RAJ KUMAR

What are the utilities ?

Electricity

Water /Waste water

Gas (CNG/LPG)

Telephone

Cable (Cable TV)

Electricity industry overview


Generation

Transmission

Distribution

Supply

Generation :
> converting chemical energy in fuels or
> flowing energy of wind ,water or steam
in to electrical energy.





Transmission:

Transmission is nothing but the bulk transfer of
electrical energy from generation plant to substation s
located near populated centers.

Electricity is generally transmitted with high voltage in
order to reduce energy loss in long distance
transmission.
Power is generally transmitted through over head
transmission lines.
VOLTAGE LEVELS :

1. 132 Kv Transmission lines.

2. 220 Kv Transmission lines.

3. 400 Kv Transmission lines
Power distribution:


Electricity distribution is the final stage in the delivery
(before retail) of electricity to end users.


A distribution system's network carries electricity from the
transmission system and delivers it to consumers.

Typically, the network would include medium-voltage (less
than 50 kV) power lines
First it will reach to distribution substation.

Step down to 11kv or 22 kv or 33 kv through
transformer.

Then consumer substation

Stepdown to 240v(consumer houses)
Generating plant types:
Thermal power plant





> This type of plant converts heat into electricity usually
using a boiler, and a turbine to drive an electric generator.
> The most common fuels used at steam turbine plants to
produce steam are coal, oil, and natural gas.

A thermal power station is a power plant in which
the prime mover is steam driven.
Water is heated, turns into steam and spins a steam
turbine which either drives an electrical generator.

Hydroelectric:


Wind power:


Solar power:








Solar power is conversion of
REGULATION BODIES:

Three erstwhile Acts that regulated the electricity
sector:

The Indian Electricity Act, 1910
The Electricity (Supply) Act, 1948
The Electricity Regulatory Commissions Act, 1998

The Indian Electricity Act, 1910

Provided basic framework for electric supply industry in India.
Growth of the sector through private licensees. Licence by State
Govt.
Provision for licence for supply of electricity in a specified area.
Legal framework for laying down of wires and other works.
Provisions laying down relationship between licensee and
consumer.
The Electricity (Supply) Act, 1948

Mandated creation of SEBs.
Need for the State to step in (through SEBs) to extend
electrification (so far limited to cities) all across the country.

Main amendments to the existing Acts
Amendment in 1975 to enable generation in Central
sector
Amendment to bring in commercial viability in the
functioning of SEBs
Section 59 amended to make the earning of a minimum return of
3% on fixed assets a statutory requirement (w.e.f 1.4.1985)
Amendment in 1991 to open generation to private sector
and establishment of RLDCs
Amendment in 1998 to provide for private sector
participation in transmission, and also provision
relating to Transmission Utilities.

The Electricity Regulatory Commissions Act, 1998

Provision for setting up of Central / State Electricity
Regulatory Commission with powers to determine
tariffs.
Constitution of SERC optional for States. .
Distancing of Govt from tariff determination
Need for the new legislation
Requirement of harmonizing and rationalizing the
provisions in the existing laws to
- Create competitive environment which will
result in enhancing quality and reliability of service to
consumer.
- distancing regulatory responsibilities of Govt.
Obviating need for individual States to enact their own
reform laws.
Requirement of introducing newer concepts like power
trading, open access, Appellate Tribunal etc.
Special provision for the Rural areas.
Electricity Act 2003
The Act creates a liberal and progressive framework for power
sector development
It facilitates investment by creating competitive environment,
and reforming distribution segment of power industry
Entry barriers removed/reduced :-
Generation de licensed, freed from all controls for thermal,
with some checks for hydro
freedom to captive generation including group captive
recognizes trading as an independent activity
mandates open access in transmission

Electricity Act 2003

Open access to consumers above 1 MW within five
years commencing from 27th Jan 2004 (date of
enforcement of amendment to Electricity Act)
Permits multiple licensees in distribution for same
area
Regulatory Commissions - to develop market
(including trading)

National Consensus on Reforms
Electricity is a concurrent subject under the Constitution
Frequent meetings
National Conference of Chief Ministers on Power convened by the Prime
Minister of India (in May 2007)unanimously resolved on the following
initiatives:
Standing Group of Power Ministers of the States - chairmanship of
Union Power Minister - to look into all issues impeding the power
sector.
Subcommittee - chaired by Union Finance Minister & Dy. Chairperson
of Planning Commission as member - financing requirements of the
power sector
Task force on Hydro Power - to expedite hydro power development,
Rehabilitation and Resettlement issues
The Power Ministry would incentivise meaningful structural reforms
such as open access.

Reforms Consensus
Centre to provide financial assistance for upgrading T&D systems
APDRP scheme being revised
All villages to be electrified by 2011

The States:-
commit to achieving and sustaining drastic reductions in aggregate
technical and commercial losses (AT&C losses) through the next five years
commit to operationalising open access in transmission & distribution
sectors
to augment the quantum of power flowing into the grid :-
resolve to appropriately restructure levies - cross subsidy surcharge,
wheeling surcharge
facilitate captive power plants by removing restrictive levies, duties and
regulations

Electricity Act ..
Legal and policy framework in place.
National Electricity Policy 2005 announced.
Guidelines for determining tariff through competitive bidding notified 2006
5 Regional Power Committees set up 2005
Electricity Appellate Tribunal : Operational 2005
CERC notified regulations for open access in transmission 2005
Tariff Policy notified in 2006
Guidelines for private investment in transmission 2006
Several SERCs-open access in Distribution action initiated

National Electricity Policy - 2005
Aims and Objectives

Access to Electricity to all households in next 5 years
Availability of Power demand to be fully met by 2012
Supply of reliable & quality power
Per capita availability over 1000 units by 2012
Minimum lifeline consumption 1
unit/household/day as a merit good by 2012
Financial turnaround and commercial viability of
sector
Protection of consumer interests.

