Incentiveslags in various criteria leading to an increase Apart from commercial banks andin operational cost, more investment of time bond issues, the other major sourceand lack of certainty in profit making. This of debt for renewable power assets isis reflected in India’s low ranking of 35 in the borrowing directly from the world’sWorld Bank’s Logistics Performance Index array of national and multilateral2016. (on the positive side, the ranking has development banksimproved significantly from 54th in 2014). 9.4 billion), Brazil’s BNDES (US$ 6.3 billion) in India have been financed with recourse to While India may gain to some extent and China Development Bank (US$ 6 billion). the parent company’s balance sheet and/orin terms labour arbitrage, it holds the 45th promoter’s guarantees. Bankers have been waryposition in terms of Gross Expenditure on As far as rural households are concerned of extending project financing to these projectsResearch and Development globally. they lack upfront debt financing options and due to lack of region specific performance data, have limited access to financial institutions and risk related to variability of wind patterns andll FINANCING RENEWABLE: A products, posing challenges to increasing the weak health of discoms. The private equity (PE)KEY ASPECT penetration of off-grid solutions. At the same route has also been a key source of fundingDebt makes up the majority of the investment time, on-grid solutions face the challenge of a for the wind sector in India. PE investors havegoing into many utility-scale renewable viable power purchaser, as bankrupt discoms evinced significant interest in the recent past.energy projects, either at the project level in cannot take on the counter party risk. To ensure Few companies such as Ostro energy (Funded bythe form of non-recourse loans, bonds or continued renewable energy development, the ActisLlp), Green Infra (Sembcorp), Renew Windleasing; or at the corporate level in the form government has focused on minimizing the cost Power (Goldman Sachs Group Inc) and Mytrahof borrowings by the utility or company that to consumers by bundling on-grid renewable Energy (Funded by Merrill Lynch and Apollois developing the project. Bonds have been energy with fossil fuel power and by allowing the Global Management) are backed by the globalan alternative to conventional bank project central power producer (like NTPC Ltd), which private equity fundsfinance for many years. has a strong balance sheet, to take on the counter party risk. While this approach is suitable for Green Bonds are also an important source of Apart from commercial banks and bond the short term, it will not be feasible over the funding. However, the exact figures dedicatedissues, the other major source of debt for medium to long term as discoms must become to wind per se could not be sourced. During therenewable power assets is borrowing directly profitable enough to take on the counter party period 2012 to 2016, the total amount of greenfrom the world’s array of national and risk themselves. bond issuance touched US$ 174 bn, which wasmultilateral development banks. According being utilised for various clean energy projects.to United Nations Environment Program, ll WIND IN INDIA Details of select issuances of Green Bonds inbetween 2007 and 2014, the development bank Till date, most of the wind energy projects India are.most active in the sector was KfW of Germany,which provided US$ 28.3 billion of finance,followed by the European Investment Bank(US$ 11.7 billion), the World Bank Group (US$ August 2017 | Energy Next | 51
Wind Exim Bank successfully launched a 5-year Yes Bank: Yes Bank came out with first green long term concessional loans is exemplary asReg S Green Bond issue of US$ 500 mn. This bond issuance in India in February 2015, which it offers loans with a tenor of up to 20 years,was the first ever USD-denominated Green was a Rs 1000 crore 10-year issue. The issue a five-year grace period and interest rates ofbond offering out of India - firstbenchmark- was oversubscribed almost twice and the issue 1-2percentto cover 50percentof total projectsized Green bond out of Asia in 2015 - and proceeds were to be utilised towards funding cost. As far as concessional or long-termthe third ever Green bond issuance out of renewable energy projects such as solar, wind finance is considered, Rural ElectrificationAsia. This attracted subscription of around and biomass projects. Further Yes Bank came Corporation in India now extends loans to3.2 times the issue size, led by strong out with another issue of Green Bonds in August renewable energy projects at 75 basis pointsdemand, across 140 accounts, with significant 2015, which was a Rs 315 core 10-year issue. The below that to comparable conventionalparticipation from green investors and real entire issue was subscribed by the International generation projects.money accounts, upsized from US$ 250 mn. Finance Corporation.Major (58%) participation was from fund On-lending, also known as financialmanagers, while banks (20%), sovereign CLP India: came out with an issue of green intermediary lending, can also increase thewealth funds/insurance companies (18%) bonds, the first from an Indian corporate issuer. availability of local debt, improve access to localwere the other major investor classes. The CLP India raised Rs. 600 crore. The bonds have financing and help build local lending capacity.issue was distributed 60% to Asian investors, been offered at a coupon of 9.15 per cent per Many international financial institutions use30 percent to EMEA and balance to offshore annum, in three series of equal amounts and their high credit quality and market access toUS investors. Exim Bank is using the net will mature every April in 2018, 2019 and 2020. borrow debt at low rates and on-lend them viaproceeds from the sale of the notes to fund credit lines to a government or other institution.Eligible Green Projects in countries including ll Facilitating Access to This reduces the local banks’ risk, making themBangladesh and Sri Lanka. Capital more willing to lend, and improves the overall A recent study conducted by the Climate Policy effectiveness of the investment. IDBI Bank: IDBI Bank has raised Initiative finds that limited