Ministry of Power

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The Ministry of Power started functioning independently with effect from 2nd July, 1992. Earlier it was known as the Ministry of Energy sources. Electricity is a concurrent subject at Entry 38 in List III of the seventh Schedule of the Constitution of India. The Ministry of Power is primarily responsible for the development of electrical energy in the country. The Ministry is concerned with perspective planning, policy formulation, processing of projects for investment decision, monitoring of the implementation of power projects, training and manpower development and the administration and enactment of legislation in regard to thermal, hydro power generation, transmission and distribution. The Ministry of Power is responsible for the Administration of the Electricity Act, 2003, the Energy Conservation Act , 2001 and to undertake such amendments to these Acts, as may be necessary from time to time, in conformity with the Government’s policy objectives.

  • GENERATIONThe Overall generation (including generation from grid connected renewable sources) in the country has been increased from 1173.458 BU during 2014-15 to 1173.603 BU during the year 2015-16 and 1242.010 BU during 2016-17. The performance of Category wise generation during the year 2016-17 was follows :-

    Thermal Increased by       5.34 %
    Hydro Reduced by            0.82 %
    Nuclear Increased by       1.34 %
    Bhutan Import  Increased by       7.11 %

    Renewables Increased by   24.46 %

    Overall Growth rate recorded by  5.83 %

  • TRANSMISSION

Electricity sector in India is growing at rapid pace. During the current year 2017-18 (Upto 31.05.2017), the Peak Demand is about 159.6 GW and the Installed Capacity is 330.3 GW with generation mix of Thermal (67.1%), Hydro (13.5%), Renewable (17.3%) and Nuclear (2.1%).

The natural resources for electricity generation in India are unevenly dispersed and concentrated in a few pockets. Hydro resources are located in the Himalayan foothills, North Eastern Region (NER).  Coal reserves are concentrated in Jharkhand, Odisha, West Bengal, Chhattisgarh, parts of Madhya Pradesh, whereas lignite is located in Tamil Nadu and Gujarat. Also lot of power station, generating from Gas and renewable energy sources like Solar, Wind etc. have been installed in various parts of country.

Powergrid Corporation of India Limited (POWERGRID), a Central Transmission Utilities (CTU), is responsible for planning inter-state transmission system (ISTS). Similarly there are State Transmission Utilities (STU) (namely State Transco/ SEBs) responsible for the development of Intra StateTransmission System.

An extensive network of Transmission lines has been developed over the years for evacuating power produced by different electricity generating stations and distributing the same to the consumers. Depending upon the quantum of power and the distance involved, lines of appropriate voltages are laid. The nominal Extra High Voltage lines in vogue are ± 800 kV HVDC & 765kV, 400 kV, 230/220 kV, 110 kV and 66kV AC lines. These have been installed by all the SEBs, and by Generation, Transmission & Distribution utilities including those in Central Sector.

4,027 circuit kilometers (ckm) of transmission lines have been commissioned during 2017-18 (April-May 2017). This is 17.4% of the annual target of 23,086 ckm fixed for 2017-18. Similarly, 9,170 MVA of transformation capacity of substations has been added during 2017-18 (April-May 2017) which constitutes17% of the annual target of 53,978 MVA fixed for 2017-18.

The capacity of transmission system of 220 kV and above voltage levels, in the country as on 31st May 2017 was 3,71,878 ckm of transmission lines and  7,49,935 MVA of transformation capacity of Substations.

As on 31st May 2017, the total transmission capacity of the inter-regional links is 75,050 MW.

The transmission lines are operated in accordance with Regulations/standards of Central Electricity Authority (CEA) / Central Electricity Regulatory Commission (CERC) / State Electricity Regulatory Commissions(SERC).However, in certain cases, the loading on transmission lines may have to be restricted keeping in view the voltage stability, angular stability, loop flows, load flow pattern and grid security.Power surplus States have been inter-alia, able to supply their surplus power to power deficit State Utilities across the country except for some congestion in supply of power to Southern Region.

Power System Operation Corporation Limited (POSOCO), is managing the National and Regional grid from National Load Despatch Centre (NLDC) and its five Regional Load DespatchCentres (RLDC) through state-of-the-art unified load dispatch &communication facilities.

