A review of the potential of renewable energy sources for the State of Jammu and Kashmir (India)

Transcription

1 A review f the ptential f renewable energy surces fr the State f Jammu and Kashmir (India) Arsalan Nisar Carls Rdriguez Mnry ABSTRACT The future ecnmic develpment trajectry fr India is likely t result in rapid and accelerated grwth in energy demand, with expected shrtages. Many f its current plicies and strategies are aimed at the imprvement and pssible maximizatin f energy prductin frm the renewable sectr. It is als clear that while energy-cnservatin and energy-efficiency can make an imprtant cntributin in the natinal energy strategy, renewable energies will be essential t the slutin and are likely t play an increasingly imprtant rle fr the grwth f grid pwer, prviding energy access, reducing cnsumptin f fssil fuels, and helping India pursue its lw carbn prgressive pathway. Hwever, mst f the states in India, like the nrthernmst State f Jammu and Kashmir (J&K), have experienced an energy crisis ver a sustained perid f time. As India intends t be ne f the emerging pwers f the 21st century, it has t embark upn with these pressing issues in a mre sustainable manner and accrdingly initiate varius renewable energy prjects within these states. This paper will prvide a brad-spectrum view abut the energy situatin within J&K and will highlight the current plicies alng with future strategies fr the ptimal utilizatin f renewable energy resurces. 1. Intrductin India has recrded impressive rates f ecnmic grwth in recent years, which prvide the basis fr mre ambitius achievements in the future. Hwever, a healthy rate f ecnmic grwth equaling r exceeding the current rate f 8% per annum wuld require majr prvisin f infrastructure and enhanced supply f inputs such as energy. High ecnmic grwth wuld create much larger demand fr energy and this wuld present the cuntry with a variety f chices in terms f supply pssibilities (TERI, 26). The inadequate availability f energy cntinues t cnfine India's sustained grwth and ecnmic cmpetitiveness. While India's GDP has grwn at an average f abut 8% per annum ver the last six years, electricity generatin/supply has grwn at nly an average f 5.3% per year. Electricity shrtages are estimated t cst the cuntry arund 7% f GDP (Wrld Bank, 21). Apart frm certain central institutins such as the Natinal Thermal Pwer Crpratin (NTPC) 1 and Pwergrid, 2 mst State pwer utilities perate withut autnmy and under diffuse accuntability systems. They suffer frm limited implementatin capacities, a shrtage f skilled manpwer, and pr financial standing due t inadequate tariffs that d nt recver the prductin csts. While the Gvernment f India is wrking t strengthen the public sectr's capacity, it is als encuraging a paradigm shift t scale-up public-private partnerships (PPP) in the electricity sectr. S far, nly 15.5% f grid-based generatin and 12% f distributin is currently handled by the private sectr (Wrld Bank, 21). In rder t tackle these prblems a large number f prgrammes and initiatives have been started and the gvernment at all different levels (lcal, state and natinal) needs t achieve these targets thrugh sustainable means by encuraging renewable technlgies (Bhide and Rdriguez-Mnry, 21) Structure and cntents The paper prvides a brief verview f Jammu and Kashmir and presents the current energy situatin in the regin. It highlights the