availability of localUS$350m 5-year bonds, priced at debt is the biggest barrier to financing renewable Exim Bank has availed a credit lineTreasuries plus 255bp, with issue receiving energy projects in India. This manifests itself from the European Investment Bank foran oversubscription of three times i.e. through less favourable lending terms such as supporting projects that contribute to climatearound US$1bn. Maximum investment high cost, short tenor and variable rates. It raises change mitigation while also extending linescame from Asia at 82percentof the book the cost of renewable energy in the country by ourselves to other developing countries toand rest from Europe at 18percent. India 24-32percent compared with similar projects in fund such projects in their countries.may also utilize the huge assistance offered the United States. Access to debt finance can beby the international community including particularly difficult for small-scale projects. For ll GOVERNMENT INITIATIVESmajor funding agencies in the form of filling the gap in affordable debt financing, longer Policyclimate finance and technical know-how loan tenors, lower interest rates or extended Renewable energy has been re-classifiedand should mobilize this fund to fast tract grace periods, can play an important role. as ‘white category.’ Previously, this sectorthe process of achieving energy security for was under ‘green category’ and the re-its citizens. The case of IRENA/Abu Dhabi Fund for classification will enable ease of doing Development Project Facility with respect to business as setting up of solar and wind52 | Energy Next | August 2017
Access to Capital India’s Exports to World India’s Share in World ExportsCode Commodity Description 2011 2012 2013 2014 2015 2011 2015730820 Towers and lattice masts, of iron or steel 0.22 0.29 0.28 0.27 0.36850421 Liquid dielectric transformers, having a 0.12 5.68 11.42850423 power handling capacity <= 650 kVA 0.18848220 Liquid dielectric transformers, having a 0.1 0.11 0.09 0.12 0.1 6.46 6.97850422 power handling capacity > 10.000 kVA 0.04902830 Tapered roller bearings, incl. cone and 0.06 0.13 0.16 0.14 0.18 3.14 3.41 tapered roller assemblies848280 Liquid dielectric transformers, having a 0.02 0.08 0.12 0.13 0.13 1.85 3.12 power handling capacity > 650 kVA but <=850433 10.000 kVA 0.02 0.05 0.04 0.04 0.04 2.8 3850164 Electricity supply or production meters, 0.03850161 incl. calibrating meters therefor 0.02 0.09 0.09 0.07 0.07 2.39 2.5 Roller bearings, incl. combined ball-roller bearings (excluding ball bearings, tapered 1.49 0.02 0.03 0.03 0.03 1.13 2.44 roller bearings, incl. cone and tapered roller assemblies, spherical roller bearings, 0.04 0.07 0.03 0.02 1.86 2.42 needle and cylindrical roller bearings) Transformers having a power handling 0.05 0.05 0.06 0.06 0.74 1.98 capacity > 16 kVA but <= 500 kVA 0.01 0.02 0.03 0.02 2.29 1.75 (excluding liquid dielectric transformers) AC generators \"alternators\", of an output > 1.47 1.69 1.66 1.72 1.30 1.66 750 kVA AC generators \"alternators\", of an output <= 75 kVA TOTALpower plants will be exempt from seeking was announced to facilitate offshore wind farms Exim Bank.environmental clearances from Ministry in the territorial waters of India. Gujarat and • Reverse Auction: In February 2017, reverseand consent from State Pollution Control Tamil Nadu’s coastlines are expected to have the auction was introduced for the first time inBoards. To accelerate growth in the most conducive environment for harnessing wind power as prices crashed to Rs. 3.46 asector, the government, in January 2015, offshore wind energy, harbouring an estimated kWhr in the country’s first ever auction ofannounced a separate Wind Mission under potential capacity of 106,000MW and 60,000 wind capacity. The least wind tariff was Rs.4.16the National Action Plan on Climate MW, respectively. This is an indicator of the in Tamil NaduChange (NAPCC). huge growth potential of wind energy Finance ll CONCLUSION The government has also announced India has established several finance policy There is little doubt that there a rising senseincentives for the industry to ‘repower’ mechanisms for supporting development of of environmentalism in people now, andtheir existing wind turbines. The Policy for renewable energy project: they are more conscious about the differentRepowering of the Wind Power Projects • Priority sector lending: In 2015, the Reserve kinds of environmental hazards that couldhas been released on August 5, 2016 to Bank of India introduced renewable energy affect our future. This has led to cost savingspromote optimum utilization of wind energy into the priority sector lending category, which and shift towards sustainable living. Greenresources by creating facilitative framework incentivize banks to lend to this segment. power has now assumed centrestage as afor repowering. Most of the wind mills • National Clean Energy Fund: The pool of way to continue progress through cleanin the country are of low capacities and money is collected by a clean energy tax on technology, and wind energy will be playingare harnessing energy that is far less than coal to support environmental and renewable a pivotal role in this change. India is thethe potential. As part of the incentive, the energy projects. It is aimed at funding cheapest country in the world by project costcompanies would get assistance from the research and innovative projects in clean and Indian wind energy goods are largelygovernment to replace the existing turbines energy technologies. being accepted abroad. The opportunities forwith those of higher capacities. • Green bond issuance guidelines: The SEBI export hence remains enormous, and with views the green bond market as a key tool to the right transfer of technology exports of India’s 7,600 km long coastline spurred help raise the finance needed to meet India’s wind components may see further rise.interest in offshore wind resources, and the ambitious targets. India entered the green bondgovernment is now defining a roadmap market in 2015, issuing US$ 1.1 billion in green The author is Managing Director (Additionalfor further development for offshore wind bonds from a number of sources, including Charge), EXIM bank.development. To further boost this segment, the (Views expressed by the author are personal)National Off-Shore Wind Energy Policy 2015 August 2017 | Energy Next | 53
