SUMMER INTERNSHIP REPORT
IMPLEMENTATION OF DECENTRALISED
DISTRIBUTED GENERATION
IN BIHAR
UNDER THE GUIDANCE OF
Mrs. Manju Mam, Deputy Director, CAMPS, NPTI
&
Mr. S.Baskaran, Assistant Vice President, IL&FS
Energy
At
IL&FS Energy Development Company Limited
Submitted by MANISH PANDEY
ROLL NO: 1120812228
MBA (POWER MANAGEMENT)
(Under the Ministry of Power, Govt. of India)
Affiliated to
MAHARSHI DAYANAND UNIVERSITY, ROHTAK
AUGUST 2012
DECLARATION
I, Manish Pandey, Roll No.1120812228, class 2011-13 of the National Power Training Institute, hereby
declare that the Summer Training Report entitled “Implementation of Decentralised Distributed
Generation in Bihar” is an original work and the same has not been submitted to any other institute
for the award of any other degree.
A seminar presentation of the Training Report was made on 31th August, 2012 and the suggestions
approved by the faculty were duly incorporated.
Presentation In charge
Signature of the Candidate
(Faculty)
Countersigned
Director/Principal of the Institute
ii
CERTIFICATE
iii
ACKNOWLEDGEMENT
It’s been immense pleasure to me while presenting my first report in Power Sector. The creation of this
report is based on the support of many individuals. I would like to take this opportunity to thank all of
them. Before expressing my thanks to these individuals, I would like to submit my gratitude and respect
to the Almighty for all his blessings.
I express my sincere gratitude towards my industry guide Mr. S. Baskaran, Assistant Vice President,
IL&FS Energy Development Company Ltd., for his able guidance, continuous support and cooperation
throughout my project.
I also extend my special thanks to Mr. Sharad Mishra, Mr. Ankesh Desai and Mr. Dinesh Kundal of the
company, for their keen interest as well as constant support & help in the successful completion of this
report.
I am also indebted to our Program Director Mr S K Choudhary, Director NPTI, Mr J.S.S. Rao, my
project guide Ms Manju Mam for their support and guidance throughout this project. Their continuous
support both in technical and moral terms led me to pave the way through the challenges faced during
the arduous course of this task.
(Manish Pandey)
iv
EXECUTIVE SUMMARY
Following report is the outcome of 10 weeks of internship in IL&FS Energy Development Company
Ltd, Patna. During that period IL&FS Energy was acting as a consultant to BSHPCL (Bihar State
Hydro Electric Power Corporation Ltd), Patna on the Implementation of Decentralised Distributed
Generation. I was assigned to oversee Implementation of the Decentralised Distribution Generation
including preparation of the RFQ (Request for Quotation).
Per Capita consumption of Electricity in Bihar is just 122.11 units against the National Per Capita
Consumption of 778.71 units (source: Economic Survey 2012). Only 16.4 per cent of Bihar's 1.89 crore
families or households have the luxury to light up their residences with electricity (Source: Census of
India 2011). According to the report, in Bihar, kerosene is the main source of lighting for 82.4 per cent
of its 10.5 crore population.
In order to provide access and steady supply of energy to this large section of the society, the GOI
initiated the Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY). The scheme aimed to accelerate
the pace of rural electrification in the country and has focused mainly on the development and
extension of the centralised grid system for rural areas. This, however, was not feasible or cost effective
to connect every village to the grid.
So in January 2009 the Ministry of Power, GOI government launched Decentralised Distributed
Generation programme which was initiated as an alternative and a supplement to the traditional
centralised generation of electricity supplied by large scale power stations. This programme is to be
implemented in remote villages where connectivity to the grid is not feasible or cost effective.
In this report, we have discussed various activities and steps involved in the implementation of the
project at Kaimur (Bhabua) and Gopalganj in the Indian state of Bihar. In the 1st phase, 48 villages have
been identified in these two districts. Subsequently, in the 2nd phase around 772 villages have been
short listed from all other districts of Bihar.
v
In the report following activities related to the execution of the DDG project in the state of Bihar are
explained:

Identification of villages / hamlets

Selection of technology

Financing of projects and administering of funds

Project approval and implementation procedure

Institutional framework and facilitation support

Project appraisal components

Monitoring and evaluation
We believe that Decentralised Distributed Generation will be championed as both an alternative and
supplement to the traditional centralised generation of electricity by large-scale power stations. Besides,
there are following key benefits that DDG can potentially offer:

Low carbon generation – many of the technologies utilise renewable sources of energy

Increased security/reliability of supply – reduces the reliance upon electricity supplied by the
national grid

Cost saving – certain micro-generation technologies claim to be comparative or lower cost than the
current grid mix

Reduced electricity transportation losses – since the electricity will typically be transported over
shorter distances

Increased public involvement in climate change mitigation
Consequently, a broader outlook towards rural electrification would spawn inclusive and sustainable
growth of rural India. We believe that the Decentralised Distributed Generation will not just electrify
villages, but also energise villages.
vi
TABLE OF CONTENT
DECLARATION ........................................................................................................................................ ii
CERTIFICATE ......................................................................................................................................... iii
ACKNOWLEDGEMENT .......................................................................................................................... iv
EXECUTIVE SUMMARY ...........................................................................................................................v
TABLE OF CONTENT ............................................................................................................................ vii
LIST OF TABLES ..................................................................................................................................... ix
LIST OF FIGURES .................................................................................................................................. ix
ABBREVIATIONS ......................................................................................................................................x
CHAPTER 1 .................................................................................................................................1
1.1
1.2
INTRODUCTION .......................................................................................................................... 1
ABOUT THE ORGANISATION .................................................................................................... 3
CHAPTER 2 .................................................................................................................................6
2.1
2.1.1
2.1.2
2.2
2.3
ABOUT THE PROJECT ................................................................................................................ 6
OBJECTIVE OF THE PROJECT ...........................................................................................................6
SCOPE OF THE PROJECT ....................................................................................................................6
REVIEW OF LITERATURE .......................................................................................................... 6
REASERCH METHEDOLOGY:.................................................................................................. 10
CHAPTER 3 ...............................................................................................................................12
3.1
3.2
3.3
3.4
POWER SCENARIO IN BIHAR .................................................................................................. 12
ABOUT RAJIV GANDHI GRAMEEN VIDYUTIKARAN YOJANA (RGGVY) ............................ 14
ABOUT DECENTRALISED DISTRIBUTED GENERTATION (DDG) ...................................... 15
IMPLEMENTATION OF DDG IN BIHAR ................................................................................. 16
3.4.1 IDENTIFICATION OF VILLAGES / HAMLETS.............................................................................. 19
3.4.2 PREPARATION OF DPR .................................................................................................................... 20
3.4.3 INFORMATION TO BE COVERED IN DETAILED PROJECT REPORT ...................................... 21
3.4.4 SELECTION OF TECHNOLOGY ...................................................................................................... 22
3.4.5 REVIEW & APPROVAL OF DPR ..................................................................................................... 25
3.4.6 FEASIBILITY REPORT FOR THE CLUSTERING OF VILLAGES ................................................ 26
3.4.7 REASONS FOR PACKAGING OF VILLAGES ................................................................................ 29
3.4.8 PREPARATION OF BID DOCUMENT ............................................................................................. 30
3.4.9 IMPORTANT CLAUSES IN THE TENDER DOCUMENT .............................................................. 31
3.4.9.1
SCOPE OF THE PROPOSAL..................................................................................................... 31
vii
3.4.9.2
COST OF BIDDING DOCUMENT............................................................................................ 31
3.4.9.3
BID GUARANTEE ..................................................................................................................... 32
3.4.9.4
QUALIFYING REQUIREMENTS OF BIDDERS ..................................................................... 32
3.4.9.5
BID PRICE .................................................................................................................................. 33
3.4.9.6
COMPARISON OF BIDS ........................................................................................................... 34
3.4.9.7
CONTRACT PRICE ADJUSTMENT ........................................................................................ 35
3.4.9.8
CONTRACT PERFORMANCE GUARANTEE ........................................................................ 37
3.4.9.9
TIME SCHEDULE ...................................................................................................................... 38
3.4.9.10 LIQUIDATED DAMAGES ........................................................................................................ 38
3.4.9.11 TERMS OF PAYMENT.............................................................................................................. 39
3.4.9.12 GUARANTEE ............................................................................................................................. 41
3.4.9.13 INSURANCE .............................................................................................................................. 42
3.4.9.14 OPERATIONS & MAINTENANCE CONDITIONS ................................................................. 42
3.4.9.15 FORMATION OF VILLAGE ENERGY COMMITEE .............................................................. 43
3.4.9.16 TRAINING AND DEPLOYMENT OF THE MANPOWER ..................................................... 44
3.4.9.17 FEED STOCK DELIVERY ........................................................................................................ 44
3.4.9.18 LAND FOR CONTRACTOR's OFFICE, STORE, WORKSHOP ETC. .................................... 45
3.4.10
IMPORTANT CLAUSES IN THE TECHNICAL SPECIFICATION ........................................... 46
3.4.10.1 DESCRIPTION OF PROJECT COMPONENTS ....................................................................... 46
3.4.10.2 BIOMASS BASED POWER PLANT EQUIPMENT ................................................................. 46
3.4.10.3 SOLAR PHOTOVOLTAIC POWER PLANT EQUIPMENT.................................................... 50
3.4.10.4 POWER DISTRIBUTION SYSTEM .......................................................................................... 54
3.4.10.5 OPERATION & MAINTENANCE ............................................................................................ 67
3.4.11
DETAILS COVERED IN PRICE BID ........................................................................................... 70
3.5
QUALITY MONITORING MECHANISM ................................................................................... 75
CHAPTER 4 ...............................................................................................................................77
4.1
4.2
4.2.1
RISKS & MITIGATIONS ............................................................................................................. 77
WHAT ARE THE POTENTIAL BENEFITS OF DDG? .............................................................. 79
CONCLUSION .................................................................................................................................... 80
GLOSSARY .............................................................................................................................................. 81
BIBLIOGRAPHY ..................................................................................................................................... 83
viii
LIST OF TABLES
Table 1: Services offered by IL&FS
3
Table 2: Process for Implementation of the DDG
11
Table 3: Existing Power Stations
12
Table 4: Packages in Gopalganj District
17
Table 5: Packages in Kaimur District
18
Table 6: Ranking among various DDG Options
24
LIST OF FIGURES
Figure 1:Technology Decision Tool
23
ix
ABBREVIATIONS
AT&C
Aggregate technical and commercial
BPL
Below Poverty Line
BREDA
Bihar Renewable Energy Development Agency
BSHPC
Bihar State Hydro Power Corporation
CDM
Clean Development Mechanism
CEA
Central Electricity Authority
CERC
Central Electricity Regulatory Commission
CFL
Compact Fluorescent Lamp
DDG
Decentralized Distributed Generation
DoE
Department of Energy
DPR
Detailed Project Report
EA 03
Electricity Act 2003
GoI
Government of India
ISG
Implementation Support Group
LT
Low tension
MoP
Ministry of Power
NEP
National Electricity Policy
NQM
National Quality Monitors
PIA
Project Implementing Agency
QTP
Qualified third party
R-APDRP
REC
Restructured-Accelerated Power Development and Reforms
Program
Rural Electrification Corporation Limited
RQM
REC Quality Monitors
RGGVY
Rajiv Gandhi Grameen Vidyutikaran Yojana
RPO
Renewable Portfolio Obligation
SEB
State electricity board
SERCs
State electricity regulatory commissions
SHP
Small hydro power
T&D
Transmission & Distribution
x
CHAPTER 1
1.1
INTRODUCTION
In spite of several policy initiatives taken by the Government of India (GoI) and Government of Bihar,
83.2 (source: Census 2011) percent of households still do not have access to electricity. In many areas,
despite grid availability, households have chosen not to connect, frequently because of the insufficient
and unreliable supply of electricity. With the demand for power outstripping its availability (for
example, peak shortages of 29.8 percent and energy shortages of 21.3 percent in 2011-12, source:
Central Electricity Authority), rural areas face major challenges of very low per capita consumption and
inadequate power supply (most rural areas receive only a few hours of supply per day) made worse by
poor quality of service.
Electrification is a significant step towards poverty alleviation, income generation, health, and other
developmental objectives. Electrification has a major impact on rural society by bringing in higher
productivity through electrical machinery, higher number of productive hours in the day through
electric lighting and better access to affordable education, health, and entertainment. It enhances the
quality of life of the rural populace and holds out hope for a better future.
The country’s central and state governments have attempted to improve the accessibility, availability,
and quality of electricity, especially in rural areas. Through the Rajiv Gandhi Grameen Vidyutikaran
Yojana (RGGVY) launched in April 2005, the GoI has envisioned electrifying all villages, providing
access to all rural households and free connections to all to below-poverty-line (BPL) families by 2010.
In 2009, the Ministry of Power (MoP) also launched the Decentralized Distributed Generation (DDG)
Program under RGGVY, offering substantial capital and operating incentives to off-grid distribution
generation projects in villages without grid connections.
DDG can be based on either conventional or renewable sources and is usually implemented in remote
villages where connectivity to the grid is not feasible or cost effective. DDG enables electricity
generation at the local level using locally available resources ensuring reduced dependence on external
resources.
1
Local distribution networks or micro-grids are set up over a cluster of villages and powered by a local
generating plant which may be based on conventional fuels such as diesel, natural gas, fuel oil or on
renewable energy such as wind energy, solar energy, hydro power, and biomass. DDG systems also
have a definite positive impact on the rural economy as:

New jobs are created due to its establishment of generating units.

Biomass based DDG units enable the farmer to reduce electricity expenses by selling the biomass to
the DDG unit.

