Operation & Maintenance Of Solar Power Projects - 2012

29th June, The Pride Hotel, Ahmedabad

Organized By

www.renewablemarketsindia.com

Group, AllAll Rights Reserved LANCO LANCO Group, Rights Reserved

EPC

POWER

SOLAR

RESOURCES

INFRASTRUCTURE

Venue: Mumbai
Group, AllAll Rights Reserved LANCO LANCO Group, Rights Reserved

Date:25.04.2012

Corporate Overview

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Corporate Overview
One of Indias Leading Integrated Infrastructure Company

Gross Revenue over 2.2 Billion USD

Diverse businesses in 5 Sectors

Global Presence (20 states in India & 7 other Countries)

Employees over 7000

Partners in progress: Genting, Harbin, GE, Dongfang, Doosan etc

Member of

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Corporate Overview

EPC

Leading Private Sector IPP 4410 MW in operation Integrated strategy in conventional power across development, EPC, resources

Power

Solar

Business Verticals

Resources Infrastructure

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Contents
1. Assessing the Current Status of O&M of Solar Projects Globally.

2. Introduction to O&M Practices for Solar Projects. 3. Warranties and Post-Warranty Risks of O&M of Solar Projects.

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India Has Great Renewable Energy Potential

Source
Wind Power Biomass Small Hydro Cogeneration-Bagasse Waste to Energy Solar

*Potential (MW)
45,000 16,000 15,000 3,500 2,700 Unlimited

Installed (MW) as on Jan12

16,179 1142 3300 1952 74 940

Source: * MNRE - Development of Conceptual Framework for REC Mechanism,2009

Today, Solar power is merely 0.22% of RE power But potential of Solar power in India is far more than other RE sources

Wind energy constitutes largest commercially exploited RE source in India.

RE capacity is 12% of total grid installed capacity base Very little RE potential has been tapped
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Indias Solar Advantage

Solar energy potential is virtually infinite Daily solar radiation 4-7 kWh/m2/day 250-300 sunny days in a year 5000 trillion kWh solar radiation incident in yr Indeed, at present efficiency levels, 1% of land area is sufficient to meet electricity needs of India till 2031 Interesting Statistics Gujarat & Rajasthan States have the highest intensity of radiation (6.4 6.6 kWh/m2/day) 3500sq.km of area in Rajasthan/Gujarat sufficient to produce 750-2100 GW

Rank

Country

Solar Index

Solar PV

Solar CSP

USA

72

71

74

2
3 4 5

India
China Spain Italy

64
61 58 58

69
66 56 64

53
47 63 65

India emerged as the 2nd most attractive country on overall solar index
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Indias Solar Demand Estimates

Source: KPMGs
35 80 70
60

30

25

23.2 44.8

50 40 30

20

15.6
15

10

13.1
5

20 10 0

5.2 0.7 2.0 2014-15

Annual Solar Market

2.7

2011-12

2017-18

2020-21

2021-22

Cumulative Solar Capacity

By 2021-22, cumulative Solar capacity will be 68 GW by KPMG

Key Drivers Strong Government support Decreasing cost of Solar power Huge Off grid requirement of Rooftop/Rural segment

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Cumulative Solar Capacity (GW)

68.0

Annual Solar Market (GW)

Lanco Solar O&M Services - 117MW

Punjab 1MW Rajasthan 36MW Gujarat 80MW Upcoming

12.5% of Total Installed Base of 940 MW

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Solar Project O&M Overview

1. Assessing the Current Status of O&M of Solar Projects . 2. Introduction to O&M Practices for Solar Projects. 3. Warranties and Post-Warranty Risks of O&M of Solar Projects.

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ISO 9001:2008

ISO 14001:2004

OHSAS 18001:2007

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Charanka Solar Park 10MW (5MWx2)

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Gujarat - 15 MW Charanka Solar Park

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Lanco Solar 15 MW Chadiyana

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O&M Practices For Solar Projects

Plant Monitoring (at String Level) & Recording Data
Monitoring of Solar modules performance. Performance analysis of strings / JB. Monitoring the performance of solar Inverters Monitoring plant availability, PR and CUF on daily basis.

Maintenance Strategy
Time Based Maintenance (TBM):- Monthly, Quarterly, Half Yearly and Annually. Corrective Maintenance:- 24x7 team available for restoration of Breakdowns. Predictive Maintenance:- Predictive maintenance methodology like thermal Imaging and walkthrough routine checks. Improvement and up-gradation Maintenance :- Maintenance for enhancement of performance of equipments and plant in Quality, Safety and Productivity domains.
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O&M Practices For Solar Projects

Daily & Monthly Performance Data Reporting
Report Generation and submission to customer on daily and monthly basis. Major Breakdown analysis for RCA and CAPA. EHS report generation on monthly basis. Deviation analysis reports for analysis w.r.t. benchmarking of performance indicators. SCADA Monitoring as a optional if Available.

Liaoning With State Utility ( EB) For JMR & Billing Support To Customers
Coordination with State Utility- EB for JMR and billing support to customer for timely payments. .

Other Scope

Legal compliances / Periodical Inspections by Electrical Inspector Security management. Customer Interface. CDM Validation and Audit. 17
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O&M Practices For Solar Projects

Conditional Monitoring - Thermography

Thermography Test Report:- By Thermal Imaging we are providing rectification before failure,

Identification of hot spot in Inverter, Electrical panels, Modules under predictive maintenance.

