Net.Metering.South.Asian.countries.Wuxi

Net Metering in India & South East Asian Countries at 7th Chinese Renewable Energy Conference & Exhibition ,Wuxi Indra Prakash Jain , IP Owner B.E(Mechanical) , MIE, President, ISCERE Empaneled Chartered Engineer of MNRE, GoI for Renewable Energy BOM Email :ipagrahari@gmail.com Renewable Powerplants constituted 28% (including Hydro ) of total installed capacity and Non-Renewable Power Plants constituted the remaining 72%.  Indiabecame the world s third largest producer of electricity in the year 2013 with 4.8% global share in electricity generation surpassing Japan and Russia  Theper capita electricity consumptionis lower (approxonly 940 Kwh/Year against 2340 KWh/year Global ) despite cheaperelectricity tariffin India  Installed Electricity power capacity of 275.912GWas of 31 July 2015 in India Energy Scenario in India Southern Asia Total(Billion Kwh) Fossil Nuclear Renewable( without Hydro ) Inhabitants (in lacs) China 4,830 78% 2% 20% 1,356 Japan 989 85% 1% 12% 128 India 940 81% 3% 16% 1,237 South Korea 517 70% 28% 2% 50 Taiwan 241 79% 16% 5% 23.4 Iran 186 94% 1% 5% 80.8 Indonesia 181 89% 0 11% 247 Thailand 169 95% 0 5% 67.7 Electricity Consumption in South Asian Countries (as on 2012) Southern Asia Total(Billion Kwh) Fossil Nuclear Renewable Inhabitants (in lacs) Malaysia 126 84% 0 16% 29.2 Vietnam 104 60% 0 40% 93.4 Kazakhstan 85.4 88% 0 12% 16.8 Pakistan 80.1 64% 6% 29% 179 Australia Australia 236 89% 0 9% 23.1 Electricity Consumption in South Asian Countries (as on 2012)  Electricity is need of our for development of India and developing countries  So, electricity demand is bound to increase in line with development which is very much essential  But most of electricity generation is through Coal and fossil fuels  Coal plants emit approx1 kg of CO2 with 1 KWh power generation Electricity Generation and CO2 Emission  Natural Gas plants emit approx0.5 kg of CO2 with 1 KWh power generation while Diesel and Furnace Oil based plants emit 0.79 and 0.9 pounds CO2 per KWh  So, India emits itself through Electricity Generation plant approx0.198 Million tonnes of CO2 per hour  Below chart is very illustrative Electricity Generation and CO2 Emission  So, the gap of excess CO2 emission will increase day by day and environmental scenario may so bad that it may be difficult for human and life to survive  We definitely eye for growth but not at the cost of lives  So, What is the solution ? Why Renewable Energy is so necessary ?  Average shortfall of electricity in India is 10000 MW  South East Asian Countries energy scenario is given in below slides India and many South Asian Countries are Power deficit Country Population No Access to Electricity Population relying On traditional Bio mass Million Share % Million Share% Brunei Darussalam 0 0% 0 0% Cambodia 9 66% 13 88% Indonesia 66 27% 103 42% India 280 22% 380 30% Malaysia 0 1% 1 3% Myanmar 25 51% 44 92% Philippines 28 30% 47 50% Singapore 0 0% 0 0% Thailand 1 1% 18 26% Vietnam 3 4% 49 56% Total ASEAN 134 22% 279 47% Increasing the overall Green Generation for renewable capacity target by Clean & Energy MORE THAN Secure India 5 TIMESfrom 32,000 MW to1,75,000 MW India is running the largest by 2022 renewable capacity expansion Opportunity for unemployed program in the world graduates & farmers to become solar enterpreneures Renewable Purchase Obligation (RPO) and Renewable Generation Obligation ( RGO) to boost renewable energy 100,000 MW of Solar and 60,000 MW of Wind capacity By Year 2022 40000 MW Roof Top Solar out of 100000 MW Solar Increasing the overall renewable capacity target by MORE THAN 5 TIMESfrom 32,000 MW to1,75,000 MW by 2022 Opportunity for unemployed graduates & farmers to become Green Generation for Clean & Energy Secure India India is running the largest renewable capacity expansion program in the world RAPIDGREEN PROGRESS planned in India We are like tenant farmers chopping down the fence around our house for fuel when we should be using Nature s inexhaustible sources of energy —sun, wind and tide –Thomas Edison  To Achieve this with efficiency ,National Smart Grid Mission approved to bring efficiency in power supply network and facilitate reduction in losses & outages by Indian Government  38,000 Cr. GREEN ENERGY CORRIDOR project being rolled out to ensure evacuation from renewable energy plants  1 LAKH Cr.to be spent on transmission projects over the next year  Wind Energy  Hydro  Bio Mass  Municipal Waste  GhP  Geo Thermal  Wave Energy  Solar Energy : Solar PV , Solar Thermal Besides above Nuclear Energy is also 100% clean Energy Solution : Electricity Generation through Renewable Energy :No CO2 emission  I will discuss here on only various aspect Solar PV and that too only Net metering On Grid .  Solar PV :MW Scale  Solar PV : Off Grid  Solar PV : On Grid  Solar PV : On Grid with Net metering Solar On Grid Net Metering Solar Roof Top (Net Metering ) at Delhi Metro on curved Shed  Net meteringdescribes a metering arrangement whereonly ‘excess’ solar electricity is sent to the electricity network(‘export’)  Power is first sent to the appliances and lights in your house/ establishment , and excess is exported to the outside electricity network and its amount recorded and adjusted .  