Benefits that come with electrification such as higher productivity, etc..
Under the DDG scheme Government of India is offering a capital subsidy of Rs 540 crore which aims
at electrifying about 1.15 lakh unelectrified villages and 2.34 crore BPL (Below Poverty Line)
households.
2
1.2
ABOUT THE ORGANISATION
About IL&FS Group
Infrastructure Leasing & Financial Services Limited (IL&FS) is one of India's leading infrastructure
development and finance companies. IL&FS was incorporated in 1987 and commenced operation in
1988. IL&FS was promoted by the Central Bank of India (CBI), Housing Development Finance
Corporation Limited (HDFC) and Unit Trust of India (UTI). Over the years, IL&FS has broad-based its
shareholding and inducted Institutional shareholders including State Bank of India, Life Insurance
Corporation of India, ORIX Corporation - Japan and Abu Dhabi Investment Authority.
Infrastructure Leasing & Financial Services Ltd. (IL&FS) performs the vital task of structuring
infrastructure projects on a PPP framework and taking them to fruition. IL&FS was specifically
mandated to implement Infrastructure projects on a commercial format leveraging budgetary
allocations. Over the last few years, IL&FS has been actively engaged in creating and developing the
frameworks to enable such commercialization and has emerged as a pioneer and a leader in this field.
Services Offered By IL&FS
The IL&FS Group has developed the requisite capabilities to take infrastructure projects from concept
to commissioning. The organization has developed a pool of institutionalized resources and functional
expertise in various areas. These areas include project management, project engineering, finance, risk
management and environmental-social management, all of which are strategic to the infrastructure
development activity:
Infrastructure Services
Financial Services
 Project Development
 Project Finance
 Project Implementation
 Investment Banking
 Cluster Development
 Private Equity
 Environment and Social
 Trust & Fiduciary
 Education
 Auto Infrastructure
 Technology
 Depository, Custodian and Professional
 Logistics and Fleet Management
Clearing Services
 Facility Management
Table 1: Services offered by IL&FS
3
IL&FS Energy Development Company Limited (IEDCL)
IEDCL, a subsidiary of IL&FS Limited is uniquely placed with a pan India presence for the
development of power projects from both Conventional and Non-Conventional Energy sources. It
provides a gamut of services in the Power sector from Concept to Commissioning. IL&FS has been
extensively engaged in the development of the power sector in India for over a decade. The company
works closely with several state governments, public and private utilities as well as private sector
developers for developing generation, transmission and distribution projects on a Public-PrivatePartnership basis. IL&FS has also been actively assisting Government of India in formulating policies
for facilitating private sector participation in development of power sector including renewable energy
initiatives
IL&FS is presently involved in developing over 8000 MW of generation capacity and 5000 circuit kms
of transmission line with a total investment of over Rs. 450 billion. Its role play in these initiatives
extends to project feasibilities, development of private participation framework, competitive bidding
for selection of private developer as well as structuring and finalization of key project contracts. In the
area of hydropower, IL&FS works on the philosophy of overall river valley development.
IL&FS has over the time built in house expertise in various facets of project development such as
technical, legal, regulatory, environmental and financial etc, essential to ensure optimal structuring of
the projects.
IEDCL is currently associated with power projects aggregating to approximately 10,000 MW under
various stages of implementation. Its current scope of work exists in following entities:
 Bihar State Electricity Board
 East Godavari Power Plant
 Indo Nepal Transmission Lines
 Karimnagar Thermal Power Project
 Krishnapatnam Thermal Power Project
 Nuclear Power Corporation of India Limited
4
 ONGC Tripura Power Project
 Thermal Power Project in Tamil Nadu
 Waste to Energy Projects
Some of the major projects under implementation under the flagship of IEDCL are as follows:
a. Generation – Conventional

4,000 MW Imported Coal based Supercritical Thermal Power Project in Tamil Nadu

1,600 MW Coal based Supercritical Thermal Power Project in Andhra Pradesh along with
APGENCO

726.6 MW Gas based Combined Cycle Power Project in Tripura along with ONGC
b. Generation – Non-Conventional

45 MW Tipang Hydro Electric Project

24 MW Passo-Dissing Hydro Electric Project

80 MW Bagasse base Cogeneration projects in Maharashtra
c. Advisory Mandate

3 x 1320 MW Coal based Thermal Power Project for Bihar State Electricity Board

2 x 250 MW Coal based Thermal Power Project at Barauni for Bihar State Electricity Board

Appointment of Distribution Franchisee in four towns (Patna, Gaya. Muzaffarpur & Bhagalpur)
for Bihar State Electricity Board

Power Procurement through Case 1 (Long - term & Medium – term) for Bihar State Electricity
Board

Appointment of Distribution Franchisee in three towns (Ranchi, Dhanbad & Jamshedpur) for
Jharkhand State Electricity Board

1320 MW Coal based Thermal power Project for the Union Territory of Daman & Diu and
Dadra & Nagar Haveli

Development of various Hydro Power Projects in the state of Uttarakhand
d. Transmission Projects :

680 Kms of 400 KV Transmission line in North Eastern Region

400 KV Indo – Nepal Transmission link
5
CHAPTER 2
2.1
ABOUT THE PROJECT
2.1.1 OBJECTIVE OF THE PROJECT
The objective of the Project Report is:

To electrify the un-electrified villages of Bihar.

To promote the use of the locally available sources of energy for the generation of
electricity.

To increase in the diversity of the energy sources. The increasing diversity helps insulate
the economy from price shocks, interruptions, and fuel shortages.

To bring change in the village life by improving indoor air quality, health, and by
freeing large amounts of human time and labor.
2.1.2 SCOPE OF THE PROJECT
The scope of the project is as follows:

The scope of this report is limited to the implementation of Decentralised Distributed
Generation in Bihar.
2.2
REVIEW OF LITERATURE
Dugan, R.C.; McDermott, T.E. (Mar/Apr 2002) in the journal “Distributed generation” stated that the
emphasis of this article is on distributed generators that are interconnected to with utility distribution
systems. These will generally be units smaller than 10 MW. Larger units are generally connected
directly to transmission facilities and will most likely be commercial power producers. The units
installed on distribution systems will typically be no larger than 1 or 2 MW. These would be installed
mostly by the utility itself or by end users. This method of generation is commonly referred to as
"distributed generation" (DG)
Guerrero, J.M.; Blaabjerg, F.; Zhelev, T.; Hemmes, K.; Monmasson, E.; Jemei, S.; Comech, M.P.;
Granadino, R.; Frau, J.I. (March 2010) in the journal “Distributed Generation: Toward a New Energy
Paradigm” stated that distributed generation is emerging as a new paradigm to produce on-site highly
6
reliable and good quality electrical power. Thus, the DG systems are presented as a suitable form to
offer highly reliable electrical power supply. The concept is particularly interesting when different
kinds of energy resources are available, such as photovoltaic (PV) panels, fuel cells (FCs), or wind
turbines.
Ramakumar, R.: Chiradeja, P. (July 2012) in the journal “Distributed generation and renewable energy
systems” stated that the impending deregulated environment facing the electric utilities in the twenty
first century is both a challenge and an opportunity for a variety of technologies and operating
scenarios. This paper discusses the primary factors leading to increasing interest in distributed
generation (DG) in recent years. After enumerating the promising DG technologies, the role of
renewable energy systems in DG is examined in detail. The renewable energy systems considered will
include wind-power, photovoltaic systems (PV), and systems utilizing biomass in various forms,
including fuel cells. General benefits of employing DG are succinctly outlined, followed by a
discussion of the specific advantages and disadvantages of the different renewable energy technologies
considered. An approach to quantify some of the benefits of DG is proposed and applied to specific
examples. The results are discussed and suggestions are made for using this approach to identify the
best locations and ratings for DG installations.
Ma Yiwei; Yang Ping; Guo Hongxia; Zeng Jun (June 2011) in the journal “Development of distributed
generation system based on various renewable energy resources” stated that in promotion of the new
energy policy, the large-scale expansion of constructions of the wind and solar power is developing in
China, whose random high-power electric energy fluctuation causes huge shock to the power grid.
Confronting this important problem of the power system safe operation, it is really top urgent to build a
feasible solution to develop the large-scale new energy. Therefore, the paper raises a distributed
generation system (DGS) based on various renewable energy resources, adopting a small-sized
combined generation equipments of unit capacity 100 kW max with wind, solar and biogas energies,
and super capacitor and battery storage devices, which builds and installs near to the local loads center
to supply it optimally in stable and safe, high reliability and less feeder loss mode. The operation
performance of the demonstration project shows: the DGS based on various renewable energy
resources is an effective and feasible approach for its large-scale and efficient utilization purpose
because of its particular distribution characteristics, direct power supply to the local loads and its little
influence to the grid.
7
Dugan, R.C.; McDermott, T.E.; Ball, G.J. (Mar/Apr 2001) in the journal “Planning for distributed
generation” stated that Distributed generation (DG) can be incorporated into distribution planning as an
option along with traditional feeder and substation options. In place of rigid capacity planning rules, the
planning process needs to incorporate more detailed simulations of capacity constraints and customer
damage costs because utilities now assume more risk. Planning tools need to simulate load variations,
contingencies, dispatch and control action to more accurately determine the capacity limits and related
costs. This is especially important when considering DG because the sitting and dispatch have an
important impact on the benefits to the utility. Equally important is the evaluation of economic risk
given uncertainties such as load growth. Because of the added complexities associated with these
analysis techniques, the planning process must incorporate appropriate screening tools to determine the
depth of analysis needed for particular projects, thereby making more efficient use of already scarce
planning resources.
Naderi, E.; Seifi, H.; Sepasian, M.S. (July 2012) in the journals “A Dynamic Approach for Distribution
System Planning Considering Distributed Generation” stated that Deregulation in the power system
industry and invention of new technologies for producing electrical energy have led to innovations in
distribution system planning (DSP). Distributed generation (DG) is one of the most attractive
technologies that bring different kinds of advantages to a wide range of entities, engaged in power
systems. In this paper, a new model for considering DGs in the DSP problem is presented. In this
model, an optimal power flow (OPF) is proposed to minimize capital costs for network upgrading,
operation and maintenance costs, and the cost of losses for handling the load growth for the planning
horizon. The term “dynamic” is used to refer to the planning over a specific period so that dynamic
distribution system planning is, in fact, proposed. Besides, a modified genetic algorithm is used to find
the optimal topology solution. The effectiveness of this method is demonstrated through examination
on a radial distribution network.
Chiradeja, P. (2005) in the journal “Benefit of Distributed Generation: A Line Loss Reduction
Analysis” stated that the impending deregulated environment facing the electric utilities in the twenty
first century is both a challenge and an opportunity for a variety of technologies and operating
scenarios. The need to provide acceptable power quality and reliability will create a very favorable
climate for the entry of distributed resources and innovative operating practices. Of all the different
parts of an electric power system, customers identify closely with the distribution subsystem due to its
proximity and visibility on a daily basis. Several recent developments have encouraged the entry of
8
power generation and energy storage at the distribution level. Distributed resources (DR) are a term that
encompasses both distributed generation (DG) and distributed energy storage (DS). A distributed utility
will use both distributed resources and load management to achieve its goal. In addition, several
compact distributed generation technologies are fast becoming economically viable. Integration of DG
into an existing utility can result in several benefits. These benefits include line loss reduction, reduced
environmental impacts, peak shaving, increased overall energy efficiency, relieved transmission and
distribution congestion, voltage support, and deferred investments to upgrade existing generation,
transmission, and distribution systems. Benefits are not limited to utility. Customers also benefit from
DG in term of better quality of supply at lower cost. Among the many benefits of distributed generation
is a reduced line loss. The purpose of this paper is to quantify this benefit for the simple case of a radial
distribution feeder with concentrated load and distributed generator. With the introduction of DG, line
loss reduction can be expected. The analysis is presented for varying locations of the distributed
generator along the feeder and for varying output capacities. The results are presented in graphical form
in terms of clearly-defined normalized parameters
2.2.1
MNRE REPORT ON ENVIRONMENTAL ASPECTS ON RENEWABLE ENERGY
ENVIRONMENT IMPACT ANALYSIS (EIA) AND ENVIRONMENT CLEARANCE
The requirement of EIA studies is not needed in some renewable energy projects such as wind power.
However, in some cases it is required. It was suggested that the requirement for renewable energy
technologies should be simplified and, if needed, amendments in the existing rules may need to be
taken up with the concerned authorities/departments. The EIA requirement for RE projects was stated
to be as given below:
1.
Biomass Projects upto 15 MW are exempted from EIA.
2.
MSW (Municipal Solid Waste) Projects upto 15 MW are exempted from EIA.
3.
Waste heat recovery boiler is exempted for any capacity.
4.
SPV is exempted upto a plant size of 50 hectares.
5.
EIA requirement for Solar thermal projects is under considerations with MoEF.
6.
SHP is exempted upto a capacity of 25 MW. But they have to approach state pollution
control board for clearance under Air and Water Act.
7.
No EIA for wind is required as per present rules.
9
2.3
REASERCH METHEDOLOGY:
Research as a process involves defining and redefining problems, hypothesis, formulation organizing
and evaluating data deriving, deductions, interference an conclusions, after careful testing.
While working in this project, we had come across several situations were research methodology had
played a very important role in the implementation of the Decentralised Distributed Generation in the
state of Bihar.
RESEARCH DESIGN
In this research the following method of collecting data was followed
Data Source
:
Primary
Research Approach
:
Survey
Research Instrument :
Questionnaire
Contact Method
Personal & Conversation
:
DATA ANALYSIS AND INTERPRETATION:
Data related to all the below mentioned processes were analyzed. The basis on which a particular
village/ technology/ project developers were selected are explained in further part of the report.
10
PROCESS INVOLVED IN THE IMPLEMENTATION OF THE DDG:
Identification of
the Villages
Preparation of DPR
Selection of
Technology
Preparation of Bid
Document
Packaging of
Villages
Feasibility of
Clustering of
Villages
Invitation of Bids
Shortlist /
selection of Project
Developers
Award &
Implementation of
Project
Table 2: Process for Implementation of the DDG
11
CHAPTER 3
3.1
POWER SCENARIO IN BIHAR
Installed Capacity of Bihar
The present installed capacity of Bihar is 586.1MW comprising 46.1 MW Hydro and 540 MW thermal.
The Kosi Hydel Power Station could not attain designed generation and is now being operated with
derated capacity. The Hydel station needs major rehabilitation and modernization efforts. There is no
generation from thermal power stations in the state sector at present. All thermal units are under shut
down due to refurbishment/deteriorated condition.
Name of Power Station
Installed Capacity
Agency
Kosi (4 X 4.8 MW)
19.2
BSHPC
Sone E&W Canal (2 X 1.65+ 4
9.9
BSHPC
East Gandak Canal(3x5)
15
BSHPC
Agnoor
1
BSHPC
Dhelabagh
1
BSHPC
Hydro
X 1.65)
Total
46.1
Thermal
Barauni (2x50+2x110)
320
BSEB
Muzaffarpur (2x110)
220
BSEB
Total
540
Table 3: Existing Power Stations
Power Supply Position in Bihar
Power situation in Bihar is grim-with a total installed capacity of 586.1 MW (comprising 540 MW
from Thermal and 46.1 NW from Hydro). The general level of development is low and there is a
shortage of basic infrastructure. During the year 2011-12, Bihar faced energy and peak power shortages
of 21.3% and 29.8%, respectively. Per Capita consumption of Electricity in Bihar is just 122.11 units
12
against the National Per Capita Consumption of 778.71 units (source: Economic Survey 2012). Only
16.4 per cent of Bihar's 1.89 crore families or households have the luxury to light up their residences
with electricity (Source: Census of India 2011). In addition, there is a lack of awareness about various
renewable energy resources, available technologies, and systems/ devices/and programs. Bihar needs
urgent attempts to expand its power generation capacity and improvements in existing facilities
(Barauni and Muzaffarpur). There has been no capacity addition for last two decades. It had far
reaching implications for economic growth performance of the State.
The reasons for unsatisfactory performance and poor financial health of the Power Sector in Bihar are:

One of the reasons for the poor financial performance of BSEB is implicit in Aggregate
Technical & Commercial (AT&C) Losses, which are very high in comparison to other states. In
a study regarding ranking in power sector conducted by Ministry of Power, Govt. of India,
Bihar is at 27th position. The AT&C losses are estimated to be more than 40% for the last three
years.

