bhopal conference @ oriental

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THE ROLE OF DISTRIBUTED GENERATION IN INDIAN ELECTRICITY PARADIGM JITENDRA SINGH BHADORIYA 1 ,School of Instrumentation ,DAVV, Indore AASHISH KUMAR BOHRE 2 ,Maulana Azad National Institute of Technology, Bhopal Dr. GANGA AGNIHOTRI 3 , Maulana Azad National Institute of Technology, Bhopal Dr. MANISHA DUBEY 4 , Maulana Azad National Institute of Technology, Bhopal Abstractthis paper is an overview of some of the main issues in distributed generation (DG). It discusses various aspects of DG such as definitions, technologies, distributed power application, economics, environmental performance, reliability issues, the role of DG in the new electricity paradigm of India, and the comparative study of DG in India with respect to some developed country. It also presents some of the challenges that DG systems are confronting today. In this article, some benefits and potential problems of DG systems are brought out, and the current status of DG systems operation is presented. Keywords- Distributed Generation , DG Technologies , Smart Grid . I. INTRODUCTION- The concept of distributed generation, which is now gaining worldwide acceptance, was started in the USA almost a decade ago. The earliest electric power systems were distributed generation (DG) systems intended to cater to the requirements of local areas. Subsequent technology developments driven by economies of scale resulted in the development of large centralized grids connecting up entire regions and countries. The design and operating philosophies of power systems have emerged with a focus on centralized generation. During the last

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Page 1: Bhopal conference @ oriental

THE ROLE OF DISTRIBUTED GENERATION IN INDIAN

ELECTRICITY PARADIGM

JITENDRA SINGH BHADORIYA1

,School of Instrumentation ,DAVV, Indore

AASHISH KUMAR BOHRE2,Maulana Azad National Institute of Technology, Bhopal

Dr. GANGA AGNIHOTRI3, Maulana Azad National Institute of Technology, Bhopal

Dr. MANISHA DUBEY4, Maulana Azad National Institute of Technology, Bhopal

Abstract—this paper is an overview of

some of the main issues in distributed

generation (DG). It discusses various

aspects of DG such as definitions,

technologies, distributed power

application, economics, environmental

performance, reliability issues, the role

of DG in the new electricity paradigm of

India, and the comparative study of DG

in India with respect to some developed

country. It also presents some of the

challenges that DG systems are

confronting today. In this article, some

benefits and potential problems of DG

systems are brought out, and the

current status of DG systems operation

is presented.

Keywords- Distributed Generation , DG

Technologies , Smart Grid .

I. INTRODUCTION-

The concept of distributed generation,

which is now gaining worldwide

acceptance, was started in the USA almost

a decade ago. The earliest electric power

systems were distributed generation (DG)

systems intended to cater to the

requirements of local areas. Subsequent

technology developments driven by

economies of scale resulted in the

development of large centralized grids

connecting up entire regions and countries.

The design and operating philosophies of

power systems have emerged with a focus

on centralized generation. During the last

Page 2: Bhopal conference @ oriental

decade, there has been renewed interest in

DG. The relevance of these options for a

developing country context is examined

using data for India.

New concerns are emerging in the power

industry today. For example, although

hydro power plants are recognized to be

environmentally friendly, it is difficult to

find new sites for hydro power plant

installations in developed countries.

Furthermore, some countries such as

Germany and Sweden have enacted laws

to decommission nuclear power plants,

and under public pressure, retired nuclear

power plants would not be replaced [1].

Additionally, in the deregulated power

sector of today, it is not easy to convince

market players to invest in multibillion

dollar power generation and transmission

projects where the payback period may be

very long [2].These issues, and the

decentralization of power systems and

liberalization of the electricity sector,

along with dramatically growing demand

for electricity in developed countries has

made DG an attractive option that has been

reconsidered by various entities in the new

electricity market such as customers,

power distributors, power producers,

regulators and researchers.