2 present prblem regarding the energy supply-demand situatin by endrsing the need fr renewable surces. Accrdingly, the current status and ptential f different renewable energy surces such as slar-, hydr-, gethermal- and wind-pwer are presented. T cnclude, the barriers t renewable energy plicy develpment and diffusin are highlighted alng with sme helpful cnclusins and recmmendatins. 2. The State f Jammu and Kashmir and the current energy situatin Jammu and Kashmir is the nrthernmst State f the Unin f India, lying between six muntain ranges and cvering an area f 222,236 square kilmeters. Jammu and Kashmir cmmnly knwn as Kashmir shares a brder with the states f Himachal Pradesh and Punjab t the suth and internatinally with the Peple's Republic f China t the nrth and east and the Pakistan-administered territries f Azad Kashmir and Gilgit-Baltistan, t the west and nrthwest, respectively. The state accunts fr 3.2% f the ttal gegraphic area f India and 1% f the ttal ppulatin f India. J&K cnsists f three territrial divisins: Jammu, Kashmir valley and Ladakh, and is further divided int 22 districts (Fig. 1). J&K is ne f the energy-starved states within India and the inadequacy f pwer has been affecting the pace f develpment in all sectrs f the ecnmy. The state has a unique psitin in the pwer generatin and pwer market within nrthern India. Its rivers, which are the main surce f pwer generatin, have the maximum flw during the summer seasn (April-Octber) and thus have a ptential t meet the pressing energy demands. Hwever, during the rest f the year, i.e. in the winter seasn, the water level drps t ne third f the annual average and the demand increases due t the extra usage f electricity fr heating and lighting purpse and thus resulting in purchase f large quantities f pwer frm adjacent states. This has placed the State finances in a deficit situatin. During the fiscal year alne, nly 29% f the pwer was prduced within the State, while the rest was purchased, thus creating large differences in revenue and incme. The figures fr the last ten years indicate that energy pverty has created a lt f pressure n the limited frest reserves and the State gvernment has been frced t buy energy resurces t meet the demand during the winter seasn, when the gap between demand and supply is highest. Frm the year 199 t 25, the energy demand in J&K grew by 3.5% per year, but the State recrded a deficit f mre than 2% in the availability f pwer during peak hurs a deficit is expected t increase in the future if majr steps twards the develpment and explitatin f renewable resurces are nt taken. Hence, there is strng need t design varius renewable energy plicies that can cntribute t slve the persistent energy prblems f Jammu and Kashmir (Fig. 2). 3. The energy prblem The State f Jammu and Kashmir has the legacy f State-wned vertically integrated electricity supply industries, ften with lbbying f tariff setting that leads t excessively cheap electricity fr dmestic cnsumers, high levels f nn-technical lsses (i.e. theft r failure t cllect bills), high levels f debt r arrears, and pr cmmercial perfrmance as a measure f ability t cllect revenues t cver csts. As a result, it is difficult fr the sectr t finance its investment needs n cmmercial terms, and ften suffers frm pr maintenance with frequent equipment failures (e.g. as measured by transfrmer failures and lw generatin availability), with pwer shrtages and frequent lad shedding (Newbery, 26). 4. The need fr renewable energy surces As the State is primarily dependent n fssil fuels fr its energy requirements, the exhaustible nature alng with the vlatile market prices further cntribute twards its energy insecurity f supply. The State gvernment needs t recgnize the central rle f energy and the need t have a set f plicies that prmte efficient use f cnventinal energies cupled with practive realizatin f nn-cnventinal energy resurces and thus reduce greenhuse gas (GHG) emissins t achieve sustainable grwth. As shwn in Fig. 3, there is cnsiderable ptential fr renewable energy resurces in nrth India. Pwer Demand and Availability Unrestricted Peak Pwer Demand MW 212 Peak Demand met MW 1458 Peak Deficit MW 662 Peak Deficit % 31.23% Surce: JKSPDC 29 - Fig. 2. Pwer Scenari in Jammu and Kashmir by the end f 29. Fig. 1. Map f Jammu and Kashmir. Fig. 3. Renewable resurce map f nrth India, indicating the ptential f slar and gethermal surces.