SolarCST to inhance power outputThis will make a huge difference for industries both global and Indian inreducing thier carbon footprint, write Senthil Kumar T. and Vikrant YadavTSenthil Kumar T Vikrant Yadav community cooking centres. he Jawaharlal Nehru National Any industrieswith a heat requirement Solar Mission (JNNSM) (CST) technologies in near future. marked a new era of solar- from 60oC to 400oC can replace their based technologies in India. ll Scope of CST existing fossil fuel heat generating systemsApart from power generation, solar India is endowed with vast solar energy such as boilers, electricalheatersystem withenergy can also play an important role in potential. About 5,000 trillion kWh per concentrated solar thermal technologies.saving fuel used for heating and cooling year energy is incident over India’s land The process temperature range of differentapplications in industrial, institutional area with most parts receiving 4-7 kWh/ industries is given in the table.and residential sectors through m2/day. In most of the locations, aroundConcentrated Solar Thermal (CST) 300 clear sky days are available. CSTs also have vast potential fortechnologies. community cooking in hostels, ashrams, CST systems are useful for medium and para-military/defence units, prisons, Concentrating solar thermal (CST) high temperature required for various hotels, hospitals, industrial canteens, etc.,Technologies is an energy conversion system applications in industries, commercial which needs to be tapped to save preciouswhich concentrates solar radiation using establishments and Institutions and fuel oil and LPG. Use of high grade fossilmirrors/lenses to produce a temperature in fuels, especially the fuel oil & electricitythe range of 100o C to 800o C or even more. for thermal applications, needs to beThese devices, however, need tracking so as minimized by using solar thermal devices/to focus, sun rays onto a receiver all time. systems in a country like ours where 80 percent of fuel oil is being imported and CST technologies, both in India and over 35 percent people in rural areas haveon global scale, are in a nascent stage but little or no access to electricity.have huge potential to impact carbonfootprint of global industrial sector in ll Challenges in CSTa significant manner. For a developing systems in the processcountry like India, CST technologies heat marketoffer very attractive proposition. The • Awareness:Though the CSTclean and emission free source of energywill help reduce fossil fuel consumptionsignificantly. This will also reducecarbon footprint of industrial sector,assisting India’s commitment to reduce itsgreenhouse emissions. India can expect ahuge revolution in the Indian industrialsector with concentrated solar thermal54 | Energy Next | August 2017
technologytechnologies were commercially available ups and BIS standards established, besides society by suggesting the quintessentialin India, with annual CSH sales of more developing a large number of knowledge solution to replace their conventionalthan 20,000 m2, the primary challenge is documents available on CSH website. process heat system with suitable CSTlack of awareness among the industries Apart from this, online performance technologies along with the performancesector about the existence of this monitoring of CST Installed in India is roadmap. This type of tool will help inrenewable technology. also being done. selecting the appropriate CST technology• Selection of Appropriate Technology:As based on application and location.CST is an emerging and newer technology The National Institute of Solar energy (aninthe market, there is Lack of confidence autonomous institute, under MNRE), solar Authors are Junior Research Scientists,on technologies among the customers. thermal division, is developing a software National Institute of Solar Energy.Thoroughknowledge aboutCST systems tool for a public domain which will aid the (Views expressed by the author are personal)and theirbehaviourareinadequateforthecommon industrialists.The parameterssuch as selection of CST technologies forthe appropriate application are the criticalpart where a technical knowledge andsupport is essential.• Lacking in trained manpower oftechnicians.• Space constraints for installations tobeneficiaries• Requires higher support, especially forspace cooling & standalone systems andalso for non-profit making bodies• Very few manufacturers of CSTtechnologies. Not much competition.ll Initiatives and R&Don CST technologies forprocess heat sectors.The Ministry of Newand RenewableEnergy (MNRE) has initiated a coupleof projects in association with UNDPand UNIDOto promote CST applicationsthrough financial and fiscal supportto users and technology providers/manufacturers. MNRE has also takensteps to develop Renewable Energy (RE)Policy in this regard.UNDP - GEF funded and implementedproject of ‘Market Development andPromotion of Solar Concentrator BasedProcess Heat Applications in India’ byMNRE with an objective of• Strengthening awareness and capacitiesand removing market and financialbarriers to promote the use of CSTtechnologies for process heat;• Strengthening technical capacitiesand create awareness among industrystakeholders. The project has been able to creategreater awareness on CSTs with newer andbetter technologies introduced, test set August 2017 | Energy Next | 55