II. DG Definitions

As per Wikipedia collections Distributed

Generation (DG) is also known as on-site

generation, dispersed generation,

embedded generation, decentralized

generation, etc. It varies from country to

country. Over the last century, be it

developed nation or developing nation, on

account of rapid industrialization causing

high rate of growth in the demand for

electricity, everyone resorted to

establishment of large scale centralized

generation facility. IEEE defines the

generation of electricity by facilities

sufficiently smaller than central plants,

usually 10 MW or less, so as to allow

interconnection at nearly any point in the

power system, as Distributed Resources

[2] The plants concerned were based on

use of fossil-fuel (solid, liquid as well as

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gas), hydro, nuclear elements. Due to the

economy of scale with large unit size, it

became possible to have big centralized

power stations near the sources to deliver

power to load centers through the medium

of high voltage transmission lines over a

long distance. From environment point of

view as well due to limitation of natural

resources, it is in fact advantageous too to

have the plants away from populated areas.

Of course like power grid, gas grid has

also been constructed that allows use of

less polluting natural gas-based plants

right at the load center, where it may not

be uncommon to have waste heat recovery

and use combined cycle plant to achieve

higher efficiency and at the same time for

heating in winter days, if the need be. On

the other hand Distributed Generation too

is a method to reckon with, particularly

when unbundling of power sector has

come up with generation, transmission,

and distribution recognized as distinct

entities. Low capital investment, local use

of generated power by the load, absence of

any high voltage transmission system, etc.

lead to flourishing of this type of

decentralized generation. Advancement of

technology with renewable energy sources,

gradual reduction in cost, ease of operation

and maintainability, etc., all go in favor of

Distributed Generation as source of green

power. Also if it is not as replacement to

centralized large generation, it is at least to

supplement the entire effort of generating

capacity addition to a great extent. Further

in the context of absence of right-of way

for drawing new high voltage lines, it is a

boon as it envisages connectivity through

low voltage networks only and that too

over short distance. In UK Distributed

Generation is defined [3] as a generation

plant that is connected to a distribution

network and not to a transmission network.

The US Department of Energy (DOE)

defines DG as follows: “Distributed power

is modular electric generation or storage

located near the point of use. Distributed

systems include biomass-based generators,

combustion turbines, thermal solar power

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and photovoltaic systems, fuel cells, wind

turbines, micro turbines, engines/generator

sets, and storage and control technologies.

Distributed resources can either be grid

connected or independent of the grid.

Those connected to the grid are typically

interfaced at the distribution system” [4].In

a similar tone in USA it is referred to as

small scale generation of electric power by

a unit sited close to the load being served.

Both of these justify terming Distributed

Generation as embedded to distribution

system. However, as per American

Council for an Energy Efficient Economy

for Distribution Power Generation, its is

also known as any technology that

produces power outside of the utility,

which is in fact the case for this type of

generation. Furthermore, in the literature,

terms such as embedded generation,

dispersed generation, distributed energy

resources or DER and decentralized

generation, have also been used in the

context of DG. The term dispersed

generation is usually referred to a

distributed power generation unit

regardless of the technology, and whether

it is connected to the grid or

completely independent of the grid [5] In

India too effectively it means decentralized

small scale generation directly supplying

load and having interconnection at low

voltage with distribution network.

Moreover it is very often in the context of

electrification of rural areas including

remote villages / hamlets. The above

definitions do not specify any criterion or

classification of DG based on their

capacity. Although, there is no generally

accepted rule or standard, the following

ratings are used in different countries and

situations:

1) The DOE considers distributed power

systems to typically range from less than a

kilowatt (kW) to tens of megawatts (MW)

in size as DG unit [4].

2) The Electric Power Research Institute

(EPRI) considers small generation units

from a few kW up to 50 MW and/or

energy storage devices typically sited near

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customer loads or distribution and sub-

transmission substations as distributed

energy resources [6].

3) According to the Gas Research Institute,

typically between 25 kW to 25 MW

generation units are considered as DG [5].

4) Swedish legislation treats generating

units under 1500 kW differently from

those unit capacities higher than 1500 kW.

Then, it can be considered that DG

capacity in Sweden is defined as those

units under 1500 kW [7].

From the above discussion, it is evident

that capacity specification for DG units is

not universally defined. Various

generating schemes under completely

diverse rating, behavior, regulation,

purpose and locations are currently being

considered as DG in the power industry.

III. Indian power sector

India had an installed capacity of 2,

10,951.72 MW (Ministry of Power,) in the

centralized power utilities on 31st

March2012. Of this 140976.18 MW is

accounted for by thermal power plants,

39,339.40MW of large hydro plants and

4,780.00 MW of nuclear, 25,856.14 MW

of renewable energy resources (Shown in

Table 1). The focus of power planning has

been to extend the centralized grid

throughout the country. However the

capacity addition has not been able to keep

pace with the increasing demand for

electricity. This is reflected by the

persistent energy and peak shortages in the

country. This requires an average capacity

addition of more than 10,000MW per year.