Central Transmission Utility(CTU): Power Grid Corporation of India Limited (POWERGRID)

Power Grid Corporation of India Limited (POWERGRID, the ‘Central Transmission Utility (CTU)’ of the country and a ‘Navratna’ Company operating under Ministry of Power, is engaged in power transmission business with the responsibility for planning, implementation, operation and maintenance of Inter-State Transmission System (ISTS). POWERGRID is a listed Company, with 57.90% holding of Government of India and balance by Institutional Investors & public.

POWERGRID, as on April 30, 2017, owns & operates around 1,39,708 ckm of Extra High Voltage (EHV) transmission lines spread over the length and breadth of the country and 220 EHV AC & HVDC Sub-stations with transformation capacity of more than 2,92,543 MVA. Its vast transmission network wheels more than 45% of the power in the country. The availability of this huge transmission network is consistently maintained over 99% through deployment of state-of-the-art operation & maintenance techniques at par with global standards.

During FY 2015-16, POWERGRID has achieved a turnover of about Rs. 21,281 Crore and Net Profit of Rs.6,027 Crore. As on 31.12.2016 Gross Fixed Assets of the company have also grown to Rs.1,65,757 Crore.

High Capacity Power Transmission Corridors (HCPTCs) have been implemented to meet bulk power evacuation requirement of various Independent Power Producers (IPPs) mainly coming up in resource rich and coastal areas such as Chhattisgarh, Odisha, Madhya Pradesh, Sikkim, Jharkhand, Tamil Nadu and Andhra Pradesh. Implementation of these corridors has been taken up in a phased manner matching with generation projects.

The total inter-regional transmission capacity (220kV and above) of country has been enhanced from 27,150 MW to 75,050 MW from XIth to XIIth plan. This endeavour of POWERGRID under the guidance of Ministry of Power has enabled in moderation of the prices of electricity in Northern Region and ensured reliable supply of electricity.

POWERGRID has achieved a capital investment of about Rs.1,12,600 crore for development of inter-State transmission system during XII Plan against a target of Rs.1,10,000 Crore. During the XII plan it has added about 45,900 ckm of transmission line and about 1,64,000 MVA of transformation capacity against a target of 40,000 ckm and 1,00,000 MVA respectively.

The Company has an excellent credit rating with financial institutions, thereby, is placed in a comfortable position in terms of resource mobilization. POWERGRID is also playing a major role in facilitating grid interconnection of renewable generation across the country through implementation of portion of ISTS part of Green Energy Corridors.

Conserving Right-of-Way (RoW), minimizing impact on natural resources, coordinated development of cost effective transmission corridor, flexibility in upgradation of transfer capacity of lines matching with power transfer requirement are major areas of concern in development of transmission network in the country. In this direction, the Company has been working on higher transmission voltages of ±800 kV HVDC & 1200 kV UHVAC. 1500 MW (Pole-I) of HVDC terminals at both ends of about 1350 km long ±800 kV, 6000 MW HVDC Bi-pole line connecting Champa in Chhattisgarh to Kurukshetra in Haryana has been commissioned recently. Similarly, power flow through 1200 kV National Test Station (NTS) has commenced at Bina, Madhya Pradesh.

To shore up its revenue and create value for its stakeholders, POWERGRID diversified into telecom business, leveraging its country wide transmission infrastructure. Company is providing back-bone connectivity to all metros, major cities & towns including remote areas of J&K and North-Eastern States etc. Total network coverage is more than 39,662 kms and numbers of Points of Presence (PoPs) locations are more than 662. Having Intra city network in 105 cities across India, the Telecom Backbone Availability for the year 2015-16 was about 99.5%.

POWERGRID has successfully completed the prestigious NKN (National Knowledge Network) project devised by Govt. of India, which connects all knowledge centres across the Country such as Indian Institutes of Technology (IITs), Indian Institute of Sciences (IISCs) etc., on a high speed connectivity Company has signed an agreement with Bharat Sanchar Nigam Limited (BSNL) to improve the telecommunication connectivity with the North-Eastern States including Sikkim. It envisages the provisioning of bandwidth on optical fibre media laid over existing high tension electric transmission network. After completion of the proposed connectivity, the reliability of the telecom services improves substantially in North-Eastern region including Sikkim.