High manpower levels/overstaffing not commensurate with energy generated and number of
consumers;

State is lagging behind in the area of new generation capacity addition;

Low rural household electrification;

Less than 50% revenue of the cost incurred. The gap between ARR and ACS is about Rs. 2.00 /
kWh.;

High interest cost and non-receipt of subsidy from Govt. has resulted in large cash losses;

State has made very limited attempts to curb the theft of power;

Consumer Metering - The action is yet to be taken for consumer metering by the BSEB;

Agricultural Sector:-In Bihar the agricultural consumption/sales in million KWh was 28% of the
total sales. The level of cross subsidization in Bihar for agricultural consumers is sizeable.
13
3.2
ABOUT RAJIV GANDHI GRAMEEN VIDYUTIKARAN YOJANA
(RGGVY)
RGGVY means Rajiv Gandhi Grameen Vidyutikaran Yojana. It was launched in April 2005. Under
the programme, 90% grant is provided by Govt. of India and 10% as loan by Rural Electrification
Corporation (REC) to the State Governments. Rural Electrification Corporation (REC) is the nodal
agency for the programme.
It aims at:
a. Electrifying all villages and habitations as per new definition
b. Providing access to electricity to all rural households
c. Providing electricity Connection to Below Poverty Line (BPL) families free of charge
This programme of Ministry of Power (MoP) intends to accelerate the pace of rural electrification
in the country. The scheme has focused mainly on the development and extension of the centralised
grid system for rural areas.
The scheme aims at electrification of over 1 lakh un-electrified villages and providing
electricity connections to 2.34 crore rural households. The estimated cost of the scheme is
approximately Rs. 51,000 crore. Habitations above 100 populations are being covered under the
scheme. Cumulatively till FY10, works in 190,858 villages have been completed and free
connections to over 10 million below poverty line (BPL) households have been released.
Implementation Methodology and conditions under RGGVY:
a. Deployment of franchisee for the management of rural distribution for better consumer
service and reduction in losses
b. Undertaking by States of electricity with minimum daily supply of 6-8 hours of electricity in
the RGGVY network.
c. Making provision of requisite subsidy by the state.
d. Three tier Quality Monitoring Mechanism for schemes made mandatory.
e. Web based monitoring of progress.
f. Release of funds linked to the achievement of pre-determined milestones.
g. Notification of the Rural Electricity Plans by the State Government.
14
3.3
ABOUT DECENTRALISED DISTRIBUTED GENERTATION (DDG)
1. Decentralized Distributed Generation (DDG) under Rajiv Gandhi Grameen Vidyutikaran Yojana
has the goal of providing access to electricity to all households, electrification of about 1.15 lakh
un-electrified villages and electricity connections to 2.34 crore BPL households by 2009. The
Ministry of Power, Government of India had accorded permission for capital subsidy of Rs.540
crore for DDG scheme out of total capital subsidy of Rs. 28000 crore available for RGGVY in XI
Plan period.
2. Decentralized Distributed Generation can be from conventional or renewable sources such as
Biomass, Biofuels, Biogas, Mini Hydro, Solar etc. for villages where grid connectivity is either not
feasible or not cost effective.
3. Rural Electrification Corporation (REC) is the Nodal Agency for the scheme. The capital subsidy
for eligible projects under the scheme would be given through REC. In the event, the projects are
not implemented satisfactorily in accordance with the conditionality of this order; the capital
subsidy would be converted into interest bearing loans.
4. The DDG projects would be owned by State Government. Implementing agencies of the projects
shall be either the State Renewable Energy Development Agencies (SREDAs) / departments
promoting renewable energy or State Utilities or the identified CPSUs. The State Governments will
decide the implementing agency for their respective states.
5. The projects under the scheme will be subject to Quality Monitoring Mechanism.
15
3.4
IMPLEMENTATION OF DDG IN BIHAR
1.
Villages identified under DDG scheme:
a.
Remote Villages:
624
b.
LWE Villages
196
2.
Project Sanctioned & Under Implementation:
48 nos.
3.
DPR submitted:
65 nos.
4.
Survey Work in Process:
250 nos.
Implementing Agency
:
Bihar State Hydro Power Corporation Limited
Consultant
:
IL&FS Energy Development Company Limited
Consultant for preparation of DPR
:
M/s. TERI, New Delhi
M/s. SERI Infrastructure Finance Ltd., Kolkata
M/s. N-Arc Consultancy, New Delhi
M/s. All India Power Service Company, Chattisgarh
PHASE I:
Out of total 820 villages, BSHPC has takes 48 villages for implementation under phase I. All these
villages are from Gopalganj District or Kaimur District.
For the better implementation, organization & monitoring of the scheme, BSHPC has divided these
villages into 4 different packages; two packages each for Gopalganj District and two for the Kaimur
District.
16
Gopalganj:
Out of 48 villages identified, 29 villages lie in Gopalganj District. All these villages were grouped into
two packages; 15 and 14 villages respectively. These villages were grouped on the basis of their
geographical proximity with each other.
Technology: It was decided that all the villages identified will have hybrid system; that is having both
biomass gasifier based system as well as solar photo-voltaic system. All the villages were found to have
adequate amount of the land for the production of the rice husk among other biomass which could be
utilized in the biomass gasifier based plant.
Package I
S. No.
Package II
Name of Village
S. No.
Name of Village
1
Alapur
1
Baikunthpur
2
Bakhari
2
Baistaul
3
Bangara
3
Banhauli Banaura
4
Basaha
4
Bankati
5
Hamidpur
5
Bhagwanpur
6
Hemuchhapra
6
Dharambari
7
Jadopur
7
Dighwa
8
Khaira Asha
8
Gamhari
9
Kiratpur
9
Katalpura
10
Marwa
10
Khaira Azam
11
Paharpur Kamshilla
11
Mahua
12
Pearepur
12
Pakha
13
Rajapatti
13
Shankarpur
14
Sunwalia
14
Sisai
15
Teinrua
Table 4: Packages in Gopalganj District
Package I
:
Hybrid (Both Biomass as well as Solar PV)
Package II
:
Hybrid (Both Biomass as well as Solar PV)
17
Kaimur (Bhabhua):
Out of 48 villages identified, 19 villages lie in Gopalganj District. All these villages were grouped into
two packages; 12 and 07 villages respectively. These villages were grouped on the basis of technology
adopted for the generation of power.
Technology: It was decided that the villages which have adequate amount of land and are self sufficient
for the production of the biomass should have hybrid system; that is having both biomass gasifier based
system as well as solar photo-voltaic system. There were 12 villages which were fulfilling these
criteria. There were 7 other villages which did not have adequate land. So, it was decided that these
villages will have only solar photo-voltaic system.
Package I
S. No.
Package II
Name of Village
S. No.
Name of Village
1
Athan
1
Gosara
2
Baghaila
2
Harsoti
3
Bhaganda
3
Kamharia
4
Chanpura
4
Karaundia
5
Dighar
5
Karkatgarh
6
Dumarkan
6
Kharanti
7
Jamuninar
7
Mahuli
8
Jharia
9
Kolhwa
10
Majhganwan
11
Masani
12
Samra
Table 5: Packages in Kaimur District
Package I
:
Hybrid (Both Biomass as well as Solar PV)
Package II
:
Only Solar PV
18
3.4.1 IDENTIFICATION OF VILLAGES / HAMLETS
While identifying the villages for implementing the DDG projects it has to be ensured that (i) the effort
and investment that goes into setting up of DDGs are utilized for the benefit of the target groups and do
not become sunk investment once the village is being connected to the grid and (ii) there is sufficient
engagement and support of the local community for this initiative.
For the selection of villages, the following approach should be followed:
i) The list of villages / hamlets to be electrified through DDG will be finalized by the implementing
agency (BSHPC) which will be decided by the state government.
ii) To the extent possible, the selection of the villages / hamlets is to be carried out in a cluster to
take advantage of the clustering effect, wherever applicable. Depending on the proximity of the
villages / hamlets, the merit of setting up a local distribution grid covering all these villages /
hamlets with a central power plant as against setting up of individual village / hamlet level
systems will be evaluated.
iii) Villages / hamlets that comprise of migratory/floating population should not be considered.
iv) While finalizing the list, the villages / hamlets are to be prioritized and those villages where grid
connectivity is not foreseen in next 5 to 7 years must be taken up first for setting up DDG
projects.
v) Villages / hamlets having population of less than 100 shall not be considered under the DDG
Scheme. Villages / hamlets that are already being planned to be taken up by MNRE are to be
excluded under the DDG scheme.
vi) Villages / hamlets that have been provided with solar home lighting systems under the Remote
Village Electrification program can also be considered under the DDG scheme.
vii) Infrastructure for these projects is to be established in a manner so that they are grid
compatible. This would ensure quick interface when grid power reaches the village and ensure
that the investments made today are not sunk when the village is finally connected to the grid.
19
3.4.2 PREPARATION OF DPR
Detailed Project Report is prepared to study / analyze / support various aspects related to technical,
commercial and financials proposal. These studies are conducted/ examined in detail by the experts and
consultants in that field. It is termed as a techno economic feasibility study.
It is the primary report for the formulation of the investment proposal. Investment decisions are taken
based on the details incorporated in the study. Thus feasibility is prepared only for the formulation and
investment decision-making. The first step in feasibility study is the needs analysis. The purpose is to
define overall objectives of the system proposed to be designed. The second and perhaps the most
important thing is system identification.
Detailed project report is a complete document for investment decision-making, approval, planning
whereas feasibility study report is a base document for investment decision-making. Detailed project
report is base document for planning the project and implementing the project. Detailed project report
is prepared only for the investment decision-making approval, but also execution of the project and also
preparation of the plan. Detailed project report additionally includes that is contents in addition to
Feasibility study reports are.
REC has prepared a list of 32 empanelled consultants for the preparation of the Detailed Project Report
for DDG Scheme. Out of these BSHPC has appointed following consultants for the preparation of the
Detailed Project Report (DPR):
M/s. TERI, New Delhi
M/s. SERI Infrastructure Finance Ltd., Kolkata
M/s. N-Arc Consultancy, New Delhi
M/s. All India Power Service Company, Chattisgarh
Once the DPR is prepared, it should be submitted to the implementing agency (BSHPC). Later it will
be examined by experts in such as finance, commercial, project etc for its feasibility.
20
3.4.3 INFORMATION TO BE COVERED IN DETAILED PROJECT REPORT
 Name of Gram Panchayat, Block & District
 No. of Villages under Gram Panchayat
 Name of Village / hamlet selected for the Project
 Village census code
 Distance from nearest road-head
 Distance from the grid
 Total population of the village / hamlet
 Number of households
 Number of Hamlets / Dalit Bastis in Village
 Number of BPL Households
 Type of social structure
 Community buildings – school, public health centre, panchayat ghar, etc.
 Main occupation, indicating cash crops
 Resource availability – water stream, type of biomass, local fuel wood / oil-seed bearing species, if any
 Availability of fallow land / waste land / uncultivated land etc.
 Indicative Estimate of Energy Demand
o Household –lighting, other
o Community services, including streetlights
o Irrigation/Agriculture Operations
o Commercial
 Existing pattern of energy / fuel use and average monthly expenditure per household
 Existing renewable energy devices in the village, if any
 Technology package proposed to be deployed
 Indicative capacity of the energy systems
 Role of local community in planning, implementation and management, including revenue management
 Details of any local NGO already associated with the village / hamlet
 Any other village / hamlet in the vicinity of this village that is un-electrified
21
3.4.4 SELECTION OF TECHNOLOGY
The DDG projects could be based on either conventional or renewable forms of energy. The choice of
technology would depend on the appropriateness of the chosen technology for specific villages /
hamlets. Since the DDG projects to be implemented are to be scalable and undertaken within a
relatively stiff timeline, options being considered for the proposed guidelines are those that have either
reached a stage of commercial maturity or their technical viability is proven under actual field
conditions. A list of such options is presented below:
 Diesel Generating sets powered by biofuels (non-edible vegetable oils like Jatropha, Pongamia etc)
 Diesel Generating sets powered by producer gas generated through biomass gasification (100 %
producer gas engines)
 Solar Photo Voltaic
 Small Hydro
It may be noted that the above list is based on the technologies that are presently being employed and
are the preferred options for decentralized power generation. There could be additional possibilities as
listed below, which are not popular now, but may become relevant in future.
 Diesel Generating sets powered by biogas (from animal waste)
 Wind hybrid systems
 Other hybrid options, including any new technology
Although diesel is the most convenient form of decentralized power generation option, it would be
advisable to treat the diesel option as only for standby or under situations where there is temporary
disruption in the supply of local renewable energy sources.
Figure 1 provides a technology decision tool that can be taken as a guide while selecting the most
appropriate technological choice for any particular village / hamlet. It is emphasized that this tool is
only a suggestive one and the actual choice of technology has to be based on a detailed survey of the
village/hamlet.
Table 5 provides a framework which forms the basis of arriving at the technology decision tool. The
preferred technology options and rating thereof are indicative in nature and at the time of sorting of
DPRs for approval, details justification will have to be provided for selecting an option.
22
TECHNOLOGY DECISION TOOL
1st Choice
Micro hydel with village cluster
with local grid
Is Micro-hydel
possible?
Yes
Is clustering of
villages possible
Yes
No
2nd Choice
3rd Choice
Centralised biofuels based plant &
expelling facility with local grid
Micro-hydel for individual village
No
Yes
Is clustering of
villages possible
Yes
Is biofuels available
locally?
No
4th Choice
5th Choice
Biofuels based individual power
plants
Centralised biomass based power plant
with a local grid servicing the cluster
No
Is surplus biomass
Yes
available & sustainable
management possible?
Yes
Is clustering of
villages possible?
No
6th Choice
Independent Gasifier based plant
7th Choice
Yes Is animal / cattle waste
available?
Village level Biogas based D-set
No
8th Choice
Village Level SPV Power Plant
9th Choice
DDG based on Hydrid System
23
Framework for ranking various renewable energy based DDG options
OPTION
Score (in a scale of 1 to 5, please refer to the footnote for the scoring criteria)
Capital cost
(Rs. / kW)
Generation cost
(Rs. / kWh)
Environmental
Impact
Local
manageability
& ease of
operation
Enhancing
Livelihood
opportunities
Overall
score
Ranking
Rs/kW
Score
Rs/kWh
Score
Biomass gasifier / DG sets
~ 78,000
3
2.25
4
2
2
4
15
3
SPV
~ 3,00,000
1
14.5
1
4
2
1
9
5
Biogas DG sets
~ 85,000
3
0.75
5
3
1
3
15
4
Biofuels DG sets
~ 20,000
5
10.75
2
3
3
5
18
2
Micro-hydel
~ 60,000
4
0.25
5
5
3
3
20
1
Note: Although the overall score for the biomass gasifier and biogas options are same, gasifier based systems are given a higher ranking as they are fairly
established as a DDG technology, and at the present point of time, is a preferred option compared to biogas based engines. The above scoring matrix
excludes options like wind/solar, wind/diesel hybrids or any other newer options as DDG systems based on such technologies are presently not
operational, and there are no bases for comparing the effectiveness of such systems against the options listed above.
1 Capital cost is the cost
of power generating unit.
Scoring
as
per
the
following guidelines:
< Rs 25K
Rs 25K – Rs 75K
Rs 75K – Rs 100K
Rs 100K – Rs 150K
> Rs 200K
–5
–4
–3
–2
–1
2 Generation cost is the operation and
maintenance cost of unit power
generation. For SPV systems, it refers to
the cost of replacement of battery bank
every 4 years. For biofuels based plants,
the cost of generation would be Rs
9.45/kWh if the sale of press cake is also
accounted for. Scoring as per the
following guidelines:
< Rs 1.5
Rs 1.5 – Rs 5
Rs 5 – Rs 7.5
Rs 7.5 – Rs 12.5
> Rs 12.5
5
4
3
2
1
3
Environmental
impacts include local as
well as global air
pollution, afforestation /
deforestation impacts,
solid as well as liquid
waste generation etc.
Scoring as per the
following guidelines:
Least polluting 5
Most polluting 1
4 Local manageability
refers to the ability of
maintaining / managing
the equipment / systems
in remote places and their
serviceability. Scoring as
per
the
following
guidelines:
Most robust system – 5
Least robust system – 1
Table 6: Ranking among various DDG Options
5
Enhancing
livelihood
opportunity refers to the ability
of a particular technology to
promote productive work as
well as local employment
generation. Scoring as per the
following guidelines:
Maximum livelihood opportunity –
5
Least livelihood opportunity– 1
3.4.5 REVIEW & APPROVAL OF DPR
1. After preparing the DPRs, consultants shall submit the DPRs to the implementing agency (BSHPC)
who will in turn forward them to the ISG (Implementation Support Group). ISG will review the
DPRs and for the DPRs to the Monitoring Committee for approval.
An Implementation Support Group (ISG) will be created by Ministry of Power to coordinate/
supervise the Scheme implementation.
Roles & Responsibilities of the Implementation Support Group are:
 Evolve guidelines and checklist for formulation of Feasibility Reports & Detailed Project Reports.
o Contents of the Reports
o Compliance to appraisal parameters.
o Listing of clearances and requirements at each stage.
 Support to REC
o Evolve guidelines and procedures for all steps in project implementation and operation.
o Set quality benchmark parameters.
o Provide monitoring benchmarks and check milestones.
 Conduct Grant utilization audit
 Maintain data repository on all aspects and deliverables of Scheme implementation.
 Formulate guidelines for funding of application projects based upon new technologies.
2. The Monitoring Committee would sanction the projects on merit.
3. Thereafter, implementing agency shall invite open tender on Build, Operate, Maintain & Transfer
(BOMT) basis and place award. Award cost should not be more than 10% of the sanctioned cost. In
case award cost is more than 10% of the sanctioned cost, the same shall require prior approval of
Monitoring Committee.
3.4.6 FEASIBILITY REPORT FOR THE CLUSTERING OF VILLAGES
As per the guidelines of REC for selection of villages, it has been recommended that depending on
the proximity of the villages, the merit of setting up a local distribution grid covering all these
villages with a central power plant as against setting up of individual village level systems should be
evaluated by the implementing agency. Accordingly, IL&FS Energy in consultation with BSHPC
has explored the possibility/feasibility of clustering the villages for implementation of said projects.
1. OBJECTIVE:
To explore the feasibility of clustering the villages for implementation of DDG program under
RGVVY scheme
2. METHODOLOGY ADOPTED:
Following methodology has been adopted for exploring the feasibility of clustering the villages for
implementation of DDG program:
i.