Energy Energy is equivalant to human existence Energy is not a matter of life & death, it’s a lot more important than that, says Raj Singh NiranjanGreen Revolution (through up electricity production by 20 times and consumption. This availability and per capita technology transfer /High strengthening transmission & distribution energy consumption rises, this will be a sure Yielding Varieties (HYVs) of capacities. Resultantly, the target for ‘energy for indicator as progress and wellbeing of the nation. serials with chemical fertilizers all’ is achieved.and irrigation) led to three fold hike in The average Indian uses only 765 KWHagriculture outcome and brought food security Most critical component of infrastructure that (6%) of the power and average American doesfor the nation. Similarly, Industrial Revolution is crucial for the economic growth and welfare ie 12,988 KWH. There is a huge gap, whichwas a transition to modern manufacturing of the nation is energy. India’s power sector is portraits energy poverty (Urja Garibi) inprocesses which led to mass production and one of the most diversified in the world. Sources India. As per the latest consumption figures,consequently, improved standard of living of of power generation range from conventional there is a major variation across states inEuropean and then the world. to non-conventional sources. The conventional the consumption pattern. Per capita energy sources are coal, lignite, natural gas, oil, hydro consumption in the Union Territories is the I propose Energy Revolution in India to and nuclear power. The non-conventional Highest. Energy consumption in states ofincrease per capita energy consumption of sources are wind, solar and agricultural & India like Goa, Punjab, Gujarat, Haryana andthe masses. This can be achieved by stepping domestic waste. Economic growth of a country Delhi is above the national average. Bihar has also depends on demand of energy and it helps the lowest per capita energy consumption in eradication of poverty in country. Per capita which is almost 1/6th of the national average. energy consumption is an indicator of economic All the north eastern states consume below growth of a nation. Energy consumption is the national average. The per capita energy increased from 329 units/annum in 1990 to 1075 consumption in states like West Bengal, units/annum in 2016.India’s per capita energy Madhya Pradesh, Kerala, Uttar Pradesh and consumption is lowest among all other countries Jharkhand is also below the national average. and it is just 1/3rd the world average. Electricity Per capita energy consumption of the country consumption has increased from 245 BU in can be increased by achieving the goal of 1990 to 1173 BU in 2016 and India at present energy to all. But energy leaders will be able ranks sixth in the world in terms of energy to, achieve this goal of energy to all, if doable56 | Energy Next | August 2017
legal viewaction plan is designed. sea shelf along with wonderful islands, which electricity generated from waste rice husk, To strengthen the cause of Energy have lots of natural gas and oil. If we diligently • In Karnataka people cook food by search for Petroleum and natural gas, we willRevolution and developing a doable action find it in abundance. So, India is not required to generating clean gas flames of cow dunk,plan, we took inspiration from the Buddhist import such natural resources from any other • In Leh Ladakh tribal people are using microCouncils which started in 400BCE, wherein country. Gas turbines can quickly ramp upvarious issues were resolved. Similarly it power and do this quite easily, and so are often hydro plants, for generating electricity,which iswas proposed to have a series of Energy used to deliver peak load. through natural flow of water, similarly manyConference to encash the collective wisdom other innovative practices to generate energyof Energy experts to initiate the process of ll In continuation of the takes place in India.Energy Revolution in India. The First TILA First TILAInternational energy conference was held in International Energy Conference, the Second Fifthly, the regulatory and arbitration reforms2016 at New Delhi. Deliberations were divided TILA International Energy Conference was should be restructured. As many unnecessaryin three sessions that Make in India – New and held in 2017 at New Delhi. The theme was cases has been filed to stop or interrupt majorRenewable Energy, Produce in India – Power issues in energy security and solutions. This projects in India and genuine cases are beingand Find in India – Petroleum & Energy Gas. included three sessions namely Brahma session delayed. The reason behind this is lack of – Generation and Production of energy, Vishnu knowledge about energy laws and lack of skillll Make in India – New and session – Transmission and Distribution of development in this field.There is no specializedRenewable Energy energy and Mahesh session – Consumption infrastructure facility for institutional ArbitrationIndia is 70% dependent on fossil fuel (coal) of Energy (Industrial/ Domestic/ Agriculture/ in India for Energy Sector. The Fees areimports to fulfill its energy requirement. Solution Commercial). determined by arbitrator according to his wishesto this lies in renewable energy. India needs with limited guidelines.to switch over to solar powered equipment in ll Components of Energyplace of oil or gas powered equipment, but the Revolution To improve the situation, Internationalsame is required to be imported. India needs For achieving Energy Revolution, there are Energy Arbitration Center (IEAC) is establishedto reduce dependence on imported and Make five proposed components. Firstly, energy as a Non - Profit Organization. The Internationalin India the equipments indigenously for production should be increased 20 fold. As said Energy Arbitration Rules for this center wereelectricity generation. This will reduce the cost of before, in India one person is using 1 unit and released in the second TILA Internationalproducing renewable energy. It is not out of the in USA one person uses 20 units. To overcome Energy Conference, 2017 to overcome theseplace to mention that in 14 and a half seconds, such gap India needs to increase production challenges. These rules would help to appointthe sun provides as much energy to earth as by 20 folds of the energy. Secondly, 80% of experts as arbitrator which will quicken thehumanity uses in a day. energy should be produced from renewable procedure, provide infrastructure and a defined sources. Thirdly, AARQA Goal need to be fees structure for the arbitration proceedings.ll Produce in India – Power achieved which are Accessibility, Availability, It will not be out of place to mention that forIn India, it is claimed that excess power is Reliability, Quality and Affordability of power. capacity building in Electricity Laws an Onlineavailable but no demand. Let’s disagree. An This would be a major step to achieve the Certificate Course on Electricity Laws has beenaverage and marginal person is