As a part of Government of India plan to connect 250,000 Gram Panchayats (GP) in the Country, POWERGRID one of the implementing agencies for BharatNet project and has been entrusted with the task of development and maintenance of the National Optical Fibre Network in states, namely Andhra Pradesh, Telangana, Himachal Pradesh, Jharkhand and Odisha.

Further, POWERGRID is playing a significant role in carrying forward the distribution reforms through undertaking Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY) and Integrated Power Development Scheme (IPDS) works on behalf of the Govt. of India in the country.

POWERGRID has emerged as a strong player in South Asia and is playing an active role in formation of a strong SAARC grid for effective utilization of resources for mutual benefits. Presently, various electrical interconnections exist between India & Bhutan, India & Nepal and India & Bangladesh. Further, the interconnection between India & Bhutan, India & Nepal and India & Bangladesh are being strengthened for substantial exchange of power across the borders.

POWERGRID is offering consultancy services to various National clients & International clients, including many South Asian, African, and Middle East countries.

POWERGRID is implementing the prestigious and State of the Art, Renewable Energy Management Centres (REMC) for managing the renewable generation integration and operation which shall include a host of activities from renewable energy forecasting to energy balancing and generation scheduling. In Smart transmission, POWERGRID has been implementing Synchrophasor Technology in its Wide Area Measurement System (WAMS) Project through installation of PMUs (Phasor Measurement Units) at different locations in all regions across the country, which facilitates better visualization and situational awareness of the grid events such as grid robustness, oscillations, angle/ voltage instability, system margin etc. as well as decision support tools. POWERGRID also acts as ‘nodal point’ in prestigious “India Smart Grid Task Force” Secretariat for Government’s activities related to Smart Grid.

  • DISTRIBUTION

Distribution is the most important link in the entire power sector value chain.  As the only interface between utilities and consumers, it is the cash register for the entire sector. Under the Indian Constitution, power is a Concurrent subject and the responsibility for distribution and supply of power to rural and urban consumers rests with the states.

Government of India provides assistance to states through various Central Sector / centrally sponsored schemes for improving the distribution sector.

Integrated Power Development Scheme (IPDS)

Scheme approved on 20.11.2014 with a total outlay of Rs 32,612 crore which includes a budgetary support of Rs 25,354 crore from Govt. of India. The objectives of scheme are:

  • Strengthening of sub-transmission and distribution networks in the urban areas;
  • Metering of distribution transformers / feeders / consumers in the urban area.
  • IT enablement of distribution sector and strengthening of distribution network

The component of IT enablement of distribution sector and strengthening of distribution network approved in June, 2013 in the form of RAPDRP for 12th and 13th Plans got subsumed in this scheme and approved scheme outlay of Rs 44,011 crore including a budgetary support of Rs 22,727 crore carried over to the new scheme of IPDS.

Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY)

Scheme approved on 20.11.2014 with a total outlay of Rs 44,033 crore which includes a budgetary support of Rs 33,453 crore from Govt. of India. The objectives of scheme are:

  • Separation of agriculture and non-agriculture feeders
  • Strengthening of sub-transmission and distribution networks in the rural areas;
  • Metering of distribution transformers / feeders / consumers in the rural area.
  • Rural Electrification

The component of Rural Electrification approved in August, 2013 in the form of RGGVY for 12th and 13th Plans got subsumed in this scheme and approved scheme cost of Rs 39275 crore including a budgetary support of Rs 35447crore carried over to the new scheme of DDUGJY.

National Electricity Fund (NEF)

To promote investment in the distribution sector, GoI has set up National Electricity Fund (Interest Subsidy Scheme) in March 2012 to provide interest subsidy on loans disbursed to the Distribution Companies (DISCOMS) – both in public and private sector, to improve the distribution network for areas not covered by RGGVY and R-APDRP project areas. The preconditions for eligibility are linked to certain reform measures taken by the States and the amount of interest subsidy is linked to the progress achieved in reforms linked parameters.

Financial Restructuring Scheme

GoI has notified the scheme for Financial Restructuring of State Distribution Companies (Discoms) in October 2012 for achieving their financial turnaround by restructuring their short term liabilities with support through a Transitional Finance Mechanism from Central govt.