rural electrification cooperative model (solar-pv) in madhya pradesh

Rural Electrification Cooperative Model (Solar-PV) in Madhya

Pradesh

Dr. Najib Altawell

[email protected]

Center for Energy, Petroleum and Mineral Law and Policy (CEPMLP)University of Dundee, Dundee DD1 4HN, Scotland, UK

11 December 2011

Rural Electrification Cooperative Model (Solar-PV) in Madhya

Pradesh

Dr. Najib Altawell

[email protected]

Center for Energy, Petroleum and Mineral Law and Policy (CEPMLP)University of Dundee, Dundee DD1 4HN, Scotland, UK

11 December 2011

Agenda

Introduction

Cooperative

Cooperative Model

Conclusion

Agenda

Introduction

Cooperative

Cooperative Model

Conclusion

Image source: World Map Photo http://www.worldmapphotos.com/arab-world-map/

Electrification

The village/Town* 1.Influence of the geographic endowment on the electrification 2.Influence of the State Electricity Boards (SEB)3.Influence of the state’s general development and structure 4.The main grid5.A rural village (higher priority = states that depend on the agriculture sector) 6.Higher cost = large number of villages = longer transmission lines and interconnection 7.Positive effect = irrigation, crop processing and storage are part of the working village environment where electricity demand will be high. 8.The existence of electrification within regions adjacent to a village, electrification of the village would be part of the future electrification by the state

*(Andreas K., 2006)

/


Cooperative

What is a co-operative?

‘A co-operative is a group of people acting together to meet the common needs and aspirations of its members, sharing ownership and making decisions democratically.’*

‘Co-operatives are not about making big profits for shareholders, but creating value for customers – this is what gives co-operatives a

unique character, and influences.’*

*The Cooperative Group http://www.co-operative.coop/corporate/widermovement/


Cooperative

The First Co-operative

The Fenwick Weavers' Society 1761 (Fenwick, East Ayrshire, Scotland)

Consumer Co-operative 1769

High standard of weaving craft

Food and books

The Cooperative Society reconvened March 2008

/


Cooperative

Robert Owen (1771 - 1858)


Cooperative

Cooperative Seven Principles (Rochdale Principles)

Voluntary and Open MembershipDemocratic Member Control

Members’ Economic ParticipationAutonomy and Independence

Education, Training, and InformationCooperation Among Cooperatives

Concern for Community


Cooperative

Rural Electric Cooperative by County, USA*

*Image source: Center for Cooperative http://reic.uwcc.wisc.edu/electric/


Cooperative

Distribution and G&T co-ops combined*

There are 841 distribution and 65 G&T cooperatives serve:

42 million people in 47 states (12% of the nation's population); 18 million businesses, homes, schools, churches, farms and irrigation

systems; $112 billion (distribution and G&T co-ops combined); 42% of the nation’s electric distribution lines; Deliver 10% per year of the

total kilowatt-hours; Employ 70,000 people; Retire $545 million in capital credits annually; Pay $1.4 billion in state and local taxes

*National Rural Electric Cooperative Association http://www.nreca.coop/members/Co-opFacts/Pages/default.aspx


Cooperative

Europe

India

Africa


Energy Cooperative

India

More than 70% of the population of India is located in villages, where lack of electricity and

other essential services hinder the economic and social development*

A village cooperative model, therefore, to provide basic and essential services could be one

of the solutions for the local community*MNES, 2010


Energy Cooperative

Universal Coverage

Electricity supply should be provided on the basis of ‘universal coverage’, i.e. it should be provided for all the local people, with no exception, where the cooperative

power enterprise operate.

A number of households connected via a cooperative enterprise have much higher rate of connection, i.e. four

time more than the connection provided via SEB*

*NRECA, 2002 (SEB=State Electricity Boards)


Energy Cooperative

Solar Plant

There is no other power supply presently available

The village/town model should have the basic infrastructure for present and future economic

development, e.g. a positive outlook for agricultural and/or local industries

Access to main roads

*NRECA, 2002 (SEB=State Electricity Boards)


Energy Cooperative

Memberships

Genuine participation and cooperation = the number of the memberships should be limited

(Not open for unlimited members)

A village or a town of around 5,000 inhabitants can be an ideal for the proposed energy cooperative model