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O&M Practices For Solar Projects

Solar Module Cleaning Methodologies

Medium pressure vehicle mounted cleaning system

Medium pressure Manual movable cleaning system.

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Solar Project O&M Overview

Alternative Module Cleaning Methodology High pressure vehicle mounted cleaning system

Medium pressure fixed type cleaning system

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Challenges for O&M Services

Module Cleaning Timing ( 11:00 -17:00 Hrs is no Cleaning time to avoid hot spot / Micro cracks on modules mainly during summer April to August). Optimizing water conservation, improving Cleaning speed, minimize vehicle movement at site to reduce dust diposition on module. Safety aspect during predictive maintenance like checking set parameters limits Vs actual tripping/ alarm, Thermography of Electrical panels/ PCBs/ Contactors etc. PM activities AS PER CHECK LIST only during Non Generating Hrs during mainly night time/ early morning ( from Sun Set to Sun Rise).
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Challenges for O&M Services

Optimising Auxiliary Consumption based on design and execution during EPC ( 1-1.5%), Availability of Inverter spare parts at site. Inverter suppliers are not considering to train & Develop service Engineer as certified Service Engineer for fault rectification rather insisting on CALL Basic Restricted Data Transfer protocol by Inverter suppliers to SCADA system developed by Owner. Inverter suppliers Insisting Developers to enter in AMC post warranty which is highly expensive with no option left.

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Solar Project O&M Overview

1. Assessing the Current Status of O&M of Solar Projects Globally. 2. Introduction to O&M Practices for Solar Projects.

3. Warranties and Post-Warranty Risks of O&M of Solar Projects.

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Warranties and Post-warranty Risks of O&M of Solar Projects

Major Warrantable coverage's in CSP, PV Based Solar Plants Import Equipments
Solar Inverters Solar Tracker Solar Modules Turbo Generators Solar Collectors

Indigenous Equipments
Electrical Switchyard Equipments Transformers Inverter Shelters Electrical Drives and Pumps Water Treatment Facilities Module Cleaning systems / Capital test Equipments Miscellaneous items like cooling towers, boilers, auxiliaries
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Warranties and Post-Warranty Risks of O&M of Solar Projects

Why Warranties Required for Import Equipment

Lack of Expertise knowledge on Inverter specially on Control Cards/ Sensors, Lack of Indigenous Vendor Availability, Non availability of spare parts in open market inventory levels for cost optimization, Monopolistic approach of Inverter and module manufacturer, Warranty and extended warranties are must to keep plant fully operational
How to Achieve?
Ensure extended performance warranty with manufacturer / supplier for life of product in terms of annual availability with spares supply. Response and Resolution time in case of failure of equipment To ensure optimized plant availability to safe guard investment and returns.
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Warranties and Post-Warranty Risks of O&M for Solar Plants

Post Warranty Risks Involved

Sustainable Performance of plant, Infrastructure created to meet requirement Lack of Independent Solar O&M expertise, Indigenous Vendor development, Availability of Spares for imported equipments, Technological Change / Up gradation, Degradation of equipments efficiency Availability of Imported spares when required

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Points to consider while selecting O&M service Provider

Key Parameters for Assessing O&M Service Provider

Experience in operating Solar Plants in India with track record Technical Expertise with Back end support Quality of manpower deployed with industry knowledge Indigenous Vendor development for services, Working Experience with different suppliers/ developers to understand different technology, Monitoring and Reporting performance data as agreed on Daily/ Monthly Basis methodology Infrastructure availability for PM, BM, Predictive Maintenance Selection of Module Cleaning / Capital equipments technology Legal compliances to ensure no deviation from any Govt. Rule. Reputation & Brand image in Solar Industry to give confidence in plant operation Services Quality are complied / certified for EHS & Quality as per ISO Standards. 27
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How Poor O&M Services can Mismanage Solar Plant

Poor O&M can lead to loss of Generation of Revenue Warranties may be withdrawn by suppliers due to non compliances Plant life likely to be reduced due to improper timely maintenance Increase in major Breakdown of Equipments Local Disputes with local villagers / stack holders may increase if not taken care in time Capital assets / Equipments if not taken care may lead to premature failure from its designed life cycle Stoppage of Generation payment cycle from state utilities for non compliances of its guidelines.

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Conclusion on O&M Services Cost of O&M for Solar Plant

Activity
Plant Monitoring Preventive & Break down Maintenance Predictive Maintenance

Professional O&M Service provider

Yes
Yes Yes

Normal O&M Service provider

Yes
Yes Not Done

Revenue Generation High with long term sustainability Low Revenue short term sustainability Legal Compliances 100% partial to cut cost EHS and quality as per ISO Standard fully compliance Partial Frequency of Breakdown Low High Soiling Losses ( Revenue Losses) low High Housekeeping / Up keep of plant High level Medium/ low level CDM audits / Insurance Assistance 24 x 7 need to arrange on case to case basis Identifying module degradation at string level & Take actions Yes No Man Power supply Site Over All Management / Reporting
Skilled Fully trained for Solar plant highly skilled in charge Semi Skilled Manpower with some exposure to Solar

O&M Cost / MW
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Rs 10-12 Lacs / MW Rs 8-10 Lacs / MW ( Long Terms Revenue Gain) ( Short 29 Term Revenue Gain )

THANK YOU
Contact Us : solar@lancogroup.com

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