Thermal Power Sector of India
Regarding the power sector in India:
- One of the most significant components of the infrastructure, power is crucial to the well-being and growth of the economy at large.
- There must be sufficient electrical infrastructure in place and being created for the Indian economy to grow continuously.
- India has one of the most globally varied electrical sectors.
energy sources:
- From trustworthy traditional sources like coal, lignite, natural gas, oil, hydropower, and nuclear power to reliable non-conventional sources like wind, solar, and household and agricultural waste.
- The Indian electricity sector has undergone a significant shift that has changed the sector’s outlook.
- India’s continued economic growth continues to fuel its need for power.
Problems & Obstacles:
- The country’s annual rise in power consumption in April 2022 was 13.6%, reaching 132.98 billion units (BU).
- A number of factors contribute to low coal reserves at power plants, including increased power demand brought on by the post-COVID-19 economic boom, the early onset of summer, an increase in the price of gas and imported coal, and a sharp decline in electricity production by coastal thermal power plants.
- The decline in coal stock in power plants has two basic factors.
- Due to an increase in the price of coal on the world market as a result of the situation in Ukraine, all plants that were importing coal have either completely stopped generating or are generating at significantly lower levels.
- Making matters worse, production from gas-based plants has decreased as a result of the high gas prices on the international market.
- Reservoirs are also drying up as a result of the intense heat, which will hurt hydropower generation.
- Transportation problems are being experienced by Indian Railways.
Government initiatives:
- The power sector has been identified by the Indian government as a crucial area of concentration in order to promote sustainable industrial growth. The government has implemented the following initiatives to support the Indian electrical industry:
- The government has instructed the power companies to import coal for blending in order to reduce the demand for domestic coal.
- The Indian Railways had to cancel 42 passenger trains in reaction to extensive power outages that were reported by many States in order to facilitate the quicker transfer of coal to power plants.
- The Ministry of Power issued directions to ensure maximum coal output at captive mines, coal rationing to non-power sectors, and a price cap of Rs 12 per unit on electricity traded on exchanges.
- Powerthon-2022 has been introduced in accordance with the goals of the Revamped Distribution Sector Scheme (RDSS) put forth by the Ministry of Power, Government of India.
- In the Union Budget 2022–2023, the government announced the issuing of sovereign green bonds as well as the designation of energy storage technologies, such as grid-scale battery systems, as infrastructure.
- In the Union Budget 2022–2023, the government pledged Rs. 19,500 crore (US$ 2.57 billion) for a PLI scheme to encourage the development of high-efficiency solar modules.
- Increasing amounts of the country are becoming electrified thanks to initiatives like the Integrated Power Development Scheme, Deen Dayal Upadhyay Gram Jyoti Yojana, and Ujwal DISCOM Assurance Yojana (IPDS).
- India launched the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) Scheme to advance energy and water security, de-dieselize the agricultural sector, and boost farmer income through the generation of solar electricity.
Steps to Take:
- The nation’s need for power has increased significantly and is expected to continue to do so in the years to come.
- To meet the nation’s expanding need for power, massive expansions of the installed producing capacity are required.
- Create an enabling ecosystem to make sure that power plants run efficiently.
- By reviewing fuel allocation and supporting the priority dispatch of efficient facilities, India may be able to reduce its need for coal by up to 6% of our annual requirement and conserve more coal for the proverbial “rainy day.”
- Discoms should be provided with the resources they need to effectively manage demand.
- By applying time-of-day pricing and promoting effective consumption habits, peak demand may be decreased and market panic avoided.
- Increase the power of the electrical regulators so they can cut down on discom losses.
- Continuous initiatives like the implementation of smart metres, network improvements, and regulator empowerment are necessary to keep cost recovery as a key indicator and to instil payment discipline throughout the electrical sector’s supply chain.