Centralized generation alone is unlikely to

meet this target. In this context DG is

likely to be important. DG also has the

advantage of improving tail-end voltages,

reducing distribution losses and improving

system reliability. The present installed

capacity of DG is about 13,000MW

(10,000MW diesel, 3000MW renewable).

The majority of this is accounted for by

diesel engines that are used for back-up

power (in the event of grid failure) and

operate at very low load factors. The share

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of the energy generation from DG is

marginal (about2–3% of the total

generation). Apart from the diesel engines,

the DG options that have been promoted in

India are modern renewable. India is

probably the only country with a separate

Ministry of Non-conventional Energy

Sources (MNES). The renewable energy

installed capacity was 205.5MW in 1993

(104.6MW small hydro, 39.9MW Wind).

This increased to 2978 MW in 2001 (as on

31st March2001) and accounted for almost

3% of India’s installed power capacity

(MNES, 2001; Annual Reports MNES,

2000, 2001, 2002). The growth rate of

installed renewable power capacity during

the period 1993–2001 was 39% per year.

During the period January 2000–April

2001the installed capacity increased from

1600MW to 2978MW (an annual growth

rate of 49%).. The major contributors are

small hydro 25MW which accounts for

1341MW (45%) and wind which accounts

for 1267MW (42%). The installed capacity

in Biomass based power generation is

308MW (10.3%), with most of it coming

from biogases based cogeneration. Most of

the installed capacity available from

renewable is accounted for by grid

connected systems (wind, small hydro and

biomass cogeneration). These accounts for

about 3% of India’s installed capacity

contribute to about 1–2% of the total

generation (due to low capacity factors on

renewable). The growth rate has been

significant (above 30% per year). This has

been facilitated by an enabling policy

environment and a supportive government.

Despite the emphasis on extending the

centralized grid to the rural areas, 78

million rural households (Ministry of

Power, 2003b) or 56.5% of rural

households are still un electrified. The

recently passed Electricity Act (2003) has

made it a statutory obligation to supply

electricity to all areas including villages

and hamlets. The act suggests a two

pronged approach encompassing grid

extension and through standalone systems.

The act provides for enabling mechanisms

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for service providers in rural areas and

exempts them from licensing obligations.

MNES has been given the responsibility of

electrification of 18,000 remote villages

through renewable. The ministry has set up

an ambitious target of meeting 10% of the

power requirements of India from

renewable by 2012. In most cases, the

areas to be electrified do not have

sufficient paying capacity.. The main

recommendations of the Committee are as

under :-

1. The concept of Distributed

Generation (D.G.) has been taken

as decentralized generation and

distribution of power especially in

the rural areas. In India, the

deregulation of the power sector

has not made much headway but

the problem of T&D losses, the

unreliability of the grid and the

problem of remote and inaccessible

regions have provoked the debate

on the subject.

2. The D.G. technologies in India

relate to turbines, micro turbines,

wind turbines, biomass, and

gasification of biomass, solar

photovoltaics and hybrid systems.

However, most of the decentralized

plants are based on wind power,

hydra power and biomass and

biomass gasification. The

technology of solar photovoltaic is

costly and fuel cells are yet to be

commercialized.

3. In so far as the 18,000 villages in

remote and inaccessible areas are

concerned, the extension of grid

power is not going to be

economical. Decentralized plants

based on biomass, gasification of

biomass, hydro power and solar

thermal power and solar

photovoltaic are the appropriate

solution for these areas. A decision

with regard to the available options

will have to be taken depending on

the feature of each site/village.

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4. As regards the remaining un

electrified villages, the

responsibility should rest primarily

with the State Governments. The

Govt. of India would, however, act

as the facilitator to them.

5. As people in many of the electrified

villages are very much dissatisfied

with the quality of grid power, such

villages also encouraged to go

ahead with the Distributed

Generation Schemes. These should

also be the responsibility of the

State Governments.

6. Though India has made

considerable progress in adopting

technologies based on renewable

sources of energy these are not yet

capable of commercial application

on a large scale.

