Arunabha Basu Vice President & Head (Technology) North Delhi Power Limited, India

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Arunabha Basu Vice President & Head (Technology) North Delhi Power Limited, India WFES 19 Jan 2011

What is Smart Grid? SMART GIRD is a set of technology implementation that uses advanced sensing, metering, communication, control, computation and reporting technologies to facilitate generation and distribution of electricity more effectively, economically and securely to achieve desired balancing of supply and demand. Smart Grid : An evolving set of concepts and not a set of formulae 1/28/2011 2

Why modernize for Smart Grid?? Today s grid is aging and outmoded Unreliability is costing consumers billions Today s grid is vulnerable to attack and natural disaster An extended loss of today s grid could be catastrophic to our security, economy and quality of life Today s grid does not address the 21 st century power supply challenges The benefits of a modernized grid are substantial 1/28/2011 3

Smart Grid Values... The Smart Grid is MORE Reliable Secure Economic Efficient Environmentally friendly Safe 1/28/2011 4

Principal Characteristics of Smart Grid Today s Grid Principal Characteristic Smart Grid Responds to prevent further damage. Focus is on protection of assets following system faults. Consumers are uninformed and non participative with the power system. Vulnerable to malicious acts of terror and natural disasters. Focused on outages rather than power quality problems. Slow response in resolving PQ issues. Self heals Motivates & includes the consumer Resists attack Provides power quality for 21st century needs Automatically detects and responds to actual and emerging transmission and distribution problems. Focus is on prevention. Minimizes consumer impact. Informed, involved and active consumers. Broad penetration of Demand Response. Resilient to attack and natural disasters with rapid restoration capabilities. Quality of power meets industry standards and consumer needs. PQ issues identified and resolved prior to manifestation. Various levels of PQ at various prices. 1/28/2011 5

Principal Characteristics of Smart Grid Today s Grid Principal Characteristic Smart Grid Relatively small number of large generating plants. Numerous obstacles exist for interconnecting DER. Limited wholesale markets still working to find the best operating models. Not well integrated with each other. Transmission congestion separates buyers and sellers. Minimal integration of limited operational data with Asset Management processes and technologies. Siloed business processes. Time based maintenance. Accommodates all generation and storage options Enables markets Optimizes assets and operates efficiently Very large numbers of diverse distributed generation and storage devices deployed to complement the large generating plants. Plug and play convenience. Significantly more focus on and access to renewables. Mature wholesale market operations in place; well integrated nationwide and integrated with reliability coordinators. Retail markets flourishing where appropriate. Minimal transmission congestion and constraints. Greatly expanded sensing and measurement of grid conditions. Grid technologies deeply integrated with asset management processes to most effectively manage assets and costs. Condition based maintenance. 1/28/2011 6

Formation of R APDRPR Government of India (GoI) has identified distribution reforms as the key area in which to bring efficiency and commercial viability into the power sector. It has taken various initiatives in this direction in order to initiate a financial turn around in the performance of State owned power sectors. The most important of these is Restructured Accelerated Power Development and Reforms Programme (R APDRP) of 2008 (an earlier version of Accelerated Power Development and Reforms Programme (APDRP), was launched in 2003), which will fund projects to the tune of 10 Billion USD to upgrade transmission and distribution networks in India. 1/28/2011 7

Formation of R APDRPR R APDRP is Government of India s initiative with focus on establishment of baseline data and fixation of accountability, and reduction of AT&C losses through strengthening & up gradation of Sub Transmission and Distribution network and adoption of Information Technology during XI Plan, with Power Finance Corporation as Nodal Agency. Proposed to cover urban areas towns and cities with population of more than 30,000 (10,000 in case of special category states). Projects under the scheme shall be taken up in Two Parts Part A will cover projects for establishment of baseline data and IT applications for energy accounting / auditing & consumer services Part B will cover System improvement, strengthening and augmentation, etc. 1/28/2011 8

Smart Grid Forum & Task Force Smart Grid Forum is a non profit voluntary consortium of public and private stakeholders. Objective Accelerating development of Smart Grid technologies in the Indian Power Sector. Role Advisory in nature and it will be publicly promoted but privately managed. Smart Grid Task Force is an inter ministerial group and will serve as Government s focal point for activities related to Smart Grid. Objective With the prime objective of accelerating development of Smart Grid technologies in the Indian Power Sector. Role Ensuring awareness, coordination & integration of the diverse activities related to SMART GRID technologies, R&D, intergovernmental activities, interoperability frame work, review & validate recommendations of SMART GRID forum etc 1/28/2011 9

Strategy of GoI for ushering Reforms Restructuring of the sector by unbundling of State Electricity Boards Corporatization of Generation, Transmission and Distribution sector Setting up of Regulatory Mechanism Competition in various segments Liberal regime in underserved rural areas 1/28/2011 10

Present Scenario in NDPL 1/28/2011 11

Automated Meter Reading (AMR) Billing Data Download: Energy Data Download Conversion of encrypted data to common data format file. Uploading to application Generation of input to Billing Engine Data Downloading for Theft Prevention All parameter Data Downloading Conversion of encrypted data to common format file. Generation of Deviations for further actions. Data archival Encrypted Data Files are stored Accessibility with searching and hierarchical security options 1/28/2011 12

Geographical Information System (GIS) Geographical Information System (GIS): Centralized repository for all electrical and non electrical assets Provides a platform for quick identification of assets. Serves as a base for technological interventions. Integrated asset management for creation, movement and retirement. Applications to support commercial, operational and network functions