demanding goal that is energy for all. Fourthly, Radical released. This course is in line with the Primepower. We have to work with distribution energy innovations and localization in India is Minister’s vision of Digital India and Skill India.Companies to enable them to supply power. required. Some examples as follows:One important fact is that, if an Indian is uses In addition to importance of energy1 unit of power, a US citizen uses 20 units. • In Bihar, one lakh people are using revolution, India’s energy supply and powerThere is a huge difference and inefficiency that are governed by two aspects that is the need tomarginal person is not getting that so claimed sustain GDP growth is 8 % to 10 %, and ensuringexcess power. Power generator is producing access to energy (read Energy for all). Let us allpower but Marginal person who requires power, work to achieve these goals. Increase in primaryis unable to access it. This is induced power energy demand is due to increased income andpoverty. For reaching that level India requires to economic growth. Energy security is an essentialincrease production 20 fold of power. Experts aspect of national security and availability ofsay ‘power’ is ‘available’ for export partly because natural resources for consumption. India’s energyof DISCOMS’ inability to buy enough electricity policy has three pillars i.e. energy access, energyfrom the national grid. security and climate Change. Keeping this in view, Renewable energy development will bell Find in India – Petroleum & important to boost economic development ofEnergy Gas India. Let us join hands and vow that we willIndia is blessed with huge Landmass and large work for Energy Revolution in India to achieve the goal of “energy for all”. The author is an Energy Law Expert & Founder, Trans India Law Associates (Views expressed by the author are personal) August 2017 | Energy Next | 57
BIOFUEL | EVENT COVERAGE‘Bioenergy Urja Utsav’witnesses massive participationPower minister Piyush Goyal inaugurated the event by lighting the innovative‘Ceremonial Lamp’ in which the heat energy of the candle was converted toelectricity to light a LED lightT he Ministry of Petroleum and ministers, MPs, elected members of local host the First Bio Energy Urja Utsav. He Natural Gas in association with bodies, top managements officials and vice- urged the Central Government to consider National Yuva Cooperative chancellors of various universities. Power Pune District as one of the pioneer cities in Society Ltd. and Mahratta minister Piyush Goyal lighted the innovative implementing initiatives in Bio Energy toChamber of Commerce, Industries and ‘Ceremonial Lamp’ in which the heat energy bring benefits to the farmers.Agriculture had organised a mega event of the candle was converted to electricity‘Bio Energy Urja Utsav’ from 7 to 8 July to light a LED light. President of National Chandrakantdada Patil, Minister for2017 at Shiv Chhatrapati Kridanagari, Yuva Cooperative Society Ltd. Rajesh Revenue- Government of MaharashtraBalewadi, and Pune. The event was aimed Pande delivered the Welcome Address and stated that the Event will help inat bringing into focus the various initiatives expressed happiness that Pune has got the generating ideas to empower the farmerscommenced by GoI in the Bioenergy Sector honour to host Bio Energy Urja Utsav. with additional source of income if theyfor developing an inclusive National policy participate in Bioenergy programme.frame work and sustainable mainstreaming Ramakrishna Y. B., Chairman –Working He expressed his desire that the Stateof such technologies. This ‘Utsav’ was also Group on Biofuels, Ministry of Petroleum Government will partner in projects relatedaimed at creating awareness amongst the & Natural Gas set the agenda for the 2-day to Bio Energy. Dharmendra Pradhan, MoSmasses about the Bioenergy and its societal event by highlighting the overwhelming (I/c), MoP&NG stated that we are aiming anand environmental benefits. participation from various institutes, inclusive Bioenergy Policy to be formulated organizations, federations, associations, in the country which will address issues and The event had a participation of over 2400 companies, farmers, students etc. for this challenges of all stakeholders in the entireindustries/association registered delegates. Mega event. He expressed gratitude to the value chain of Bioenergy. Since BioenergyAn arrangement for live streaming of the ministers and senior officials from OMCs, encompasses each and every section ofInaugural Session on 7th July, 2017 was NYCS and MCCIA for their whole hearted the society, there is a need to convert themade which drew approx. 5,50,000 viewers. support in organizing this mega event. prospects of this sector into a ‘Bioenergy Abhiyaan’ by creating a mass movement The two-day event witnessed multiple Sandeep Poundrik, JS(R), MoP&NG by active participation of all stakeholders.activities in parallel at the venue. highlighted the various initiatives and There is a need to address various gapsExhibition-10X10 feet stalls were allotted achievements of GoI in the area of biofuels in the Policy and its implementation.for showcasing of various indigenous and pointed out the issues, challenges and In continuation to make this Bioenergyand foreign technological innovations way forward related to entire value chain of abhiyan, the MoP&NG will celebrate the& initiatives in the Bioenergy sector Bio fuels. Girish Bapat, Guardian Minister World Biofuel Day on 10 August 2017 in atwhere around one hundred twenty-two for Pune District expressed his happiness least 100 cities across the country.organizations showcased their technological that Pune is getting the opportunity tointerventions in community mobilization. The inauguration session started with thedignified presence of central ministers, state58 | Energy Next | August 2017