Most systems are subsidized by the

Government or the utility. The

power sector has significant losses

and needs to ensure that the DG

systems selected are likely to be

cost-effective. For a large and

dispersed rural country,

decentralized power generation

systems, where in electricity is

generated at consumer end and

thereby avoiding transmission and

distribution costs, offers a better

solution. Gokak Committee had

gone into details about the concept

of decentralized generation to meet

the needs of rural masses

IV. DG TECHNOLOGIES &

CHALLENGES IN INDIAN

SCENERIO

DG technologies are usually categorized as

renewable or non-renewable technologies

(shown in table 2). Renewable

technologies comprise solar either thermal

or photovoltaic, wind, geothermal or

ocean. Usually the location and size of

wind power generators is suitable for

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connecting to the distribution network;

therefore it can be considered as DG.

However, electricity generation from wind

usually takes place in wind farms, owned

by large power generation companies;

hence these types of generation are usually

excluded from DG in the literature and for

the same reasons are also not considered

here. The internal combustion engines

(ICE), combined cycles,

combustion turbines, micro turbines and

fuel cells are all examples of non-

renewable DG technologies. Among all

available technologies, combustion engines

and turbines, micro turbines,

fuel cells and photovoltaic play an

important role in DG applications [1]. The

Government of India set up a Commission

for Additional Sources of Energy in the

Department of Science and Technology on

the lines of the Space Commission and the

Atomic Energy Commission to promote R

& D activities in the area. In 1982, a

separate department of Non Conventional

Energy Sources was created in the Smalls

try of Energy. After a decade, the

department was elevated and converted

into a full-fledged Smalls try. The

mounting burden of subsidy has also lead

to the introduction of the new legislation

referred to above. There are a number of

technologies for distributed generation, the

details

of which are given below:

i. The Internal Combustion Engine.

ii. Biomass

iii. Turbines

iv. Micro-turbines

v. Wind Turbines

vi. Concentrating Solar Power (CSP)

vii. Photovoltaics

viii. Fuel Cells

ix. Small-Hydro plant.

The Internal Combustion Engine: The

most important instrument of the D. G

systems around the world has been the

Internal Combustion Engine. Hotels, tall

buildings, hospitals, all over the world use

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diesels as a backup. Though the diesel

engine is efficient, starts up relatively

quickly, it is not environment friendly and

has high O & M costs. Consequently its

use in the developed world is limited. In

India, the diesel engine is used very widely

on account of the immediate need for

power, especially in rural areas, without

much concern either for long-term

economics or for environment.

i. Biomass: Biomass refers to

renewable energy resources

derived from organic matter,

such as forest residues,

agricultural crops and wastes,

wood, wood wastes that are

capable of being converted to

energy. This was the only form

of energy that was usefully

exploited till recently. The

extraction of energy from

biomass is split into three

distinct categories, solid

biomass, biogas, and liquid bio

fuels. Solid biomass includes

the use of trees, crop residues,

household or industrial residues

for direct combustion to provide

heat. Animal and human waste

is also included in the definition

for the sakes of convenience. It

undergoes physical processing

such as cutting and chipping,

but retains its solid form.

Biogas is obtained by an

aerobically digesting organic

material to produce the

combustible gas methane There

are two common technologies,

one of fermentation of human

and animal waste in specially

designed digesters, the other of

capturing methane from

municipal waste landfill sites.

Liquid bio fuels, which are used

in place of petroleum derived

liquid fuels, are obtained by

processing plants seeds or fruits

of different types like

sugarcane, oilseeds or nuts

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using various chemical or

physical processes to produce a

combustible liquid fuel.

Pressing or fermentation is used

to produce oils or ethanol from

industrial or commercial

residues such as biogases or

from energy crops grown

specifically for this purpose.

ii. Turbines: Turbines are a

commercialized power

technology with sizes ranging

between hundreds of kilowatts

to several hundred megawatts.

These are designed to burn a

wide range of liquid and

gaseous fuels and are capable of

duel fuel operation. Turbines

used in distributed generation

Vary in size between 1-30 MW and their

operating efficiency is in the range of 24-

35%. Their ability to adjust output to

demand and produce high quality waste

heat makes them a popular choice in

combined heat and power applications.

iii. Micro-turbines: Micro

turbines are installed

commercially in many

applications, especially in

landfills where the quality of

natural gas is low. These are

rugged and long lasting and

hold promise for Distributed

Generation in India.

iv. Wind-turbines: Wind turbines

extract energy from moving air

and enable an electric generator

to produce electricity. These

comprise the rotor (blade), the

electrical generator, a speed

control system and a tower.