On the basis of the Socio-Economic Data available in the DPR for each village:
Each DPR is reviewed in terms of number of population, type of BPL & non BPL families in the
respective village, total village area, open spaces, community centres etc. to understand the socioeconomic profile of village
ii.

On the basis of technology:
Type & designated capacity of power plant proposed i.e. either Biomass based gasification or
Solar PV plant or combination of two to explore the feasibility of combining villages based on
the similarity of technology adopted
iii.

On the basis of Geographical Proximity:
Identification of the proximity of the villages in each district by marking all village locations of
respective district on maps/toposheets.
Based on assessment of the details of each village, village locations and discussions held with
BSHPC for clustering the villages for implementation of DDG program, observations and findings of
BPIC are presented below.
26
3. OBSERVATIONS/FINDINGS:
There are in total 48 villages falling in two district of Bihar state where DDG program is to be
undertaken by BSHPC. Out of 48 villages, 29 nos. of villages are falling in Gopalganj district and 19
nos. of villages are falling in Kaimur District.
3.1
i.
Observations/Finding for clustering of villages falling in Kaimur District:
Out of 19 villages, in the 7 villages only solar PV plant has been proposed. Clustering the
villages with only solar technology will require a large patch of the land for setting up the Solar
PV plant that is not easily available.
ii.
Avg. distance between any of two nearby villages is about 5-6 km; hence clustering the village
may increase the transmission/ power distribution grid cost as well as fuel collection costs
iii.
Population in 11 villages is less than 500 and in some of villages even below 200. Further some
villages have majority population comprising of only BPL families.
iv.
Most of the villages are surrounded by small degraded forests or thick green belt of cover of
trees; hence possibility of theft of cables, power is also high in the area.
v.
Due to uneven distribution of the BPL families within villages, various social issues may debar
the accessibility/benefits of the scheme to some village in case of clustering.
vi.
Based on the above observations, it can be concluded that clustering option is not feasible for
villages falling in Kaimur district as the same may result in higher transmission/ power
distribution grid cost without giving any major benefit in terms of economies of scale by
combining the capacity of the power plant. The issues of large land requirement, possibility of
theft of cables and social disparity are also not favouring the clustering option.
3.2
i.
Observations/Finding for clustering of villages falling in Gopalganj District:
In all the villages combined technology i.e. Biomass based gasifier and solar PV plant has been
proposed.
ii.
Avg. distance between the villages is about 1-2 km; hence clustering based on proximity looks
feasible in the said district
27
iii.
The socio economic profile of some of the villages shows the whole population comprising of
only BPL families. In case of clustering of such villages with villages having more non-BPL
families may result in social issues in the future whereby the benefit of scheme may not get
evenly distributed to all villagers.
iv.
Clustering may also result in the political issues between various village panchayats and hence
in formulation of village energy committee that may impact the collection of dues/ payment for
power supply by the operator.
v.
Based on the above observations, it can be concluded that while close proximity of the villages
in the said district are favouring the clustering option to be further explored, various social
issues that might arise out of the said action due to uneven distribution of the BPL families in
the villages may hamper the successful operation of the scheme. Hence clustering option is not
recommended.
4. RECOMMENDATIONS:
Based on the above assessment for feasibility of clustering of villages, it is recommended that
clustering will not be possible and each of the DDG Project has to be implemented separately as a
stand-alone Project.
For implementation of the Projects, implementing agencies can be selected through tendering process
in line with the guidelines for implementation of DDG program under RGVVY scheme.
28
3.4.7 REASONS FOR PACKAGING OF VILLAGES
During the implementation of DDG scheme, villages were arranged in packages. These packages
were arranged on the basis of the Geographical Proximity of one village to another and on the basis
of the technology adopted.
Since the villages are in the packages, so there is requirement of increased Bid Security and
Contract Performance Guarantee. The qualifying requirement has also become more stringent.
These steps were taken to ensure that very small player do not participate in the bid process. This is
because very small players do not have good financial health. On the other hand these packages will
make sure that there are mid-sized players who come up with good experience and financial health.
The increased number of villages will add to the volumes which will help in the increased profit for
the player.
With the establishment of a plant, there is always a fixed or average cost of production for the firm
based on supplies needed (labour, capital, etc.) for the production of the power. Since, these villages
are located in the close proximity with each other, so contractor will not have to keep operation and
maintenance employees in all the villages. Now, they can depute an employee to over look the
operating at several villages with are situated closed to each other.
When this average cost of production falls as the result of the decreased cost (same man power may
be used in several villages) and increased volume, it will result in the increased returns. It is
important to note that these increased returns may be a major factor to the growth of Decentralised
Distributed Generation. Agglomeration economies exist when production is cheaper because of this
clustering of economic activity. As a result of this packaging it becomes possible to establish
businesses which take advantage of these economies.
29
3.4.8 PREPARATION OF BID DOCUMENT
4 Different sets of bid documents were prepared, one for each packages. Each Bid Document consisted
of two parts:
PART I:
1. Tender Document
a.
Invitation to Bid
b.
Instruction to Bidders
c.
General Terms & Conditions of Contract
d.
Erection Conditions of Contract
e.
O&M Conditions of Contract
f.
Special Conditions of Contract
g.
Annexure
2. Technical Specification
a.
Project Details
b.
Salient Features of the Villages
c.
General Technical Specifications
d.
Technical Specifications for Biomass Based Gas Engine System
e.
Technical Specifications for Solar Photovoltaic Power System
f.
Technical Specifications for Power Distribution System
g.
Operation & Maintenance
PART II:
1. Price Bid Format (for submission of Bids)
30
3.4.9 IMPORTANT CLAUSES IN THE TENDER DOCUMENT
3.4.9.1 SCOPE OF THE PROPOSAL
1.1
Supply, installation, testing and commissioning of the Biomass Based Gasifier Power Plant &
Solar Photo-voltaic power plant with mini distribution line up to the individual household in
the villages to provide electricity connection for each consumer in the village with wiring
inside the premises of the consumer
1.2
Operation and Maintenance of the whole system for a period of five (5) years and handing over
the same to the BSHPC in working condition after 5 years. Training to the operator’s
supervisor and engineers for the operation and maintenance of the power plant as well as mini
grid system.
1.3
Overall management, project control, quality assurance, site management and coordination for
all technical matters, interconnections, timing, contractual matters and obligations etc. with
suppliers, sub-suppliers, subcontractors, vendors, the Owner, authorities as required on a turnkey basis for the implementation, construction and putting into operation of the whole project
under the overall and sole responsibility of the EPC Contractor
1.4
Any other items not specifically mentioned in the Specifications but which are required
for erection, testing, commissioning and satisfactory operation and maintenance of the
Transmission/Distribution Lines are deemed to be included in the scope of the
Specifications unless specifically excluded.
3.4.9.2 COST OF BIDDING DOCUMENT
a
Cost of Bidding Document is Rs 10,000/- only. In order to cover the costs associated with
the printing of the bid document this cost is charged from the bidders.
b.
Bidding Documents are non-transferable and money paid in lieu of Bidding Document is
non-refundable.
c.
Last date and time for submission of bids
d.
Bid Opening date and time
31
3.4.9.3 BID GUARANTEE
3.1
The Bidder shall furnish, bid guarantee for an amount of Rupees 10,00,000/- (Rupees Ten
Lakhs) in case of hybrid system & Rupees 3,00,000/- (Three Lakhs) in case of solar PV. The
bid guarantee shall be valid for a period of seven (7) calendar months from the date of
opening of bids.
3.2
The bid guarantee shall be denominated in Indian Rupees only and shall be crossed Bank draft
in favour of “BSHPC”, payable at Patna, from a Scheduled Bank as per RBI
3.3
Unsuccessful Bidder’s bid guarantee will be discharged/returned as promptly as possible but
not later than 60 days after the expiration of the period of bid validity prescribed by BSHPC.
3.4
The successful Bidder’s bid guarantee will be discharged upon the Bidder’s executing the
Contract and furnishing the Performance Guarantee.
3.5
The bid guarantee may be forfeited:
a.
If a Bidder withdraws / modifies its bid during the period of bid validity specified by
the Bidder on the Bid Form; or
b.
In case the Bidder does not withdraw the deviations proposed by him, if any, at the cost
of withdrawal stated by him in the bid; or
c.
If a Bidder does not accept the corrections to arithmetical errors identified during
preliminary evaluation of his bid pursuant to Clause 33.2, Section-INB; or
d.
If, as per the Qualifying Requirements the Bidder has to submit a Deed of Joint
Undertaking and he fails to submit the same; or
e.
In case of a successful Bidder, if the Bidder fails to sign the Contract; or
f.
In case of a successful Bidder, if the Bidder fails to furnish the Performance Guarantee.
3.4.9.4 QUALIFYING REQUIREMENTS OF BIDDERS
This bidding is open to any manufacturer or erector or developer who provides satisfactory
evidence concerning the following that the bidder:
a.
is a manufacturer or erector or developer who regularly manufactures or installs or
operates the equipment of the type specified and has adequate technical knowledge and
practical experience;
b.
does not anticipate change in the ownership during the proposed period of Work
32
c.
has adequate financial stability and status to meet the financial obligation pursuant to
the scope of the works (the Bidders should submit 3 copies of their profit and loss
account and balance sheet for the last three years);
d.
Average Annual financial turnover during the last 3 years, ending 31st March of the
previous financial year, should be at least Three (3) Crores for hybrid systems & One
(1) crore for solar PV based system.
e.
Minimum Liquid Asset (MLA)/ working capital to start the work during the year
ending 31st March should be at least Rs. One (1.0) Crore for hybrid systems & Thirty
(30) Lakhs for solar PV based system.
f.
Experience of having supplied, erected and operated at least five (5) Renewable Energy
projects in the last five (5) years with at least one (1) project involving biomass
technology
(Note: ‘Renewable Energy Projects’ means projects other than the conventional power
projects generating from renewable sources such as small hydro, wind, solar including
its integration with combined cycle, biomass, bio fuel cogeneration, urban or municipal
waste and other such sources as approved by the Ministry of New & Renewable
Energy)
g.
Eligible Project developers shall be: State agencies, technology suppliers, Corporate
houses, Equipment Manufacturers and Contractors, Self Help Groups, Users
Associations, individuals, Registered Societies, Cooperatives, Panchayats, Local
bodies, their Consortiums / SPVs / JVs etc are all eligible to apply.
3.4.9.5 BID PRICE
5.1
The Bidder shall quote in the appropriate schedule of P r i c e B i d lump-sum price for the
entire scope of works (covered under the Bidding Document) and also the unit rates of the
goods it proposes to supply under the Contract on a base price with price adjustment basis,
unless otherwise specified.
5.2
The Bidder shall also furnish the price break-up in the appropriate schedules of Bid Form to
indicate the following:
i
Ex-works price of the equipment/materials (including tools and tackles etc.)
ii.
Charges
for
inland
transportation
33
and
insurance
for
delivery
of
the
equipment/materials upto their final destinations.
iii.
Lump-sum charges towards unloading, storage, insurance, erection (including insurance
during construction period), testing & commissioning.
iv.
Sales Tax and any other statutory levies payable on the transactions between
BSHPC and the Bidder.
vi.
Year wise Lump sum cost of providing power for five years including the operation and
maintenance costs for the entire system.
3.4.9.6 COMPARISON OF BIDS
6.1
The bids shall be compared on the basis of Evaluated Bid Price for the entire scope of the
Proposal as defined in the Bidding Document.
6.2
All evaluated bid prices of all the Bidders shall be compared among themselves to determine
the lowest Evaluated Bid and, as a result of this comparison; the lowest Bid will be selected
for the award of the Contract.
6.3
The Bid Price will consist of the following project cost:
a)
Capital cost*, comprising of:
 All plant equipment & auxiliary systems and accessories required for the power plant operation
 All associated civil works. Cost for land, however, has to be borne by the state government
 Distribution Network with necessary control equipment.
The subsidy applicable to BPL Households under the RGGVY Programme shall also be
applicable for DDG Projects. Access to electricity has to be provided for common facilities such
as Street light, Schools, Community buildings Panchayat Bhawan etc.
 Initial capital cost for plantation for sustainable supply of bio energy (in case of biomass
gasification/bio fuel projects only).
 Initial capital cost of setting up non-domestic loads as specified by the implementing agency.
* For clarification on items not specifically mentioned here the criteria as applied in Rule 79 of
GFR, 2005 published by Government of India be relied upon.
34
b)
Revenue Cost*:
Cost of spare parts for 5 years after commissioning. The cost of consumables and labour will
not be included in the capitalized project cost.
c)
Cost of providing power for a period of 5 years from commissioning as identified in DPR after
taking into account recovery from village households as per the tariff to be decided by the State
Utility/SREDA/Implementing Agency, but the same shall not be less than the existing tariff in
the neighbourhood area and shall be indicated in the bid document for identified load of each
household.
d)
Soft Cost comprising of:
 Pre-selection of villages, technologies and preparation of DPRs
 Cost of social engineering to ensure community engagement
6.4
Selection of the Project developer shall be on the basis of tenders which will be called by the
Implementing agencies in two parts, one part covering capital cost and another covering cost of
providing power for five years. The reimbursement of gap between operation and maintenance
cost and revenue recovery to the project developer (after adjusting the collected tariff) will be
paid out of service charges of the Implementing Agencies (@ 8% for State Governments & 9%
for CPSUs). The second part bid cannot exceed the service charges mentioned above. Only
those state governments which undertake to provide the service charges to the project
developer will be eligible for taking up the DDG Projects. The tenders will be evaluated jointly
for both the parts i.e. for the First part and the Second part taken together for 5 years
6.5
All evaluated bid prices of all the Bidders shall be compared among themselves to determine
the lowest Evaluated Bid and, as a result of this comparison; the lowest Bid will be selected for
the award of the Contract.
3.4.9.7 CONTRACT PRICE ADJUSTMENT
7.1
The Bidder shall, in his Proposal, quote a year wise base price for the operation &
maintenance services, which will be subject to price adjustment on account of variations in
the cost elements during the period of the Contract. The intent of the price adjustment
provisions in the Bidding Documents is to provide reasonable protection to the parties to the
35
Contract, but within the prescribed limits, against fluctuations of the cost of material, labour
etc, during execution of the Contract and resulting in variation in the Contract price.
7.2
For the Indian field labour, the index applicable shall be the All India Consumer Price Index
for Industrial Workers as published by the Labour Bureau of the Government of India.
7.3
However, the successful Bidder may be permitted to suggest modifications in the values of
co-efficient or group of co-efficient indicated in the Bid in line with the requirements
indicated in the above formulae p r o v i d e d such successful Bidder is able to satisfy the
Employer with proper justification for such modifications.
7.4
O&M Component
The quarterly O&M price adjustment amount will be computed for the lump sum yearly O&M
portion of the bid price as per the formula given below:
dOMR
=
0.40 X OMRo X (F1-F0) + 0.60 X OMRo X 1%
------------- ------------------------4
F0
4
Labour Cost Adjustment
Fuel Cost Adjustment
Where
dOMR =
Price adjustment payable to the Contractor (if it works out as negative, the
amount is to be recovered by the Employer from the Contractor), for each billing.
OMRo =
Value of Year wise O& M cost as quoted by the bidder
F
Indian Field Labour Index –namely All India Consumer Price Index for
=
Industrial Workers (All India Average) as published by Labour Bureau, Simla of the
Government of India.
Subscript ‘0’ will correspond to 30 days prior to date set for opening of bids. Subscript ‘1’ will
correspond to the latest available index as on the date of billing.
The above formula is based on the assumption that 60% of the total O&M cost is on the
account of the fuel expenses that is expected to become dearer by about 4% per annum. The
price variations calculated by the above formula shall not be subject to any ceiling unless
otherwise specially mentioned in Special Conditions of Contract.
36
7.5
Adjusted Contract Price
The adjusted Contract price for the O&M portion shall be as follows:
OMRo + dOMR
7.6
The Contractor shall promptly submit price adjustment invoices on quarterly basis, whether
such adjustment is positive or negative.
3.4.9.8 CONTRACT PERFORMANCE GUARANTEE
8.1
As a Contract Performance Security, the successful Bidder, to whom the work is awarded,
shall be required to furnish a Performance Guarantee from (a) a Public Sector Bank or (b) a
Scheduled Indian Bank having paid up capital (net of any accumulated losses) of Rs.100 crore
or above in favour of BSHPC. The guarantee amount shall be equal to ten percent (10%) of
the total Contract Cost) and it shall guarantee the faithful performance of the Contract in
accordance with the terms and conditions specified The said bank guarantee shall be valid for
a period of 2 years which is to be renewed till 5 years plus 6 months from the date of
commissioning.
8.2
The Performance Guarantee shall cover additionally the following guarantees:
a.
The successful Bidder guarantees the successful and satisfactory operation of the
equipment furnished and erected under the Contract, as per the specifications and
documents.
b.
The successful Bidder further guarantees that the equipment provided and installed
by him shall be free from all defects in design, material and workmanship and
shall upon written notice from BSHPC fully remedy free of expenses such defects
as developed under the normal use of the said equipment within the period of
guarantee.
c.
The successful Bidder further guarantees that he shall carry out operation and
maintenance of the system provided and installed by him for a period of five (5) years
from the date of commissioning as per the terms and conditions of this contract.
8.3
The Contract Performance Guarantee is intended to secure the performance of the entire
Contract.
37
8.4
The Performance Guarantee will be returned to the Contractor without any interest at the
end of guarantee period.
3.4.9.9 TIME SCHEDULE
9.1
The basic consideration and the essence of the Contract shall be strict adherence to the
time schedule for performing the specified Works. Contractor should complete the work within
9 months from the award of the contract.
9.2
The completion schedule shall be one of the major factors in consideration of the bids.
9.3
BSHPC reserves the right to request for a change in the work schedule during pre-award
discussions with successful Bidder.
3.4.9.10
10.1
LIQUIDATED DAMAGES
For Equipment Portion
10.1.1 If the Contractor fails to successfully complete the commissioning within the time fixed
under the Contract, the Contractor shall pay to the Employer as liquidated damages and not
as penalty a sum specified for each specified period of delay. The details of such liquidated
damages are brought out in the accompanying Special Conditions of Contract.
10.1.2 Total amount of liquidated damages for delay under the Contract will be subject to a
maximum of 5% of the Equipment Portion and Erection Portion of the Contract price.
10.2
For O&M Portion
10.2.1 If the successful developer fails to supply the required quantum of power for 6-8 hours of
electricity per day at the identified timings as per the contract, at least for 25 days in a month,
the Contractor shall pay to the Employer as liquidated damages as brought out in the
accompanying Special Conditions of Contract.
10.2.2 Total amount of liquidated damages for the said failure under the Contract will be subject to a
maximum of 10% of the O&M Portion of the Contract price.
38
3.4.9.11
TERMS OF PAYMENT
The payment to the Contractor under the contract will be made by the Employer in line with
the guidelines and conditions specified in the Bid Document. All payments made during the
contract will be on on-account payment purpose only.
11.1
Ex-works price component of the equipment & materials shall be paid as below:
(i)
Advance Payment: Fifteen percent (15%) of the Ex-works price component shall be
paid as an initial advance on presentation of the following:
(a)
Acknowledgement of the Letter of Award by the Contractor.
(b)
Contractor's detailed invoice.
(c)
An unconditional & irrevocable Bank Guarantee for ten percent (10%) of the Capital
Cost towards Contract Performance G u a r a n t e e ( CPG). The said bank guarantee
shall be valid for a period of 2 years which is to be renewed till 5 years plus 6
months from the date of commissioning.
(d)
(ii)
Detailed PERT Network/Bar chart and its approval by the Employer.
On shipment: Fifty Five percent (55%) of the Ex-works price component shall be paid
on successful completion of inspection and testing of the materials/items and on
submission of documents indicated herein under:
(a)
Evidence of dispatch (R/R or receipted L/R)
(b)
Contractor's detailed invoice & packing list identifying contents of each shipment.
(c)
Insurance policy/certificate
(d)
Manufacturer's/Contractor's guarantee certificate of Quality.
(e)
Material Inspection Clearance Certificate (MICC) for dispatch issued by the
Employer’s representative and the Contractor’s factory inspection report.
(f)
(iii)
Test certificate
Final Payment:
The balance 30% (thirty percent) of the equipment and material price component shall
be paid over the 5 year period (@ 6% per annum) after the successful functioning of
39
the DDG unit as defined under contract performance guarantee.
11.2
Inland Transportation & Insurance Charges
Inland transportation and insurance charges shall be paid to the Contractor on pro- rata basis,
as per the unit rates indicated in the Letter of Award, after receipt of materials/items at
site and on presentation of the invoices along with supporting documents by the
Contractor.
11.3
Erection Price Component (including Civil Works):
i)
An advance of 10% (ten) of the total erection price shall be paid as initial advance
subject to conditions stipulated in the document and the following:
(a)
Submission of detailed invoice for advance payment.
(b)
Establishment of Contractor's site offices, commencement of stub setting work, and
certification by Engi neer that s a t i s f a c t o r y mobilization f o r erection exists.
(c)
An unconditional & irrevocable Bank Guarantee for ten percent (10%) of the
Capital Cost towards Contract Performance Guarantee (CPG). The said bank
guarantee shall be valid for a period of 2 years which is to be renewed till 5 years
plus 6 months from the date of commissioning
ii)
60%(Sixty Percent) of the capital cost excluding cost of providing power as stated
above till commissioning of the project, linked to project completion milestones.
iii)
The balance 30% (thirty percent) of the erection price component shall be paid over
the 5 yea r period (@ 6 % per annum ) after the successful functioning of the DDG
unit as defined under contract performance guarantee.
11.4
Operation & Maintenance Charges
Operation & Maintenance charges shall be paid to the Contractor on quarterly basis, as per
the rates indicated in the Letter of Award, after the delivery of the services and on
presentation of the invoices along with supporting documents by the Contractor.
40
11.5
Payment towards Price adjustment
11.5.1 Any variation in Contract Price due to Price Adjustment provision shall be effected on
presentation of invoice supported by calculations as per formula specified therein along with
documentary evidence for different indices applicable for Price Adjustment.
11.5.2 Any reduction in Contract Price due to price adjustment provision shall be effected by
recovering 100% of the reduction amount from any of the Contractor's invoices falling
immediately due for payment or any other payments.
11.6
Mode of Payment
11.6.1 Payments shall be made promptly by the Employer within thirty (30) days of receipt of
Contractor's invoice, complete in all respects and supported by the requisite documents and
fulfilment of stipulated conditions, if any. All the payment shall be released to the Contractor
directly.
3.4.9.12
12.1
GUARANTEE
The Contractor shall guarantee, besides performance guarantee, the following:
(a)
Quality and strength of materials used.
(b)
Adequate factors of safety for all parts of equipment to withstand the mechanical and / or
electrical stresses developed therein. These shall be stated in the Bid
12.2
(c)
Satisfactory erection and commissioning of the Plant/ Equipment at site.
(d)
The delivery periods given in the Bid Document.
The Contractor shall warrant that the equipment will be new, unused and in accordance
with the Contract documents and free from defects in material and workmanship for a
period of twelve (12) calendar months commencing immediately upon the satisfactory
commissioning.
12.3
In the event of any emergency where in the judgment of the Engineer, delay would cause
serious loss or damages, repairs or adjustment may be made by the Engineer or a third party
chosen by the Engineer without advance notice to the Contractor and the cost of such work
shall be paid by the Contractor.
41
12.4
The repaired or new parts will be furnished and erected free of cost by the Contractor.
3.4.9.13
13.1
INSURANCE
The Contractor at his cost shall arrange, secure and maintain all insurance as may be pertinent
to the Works and obligatory in terms of law to protect his interest and interests of the
Employer against all perils.
13.2
Any loss or damage to the equipment during handling, transportation, storage, erection, putting
into satisfactory operation and all activities to be performed till the handing over of the entire
system to the Employer after a period of five years from the successful Commercial Operation
shall be to the account of the Contractor.
13.3
The perils required to be covered under the insurance shall include, but not be limited to
fire and allied risks, miscellaneous accidents (erection risks) workman compensation risks,
loss or damage in transit, theft, pilferage, riot and strikes and malicious damages, civil
commotion, weather conditions, accidents of all kinds, etc.
13.4
All costs on account of insurance liabilities covered under the Contract will be on
Contractor’s account and will be included in Contract Price,
3.4.9.14
14.1
OPERATIONS & MAINTENANCE CONDITIONS
The Contractor shall carry out the operation and the maintenance of the entire facility including
power generating system as well as the mini distribution network for a period of five (5) years
from the Commercial Operational date of the facility.
14.2
The Contractor shall establish a Site Office at the site and keep posted an authorized
representative. Any written order or instruction of the Engineer or his duly authorized
representative shall be communicated to the said authorized resident representative of the
Contractor and the same shall be deemed to have been communicated to the Contractor at his
legal address.
14.3
In case of further malfunctioning of the system beyond the operators’ ability, proper system is
required to be established by the Contractor to ensure that the complaint is attended during the
same day and resolved at the earliest. This shall include the following:
42