Power TweetsPiyush Goyal @PiyushGoyal . Aug 2 Piyush Goyal @PiyushGoyal . Jul 25 Piyush Goyal @PiyushGoyal . Jul 23LED bulbs make dhabas’ bill Get LED bulbs, LED tubelights and Govt. signs PPAs for the firstlighter, business brighter and energy efficient fans today using wind auction totalling 1050 MW,ultimately food cheaper. SMEs http://Ujala.gov.in ensuring 24x7 Affordable Cleanshould get LEDified using http:// Power for All.ujala.gov.in Piyush Goyal @PiyushGoyal . Jul 25 Piyush Goyal @PiyushGoyal . Jul 8Piyush Goyal @PiyushGoyal . Jul 25 25.01 crore LED bulbs distributed under UJALA; 26.90 lakh LED World Bank recognises that India isNew India: Power for the Poor, street lights installed in 25 States a now a global front runner in theSustainability and Savings for the and UTs http://pib.nic.in/newsite/ fight against climate change.Nation http://www.narendramodi. PrintRelease.aspx?relid=168740 …in/category/infographics … viaNMApp Piyush Goyal @PiyushGoyal . Jul 23 Surya Mitra Mobile App provides Installation, Services and Repairs of Solar PV Power Plants at Customer’s Door Step
Corporate Buzz NeRfTefLitcrLoieefnimttnL‘PEishDlaalrauomnxcpGh’EeNs eGn9ergy NaaetwnPTnhfnfhLoieitocatihLLrhiruEeeotpenDnmhxrrcteoneeGLadrlniadHaEsdeumeusNpdycahrunleipltgaatoiGct(ityspco4dgah9oenebwelimrorcgnlt)eief.onfheotTTfrtrno4laiohnitotrfeGgioivvtfp9ea&rhrpboicioegadhusnhuaesdcnedaatdnnplieeastplrsmilage,icnprydsaiic.astdiopnoenldanaslsyiuslmikieng ScRooalmyasrmPPioVswseioeqnruIsintayfr5pa.r5oMjeWctp toDSpOiwTpl5snRplrihusr.coorta5ottehectrjyruoejkMcaieespcrcbdencwtrWPctes,otkoooawsrKepij’fvnemsw2ayuaecS0srsetlmbrntolth1yracaaael6eiaIrsoscntxntrsaiswoemesfiatkPordcmahrraamVniuetig,ipelhnitaeitenhis.lhaoeqsgottsetnhiu.ffoereip2dnotyr8emoadajetcihcnrteeFwsleaaabntsrduKeaoaxrcpeyqcp2uua0iltse1itd7i.onGipnervonejesertcaitlnsEglerecetrnicetnoergy AGsriae’esnlakrogteostrgairseee$n1bboilnlidon viaefnbu$eocn5irnodnd0ggmaidAs0yragtuesnseGrppoumpeeiauarrobeneent.ibyflenoe—lPyfblimisaon’crop$shoknltirn1cyosfhcoo.iodsi1rreesjniesmbeiotesstlaci2aanddlpdrtlt0lro-iesaseaoog1rislnwsreelnl4tlaeiytoasdn.ihrvlltrualgiaTatbcbtehotetdieohnutendissosepsinurdareieoltentricoaeoettwhriefveadaeaftibssngf.leweartenicleclhneedthe GiispniietfnrcatisfnSonotolloeEelaejarerasrurrnielmvcaennrocinltotcvw,sieeEnpteenoiw-lagessnecentaci(dsornIdGibtngtnefsrrlEduyhiatiectkEislehcfaeseeiFClearpntwSpmpeohre)rliiqe.resottriosahun(gnjGleluoieyid.tIncEgnwyoeGt)hdtkraasEiibanlklngEesnweenritgehyrgAFyvinapaarnodcajeiaPcltosw. er PFL sanctions Rs. 700 crore to ACME solar Piramal Finance Limited has sanctioned Rs. 700 crore to ACME Solar Holdings, Delhi- based Independent Power Producer with a portfolio of over 1.8 GW of solar power across the 14 states. The lending was done through Corporate Finance Group (CFG) of PFL ACME Solar is planning to use the funds to invest in solar and electric transportation business and ensure timely completion of projects.60 | Energy Next | August 2017
NLC biggest winner in TmPiDcrDoLgtroidsseitnuBpihtawro pilot solar 1,500-MW Tamil Nadu solar auction TDwsBawIoEiantivisglahainmlnolitstaeanrahvtdsuPribnoidribetrrotmleTdutouiehanIwaretntunieiaetbcimlepdopamtruMwiorainoosaTtserfDiawgnrnittt(nnuTshonTreotaeseeisePladaadhntcsnrplDs.cseisdhvdPiThhDlivinmenoroeheuiooLcptlleolsei)nloicesodccmpyitgoetotrRysealnimffneiCnoscpstuoe.raeapvntdaniepotriysrclonethisrrsoiotf,boelGftauroxrretpeoEenmlmnldoeseirroceuiranrtglileeotgyaEcgabalatrerrlnieeidccdatitrstoiyc India’s latest solar auction, drew paHrcoiqnjeudciurtesisnta1Jn5aPspooalwnarerpowerfisrpostrtooloat3fhirjenge0Ee1pnecr-cJ5othipntMagoeHwasreaphrnoWoisrtnaetoBjalsaenTdarmatpcrcritupnoitroqtsyposlogsnah,utotbjlanwTaeaaipwurnrtllcder.elaiietoliedPnIrnddtresijogenethhLhwcca1aaGewat5uensslu0riltdetejaMhaxd,IrneGW4abcdteyx.uucrtstm2aeht5prdeayaMn.tcJhyTWaitehpaye.na2sTnod5fih’-lrsaAMmersMWibaaiin’idsmisstsfroyr good response with a big chunk of the 1,500 MW of projects on offer. Formerly known as Neyveli Lignite, NLC mines lignite, was awarded 449 MW out of the initially opted 1500 MW. Meanwhile, the lowest bid in the auction in Tamil Nadu came from Bengaluru- based Raasi Green Earth Energy, which won 100 MW at Rs. 3.47 per unit.Wupatrobu$r1g0P0inmcnuisntoClienavneMstaxSolar WPmtdghtiWsnaateiieatvlrrcaleabierioUuflgmr-unfbsnseSmrsutg-tLfihonrabflocgrekraofCiisgPrnasmaleriegdnaciddadIlceflnn-opiunsdctMrcesogioivu’atasnat1’stxshit7onnoeeSa5etinmoenecbgrlqvttoabieehgeurtsid.eatstitiotTtwoyurimnhaoutafreiiosCtloritotmficsulyntfeoln-(evsaGispdenaoncWsndlsM$aatoim1lcer)eal0anbapxept0ryeoenSrrsw2sotogp0bjtyleaeah2yrccre2ets. .TaAawntaadrPhdorafwoPerrrpaSrdooejlseahcr tgientsTwEa2btoxg0aMecAnip1velbPWnom7reIwlionTodlgwneiaawhdnhjsgennosfiepreeoac1cualrsrsr0atermfoSet,Par0S“ojtsAcrceaeop-paluowltxcaMrldruapcPomtreaerrWeojbaWreiemsnhdlwdadlhceeoassipt.esonesseraTsrfovkcdoirhCoeletarcenrnoritaen5eh1rctrp0d0eeecso00ghlouNlro-simsaapTMriatcnyPmiwnWro.gCediTnitssdhshism(no,oiNeotimlosAhaTandenrtePwihnuapsCNaegltnoei)ra”ct.dwsata1.ipoew0lIlutryn0aras, l EwniethrcIonndisaingncsoamgpreaenmieesnt EcwcnroaeeoieSotnIpxnmhrepdccadretoplvisiuhrarian,ecsar.nmreiethTvviiesoeeiaahc,osnisItenKainefntsfgtaidcocengeirggoihreeanptrnmnicneoearteohsomnepdiltmvcloaSsaeiednygtneteneyuyntssertittbssroaggiarnyetelhesnawoseeniirIandtnahstdIPsinRoeioadesnwnisnaioemno. frTgmcawhoroekiEnnpenndttVie.ooetrunngnr-sytbutiornees August 2017 | Energy Next | 61
MNRE NEWSGovt prepares database on R&D Piyush Goyal wants CAs to joinAccording to the ministry of new and resulted in achievements in many areas. GST rollout renewable energy (MNRE), India’s Putting biomass on technology ladder forachievement in research and development various applications, technologies for bio- Piyush Goyal has urged chartered(R&D) segment of renewable energy do not CNG, development of a number of solar accountants to take part in theget acknowledgement. Hence, the National technologies, industry-driven hydrogen successful implementation of theDemocratic Alliance government is now energy research are some of the shining Goods and Services Tax (GST) andpreparing a detailed database of such work, examples. However, India’s research and make sure that customers are notwhich would help in establishing road map development accomplishment is not cited overcharged by their clients. Thefor renewables in the country. in a manner, as it deserves and has not minister gave his comments during been presented in a consolidated manner,” the celebration of 69th foundation day “R&D support in renewables has MNRE said in a note. of Bombay Chartered Accountants’ Society. “Five areas viz, solar photovoltaic, wind energy, biomass energy and new “It is incumbent on