3 5. The status f slar pwer and wind energy In 29, India launched a plan t becme a glbal leader in slar energy by unveiling the Jawaharlal Nehru Natinal Slar Missin. India has an ambitius plan t massively increase its installed, grid-cnnected slar capacity by the end f 222. As a result, the State gvernment f Jammu and Kashmir intrduced the "Slar Pwer Plicy-21" with the fllwing main bjectives: T prmte generatin f green and clean pwer in J&K using slar energy. T put in place an apprpriate investment prcedure that culd leverage the Clean Develpment Mechanisms (CDM). T prmte R&D in rder t facilitate technlgy transfer. In additin, REEEP (Renewable Energy and Energy Efficiency Partnership) in assciatin with the IFE (Institute f Energy Technlgy) f Nrway is wrking clsely with MNRE (Ministry f Renewable Energy, India) t prmte renewable energy in the frm f slar energy, particularly addressing rural energy deplyment in India. Many villages within the State f Jammu and Kashmir are n the agenda alng with ther States f Madhya Pradesh, Jharkhand, etc. (TERI, 1999; JAKEDA, 29). The New and Renewable Energy Ministry n India (MNRE, 211) has estimated the slar energy ptential at 2, MW by the year 22. Mst f the slar ptential lies in the nrth-eastern area f Ladakh. In additin t slar pwer as a ptential surce f renewable energy, wind energy is practically untapped as a majr renewable energy resurce and thus venturing int this wuld be beneficial fr the existing and cnsequently fr future energy demand. Recently, the Ministry f New and Renewable Energy (MNRE, 211) has devised plans fr bringing renewable energy prjects t the State with a strng fcus n wind energy. The Central Electricity Regulatry Cmmissin (CERC) lately passed new regulatins, encuraging strnger participatin frm the private sectr and inviting greater Freign Direct Investment (FDI) by prviding higher return n investments and ther relevant incentives. These new initiatives will strngly benefit the State f J&K, as it presents itself with cnsiderable ptential fr wind energy. 6. Gethermal ptential The gethermal resurces in India have nt been explited cmmercially fr heat r pwer generatin. They have been mapped and the Gelgical Survey f India estimates the ptential t be f the rder f 1, MW. Mst f the current usage f gethermal energy is fr bathing and swimming. Chandrasekhar and Chandrasekharam (21) estimates an installed capacity f 2 MW (thermal) with an annual energy use f 16 TJ/year and 1 es - \ 176 '84 '92 36» -J^ NE-Himalap ^^-s_ J Gethermal Map f India cmplied by D Chandrasekharam N 36 - >2. \ flanearan CHINA ' \ 28' S DELHI / V^ NE-Hjrfialaya i. 28 fl / Snara V. NEPAL"" ^^-1/^^U ^^^^-N. t f BHUTAN^ X. 93 TulsnShyamJ 2" ^ * ^ MUMtAI West Cast Tuwa ^Ganeshpur \ \Rajapur Surajkund C BANGLADI Tattapan,2SrJ '2. \ f SONATA 9 9 Bakfbswar *^ KOLKATA/ I «Salbardi 12 * / ^ _ Mahanadi Basin f 6 Atri j m * J *"Gdavari Basin / 14 BLsja / shu^un^. flfl^ala X^~/ Bay f Bengal \ \ MYANMAR \L 2» Arabian Sea A 12' I 1 5 km J \ 7T, f _i India n Ocean TCHENNAI. / LEGEND Banen \ ** Gethermal prvinces 4) Imprtant Thermal Springs 75 Heat Flw (mw/m')titalics 96 Gethermal Gradient (CKm) 84' l rj land 92 Fig. 4. Gethermal map f India by Chandrasekhar and Chandrasekharam (21).