Ensuring the communication link between the operators at site and technical experts at the
regional level

Ensuring the availability of a pooled technical experts who are available within 12 hours of
travelling distance from the project site

Ensuring the availability of the spare parts both at site as well as region level
godowns/warehouses/suppliers
14.4
The Contractor shall be responsible for the general upkeep and the regular maintenance of the
distribution network that has been established by it. A separate electrician shall be available at
site to take care of day-to-day distribution problems of the villagers.
3.4.9.15
15.1
FORMATION OF VILLAGE ENERGY COMMITEE
The Contractor shall initiate the establishment of a Village Energy Committee (VEC)
comprising of about 7-8 respected elder members of the village during the implementation
stages of the project for propagating the gains from the biomass plant amongst its community.
15.2
The mandate of the VEC shall be to lead from the front in gearing the village to cultivate a
sense of belonging for the biomass/solar system as well as wield its influence to ensure the
smooth functioning of the plant by making certain following:

Recording and collection of monthly electricity charges from the user community and
depositing the same in a VEC account which shall be used to pay monthly emoluments to the
Contractor

Ensuring a regular supply of the raw feedstock material i.e. biomass fuel at reasonable prices for
the running of the plant
15.3

Provision of penalties (for any defaulters)

Overall security of the plant
The VEC meeting should be held at regular intervals to take stock of all matters related to
overall sustainability of the plant from a variety of end use considerations. It is the joint
responsibility of VEC and the Contractor to educate the villagers the intention of charging them
for the electricity.
43
3.4.9.16
16.1
TRAINING AND DEPLOYMENT OF THE MANPOWER
The Contractor will properly train its operators (preferably hired locally) in assembly, testing
and routine maintenance of the biomass/solar power system. The operators specially trained for
the purpose are expected to be equipped with proper skills to ensure a proper upkeep of the
system. Any problems with regard to the system operation should be properly recorded by these
operators in a notebook specially maintained for the purpose.
16.2
The Contractor shall undertake to train free of cost, Engineering personnel selected and sent
by the Employer at the works of the Contractor unless otherwise specified in the Technical
Specifications.
16.3
All travelling and living expenses for the Engineering personnel to be trained during the
total period of training will be borne by the Employer.
3.4.9.17
17.1
FEED STOCK DELIVERY
The Contractor is responsible for developing the system for supply of the feed stock to the plant
in consultation with the Village Energy Committee. The Contractor may educate the villagers
through the VEC regarding the quality of the feedstock that needs to be fed in the system for
proper functioning.
17.2
A typical biomass collection system might be as following:

Stocking biomass as heaps in the farms

Loading the biomass into a transport vehicle typically tractors or mini trucks

Transportation to Collection Centre/ storage yard

Unloading at collection centre

Baling/crushing at collection centre

Loading trucks at collection centre

Transportation to power plant

Unloading at power plant

Crushing to necessary size to feed into furnace
44
3.4.9.18
LAND FOR CONTRACTOR's OFFICE, STORE, WORKSHOP ETC.
The Contractor shall make his own arrangement for land for construction of the plant, his
field office, workshop, stores, assembling yard, etc. as required for execution of the Contract
at his own cost. The Employer (BSHPC) shall:
i)
Assist in land acquisition/transfer of the Govt. land or village panchayat land on lease
for execution of the Scheme
ii)
Help the Contractor in community mobilization and in creating awareness about DDGs
and on the efficient and safe use of equipments.
45
3.4.10
IMPORTANT CLAUSES IN THE TECHNICAL SPECIFICATION
3.4.10.1
DESCRIPTION OF PROJECT COMPONENTS
1.1 Biomass Based Power Plant System
Rice as well as wheat husk is available within the villages for power generation through the
biomass based power plant system. 100% producer gas based power system of appropriate
capacity is envisaged for providing about 12 hours daily power supply for meeting domestic as
well as commercial demands of these villages.
1.2 Solar Photovoltaic power plant system
The project envisages use of solar power which is available in plenty. Adequate capacity of solar
PV based power system is envisaged for providing 8-10 hours of daily power supply for meeting
the electricity requirements of small shops, fan for domestic as well as community centre etc. The
Solar modules may be set on the roof as well as on the ground in the campus.
1.3 Distribution System
The power generated is required to be supplied around the plant in the respective village in a 1phase & 3-phase supply for household and Irrigation Pump / Rice Mill respectively through
insulated cables hoisted on poles. Minimum provision of two light points and one socket is to be
considered for each household. The Contractor shall be responsible for supplying the required
quantum of power for 12 hours of electricity per day at the identified timings, at least for 25 days
in a month. The Contractor shall also be responsible for collecting the tariff from the villagers that
shall be approved by BSHPC.
3.4.10.2
BIOMASS BASED POWER PLANT EQUIPMENT
The biomass gasification system shall comprise of the following items and other systems and
equipment which are usual and necessary for continuous operation.
46
2.1 Gasifier with suitable accessories
A Gasifier may be updraft or downdraft. Downdraft gasifiers have been demonstrated to be
successful with rice husk kind of amorphous fuel. The gasifier for DDG purpose must be able to
accept multiple feed-stock up to the size of 40 mm X 20mm X 20 mm. Biomass gasification
system should be suitable for operation as per requirement mentioned under “Salient Features” in
Chapter II. Gasifier should be suitable for use of rice husk and other biomass without the need of
briquetting. Following components to be ensured in the system:

Biomass bunker of at-least 1 hour holding capacity mounted at top of the reactor

Biomass to be fed manually in the gasifier.