traders, technologies are proposed to be covered,” businessmen, manufacturers, every it added. component of the value chain to ensure that the correct pricing is MNRE has directly written to carried forward and the input credit “institutions and organizations” have that is given correctly. We (CAs) as a have contributed in renewable energy community have to ensure that the research to provide inputs regarding their customers are not jilted and the achievements. correct pricing is right sized at the input level,” said Goyal.MNRE issues direction to add PVplants near spare substation capacity He called GST as the “biggestMNRE has sent a letter to states transformation that our nation has concerning the spare capacities in North and South regions by Power Grid seen in our 70 years of independence”current substations to accommodate the Corporation of India. It has instructed and added that “Internationalrapid additions of solar capacity. While state governments to promote installing experience shows that inflationthe country has set the target of achieving of solar projects near transmission tends to show its ugly head in the100GW by 2022, capacity of 12GW has capacities. The Central Electricity first couple of quarters after the GSTalready been installed. Authority has also been asked to prepare implementation. When it comes to a list of intra-state transmission systems. inflation, we all can play a role. It is The ministry has been given the details The ministry feels that this would help incumbent on traders, businessmen,about the spare capacities in existing state governments reduce the cost of PV manufacturers - every component ofand planned substations for West, projects in the future. the value chain - to ensure that the correct pricing is carried forward and the input credit is given correctly.”62 | Energy Next | August 2017
MNRE NewsGoyal advises states to clear First wind powerarrears of renewable energy firms auctions scheme: Major developersPower Minister Piyush Goyal is flows. The government’s interest on clean sign PPAs convincing states to clear their energy has encouraged big corporatearrears to renewable energy firms that such as Tata and Mahindra to invest in A s part of India’s first wind powerneed to repay debt amid muted cash renewable sector. However, it has been auctions scheme, major wind seen that state-run power distribution power developers including Adani companies have been delaying payments. and Mytrah Energy have signed Power Purchase Agreements (PPAs) with “One or two discoms have been delaying. Power Trading Corporation (PTC). We are working with them to resolve the The PPAs for the supply of 550 Mw issue. It is a state issue and we can only power to states were signed in the persuade them,” the minister said. presence of Power Minister Piyush Goyal. Meanwhile, Senior Vice President and Group Head of ICRA Sabyasachi As per a statement released by Majumdar added that states like the MNRE, as per the PPAs, Mytrah Rajasthan and Tamil Nadu are delaying Energy, Inox Wind and Ostro Kutch payments due to their inherent financial Wind would supply power of capacity stress. Counterparty credit risk is anyway 250 MW each. In addition to this, high for renewable energy companies and Green Infra would supply 249.9 MW cash flow problems make it worse. and Adani Green Energy 50 MW from their wind power projects throughVaranasi to go green, pledges Goyal inter-state transmission system at a tariff of Rs 3.46 per unit discoveredThe government is in a mission divisional commissioner Nitin Ramesh through open and transparent to reduce the carbon footprint Gokarn said, “We plan to implement it as competitive bidding process, statedof Varanasi and promote solar power part of our smart city initiative. Earlier, the MNRE statement.generation plants and green energy we had planned to make all governmentinitiatives in the holy city. Power Minister buildings green but now all stakeholders Talking to the media, MNREPiyush Goyal recently visited Germany would be taken on board to make the Secretary Anand Kumar said thatand appreciated the country’s green city completely green energy-oriented.” plans are being mooted to holdenergy initiatives. The ministry of new While the first step will be to gauge the stakeholders sessions in order toand renewable energy is now examining total energy requirement of Varanasi, an address the challenges in the windthe possibility of turning the city assessment of how much energy can be energy sector.completely green. generated through solar power would be the second step. Talking about the initiatives, Varanasi’s August 2017 | Energy Next | 63
IREDA CORNER‘UDAY’ gets discoms back in shapeUnder Govt of India’s Ujwal Discom with savings of nearly Rs. 12,000 crores for to consumers. Through reforms, India Assurance Yojana (UDAY), DISCOMs due to issuance of UDAY Bonds jumped in World Bank ‘Ease of Gettinghigh loss making states like Uttar worth Rs. 2.32 lakh crore. These savings Electricity’ ranking from 99th position inPradesh, Rajasthan and Tamil Nadu will help in providing affordable power 2015 to 26th position in 2017.have decreased their losses by 2/3rdto 3/4th while Haryana has reducedlosses by 90 percent. Overall DISCOMlosses reduced by 41 percent under thisGovernment. Also, UDAY has resulted in theemergence of a healthy power sectorwith a reduction in outstandingliabilities of DISCOMs as evident withthe 46 percent fall in CPSUs dues fromJune’16 to May’17. Power purchase cost,AT&C losses and interest cost haveall started decreasing resulting in 40percent reducing in revenue-cost gapunder this Government. A state-wise analysis shows that Udayis resulting in significant improvementacross profitability and operationalparameters. Of the 27 states and unionterritories that joined the scheme, 23are exhibiting improvement in aggregatetechnical and commercial loss reductionor narrowing of gap between powercosts and revenue. UDAY as a comprehensive reformof the distribution sector saw progress,64 | Energy Next | August 2017