These can be used in a

distributed generation in a

hybrid mode with solar or other

technologies. Research on

adaptation of wind turbines for

remote and stand-alone

applications is receiving

increasingly greater attention

and hybrid power systems using

Page 12: Bhopal conference @ oriental

1-50-kilowatt (kW) wind

turbines are being developed for

generating electricity off the

grid system. Wind turbines are

also being used as grid

connected distributed resources.

Wind turbines are commercially

available in a variety of sizes

and power ratings ranging from

one kW to over one MW. These

typically require a Smallmum

9-mph average wind speed

sites.

v. Concentrating Solar Power:

Various mirror configurations

are used to concentrate the heat

of the sun to generate electricity

for a variety of market

applications that range from

remote power applications of up

to 1- 2kW to grid connected

applications of 200MW or

more. R & D efforts in the area

of distributed generation

applications are focused on

small,modular, and dish/ design

systems.

vi. Photovoltaics: Photovoltaic

power cells are solid state semi

conductor devices that convert

sunlight into direct current

electrical power and the amount

of power generated is directly

related to the intensity of the

light PV systems are most

commonly used for standalone

applications and are

commercially available with

capacities ranging between one

kW to one MW. The systems

are commonly used in India and

can contribute a great deal for

rural areas, especially remote

and inaccessible areas. It can be

of great help in grid connected

applications where the quality

of power provided by the grid is

low. This is yet to be proved.

High initial cost is a major

constraint to large-scale

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application of SPV systems.

R&D work has been undertaken

for cost reduction in SPV cells,

modules, and systems besides

improvements in operational

efficiency.

vii. Fuel Cells: Fuel cells produce

direct current electricity using

an electromechanical process

similar to battery as a result of

which combustion and the

associated environmental side

effects are avoided. Natural gas

or coal gas is cleaned in a fuel

cell and converted to a

hydrogen rich fuel by a

processor or internal catalyst.

The gas and the air then flow

over an anode and a cathode

separated by an electrolyte and

thereby produces a constant

supply of DC electricity, which

is converted to high quality AC

power by a power conditioner.

Fuel cells are combined into

stacks whose sizes can be

varied (from one kW for mobile

applications to 100MW plants

to add to base load capacity to

utility plants) to meet customer

needs.

viii. Biomass Based Schemes: This

can be considered under three

distinct heads, National Project

on Biogas Development,

National Programmed on Bio-

Mass Power/Cogeneration and

Bio-Mass Gasified

Programmer. The gas is piped

for use as cooking and lighting

fuel in especially designed

stoves and lamps respectively

and can also be used for

replacing diesel oil in fuel

engines for generation of

motive power and electricity.

The Floating Gas Holder Type,

that is India or KVIC model and

Fixed Dome Type which is

made of brick masonry

Page 14: Bhopal conference @ oriental

structure i.e. Deenabandhu

model are among the

indigenous designs of biogas

plants. A Bag Type Portable

Digester made of rubberized

nylon fabric, suitable for remote

and hilly areas, is being

promoted. The recently

developed methodology of on

sight construction of

Deenabandhu model with Ferro

cement, which costs about 10 to

15% less as compared to the

model constructed with bricks

and cement, is getting popular

in the Southern States.

The National Project on Biogas

Development was started in 1981-

82.About 33.68 lac families have been

benefited upto March 2002. The

Community and Institutional Biogas

Plants Programme was initiated in

1992-93. In order to achieve recycling

the cattle dung available in the villages

and institutions for the benefit of the

weaker sections as well. Biogas is

generally used for motive power and

generation of electricity under the

programme in addition to meet the

cooking fuel requirement. A total of

3,901 plants, including 600 night soil

based Biogas plants had been installed

up to March 2002.

National Programme on Biomass

Power/Cogeneration: The

Government of India has initiated a

National Programme on Biomass

Power/Cogeneration. It aims at

optimum utilization of a variety of

biomass materials such as agro-

residues, agro-industrial residues, and

forestry based residues and dedicated

energy plantations for power

generation through the adoption of

latest conversion technologies. These

include combustion, incineration,

pyrolysis, gasification etc. using gas

turbine, steam turbine, dual fuel engine,

gas engine or a combination there of

either for power generation alone or

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cogeneration of more than one energy

National Biomass Gasifier Programme:

Biomass gasification is the process by

which solid biomass materials are broken

down using heat to produce a combustible

gas, known as the producer gas. Common

feedstocks for combustion include wood,

charcoal, rice husks and coconut shells.