The hopper to be provided with a sturdy vibrator to ensure free flow of biomass without the
need for poking.

Gasifier body fabricated with minimum MS thickness as in the drawing. The thickness may
be less by 33% in case of use of Stainless Steel.

Gasifier to have no. of poke holes fitted on the body for poking and man holes for easy
access at the time of maintenance.

Water seal to be provided at the bottom for safety.

Automatic dry or wet type bottom ash and unconverted charcoal removal / extraction system

Necessary gas cooling and cleaning to levels acceptable to the gas engine to ensure
minimum 12 h/d continuous operation of the gas engine

Auxiliary consumption of plant to be below 15% of gross output.

All necessary safety features like water seals and startup flare

All civil & foundation work required for the system

All accessories from generator terminals onward with necessary field cabling

Electrical Wiring/cabling for all Gasifier related accessories

All Site specific piping, plumbing etc.

Since no grid power supply is available at the project site, an appropriate system for starting
of the gasification system to be supplied along with the system.

Permissible maximum moisture content and size of biomass for optimum operation of the
gasifier to be specified by the bidder.

Process Water to be minimized and to be re-circulated.
47
2.2 Gas cooling and cleaning system
The gas cooling and cleanup system shall ensure that the gas quality at the engine meets the limits
specified by the engine manufacturer or norms specified by MNRE, whichever is more stringent,
and shall comprise of the following minimum items

Wet Scrubber
o The equipment body to be made of MS cylindrical vessel type equipped with SS cup & cone
valves inside
o It should be suspended on water seal for safety
o It should have inspection hole & monkey ladder for maintenance convenience

Char / coarse filter
o Using char or saw dust as media to absorb tar and moisture from cooled gas

Fine filter
o Using amorphous biomass such as rice husk or saw dust to provide second stage of filtration

Air Blower
o Standard Centrifugal blower fan with adjustable dumper plate
o Suitable casing to be provided

Cyclone
o Cyclone separator to be made of SS 316 L material to trap particulates
All interconnecting gas pipes between the components in the gasification system shall be rigid
pipes and use of any flexible pipes is not permitted. Suitable vibration pads have to be provided
for the gas engine to ensure that the gas engine vibrations are not transmitted to the gasification
system while using rigid interconnecting gas pipe from the final gas cleaning system of the
gasification system to the gas engine.
All the subsystems of the gasification system shall be supplied to the project site as assemblies to
totally avoid any welding work at the site during erection.
48
2.3
Control Panel with Accessories
All local control & instrumentation system consisting of manometers, temperature & pressure
indicators as required to monitor normal operation of the gasification system should be provided
in a control panel to be made of MS sheet fabricated body.
It should be provided with safety hooter for alarming the operator in case of any fault in the
system and suitable cables for energizing the plant.
2.4
Fuel preparation system
Fuel preparation equipment shall be supplied suitable for generating the feedstock as per the
requirement of the gasification system and suitable for meeting the requirement of 12 hours/day
operation of gasifier. This shall include the following

Storage area for storing biomass along with a weigh bridge

Biomass cutter suitable for preparing the feedstock for the gasifier

Biomass drier of adequate capacity to reduce the moisture content from ~ 25 – 30 % to
below 15%.

2.5
Moisture Meter to check the moisture contents of the biomass
100 % Producer gas fired engine generator
The 100 % producer gas fired gas engine – generator shall guarantee electrical power at
generator terminals:

The gas engine generator shall be from reputed manufacturers capable of producing 3 phase,
50 Hz power

Should be equipped with necessary zero pressure regulator and carburetor

Gas inlet system should be with good quality inlet valve and proper piping support

Starting system of the engine – Can be either a spark ignition or alternator: 2 Nos. of
Batteries (1 working + 1 standby) with automatic charger.

Appropriate governing and variable load response along with acceptable load range: ± 25 %
load variation, also provided with an over voltage protection set.

Engine speed Governing system should be reliable and should not experience any
disturbance in the setting while engine is in operation due to vibration
49

2.6
Engine control panel with necessary meters - Current, Voltage and Frequency.
Others

System to be equipped with all suitable safety and protection instruments like CO monitor,
O2 sensor, Producer gas measuring instruments etc.

Automatic biomass feeding systems for Rice husk to be offered as an optional item.

Earthing arrangement as desired.

In addition to the above, bidder shall also supply any additional equipment and materials,
which are not specifically mentioned in this document but are required for successful
execution of the contract and for efficient, safe, and reliable operation of the plant. It shall
be the responsibility of the bidder to furnish such materials & equipment and provide
services specified accordingly.
3.4.10.3
SOLAR PHOTOVOLTAIC POWER PLANT EQUIPMENT
The Solar Photovoltaic (PV) Power Plant system shall comprise of the following items and other
systems and equipment which are usual and necessary for continuous operation.
3.1
PV Modules
The Solar PV system should be suitable for operation of suitable capacity as per the requirement
of the individual village. The PV modules must conform to the latest edition of any of the
following IEC / equivalent BIS Standards for PV module design qualification and type approval:

Crystalline Silicon Terrestrial PV Modules
IEC 61215 / IS14286

Thin Film Terrestrial PV Modules
IEC 61646

Concentrator PV Modules & Assemblies
IEC 62108
In addition, the modules must conform to IEC 61730 Part 1- requirements for construction & Part
2 - requirements for testing, for safety qualification.
PV modules to be used in a highly corrosive atmosphere (coastal areas, etc.) must qualify Salt
Mist Corrosion Testing as per IEC 61701.
50
3.2
Electronic Protections

Adequate protection is to be incorporated under no load conditions, e.g. when the loads are
removed and the system is switched ON.

The system should have protection against battery overcharge and deep discharge conditions.

Fuses should be provided to protect against short circuit conditions.

A blocking diode should be provided as part of the electronics, to prevent reverse flow of
current through the PV module(s), in case such a diode is not provided with the PV module(s).

Full protection against open circuit, accidental short circuit and reverse polarity should be
provided.

Electronics should operate at appropriate voltage level and should have temperature
compensation for proper charging of the battery throughout the year
3.3
Mechanical Components

Metallic frame structure (with corrosion resistance paint) to be used to hold the SPV module(s).
The frame structure should have provision to adjust its angle of inclination to the horizontal
between 0 and 45, so that it can be installed at the specified tilt angle.

A vented metallic / plastic box with acid proof corrosion resistance paint for housing the storage
battery indoors should be provided.
3.4
Battery

The battery should be of flooded electrolyte, positive tubular plate type, low maintenance lead
acid or gel type VRLA.

75 % of the rated capacity of the battery should be between fully charged & load cut off
conditions.
3.5
Electronics

The inverter should be of quasi sine wave/sine wave type; with frequency of 50 Hz. Half-wave
operation is not acceptable.

The total electronic efficiency should be not less than 80 %.
51
3.6
Balance of System Items/Components

The BoS items / components of the SPV power plants/ systems deployed under the Project must
conform to the latest edition of IEC/ equivalent BIS Standards as specified below:
Bos item / component
Applicable IEC/ equivalent BIS Standard
Standard Description
Power
Conditioners/ Efficiency Measurements
Inverters*
Environmental Testing
Standard Number
IEC 61683
IEC 60068 2 (6,21,27,30, 75, 78)
Charge controller/ MPPT Design Qualification
IEC 62093
units*
Environmental Testing
IEC 60068 2 (6,21,27,30, 75, 78)
Storage Batteries
General Requirements &
IEC 61427
Methods of Test
Tubular Lead Acid
Cables
IS 1651/ IS 13369
General Test and Measuring IEC 60189
Methods
PVC insulated cables for
IS 694 / IS 1554
working Voltages upto and
including 1100 V
-Do-, UV resistant for
IS/IEC 69947
outdoor installation
Switches/ Circuit Breakers/
General Requirements
IS/IEC 60947 part I, II & III
Connectors
Connectors- safety
EN 50521
Junction Boxes/ Enclosures
General Requirements
IP 65
IEC 62208
SPV System Design
PV Stand-alone Systems
IEC 62124
design verification
Installation Practices
Electrical installations of IEC 60364-7-712
buildingsRequirements
for
SPV
power supply systems
* Must additionally conform to the relevant national/ international Electrical Safety Standards.
52
3.7
Others

The mechanical structures, electrical works including power conditioners/inverters/charge
controllers/ maximum power point tracker units/ distribution boards/digital meters/ switchgear/
storage batteries, etc. and overall workmanship of the SPV power plants/ systems must be
warranted against any manufacturing/ design/ installation defects for a minimum period of 5
years.

PV modules used in solar power plants/ systems must be warranted for their output peak watt
capacity, which should not be less than 90% at the end of 10 years and 80% at the end of 25
years.

Each PV module used in any solar power project must use a RF identification tag (RFID),
which must contain the following information. (The RFID can be inside or outside the module
laminate, but must be able to withstand harsh environmental conditions.)
(i)
Name of the manufacturer of PV Module
(ii)
Name of the Manufacturer of Solar cells
(iii)
Month and year of the manufacture (separately for solar cells and module)
(iv)
Country of origin (separately for solar cells and module)
(v)
I-V curve for the module
(vi)
Peak Wattage, Im, Vm and FF for the module
(vii)
(viii)

Unique Serial No and Model No of the module
Date and year of obtaining IEC PV module qualification certificate
(ix)
Name of the test lab issuing IEC certificate
(x)
Other relevant information on traceability of solar cells and module as per ISO 9000 series.
In addition to the above, bidder shall also supply any additional equipment and materials,
which are not specifically mentioned in this document but are required for successful
execution of the contract and for efficient, safe, and reliable operation of the plant. It shall
be the responsibility of the bidder to furnish such materials & equipment and provide
services specified accordingly.
53
3.4.10.4
4.1
POWER DISTRIBUTION SYSTEM
Construction of LT Lines
The LT lines shall be of following configurations
Sl No.
Type of line
Conductor
Support
Maximum span
in mtr.
1
3 Phase 4 Wire
Aerial Bunched Cable of
9Mtr.
size (3X35mm2+1X25
300KG PSC
40
mm2 + 1x16 mm2) of
XLPE INSULATION
2
1 Phase ABC
Aerial Bunched Cable of
9Mtr.
size (1X35 mm2+1X25
300KG PSC
40
mm2+1x16 mm2) of
XLPE INSULATION
3
1 Phase ABC
Aerial Bunched Cable of
9Mtr.
size (1X16+1X25) of
300KG PSC
40
XLPE INSULATION
LT Lines using AB Cable shall be constructed on 9 mtr 300KG PSC Pole complete with eye
hook, suspension/dead end clamp including belting of clamps etc. complete as required for
supporting LT AB conductor, earthing arrangement, anti climbing device, danger plate, stay
sets as required, bolts, nuts & washers and any other hardware required to complete the
work, as finalised during detailed engineering.
4.2
Service Connections
The scope includes providing service connections to the consumers Below Poverty Line (BPL
consumers) including 2 points wiring and coil earthing to the installation. The service cable
shall travel from service pole to the premises of the consumer with the provision of
i)
PVC insulated double core with outer sheath 2.5 sq. mm single strand Aluminium
cable
54
ii)
UDC (Universal Distribution Connector) ABC cable with piercing type connector
and distribution box where required
iii)
Supporting GI wire 10 SWG
iv)
GI pipe 20 mm, bend etc.
v)
Electro Static Energy meter at the consumer premises as per the specification
enclosed.
vi)
Providing 2 Nos. CFL Bulb (18W+11W – 1 No. each) lamp in the consumer
premise
4.3
L.T. consumer connection from service pole
The Contractor shall provide the service connections to the identified households. The service
connection shall be complete with energy meters with TP Box in consumer’s premises. Service
Connection shall be provided with ‘PVC’ insulated 650/1100 V grade, twin core Aluminum
solid Conductors of size 2.5 sq.mm (3/22 cu equivalent) these wires shall be supported by a
bearer GI wire (3.15 mm) as per REC Spec. No. 45/1986. Cable shall be tied to bearer wire with
an insulated (Porcelain or bakelite) ring of adequate size and strength. The Contractor shall
provide his own arrangements for anchoring the bearer wire at the premises of customers in case
of BPL households.
4.4
Pole Top Distribution Box
Locations, where the numbers of consumers are in excess of 2 (say 3 to 5), a pole top LT
distribution box shall be provided. If the number of consumers exceeds 5, then the connection
has to be provided from adjacent pole having separate distribution box.
4.5
House Wiring
For all the identified BPL households, the contractor shall carry out complete works of house
wiring with installation of energy meters.
ISI marked Double Pole 16 Amp main switch with overload/over-current protection shall be
used. ISI marked PVC conduit with single core 2.5 sq mm. aluminum wire shall be used for
house wiring.
55
Two point wiring for lighting points shall include two piano type ISI marked 5A switch,
Bakelite/plastic holder, 2Nos. CFL Lamp (18W & 11W).
The wooden box shall be fixed in the consumer premises at a suitable height and shall house

16Amp. DP Main Switch

Earthing terminal

One 5 Amp. Switch

One 18W CLF bulb with holder
Another wooden distribution board shall be fixed in the consumer premises at a suitable height
and shall house