4 a capacity factr f 25%. It is expected that the gethermal surces can be used fr lwgrade heating and direct utilizatin in varius cmmercial industries. In Ladakh, the nrtheastern part f Kashmir, demnstratins f heat pumps are planned and a 5 MW pwer plant is planned in the Puga valley. Fig. 4 shws the ptential fr gethermal energy in India Case study: hybrid pwer system in Ladakh regin Ladakh is a remte regin lcated in the Himalayas with very lw ppulatin density. It is the nrtheastern part f Jammu and Kashmir. Small scattered lads and gd availability f renewable energy resurces like hydr, slar, wind and gethermal makes the regin ideal fr renewable energy based decentralized pwer generatin. At present hydr and slar energy play an imprtant rle in pwer generatin and rural electrificatin in Ladakh. Hydrelectricity frm small hydrelectric plants (installed capacity 8.5 MW) accunts fr abut 6% f the ttal electricity generatin. Currently, apprximately 7 slar phtvltaic (PV) dmestic lighting systems prvide electricity fr lighting t abut 25% f the husehlds in Ladakh (Hiremath et al., 29). 7. The hydr ptential J&K has a hydrpwer ptential f the rder f 2, MW f which abut 16, MW have been identified, and a mere 12% i.e. abut 2336 MW has been harnessed s far. The fllwing chart depicts the basin-wise identified and harnessed ptential (Fig. 5). Irnically, this huge hydrpwer ptential has nt been fully explited due t the shrtage f financial resurces and als as a cnsequence f the prvisins in accrdance t the Indus Water Treaty 1 signed between India and Pakistan. The Indus runs thrugh bth India and Pakistan and cmprises three western rivers the Indus, the Jhelum and Chenab and three eastern Rivers, the Sutlej, the Beas and the Ravi. The treaty restrains the right f J&K n the upper Chenab, Jhelum, and Indus fr purpses f cnsumptive hydrelectric strage and diversins within these basins. Hwever, the Gvernment f Jammu and Kashmir (GOJK) has decided t encurage generatin f pwer thrugh small hydrpwer surces f energy and has framed a plicy s that the develpment f this sectr serves as a driving factr t achieve the bjective f prmting the all-rund develpment f the regin (JKSPDC, 21). The Gvernment f J&K established the Jammu and Kashmir State Pwer Develpment Crpratin Limited (JKSPDCL) in the year 1995 and has the respnsibility t take ver, execute, cmplete, perate, and maintain all pwer statins and pwer prjects f the State. All pwer prjects assets in the State, bth existing and under implementatin, were transferred t the crpratin. The crpratin presently has 18 hydrelectric prjects with installed capacity f 35 MW lcated in the varius districts (JKSPDC, 21). 8. Future plans regarding hydrpwer The State f J&K is planning t develp sme 31 hydrpwer prjects in rder t meet the regin's grwing pwer requirements ver the next tw decades. The abve-mentined hydr ptential is estimated at abut 2, MW. 64 f the 31 prjects will be develped in the first phase f the initiative. Pwer prjects with capacity abve 2 MW are being assigned t the state-run Natinal Hydrelectric Pwer Crp (NHPC), while mini-hydrpwer prjects are ging t be develped thrugh institutinal pwer prmters and lcal cmpanies. Anther part f the initiative t increase hydrpwer capacity is t turn twards mre energy-efficient prcesses, which will als help the State t cnserve electricity (Planning Cmmissin f India, 21). 9. Barriers in renewable energy develpment and penetratin J&K is ne f the states that have the furthest t g in imprving its energy efficiency. The lss in electricity distributin is imprtant and needs t be addressed at substantial investment (IFRI, 29). The key factrs affecting the success f the discussed renewable energy plicies and prgrammes are the limited scpe that they have and the pr perfrmance they display. Very ften the slw disseminatin f technlgies and the high subsidies n cmmercial fuels make the ecnmics f renewable energy appear mre unfavrable than what they are in reality. Als, inadequate budgetary allcatins fr the renewable sectr make it hard fr these plicies t thrive. On the psitive side, a recent study by a team f scientists at Kashmir University has estimated J&K's Clean Develpment 12 Hydrpwer in J & K's main river basins Ptential Indentified Harnessed Under Cnstructin L Jehlum Chenab _ I Indus Ravi Fig. 5. Hydrpwer in J&K's main river basins. Surce: JKSPDC, 21.