The producer gas can be used directly in a

burner to provide process heat or it can be

used in IC engines, but it requires cleaning

and cooling for the latter application. It can

also be used as a substitute for diesel oil in

duel fuel engines for mechanical and

electrical applications

Encouragement to technologies such as

biomass briquetting and gasification for

various applications in rural and urban

areas, and R and D on Biomass Production

and Gasification, are the important

objectives of the programme. Biomass

gasifier systems of up to 500 kW capacity

based on fuel wood have been

indigenously developed and being

manufactured in the country. Technology

for producing biomass briquettes from

agricultural residues and forest litter at

both household and industry levels has

been developed. A total capacity of 51.3

MW has so far been installed, mainl for

stand-alone applications.

ix. Wind Energy: The programme

was initiated in the year 1983-

84. A market-oriented strategy

has been adopted right from the

beginning and hence

commercial development of the

technology has been

successfully achieved.

Scientific assessment of wind

resources throughout the

country and a series of other

systematic steps have facilitated

the emergence of a cost

effective technology. The wind

power potential of the country

was initially assessed at 20000

MW and reassessed at 45000

MW subsequently assuming 1%

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of land availability for wind

power generation in potential

areas. The technical potential

has been assessed at 13000MW

assuming 20% grid penetration,

which will go up with the

augmentation of grid capacity

in potential States. The Centre

for wind energy technology (C-

WET) is coordinating the Wind

Resource Assessment

Programme with the States and

Nodal Agencies. Wind diesel

projects are being taken up in

Island regions and remote areas

which are dependent on costly

diesel for power generation

.Two machines of 50 kW

capacity each have been

installed in the first phase of the

project at Sagar Islands in West

Bengal. Similar projects are

being considered for

Lakshadweep and Andaman

and Nicobar Islands.

Solar Power Programme: The solar

power programme comprises Solar

Photovoltaic Power Programme and Solar

Thermal Power Programmes.

Under the Solar Photovoltaic

Programme:, 27 grid interactive SPV

projects have been installed, with an

aggregate capacity of 2.0 MW in Andhra

Pradesh, Chandigarh, Karnataka, Punjab,

Kerala, Lakshadweep, Madhya Pradesh,

Maharashtra, Rajasthan, Tamil Nadu, and

Uttar Pradesh. These are meant for voltage

support applications in remote sections of

weak grids, peak shaving applications in

public buildings in urban centers and for

saving diesel use in islands. These are

expected to generate and feed over 2.6

million units of electricity annually to the

respective grids. In addition, ten projects of

900 kW capacity, are under different stages

of implementation. The solar photovoltaic

systems can be used for a variety of

applications, such as rural

telecommunications, battery charging, road

and railway signaling which are non

Page 17: Bhopal conference @ oriental

subsidized. Only 3 MW out of the total

aggregate capacity of 96 MW (9,80,000

systems) is used by the power plants. In so

far as rural areas are concerned.

However, the technology is not yet ripe for

being considered for DG application in

India, as it is very expensive, and has not

yet been commercially tried on a large

scale even in the U. S.A.

The technologies referred to above are

applied under various schemes for

generation of electricity from renewable

sources of energy in the country. A bird’s

eye view of the schemes would give a good

insight into the status of Distributed

Generation based on renewable sources of

energy.

V. Benefits of distributed generation

Use of distributed generation is one of the

many strategies electric utilities are

considering to operate their systems in the

deregulated environment. Several DG

technologies are showing promise for this

application. Inclusion of DG at the

distribution level results in several

benefits, among which are congestion

relief, loss reduction, voltage support, peak

shaving, and an overall improvement of

energy efficiency, reliability, and power

quality[16]. The benefits obtained by the

introduction of DG should be weighed

against the costs involved before deciding

on the use

of DG(shown in Table 3). As DG

technologies improve and cost decrease,

their use is expected to rise

Installing small-scale distributed DGs

instead of an aggregated large-scale DG

can improve the system reliability indices,

depending on the locations of DGs, the

number of customers and the sizes of the

loads. The index improves if the DGs are

located closer to the end of line. However,

the reliability indices improve the most

when the aggregated DG is placed at the

end of the line [17].

