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This Presentation Deals With The Present Scenerio Of Power Sector In India Dealing With Reforms And Policies In Indian Constitution For Power And the Concept Of National Grids And Its Working And Uses. This PPT Also Includes Some Of The Government Initiatives Related To The Development Of The Power Sector In India. Thank U.
Power Scenerio In India
• Power In India - a brief Timeline
• Reforms & Policies
• National / Power / Energy Grids
• Government Initiatives
• India’s energy sector is one of the most critical components of an infrastructure that affects
India’s eco-nomic growth and therefore is also one of the largest industries in India.
• The power sector in India is mainly governed by the Ministry of Power. There are three major
pillars of power sector these are Generation, Transmission, and Distribution. As far as generation
is concerned it is mainly divided into three sectors these are Central Sector, State Sector, and
• India is world’s 6th largest energy consumer, accounting for 3.4% of global energy consumption,
with Maharashtra as the leading electricity generator among Indian states.
• The installed power generation capacity of India stood at 210951.72MW, while the per capita
energy consumption stood at 733.54 KWh/year
• India is the sixth largest in terms of power generation. About 65% of the electricity consumed in
India is generated by thermal power plants, 22% by hydroelectric power plants, 3% by nuclear
power plants and rest by 10% from other alternate sources like solar, wind, biomass etc.
Power in India –a brief timeline
• Pre-Independence: In this era, 65% of power generation was done by the
• 1947-1975: After independence, the involvement of the public sector
increased, and SEBs (State Electricity Boards) were set up in each state as
Public Sector Entities to manage and distribute power within states
• 1975-1991: During this era, the trend of moving away from the private sector
towards the public sector continued in the power industry. This phase was
characterized by greater involvement from the Central government.
Centralized organizations such as the National Thermal Power Corporation
(NTPC). The National Hydro Power Corporation (NHPC), the National Power
Trading Corporation (NPTC) etc were set up at the central level
• Post 1991: After the liberalization of the Indian Economy, there has once again
been greater involvement of the private sector in the power industry, and a
rapid growth of this industry as well.
REFORMS AND POLICIES IN POWER SECTOR
• This act encourages private sector involvement in Generation, Transmission and Distribution Of
• Open Access Provisions are provided in the Act wherein private generators can sell directly to
• Privatization and Corporatization of SEB’s is encouraged
State Governments pay off or write-off the debts of the SEB’s
• Competition is promoted in Generation and Distribution
• Unbundling of Generation, Transmission and Distribution is proposed in order to increase the
number of players in this sector and thereby promote efficiency, consumer choice and satisfaction
• Cross subsidies will be reduced and State governments will pay SEBsthe subsidies they mandate.
SEBscan also set appropriate tariffs so that they are financially viable
• Multi-year Regulation through CERC (Central Electricity Regulatory
Commission) and SERC (State Electricity Regulatory Commission) have
been established to monitor activity in this sector
• Although these reforms have been well intended, the current taxation
structure and government bureaucracy have not allowed these
reforms to have their intended effect
NATIONAL / POWER GRIDS
The National Grid is the high-voltage electricity transmission network in mainland India,
connecting power stations and major substations and ensuring that electricity generated
anywhere in mainland India can be used to satisfy demand elsewhere.The National Grid is
owned, operated, and maintained by state-owned Power Grid Corporation of India. It is
one of the largest operational synchronous grids in the world with 360.78 GW of installed
power generation capacity on 31 August 2019.
India began utilizing grid management on a regional basis in the 1961. Individual State grids
were interconnected to form 5 regional grids covering mainland India. The grids were
*Northern Grid (55800 MW)
*Eastern Grid (21387 MW)
*Western Grid (5146 MW)
*North Eastern Grid (2801 MW)
*Southern Grid (43009 MW)
(installed capacity- as on 31st Aug 2019)
Territories outside the grid
The union territories of Andaman and Nicobar Islands and
Lakshadweep are not connected to the National Grid. Both
territories are archipelagos located far away from the
mainland.Due to the geography and topography of these
islands, including separation by sea over great distances, there
is no single power grid for all the electrified islands in the
archipelago. The power generation and distribution systems of
these territories is served by standalone systems, with each
electrified island in the archipelago having its own generation
and distribution system.
How the Electric Power Grids Function
The power grid forms a bridge between electrical suppliers and
consumers through interconnected networks.
The electrical power grid consists of three main parts:
• Generating plant for electric power.
• Transmission of the electric power.
• Distribution of the electric power.
*Sources for Power Generation:
The following types of resources are available for generating electrical
energy for distribution:
Conventional Methods Non-Conventional Methods
• Thermal power plant Wind Power Plants
• Hyro-Electric power plant
*Transmission of Electric Power
• Once the power is generated from the alternator, it is send to the
typical substation in the power plant where they step up the voltage
by using the step-up transformers for transmission purposes.
• As the voltage is stepped up, it reduces the transmission losses. It is
then sent to the power grid from where it is then transmitted to
different cities. All the power generated in different places by
different methods is stepped up and sent to a common place called
*Distribution of Electric Power
The electric power grid connects different parts of the country. And the
grid distributes the power to the different parts of the country or state
through the transmission lines or network connecting different cities.
Finally before distribution to the domestic user, the power is stepped
down to 230 V or 440 V depending upon the needs of the domestic
FEATURES OF GRIDS
• Fully automated power delivery network to monitor and control power flows.
• Two-way flows of electricity and information between power plant and the
• Lowered carbon footprint and reduced emissions; increased access to
renewable energy resources (like solar and wind).
• Use of digital technology to save energy, reduce cost and increase reliability.
• Improved power quality as per the need of the 21st century economy.
• Reduced disruptions, improved efficiency and better asset utilization
• The Government of India has identified power sector as a key sector of focus so as to promote sustained industrial
growth. Some initiatives by the Government of India to boost the Indian power sector:
• Government plans to establish renewable energy capacity of 500 GW by 2030.
• The Pradhan Mantri Sahaj Bijli Har Ghar Yojana- Saubhagya, launched by the Government of India with the aim of
achieving universal household electrification by March 2019
• As of September 2018, a draft amendment to Electricity Act, 2003 has been introduced. It discusses separation of
content & carriage, direct benefit transfer of subsidy, 24*7 Power supply is an obligation, penalisation on violation
of PPA, setting up Smart Meter and Prepaid Meters along with regulations related to the same.
• Ujwal Discoms Assurance Yojana (UDAY) was launched by the Government of India to encourage operational and
financial turnaround of State-owned Power Distribution Companies (DISCOMS), with an aim to reduce Aggregate
Technical & Commercial (AT&C) losses to 15 per cent by FY19.
• As of August 2018, the Ministry of New and Renewable Energy set solar power tariff caps at Rs 2.50 (US$ 0.04) and
Rs 2.68 (US$ 0.04) unit for developers using domestic and imported solar cells and modules, respectively.
• The Government of India approved National Policy on Biofuels – 2018, the expected benefits of this policy are
health benefits, cleaner environment, employment generation, reduced import dependency, boost to
infrastructural investment in rural areas and additional income to farmers.
BY:- CHARANJIV SINGH