The saving reduces your bill in two ways: (1) results in a lower use of electricity from the grid, and (2) small payment for the exported amount. What is Net metering  Grid :The termgridis used to talk about the network of poles and wires in the street that supply us with electricity. When people talk about ‘exporting to the grid’ they mean sending electricity out to the wires in the street, so that other people can use the power Terms in relation to Net Metering  Grid connection describes the arrangement where the energy produced by solar PV systems is sent to the electrical network by systems connected to it. The alternative would be a stand alone power system that charged batteries. Grid connected systems avoid the need to store energy in a battery, therebyreducing the cost of the system. In addition,you can draw electricity from the network if the power from your solar system is insufficient, at night for example. Grid Connected solar system & Feed in Tariff  When electricity is sent from your solar system to the outside network, this is called exporting or ‘feeding into’ the grid. So, the price (or tariff) the electricity company pays for each unit of electricity is called afeed in tariff. The pricing for power usage is usually referred to as a consumption tariff Grid Connected solar system & Feed in Tariff  Gross meteringdescribes a metering arrangement whereallsolar electricity generated is exportedto the outside electricity network through an independent meter. You would continue to have a separate meter that records how you use power. Gross metering is considered a good way to encourage householders to invest in solar, because the amount received is very obvious, and it is possible to easily offer a premium rate to householders for solar production  With this arrangement Government may get generation without any burden of capex, opex, infrastructure with almost nilltransmission loss . A WIN WINsituation . Gross Metering Roll-over system: The generated energy is deducted from the participant’s energy consumption from the grid. This system utilises a single meter (i.e. netmeter), which is similar to a conventional meter, but able to ‘roll over’ (i.e. to discount from consumption the energy units fed into the grid) as energy is supplied to the grid, thus offsetting it from the overall consumption. Therefore, roll-over does not require additional accounting efforts. Types of Net Metering  Banking system: Participants can use an amount of energy from the grid equivalent to the value of the energy surplus they generate at a different time or billing period. These energy credits typically expire after one year. This system has the same technological requirements as the net purchase and sale system  Two types of Net metering based on financing model - Self owned net-metering model and other Third party owned Rooftop PV net metering model Type of Net metering  Government / Power developers need heavy investment, infrastructure in terms of Solar system , land , connectivity in case of MW scale projects  Off Grid System: Batteries needs capital cost of Battery , replacement Advantages with Net metering over others  On grid system: Extra power generated at any point of time is wasted  Net Metering is connected to the distribution system and thereby avoiding transmission and distribution (T&D) losses . This is a strong rationale for rooftop solar projects in India, where the national average of T&D losses hover at close to 20% , similar to many South Asian Countries  Net metering is panacea to all Advantages with Net metering over others  Benefits to rooftop owner: The household owner avoids large upfront investment and on occasion avoids assuming technology or performance risk of solar systems. Net- metering allows the rooftop owner to save on power consumed from the grid . A part of savings in power consumption is shared with the developer by way of a lease rental Advantages with Net metering  Benefits to developer: The leasing company generates revenues by way of lease rental from the rooftop owner under a contract. As it continues to be owner of the equipment, it also qualifies for claiming depreciation on the capital cost of the PV systems, with associated direct tax benefits  In order to make this model operational, electricity regulations need to be designed to remove specific barriers to participation of developers and intermediaries by government Advantages with Net metering over others • Net-metering can potentially drive widespread implementation of distributed generation by incentivising end-users to adopt localized power generation through technologies such as solar. • Net-metering is the silver bullet designed to help India and South East Asian Countries achieve greater energy security through generation at point of consumption (distributed generation). Advantages with Net metering • It is also supposed to help stabilise the national, regional and state grids, provide financial relief to the distribution companies (DISCOMs) through consumer default risk mitigation and reduction of AT&C losses • It is also to help cut down the per-capita energy footprint Advantages with Net metering  There are 3 main reasons for the disappointing adoption of net-metering by the consumers:  the tariff structure (a policy matter)  grid-reliability (a technical concern)  DISCOM side storey  Above issues are relevant for the residential, commercial and industrial segments Reasons for disappointing adoption of net metering and solution  Reason 1: Tariff structure (a policy issue) : If the energy supplied by the consumer to the grid (selling) is at a special, usually higher, tariff rate than the one at which electricity is bought from the grid (buying), then it is called a “feed-in-tariff”. However, if the selling and buying are at the same tariff-rate (usually the buying rate), then it is called net-metering and herein lies a problem if the buying rate is low due to subsidy etc Reasons for disappointing adoption of net metering and solution