Tariff Policy - 2006

Tariff Policy:
Ensure availability of electricity reasonable & competitive rates
Ensure financial viability and attract investments
Promote transparency, consistency and predictability in regulatory
approaches
minimise perceptions of regulatory risks
Promote competition, efficiency in operations and improvement in
quality of supply

Tariff policy elaborates tariff determination - u/s 62 & 63

Evolving Industry Structure
Water industry
Central water commission
Established in 1945
undertake necessary surveys and investigations as and
when so required,
- to prepare designs and schemes for the development of river valleys in respect of
power generation,
- irrigation by gravity flow or lift, flood management, environmental management,
rehabilitation and resettlement, soil conservation,
- drainage and for drinking water supply
-undertake construction work of any river valley development scheme on behalf of the
Government of India or State Government concerned
- To advise and assist, when so required, the State Governments (Commissions,
Corporations or Boards that are set up) in the investigation, surveys and preparation of
river valley and power development schemes for particular areas and regions
To advise the Government of India and the concerned State Governments on the basin-
wise development of water resources.
To advise the Government of India with regard to all matters relating to the Inter-State
water disputes
To collect, maintain and publish statistical data relating to water resources and its
utilization including quality of water throughout India and to act as the Central Bureau
of Information relating to water resources
To conduct and coordinate research on the various aspects of river valley development
schemes such as flood management, irrigation, navigation, water power development
etc., and the connected structural and design features.
To initiate studies on socio-agro-economic and ecological aspects of irrigation projects
for the sustained development of irrigation
To promote modern data collection techniques such as remote sensing technology for
water resources development and river forecasting and development of computer
softwares
To conduct experiments, research and to carry out such other activities as will promote
economic and optimum utilization of water resources
To promote and create mass awareness in the progress and achievement made by the
country in the water resources development, use and conservation.
NATIONAL WATER POLICY-2002
WATER ALLOCATION PRIORITIES

In the planning and operation of systems, water allocation priorities should be broadly as
follows:
Drinking water
Irrigation
Hydro Power
Ecology
Agro-Industries and non-agricultural industries
Navigation and Other Uses

However, the priorities could be modified or added if warranted by the area/region
specific considerations.

Adequate safe drinking water facilities should be provided to the entire population both
in urban and in rural areas.
CONSERVATION OF WATER

Efficiency of utilisation in all the diverse uses of water

Conservation consciousness should be promoted through
education, regulation, incentives and disincentives.

The resources should be conserved and the availability
augmented by maximising retention, eliminating pollution
and minimising losses.
There should be a periodical reassessment of the
ground water potential on a scientific basis, taking
into consideration the quality of the water available
and economic viability of its extraction.
Integrated and coordinated development of surface
water and ground water resources and their
conjunctive use, should be envisaged right from the
project planning stage and should form an integral
part of the project implementation.
Over exploitation of ground water should be avoided
especially near the coast to prevent ingress of seawater
into sweet water aquifers.
Adequate safe drinking water facilities should be
provided to the entire population both in urban and in
rural areas.
Irrigation planning either in an individual project or in
a basin as a whole should take into account
the irrigability of land, cost-effective irrigation options
possible from all available sources of water and opriate
irrigation techniques for optimising water use
efficiency
There should be a close integration of water-use and
land-use policies
Optimal use of water resources necessitates construction of
storages and the consequent resettlement and
rehabilitation of population.
water charges for various uses should be fixed in such a way
that they cover at least the operation and maintenance
charges of providing the service initially and a part of the
capital costs subsequently.
Private sector participation should be encouraged in
planning, development and management of water
resources projects for diverse uses, wherever feasible.
Private sector participation may help in
introducing innovative ideas, generating financial
resources and introducing corporate management and
improving service efficiency and accountability to users
Both surface water and ground water should be
regularly monitored for quality. A phased programme
should be undertaken for improvements in water
quality.
Effluents should be treated to acceptable levels and
standards before discharging them into natural
streams.
The Inter-State Water Disputes Act of 1956 may be
suitably reviewed and amended for timely
adjudication of water disputes referred to the Tribunal.

water distribution system
Municipality/city organisation chart
Gas industry
District Heating
District heating is a system for distributing heat generated in a
centralized location for residential and commercial heating
requirements such as space heating and water heating.
The core element of a district heating system is usually a cogeneration
plant (also called combined heat and power, CHP) or a heat-only boiler
station.
The difference between the two systems is that, in a cogeneration plant,
heat and electricity are generated simultaneously, whereas in heat-only
boiler stations - as the name suggests - only heat is generated.
A thermal power station which generates only electricity can convert
less than approximately 50 % of the fuel input into electricity.
The major part of the energy is wasted in form of heat and dissipated to the
environment. A cogeneration plant recovers that heat and can reach total
energy efficiency beyond 90 %.


District heating
Regulated electricity market
Derugulated electricity market
1. Deregulation is the process by which
governments remove, reduce, or simplify
restrictions on business and individuals with the
intent of encouraging the efficient operation of
markets.
2. Deregulation is often that fewer and simpler
regulations will lead to a raised level of
competitiveness, therefore higher productivity
more efficiency and lower prices overall.

Genco Genco Genco
discom
discom
discom
customer
customer
customer
Open access
in
transmission
Open access
in
distribution