• Most of the benefits of employing DG in

existing distribution networks have both

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economic and technical implications and

they are interrelated.

The major technical benefits are:

• reduced line losses.

• Voltage profile improvement.

• reduced emissions of pollutants.

• increased overall energy efficiency.

• enhanced system reliability and security.

• improved power quality.

• relieved T&D congestion.

� The major economic benefits are:

• deferred investments for upgrades of

facilities.

• reduced O&M costs of some DG

technologies.

• enhanced productivity.

• reduced health care costs due to improved

environment.

• reduced fuel costs due to increased

overall efficiency.

• reduced reserve requirements and the

associated costs.

• lower operating costs due to peak

shaving.

• increased security for critical loads.

� . Compared to traditional

centralized generation, DG

possesses advantages as follows

[18].

• Reducing the transmission and

distribution costs, thus reducing energy

loss.

• Providing black start capability and

spinning reserves, thus improving power

reliability.

• Providing improved security of supply.

•Enabling development of sustainable and

green electricity thus reducing

environmental resources used by central

generation Easy and quicker installation on

account of prefabricated standardized

components.

• Lowering of cost by avoiding long

distance high voltage transmission

• Environment friendly where renewable

sources are used .

• Running cost more or less constant over

the period of time with the use of

renewable sources .

• Possibility of user-operator participation

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due to lesser complexity more

dependability with simple construction,

and consequent easy operation and

maintenance [19].

VI. Distributed Power Application

Distributed power technologies are

typically installed for one or more of the

following purposes:

(i)Overall load reduction – Use of energy

efficiency and other energy saving

measures for reducing total consumption of

electricity, sometimes with supplemental

power generation.

(ii) Independence from the grid – Power is

generated locally to meet all local energy

needs by ensuring reliable and quality

power under two different models.

a. Grid Connected – Grid power is used

only as a back up during failure of

maintenance of the onsite generator.

b. Off grid – This is in the nature of stand-

alone power generation. In order to attain

self-sufficiency it usually includes energy

saving approaches and an energy storage

device for back-up power. This includes

most village power applications in

developing countries.

(iii) Supplemental Power- Under this

model, power generated by the grid is

augmented with distributed generation for

the following reasons: -

a. Standby Power- Under this arrangement

power availability is assured during grid

outages.

b. Peak shaving – Under this model the

power that is locally generated is used fro

reducing the demand for grid electricity

during the peak periods to avoid the peak

demand charges imposed on big electricity

users.

(iv) Net energy sales – Individual

homeowners and entrepreneurs can

generate more electricity than they need

and sell their surplus to the grid. Co-

generation could fall into this category.

(v) Combined heat and power - Under this

model waste heat from a power generator

is captured and used in manufacturing

process for space heating, water heating

etc. in order to enhance the efficiency of

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fuel utilization.

(vi) Grid support – Power companies resort

to distributed generation for a wide variety

of reasons. The emphasis is on meeting

higher peak loads without having to invest

in infrastructure (line and sub-station

upgrades).

Most of the early adopters of distributed

power wanted to stay connected to the grid,

which they used either as a backup or for

selling their surplus power to the power

companies[ 17 ]

VII. CONCLUSION

India is on right track to pursue

development of Distributed Generation

with the unbundling of power sector

utilizing captive and co-generation, besides

putting all out effort in harnessing various

forms of new and renewable energy.

Collective participation of industries,

private entrepreneurs, giant Corporations

hitherto engaged in conventional power

development is the essence of such

venture. Liberalization of Government

policy vis-à-vis support as well as

regulatory mechanism in place is helping

to create conducive atmosphere to achieve

target set in this direction.

IX. REFERENCES :

[1] A. M. Borbely and J. F. Kreider,

Distributed Generation The Power

Paradigm for the New

Millennium. CRC Press, 2001.

[2] “P1547 standard series for

interconnecting distributed resources with

electric power systems,” IEEE, 1547 Work

Group, Tech. Rep., 2003.

[3] Suresh Agrawal, “Distributed

Generation using Renewable Sources of

Energy – an Ideal Option for Remote

Village Electrification”, Proc. International

Himalayan Small Hydropower Summit,

Dehradun, India, Oct 12-13, 2006, pp. 114-

121.

