmission and distribution systems to minimize T & D losses and strengthening of grid to improve reliability of power supply in all the sub-regions 4. Policy reforms are to be aimed at: Correcting the market -bias and policy failures that lead to over exploitation of non-priced and under priced energy resources Gradual shift towards minimizing energy intensities and ecological loading to meet the human needs and maximise equitable quality of life Economizing of scarce administrative skills and financial resources for implementation of power systems Zoning regulations across the region particularly for siting of industry with consideration of power supply situation and regional imbalances Facilitating bulk consumers of power to invest in captive infrastructure development and /or distribution Facilitating community and private sector participation in energy supply Pricing of power to reflect environmental damages, resources development costs and socio-economic preferences Encouraging value addition at all stages with respect to power and energy usage Design of financial policy instruments with appropriate risk sharing for making private investment in power sector development 173

16 5. Institutional capacity building would target at: Strengthening technical skills in monitoring, collection and analysis of information, and design of implementation plans Modification of administrative procedures that undermine ability to enforce plans design of administrative procedures of coordination / facilitation design of system that could ensure public participation in energy management Strengthening in preparation of energy audits in industrial organizations. Bibliography 1. Power for all Telangana state, A Joint Initiative of GoTS, GoI 2. CEA data base December TNREDCL and NEDCAP web sites 4. Power for all, Telangana State 5. Report on Fly Ash Generation at coal based thermal power station and utilization in the country, CEA Telangana & Andhra Pradesh Transmission Corporation Limited 7. Annual Reports on working of State Power Utilities & Electricity Departments, Planning Commission 8. Telangana Power Generation corporation ltd and A.P Power Generation Corporation Ltd. 174