An experimental model should focus on the final possible positive outcome which can be achieved successfully with

limited resources

The whole local population

Energy Cooperative

The Model

Lack of electricity supply The population size

The willingness of the local population to get involved in the management, operation and maintenance

aspectsThe town/village is located within the administered

part of Madhya Pradesh stateRecent data concerning the village/town are presently

available for the project

Energy Cooperative

Successful Cooperative Electrification

The size of the villageAccess to good roadsDistant to distribution network and/or villages nearby

already being supplied with electricityNumber of consumersNumber of established businessesNumber of rural industriesComparison of other similar work done in other

countries to the new locationAvailability of public facilities

Energy Cooperative

Guideline

Local ownershipCommunity participations

Suitable solar model Training

Devising method(s) for revenue collectionTariff agreement with the local authority

Establishing a committee (e.g. development and for major problems)

Energy Cooperative Hatod

District of Mandla (Madhya Pradesh state)

Geographical location is within 22° 48' 0" North, 75° 44' 0" East*

The last census indicated that there are around 9030 inhabitants**

The population of the town comprise of 51% male (4,648) and 49% female (4,382).

16% of the total populations are under the age of 6

*Google Map **India Census, 2001

Energy Cooperative Statistics

The following locations from class I to class VI, in the state of Madhya Pradesh, can be presented as an example, i.e. before deciding on the size of the town/village for the cooperative model*

• Bhind (M) [Population: 153,752, Class - I]

• Ashoknagar (M) [Population: 57,705, Class - II]• Chitrakoot (NP) [Population: 22,279, Class - III]

• Gurh (NP) [Population: 12,450, Class - IV ]• Hatod (NP) [Population: 9,028, Class - V ]

• Sethia (or Sethiya) (CT) [Population: 4,559, Class - VI]

(Census of India, 2001). *(Census of India, 2001)

Energy Cooperative Data

a. The present population growth rate

b. The present electricity demand in India is 530kWh/capita-annum The demand rising at a rate of 4.74% per annum, Hatod would therefore require a generation capacity of 7.9GWh/annum or an average delivered power capability of 900kW

c. System cost (declining)

d. Bank lending interest rate: 4%

a. Section 3 of the Electricity Act 2003 has clearly formulated the National Electricity Policy, Tariff policy and National Electricity Plan including optimal utilization resources including renewable sources of energy. Under this Act the solar electricity feed-in tariff rate for financial year 2010/11 onwards has been set at Indian Rupees 14.95/kWh as opposed to the consumer’s purchase price of Rupees 4/kWh. The ratio of sale/purchase price for the consumer is thus 3.7. This compares more favourably than the latter ratio being 3.0 for the UK

Energy Cooperative Technical Aspects*

*Image source: Redrawn and edited from NASA Science, 2010)

Energy Cooperative

Hatod’s Energy Data*

Estimated power to be consumed = 1.1 MWPeak load = 8 KVNumber of household power connections = 1640Number of commercial power connections = 40Number of Industrial power connection = 14Number of agricultural connection = 12Number of street lights = 28Schools and places of worships = 14

*India Census, 2001

Methodology

StepsListing of all known factors on the ground

Analysing individual factors Compiling all the factors, i.e. hardware,

labour/workforce, experts and energy sources under agreed guidelines/cooperative model

Local entrepreneurs and engineers and other cooperative members will report on the first

operational test of the systemFinal decision on the viability of the work will be made

The modifications needed will be carried out which should lead to an improvised final operational test

Methodology

Methodology

The second test will be the final test, even if the test did not match the expected improvement. This is simply to confirm whether or not

further changes will be needed before the final operational mode has been finally reached

To proceed with the supplying of electricity to the local community and no further steps need to be taking, then this stage will lead to the conclusion of the work. If on the other hand further work will be

needed, then stage 7 will be repeatedThe final stage where the overall activity of the project and the form of a

cooperative model will be part of the daily business activity of the local community

Feed back on the progress of the project will be part of the quarterly report produced by the management responsible for the daily operation of the Solar-PV station to the cooperative executive

committee

Methodology

Importance of loads, cost/prices, human resources, taxations, grants and other

relevant factors under three main headlines

Summary1.Regulations/laws & Environmental/Social

aspects 2. Technical aspects

3. Commercial aspects

Conclusion

Forming cooperative organisations Listing all the factors/cooperative model

Factors are connected to regulations, environment, technical and commercial

level/values

rural electrification cooperative model (solar-pv) in madhya pradesh

Business

cooperative enterprise

cooperative grouphttp

world map photohttp

village cooperative

electrification image

cooperative power enterprise

cooperative society

local population