5 Amp switch

11 Watt CFL lamp with holder
The internal wiring shall be done using PVC conduits. The Electrostatic meter with TP Box will
be fixed separately.
4.6
Route Survey
The Contractor shall carry out detailed survey and prepare the detailed route of LT lines, on
topographical sheets / mouja maps available from government agencies. The Contractor shall
make his own arrangements for obtaining the topographical maps/mouzas maps from the
concerned agencies. The final route map for LT lines, shall be prepared and submitted by the
bidder, showing the proposed pole position, ground clearance, conductor sag and various
crossings, rivers, road and stream crossings on the map to a scale of 1:5000.
4.7
Technical Specifications
4.7.1 3-Phase Energy Meter
General Specifications
56
Sr.
Parameters
Technical Requirements
1.1
Voltage
240 volt (P-N), 415 volt (P-P) +20% to -40% Vref.
1.2
Display
a) LCD (Seven digits)
b) Height: 10 mm X 5 mm min.
c) Pin Type
d) Viewing angle min. 120 degrees
No.
1.3
Display
a) Display parameters:
parameters
LCD test, date & time, cumulative KWH, cumulative KVAH &
KVARH, MD in KW & KVA, PF, V, I (cumulative KWH
continuous and other parameter with pushbutton. All the
energies are without decimal.)
b) Display order shall be as mentioned under “Display Sequence
for the Parameters (3-Phase Energy Meter)”
1.4
Power factor
Zero lag–unity- zero lead
range
1.5
Power
Less than 1 Watt & 4VA per phase in voltage circuit, 2 VA in
Consumption
current circuit
1.6
Starting current
0.2 % of Ib
1.7
Current range
Higher current range i.e. Imax is acceptable.
1.8
Test Output
Flashing LED visible from the front
Device
1.9
Billing data
a) Meter serial number, Date and time, KWH, KVAH, RKVAH,
MD in KW and KVA, No. of tamper counts, tamper occurrence
with date & time, tamper restoration date & time with snap
shots. History of KWH, KVAH, RKVAH & MD for last 6
months along with TOD readings.
b) All the above parameters (namely KWH, KVAH, RKVAH,
MD in KW and KVA) are meter readings.
c) All these data shall be accessible for reading, recording and
spot billing by downloading through optical port on MRI or
57
Sr.
Parameters
Technical Requirements
No.
Laptop computers at site.
1.10
MD Registration
a) Meter shall store MD in every 30 min. period along with date
& time.
b) It should be possible to reset MD automatically at the defined
date (or period)
1.11
Auto Reset of
Auto reset date for MD shall be indicated at the time of
MD
finalizing GTP and provision shall be made to change MD reset
date through MRI even after installation of meter on site.
1.12
Time required for
Meter data consisting of all parameters and 36 days load survey
data reading from
for 4 parameters shall be read by CMRI and downloaded on
meter and
desktop PC in minimum possible time and it shall be indicated
downloading on
at the time of finalizing GTP.
desktop PC
1.13
Diagnostic feature Self diagnostic for time, calendar, RTC battery all display
segments and NVM.
1.14
Security feature
Programmable facility to restrict the access to the information
recorded at different security level such as read communication,
communication write etc
1.15
Memory
Non volatile memory independent of battery backup, memory
should be retained up-to 10 year in case of power failure
1.16
Climatic
a) The meter should function satisfactorily in India with
conditions
temperature ranging from 0 - 60ºC and humidity upto 96%.
b) Also refer IS: 13779 for climatic conditions.
1.17
Calibration
Meters shall be software calibrated at factory and modification
in calibration shall not be possible at site by any means.
58
Constructional Features
Sr.
Parameters
Technical Requirements
Body of Meter
a) Top transparent and base opaque material polycarbonate of
No.
2.1
LEXAN 143A/943AA or equivalent grade.
b) Front cover & base should be ultrasonically welded and
should be provided with the brass sealing screws.
c) Top cover should be designed so as the internal components
should not be visible.
2.2
Terminal Block
Made of polycarbonate of grade 500 R or equivalent grade and
shall form Integral part of the meter base, brass or copper
current terminals with flat-head brass screws.
2.3
Terminal cover
Transparent terminal cover with provision of sealing through
sealing screw.
2.4
Diagram of
Diagram of external connections to be shown on terminal cover
connections
2.5
Marking on name
Meter should have clearly visible, indelible and distinctly name
plates
plate marked in accordance with IS & Reliance Energy Ltd
specifications.
2.6
Meter Sealing
Supplier shall affix one Buyer seal on side of Meter body as
advised and record should be forwarded to Buyer.
2.7
Guarantee /
5 Years.
Warranty
2.8
Insulation
A meter shall withstand an insulation test of 4 KV and impulse
test at 8 KV
2.9
Resistance of heat
The terminal block and Meter case shall have safety against the
and fire
spread of fire. They shall not be ignited by thermal overload of
live parts in contact with them as per the relevant IS 13779.
59
Tamper & Anti-Fraud Detection/Evidence Features
The Meter shall not be affected by any remote control device & shall continue recording energy under
any one or combinations of the following conditions:

Phase sequence reversal: The meters shall work accurately irrespective of the phase sequence
of the supply.

Detection of missing potential: In case someone intentionally takes out a potential lead, the
date and time of such occurrence shall be recorded by the Meter. The restoration of normal
supply shall also be similarly recorded. The threshold for the voltages should be
programmable.

Reversal of C.C. (Current Coil) Polarity: Meter shall record the reversal of C.C. polarity
with time and date, and also the time of restoration. Meter shall however

Register the energy consumed correctly with any one, two or all three phase c.c. reversal.

C.C. Shorting: Meter shall record C.C. Terminal shorting with time and date and time of
restoration. The threshold of the current should be programmable.

Power On / Off: Meter shall detect power OFF (minimum power off period 5 minutes) if any
of phase voltages are not present. This event shall be recorded at the time of each power OFF.
At the same time power ‘ON‘event shall be recorded. This logging shall be available in
Tamper details along with cumulative time of failure.

Recording of Neutral disturbance: - Meter shall log all events when AC/DC current or
voltage is injected in neutral circuit without disturbing the recording of energy.

Snap-on parameters: Meter shall log all three phase voltage, current, power factor etc. at the
time of tamper attempt for all such occurrence.

External Magnetic tampers: Meter should log on the events of attempt of tampering by
external magnetic field as mentioned in the CBIP Technical report no. 88 with latest
amendments.
The Meter shall record energy at maximum current (Imax) under the influence of abnormal
external magnetic field irrespective of actual load, energy recorded in such case shall also be
available in separate register. The Meter shall record as per actual load once the external
abnormal magnetic field is removed. In such conditions the Meter shall log the event for
presence of abnormal external magnetic field and its restoration.
60

Influence Quantities: The Meter shall work satisfactorily with guaranteed accuracy limit
under the presence of the following influence quantities as per IS 13779, IEC-1036, and CBIP
Technical Report No.88 with latest amendment.
The influence quantities are:

External Magnetic field – 0.2 tesla ( with log on feature)

Electromagnetic field induction,

Radio frequency interference,

Unbalanced load,

Vibration etc,

Wave form 10% of 3rd harmonics,

Phase sequence,

Voltage unbalance,

Electro Magnetic H.F. Field, and

D.C. Immunity test.
Display Sequence for the Parameters (3-Phase Energy Meter)

Default Display:
Cumulative KWH (cumulative KWH to be displayed continuously without decimal)

On-demand Display:
After using pushbutton the following parameters should be displayed.
1
LCD test
2
Date
3
Real Time
4
Cumulative RKVAH
5
Cumulative KVAH
6
Current MD in KW
7
Current MD in KVA
8
Instantaneous Power factor
9
Instantaneous voltage R phase
10
Instantaneous voltage Y phase
61
11
Instantaneous voltage B phase
12
Instantaneous current R phase
13
Instantaneous current Y phase
14
Instantaneous current B phase
Note: The meter display should return to Default Display mode (mentioned above) if the ‘push button’
is not operated for more than 6 seconds.
4.7.2 Cables

AB cable with XLPE INSULATION, (3X35 + 1X25 + 1x16) sq.mm

ABC (Aerial Bunched Cables) with XLPE INSULATION, (1X35 + 1X25 + 1x16) sq.mm

AB cable with XLPE INSULATION, (1X16 + 1X25) sq.mm

Lugs And Connection Kit
4.7.3 Earthing
Earthing by boring in ordinary soil upto water level with earth Pipe (PIPE EARTH G.I.
40MMX2.5/3 M 'B' CLASS) and connecting GI Stay wire 7/8 or 7/10 SWG bringing the earth
wire upto ground level as per NDPL Design upto 15 m depth (Each pit resistance will be
measured and recorded)
4.7.4 Poles

300 kg Pre-stressed Cement Concrete Pole with RCC Block base, Height 9 m as per REC
Construction standard K1.

Extension Pole at every ground clearance and road crossings, 100 x 50 x 6 mm galvanized
channel up to 3 m.

G.I stay wires with G.I turn buckle rod of 16 mm dia, 7/3.15 mm (10 SWG)

Anchor plate, Mild Steel plate of 200 mm x 200 mm x 6 mm thick.

Guarding wire at all major crossing, 8 SWG.

Eye hook.

Suspension / Dead end clamp

Belting of clamp.
62

Earthing arrangement with 8 SWG wire.

Anti-climbing device.

Danger plate

Bolts, Nuts, Fixtures and hardware, all Hot GI Plated
4.7.5 Service Connections (Service Pole To Consumer Premises)

CABLE PVC, 2 Core unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 6
sq.mm

UDC (Universal Distribution Connector), ABC cable with piercing type/wedge type
connector and distribution box at DT for more than 2 consumer connection.

Supporting wire, GI wire - 10 SWG (REC. Spec. 45/1986), 3.15 mm.

Insulated Porcelain/bakellite Ring for tying cable with supporting wire.

G.I Pipe for entry of cable to consumer premises up to meter board, 20 mm.

Earthing to G.I Pipe wired to main switch board.

Cable Conduit , PVC

Energy Meter with TP Box at consumer entry point connection
4.7.6 Household Wiring – BPL Family (25 W)

CABLE PVC, 2 Core unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 2.5
sq.mm

Two Wooden Boards for mounting under mentioned items.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 2 pole, 2 A.

Earthing Terminal

Three Switches – Piano type, ISI Marked, 5 A.

One Socket – 3 Pin

Two Bakellite/Plastic Bulb Holder.

Two CFL Bulb – 18 W, 11 W
4.7.7 Household Wiring –Non- BPL Family (50 W)
63

CABLE PVC, 2 Core unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 2.5
sq.mm

Two Wooden Boards for mounting under mentioned items.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 2 pole, 10 A.

Earthing Terminal

Five Switches – Piano type, ISI Marked, 5 A.

Two Socket – 3 Pin

One fan connection.

Two Bakellite/Plastic Bulb Holder.

Two CFL Bulb – 18 W, 11 W
4.7.8 Household Wiring –Non- BPL Family (150 W)

CABLE PVC, 2 Core unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 2.5
sq.mm

Two Wooden Boards for mounting under mentioned items.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 2 pole, 16 A.

Earthing Terminal

Five Switches – Piano type, ISI Marked, 5 A.

Two Socket – 3 Pin

One fan connection.

Two Bakellite/Plastic Bulb Holder.

Two CFL Bulb – 18 W, 11 W

Extra connections as per actual
4.7.9 Street Light (Each 50 W)

CABLE PVC, 2 Core Unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 6
sq.mm

Supporting wire, GI wire - 10 SWG (REC. Spec. 45/1986), 3.15 mm.

Insulated Porcelain/bakellite Ring for tying cable with supporting wire.

Terminal Box for CFL/Bulb connection.
64

Fabrication of single arm GI pipe (40 mm dia, class "A") bracket of size 1.25"x4" for
fixing of fitting.

CFL with HPSV fittings 70/ 150/ 250 W with HPSV lamp i/c starter & copper chock.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 2 pole, 16 A per
every 20 Street Lights or as required.
4.7.10 Irrigation Pump (Each 1500 W)

CABLE PVC, 4 Core Unarmoured, Aluminium Solid Conductors, 660/1100 V, 4 x 6
sq.mm

Supporting wire, GI wire - 10 SWG (REC. Spec. 45/1986), 3.15 mm.

Insulated Porcelain/bakellite Ring for tying cable with supporting wire.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 4 pole, 16 A
4.7.11 Rice Mill (Each 12 KW)

CABLE PVC, 4 Core Unarmoured, Aluminium Solid Conductors, 660/1100 V, 4 x 6
sq.mm

Supporting wire, GI wire - 10 SWG (REC. Spec. 45/1986), 3.15 mm.

Insulated Porcelain/bakellite Ring for tying cable with supporting wire.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 4 pole, 16 A
4.7.12 Schools/ Community Centres/ Health Care Centres /Panchayat Bhawan (Each < 200
W)

CABLE PVC, 2 Core unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 6
sq.mm

Two Wooden Boards as required.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 2 pole, 16 A.

Earthing Terminal

Switches – Piano type, ISI Marked, 5 A.

Socket – 3 Pin

Fan connection.
65

Bakellite/Plastic Bulb Holder.

CFL Bulbs

Extra connections as per actual
4.7.13 Shops (Each < 100 W)

CABLE PVC, 2 Core unarmoured, Aluminium Solid Conductors, 660/1100 V, 2 x 2.5
sq.mm

One Wooden Boards for mounting under mentioned items.

One DP Main Switch with Fuse/Overload Protection, ISI Marked, 2 pole, 10 A.

Earthing Terminal

Five Switches – Piano type, ISI Marked, 5 A.

Two Socket – 3 Pin

One fan connection.
4.7.14 Final Checking, Testing And Commissioning
After completion of the works, final checking of the line shall be carried out by the Contractor
to ensure that all foundation works, pole erecting and stringing have been done strictly
according to the specifications and as approved by the Owner. All the works shall be thoroughly
inspected in order to ensure that:

Sufficient backfilled earth covers each foundation pit and is adequately compacted.

All poles are used strictly according to final approved drawing and are free of any defect or
damage whatsoever.

The stringing of the conductors have been done as per the desired clearances.

All conductor accessories are properly installed.

All other requirements for completion of works such as fixing of danger plate and anticlimbing device have been fulfilled.

The insulation of the line as a whole is tested by the Contractor through provision of his
own equipment, labor, etc. to the satisfaction of the Owner

All poles are properly grounded.

The line is tested satisfactorily for commissioning purpose.
66
4.8
Voltage Stabilization
The Contractor should provide provision for voltage stabilization to maintain three phase
voltage level 420V and single phase voltage at 230V, each with variation not beyond +/- 10% at
the consumers end.
The Contractor must necessarily study load profile at load centers or load clusters where voltage
level is not within the above prescribed limits and implement appropriate stabilizing techniques
by means of Automatic Voltage Regulator/Stabilizer equipment. The Contractor may at its own
discretion select kVA rating and relevant technical specifications of such equipment with
accompanying electrical set-up depending on the load profile including appropriate operational
and performance guarantee/warranty requirements from the supplier.
3.4.10.5
5.1
OPERATION & MAINTENANCE
Scope
The power generation and distribution system detailed in the earlier sections of this document and
mainly comprising of the following equipment and works shall be operated and maintained for a
period of five (5) years by the Contractor after commissioning:

Biomass based Gasifier and its auxiliaries

Produces Gas Engine and its auxiliaries

Photovoltaic Modules and its auxiliaries

Power distribution system consisting of poles, connectors, insulators, cables, street lights
CFL’s, MCB’s, switch gears etc.