IREDA organizes a Rajbhasha iREDA CORNERConference IREDA’s cumulative loan sanction crosses Rs. 50,000 croresIREDA organized an Official Language on the promotion and progress of Hindi IIREDA’s cumulative loan sanction, Conference on July 13, 2017 at India language in the country. since inception, crossed Rs. 50000Habitat Center, Delhi, where speakers dwelt crores. Cumulative loan sanctions The Chief Guest Prabhas Kumar Jha (IAS), towards clean energy projects, in July, Secretary, Department of Official Language, 2017 is Rs. 51,882 crores with cumulative Home Ministry, while highlighting the disbursements of Rs. 29,900 crores. importance of Hindi, emphasized on the original work being done in Hindi, which IREDA over the last 10 years has has the least dependence on translation. He committed a cumulative loan amount also said that indigenous software should be of around Rs. 40792 crores for the clean developed for easy translation. energy sector. During this period, the loan sanctions and disbursements have K S Popli, CMD, IREDA, during his grown at a CAGR of 32 per cent. address mentioned that we should emulate the examples of countries that are using their mother tongue in education, technology, business and services, etc.IREDA participates in ‘Rising Kashmir 2017’ exhibitionI REDA participated in exhibition by Sansa Foundation at Sher-i-Kashmir and contribution in the renewable energy ‘Rising Kashmir 2017’ held from International Conference Centre, Srinagar sector. The exhibition was inaugurated by July 3 to 6, 2017. It was organized and showcased its achievements, activities Shri Radha Mohan Singh, Union Minister of Agriculture Research and Farmers Welfare, Sudarshan Bhagat, Minister of State for Ministry of Agriculture & Farmer Welfare and Shamsher Singh Manhas, Member of Parliament (Rajya Sabha). Speaking to the media, Shri Radha Mohan Singh appreciated the exhibition and was glad to know about various government schemes and programmes. Singh visited IREDA stall and appreciated its activities. Students and other visitors showed keen interest in IREDA pavilion. On behalf of IREDA, Rohit Gupta, Assistant Public Relation Officer received the Trophy of participation during the award distribution ceremony. August 2017 | Energy Next | 65
EVENTSAug 9th Guangzhou Aug 6th Asia-Pacific Aug EEF Global International Biomass Energy Sustainability 16-18 Solar 16-18 Technology 22 Award 2017 Photovoltaic & Equipment China Import and Exhibition 2017 China Import and Exhibition 2017 Convention Centre- Global Environment Awards Export Fair Complex, Export Fair Complex NDCC, organised by the Energy And Organised by the Guangdong APBE ranks among the Environment Foundation CHINA Grandeur International world’s top three biomass Parliament Street shall recognize outstanding Exhibition Group Preparing trade shows. With 780 New Delhi, India contribution by the individuals, 350 exhibitors with booths, APBE 2017 will team, unit, region / project 20,000sq.m, there will exhibit witness a series of high-end organization and honour photovoltaic cells, PV project meetings, seminars, etc, them for their excellent and system, photovoltaic featuring with worldwide big- contributions, commitment power, photovoltaic production shot experts who will give and actions that have made equipment and material. With us a glimpse of the forefront a positive impact on the support of 300 international of biomass technology. environment. media and 30 CCTV-based Covering over ten countries mass media. and regions.http://www.pvguangzhou.com/index. http://www.apbechina.com/index.php?lang=en http://ee-foundation.org/sustainability.html php?lang=en21-23OAuctg World Renewable 21-23Aug 8th World RE 1Sep RE Investment & Energy Technology Finance Forum NDMC Convention Technology Congress 2017 Centre, New Delhi Congress & Expo Expo & Convention The theme of the conference Hotel Hilton, REIFF focuses heavily on the This event showcases Centre, is “Renewable Energy: What Mumbai latest financing developments products like electricity Works”. It is visualized and for renewable energy in generation tools, energy Manekshaw Centre planned in the backdrop of areas like capital markets, security equipment, power India’s vision on achieving project securitization, funds, transmission machinery, “Energy Independence and green bonds and investment industrial equipment, Power for all by 2022”. The strategies. It will also focus on research tools and WRETC & Expo aims to government policy and the role safety instruments. Risk deliberate upon challenges and of the financial community in management and energy opportunities in Energy sector the growth of renewable energy. trading services, technical, in the wake of volatile energy Attendees include CEOs, senior legal and tax consultancy markets and environmental company officials, lenders, services, banking facilities concerns, the requisite strategies project developers, service and and advisory services are and approach to ensure fullest technology providers, EPC also showcased here. exploitation of potential of RE. players, investors, investment bankers. https://10times.com/wretc http://tradeshows.tradeindia.com/wretc/ http://firstviewgroup.com/reiffindia/index.php/ event-details/conference-agenda1September 2017 Sep Conference on Wind 10-13Sep Solar Power energy and Wildlife International 6-7 impacts Las Vegas, NV Solar Power International is organised by Estoril, Portugal The CWW 2017 aims to maintain and promote the Solar Energy Industries Association the international cooperation among researchers, (SEIA) and the Smart Electric Power developers, regulators and stakeholders that over the Alliance (SEPA). The event will focus on years have contributed to building knowledge on this creating an environment that fosters the topic. Despite significant advances in recent years exchange of ideas, knowledge and expertise in our understanding of the impacts of wind energy for furthering solar energy development on wildlife, challenges remain regarding planning in the United States. The event will offer and policy, assessment of direct and indirect effects superior networking, visibility and value, on wildlife, methodological approaches, technology Solar Energy Trade Shows events are development, and mitigation strategies and their important to any company active in the effectiveness. solar market. http://cww2017.pt/ http://www.solarpowerinternational.com/about/ spi-mission/66 | Energy Next | August 2017
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