Grid Substation Automation System (GSAS) Grid Substation Automation System (GSAS): Replacement of old dilapidated equipment as well as protection and control devices from grids and make them SCADA compatible Provides an integrated monitoring, control and protection system with a number of advantages over the conventional equipment. Reduce installation costs, improve reliability of equipment required for feeding data to the SCADA system 1/28/2011 14

Supervisory Control and Data Acquisition (SCADA) Supervisory Control and Data Acquisition (SCADA): Centralized control and monitoring of Grid stations. Reduction in chances of manual error. Improvement in reliability indices (SAIDI, SAIFI) Faster restoration of supply. 1/28/2011 15

DMS / DA Distribution Management System (DMS): Centralized Monitoring of Distribution Network Faster identification of fault location. Distribution Automation (DA): Centralized Control of Distribution Network Faster restoration of fault 1/28/2011 16

Outage Management System Control Centre AMI CIS SAP-ISU Outage Management System for 1.8 million Customers GE Smallworld SCADA/DMS WMS (SAP)

SAP Modules Finance & Controlling General Ledger Accounts Payable Accounts Receivables Asset Management Funds Management Investment Management Cost Center Accounting Profit Center Accounting 1/28/2011 18

SAP Modules Logistics Materials Management Procurement. Inventory Management Project System Project Planning Project Execution Project Monitoring Project Capitalization Plant Maintenance Managing Technical Objects Preventive Maintenance Break Down Maintenance Refurbishments Human Capital Management Organizational Management Recruitment Training and Event Management Time Management Payroll ESS ( Employee Self Service ) BW & SEM BW Reports SEM Balanced Score Card SD Scrap Sale 1/28/2011 19

Advanced Meter Infrastructure (AMI) Enterprise Application Integration (EAI) Mobile Workforce Management (MWM) Advanced Communication Infrastructure DG Storage DER management DR management Advanced Asset Management (AAM) Integration with other Systems like Transmission, Generation, etc.. 1/28/2011 20

AMI / Smart Feeder Pilot Architecture 1/28/2011 21

How should India respond to Smart Grid Vision? Following are basic preconditions: Commercially viable and self sufficient discoms Public awareness and acceptance of the smart grid from regulators A national smart grid vision and a flexible plan Appropriate smart grid standards, policies and regulations Build on R APDRP program and link it to improvements in service quality as defined by measurable KPI s Identify and implement smart grid concepts that will reinforce the operational efficiency of discoms Conduct customer and market surveys to develop a more refined understanding of what drives customer satisfaction, and analysis to develop a better understanding of demand and consumption Implement techno commercial proof of concept pilot projects for initiatives those have potentially high impacts and can be implemented independently. 1/28/2011 22

Challenges for Smart grid implementation in India Financial resources Government support Compatible equipment Speed of technology development Lack of policy and regulation Capacity to absorb advanced technology Consumer education Cooperation Cost assessment Rate design Consumer protection Lack of empirical evidence 1/28/2011 23

Risks associated with Smart Grid Projects Assessing the Impact of a Project s Scale and complexity, and the impact of Resources constraint The Effect of Fast tracking on the Project Schedules and Cost System Integration Effect Accelerated depreciation of technology Risk of stranded assets 1/28/2011 24

Barriers in Smart Grid Implementation in India Major hurdles are: No proven commercial viability for large scale smart grid roll out Poor financial health of most state owned T&D companies Low awareness of technological developments in the utility sector No coordinated national road map for smart grid deployment A fragmented industry 1/28/2011 25

Regulators role on Smart Grid The success of smart grid deployment depends quite a lot on the regulatory landscape of the utility / country. The best and most efficient smart grid products will not reap the benefits without the regulatory framework needed to make these attractive to the customer. For this purpose, a smart rate tariff should be there. 1/28/2011 26

Regulators role on Smart Grid Contd... In the Indian Context, any Capex intensive scheme is scrutinized by the Regulator on following criteria: Impact on Reliability Impact on AT&C Loss reduction Tariff Neutrality to the extent possible While in developed countries, Smart Grid is more driven by Reliability and Safety considerations ( including grid synchronization for renewable sources), the driver in India would continue to be tariff neutral for some time. Development of a Robust Business Case is extremely important for the effort to be recognized and approved by the regulators as currently India is in a nascent stage for implementation of Smart Grids and there is a lack of proven technology and vendors. 1/28/2011 27

Benefits a) Billing: Improved meter reading efficiency with automatic meter reading Real time consumption Remote contract management: complex tariffs, remote connection/disconnection b) Load Management: Integrated automatic activation on demand or according to load limit Configurable load limit threshold Implementation of Time of Use tariffs c) Revenue Protection: Tamper detection Detailed data for load analysis of individual consumers Timely detection of defective equipment and installations 1/28/2011 28

Benefits Contd.. d) Intelligent Dash Boards Information and tools for technical losses detection and forecasting Providing power quality and power outage information across the entire AMI meter population. e) Home Area Networking Customer Information Display Sub metering applications with connection of slave meters (Electricity, Water, Gas, Heat and Cooling meters) Control and monitoring of smart appliances f) Energy efficiency Customer care web portal to provide consumers with information on their consumption patterns and online access to billing information 1/28/2011 29

questions and queries to arunabha.basu@ndpl.com +91 9818100576 1/28/2011 30