Lighting of the power house area, households and common community places

Earthing and lighting systems

Fire extinguishers and fire buckets

Battery, charger and distribution board

Civil works of the power house and distribution system

Other Station Auxiliaries and Facilities
67
5.2
Main Works
(i)
The operation of all generating units, their auxiliaries and station auxiliaries and
distribution system shall be carried out by the Contractor’s skilled personnel to achieve
maximum generation in a most cost efficient manner.
(ii)
The logging of all the parameters of units and their auxiliaries shall be carried out on
printed log books/log sheets as approved by the Owner. The stationary required for this
logging shall be arranged and provided timely by the Contractor at his cost. The desired
information on prescribed formats shall be provided to the Owner as per scheduled time.
(iii) All the equipments shall be kept in operative conditions at all times except for shutdown
period for maintenance works.
(iv) The faults/breakdowns of the equipment shall be attended on top most priority in most
professional manner to avoid any generation loss.
(v)
The scheduled preventive maintenance of the generating units and other equipment shall
be carried out as per manufacturer’s guidelines in shortest possible time. The maintenance
record shall be regularly submitted to the Engineer-in-charge.
(vi) Lighting system shall be kept intact and practically all fittings should be in glowing
condition. The timing for ON/OFF of the lighting shall be finalized with the local
officer/village community representative in charge.
(vii) The fire extinguishers shall be regularly tested as per prescribed norms and shall be
immediately refilled. The fire buckets shall be kept filled with dry sand all the time. All
the personals deputed for O & M should be acquainted with operations of fire
extinguishers.
(viii) Annual maintenance of all the equipment shall be carried out as per prescribed norms.
(ix) The maintenance of all the civil works of power house and power distribution system shall
be carried out as per prescribed norms.
5.3
Material
(i) Normal consumables material required for operation and maintenance of the plant and
equipment shall be arranged by the Contractor at his cost. These consumables shall
generally include oils and lubricants, fuses, lighting and indicating bulbs, other lighting
68
materials, all cleaning materials, tripping/closing coils of circuit breakers, contactors,
insulators, conductors, nut/bolts, cement, sand, bricks, stone ballast etc.
(ii) Unless otherwise stated in the tender document, the damaged equipment and spare parts
shall be arranged/replaced by the Contractor
5.4
Tools and Plants
The Contractor shall arrange all necessary tools and plants required for maintenance works of the
plant and equipments under the scope of the works.
69
3.4.11
DETAILS COVERED IN PRICE BID
The Bidder shall quote in the appropriate schedule of P r i c e B i d lump-sum price for the entire
scope of works (covered under the Bidding Document) and also the unit rates of the goods it
proposes to supply under the Contract on a base price with price adjustment basis, unless otherwise
specified.
The Bidder shall also furnish the price break-up in the appropriate schedules of Bid Form to indicate
the following:
i
Ex-works price of the equipment/materials (including tools and tackles etc.)
ii. Charges for inland transportation and insurance for delivery of the equipment/materials
upto their final destinations.
iii. Lump-sum charges towards unloading, storage, insurance, erection (including insurance during
construction period), testing & commissioning.
iv. Sales Tax and any other statutory levies payable on the transactions between BSHPC and
the Bidder.
vi. Year wise Lump sum cost of providing power for five years including the operation and
maintenance costs for the entire system.
Example of the village-wise price break-up is mentioned below:
70
Village Name: ALAPUR
Bill of Quantities
Abstract of Cost
Name of the Village: Alapur
Block: Baikunthpur
Gram Panchayat: Jagdishpur
District: Gopalganj
Sl. No.
Appendix No.
Particulars
Amount in
Rs.
1.
A
2.
B
3.
C
4.
D
5.
E
Supply of equipments on Exworks basis
Services for inland transportation
and insurance for delivery of the
equipment/materials upto their
final destinations
Services for erection, testing, trial
run, commissioning,
comprehensive insurance
covering all risks during goods in
transit, storage, erection, testing,
commissioning and trial run
Supply of mandatory spares and
special tools for 5 years
satisfactory operation of the
system
Lump sum cost of providing
power for five years including the
operation and maintenance costs
for the entire system after
adjusting the collected tariff from
the villagers
Total Amount
71
Amount in
Words
A) Equipment Supply
Sl. No.
Description
Biomass based power plant system
1.
30 kVA of 100% producer gas based
power system including all auxiliaries and
accessories
Solar Photovoltaic power plant system
2.
5 kW solar Photovoltaic based power
system including all auxiliaries and
accessories
Distribution System
3.
AB cable with XLPE INSULATION,
(3X35 + 1X25 + 1x16) sq.mm
4.
AB cable with XLPE INSULATION,
(1X35 + 1X25 + 1x16) sq.mm
5.
AB cable with XLPE INSULATION,
(1X16 + 1X25) sq.mm
6.
Connector
7.
Cycle Insulator
8.
Pole
9.
Street Light Bracket
10.
Street Light CFL
11.
Earthing Kit
12.
MCBs
13.
Service wiring along with metering for
BPL
14.
LT switch gear
15.
Any left out item
Applicable Taxes & Duties
16.
Sales Tax and any other statutory levies
72
Quantity
1
1
60
4375
4375
140
100
100
25
25
33
93
100
3
Rate
Amount
B) Inland Transportation
Sl. No.
Description
Biomass based power plant system
1.
Inland transportation and insurance for
delivery of the producer gas based power
system upto their final destinations
Solar Photovoltaic power plant system
2.
Inland transportation and insurance for
delivery of the solar Photovoltaic based
power system upto their final destinations
Distribution System
3.
Inland transportation and insurance for
delivery of the distribution system upto
their final destinations
Applicable Taxes & Duties
4.
Service Tax and any other statutory levies
Unit
Rate
Amount
C) Erection & Commissioning
Sl. No.
Description
Biomass based power plant system
1.
Erection, testing, trial run, commissioning,
comprehensive insurance covering all risks
during goods in transit, storage, erection,
testing, commissioning and trial run of the
producer gas based power system
Solar Photovoltaic power plant system
2.
Erection, testing, trial run, commissioning,
comprehensive insurance covering all risks
during goods in transit, storage, erection,
testing, commissioning and trial run of the
solar Photovoltaic based power system
Distribution System
3.
Power Distribution Network laying and
commissioning of the entire system
Applicable Taxes & Duties
4.
Service Tax and any other statutory levies
73
Unit
Rate
Amount
D) Mandatory Spares
Sl. No.
Description
Biomass based power plant system
1.
Mandatory spares and special tools for 5
years satisfactory operation of the of the
producer gas based power system **
Solar Photovoltaic power plant system
2.
Mandatory spares and special tools for 5
years satisfactory operation of the of the
solar Photovoltaic based power system **
Distribution System
3.
Mandatory spares and special tools for 5
years satisfactory operation of the of the
Power Distribution Network **
Applicable Taxes & Duties
4.
Sales Tax and any other statutory levies
Unit
Rate
Amount
** - A tentative list of spare part requirement is indicated in the Volume II (Technical Specifications) of
this Tender document. The Bidders shall recommend spares for 5 years of satisfactory operation and
quote for all the items separately. The Owner shall not be bound to purchase all or any of the spares set
out, but the Contractor shall supply these items at the quoted prices if ordered by the Owner.
E) Operation & Maintenance
Description
Lump sum cost of providing
power for five years including
the operation and maintenance
costs for the entire system
after adjusting the collected
tariff from the villagers
Year
First Year
Second Year
Third Year
Fourth Year
Fifth Year
74
Lump sum Amount in Rs.
3.5
QUALITY MONITORING MECHANISM
Quality Monitoring is a good way of maintaining best practice and adhering to the laid down structure.
Regular Monitoring prevents the mistakes/deviations creeps in the work and helps in maintaining high
standards. For maintaining high standard work, a three tier Quality Monitoring Mechanism has been
devised. The same is explained below:
(a)
First Tier
Project implementing agency (PIA) would be responsible for the first tier of the Quality Control
Structure. Further PIA will engage third party inspection agency, whose responsibility will be to
ensure that all the materials to be utilized and the workmanship conform to the prescribed
specifications.
This inspection will cover approx. 50% villages on random sample basis for each project.
(b)
Second Tier
Rural Electrification Corporation will get the inspection done of the works/materials from its
non-field staff and by outsourcing it. REC may outsource it to retired employees of State
Electricity Boards/State Utilities/ CPSUs. These individuals would be designated as REC
Quality Monitors (RQM).
The inspection will cover quality checks at pre-shipment stage at the vendors' outlet of major
materials and 10% villages on random sample basis.
(c)
Third Tier
1. Independent Evaluators (Individuals /Agency) will be engaged by the Ministry of Power for
evaluation, at random, of supply and erection under the programme. These persons would be
designated as National Quality Monitors (NQM).
Evaluation will cover 1% villages.
2. The Monitors shall submit their report to the Ministry. The reports of the NQMs will be sent by
REC to the RQM for appropriate action within a period to be specified. In case quality check by
RQM or NQM reveals 'unsatisfactory' work, the implementing agency shall ensure that the
contractor replace the material or rectifies the workmanship within the time period stipulated.
All works rated 'unsatisfactory' shall be re-inspected by RQM or NQM after a rectification
75
report has been received from the REC Quality Coordinator. REC will designate an Executive
Director as in charge of the Monitoring system.
3. Recurrent adverse reports about quality of works in a given District /State might entail
suspension of the Programme in that area till the underlying causes of defective work have been
addressed.
4. The REC Quality Coordinator / Third party inspection unit shall be the authority to receive and
inquire into complaints /representations in respect of quality of works and they would be
responsible for sending a reply after proper investigation to the complainant within 30 days.
76
CHAPTER 4
4.1
RISKS & MITIGATIONS
As projects are exposed to a wide variety of risks in the various stages of project evolution, risks
associated with the installation and operation of the project were identified, categorized and measures
for risk mitigation defined as far as feasible.
Main categories of risks are

Project related

Construction related

Operations related

Revenue risks

Force majeure risks

Insurance risks
The proposed mitigation measures shall be a basis for development of adequate strategies in the
contractual framework of the tendering documents and later in the contracts with the construction
contractors, subcontractors and in the O&M contractual documents. Some measures may also require
frameworks in the agreements with the consumer.
The results of the preliminary assessment listed according to the type of risk are shown below:
Risk Type
Risk Event
Risk Mitigation
Project Related
Delay in land acquisition
Construction
Related
Contractor Capability
77
Provision related to the assistance from
BSHPC in land acquisition/ transfer of the
Govt. land or village panchayat land on
lease for execution of the Scheme included
Sound pre-selection process for the award
of the project development contracts to
contractors with experience, reputation and
track record. Additional contractual
safeguards like liquidated damages for non
performance, performance security, defects
liability clause etc
Construction
Related
Construction
Related
Operations related
Operations related
Revenue Risk
Force majeure
risk
Insurance risk
Delay in construction
Delay in establishment of
power distribution system
Failure of plant to meet
performance criteria at
completion tests
Operator failure
Rising fuel and other input
costs
Flood, earthquake, riot,
strike
Uninsured loss or damage
to project facilities.
78
Safety clauses in EPC contract including
liquidated damages from the contractor
Require liquidated damages
payable by the contractor
Require liquidated damages
payable by the contractor
Sound pre-selection process for the award
of the operator contracts to contractors with
experience, reputation and track record.
Additional contractual safeguards like
liquidated damages for non performance,
performance security, defects liability
clause etc
Provision related to the rise in fuel & labour
costs included in clauses
Insurance cover for loss or physical damage
as well as business interruption
Insure against all the main risks
4.2
WHAT ARE THE POTENTIAL BENEFITS OF DDG?
There are advantages and disadvantages of using Decentralised Distributed Generation and a well
engineered system produces the best results.
Benefits in using distributed generation:
1. DDG point out that distributed resources can improve the efficiency of providing electric
power. Transmission of electricity from a power plant to a typical user wastes roughly 6 to 7
percent of the electricity as a consequence of aging transmission equipment, inconsistent
enforcement of reliability guidelines, and growing congestion. Only 40% of the calorific value
of fossil fuel is converted into electrical energy; the remaining 60% is dispersed as heat. A large
proportion of this waste heat is potentially useable but because of the central location of the
generation it is impractical.
2. DDG may improve the security of the grid. Because they produce power locally for users, they
aid the entire grid by reducing demand during peak times and by minimizing congestion of
power on the network. Thus, Decentralized power generation helps insulate the grid from
failure if a large power plant goes down.
3. By building large numbers of localized power generation facilities rather than a few large-scale
power plants located distantly from load centers, DG can contribute to deferring transmission
upgrades and expansions—at a time when investment in such facilities remains constrained.
4. Convenient local positioning enables available sources of energy to be used, for example waste
products or renewable resources may be easily utilized to supplement fossil fuels
5. DDG can help the nation increase its diversity of energy sources. Some of the DG technologies,
such as wind turbines, solar photovoltaic panels, and hydroelectric turbines, consume no fossil
fuels. The increasing diversity helps insulate the economy from price shocks, interruptions, and
fuel shortages.
6. Environmentalists and academics suggest that DG technologies can provide ancillary benefits to
society. Large, centralized power plants emit significant amounts of carbon monoxide, sulfur
oxides, particulate matter, hydrocarbons, and nitrogen oxides. The Environmental Protection
Agency has long noted the correlation between high levels of sulfur oxide emissions and the
creation of acid rain. Because they concentrate the amount of power they produce, large power
plants also focus their pollution and waste heat, frequently destroying aquatic habitats and
marine biodiversity.
79
7. Decentralising energy would also democratise energy, providing real opportunities for local
political leadership on climate change, and curbing the influence of the centralized industry’s
powerful vested interests. By enabling local action and empowering individuals and
communities as producers, decentralisation has the potential to bring about a massive cultural
change in our attitude to and use of energy.
Other benefits associated with Decentralised Distributed Generation are as follows:
1. Connections to rural electrification lower the price of operating lighting and other electrical
appliances.
2. The impacts of rural electrification on indoor air quality, health, and knowledge are quantifiable
and significant.
3. Rural electrification has some long-term impact on home businesses In impoverished and
undeveloped areas, small amounts of electricity can free large amounts of human time and
labor.
4. Willingness to pay is high, exceeding the average supply cost where grid connection is feasible.
5. Reducing consumption by high-end users through higher tariffs has a net welfare benefit.
Disadvantages in using distributed generation:
1. Conventional distribution systems need adequate protection in order to accommodate exchange
of power.
2. Signaling for dispatch of resources becomes extremely complicated.
3. Connection and revenue contracts are difficult to establish.
4.2.1 CONCLUSION
Based on the findings, it is recommended that centralised and distributed generation should be
combined in the future. Decentralisation can help protect the climate, but a combination of technologies
needs to be used in order to compensate for their individual advantages and disadvantages. For
example, solar and wind power offer CO2 savings, but are intermittent. Small gas or oil plants can be
used as back up sources of energy, but have higher emissions though renewable energy solutions can be
expected to have lower rates of return, which does not mean they should be neglected on that basis.
80
GLOSSARY
Biomass
Biomass is defined as any plant matter used directly as fuel or converted into other forms before
combustion. This includes wood, vegetal waste (including wood waste and crops used for energy
production), animal material/waste, sulphite lye — also known as ‘black liquor’ (an alkalinespent
liquor from the digesters in the production of sulphate or soda pulp during paper manufacturing, where
the energy content derives from the lignin obtained from the wood pulp), and other solid biomass.
Biogas
Biogas is derived principally from the anaerobic fermentation of biomass and solid wastes. It is
combusted to produce heat and/or power. Included in this category are landfill gas and sludge gas
(sewage gas and gas from animal slurries) and other biogas. Liquid biomass, which includes bioadditives such as ethanol, is also included in this category.
Centralised generation
Electricity is generated in large remote plants. Power must then be transported over long distances at
high voltage before it can be used.
Decentralised generation
Electricity production at or near the point of use, irrespective of size, technology or fuel used — both
off-grid and on-grid.
Emission factor
The emission factor is the ratio between the amount of pollution generated and the amount of a given
raw material processed. The term may also refer to the ratio between the emissions generated and the
outputs of production processes.
Fossil fuel
Carbon-based fuels from fossil carbon deposits, including coal, oil, and natural gas.
Feed in tariff
This is an incentive structure to encourage the adoption of renewable energy through government
legislation. The regional or national electricity utilities are obligated to buy electricity generated from
renewable sources such as solar photovoltaics, wind power, biomass, hydropower and geothermal
power) at specific-market rates set by the government.
Grid
81
A high voltage electricity transmission network.
Heat rate
An expression of the conversion efficiency of a thermal power plant or engine, as heat input per unit of
work output — for example, Btu/KWh.
Hydroelectric plant or hydro power plant
A plant in which all power is produced from natural stream flow, as regulated by the available storage.
Load Growth
The annual incremental electricity demand.
Photovoltaics (PV)
A photovoltaic solar cell converts light directly into electricity. Light striking the front of a solar cell
produces a voltage and current – it has no moving parts. A group of interconnected cells creates a solar
panel. In turn, these can be connected in a series or parallels to create a solar array and any voltagecurrent combination required.
Renewable energy
Energy sources that are sustainable within a short time frame relative to the Earth’s natural cycles. They
include non-carbon technologies such as solar energy, hydropower, and wind, as well as carbon-neutral
technologies such as biomass.
Solar energy
This includes: solar radiation exploited for hot water production and electricity generation by flat plate
collectors (mainly of the thermosyphon type) for domestic hot water or for the seasonal heating of
swimming pools; photovoltaic cells; solar thermal-electric plants.
Thermal efficiency
The ratio of heat absorbed by the boiler to heat available in the fuel.
Wind energy
Energy present in wind motion that can be converted to mechanical energy for driving pumps, mills,
and electric power generators. Wind pushes against sails, vanes, or blades radiating from a central
rotating shaft.
82
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