5 Mechanisms (CDM) ptential at 75 millin Certified Emissin Reductin (CER) credits per annum. CDMs, which have been defined in Article 12 f the Kyt Prtcl, 3 allw a cuntry with an emissin-reductin cmmitment under the Kyt Prtcl t implement an emissin-reductin prject in develping cuntries. Such prjects can earn saleable (CER) credits, which can be cunted twards meeting Kyt targets (UNFCC, 21a, 21b). Accrding t experts, the nly requirement fr the State t sell its carbn credits wuld be t attain CDM certificatin fr its prjects in different energy sectrs frm the United Natins. On apprval, these credits can be sld t develped natins, which under the Kyt Prtcl 3 will have an bligatin t invest in green technlgies in develping cuntries. In additin, the research study suggests that if immediate effrts are made t explit the CDM ptential f the State, it culd harness significant amunt f hydrpwer in the next decade and partially slve the current energy scarcity. the regin. The bjective f the State gvernment in the lng run shuld be t make the cnditins attractive fr private investment/cmmunity participatin in pwer prjects based n renewable energy surces. Hence there is an urgent need fr sustainable and active energy plicies, which must be cnstituted by lng- and shrt-term financial instruments (Rdriguez Mnry and San Segund Hernández, 28). In additin, the Central and State Gvernment have demnstrated its serius cncern fr the grwing energy needs and the imprtance f renewable energy plicies and prgrammes. These initiatives represent an imprtant, but nnetheless fractinal apprach t addressing the prblem. In rder t tackle these pressing energy issues, a cmprehensive, verarching visin must be articulated. Energy plicy makers and planners need t shift frm their traditinal centralized, target-based, technlgydriven and tp-dwn apprach twards a mre decentralized and participatry apprach (Neuderfer et al., 2). 1. Cnclusins and recmmendatins This study attempts t review and discuss the status, ptential and pprtunities f Kashmir in harnessing renewable energies. The State is facing acute scarcity f pwer, which can be gauged frm the fact that against a ttal peak requirement f abut 2 MW, the state has been able t prduce nly 789 MW by 28. In additin, accrding t the available data there are abut 2 un-electrified villages within the State. The wide gap between demand and supply f energy can be reduced thrugh private sectr participatin and FDI. Cnsidering the regin's vast ptential t harness renewable resurces and the Central Gvernment's effrts t prmte clean energy, investment in this sectr prmises high returns. In the shrt term, the renewable energy ptential in the frm f hydr shuld be explited thrugh envirnmentally clean micr- (1 kw), mini- (1 kw-5 MW) pwer plants and subsequently develp larger (5-25 MW) plants. This plicy f develping micr- and mini-plants has witnessed sme success in ther parts f India, like Uttarakhand, that have cnsiderable ptential but lack the necessary investment and develpment. Small hydrpwer develpment shuld be taken as a part f rural electrificatin and pverty alleviatin prgrams. Measures such as speeding up clearance f private pwer prjects, de-licensing pwer generatin frm small hydr and prviding investment supprt will encurage private participatin. A bttm-up apprach needs t be implemented fr demnstratin, awareness and training prgrams. In additin micr-credit lending and funding access can be extremely psitive (Ghsh et al., 21). One f the main prblems is the absence f private investment as it lacks psitive investing pprtunities. Pwer generatin, transmissin, and distributin cmpanies and investment cmpanies can play a majr rle in reducing the envirnmental degradatin in J&K by bringing sustainable energy facilities t 3 The Kyt Prtcl is an internatinal agreement linked t the United Natins Framewrk Cnventin n Climate Change. The majr feature f the Kyt Prtcl is that it sets binding targets fr 37 industrialized cuntries and the Eurpean cmmunity fr reducing greenhuse gas (GHG) emissins. This amunt t an average f five percent against 199 levels ver the five-year perid Under the Treaty, cuntries must meet their targets primarily thrugh natinal measures. Hwever, the Kyt Prtcl ffers them an additinal means f meeting their targets by way f three market-based mechanisms. The Kyt mechanisms are: Emissins trading knwn as "the carbn market", Clean develpment mechanism (CDM), Jint implementatin QI). The mechanisms help stimulate green investment and help Parties meet their emissin targets in a cst-effective way (UNFCC, 21). 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