[4] The US Department of Energy, Office

of Distributed Energy Resources, online

publications available at:

http://www.eere.energy.gov/der/, 2003

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[5] T. Ackerman, G. Anderson, and L.

Soder, “Distributed generation: a

definition,” Electric Power System

Research, vol. 57, pp. 195–204, 2001.

[6] The Electric Power Research Institute,

online publications available at:

http://www.epri.com/, 2002.

[7] B. M. Balmat and A. M. Dicaprio,

“Electricity market regulations and their

impact on distributed generation,” in Proc.

Conf. on Electric Utility Deregulation and

Restructuring and Power Technologies

(DRPT 2000), London, 2000, pp. 608–613.

[8] Rodrigo “Dissertation on Renewable

Energy Sources” dec 22 ,2012 in The

Write Pass Journal.

[9]Ministry of Power, 2003a. Annual

Report 2002–2003, Government of India,

New Delhi.

[10]Ministry of Power, 2003b. Discussion

Paper on Rural Electrification Policies,

November 2003, Government of India,

New Delhi.

[11]Ministry of Non Conventional Energy

Sources, 2001. Renewable Energy in India,

Business Opportunities, Government of

India, March2001.

[12]Ministry of Non Conventional Energy

Sources, 2002. Wind power development

in India: Towards global leadership; New

Delhi, October 2002.

[13]Ministry of Non Conventional Energy

Sources, Annual Reports, New Delhi,

1993, 2000, 2001, 2002.

[14]Ministry of Power, 2001. Blueprint for

Power Sector Development,

[15]Government of India, New Delhi;

available at powermin.nic.in. ASCENT,

1998. Status of Biomass Gasification

Technology, India, October 1998;

http://www.bgtechnologies.net/ankur.htm.

[16]P. Chiradeja “Benefit of Distributed

Generation: A Line Loss

Reduction Analysis”2005 IEEE/PES

Transmission and Distribution Conference

& Exhibition: Asia and Pacific Dalian,

China

[17] S.Rahman,M.Pipattanasomporn

“Reliability Benefits of Distributed

Generation as a Backup Source” 2009

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IEEE

[18] Q. Kejun , Z.Chengake “ Analysis of

the Environmental Benefits of Distributed

Generation “2008 IEEE

[19] S.Mukhopadhyay,B.Singh

“Distributed Generation - Basic Policy,

Perspective Planning, and Achievement so

far in India” 2009 IEEE

[20 ] H.D.Mathur “Enhancement of Power

System Quality using Distributed

Generation” 2010 IEEE Conference on

power and energy (PECcon2010) nov29-

dec1 2010 Kuala Lumpur Malaysia

BIOGRAPHIES—

Jitendra Singh Bhadoriya,

Jitendra Singh Bhadoriya was born in

Distt. Bhopal , India, in 1989. He received

BE degree (2011) from UIT- RGPV

Bhopal in electrical engineering , and at the

moment he is an M-Tech (instrumentation)

scholar at SCHOOL OF

INSTRUMENTATION, Devi Ahilya

University (DAVV) , lndore, India. Email:

[email protected]

Aashish Kumar Bohre,

Aashish Kumar Bohre was born in Distt.

Hoshangabad, India, in 1984. He received

BE degree (2009) from UIT- RGPV

Bhopal, and M-Tech degree (Power

System) in 2011 from MANIT, Bhopal. At

the moment he is PhD. scholar at MANIT,

Bhopal, India. Email:

[email protected]

Dr. Ganga Agnihotri,

Dr. Ganga Agnihotri received BE degree

in Electrical engineering from MACT,

Bhopal (1972), the ME degree (1974) and

PhD degree (1989) from University of

Roorkee, India. Since 1976 she is with

Maulana Azad College of Technology,

Bhopal in various positions. Currently she

is professor. Her research interest includes

Power System Analysis, Power System

Optimization and Distribution Operation.

Page 23: Bhopal conference @ oriental

Dr. Manisha Dubey

Dr. Manisha Dubey was born in Jabalpur

in India on 15th December 1968. She

received her B.E (Electrical), M.Tech.

(Power Systems) and Ph.D (Electrical

Engg.) in 1990, 1997 and 2006

respectively. She is working as Professor at

the Department of Electrical Engineering,

National Institute of

Page 24: Bhopal conference @ oriental